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Rajasthan High Court
High Courts

Writ Against NCDRC Orders Need Not Go Only to Delhi: Rajasthan High Court Restores JDA's Dismissed Consumer Appeal

Published: · NyayVidhan

The Rajasthan High Court held that it could hear the Jaipur Development Authority's writ petition against orders of the National Consumer Disputes Redressal Commission (NCDRC), rejecting the objection that, as the NCDRC sits in Delhi, only the Delhi High Court could. The complaint was decided at Jaipur, where the State Commission later issued bailable warrants in contempt proceedings (paras 15, 17). Holding that a litigant should not suffer for its counsel's absence, the Court restored the appeal the NCDRC had dismissed in default (paras 7, 18).

Writ Against NCDRC Orders Need Not Go Only to Delhi: Rajasthan High Court Restores JDA's Dismissed Consumer Appeal

Judgment Intelligence

Petition Allowed
Commissioner, Jaipur Development Authority & Anr. v. Rajeev Chaturvedi
2024:RJ-JP:3407
S.B. Civil Writ Petition No. 19865/2023
Court
Rajasthan High Court
Date of Decision
19 January 2024
Bench
Justice Anoop Kumar Dhand
Relevant Acts & Sections
Constitution of India — Article 226(2); Code of Civil Procedure, 1908 — Sections 20(c), 141; Consumer Protection Act, 2019 — Section 58(1)(a)
Final Outcome

Writ petition allowed; NCDRC orders of 14.06.2022 and 13.04.2023 quashed; appeal restored to its original number on the JDA paying Rs.10,000 to the respondent, with the parties to appear before the NCDRC on 08.02.2024 and the appeal to be expedited (paras 18-19). A special appeal, D.B. SAW/157/2024, has been filed.

Key holdings

  1. Even a small fraction of the cause of action within its territory gives a High Court jurisdiction (paras 10, 13).
  2. The Jaipur State Commission's order, in operation and enforced through contempt proceedings, founded jurisdiction (para 15).
  3. NCDRC orders not appealable under Section 58(1)(a)(i) or (ii) of the 2019 Act go to the concerned High Court (paras 16-17).
  4. A party that complied with every deposit direction should not lose its appeal for its counsel's absence (para 7).

Case explainer by NyayVidhan: an account of this judgment and the law it laid down, not the court's text. The judgment itself is the authoritative version.

Brief Facts

The respondent's consumer complaint against the Jaipur Development Authority (JDA) was allowed by the Rajasthan State Commission at Jaipur on 27.09.2018, awarding Rs.46,40,400 with 9% interest, Rs.2,00,000 compensation and Rs.50,000 costs (paras 3, 6). In the JDA's appeal, the NCDRC directed a deposit of Rs.46,40,400 on 13.02.2020, which was paid and released to the respondent (para 6). The JDA's counsel did not appear despite an e-mail notice for physical hearing, and the appeal was dismissed for want of prosecution on 14.06.2022; restoration was refused on 13.04.2023 (paras 2, 6). The Supreme Court, on 18.08.2023, gave liberty to approach the High Court (paras 3, 17). The respondent objected that only the Delhi High Court had jurisdiction (para 4).

Court's Findings

On the merits, the Court applied the rule, stated in Om Prakash Vijay, that a party cannot suffer for its advocate's mistake: a large sum was at stake, the JDA had complied with every NCDRC direction, and the appeal ought to have been decided on merits (para 7). On jurisdiction, the Court explained that the cause of action means the material facts a petitioner must prove, and that clause (2) of Article 226 and Section 20(c) CPC are in pari materia, so even a small fraction of the cause of action arising within its territory confers jurisdiction (paras 9-13), citing Adani Exports on integral facts (para 14). The original order was passed by the State Commission at Jaipur; once the appeal and restoration were dismissed, that order came into operation, the respondent filed a contempt petition and the State Commission issued bailable warrants for an office bearer of the JDA (para 15). Under Ibrat Faizan, NCDRC orders not appealable to the Supreme Court under Section 58(1)(a)(i) or (ii) of the Consumer Protection Act, 2019 can be challenged before the concerned High Court; here that was this Court, not only the Delhi High Court (paras 16-17).

Legal Principle

Where a State Commission in Rajasthan decided the consumer dispute and its order is being enforced there, part of the cause of action arises in the State, and the Rajasthan High Court may hear a writ petition against NCDRC orders not appealable to the Supreme Court, though the NCDRC sits in Delhi (paras 13, 15-17).

Precedents Relied Upon

  1. Om Prakash Vijay v. State of Rajasthan 2011 W.L.C. (Raj.) UC 684
    Followed Discussed at ¶ 3, 7

    A litigant may not be made to suffer for the mistake of counsel; relied on to restore an appeal dismissed in default for counsel's non-appearance.

  2. M/s. Universal Sompo General Insurance Co. Ltd. v. Suresh Chand Jain & Anr. SLP (Civil) No. 5263/2023
    Referred To Discussed at ¶ 3

    Cited in the petitioners' submissions as the judgment in the light of which the Supreme Court disposed of their SLP and granted liberty to approach the High Court.

  3. M/s. Puri Investments v. M/s. Young Friends and Co. & Ors. Civil Appeal No. 1609/2022
    Referred To Discussed at ¶ 4

    Cited by the respondent's counsel for the objection that the High Court lacked jurisdiction over the NCDRC orders.

View all precedents (5)
  1. Union of India & Ors. v. Adani Exports Ltd. & Anr. (2002) 1 SCC 567
    Relied Upon Discussed at ¶ 14

    To confer jurisdiction on a High Court, the writ petition must show that the integral facts pleaded in support of the cause of action arose, wholly or in part, within its jurisdiction.

  2. Ibrat Faizan v. Omaxe Buildhome Private Limited 2022 LiveLaw (SC) 481
    Applied Discussed at ¶ 16, 17

    Only NCDRC orders under Section 58(1)(a)(i) or (ii) of the Consumer Protection Act, 2019 are appealable to the Supreme Court; other NCDRC orders can be challenged before the concerned High Court, which the Court held to be the Rajasthan High Court where the State Commission at Jaipur decided the complaint.

NyayVidhan
Court Judgments · 3 min read
Decided: January 19, 2024 Justice Anoop Kumar Dhand
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