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Showing posts with the label Consumer Rights

Madras High Court Directs Air India to Pay ₹35,000 Compensation for Serving Contaminated Meal

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The Madras High Court has directed Air India Limited to compensate a passenger with ₹35,000 after he suffered vomiting sensations and stomach pain from consuming a meal that contained a strand of hair . The ruling reinforces the principle that airlines are liable for negligence in services provided to passengers, even when outsourced to third-party caterers. Background of the Case The case arose when a passenger onboard an Air India flight consumed food supplied by the airline, only to find a hair follicle in the meal. The passenger experienced immediate nausea, vomiting, and stomach pain, and subsequently lodged a complaint upon landing. The trial court had earlier directed Air India to pay ₹1 lakh in damages for negligence. Air India appealed against this decision, arguing that the food was prepared by an external caterer — Ambassador Pallava Hotel — and that the airline itself could not be held directly responsible. Court’s Observations and Findings Justice P. B. Ba...

Delhi High Court Questions Legality of Service Charges in Restaurants

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The Delhi High Court has raised significant questions over the legality of restaurants charging customers beyond the Maximum Retail Price (MRP) of goods under the guise of ambience costs and service charges. The observations came during hearings on appeals filed by the National Restaurant Association of India (NRAI) and the Federation of Hotel and Restaurant Associations of India (FHRAI) challenging earlier court orders restricting automatic service charges. Court Observations: Charging Beyond MRP Under Scrutiny A division bench of Chief Justice D.K. Upadhyay and Justice Tushar Rao Gedela expressed strong reservations about the practice of levying extra charges on goods, citing the Legal Metrology Act , which prohibits selling items above their declared MRP. To drive the point home, the bench presented a striking illustration: A ₹20 MRP water bottle billed at ₹100 in a restaurant, broken down as ₹80 for ambience and ₹10 as service charge. The Court questioned the leg...

CCPA Directs Ola to Provide Consumer Choice for Refunds and Ensures Billing Transparency

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CCPA Directs Ola to Provide Consumer Choice for Refunds and Ensures Billing Transparency The Central Consumer Protection Authority (CCPA)  has issued a directive to Ola , the ride-hailing giant, to revamp its refund policy and ensure transparency in its billing for auto rides. This regulatory action is aimed at protecting consumer rights and enhancing service transparency. Consumer-Friendly Refund Mechanism   Under the CCPA’s directive , Ola is now required to offer customers the option to select their preferred refund method. Previously, refunds were provided solely in the form of coupons for future rides, which the CCPA found to be a potential infringement on consumer rights. The new system allows consumers to choose between refunds to their bank accounts  or coupon codes , empowering them with more control over their refunds. CCPA's Intervention on Refund Policy   This intervention by the CCPA, led by Chief Commissioner Nidhi Khare , followed complaints ...