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‘Old consumer cases won’t be transferred’

  • Previous instances might be determined in accordance with 1986 Act, a Supreme Court docket bench clarified
By Utkarsh Anand, Hindustan Instances, New Delhi

PUBLISHED ON MAR 17, 2021 08:24 AM IST

The Supreme Court docket on Tuesday dominated that nationwide and state shopper commissions shall determine outdated shopper complaints pending earlier than them when it comes to the financial jurisdiction mounted below the 1986 Shopper Safety Act.

Clarifying an necessary level of regulation, the bench of justices Dhananjay Y Chandrachud and MR Shah held that solely such instances filed on or after July 20, 2020—when the brand new shopper safety regulation (2019 Act) was notified—needs to be handled as per the brand new regulation whereas the outdated instances might be determined in accordance with the 1986 Act.

Underneath the 2019 regulation, a district discussion board can determine a shopper dispute as much as 1 crore as towards 20 lakh below the outdated regulation. Equally, pecuniary jurisdiction of state fee has been enhanced from 1 crore to 10 crore, and a nationwide fee can now determine disputes over and above 10 crore.

After the brand new regulation was notified, pending instances have been additionally transferred from state shopper commissions to district boards and from nationwide commissions to state shopper commissions relying on the financial value of the dispute concerned.

Petitioner Neena Aneja approached the Supreme Court docket after her shopper criticism towards Jai Prakash Associates was sought to be transferred by the nationwide fee to the Delhi state shopper fee for the reason that dispute concerned lower than 10 crore.

Advocate P Vinay Kumar, showing for Aneja, identified that the criticism was filed earlier than the nationwide fee on June 18, 2020 whereas the brand new regulation got here into pressure with impact from July 20, 2020. Kumar submitted that for the reason that shopper criticism was filed earlier than the 2019 regulation got here into pressure, the pecuniary jurisdiction to entertain the criticism needed to be decided close to the provisions of the 1986 Act, and therefore, continued to vest with the nationwide shopper fee.

The bench discovered substance within the petition and put aside the order of the nationwide fee that the beforehand instituted instances as per the 1986 Act needs to be transferred to the respective fora as per the brand new pecuniary jurisdiction below the 2019 Act.

The highest court docket directed that no such switch shall happen and the outdated instances shall be determined by the patron court docket in accordance with the jurisdiction mounted by the outdated regulation.

One other bench within the prime court docket not too long ago requested the Centre whether or not a “legislative impression examine” was carried out earlier than a brand new shopper safety regulation was notified in July 2020.

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