Date of Filing:13.06.2008<br /> Date of Order:04.02.2009<br /> <br /> <br /> <br /> BEFORE THE II ADDITIONAL DISTRICT CONSUMER DISPUTES REDRESSAL FORUM SESHADRIPURAM BANGALORE-20<br /> <br /> <br /> Dated: 4TH DAY OF FEBRUARY 2009<br /> PRESENT<br /> <br /> <br /> <br /> Sri S.S. NAGARALE, B.A, LL.B. (SPL.), President.<br /> Smt. D. LEELAVATHI, M.A.LL.B, Member.<br /> Sri BALAKRISHNA. V. MASALI, B.A, LL.B. (SPL.), Member.<br /> <br /> <br /> <br /> COMPLAINT NO: 1319 OF 2008<br /> <br /> <br /> 1. K.R. Satish<br /> S/o. P.V. Ramakrishnashetty<br /> R/at No. 14-1-1, Mandipet<br /> Ramanagara Town – 571 511<br /> <br /> 2. A. Nagaraju<br /> S/o. A.K. Aswath Narayana Gupta<br /> R/at No. 2283, M.G. Road<br /> Ramanagara Town – 571 511 Complainant<br /> <br /> <br /> V/S<br /> <br /> 1. M/s. Mahindra Holidays & Resorts India Ltd.<br /> Represented by its Manager<br /> Regd. Office : Mahindra Towers<br /> 2nd Floor, 17/18, Patullos Road<br /> Chennai 600 002<br /> <br /> 2. M/s. Mahindra Holidays & Resorts India Ltd.<br /> Represented by its Regional Manager<br /> No. 18/4, Saleh Annexe, 1st Floor<br /> Cunningham Road<br /> Bangalore 560 052 Opposite Parties<br /> <br /> <br /> ORDER<br /> By the President Sri. S.S. Nagarale<br /> <br /> This is a complaint filed under section 12 of the Consumer Protection Act 1986. <br /> The complainants have taken Mahindra Holidays Membership from opposite parties on 26.09.2006 on payment of prescribed fee. Membership period commenced from 01.04.2007 and will terminate on 31.03.2032. Members are entitled for one week holiday every year. The complainants submit that they have paid membership price of Rs. 1,81,691/- in all. The complainants stated that they were denied all lawful benefits by the opposite parties deliberately even though the complainants have no dues to the opposite parties. The complainants have also paid annual subscription fees. The opposite parties have made mis-representation of facts and also cheated the complainants. The complainants have submitted that the opposite parties have caused mental harassment by unlawfully depriving them by holiday benefits for which they are lawfully entitled. The opposite parties have deliberately denied the holiday benefits there by they have made wrongful gain. The opposite parties have failed to render prompt services to the complainant and thus, they have committed breach of contract. The complainants have lost faith in the opposite parties. The complainants are no longer interested to be the members of the opposite parties and desire to terminate their membership by claiming the refund of all the payments made to the opposite parties. Legal notice was issued to opposite parties seeking termination of membership and reimbursement of entire membership fee and annual subscription fee and for compensation. Opposite parties failed to give any reply to the notice. The opposite parties have given cheque for Rs. 10,000/- as incentive for introducing new member to the opposite parties. The complainants have sought refund of Rs. 1,81,691/- with interest and also they have prayed compensation of Rs. 1,00,000/- for mental suffering.<br /> 2. Notice issued to opposite parties. Notice served. The opposite parties appeared through advocate and defence version filed. The opposite parties have clearly admitted that complainants have paid membership price of Rs. 1,81,691/- in para 5 of the defence version. It is the case of the opposite parties that membership fee paid by the complainants is non-refundable after the recession period in terms of contract entered into between the parties and they have denied any deficiency in service on the part of the opposite parties. They have requested to dismiss the complaint.<br /> 3. Affidavits are filed. Arguments are heard.<br /> 4. The point for consideration is:<br /> “Whether the complainants are entitled for refund of the membership fee?”<br /> 5. As per the defence version it is admitted case of the opposite parties that the complainants have paid membership fee of Rs. 1,81,691/- and this fact has been clearly admitted in para 5 of the defence version. The only defence taken by the opposite parties is membership fee is non-refundable. This defence cannot be accepted at all. The defence version filed by the opposite parties has not been signed by the opposite parties or their authorized signatory. The defence version submitted in this case has been signed by advocate of opposite parties. There is no verification to the defence version. The defence version submitted here is no defence version in the eye of law. Whatever the case made out by the complainant shall have to be accepted. As per the membership rules published by the opposite parties under rule 11.15 (b), in the event of termination of member, member shall be entitled for the refund of the membership fee. However, the member shall not be entitled to any refund of the annual subscription fee and member shall not be entitled for refund of any service tax that may have been paid by opposite parties. So under these circumstances the opposite parties cannot deny or refuse to pay back membership fee of Rs. 1,81,691/- to the complainants. The complainants are no more interested in continuing as members of the opposite parties’ resort. The complainants have alleged deficiency in service on the part of opposite parties. The complainants have also submitted that the opposite parties have not kept up their promise and commitment. Therefore, they requested for refund of the membership fee. The request made by the complainants for refund of the amount is quite justified and reasonable. However, the complainants are not entitled for refund of annual subscription fee paid by them. The complainants have sought Rs. 1,00,000/- as compensation for mental suffering. Again the complainants are not entitled for compensation. The question of granting compensation does not arise in this case because the complainants have not established any mental agony or suffering from the hands of opposite parties. Therefore, we are not inclined to grant compensation as prayed by the complainants. Taking into consideration all the facts and circumstances of the case it would be just, fair and reasonable to direct the opposite parties to refund membership fee of Rs. 1,81,691/- to the complainants. The complainants are also entitled for interest on that amount since, opposite parties have enjoyed and utilized the amount paid by the complainants. It would be just, fair and proper to grant interest at 10% p.a. on the said amount from 26.09.2006 (the date of payment of membership fee) till realization. In the result I proceed to pass the following:<br /> ORDER<br /> <br /> 6. The Complaint is allowed. The opposite parties are directed to refund Rs. 1,81,691/- to the complainants along with 10% interest p.a. on the above amount from 26.09.2006 till payment / realization. <br /> 7. The Complainants are also entitled for Rs. 2,000/- towards costs of the present proceedings from the opposite parties.<br /> 8. Send the copy of this Order to both the parties free of costs immediately. <br /> 9. Pronounced in the Open Forum on this 4TH DAY OF FEBRUARY 2009. <br /> Order accordingly,<br /> <br /> <br /> PRESIDENT<br /> We concur the above findings.<br /> <br /> <br /> MEMBER MEMBER<br />