Searching Case Laws & Precedent on Legal Query..!
Scanned Judgements…!
Searching Case Laws & Precedent on Legal Query..!
Scanned Judgements…!
Definition of Consumer - A person is considered a consumer under the Consumer Protection Act if they buy goods or hire services for consideration paid, promised, or partly paid and partly promised, including deferred payments. This includes beneficiaries of such services or goods when used with approval, but excludes those obtaining goods for resale or commercial purposes. ["
Moradbad Instructure Development Pvt. Ltd. VS Novo Impex - Consumer
"], ["S. B. A. Services VS ICICI Bank Ltd. - Consumer
"], ["Adobe Marketing Private Limited VS Haryana State Industrial & Infrastructure Development Corporation - Consumer
"], ["Sunita Badhwar VS TDI Infrastructure Ltd. - Consumer
"], ["2023 3 Supreme 300"]Partial Payment and Service Promise - Even if the consideration is only partly paid or promised, the person can still qualify as a consumer if they have availed or are entitled to the service, especially when the service is promised or agreed upon but not yet received. The key factor is the promise or agreement to provide the service, not necessarily full payment upfront. ["
Moradbad Instructure Development Pvt. Ltd. VS Novo Impex - Consumer
"], ["S. B. A. Services VS ICICI Bank Ltd. - Consumer
"], ["Adobe Marketing Private Limited VS Haryana State Industrial & Infrastructure Development Corporation - Consumer
"], ["Sunita Badhwar VS TDI Infrastructure Ltd. - Consumer
"]Service Not Yet Received - A person who has paid or promised consideration for a service that is yet to be received, but where the service center has promised to deliver, can be considered a consumer if the service is availed with approval or under an agreement. Delay or deficiency in service can constitute deficiency under the Act. ["
Samir Jain VS Anand Divin Developers Pvt. Ltd. - Consumer
"], ["Moradbad Instructure Development Pvt. Ltd. VS Novo Impex - Consumer
"]Exclusions - Persons obtaining goods or services for resale, commercial purposes, or where the service provider is not a 'service provider' (e.g., examination boards) are generally excluded from the definition of consumer. ["2024 0 Supreme(Mad) 2331"]
Analysis and Conclusion:A person who has partially paid or promised consideration for a service that has not yet been received, but where the service provider has promised to deliver, can be classified as a consumer under the Consumer Protection Act, provided the service is availed with approval and not for resale or commercial purposes. The act recognizes that even partial payments or promises of consideration suffice for establishing consumer status when the service is intended to be provided and is delayed or deficient. Therefore, such a person can indeed be considered a consumer.
In today's fast-paced service economy, consumers often make advance or partial payments for services promised by providers—like repairs at a service center, real estate possession, or even passport issuance. But what happens if the service isn't delivered? A common question arises: Is a person a consumer under the Consumer Protection Act if they partially paid the consideration for a service which is not yet received but the service centre promised the service?
This issue is crucial for anyone facing delays or deficiencies. Under the
The CPA, particularly Sections 2(7) (2019 Act) or equivalent in the 1986 Act, defines a consumer broadly. A person qualifies if they:- Buy goods or hire/avail services for consideration which has been paid, promised, partly paid, partly promised, or under deferred payment.- Are a beneficiary of such services.
The law emphasizes availability or intended availability of the service to the recipient. Mere non-receipt doesn't negate status if consideration exists. As clarified in key rulings, a person who avails of or hires of any services for a consideration which has been paid or promised or partly paid or partly promised, or under any system of deferred payment qualifies as a consumer
REGIONAL PROVIDENT FUND COMMISSIONER VS SHIV KUMAR JOSHI - Consumer (1999)
.This interpretation is wide: service includes any description made available to potential users, and the definition is wide enough to include services for which consideration is promised or deferred, even if the services are yet to be received
REGIONAL PROVIDENT FUND COMMISSIONER VS SHIV KUMAR JOSHI - Consumer (1999)
.The pivotal factor is consideration. Courts consistently hold that partial payment or a promise suffices, even for unreceived services:- In a case involving delayed showroom possession, despite full payment (analogous to partial), the court focused on payment and the intention to receive the service or benefit are key, even if the physical delivery or receipt is delayed or unfulfilled
HARNAM SINGH VS SHALIMAR ESTATE PVT. LTD. - Consumer (2012)
.- For deferred systems, a beneficiary receiving invoices and making payments qualifies, as the obligation to render service (sending invoices, providing facilities) is linked to the consideration promised or paidSTATE BANK OF INDIA VS CHANDRA NATH SAH - Consumer (1996)
.Non-receipt doesn't bar consumer status if the service was promised or intended. For electricity services, the service (provision of electricity) was hired for consideration, even if the service was not yet received, and the court held that such a person qualifies as a consumer
B. SURESH NAYAK VS CHAIRMAN, KARNATAKA ELECTRICITY BOARD - Consumer (1993)
.Supporting this, applicants for new services like electricity connections are consumers: an applicant for a new electric connection is a consumer... he is a person who has hired the services... for consideration which is promised
CESC LTD. VS RAM PRASAD DAS
.Several judgments reinforce this for diverse services:
In flat allotment delays, even with balance payments pending, full prior consideration establishes status. Full consideration amount received by OPs-appellants & sale transaction executed – Non-payment of part of sale price would not affect validity of sale
T. C. Enterprise VS Haridas Chakraborty (Sinde Deceased) his Legal Heirs
. Courts directed refunds with interest, recognizing complainants as consumers despite non-possessionSandeep Kr. Sahu VS Dharitri Infraventure Pvt. Ltd.
Brajesh Shrivastava VS Vatika Limited
.Passport applicants paying fees are consumers for post-approval services: a person applying for a passport would be a consumer... in case he is aggrieved from a defect or deficiency including an unjustified delay in the services rendered... post decision/approval
Passport Office VS Ira Sharma
.Even partial or promised payments in medical contexts qualify: service for a consideration which has been paid or promised or partly paid and partly promised
Dileshwar Verma VS Sona Bai
. A nurse demanding payment during delivery highlighted consumer status via paid considerationBasanti Sahoo VS Priti Harijan @ Khora
.Beneficiaries under employer policies also qualify: a consumer is not only the person who hires... but also the person who is the beneficiary of such services
LIFE INSURANCE CORPORATION OF INDIA VS K. K. KULSHRESTHA
.Not every scenario qualifies:- No consideration: Seeking services without payment, like a ledger extract, doesn't confer status
MANAGER, KARNATAKA STATE FINANCIAL CORP. VS SYED IQBAL HUSSAIN - Consumer (1993)
. Taxes as statutory duties aren't consideration: payment of tax as a statutory duty does not constitute consideration for goods or servicesGARHWAL JAL SANSTHAN VS S. P. GHAI
.- Commercial purpose: Services for resale exclude consumer statusREGIONAL PROVIDENT FUND COMMISSIONER VS SHIV KUMAR JOSHI - Consumer (1999)
.- Employment terms: Salary claims aren't consumer disputesAMRITA SINGH VS JAIPRAKASH SINGH
.Courts scrutinize evidence of genuine agreements and intent.
To assert rights:- Document everything: Retain payment proofs, promises, contracts, or deferred arrangements.- Highlight intent: Show the service was made available or promised.- File promptly: Approach Consumer Forums with evidence; they examine consideration over physical receipt.
To establish consumer status in cases of partial payment and unreceived services, the claimant should document the consideration paid or promised and the contractual obligation or intention to provide the service.
REGIONAL PROVIDENT FUND COMMISSIONER VS SHIV KUMAR JOSHI - Consumer (1999)
HARNAM SINGH VS SHALIMAR ESTATE PVT. LTD. - Consumer (2012)
.STATE BANK OF INDIA VS CHANDRA NATH SAH - Consumer (1996)
LIFE INSURANCE CORPORATION OF INDIA VS K. K. KULSHRESTHA
.This is general information based on precedents and not specific legal advice. Consult a lawyer for your situation, as outcomes depend on facts. Stay informed on your consumer rights to hold service providers accountable.
References: All citations from provided legal documents including REGIONAL PROVIDENT FUND COMMISSIONER VS SHIV KUMAR JOSHI - Consumer (1999) HARNAM SINGH VS SHALIMAR ESTATE PVT. LTD. - Consumer (2012) STATE BANK OF INDIA VS CHANDRA NATH SAH - Consumer (1996) B. SURESH NAYAK VS CHAIRMAN, KARNATAKA ELECTRICITY BOARD - Consumer (1993) MANAGER, KARNATAKA STATE FINANCIAL CORP. VS SYED IQBAL HUSSAIN - Consumer (1993) Passport Office VS Ira Sharma T. C. Enterprise VS Haridas Chakraborty (Sinde Deceased) his Legal Heirs Dileshwar Verma VS Sona Bai Sandeep Kr. Sahu VS Dharitri Infraventure Pvt. Ltd. Brajesh Shrivastava VS Vatika Limited Basanti Sahoo VS Priti Harijan @ Khora LIFE INSURANCE CORPORATION OF INDIA VS K. K. KULSHRESTHA GARHWAL JAL SANSTHAN VS S. P. GHAI AMRITA SINGH VS JAIPRAKASH SINGH CESC LTD. VS RAM PRASAD DAS
As she paid prescribed consideration, she is a ‘consumer;’ under the Act and she claimed compensation. ... function and since the said services and functions are rendered for consideration, a person aggrieved on account of any defect or deficiency in the said service would be a consumer as defined in the Consumer Protection ....
of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred payment, when such services are availed of with the approval of the first mentioned person, but does not include a person who avails of such service for any commercial purpose. ... Section 2 (7) of the Act defines a consumer....
However, this loan has not yet been repaid and remains outstanding. 4. ... Once the title in the property has already passed, even if the balance sale consideration is not paid, the sale could not be invalidated on this ground. 12. On behalf of OP Nos. 1 & 2 another allegation has been made regarding non payment of Service Tax. ... That the State Commission erred in #....
To resolve this issue, we deem it appropriate to refer to Section 2(1)(d) of Consumer Protection Act, 1986:— “Section 2(1)(d) Consumer” means any person who— (i) buys any goods for a consideration which has been paid or promised or partly paid and partly ... of such services other than the person who [hires or avails of] the services for ....
Now coming back to the definition of the expression ‘consumer’ in Section 2(d), a consumer means insofar as is relevant for the purpose of this appeal, (i) a person who buys any goods for consideration; it is immaterial whether the consideration is paid or promised, or partly paid and partly promised ... goods for consideration paid o....
service for a consideration which has been paid or promised or partly paid and partly promised. ... At this juncture, it is quite pertinent to reproduce the definition of “consumer” as per Section 2(7) of the Consumer Protection Act, 2019 as under:— “(7) “consumer” means any person who— (i) buys any goods for a conside....
To resolve this issue, we deem it appropriate to refer to Section 2(1)(d) of Consumer Protection Act, 1986:— “Section 2(1)(d) Consumer” means any person who— (i) buys any goods for a consideration which has been paid or promised or partly paid and partly ... of such services other than the person who [hires or avails of] the services for ....
Apart from said payment of consideration amount the OP/developer company has claimed service charges amounting to Rs. 28,980/- and accordingly the complainants have paid the same through cheque. ... The complainants, thereafter, have submitted an application on 03.01.2019 for refund of consideration amount alongwith service charge but the OP/developer company did not pay any single penny....
Now coming back to the definition of the expression ‘consumer’ in Section 2(d), a consumer means insofar as is relevant for the purpose of this appeal, (i) a person who buys any goods for consideration; it is immaterial whether the consideration is paid or promised, or partly paid and partly promised ... ) hires or avails of any services for a consideration#HL....
ORDER Subhash Chandra, Presiding Member—This complaint filed under Section 21(a) (i) of the Consumer Protection Act, 1986 (in short, the “Act”) alleges deficiency in service by the Opposite Party in delay in handing over possession of the villa booked by ... In yet another case, a person may be owning a house but the accommodation may not be sufficient for him and his f....
As per Section 2(1)(d)(ii) if a person hires or avails any service for consideration which has been paid then the person becomes a consumer. It appears from the impugned order that the complainant went for delivery to a Government Hospital where the appellant was a Nurse who attended her but during delivery a demand was made for Rs. 500 out of which Rs. 200 was offered to the appellant but the appellant did not accept the same rather demanded Rs. 500. The impugned order does ....
Under Section 2(1)(d)(ii) of the Consumer Protection Act, a consumer is not only the person who hires or avails of any service for consideration but also the person who is the beneficiary of such services. 6. The learned Counsel for the appellant has conceded that the complainant was a consumer. As such, there is no doubt that the complainant is the beneficiary of the Master Policy of the LIC of India which was taken by the employer of the complainant for his benefit and is, ....
But under our Act, i.e., Consumer Protection Act, only a person who pays any consideration and purchase any goods or hires any service for consideration is a consumer. We should not forget that every body in these days is said to be a consumer. The authorities levy tax under third statutory powers.
We agree with the views of the learned Counsel for the appellant that the complainant is not a consumer under the Consumer Protection Act. Section 2(1)(d) of the Consumer Protection Act lays down that a consumer is a person who buys goods for consideration or hires or avails of any service for a consideration which has been paid or promised or partly paid. It has also been stated that the educational institution in question does not get the Government grant and whatever salar....
The view of the Commission in the said case was that the complainant therein was a potential user. Under Section 2(1)(d)(ii) of the Consumer Protection Act a person is a consumer who hires any service for consideration which has been paid or promised or partly paid or partly promised. In the instant appeal the complainants had prayed for new meters separately to the C.E.S.C. Ltd. On the basis of this definition it was held by the Tamilnadu State Commission that a person who a....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.