Regarding
Fining Class action case before Consumer Commissions
Class
Action debate started with Amrapali
Sapphire Developers v/s Amrapali Sapphire Flat Buyers Welfare Association
amrapali builders case in 2018 when 43 consumers filed consumer complaints
together before the National Commission Flat Buyers Welfare Association, filed
the complaint against the builder in May 2016, for delay in handing over
possession of their flats.and it was contested by Builders raising following
points
1.
Number of consumer cannot file cases together
2.
The pecuniary jurisdiction of Commission should be considered on the basis of amount
involved in each case separately
3.
RWA cannot be a complainant on behalf of residents
The Supreme Court (SC) announced on that flat
owners can now join hands and directly approach the National Consumer Disputes Redressal
Commission (NCDRC) against real estate developers for
delay in handing over possession of their flats,
Highlights
of Amrapali Builder Case
1.
Flat buyers can come together to file complain against developers with NCDRC
2.
The 43 buyers had complained against Amrapali Sapphire Developers to the
Supreme Court for delay in handing over possession of their flats
3.
As per the Consumer Protection Act, a plea can be filed in NCDRC directly only
if the cost involved is more than Rs 1 crore
This
order was in 2019 when new act had not come into force
Thereafter
‘Class Action’ theory was developed was in Consumer Protection Act 2019
Law
Defined in new Act ;Who can be Consumer
Section 2 (5)
"complainant" means—(7 type of persons )
(i)
a consumer; or
(ii)
any voluntary consumer association registered under any law for the
time
being in force; or
(iii)
the Central Government or any State Government; or
(iv)
the Central Authority; or
(v)
one or more consumers, where there are numerous consumers having
the
same interest;
(Explaination
-when these come on behalf of more than one consumer for the same cause,against
the same person or authority or unit or establishment ,for the similar
relief )
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