Consumer Protection Act Section 58 — Jurisdiction of National Commission

CHAPTER IV CONSUMER DISPUTER REDRESSAL COMMISSION

Civil

Summary

Sub-section (1) sets out the types of matters the National Commission can handle. Under clause (a), it can entertain complaints where the value of goods or services paid as consideration is more than ten crore rupees, though the Central Government may prescribe a different value if it thinks necessary. It can also entertain complaints against unfair contracts where the value of goods or services paid as consideration exceeds ten crore rupees, as well as appeals against orders of any State Commission and appeals against orders of the Central Authority. Under clause (b), the National Commission can call for records and pass appropriate orders in any consumer dispute pending before or decided by a State Commission, if it appears that the State Commission exercised jurisdiction it did not have, failed to exercise jurisdiction it did have, or acted illegally or with material irregularity.

Sub-section (2) states that the National Commission's jurisdiction, powers, and authority may be exercised by Benches, and a Bench may be constituted by the President with one or more members as he deems fit. The senior-most member of the Bench is to preside over it.

Sub-section (3) deals with differences of opinion among Bench members. If members differ on any point, the point is decided by majority opinion. If members are equally divided, they must state the points on which they differ and refer the matter to the President, who will either hear the point himself or refer it to one or more other members. The point is then decided by majority opinion of all members who heard the case, including those who first heard it. The President or the other member must give their opinion on the referred points within two months from the date of reference.

Official Text

(1) Subject to the other provisions of this Act, the National Commission shall have jurisdiction—

(a) to entertain—

(i) complaints where the value of the goods or services paid as consideration exceeds rupees ten crore:

Provided that where the Central Government deems it necessary so to do, it may prescribe such other value, as it deems fit;

(ii) complaints against unfair contracts, where the value of goods or services paid as consideration exceeds ten crore rupees;

(iii) appeals against the orders of any State Commission;

(iv) appeals against the orders of the Central Authority; and

(b) to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any State Commission where it appears to the National Commission that such State Commission has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested, or has acted in the exercise of its jurisdiction illegally or with material irregularity.

(2) The jurisdiction, powers and authority of the National Commission may be exercised by Benches thereof and a Bench may be constituted by the President with one or more members as he may deem fit:

Provided that the senior-most member of the Bench shall preside over the Bench.

(3) Where the members of a Bench differ in opinion on any point, the points shall be decided according to the opinion of the majority, if there is a majority, but if the members are equally divided, they shall state the point or points on which they differ, and make a reference to the President who shall either hear the point or points himself or refer the case for hearing on such point or points by one or more of the other members and such point or points shall be decided according to the opinion of the majority of the members who have heard the case, including those who first heard it:

Provided that the President or the other member, as the case may be, shall give opinion on the point or points so referred within a period of two months from the date of such reference.