Karnataka

Chitradurga

CC/124/2017

Sri.K.C.Mallikarjuna S/o K.Chandrappa - Complainant(s)

Versus

The Authorised signatory,Bajaj Auto Limited - Opp.Party(s)

Sri.A.D.Dorepondi

17 Jan 2019

ORDER

COMPLAINT FILED ON:24.11.2017

DISPOSED  ON:17.01.2019

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHITRADURGA.

 

CC.NO:124/2017

 

DATED:  17^th JANUARY 2019

PRESENT :-     SRI.T.N.SREENIVASAIAH :    PRESIDENT                            B.A., LL.B.,

                        SMT. JYOTHI RADHESH JEMBAGI:

BSc.,MBA., DHA.,                LADY MEMBER

 

……COMPLAINANT	Sri.K.C.Mallikarjuna S/o K.Chandrappa, Proprietor, M/S Mahanth Motors, Service Dealers of Bajaj, Besides Karnataka Bank, Bellary road, Challkere.   (Rep by Sri.A.D. Dorepandi, Advocate)
V/S
…..OPPOSITE PARTIES	1. The Authorized signatory, Bajaj Auto Limited, Registered Head Office, Akrudi, Pune.   2. The Authorized signatory, BTV Bajaj, M/S Aspire Auto, No.3 and 4, S.R Layout, Turuvanuru Road, Chitradurga.   (Rep by Sri.C.J. Lakshminarasimha, Advocate)

ORDER

SRI. T.N. SREENIVASAIAH:   PRESIDENT

The above complaint has been filed by the complainant u/Sec.12 of the C.P Act, 1986 for the relief to direct the OPs  to pay Rs.10,00,000/- towards loss of investment, loss of commission on sales, loss of rent, loss of service business of Bajaj vehicles with interest @ 24% p.a, Rs.5,00,000/- towards loss of human power and loss of profession, Rs.1,50,000/- towards mental agony, mental sufferings, loss of mental peace, Rs.2,50,000/- towards loss of goodwill, Rs.50,000/- towards costs, in all a sum of Rs.19,50,000/- and to grant such other reliefs.

2.     The brief facts of the case of the above complainant is that, he is the authorized dealer as well as seller of the Bajaj vehicles of OP No.1 and 2.  OP No.1 and 2 are well aware that, the complainant is running the Bajaj service dealers show room and work shop at Challakere in the name and style as M/s Mahanta Motors by investing huge amount and also obtained finance from different institutions.  Previously, M/s Jairam Bajaj, Sales and Service Dealers of Bajaj, Turuvanur Road, Chitradurga have given permission to the complainant to sell Bajaj vehicles on commission basis.  Moreover, the OPs are well aware that complainant is the authorized service dealers of Bajaj Auto Ltd., since more than 3-4 years at Challakere.  Due to some inevitable problems, the M/s Jairam Bajaj, Chitradurga closed the showroom and the same is clearly known by the OPs.  The OP No.2 has taken the said Bajaj Dealers at Chitradurga in the name of BTV Bajaj.  Both the OPs have agreed and the complainant and OP No.2 have mutually agreed to continue the sales business of Bajaj vehicles through the complainant at Challakere as the complainant was doing as earlier.  The OP No.2 has put more and more pressure and also more and more stress on the complainant, thereby the complainant has raised much more loan for the same.  The complainant since from 3-4 years sold more Bajaj two wheeler vehicles through his Bajaj authorized service showroom i.e., M/s Mahanta Motors, Challakere, the complainant is running the said Bajaj Authorized Service Showroom by taking the premises for rent and invested more amount for interior decoration as pressurized by the OPs.  The OP No.1 has given service dealers showroom to the complainant and indirectly the OP No.1 informed the complainant to do sales of Bajaj vehicles to the public at large in Challakere.  The OP No.1 has directed to the complainant to decorate and moderate his showroom, otherwise OP No.1 and 2 have put threat of cancellation of the service dealership.  The complainant again invested more and more amount for the requirements of the OPs by raising loan of Rs.5,00,000/- from his friends and relatives.  The OPs are giving pin pricks and mental stress to the complainant by colluding each other with an intention to close Bajaj Authorized Service Showroom of the complainant and also spoil the business of selling the Bajaj two wheeler vehicles.  The OP No.1 and 2 have thought that due to the ill-will acts and illegal attempts made by them may pressurize the complainant and the complainant may be put to pressure and stress and he may be force to close Bajaj Authorized Service Showroom and also authorized showroom voluntarily.  Due to the unnatural attitudes of the OPs, the complainant has reliably leant and also came to know that the OP No.2 is an intention to open the Bajaj Authorized Service Showroom and with service station of Bajaj though there is running of sales and service showroom of the complainant at Challakere since 3-4 years.  Then the complainant has requested the OP No.2 not to open new showroom and new service station of Bajaj at Challakere since he is also doing the same business with their implied and expressed consents for the same, but the OPs have not heard the request made by the complainant and then the OP No.2 has opened new showroom and also service station at Challakere.  The OP No.2 has imposed several unnatural and immoral conditions to the complainant through service Engineers of the OP No.1 to get the sales dealership since the complainant was selling more and more vehicles monthly and also earn much more money in service station, thereby the complainant has suffered loss of investment, loss of rent and loss of workshop business, loss of human power, loss of profession and etc., thereby both the OPs have violated the Principles of Natural Justice, but the OPs have violated the human rights and committed deficiency of service and negligence etc.  Now both the OPs are not supplying the Bajaj vehicles for sales and also canvassed in p public at large that complainant is not the authorized service dealers of Bajaj, thereby the complainant has suffered loss of Rs.19,50,000/-.  The complainant is a consumer with the OP No.1 and 2 and they are jointly shows the defective service and negligence.  Both the OPs are jointly and severally liable to compensate for their defective service.  The OP No.2 has not paid the commission on sales of the vehicles by the complainant as agreed by him and OP No.2 has opened the sales and service showroom, besides the Bajaj Authorized Service Showroom of the complainant without any consent of the complainant and also without any intimation since the OP No.1 was given the authorized service centre of Bajaj at Challakere to the complainant legally.  The OP No.2 has return back the advance amount of Rs.5,50,035/- without any intimation and also without any interest or exact commission on the sales of service of vehicles.  They have paid only Rs.50,035/- as extra amount without any basis.  Both the OPs have treated the complainant unnatural and immorally with an intention to throw out the complainant from the business field.  The complainant was putting more efforts in Challakere to improve the business of Bajaj product since 2013 up to this date.  It is further submitted that, during the clear running of the Bajaj Authorized Service Showroom, Challakere by the complainant, the Service Engineer of Sri. Kulakarni, Harshavardhana and etc., and the owners/partners of BTV Bajaj, Chitradurga have colluded with each other and given much problems, much stress, much inconvenience to the complainant and they have made the complainant to incur very huge expenses for unnecessary reasons.  The OP No.2 has opened sales and service showroom at Challakere in the name of BTV Bajaj besides Bajaj Authorized Service Showroom of the complainant.  The OP No.2 has not sent motor vehicles to the complainant regularly for sales on commission basis.  The OP No.2 has opened Bajaj Authorized Sales and Service Showroom at Challakere in the name of BTV Bajaj without giving any intimation either by the OP No.1 and OP No.2.  The complainant has issued legal notice to the OPs from Chitradurga on 07.09.2017 by RPAD and also trough Professional Courier, the same are served to the OPs.  Even after due service of the said legal notices to the OPs, the OP No.2 neither replied to the legal notice nor complied to the terms of the legal notice, but OP No.1 has replied to the legal notice vide reply notice dated 08.11.2017 after lapse of two months.  The OP No.1 has denied all the allegations made in the notice.  The complainant has improved the business since from 2013 at Challakere.  The cause of action for this complaint arose at Chitradurga Town, since the complainant is a resident of Challakere and Chitradurga.  The complainant was running the Bajaj Authorized Showroom and sales of vehicles at Challakere in the name and style of M/s Mahanta Motors.  The OP No.2 has opened Bajaj Authorized Sales and Service Showroom and also Bajaj Dealers at Challakere with an intention to close the business of complainant and the legal notice has been issued to the OPs within the jurisdiction of this Forum and hence prayed for allow the complaint.

3.     On service of notice to the OPs, Sri. C.J. Lakshminarasimha, Advocate appeared on behalf of OPs and filed version.   According to the version filed by the OPs, it is submitted that, the complaint filed by the complainant is not maintainable either in law or on facts and the same is liable to be dismissed in limine.  The complainant has suppressed the very material facts and filed this false complaint.  All the allegations made in the complaint are denied as false and the complainant is put to strict proof of the same.  It is further submitted that, the complainant was only the Authorized Service Dealers of the OP No.1, but the complainant was not an authorized sales dealer of OPs at any point of time.  The complainant is not having any legal rights or moral right in respect of sales or service dealers of the OPs in any angle.  If the complainant is intending to challenge any of the legal matters or any issues he is having only jurisdiction of the OP No.1, but not before this Forum.  The nature of relief claimed by the complainant is to be decided only by the Civil Court at the jurisdiction of the OP No.1 but, not here.  It is further submitted that, the allegations made in para 2 and 3 are purely a matter of record and proof.  The complainant is put to strict proof of the same.  It is further submitted that, the OP No.2 has opened new sales and service dealers in the name of BTV Bajaj at Challakere after taking necessary permission from the OP No.1.  The OP No.1 has terminated the complainant from Authorized Service Dealers of Bajaj illegally by clear notice as per law.  The OP No.1 has given clear opportunities to the complainant to improve the business, but the complainant has not done so and complainant is always against to the terms and conditions of the OP No.1 agreement.  As per the agreement entered into between them in respect of service dealers of Bajaj to the complainant, the OP No.2 has opened new authorized sales and service / Bajaj Service Showroom at Challakere in the name of BTV Bajaj only after termination of the complainant from the Authorized Service Dealers by the OP No.1.  The OP No.1 and 2 have not committed any deficiency of service.  It is true that, the complainant has issued legal notice to the OPs on 07.09.2017 for which the OP No.1 has suitably replied.  Further there is no cause of action against the OPs for filing this complaint.  The OPs have not committed any deficiency of service or negligence either by OP No.1 or by OP No.2 at any point of time.  The complainant is not entitled to get any of the reliefs as claimed and there is no jurisdiction for the complaint.  It is further submitted that, the OPs have not violated the Principles of Natural Justice and also not violated the human rights and further these OPs have not committed any deficiency of service, negligence etc.  The complainant has not suffered with unexplainable financial loss and other loss as stated in the complaint.  The OP No.2 has followed the necessary procedures before opening the authorized sales and service of Bajaj Showroom.  The OP No.2 is not connected with the complainant.  The OP No.2 has not given any oral or written permission to the complainant to sell Bajaj vehicles.  Now the complainant is not the authorized Service Dealers of Bajaj since OP No.1 has terminated the complainant and hence, there is no deficiency of service and prayed for dismissal of the complaint.

4.     Complainant himself has examined as PW-1 by filing affidavit evidence and the documents Ex.A-1 to A-11 got marked.  OPs have examined one Sri. Sachin Jain, the Area Manager as DW-1 and relied on Ex.B-1 and B-6 documents and closed their side.

5.     Arguments heard.

6.     Now the points that arise for our consideration for decision of above complaint are that;

(1)  Whether the complainant proves that the OP No.1 and 2 have committed deficiency of service, negligence and defective service to the complainant in terminating the complainant in running the Bajaj Sales and Service Showroom at Challakere in the name of M/s Mahanta Motors  and entitled for the reliefs as prayed for in the above complaint?

              (2) What order?

        7.     Our findings on the above points are as follows:-

        Point No.1:- Partly in Affirmative.

        Point No.2:- As per final order.

REASONS

8.     It is not in dispute that, the complainant is running the Bajaj Service Dealers Showroom and workshop at Challakere in the name and style of M/s Mahanta Motors by investing huge amount.  The OPs have permitted to sell the two wheeler Bajaj vehicles on commission basis.  Accordingly, the complainant was selling the vehicles supplied by the OP No.1 and 2.  On the assurance made by the OPs, the complainant started the service station also in Challakere.  The complainant has invested huge amount for installation of machinery for service station and obtained shed on rent basis to sell the two wheeler vehicles supplied by the OPs.  After completion of 3-4 years, the OP No.1 has send the letter to the complainant saying that, the dealership will be terminated and the same has been given to the BTV Bajaj Showroom.  The OPs have made allegations against the complainant that, the complainant is not having sufficient essential tools and equipments in workshop and the complainant is not having trained man power in work shop and not followed the standard service guidelines and not maintained job cards and warranty records and not maintained stocking and selling non genuine spare parts and oil.  On the above reasons, the OPs have intended to terminate the dealership of the complainant and further the complainant has submitted that, the OPs have told that, the case is of civil in nature and this Forum has no jurisdiction to entertain this complaint.  The Civil Court is only the competent Court to decide this type of cases.  If any loss occurred to the complainant from the OPs, the complainant is at liberty to file the damage suit before the Civil Court.  The complainant argued at the time of arguments that, the OPs have given assurance to the complainant that, they will not terminate the dealership at any point of time.  But the OPs have violated the promise made to the complainant and further argued that the complainant has invested huge amount for commencing the dealership as well as the service station.  The complainant has advanced the amount of Rs.5,50,035/-, but the OPs have returned only Rs.50,035/-, the excess amount is only Rs.50,035/-.  The complainant has invested huge amount by obtaining loan from his relatives and friends on interest.  If the OPs have suddenly terminated the dealership, for that the complainant has put to great loss and mental agony.  The Advocate appeared on behalf of OPs submits his arguments that, the termination letter was issued to the complainant in the year 2016 only.  After receiving the termination letter, the complainant has not filed any complaint or damage suit before the concerned Courts till today.  Now the complainant has filed this complaint after lapse of two years.  If the complainant really suffered loss, he could file the complaint in the year 2016 itself.  Now the complainant has filed this complaint after giving permission to the BTV Bajaj to commence the dealership and sales service, therefore the complaint filed by the complainant is not maintainable.  The documents produced by the OPs are clearly shows that, they have given termination letter in the year 2016 only, but the complainant has not taken any steps against the OPs till today.  The contention taken by the OPs is not correct because the complainant has invested huge amount to start service dealership showroom at Challakere in the name and style as M/s Mahanta Motors.  After that, the OP No.1 orally intimated to the complainant for sale of the two wheelers supplied by it on commission basis.  On the words and promise of the OP No.1, the complainant was selling the two wheels supplied by the OP No.1.  The OP No.1 has instructed the complainant to take another shed to keep the vehicles supplied by it.  Accordingly, the complainant has obtained the shed from the owner and paid an advance amount of Rs.2,50,000/- to the owner of the shed.  The complainant has decorate and moderate the showroom on the promise made by the OP No.1.  The complainant is an honest and highly educated person and the entire family is depending upon the earnings of the service station and showroom.  The complainant also having old parents and he is to look after the entire family including his parents.  On the promise made by the OP No.1, the complainant has invested huge amount to open the showroom by collecting money from his friends and relatives.  The OP No.1 has inspected the shed opened by the complainant and he himself agreed that the showroom is in very good condition and also he promised the complainant to continue this type of business and also told the complainant to sell the vehicle supplied by it.  The complainant has not at all applied any job from the Government or from any other undertaking Government Authority.  But all of a sudden, the OP No.1 given a letter to the complainant stating that, the dealership of the complainant is terminated.  Again the complainant has approached the OP No.1 and requested not to terminate the dealership and service station and further the complainant stated that, his family is depending upon the service station and dealership.  As per the documents produced by the complainant and OP clearly shows that, the complainant is selling the two wheeler vehicles on commission basis to the public at large and the complainant is having very good name in the locality and also he has given very good service to the public at large.  As per the documents, the complainant has not committed any mistake and the public have not given any complaint against the complainant before the OP No.1.  Such being the case, the letter given by the OP No.1 for termination is the deficiency of service on the part of OPs.  The documents produced by the OPs are marked as Ex.B-1 to B-5 those clearly shows that the OP No.1 has appointed the complainant to sell two wheeler vehicles and to maintain the service station at Challakere.    

9.     We have gone through the entire documents filed by the complainant marked as Ex.A-1 to A-10, those clearly shows that the complainant is running the service station and also selling the two wheeler vehicles on commission basis at Challakere in the name and style of M/s Mahanta Motors.  The Ex.A-9 is the rent agreement taken by one Smt.N.R. Vani W/o N.R. Radhakrishna for rent at Rs.30,000/- and paid a sum of Rs.2,50,000/- as an advance amount.  The Ex.A-1 to A-3 are the documents clearly shows that, M/s Mahanta Motors is appointed as authorized service centre and dealership to sell the two wheeler vehicle on commission basis.  On 27.01.2014, the OP No.1 has sent a letter to the complainant to run the authorized service centre and orally they have intimated to the complainant to sell the two wheeler vehicle on commission basis and accordingly, the complainant has sold the vehicles supplied by the OP No.1.  Now the OP No.1 and 2 have colluded with each other and opened BTV Bajaj Showroom at Challakere by terminating the dealership of the complainant, which is a deficiency of service on the part of OPs, which caused much hardship and mental agony and financial loss to the complainant and the entire family came to street.   Accordingly, this Point No.1 is held as partly affirmative to the complainant.

          10.     Point No.2:- As discussed on the above point and for the reasons stated therein we pass the following:-

ORDER

The complaint filed by the complainant U/s 12 of CP Act 1986 is partly allowed.

It is ordered that, the OPs are hereby directed to pay a sum of Rs.16,00,000/- to the complainant towards loss of investment, loss of commission on sales on today’s status, loss of rent, loss of service business of Bajaj vehicles at present and other unknown expenses incurred by the complainant, mental agony, mental suffering, loss of mental peace, loss of goodwill, loss of interest on the investments for running the Bajaj Authorized Service Showroom at Challakere by the complainant in the name and style of M/s Mahanta Motors, loss of time for the proceedings along with interest at the rate of 9% p.a from the date of terminating the complainant from the authorized service station and dealership.

Further it is ordered that, the OPs are hereby directed to pay a sum of Rs.10,000/- towards mental agony and Rs.5,000/- costs of the proceedings.

It is further ordered that, the OPs are hereby directed to comply the above order within 30 days from the date of this order.

            (This order is made with the consent of Lady Member after the correction of the draft on 17/01/2019 and it is pronounced in the open Court after our signatures)     

 

                                     

MEMBER                                                   PRESIDENT

-:ANNEXURES:-

Witnesses examined on behalf of Complainant:

PW-1:  Complainant by way of affidavit evidence.

Witnesses examined on behalf of OPs:

DW-1:  Sachin Jain, the Area Manager by way of affidavit evidence.

Documents marked on behalf of Complainant:

01	Ex-A-1:-	Form VAT 7
02	Ex-A-2:-	Authorization Certificate for ASC
03	Ex-A-3:-	Appointment letter of Authorized Service Centre.
04	Ex-A-4:-	Legal Notice dated 07.09.2017
05	Ex-A-5:-	Reply to notice dated 08.11.2017
06	Ex-A-6:-	Postal receipts and acknowledgement
07	Ex-A-7:-	Courier receipts
08	Ex-A-8:-	Offer letter dated 24.10.2013
09	Ex-A-9:-	Registration Certificate i.e., Form No.C
10	Ex.A-10:-	Rent agreement dated 02.01.2018
11	Ex.A-11:-	Form No.ST-2

Documents marked on behalf of OPs:

01	Ex-B-1:-	ASC visit report dated 20.10.2016
02	Ex-B-2:-	Notice of termination dated 06.01.2018
03	Ex-B-3:-	One month notice in the month of June-17
04	Ex-B-4:-	ASC Audit report dated 08.12.2016
05	Ex-B-5:-	Agreement dated 22.04.2016
06	Ex-B-6:-	Appointment letter

 

 

MEMBER                                                   PRESIDENT

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