Alpha G184 Owners Association v. Magnum International Trading Company Pvt. Ltd.
M. M. SUNDRESH, J.
FACTS
1. The appellant is an association formed by the allottees, registered
under Section 6 of the Haryana Registration and Regulation of Societies
Act, 2012 (hereinafter referred to as “the HRRS Act”) vide certificate
dated 01.11.2017. The respondent herein is a builder tasked with the
development of a housing project. Inter alia alleging that the respondent
has failed in its obligation to construct and complete the promised flats
within the timeline agreed upon, with its failure to pay compensation for
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the delay caused at its instance, and questioning the additional demands
raised, the appellant approached the National Consu mer Disputes
Redressal Commission (hereinafter referred to as ‘t he National
Commission’) by filing a Consumer Complaint No. 3753 of 2017 initially
on behalf of 54 allottees, and thereafter, a few others. Acc ordingly,
complaints have been filed in Consumer Complaint No(s). 3751, 3752,
3753 & 3754 of 2017, and 407 of 2018. These complaints are filed by
the appellant on behalf of the named allottees.
2. Consequent to the interim order dated 08.01.2018 passed in
Consumer Complaint No. 3753 of 2017, pleadings were comple ted
followed by affidavits filed by the appellant along with the individual
affidavits of the allottees. At that stage, the respondent filed a writ petition
being W.P. (C) of 3221 of 2018 before the High Court of Delhi, which
was stayed by this Court vide order dated 20.08.2018 in S.L.P. (C) No(s).
23021-23022 of 2018.
3. Notwithstanding the above, a complaint was filed by the
respondent with the District Registrar of Societies, int er alia alleging
that the aims and objectives enunciated in the byelaws of the appellant
association were not in conformity with the HRRS Act. The Di strict
Registrar, Gurugram referred the matter to the State Registrar, Haryana
by the order dated 03.10.2018.
4. The State Registrar, Haryana directed the appellant to ame nd
its byelaws within six months indicating that any failure to comply would
result in cancellation of the registration granted already. Aggrieved, the
appellant filed an appeal before the Registrar General, H aryana. As
nothing transpired on ground qua the proceedings before the Registrar
General, Haryana and without prejudice to its contentions, the appellant
did make an amendment which was duly registered by the District
Registrar, Gurugram on 08.11.2019.
5. The complaint was taken up by the National Commission for
hearing on 13.11.2019. Having been informed of the order of the State
Registrar dated 12.02.2019, the proceedings were adjourned sine die,
awaiting the outcome of the appeal before the Regis trar General,
Haryana.
6. The appellant submitted an application to the Registrar General,
Haryana in the pending Appeal No. 320 of 2019 to place on record the
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
amended byelaws while reiterating the request for grant of stay. A writ
petition was also filed by appellant being C.W.P. No. 34595 of 2019,
wherein the High Court of Punjab & Haryana, at Chandigarh, vide it s
order dated 27.11.2019 passed an order directing the Registrar General,
Haryana to decide the interim applications expeditiously.
7. Before the Registrar General, Haryana the respondent raised
a contention placing reliance upon a copy of the notice dated 04.10.2019,
by which the Department expressed its intention to cancel the registration.
Accordingly, the Registrar General, Haryana passed an order restraining
any cancellation of registration.
8. Under the aforesaid factual backdrop, the appellant filed an
application before the National Commission to place on reco rd the
amended byelaws with the order of stay granted by the Registrar General,
Haryana seeking a consequential prayer for the revi val of the
proceedings. The interlocutory application was allowed by taking on
record the documents filed. The aforesaid order was sought to be recalled
by the respondent through a review application in R.A. No. 52 of 2020.
9. Subsequently, the District Registrar, Gurugram by an order dated
17.06.2020 put on hold the amendments, as certified earlier, on the premise
that the period of six months granted got expired. The Registrar General,
Haryana in turn dismissed the Appeal No. 320 of 2019, finding no error
in the order of the State Registrar, Haryana, though the appellant’s
registration was not cancelled.
10. The orders passed by the State Registrar and the Registrar
General, Haryana were challenged before the High Court of Punjab &
Haryana, at Chandigarh, in C.W.P. No. 19666 of 2021 together with an
application for stay. Though, the matter is still pending adjudication there
is no interim order as of now.
11. Before the National Commission, an additional affidavit was
filed by the respondent in the review application, placing reliance upon
the order dated 07.09.2021 of the Registrar General, Haryana which is
pending adjudication before the High Court. Similarly, the appellant also
filed an application bringing to the notice of the National Commission,
the pendency of the writ petition and the stay application. By the impugned
orders, all the matters along with the interlocutory applicatio ns were
adjourned awaiting appropriate orders in the writ petition. Seeking to set
865
aside the aforesaid orders passed by the National Commission, the present
appeals are filed before us.
SUBMISSIONS
12. Heard Shri Narendra Hooda, learned senior counsel, on behalf
of the appellant, and Shri Debesh Panda, learned counsel, on behalf of
the respondent.
13. Learned counsel appearing for the appellant submitted that
the respondent is bent upon preventing the appellant from seeking
recourse to legal remedy. Complaints filed in the year 2017 are yet to be
adjudicated on merits. The pendency of the writ petition has got no
connection with the proceedings before the National Commission. It is
not as if the interest of the public in general is sought to be espoused as
against the members of the appellant. In any case, affidavits having
been filed by the individual allottees, the National Commission has erred
in adjourning the matters sine die.
14. Learned counsel appearing for the respondent submitted that
there is an inconsistency in the contentions raised by the appellant. If the
registration of the appellant is non-existent, the very comp laint would
become not maintainable. Even assuming that an individual complaint
could be taken up, the forum would be that of a District Consu mer
Disputes Redressal Commission. As the Hon’ble High Court has n ot
granted any stay of the orders passed by the State Registrar and the
Registrar General, there is no infirmity in the impugned orders.
DISCUSSION
15. The Consumer Protection Act, 1986; 68 of 1986 (hereinafter
referred to as “the 1986 Act”) and the Consumer Protection Act, 2019;
35 of 2019 (hereinafter referred to as “the 2019 Act”) have got a laudable
objective. The 2019 Act facilitates the consumers to approach the forums
by providing a very flexible procedure. It is meant to encourage
consumerism in the country. Any technical approach in construing the
provisions against the consumer would go against the very objectiv e
behind the enactment. We wish to place reliance on the recent decision
of this Court in National Insurance Co. Ltd. v. Harsolia Motors, 2023
SCC OnLine SC 409,
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
“21. The Act, 1986 is a social benefit-oriented legislation and,
therefore, the Court has to adopt a constructive liberal approach
while construing the provisions of the Act. To begin with the
Preamble of the Act, 1986 which can afford useful assistance to
ascertain the legislative intention, it was enacted to prov ide for
the protection of the interests of consumers. Use of the wo rd
“protection” furnishes key to the minds of makers of the Act.
Various definitions and provisions which elaborately attempt to
achieve this objective have to be construed in this light wi thout
departing from the settled law that a Preamble cannot control
otherwise plain meaning of a provision.
22. In fact, the law meets long felt necessity of protecting the
common man from such wrong for which the remedy under
ordinary law for various reasons has become illusory. Various
legislations and regulations permitting the State to intervene and
protect interests of the consumers have become a ha ven for
unscrupulous ones as the enforcement machinery either does not
move or it moves ineffectively and inefficiently for reasons which
are not necessary to be stated.
23. The importance of the Act lies in promoting welfare of the
society by enabling the consumer to participate directly in the
market economy. A scrutiny of various definitions s uch as
“consumer”, “service”, “trader”, “unfair trade practice” indicates
that legislature has attempted to widen the ambit and reach of the
Act. Each of these definitions are in two parts, one explanat ory
and the other inclusive. The explanatory or the main part it self
uses expressions of amplitude indicating clearly its wide sweep
within its ambit to widen such things which otherwise would have
been beyond its natural import.
24. The provisions of the Act, 1986 thus have to be construed
in favour of the consumer to achieve the purpose of enactment as
it is a social benefit-oriented legislation. The primary duty of the
Court/Commission while construing the provisions of such an Act
is to adopt a constructive approach subject to that it should not do
violence to the language of the provisions and is not contrary to
attempted objective of the enactment.”
867
16. Section 2(b) of the 1986 Act, under which the present complaints
were filed, defines the word “complainant”. It is certainly illustrative in
nature requiring a broader, exhaustive and inclusive m eaning and
interpretation. Similar is the case with Section 12 of the 1986 Act which
specifies the manner in which a complaint shall be made. We shall place
on record the relevant provisions,
“2. Definitions. - (1) In this Act, unless the context otherwise
requires,—
xxx xxx xxx
(b) “complainant” means—
(i) a consumer; or
(ii) any voluntary consumer association registered under
the Companies Act,1956 (1of 1956) or under any
other law for the time being in force; or
(iii) the Central Government or any State Government;
or
(iv) one or more consumers, where there are numerous
consumers having the same interest;
(v) in case of death of a consumer, his legal heir or
representative; who or which makes a complaint.
12. Manner in which complaint shall be made.—( 1) A
complaint in relation to any goods sold or delivered or agreed to
be sold or delivered or any service provided or agreed t o be
provided may be filed with a District Forum by –
(a) the consumer to whom such goods are sold or delivered or
agreed to be sold or delivered or such service provided or
agreed to be provided;
(b) any recognised consumer association whether the consumer
to whom the goods sold or delivered or agreed to be sold or
delivered or service provided or agreed to be provided is a
member of such association or not;
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
(c) one or more consumers, where there are numerous
consumers having the same interest, with the permission of
the District Forum, on behalf of, or for the benefit of, all
consumers so interested; or
(d) the Central Government or the State Government, as the
case may be, either in its individual capacity or a s a
representative of interests of the consumers in general.
(2) Every complaint filed under sub-section (1) sha ll be
accompanied with such amount of fee and payable in such manner
as may be prescribed.
(3) On receipt of a complaint made under sub-section (1), the
District Forum may, by order, allow the complaint to be proceeded
with or rejected:
Provided that a complaint shall not be rejected under this section
unless an opportunity of being heard has been given to the
complainant:
Provided further that the admissibility of the complaint shall
ordinarily be decided within twenty-one days from the date on
which the complaint was received.
(4) Where a complaint is allowed to be proceeded with unde r
sub-section (3), the District Forum may proceed with the complaint
in the manner provided under this Act:
Provided that where a complaint has been admitted by the
District Forum, it shall not be transferred to any other c ourt or
tribunal or any authority set up by or under any other law for the
time being in force.
Explanation. - For the purpose of this section “recognised
consumer association” means any voluntary consumer association
registered under the Companies Act, 1956 or any other law for
the time being in force.
13. Procedure on admission of complaint. — ( 1) The District
Forum shall, on admission of a complaint, if it relates to any goods,
—
869
xxx xxx xxx
(6) Where the complainant is a consumer referred to in sub-clause
(iv) of clause (b) of sub-section (1) of section 2, the provisions of
rule 8 of Order I of the First Schedule to the Code of Civil
Procedure, 1908 (5 of 1908) shall apply subject to the modification
that every reference therein to a suit or decree shall be construed
as a reference to a complaint or the order of the District For um
thereon.
17. Upon a conjoint reading of the aforesaid provisions, Section
2(1)(b)(i) of the 1986 Act would be interpreted to mean “consum ers”.
Sub-section (1)(b)(i) to Section 2 of the 1986 Act stands on a distinct
and different footing than sub-section (1)(b) (iv), where there are
numerous consumers having the same interest. Sub-section (1) (c ) to
Section 12 of the 1986 Act alone has to be read with sub-section (6) of
Section 13 of the 1986 Act which contemplates the p rocedure on
admission of a complaint. The need for the application of Order I Rule 8
of the Code of Civil Procedure, 1908 (hereinafter referred to as “CPC”),
which speaks of a plaintiff representing the other public as a whole
would be required only in a case involving a complaint under Sec tion
12(1)(c) of the 1986 Act. In other words, it does not have any application
when similarly placed complainants jointly make a complaint seeking the
very same relief. In such a case, there is no question of Order I Rule 8
CPC being complied with as they do not represent the others, particularly
when there is no larger public interest involved. Such complainants seek
reliefs for themselves and nothing beyond.
18. The 2019 Act, contains pari materia provisions found in the
earlier one. Interpreting these provisions, this Co urt in Brigade
Enterprises Ltd. v. Anil Kumar Virmani (2022) 4 SCC 138 has held
as follows,
“35. A careful reading of the above provisions would
show that there is no scope for the contention that wherever
there are more consumers than one, they must only t ake
recourse to Order 1 Rule 8 CPC, even if the complaint is
not on behalf of or for the benefit of, all the cons umers
interested in the matter. There may be cases where only
“a few consumers” and not “numerous consumers” have
the same interest. There is nothing in the Act to pr ohibit
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
these few consumers from joining together and filing a joi nt
complaint. A joint complaint stands in contrast to a complaint
filed in a representative capacity. For attracting t he
provisions of Section 35(1)(c), the complaint filed by one
or more consumers should be on behalf of or for the benefit
of numerous consumers having same interest. It does no t
mean that where there are only very few consumers having
the same interest, they cannot even join together and file a
single complaint, but should take recourse only to
independent and separate complaints.
36. It is true that Section 2(5)(i) uses the expression
“a consumer”. If the vowel “a” and the word “consumer”
appearing in Section 2(5)(i) are to be understood to exclude
more than one person, it will result in a disastrou s
consequence while reading Section 2(5)(vi). Section 2(5)(vi)
states that in the case of death of a consumer, “hi s legal
heir or legal representative” will be a complainant. Unl ess
the words “legal heir” and “legal representative” a re
understood to mean “legal heirs” and “legal
representatives”, a meaningful reading of the provision may
not be there.
37. Under Section 13(2) of the General Clauses Act, 1897,
words in the singular shall include the plural and vice versa in all
Central Acts and Regulations, unless there is anything repugnant
in the subject or context. We cannot read anything repugnant in
the subject or context of Section 2(5) or 35(1)(c) or 38(11) of the
Consumer Protection Act, 2019 to hold that the word in the singular,
namely, “consumer” will not include the plural.
38. We may take for example a case where a residential
apartment is purchased by the husband and wife jointly or by a
parent and child jointly. If they have a grievance against the builder,
both of them are entitled to file a complaint jointly. Such a complaint
will not fall under Section 35(1)(c) but fall under Section 35(1)(a).
Persons filing such a complaint cannot be excluded from Section
2(5)(i) on the ground that it is not by a single consumer. It cannot
also be treated as one by persons falling under Section 2(5)( v)
attracting the application of Order 1 Rule 8 CPC read with Section
38(11).
871
39. Therefore, the proper way of interpreting Section
35(1) read with Section 2(5), would be to say that a complaint
may be filed:
(i) by a single consumer;
(ii) by a recognised consumer association;
(iii) by one or more consumers jointly, seeking the
redressal of their own grievances without
representing other consumers who may or may
not have the same interest;
(iv) by one or more consumers on behalf of or for
the benefit of numerous consumers; and
(v) the Central Government, Central Authority or
State Authority.
40. It must be remembered that the provisions of the
Consumer Protection Act are in addition to and not in derogation
of the provisions of any other law for the time being in force, by
virtue of Section 100. Even Section 38 which prescribes the
procedure to be followed by the Commission for enquiring into
the complaint, does not expressly exclude the application of the
provisions of CPC. Though sub-sections (9), (11) and (12) of
Section 38 make specific reference only to a few provisions of
the Code of Civil Procedure, the principle behind Order 1 Rule 1
enabling more than one person to join in a suit as plaintiff is not
expressly excluded.
41. Therefore, we are of the considered view that while
the National Commission was wrong in this case, in the
peculiar facts and circumstances in permitting an application
under Section 35(1)( c) read with Order 1 Rule 8 CPC, it
does not mean that the complaint filed by the respondents
itself is liable to be thrown out. The complaint filed by the
respondents may have to be treated as a joint compl aint
and not a complaint in a representative capacity on behalf
of 1134 purchasers. The purchasers of other flats, such as the
intervenors herein may join as parties to the consumer complaint,
if they so desire. As a matter of fact, it is stated by the intervenors
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
that pursuant to the impugned order [ Anil Kumar Virmani v.
Brigade Enterprises Ltd. , 2021 SCC OnLine NCDRC 417],
advertisements were issued and the intervenors have already filed
impleadment application before the National Commission. They
are entitled to be impleaded.”
(emphasis supplied)
19. Having considered the decision of this Court in Brigade
Enterprises Ltd. (supra), the members of the appellant, who had filed
affidavits, would fall under Section 12(1)(a) of th e 1986 Act, and
therefore, there is no need to go into the issue as to whet her the case
would come under Section 12(1)(b) of the 1986 Act, for the good reason
that the definition of ‘complainant’ under Section 2(b)(i) of the 1986 Act,
will include multiple consumers. In such view of the matter, the law laid
down by this Court in Brigade Enterprises Ltd. (supra) will apply on
all fours to the case on hand.
20. The National Commission in a subsequent decision in Akshay
Kumar & Ors. v. Adani Brahma Synergy Pvt. Ltd in Consumer
Complaint No. 48 of 2021 etc., dated 06.03.2023, took note of the aforesaid
decision on both counts, namely, the right of several complainants having
same and similar interest in filing a single complaint and computation of
pecuniary jurisdiction. The following paragraphs would be of relevance,
“27. As has been laid down by the Hon’ble Supreme Court in
Brigade Enterprises (supra), it can be concluded that for filing
a Complaint under section 35(1)(c) of the Act in Representative
Capacity the complaint should be filed by one or more consumers
on behalf of or for the benefit of numerous consumers having
same interest.
28. As in all the aforementioned Consumer Complaints,
there is no sameness of interest, relying upon the Princi ple
laid down by the Hon’ble Supreme Court in Brigade
Enterprises (supra), permission to file the Complaint in the
representative capacity under section 35(1)(c) of t he Act,
cannot be granted. Therefore, the Applications seek ing
permission to file the Complaint in the representat ive
capacity under section 35(1)(c) of the Act, are rej ected.
However, all the original Complainants in the respe ctive
873
Complaint Cases can be permitted to file the Joint
Complaints. Accordingly, the present Consumer Complaint
Cases are ordered to be treated as Joint Complaints filed
only on behalf of the Complainants, who have originally filed
the respective Complaints.
29. Now, the question arises, whether each of the Complainants
have to pay the consideration of more than
2 Crore or not, so
that this Commission can entertain their Complaints.
30. As held by the Hon’ble Supreme Court in Brigade
Enterprises (supra) (in para 35, 36 & 37), that there is
nothing in the Act, which prohibits the few Complainants
from joining together and filing Joint Complaint. The word
complaint includes plural i.e., complaints also. Thus, a Joi nt
Complaint is maintainable and it will be treated as one-
complaint.”
(emphasis supplied)
21. In holding so, the National Commission took note of its earlier
decision in Ambrish Kumar Shukla v. Ferrous Infrastructure Pvt.
Ltd. in Consumer Complaint No. 97 of 2016 dated 07.10.2016, which is
reproduced hereunder,
“31. xxx xxx xxx
(ii) Whether a complaint under Section 12(1)(c) of the
Consumer Protection Act is maintainable, before thi s
Commission, where the value of the goods or service s
and compensation, if any, claimed in respect of none of
the allottees / purchasers exceeds Rupees one crore.
(iii) Whether a complaint under Section 12(1)(c) of the
Consumer Protection Act is maintainable before this
Commission, where the value of the goods or service s
and the compensation claimed in respect of an individual
allottee exceeds Rupees one crore in the case of one or
more allottees but does not exceed Rupees one crore
in respect of other allottees;
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
(iv) Whether a complaint under Section 12(1)(c) of the
Consumer Protection Act is maintainable, in a case of
allotment of several flats in a project / building, where
the allotments / bookings / purchases are made on
different dates and or the agreed cost of the flat and / or
the area of the flat is not identical in all the bookings /
allotments / purchases.”
32. In Para 12 of the Order, the larger Bench had held as under:-
“12. Issue No. (ii) and (iii)
Section 21 of the Consumer Protection Act, to the extent it is
relevant provides that this Commission shall have jurisdiction to
entertain complaints where the value of the goods or services and
compensation, if any, claimed exceeds
1.00 crore. Therefore,
what has to be seen, for the purpose of determining the pecuniary
jurisdiction, is the value of the goods or services and the amount
of the compensation claimed in the complaint. If the aggregate of
(i) the value of the goods or services and (ii) the compens ation
claimed in the complaint exceeds
1.00 crore, this Commission
would have pecuniary jurisdiction to entertain the complai nt.
Similarly, if the aggregate of the value of (i) the goods or services
and (ii) compensation, if any, claimed in the complaint exceeds
20.00 lacs but does not exceed
1.00 Crore, the State Commission
would have the pecuniary jurisdiction to entertain the complaint.
Since a complaint under Section 12(1)(c) of the Consumer
Protection Act can be filed only where there are numerous
consumers having the same interest and it has to be filed
on behalf of or for the benefit of all the consumer s so
interested i.e. all of the numerous consumers having the
same interest, it is the aggregate of the value of the goods
purchased or services hired or availed of, by all t hose
numerous consumers and the total compensation, if any,
claimed for all those numerous consumers, which would
determine the pecuniary jurisdiction of this Commission.
If the aggregate of the value of the goods purchased or the
services hired or availed of by all the consumers having
the same interest and the total compensation, if any, claimed
for all of them comes to more than
1.00 crore, the
875
pecuniary jurisdiction would rest with this Commiss ion
alone. The value of the goods purchased or the services
hired or availed of and the quantum of compensation, if any,
claimed in respect of the one individual consumer therefore,
would be absolutely irrelevant for the purpose of
determining the pecuniary jurisdiction in such a complaint.
In fact, this issue is no more res Integra in view of the decision of
a Four-Members Bench of this Commission in Public Health
Engineering Department Vs. Upbhokta Sanrakshan Sami ti I
(1992) CPJ 182 (NC) . In the above referred case, a complaint
was preferred, seeking to recover compensation for a lleged
negligence on the part of the petitioner which had resulted in a
large number of persons getting infected by Jaundice. The names
of 46 such persons were mentioned in the complaint but it was
alleged that there were thousands of other sufferers who were
similarly placed and that complaint was filed on behalf of all of
them. The complainant had sought compensation of
20,000/-
for every student victim,
10,000/- for every general victim
and
1,00,000/- for the legal representatives of those who
had died due to Jaundice. The District Forum held that it had no
pecuniary jurisdiction to adjudicate upon the complaint. The State
Commission took the view that the District Forum has to g o by
the value as specified for each consumer. Rejecting the view taken
by the State Commission, this Commission inter- alia held as under:
“5. In our opinion this proposition is clearly wrong since under
the terms of Section 11 of the Act the pecuniary jurisdiction of
the District Forum would depend upon the quantum of
compensation claimed in the petition. The view expressed by
the State Commission is not based on a correct understanding
or interpretation of Section 11. On the plain words used in
Section 11 of the Act, the aggregate quantum of compensation
claimed in the petition will determine the question of jurisdiction
and when the complaint is filed in a representative capacity on
behalf of several persons, as in the present case, the total
amount of compensation claimed by the representative body
on behalf of all the persons whom it represents will govern the
valuation of the complaint petition for purposes of jurisdiction”.
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
6. The quantum of compensation claimed in the petition being
far in excess of
1.00 lac the District Forum was perfectly
right in holding that it had no jurisdiction to adjudicate upon the
complaint. The reversal of the said order by the St ate
Commission was contrary to law”.
Therefore, irrespective of the value of the goods purchas ed
or the service hired and availed of by an individua l
purchaser / allottee and the compensation claimed i n
respect of an individual purchaser / allottee, this
Commission would have the pecuniary jurisdiction to
entertain the complaint if the aggregate of the value of the
goods purchased or the services hired or availed of by the
numerous consumers on whose behalf or for whose benefit
the complaint is filed and the total compensation claimed
for all of them exceeds
1.00 crore.
Issue No. (iv)
13. As noted earlier, what is required for the applicability of Section
12(1)(c) of the Consumer Protection Act read with Order I Rule
8 of the Code of Civil Procedure is the sameness of the interes t
i.e. a common grievance of numerous persons which is sought to
get redressed through a representative action. Therefore, so long
as the grievance of the consumers is common and identical relief
is claimed for all of them, the cost, size, area of the flat / plot and
the date of booking / allotment / purchase, would be wholly
immaterial. For instance, if a builder / developer has sold 100 flats
in a project out of which 25 are three-bed room flats, 25 are two-
bed room flats and 50 are one-bed room flats and he has failed to
deliver timely possession of those flats, all the allottees irrespective
of size of their respective flats / plots, the date of their respective
purchase and the cost agreed to be paid by them have a common
grievance i.e. the failure of the builder/ developer to deliver
possession of the flat / plot sold to them and a complaint filed for
the benefit of or on behalf of all such consumers and clai ming
same relief for all of them, would be maintainable under Section
12(1)(c) of the Consumer Protection Act. The relief claimed will
be the same / identical if for instance, in a case of fail ure of the
builder to deliver timely possession, refund, or possession or in the
877
alternative refund with or without compensation is claimed for all
of them. Different reliefs for one or more of the consumers on
whose behalf or for whose benefit the complaint is filed cannot
be claimed in such a complaint.”
(emphasis supplied)
22. The following is the ultimate conclusion arrived at,
“34. It may be mentioned here that the Judgment passed by
the Three-Member Bench of this Commission in the cas e of
Ambrish Kumar Shukla (supra), has been affirmed by a Five-
Member Bench of this Commission vide Order dated 26.10.2021
passed in “ CC No. 1703 of 2018, Renu Singh v. Experion
Developers Private Limited ” and other connected matters”
wherein it has been held that the Full Bench of this Commission in
Ambrish Kumar Shukla & 21 Ors. v. Ferrous Infrastructure
Pvt. Ltd. I 2017 CPJ 1 (NC), lays down the law correctly on
the issue relating to pecuniary jurisdiction.
35. Though, under the Consumer Protection Act, 1986,
the value of goods or services and compensation cla imed
was to be taken for determining the pecuniary jurisdic tion
of the Consumer Fora but the Principle laid down by the
Larger Bench in the case of Ambrish Kumar Shukla (supra) ,
would also be applicable for determining the value of goods
and services paid as consideration in the Complaint where
the Complaint has been filed as a Joint-Complaint by mo re
than one person.
36. Admittedly, in the present cases, the value of the
consideration paid by all the persons who have join ed as
Complainants in the Joint Complaint, exceeds
2 Crores,
therefore, this Commission has pecuniary jurisdiction under Section
58(1)(a)(i) of the Act to entertain all the present Joint Complaints.
Accordingly, it is held that all the present Joint Complaints are
maintainable before this Commission.”
(emphasis supplied)
23. In light of the aforesaid exposition of law, which the National
Commission itself took note of in its subsequent decision, the present
ALPHA G184 OWNERS ASSOCIATION v. MAGNUM INTERNATIONAL
TRADING COMPANY PVT. LTD. [M. M. SUNDRESH, J.]
appeals deserve to be allowed. Complaints have already been registered,
and in any case, the issue pertaining to registration and the byelaws has
got no relevancy, particularly in light of the submissio n made by the
learned counsel for the appellant that affidavits have b een filed by
individual allottees. A pedantic and hyper-technical approach would cause
damage to the very concept of consumerism. We further note that even
after five years the appellant is unable to proceed, and t he cases have
not progressed.
24. In such view of the matter, the impugned orders are set aside,
and the appeals are allowed. Pending applications, if any, are disposed
of. The National Commission shall proceed to hear the matters on merits,
expeditiously. No order as to costs.
Nidhi Jain Appeals allowed.
(Assisted by : Arjun Narang and Tamana, LCRAs)