IN THE CONSUMER DISPUTES REDRESSAL FORUM, KOLLAM
Dated this the 19th Day of November 2019
Present: - Sri.E.M.Muhammed Ibrahim, B.A, LL.M. President
Smt.S.Sandhya Rani, BSc,LL.B, Member
Sri.Stanly Harold, B.A,LLB, Member
CC No.156/17
Y.Thajudeen Koya : Complainant
District&Sessions Judge(Rtd.)
Happy Dale,Chandanathoppe P.O
Kollam-691014.
[By Adv.A.Jani]
V/s
- The Manager : Opposite parties
L.G Electronics India Pvt.Ltd.
A Wing(3rd Floor) D-3
District Centre Saket
New Delhi-116017.
[By Adv.R.Padmaraj]
- The Manager
Nandilath G Mart
Global Electronics and Home appliances Plaza
Door No.111-1448/807(A)
14449/807(B), Q.S Road
Kadappakkada, Kollam-691008
[By Adv.S.Riyas]
- The Manager
Elegant Service Pearl View 32/29
Anchukallummoodu, Thirumullavaram P.O
Kollam-691012.
[By Adv.R.Padmaraj]
2
FAIR ORDER
S.Sandhya Rani, BSc,LL.B, Member
this is a case based on a complaint filed u/s 12 of the Consumer Protection Act. The averments in the complaint in short are as follows:-
The complainant is a retired District and Session Judge residing along with his family members at Chandanathoppu. The 1st opposite party is the manufacturer of various electronics appliances. The 2nd opposite party is the dealer of various electronics appliances of LG Refrigerator and its authorized branch office of the 1st opposite party and 3rd opposite party is the authorized service centre of LG Refrigerator. The complainant purchased one LG Refrigerator Model No.GLB 292 SSPMSP on 10.10.2015 from the 2nd opposite party as per retail invoice No.KLM 9883 by paying Rs.20700/-. The warranty period of the refrigerator is 10 years and that fact was inscribed on the door of the refrigerator itself. The refrigerator was found defective and non functioning on 10.12.2016. The matter was immediately informed to the 2nd opposite party on the same day itself and the complaint was also registered. The matter was also informed to 3rd opposite party. Accordingly the technician deputed by the 3rd opposite party examined the refrigerator and the complainant was informed that the refrigerator became defective and it is not functioning due to the complaint of the main board. Even though there is warranty of 10 years 2nd and 3rd opposite party informed the complainant that the warranty period of 10 years was not applicable to the main board and also demanded to pay Rs.4000/- for replacing the main board. The complainant objected the payment of the above amount on the ground that the warranty period is applicable to the main board also. Negotiation took place and finally the complainant was compelled to pay Rs.2254/- and there by the main
3
board was replaced and the refrigerator started functioning from 22.12.2016 onwards. However the said refrigerator again became defective on 31.01.17. Hence the matter was again reported to the 2nd opposite party and the technician of the 3rd opposite party examined the refrigerator and informed the complainant that the main board again become defective. Hence the main board again replaced on 02.02.2017. Since there are repeated complaints of the mother board the 3rd opposite party informed the complainant that in case of further defects the complainant has to pay the price for replacing the mother board. The 3rd opposite party has also put forward a suggestion that the complainant has to take additional warranty for a period of 3 years. Since the complainant has no other alternative and also to avoid further payment for replacement of spare parts of refrigerator accepted the suggestions unwillingly and taken additional warranty for 3 years from 14.02.17 to 13.02.2020 on payment of Rs.3713/-.
However the refrigerator again found non functioning on 12.03.2017. The matter was again reported to 2nd and 3rd opposite party and the technician again examined the refrigerator on 13.03.2017 and found that the mother board was again found defective. Hence technician returned and again came and examined the refrigerator on 16.03.2017 and found that another spare part of the refrigerator was also defective. Hence he again returned and came back on the next day and repaired the refrigerator by replacing the mother board and the defective spare parts. While so, the refrigerator again became defective on 12.04.17. So the matter is again reported to the 2nd and 3rd opposite parties and the complainant put forward a demand to the 2nd and 3rd opposite parties to replace the refrigerator itself being fed up with the repeated complaints of the refrigerator, since the complainant realized that the repeated complaints of the refrigerator took place due to the manufacturing defect of the refrigerator. The opposite parties 1 to 3 are fully
4
aware of the fact that in spite of repeated complaints and repeated replacement of the main board the refrigerator is not properly functioning. They ought to have understood that such repeated complaints have occurred only due to the manufacturing defect of the refrigerator. Even the complainant also entertained suspicion regarding the same on the date of purchase of the refrigerator itself. All the opposite parties have adopted unfair trade practice. The 1st opposite party manufactured defective refrigerator and handed over the same to the 2nd opposite party which is the branch office of the 1st opposite party for selling the same to the consumers and the 2nd opposite party knowing full well that the refrigerator is having manufacturing defect fraudulently sold the same to the complainant for a consideration of Rs.20700/-.
The service rendered by all the opposite parties was unfair and not good. There is huge deficiency in service on the part of opposite parties causing severe damages, loss and mental agony to the complainant on each occasion of the complaint of refrigerator. The complainant sustained heavy damages and loss due to damage of food articles kept therein and mental agony due to the reason that the refrigerator could not be used for many days. The complainant purchased the refrigerator from the 2nd opposite party believing on the false representation that it is worth and properly functioning but it was otherwise because the refrigerator became defective and non functioning within 14 months and thereafter.
The complainant sent advocate notice to the opposite parties on 30.06.2017 with a request of replacement of the defective refrigerator with a brand new one. No reply notices has been sent by the opposite parties so far. A refrigerator worth Rs.20700/- is not expected to work properly for a very short period of 14 months. The opposite parties never obliged to accept the suggestion made by the complainant for replacement of the refrigerator without any valid reason. The 1st
5
and 2nd opposite parties are jointly and severally liable and responsible for the sale of refrigerator having manufacturing defect. Therefore they are legally bound to replace the old refrigerator with a new one. The complainant is also entitled to get Rs.25000/- as compensation for the mental agony and loss suffered by him. The complainant also sustained huge loss by way of damages to food articles kept in the refrigerator as a result of its repeated complaints. Similarly the complainant is also not able to use the refrigerator from 12.03.2017 onwards. Therefore the complainant is also entitled to get reasonable compensation for the non use and that compensation is approximately fixed as Rs.25000/-.
Opposite parties 1 to 3 entered appearance in response to the notice and resisted the complaint. Opposite party 1&3 filed a joint written version and opposite party 2 filed separate version. However all the opposite parties would admit the following facts in their written version. The complainant purchased one LG refrigerator from 2nd opposite party on 10.10.2015 by paying a sum of Rs.20700/-, that the 1st opposite party is the manufacturer and the 2nd opposite party is the dealer from whom the 1st opposite party purchased the LG refrigerator and that the 3rd opposite party is the authorized service centre of the 1st opposite party. It is further admitted that the 3rd opposite party has offered warranty and the dealers of the warranty clearly mentioned in the warranty card. Warranty is always given by the manufacturing company and not by the dealer. They would further admit that the complainant had lodged a complaint and the 2nd opposite party forward the complaint to the 3rd opposite party and the technician deputed by the 2nd opposite party visited the defective product and rectified the defects.
6
However in the joint version filed by opposite party 1&3 it is contented that on receiving the 2nd complaint in the service centre on 31.01.2017 an inspection was conducted and it was found that the refrigerator was not working due to earthing problem in the complainants house and the same was rectified and made the refrigerator in a working condition. The allegation that the refrigerator was found not functioning on 12.03.17 and 12.04.2017 may not be factually correct. No such service calls were recorded. The 2nd complaint was actually received on 01.05.2017 and there was problem in the main board which being an electrical part which getting complaint is not abnormal which depends on various factors including electricity fluctuations from supply lines. The 1st and 3rd opposite party was ready to replace the main board free of cost as it was in the AMC period. But the complainant was not prepared for the same and insisted for replacement of the refrigerator itself. Since there is no manufacturing defect opposite parties cannot accept the same and the opposite parties were ready and willing to do service of free of costs during the entire AMC period. It is further contented that the complaints occurred to the refrigerator was only normal complaints which may occur due to various factors including voltage fluctuation occurring due to lightning or short circuits in the wiring of the house etc. Compensation claim is exorbitant which cannot be directly attributed to any deficiency in service by the opposite parties.
In the separate version filed by the 2nd opposite party it is further contented that they have not received any amount towards rendering service. The 1st opposite party manufacturing company had given facilities as per the warranty conditions and the 2nd opposite party had given prompt and proper service whenever the complaint approach them. If at all the Forum is inclined to grant any compensation
7
the 1st opposite party which is the manufacturing company alone is liable for the same. All the opposite parties would further content that there is no cause of action in the complainant and there is also no deficiency in service or unfair trade practice on the part of the opposite parties and hence the complainant is not entitled to get any relief prayed for and also pray to dismiss the complaint with their costs.
In view of the above pleadings the points that arise for consideration are:-
- Whether there is any deficiency in service or unfair trade practice on the part of the opposite parties as alleged in the complaint?
- Whether the complainant is entitled to get replaced the old refrigerator with a brand new one without charging any amount?
- Whether the complainant in the alternative is entitled to get refund the value of refrigerator with reasonable interest and also amount of Rs.3713/- paid as additional warranty for 3 years Rs.2254/- being the value of replaced main board?
- Whether the complainant is entitled to get compensation if so, what would be the quantum of compensation to be awarded?
- Reliefs and costs.
Evidence on the side of the complainant consists of the oral evidence of PW1 and Ext.P1, P2, P3 Series, P4 series to P9. Evidence on the side of the opposite party consists of oral evidence of RW1. No documentary evidence has been adduced on the side of any of the opposite parties. Both sides have filed notes of argument. Heard both sides.
8
Point No.1 to 4
For avoiding repetition of discussion of materials these 4 points are considered together. Admittedly the complainant purchased one LG refrigerator from 2nd opposite party dealer on 10.10.2015 by paying a sum of Rs.20700/-. According to the complainant the refrigerator is having warranty of 10 years. The opposite parties would deny the same and would content that 10 years warranty is applicable only to the compressor and all other parts the warranty is for 1 year from the date of purchase and hence the warranty period expired as early on 09.10.2016. Now it is to be considered whether the refrigerator is having 10 years warranty as claimed by the complainant.
The specific case of the complainant is that warranty period of the refrigerator is 10 years and the fact is inscribed on the door of the refrigerator itself. It is also brought out during further cross examination of PW1 that at the time of selling the refrigerator the 2nd opposite party has made him to believe that the refrigerator is having 10 years warranty and they used to make advertisement stating that the refrigerator is having 10 years warranty. However the refrigerator was found defective and non functioning on 10.12.2016 which is after 1 year and 2 months of its purchase. The complainant has pleaded this aspect as last sentence in paragraph No.2 of the complaint. Ext.P1 and Ext.P2 are the copy of the lawyer notice sent on behalf of the complainant wherein also it is stated that the warranty period of the refrigerator is 10 years and that fact is inscribed on the door of the refrigerator itself. The opposite parties have not issued any reply notice disputing the warranty period. The 2nd opposite party is the retail seller from where the complainant has purchased the disputed refrigerator. According to the 2nd opposite party the 1st opposite party is the manufacturer and the 3rd opposite party is the service provider of the said refrigerator and the 1st opposite party had offered
9
warranty. The details of the warranty are mentioned in the warranty card by the 1st opposite party. Admittedly the warranty is always given by the manufacturing company and not the dealer. The specific contention of the 1st and 3rd opposite party in this regard is that 10 years warranty is only for the compressor which is clearly mentioned in the users manual supplied to the complainant. All other parts got warranty only for 1 year from the date of purchase. Therefore the warranty period expired on 09.10.2016. It is cristal clear from the available materials that at the time of purchase the 2nd opposite party dealer has exhibited 10 years warranty which is inscribed at the door of the refrigerator and the complainant was attracted by the offer found exhibited on the refrigerator and purchase the same. Though the above version of the complainant pleaded in the complaint and re-iterated by him in the lawyer notice and proof affidavit the opposite party has not specifically denied the same. Therefore it is cristal clear that by believing the written representation found inscribed on the refrigerator, the complainant had purchased the same. What is written (inscribed) on the face of the refrigerator itself is a warranty and even if anything is written in the warranty card as claimed by the opposite parties (to the effect that the actual warranty for the refrigerator is only for 1 year and 10 years warranty is for compressor only) it cannot be considered at all in the light of what is exhibited on the face of the refrigerator especially when it is clear that the complainant has purchased the refrigerator by seeing that the same is having 10 years warranty as exhibited on the face of the refrigerator.
It is true that on 02.02.17 the 3rd opposite party who is the authorized sales service centre of LG refrigerator demanded to take annual maintenance contract( additional warranty) for future maintenance of the refrigerator so as to avoid further payments. But according to the complainant as the refrigerator has become
10
defective 5 times within 2 years he was forced to take additional warranty, even though 10 years warranty is available by paying Rs.3713/-. According to PW1 he was constrained to take additional warranty though the original warranty for 10 years exists as he intends to get the refrigerator repaired urgently for his personal use. In the circumstance we are of the view that the complainant is entitled to get back Rs.3713/- from the opposite parties being the amount towards AMC(additional warranty) as the opposite parties are bound to render free service during the existence of original warranty.
It is clear from the oral evidence of PW1 and Ext.P1,P2,P5 to P9 documents that the refrigerator purchased as per Ext.P5 document has become non functioning and after verification of the defect the technician deputed by 1st opposite party has found that the reason for non functioning of the refrigerator is due to the complaint of main board. There is no dispute that the main board of a refrigerator is the main component of that product. If one of the main component is defective and the refrigerator has become functionless just after 1 year and 2 months of starting its use it is undoubtedly a manufacturing defect of the product. It is also brought out in evidence that the 3rd opposite party has repaired the refrigerator by replacing the main board and charged Rs.2254/-, though the same has been done within the warranty period. Therefore the complainant is entitled to get refunded Rs.2254/- charged from him for replacing the main board.
The learned counsel appearing for opposite party No.2 has argued that there is no expert evidence to show that disputed refrigerator is having any manufacturing defect and therefore the complainant has failed to establish his case. In view of the materials available on record we find no merit in the above argument. The opposite party No.1 to 3 have unanimously admitted in their written version that the mother board of the disputed refrigerator has become
11
defective. PW1 has clearly explained why he has not subjected the refrigerator for an expert verification in the following words. A\-ym-b-¯nse hnh-c-§Ä ]{Xn-I-bn \ntj-[n-¡m-¯-Xp-sImmWv expert s\ sh¡m-¯-Xv. Manufacturing defect Cà ta¸Sn {^nUvPn\v F¶v ]{Xn-I-bn Hcn-S¯pw ]d-ªn-«nÃ.
It is well settled that admitted/undisputed facts need not be proved by a party to the litigation. According to the complainant the mother board has become defective for 5 times. But according to the opposite parties it has become defective only 3 occasions and replaced the same by collecting its charges. Main board or mother board as the name indicates is the main components of a refrigerator. One refrigerator purchased by paying Rs.20700/- is expected to be used at least for a period of 10 years during the warranty period as indicated in the refrigerator itself. If the main component itself has become defective it can be safely concluded that the product is having manufacturing defect. In the circumstance no expert is required to be deputed for verification and also to prove the manufacturing defect of the product. As it is proved that the refrigerator is having manufacturing defect the complainant is entitled to get replaced the defective refrigerator by a brand new one.
Admittedly the 2nd opposite party is the authorized dealer of the LG Refrigerator manufactured by the 1st opposite party. Hence the 2nd opposite party is bound to ensure the efficiency of the product exhibited in their shop especially when 10 years warranty is exhibited on the product itself. But in this case the 2nd opposite party has not seen made any attempt to ensure that the refrigerator is defect free and there is no manufacturing defect for the product. The evidence
12
available on record would clingingly establish that the LG Refrigerator purchased from the shop of the 2nd opposite party has become non functioning for 4-5 times in a short span of time during the warranty period and the same remains with the very same defect even now without any use. The complainant has also caused to replace the main board on several occasions. It is clear from the available materials that the repeated complaints of main board occurred in the disputed refrigerator is due to manufacturing defect.
Though the opposite party would content that as per Ext.P6 warranty the refrigerator is having only 1 year warranty from the date of its purchase and 10 years warranty is only applicable to the compressor and all other parts is having only 1 year warranty. But this fact is not clearly mentioned in Ext.P6 warranty card, what is written is in a vague language which is not acceptable especially when 10 years warranty is exhibited in the product itself. Exhibiting 10 years warranty on the refrigerator so as to attract the customers and to give one year warranty as claimed by the opposite party during sale after receiving sale consideration is undoubtedly an unfair trade practice.
It is further to be pointed out at even if Ext.P6 warranty card it is stated that 10 years warranty is for compressor alone and all other parts which have only 1 year warranty, the said warrantee card is not acceptable at all since it does not contain the signature of the parties and seal of the 1st or 2nd opposite parties. Last clause of the alleged warranty (Ext.P6) itself would indicate that the warranty is applicable only when warranty card bears the rubber stamp, date and signature of the authorized dealer. There is no dispute regarding the fact that the refrigerator
13
was purchased from 2nd opposite party who is the authorized dealer of LG refrigerator. If he intends to issue a written warranty he ought to have filled up all columns such as model number, unit, serial number, date of purchase, customers name and address, dealers name and address, telephone number of both parties and signature of both parties. The last sentence of P6 warranty paper it is stated that this card is valid only if it is filled in and stamped by our authorized dealer on the date of purchase. Here in Ext.P6 warrantee card the stamp, signature, name and address of the vendor and purchaser etc are not stated at all. It is further to be pointed out that the 2nd opposite party when he was in the box as RW1 has not given any satisfactory explanation why he has not filled up the warranty card and not stamped the same and also not stated the date of purchase of the refrigerator. Though RW1 would claim in his proof affidavit that LG Company which manufactured the refrigerator has given only one year warrantee but the same is not believable and acceptable as the said company (OP1) itself has inscribed on the front portion of the refrigerator that the product is having 10 years warrantee. In the circumstance the issuance of an unfilled warranty card itself would indicate that the said warrantee card is not a proper warranty but what is exhibited on the refrigerator is the proper warranty wherein it is stated that the refrigerator is having 10 years warranty. Of course Ext.P6 warranty has been produced and got marked by the complainant. But the complainant is not expected to fill up the same affix the signature of the opposite party dealer and also affix the stamp. All these aspects has to be done by the dealer while effecting the sale of the product. Non issuance of proper written warranty for a product like refrigerator of course amounts to deficiency in service as well as unfair trade practice. It is also clear from the available materials that the complainant has sustained much mental agony apart from financial loss due to the manufacturing
14
defect of the refrigerator. It is clear that the complainant has used the LG Refrigerator for 14 months without any defect and thereafter it has become defective. Therefore the complainant is entitled to get a brand new and defect free refrigerator only on payment of Rs.15% of its price since the complainant used the refrigerator for about 14 months. In the circumstance the complainant is entitled to get reasonable compensation apart from getting replaced a defect free refrigerator on payment of 15% of its market value. The points answered accordingly.
Point No.5
In the result the complaint stands allowed in the following terms.
Opposite party No.1&2 are directed to replace the disputed refrigerator with a brand new refrigerator of the same value and same specifications within a period of 45 days from the date of receipt of a copy of this order on condition that the complainant shall cause production of the defective refrigerator at the shop of the 2nd opposite party along with demand draft for 15% of the value of Rs.20,700/- within 15 days from the date of receipt of a copy of this order and in such event the opposite party No.1&2 shall replace the defective refrigerator with a brand new one as stated above failing which the complainant is at liberty to realize 85% of the value of the disputed refrigerator amounting to Rs. 17595/- to the complainant within 45 days failing which the complainant is entitled to realize Rs.17595/- with interest @ 9% p.a from the date of complaint till realization and transportation cost of the refrigerator from opposite party No.1&2 and from their assets.
15
Opposite party No.1 to 3 are also directed to return Rs.3713/- received as AMC(additional warranty) and Rs.2254/- charged for replacing the main board and also Rs.5000/- as compensation and Rs.3000/- as costs of the proceedings within a period 45 days from today failing which the complainant is entitled to recover Rs.28,562/-(17595+3713+2254+5000) with interest @ 9% p.a from the date of complaint till realization with costs Rs.3000/- and transportation charges from opposite party No.1 to 3 and from their assets.
Dictated to the Confidential Assistant Smt. Deepa.S transcribed and typed by her corrected by me and pronounced in the Open Forum on this the 19th day of November 2019.
E.M.Muhammed Ibrahim:Sd/-
S.Sandhya Rani:Sd/-
Stanly Harold:Sd/-
Forwarded/by Order
Senior Superintendent
INDEX
Witnesses examined for the complainant:-
PW1 : Y.Thajudeen Koya
Documents marked for the complainant
Ext.P1:-Legal notice
Ext.P2:- Legal notice
Ext.P3:-Postal receipts
Ext.P4:-Acknowledgement card
Ext.P5:-Copy of retail invoice.
Ext.P6:-Copy of warranty
Ext.P7:-Copy of retail invoice(Rs.288/-)
Ext.P8:- Copy of retail invoice(Rs.2254/-)
Ext.P9:-Copy of record produced by the complainant
Witnesses examined by opposite parties:-
RW1 : Sebin.K.Johny
E.M.MuhammedIbrahim:Sd/-
S.SandhyaRani:Sd/-
Stanly Harold:Sd/-
Forwarded/by Order
Senior Superintendent