Tamil Nadu

South Chennai

CC/30/2013

Mr. Sankara Raman - Complainant(s)

Versus

The Chairman/ Managing Director Celebrity Corporate Club. - Opp.Party(s)

S.Sathya Chandran

21 Sep 2016

ORDER

   Date of Filing :   23.01.2013

                                                                      Date of Order :   21.09.2016

 

DISTRICT CONSUMER DISPUTE REDRESSAL FORUM, CHENNAI(SOUTH)

     2^nd Floor, Frazer Bridge Road, V.O.C.Nagar, Park Town, Chennai-3

 

PRESENT: THIRU. B. RAMALINGAM M.A.M.L.,                     : PRESIDENT

                 TMT. K.AMALA, M.A. L.L.B.,                                 : MEMBER I

           DR. T.PAUL RAJASEKARAN, M.A ,D.Min.PGDHRDI, AIII,BCS : MEMBER II

 

C.C.NO.30/2013

WEDNESDAY  21^ST  DAY OF SEPTEMBER 2016

 

Mr. Sankara Raman,

S/o. Kulathu Iyer,

Kamakoti Flats,

No.16-J, Murugesan Street,

T.Nagar,

Chennai 600 017                                              ..Complainant

 

                                         ..Vs..

 

The Chairman / Managing Director,

Celebrity Corporate Club,

Head office,

No.132, Sweety Mail,

Kodambakkam,

Chennai 600 034.                                              ..Opposite party.    

 

 

For the Complainant         :   M/s. S.Sathia Chandran & others          

For the opposite party      :   M/s. N.S.Manoharan      

 

 

Complaint under section 12 of the Consumer Protection Act 1986.  The complaint is filed seeking direction against the opposite party to pay a sum of Rs.58,000/- with interest and also to pay a sum of Rs.1,00,000/- as compensation for mental agony and Rs.10,000/- towards the cost of the complaint.   

ORDER

THIRU. B. RAMALINGAM PRESIDENT

1.The case of the complainant is briefly as follows:-  

 

The complainant submit that he has became a member of the opposite party club on 12.01.2012 and paid a sum of Rs.58,000/- being the total amount as member ship fee.  The declaration form with terms and conditions duly signed by the complainant and the opposite party’s representative  and  the two receipts issued by the opposite party for the payment of member ship to the complainant.  Subsequently, on 06.02.2012 the complainant for his personal reasons that since he and his spouse were aged and they are going to stay with their son living in aboard as such the membership of the club could not be utilized by him has sent letter to the opposite party requesting to cancel his membership and claiming the refund of the membership amount after deducting a reasonable preparation and processing fee if any.  Accordingly the complainant issued a legal notice to the opposite party on 3.9.2012 to return the sum of Rs.58,000/- .  However the opposite party sent a reply dated 15.10.2012 with untenable contentions.  The complainant further submit that despite of several demands and notice the opposite party has not refunded the amount.   As such the act of the opposite party is amounts to deficiency in service which caused mental agony and hardship to the complainant.   As such the complainant has sought for to pay a sum of Rs.58,000/- with interest and also to pay a sum of Rs.1,00,000/- as compensation for mental agony and Rs.10,000/- towards the cost of the complaint.      Hence the complaint.   

Written Version of  opposite party is  in briefly as follows:

2.     The opposite party denies all the averments and allegation contained in the complaint except those that are specifically admitted herein.    The opposite party submit that the complainant is not a consumer as defined under the C.P. Act 1986.  It is evident that the complainant has never approached the opposite party to avail the benefits provided to all the members of the opposite party club.  All the activities and accommodations in the opposite party club and their tie-up resort /clubs are available only on first come first serve basis and subject to availability as provided by all the Hostels / resorts in the club.   The complainant has never approached for an advance booking to avail the benefit of the membership cannot attribute any deficiency in service on the part of the opposite party.    The opposite party further submit that the complainant has become a member at his own instance and after having become a member as admitted by the complainant in the complaint, without even attempting to avail and use any of the several recreational activities and vacation packages provided by the opposite party club is claiming refund of membership fees being aware that the membership fees is non-refundable in all the clubs like the opposite party which was specifically intimated to the complainant.  The terms of membership and as well as rules specifically provides that the membership fees is non-refundable.    The complainant is provided with an option to transfer the membership to any of his friends on payment of prescribed fees.  The same has been explained to the complainant and he himself has specifically accepted and acknowledged having understood the same as provided in clause-15 and signed in the membership declaration form.   Therefore there is no deficiency in service on the part of the opposite party and the complaint is liable to be dismissed.

3.   Complainant has filed his Proof affidavit and Ex.A1 to Ex.A5 were marked on the side of the complainant.   Proof affidavit of  opposite party filed and no documents was marked on  the side of the  opposite party.  

4.      The points that arise for consideration are as follows:-

1.   Whether the complainant is entitled for refund of the membership amount?

 

2.   Whether the complainant is  entitled for the relief sought for

in the complaint?  If so to what extent ?

 

5.    POINTS 1 and 2 :

Perused the complaint filed by the complainant, written version filed by the opposite party and the proof affidavit filed by complainant  and opposite party, the documents Ex.A1 to Ex.A5 filed on the side of the complainant and considered the arguments of the both side counsels.

6.     There is no dispute that the complainant has became a member of the opposite party club on 12.01.2012 and paid a sum of Rs.58,000/- being the total amount as member ship fee.  The declaration form with terms and conditions duly signed by the complainant and the opposite party’s representative is filed as Ex.A1 and  the two receipt issued by the opposite party for the payment of member ship to the complainant is filed as Ex.A2. Subsequently, on 06.02.2012 the complainant for his personal reasons that since he and his spouse were aged and they are going to stay with their son living in aboard as such the membership of the club could not be utilized by him has sent letter to the opposite party requesting to cancel his membership and claiming the refund of the membership amount after deducting a reasonable preparation and processing fee if any.  The said copy of  letter Ex.A3 is filed  and copy of legal notice  in this respect sent by the complainant to the opposite party filed as Ex.A4 and reply given by the opposite party is filed as Ex.A5.  The complainant further submit that despite of several demands and notice the opposite party has not refunded the amount, which amounts to deficiency of service and filed this complaint for refund of the said amount  and claiming  compensation  against the opposite party.

7.     Whereas the opposite party has resisted the complaint by saying that the complaint filed by the complainant is not on the basis of any deficiency in service availed by the complainant   as a member with the opposite party, as such the complaint is not maintainable.  Further contended that the opposite party is a recreation club and complainant become a member of his own will, accepting the terms and conditions of the club.  As per the terms and conditions and the members declarations of the club the complainant is not entitled for refund of membership fee.   The clause 15 of the declaration of membership which has been accepted and signed by the complainant and filed as Ex.A1, clause 15 of the said declaration  is that the member ship fee paid is not refundable.  Clause 17 asserts that the membership enrollment is binding, final  non rescindable and non cancelable. The said position is confirmed in clause 3 and 4 of para-D under the heading of Declaration of Membership.  Therefore as per the above said terms and conditions which has been accepted and also signed by the complainant the membership cannot be cancelled and refund cannot be made.  Further the reason stated for his request for cancellation is exclusively on the basis of his personal  circumstances but not of any deficiency of service committed by opposite party in availing the benefit of membership.  Therefore the opposite party contended that the complaint filed by the complainant is liable to be dismissed, the complainant is not entitled for any relief sought for in the complaint.

8.     On perusal of the Ex.A1 the Member’s Declaration and the rules and regulations / terms and conditions filed on the side of complainant itself reveals that as contended by the opposite party,  as per  clause 15 and 17 of the said membership declaration the membership fee paid is not refundable and the complainant has signed the said membership after understanding and accepting the membership enrollment is binding, final non-rescindable and non-cancelable.  Further there is no provision is available as per the terms and conditions complainant being a member to withdraw or cancel from the membership and to ask for refund of the membership fee. 

9.     On going through the entire terms and conditions and the membership declaration mentioned in Ex.A1, that there were provision enabling the member for transferring the membership to the third person with previous permission of  the opposite party club and payment of necessary prevailing charges if any.  Further the benefit available / provided to the members i.e holiday stay of one week period per year is permissible  even to the guest of the member or rented to third persons also.  Apart from payment of  Rs.58,000/- towards the 15 years period of membership fee the complainant / member is also liable to pay a sum of Rs.1200/- as annual maintenance and also is liable to pay at the rate of Rs.900/- to 1500/- for the holidays stay to the club.  Considering all the above said terms and conditions / rules and regulations of the opposite party club all are more beneficial to the opposite party club alone.

10.    However it cannot be denied by the complainant that the complainant is seeking cancellation of membership on his own reason, without on any other allegations of deficiency in providing facilities to the complainant.  But complainant is more than 65 years and stated that due to his old age, he and his wife are proposed to go and live with his son’s family in USA where his son was employed and settled permanently.  Further the cancellation of membership sought for by the complainant is on 06.02.2012 which is one month after he become a member of the said opposite party’s club.    It is also pertinent to mention that in that moment   the   opposite  party  has not even issued the membership card

to the complainant.    Apart from that, the contention for refusal to make refund of membership fee paid by the complainant on the event of his request for cancellation for membership is only with reference to the terms and conditions of the said club, by saying they were well known to the complainant and accepting the same the membership declaration was also signed by the complainant.  But opposite party has not given any valid explanation or reason in support of their act of refusing for the refund of the membership fee sought for by the complainant.

11.    Considering the above facts and circumstances of the case we are of the considered view that the complainant being the aged person / at the age of 65 years at the time of entering membership, and on his personal reasons in order not to continue to be a member of the club, without availing any of a single benefit as member, within one month from the date of becoming a member has come forward with a request for cancellation of membership, the opposite party would have considered the request of the complainant with humanitarian ground and have refunded the membership fee paid by him after deducting towards processing fee and other maintenance charges for the relevant period as requested by the complainant himself in the letter Ex.A3.   Further accepting the cancellation  of membership and refunding the appropriate amount towards  the  membership fee may not cause any loss to the continuous functioning of the opposite party club, since the opposite party club is in practice of  admitting  new  members  continuously  in  the  course of their business.    Therefore considering the above facts and circumstances of this case, we are of the considered view that the opposite party can refund a sum of Rs.50,000/- as just and reasonable after deducting / retaining a sum of Rs.8000/- towards the processing  and annual maintenance for the relevant period etc.,   Therefore we decided to order directing the opposite party  accepting the cancellation of membership sought for by the complainant and to refund a sum of Rs. 50,000/- towards the membership fee paid by the complainant, as just and reasonable in the facts and circumstances of this case.   However, we are not inclined to grant any compensation sought for by the complainant against the opposite party.  The parties have to bear their own litigation expenses.  Accordingly the points 1 and 2 are answered.

In the result, this complaint is partly allowed.   The opposite party is directed to pay a sum of Rs.50,000/- (Rupees Fifty thousand only) to the complainant accepting the cancellation of membership sought for by him, within six weeks from the date of this order, failing which the said amount of Rs.50,000/-, will carry interest at the rate of 9% p.a. from the date of this order to till the date of payment.   No costs.

Dictated to the Assistant transcribed and typed by her corrected and pronounced by us on this the  21^st   day  of  September   2016.

 

MEMBER-I                        MEMBER-II                             PRESIDENT

Complainant’s Side documents :

Ex.A1-  1.8.2014       - Copy of Receipt.

Ex.A2- 30.9.2014      - Copy of email.

Ex.A3- 13.10.2014     - Copy of notice to opposite parties.

Ex.A4-                    -        - Copy of Acknowledgment card.

Ex.A5-                    -        - Copy of postal service of 2^nd opposite party.

Opposite parties’ side documents: - 

 

.. Nil ..

 

MEMBER-I                        MEMBER-II                             PRESIDENT