M/S DADDY’S BUILDERS PVT. LTD. & ANOTHERversusMANISHA BHARGAVA AND ANOTHER
- Citation
- 2021 INSC 81
- Decided
- 11 February 2021
- Bench
- D Y CHANDRACHUD
Holding
Consumer fora have no jurisdiction to accept a written statement beyond the statutory 45‑day period under Section 13 of the Consumer Protection Act, 1986, and the Constitution Bench decision in New India Assurance v. Hilli applies to all cases, rendering any such condonation impermissible.
Summary
The petitioners, M/s Daddy’s Builders Pvt. Ltd., sought condonation of delay in filing a written statement beyond the 45‑day limit prescribed under Section 13 of the Consumer Protection Act, 1986. Both the Karnataka State Consumer Disputes Redressal Commission and the National Consumer Disputes Redressal Commission rejected the application, prompting a Special Leave Petition. The central issue was whether consumer fora can extend the filing period beyond 45 days and whether the Constitution Bench decision in New India Assurance Co. Ltd. v. Hilli (2020) applies prospectively or retrospectively. The Supreme Court held that, following the earlier decision in J.J. Merchant and reaffirmed by the Constitution Bench, consumer fora have no jurisdiction to accept a written statement after the statutory period, and the 2020 judgment applies to all cases. Consequently, the petition for condonation was dismissed and the Special Leave Petition was rejected.
Issues considered
- Whether Section 13 of the Consumer Protection Act, 1986 empowers consumer fora to extend the time for filing a written statement beyond 45 days.
- Whether the Constitution Bench decision in New India Assurance Co. Ltd. v. Hilli (2020) is applicable prospectively only, thereby excluding cases pending before it.
- Whether the State Commission could condone delay in filing the written statement based on the Reliance General Insurance Co. Ltd. v. Mampee Timbers decision.
Legislation cited
Subjects
Judgment
548 [2021]
SUPREME COURT 1 S.C.R. 548
REPORTS [2021] 1 S.C.R.
A M/S DADDY’S BUILDERS PVT. LTD. & ANOTHER
v.
MANISHA BHARGAVA AND ANOTHER
(Petition For Special Leave To Appeal (Civil) No. 1240 of 2021)
FEBRUARY 11, 2021
B
[DR. DHANANJAYA Y. CHANDRACHUD AND
M.R. SHAH, JJ.]
Consumer Protection Act, 1986: s.13 – Power of Consumer
Fora to extend the time to file the response to complaint beyond the
period of 15 days in addition to 30 days as envisaged under s.13 –
C
Held: Consumer Fora has no jurisdiction and/or power to accept
the written statement beyond the period of 45 days.
New India Assurance Company Limited v. Hilli
Multipurpose Cold Storage Private Limited (2020) 5
SCC 757 – followed.
D J.J. Merchant v. Shrinath Chaturvedi (2002) 6 SCC
635 : [2002] 1 Suppl. SCR 469 – relied on.
New India Assurance Company Limited v. Hilli
Multipurpose Cold Storage Private Limited (2015) 16
SCC 20; Reliance General Insurance Co. Ltd. v. M/s
E Mampee Timbers & Hardwares Pvt. Ltd. 2021 (2)
SCALE 451 – referred to.
Case Law Reference
2021 (2) SCALE 451 referred to para 3
[2002] 1 Suppl. SCR 469 relied on para 5
F
(2015) 16 SCC 20 referred to para 5
(2020) 5 SCC 757 followed paras 5
EXTRA-ORDINARY APPELLATE JURISDICTION : Special
Leave Petition (Civil) No. 1240 of 2021.
G From the Judgment and Order dated 04.09.2020 of National
Consumer Disputes Redressal Commission at New Delhi in First Appeal
No. 1999 of 2018
Ashish Choudhary, Shivam Bajaj, Rohit Amit Sthalekar, Advs. for
the appearing parties.
H
548
M/S DADDY’S BUILDERS PVT. LTD. v. MANISHA 549
BHARGAVA AND ANOTHER
The Order of the Court was passed by A
M. R. SHAH, J.
1. Feeling aggrieved and dissatisfied with the impugned order dated
04.09.2020 passed by the National Consumer Disputes Redressal
Commission, New Delhi (hereinafter referred to as the ‘National
Commission’) in First Appeal No. 1999/2018, by which the National B
Commission has dismissed the said appeal confirming the order passed
by the Karnataka State Consumer Disputes Redressal Commission
(hereinafter referred to as the ‘State Commission’) dated 26.09.2018
rejecting the application filed by the petitioners herein seeking condonation
of delay in filing the written version/written statement to the consumer
complaint, original respondent nos. 1 & 2-petitioners herein have preferred C
the present special leave petition.
2. By order dated 26.09.2018, the State Commission rejected the
application filed by the petitioners herein seeking condonation of delay in
filing the written statement/written version to the consumer complaint.
It is not in dispute that the written version/written statement was filed D
beyond the prescribed period of limitation provided under the Consumer
Protection Act, 1986 (hereinafter referred to as the ‘Act’), i.e., beyond
the period of 45 days. It is not in dispute that as per the provisions of the
Act, the written version/written statement is required to be filed within
30 days and the same can be extended by a further period of 15 days. E
The order passed by the State Commission came to be confirmed by the
National Commission. Hence, the present special leave petition.
3. Shri Ashish Choudhary, learned Advocate appearing on behalf
of the petitioners has vehemently submitted that it is true that as per the
decision of the Constitution Bench of this Court in the case of New
India Assurance company Limited v. Hilli Multipurpose Cold Storage F
Private Limited, reported in (2020) 5 SCC 757, the District Forum
has no power to extend the time to file the response to the complaint
beyond the period of 15 days in addition to 30 days as is envisaged under
Section 13 of the Act. It is submitted that however as observed in
paragraph 63, the said judgment shall be applicable prospectively only. G
Therefore, it is the case on behalf of the petitioners that the aforesaid
decision shall not be applicable retrospectively, and more particularly to
the complaints filed before the said decision. It is submitted that in the
present case the application for condition of delay came up for
consideration before the State Commission on 26.09.2018 and on that
date there was a judgment of this Court in the case of Reliance General H
550 SUPREME COURT REPORTS [2021] 1 S.C.R.
A Insurance Co. Ltd. v. M/s Mampee Timbers & Hardwares Pvt. Ltd.
(Diary No. 2365 of 2017 decided on 10.02.2017) directing the
consumer fora to accept the written statement beyond the stipulated
time of 45 days in an appropriate case, on suitable terms, including the
payment of costs and to proceed with the matter, keeping in view the
fact that the judgment of this Court in the case of New India Assurance
B
Company Limited v. Hilli Multipurpose Cold Storage Private Limited,
reported in (2015) 16 SCC 20 has been referred to a larger Bench.
Therefore, it is the case on behalf of the petitioners that the State
Commission ought to have condoned the delay in filing the written
statement/written version to the consumer complaint.
C 4. Having heard learned counsel appearing on behalf of the
petitioners and so far as the question whether the date on which the
State Commission passed the order, then on that date, whether the State
Commission has the power to condone the delay beyond 45 days for
filing the written statement under Section 13 of the Act is concerned, as
D such, the said issue whether the State Commission has the power to
condone the delay beyond 45 days is now not res integra in view of the
Constitution Bench decision of this Court in the case of New India
Assurance Company Limited v. Hilli Multipurpose Cold Storage Pvt.
Ltd. reported in (2020) 5 SCC 757. However, it is submitted by the
learned counsel appearing on behalf of the petitioners that as in paragraph
E 63 it is observed that the said judgment shall be applicable prospectively
and therefore the said decision shall not be applicable to the complaint
which was filed prior to the said judgment and/or the said decision shall
not be applicable to the application for condonation of delay filed before
the said decision.
F However, the aforesaid cannot be accepted. It is required to be
noted that as per the decision of this Court in the case of J.J. Merchant
v. Shrinath Chaturvedi, reported in (2002) 6 SCC 635, which was a
three Judge Bench decision, consumer fora has no power to extend the
time for filing a reply/written statement beyond the period prescribed
under the Act. However, thereafter, despite the above three Judge Bench
G decision, a contrary view was taken by a two Judge Bench and therefore
the matter was referred to the five Judge Bench and the Constitution
Bench has reiterated the view taken in the case of J.J.Merchant (supra)
and has again reiterated that the consumer fora has no power and/or
jurisdiction to accept the written statement beyond the statutory period
H prescribed under the Act, i.e., 45 days in all. However, it was found that
M/S DADDY’S BUILDERS PVT. LTD. v. MANISHA 551
BHARGAVA AND ANOTHER [M.R. SHAH, J.]
in view of the order passed by this Court in Reliance General Insurance A
Co. Ltd. (supra) dated 10.02.2017, pending the decision of the larger
Bench, in some of the cases, the State Commission might have condoned
the delay in filing the written statement filed beyond the stipulated time
of 45 days and all those orders condoning the delay and accepting the
written statements shall not be affected, this Court observed in paragraph
B
63 that the decision of the Constitution Bench shall be applicable
prospectively. We say so because one of us was a party to the said
decision of the Constitution Bench.
5. Now so far as the reliance placed upon the order passed by
this Court dated 10.02.2017 in the case of Reliance General Insurance
Co. Ltd. (supra) is concerned, the same has been dealt with in detail by C
the National Commission by the impugned order while deciding the first
appeal. As rightly observed by the National Commission, there was no
mandate that in all the cases where the written statement was submitted
beyond the stipulated period of 45 days, the delay must be condoned and
the written statement must be taken on record. In order dated 10.02.2017, D
it is specifically mentioned that it will be open to the concerned fora to
accept the written statement filed beyond the stipulated period of 45
days in an appropriate case, on suitable terms, including the payment of
costs and to proceed with the matter. Therefore, ultimately, it was left to
the concerned fora to accept the written statement beyond the stipulated
period of 45 days in an appropriate case. As observed by the National E
Commission that despite sufficient time granted the written statement
was not filed within the prescribed period of limitation. Therefore, the
National Commission has considered the aspect of condonation of delay
on merits also. In any case, in view of the earlier decision of this Court
in the case of J.J. Merchant (supra) and the subsequent authoritative F
decision of the Constitution Bench of this Court in the case of New
India Assurance Company Limited v. Hilli Multipurpose Cold Storage
Pvt. Ltd. (2020) 5 SCC 757, consumer fora has no jurisdiction and/or
power to accept the written statement beyond the period of 45 days, we
see no reason to interfere with the impugned order passed by the learned
National Commission. G
6. In view of the above and for the reasons stated hereinabove,
the present special leave petition deserves to be dismissed and is
accordingly dismissed.
Devika Gujral SLP dismissed. H
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