Tamil Nadu

South Chennai

CC/115/2013

Chithra Ramachandran, - Complainant(s)

Versus

Chennai Corporate Club, - Opp.Party(s)

V.Balaji

24 Jan 2020

ORDER

                                                                             Date of filing      : 23.04.2013

                                                                               Date of disposal : 24.01.2020

                                                                                  

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHENNAI (SOUTH)

@ 2^ND Floor, T.N.P.S.C. Road, V.O.C. Nagar, Park Town, Chennai – 3.

 

PRESENT: THIRU. M. MONY, B.Sc., L.L.B, M.L.                    : PRESIDENT

TR. R. BASKARKUMARAVEL, B.Sc., L.L.M., BPT., PGDCLP.  : MEMBER

 

C.C. No.115/2013

DATED THIS FRIDAY THE 24^TH DAY OF JANUARY 2020

                                 

Mrs. Chitra Ramachandran,

W/o. Mr. Ramachandran,

Plot No.199, Door No.58, “Ashok Parijath”,

Dr. Ramasamy Salai,

K.K. Nagar West,

Chennai – 600 078.                                                        .. Complainant. 

                                                                                                ..Versus..

 

1. M/s. Chennai Corporate Club,

Rep. by its Authorised Signatory,

No.3, 5^th Floor, City Centre Plaza,

Opp. to Anna Statue, Anna Salai,

Chennai – 600 002.

 

2. M/s. Chennai Corporate Club,

Customer Service Department,

Rep. by its Customer Relation Officer,

Ramaniyam Arcade,

E-28, Second Avenue, 3^rd Floor,

Besant Nagar,

Chennai – 600 090.                                                ..  Opposite parties.

 

Counsel for the complainant     : M/s. V. Balaji & another

Counsel for the opposite party : M/s. A. Ilangovan & others

 

ORDER

THIRU. M. MONY, PRESIDENT

       This complaint has been filed by the complainant against the opposite parties 1 & 2 under section 12 of the Consumer Protection Act, 1986 prays to pay a  sum of Rs.55,000/- towards the refund of the membership fee, to pay a sum of Rs.55,000/- with interest at the rate of 9% p.a. form 11.01.2006 towards the value of the NSC Certificates and to pay a sum of Rs.50,000/- towards compensation for mental agony to the complainant.

1.    The averments of the complaint in brief are as follows:-

The complainant submits that she was approached by the 1^st opposite party’s officials and assured that their club is the only club in the Chennai city offers ‘Multiple Club Advantage’ to its members on a single membership.  The club is having fully developed resort at Padappai which is at 20 minutes drive from Chennai Airport for retreat on weekends and one of the world’s most famous tourist spot - Mahabalipuram is also very close to the club.  The complainant submits that the opposite party assured that the membership provision is for the member’s spouse and children and member’s guest and their business associates also permitted at nominal charges for get together and weekend leisure.  Further the complainant submits that the members will be invited to participate in all the events and get together which will be arranged from time to time by the club and also, to avail health, sports and such other facilities provided by the club.  The complainant believed the assurances given by the opposite party and paid a sum of Rs.55,000/- on 11.01.2006 towards the Life Membership.   The opposite party assured to provide the Membership card and National Savings Certificate equivalent to the membership amount issued to the complainant within one week after payment.  The opposite parties has not issued National Savings Certificate even after repeated requests and demands.   Now, almost 5 years elapsed but they have not handed over the NSC to the complainant.  The complainant states that they never invited the complainant for any get together and also no health programs conducted.   On one occasion, when the complainant was returning with her family, due to breakdown of vehicle she opted to stay in the opposite parties’ resort and when she entered into the resort and found that the entire resort was occupied by men and everyone was having drinks and it looked like bar and looked shabby and not a place for staying with family.   Hence, she decided to cancel the membership from the opposite parties.  Accordingly, she cancelled the membership and sought refund of the membership fee.  The complainant states that failure to handover NSC certificates amounts to deficiency in service.  The act of the opposite party amounts to deficiency in service and unfair trade practice which caused great mental agony.  Hence, the complaint is filed.

2.      The brief averments in the written version filed by opposite parties 1 & 2 is as follows:

The opposite parties 1 & 2 specifically denies each and every allegation made in the complaint and put the complainant to strict proof of the same.    The opposite parties 1 & 2 state that the complainant is not a ‘Consumer’ as per the Consumer Protection Act, 1986.  The opposite parties 1 & 2 state that the complainant herself read, understand and acknowledged the Member’s Declaration-Cum-Agreement and sent the same on 11.01.2006 and became a Member of the opposite party Club.   The opposite parties state that as per clause 8 of the Membership Declaration, the complainant herself is aware that the NSC Bond will be issued for a value equivalent to the membership fees on maturity which will be payable after 24 years subject to the complainant’s renewal of her membership once in 6 years as a Member of Chennai Corporate Club Holidays.  The opposite parties state that the complainant inspite of being informed to come in person to sign in the necessary applications and forms for enabling the opposite parties to apply for and deliver the NSC Bond as per the assurance, the complainant did not come and sign which has caused the delay in delivering the NSC Bond.  The events that are organized by the opposite parties are published in the Club Notice Board and the interested members are invited to participate.  

3.     The opposite parties further state that the complainant cannot unilaterally cancel her membership issued by the opposite parties and the complainant is aware of the same.   The opposite parties state that the alleged cancellation was not intimated at any time to the opposite party club.  Under Clause D (3) of the Rules and Regulations, it is specifically provided that the membership cannot be withdrawn or surrendered at any time.  The complainant has duly acknowledged having read and understood the same by signing on a copy of the same on 11.01.2006 at the time of becoming a member.   The opposite parties state that the Membership Fees is not refundable.   The opposite parties state that the alleged statements made with regard to the unpleasant ambience in the opposite party without any specific date etc are false and made for the purpose of the complaint.  There is a specific Prohibition in Clause 17 of the “Member’s Declaration which provides, that the Agreement in Binding, Final, Non-Rescindable and Non-Cancellable”.   The opposite parties state that the complainant herself though claiming to be a very literate person has gone to the extent of making a deliberate self-contradictory statement to unassailable documentary evidence.   Therefore, there is no deficiency in service on the part of the opposite parties and hence, the complaint is liable to be dismissed.

4.     To prove the averments in the complaint, the complainant has filed proof affidavit as his evidence and documents Ex.A1 to Ex.A3 are marked.  Proof affidavit of the opposite parties 1 & 2 is filed and no document is marked on the side of the opposite parties 1 & 2.

5.      The points for consideration is:-

1. Whether the complainant is entitled to get refund of a sum of Rs.55,000/- paid towards membership fee as prayed for?
2. Whether the complainant is entitled to a sum of Rs.55,000/- with interest at the rate of 9% p.a. from 11.01.2006 towards the value of NSC Certificates with a compensation of Rs.50,000/- for mental agony with cost as prayed for?

 

6.      On point:-

Both parties filed their respective written arguments.  Heard their Counsels also.  Perused the records namely; the complaint, written version, proof affidavits and documents.  The complainant pleaded and contended that she was approached by the 1^st opposite party’s officials and assured that their club is the only club in the Chennai city offers multiple club advantage to its members on a single membership.  The club is having fully developed resort at Padappai which is at 20 minutes drive from Chennai Airport for retreat on weekends and one of the world’s most famous tourist spot - Mahabalipuram is also very close to the club.   Further the contention of the complainant is that the opposite party assured that the membership provision is for the member’s spouse and children and member’s guest and their business associates also permitted to avail the facilities at nominal charges for family get together and weekend leisure.  Further, the complainant pleaded and contended that the members can be invited to participate in all the events and get together will be arranged from time to time by the club and also to avail health, sports and such other facilities provided by the club.  The complainant believed the assurances given by the opposite party and paid a sum of Rs.55,000/- on 11.01.2006 towards the Life Membership.   The opposite party assured to provide the Membership card and National Savings Certificate equivalent to the membership amount issued to the complainant within one week after payment as per Ex.A2.  But the opposite parties issued membership card after few days as per Ex.A1.  The opposite parties has not issued National Savings Certificate even after repeated requests and demands. 

7.     As per the Rules & Regulations / Terms & Conditions of the Membership under Expulsion of a Member in clause 8 which is marked as Ex.A3 (S) which reads as follows:-

EXPULSION OF A MEMBER

i. (8) If a member fails to pay the annual subscription fees he /she would be expelled.

(8) The Company may act on its own or on the complaint of any person.  After giving the delinquent an opportunity and after holding an enquiry the Company may exonerate a member, suspend him or levy fine or expel him from the membership. The decision of board of Director shall be final and binding on the members as well as the Company”.

proves the deficiency in service.   Further the contention of the  complainant is that in one occasion, when the complainant was returning with her family the vehicle was suddenly got break down and the complainant opted to stay in the opposite parties’ resort.  While, the complainant and her family entered into the resort which was fully occupied by men with drinks which seems to be shabby and if is not at all a place for staying with family.   Hence, the complainant decided to cancel the Membership.  The opposite parties has not come forward to cancel the Membership and refund the Membership fee.   Hence, the complainant approached the Mediation Centre for redressal wherein also, Mediation failed.   Hence, the complainant was constrained to file this case.  

8.     The contention of the opposite parties 1 & 2 is that the complainant is not a ‘Consumer’ as per the Consumer Protection Act, 1986.   But it is very clear from the fact of the case that there are deficiency in service on the part of the opposite parties.  Hence, the complainant has every right to file the consumer complaint for due redressal.  Further the contention of the opposite parties 1 & 2 is that the complainant herself read, understand and acknowledged the Membership Declaration-Cum-Agreement and sent the same on 11.01.2006 and became a Member of the opposite party Club.   But the opposite parties has not produced any document.   It is also admitted that as per clause 8 of the Membership Declaration, the complainant herself is aware that the NSC Bond will be issued for a value equivalent to the membership fees on maturity which will be payable after 24 years subject to the complainant’s renewal once in 6 years as a Member of Chennai Corporate Club Holidays.   But it is very clear from Ex.A2 that such NSC bond issuance of Membership card.   In this case, the opposite parties has not issued any NSC Bond proves the deficiency in service.  Further the contention of the opposite parties is that the complainant has never opted for any amenities and service provided by the opposite parties.    But the complainant pleaded specifically that when her vehicle had sudden brake down her family attempted to utilize the service of the opposite parties in the resort which seems to be shabby.

9.     The learned Counsel cited the decisions reported in:-

KERALA STATE CONSUMER DISPUTES REDRESSAL COMMISSION SISUVIHARLANE, VAZHETHACADU, THIRUVANANTHAPURAM

Appeal No.856/2015

Between

M/s. Mahindra Holidays and Resorts India Ltd. & anr.

-Versus-

Dr. Louie Fischer, M.O.S.C. Medical College Hospital, Kolencherry & anr.

Held that

          “There is no dispute to the fact that the complainant paid an amount of Rs.1,63,320/- to the opposite parties.   It is an admitted fact that the complainant did not utilize any of the facilities of the club of the opposite parties.   The denial of opposite parties to refund the amount paid by the complainant on flimsy ground is unfair.  Considering the facts and circumstances of the case, as found by the district forum, it can be considered that the opposite parties have, by withholding the amount to the complainant, inspite of the fact that he allowed cancellation of the membership, even without obtaining any service from the opposite parties would amounts to unfair trade practice and deficiency in service.   The opposite parties /appellants have not right to hold the amount paid by the complainant and the complainant is entitled to get back the amount from the opposite parties”.

10.    Further the contention of the opposite party is that the Membership fees is not refundable.   The alleged cancellation of Membership by the complainant is unilateral; is not acceptable.   In Ex.A2 under clause D(3) of the Rules & Regulations / Terms & Conditions of the Membership which reads as follows:-

DURATION OF MEMBERSHIP

D. (3) A membership cannot be withdrawn or voluntarily surrendered at any point of time”.

The complainant also duly acknowledged and signed the terms and conditions and became a member of the club.   But in this case, the opposite parties has not complied the terms and conditions particularly issuance of NSC Certificate.  On the other hand, the opposite parties has not filed any document to prove that the Membership cannot be withdrawn or surrendered and the Membership fee cannot be refunded proves the deficiency in service and unfair trade practice.  

11.    As per the learned Counsel cited the decision reported in:

STATE CONSUMER DISPUTES REDRESSAL COMMISSION,

MAHARASHTRA NAGPUR CIRCUIT BENCH,

NAGPUR

First Appeal No.FA/14/26

Between

Shri. R. Gopi Krishanan & anr.

-Versus-

Country Club India Ltd. & anr.

Held that

          “We are of the reasoned view that the complainants are entitled to the refund of the membership fee”.

Considering the facts and circumstances of the case, this Forum is of the considered view that the opposite parties 1 & 2 shall refund the Membership fee of Rs.55,000/- along with interest at the rate of 9% p.a. from the date of filing of this complaint (i.e.) 23.04.2013 to till the date of this order (i.e.) 24.01.2020 with a compensation of Rs.20,000/- for mental agony, deficiency etc and cost of Rs.10,000/- to the complainant.

In the result, this complaint is allowed in part.  The opposite parties 1 & 2 are jointly and severally liable to refund the Membership fee of Rs.55,000/- (Rupees Fifty five thousand only) along with interest at the rate of 9% p.a.  from the date of filing of this complaint (i.e.) 23.04.2013 to till the date of this order (i.e.) 24.01.2020 to the complainant and to pay a sum of Rs.20,000/- (Rupees Twenty thousand only) towards compensation for mental agony, deficiency in service etc with cost of Rs.10,000/- (Rupees Ten thousand only) to the complainant.

The above amounts shall be payable within six weeks from the date of receipt of the copy of this order, failing which, the said amounts shall carry interest at the rate of 9% p.a. to till the date of payment.

Dictated  by the President to the Steno-typist, taken down, transcribed and computerized by her, corrected by the President and pronounced by us in the open Forum on this the 24^rd day of January 2020. 

 

MEMBER                                                                                PRESIDENT

 

COMPLAINANT SIDE DOCUMENTS:-

Ex.A1	11.01.2006	Copy of Membership card
Ex.A2	11.01.2006	Copy of Membership Agreement
Ex.A3	26.07.2012	Copy of petition filed before the Mediation Centre

 

OPPOSITE PARTIES’ 1 & 2 SIDE DOCUMENTS:-  NIL

 

 

MEMBER                                                                                                                                                       PRESIDENT