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Need to establish permanent body for consumer disputes SC to Centre

by AIP Online Bureau | May 21, 2025 | Eco/Invest/Demography, Indian News, Policy | 0 comments

“The Union of India is directed to file an affidavit on the feasibility of a permanent adjudicatory forum for consumer disputes, either in the form of a consumer tribunal or a consumer court, within a period of three months from today, on the touchstone of the constitutional mandate.”

New Delhi: Outlining the need to establish a permanent body, the Supreme Court on Wednesday directed the Centre to inform within three months on the feasibility of a permanent adjudicatory forum for consumer disputes.

A bench of Justices Abhay S Oka and M M Sundresh said since the essence of consumerism was embedded within the Constitution, there was absolutely no reason to fill the consumer body with tenure-based offices for the staff, members and presidents.

“The Union of India is directed to file an affidavit on the feasibility of a permanent adjudicatory forum for consumer disputes, either in the form of a consumer tribunal or a consumer court, within a period of three months from today, on the touchstone of the constitutional mandate.”

The court went on, “Such a forum shall consist of permanent members, including both staff and the Presiding officers. The Union of India may also consider facilitating sitting Judges to head the fora. The strength may be increased adequately.”
While it left to Centre’s “wisdom to revamp the existing structure with holistic changes”, the bench underlined the need to appreciate the pressing need for a permanent structure.

The consumer body can be given permanency through permanent staffers and officers, including presidents and members on different levels, it said.

“The security of tenure attached to an office administering justice, enhances its efficiency and functionality. Any person appointed to an office with a fixed tenure would not be as motivated as one appointed on a permanent basis,” it said.

The order further noted that impermanence would affect the quality of decisions, resulting in injury to consumers.

“A consumer is ideally expected to get a qualitative and timely decision from the consumer forum concerned. Such a decision is the best advertisement for the concept of consumerism. We feel that the time has come to effect a change in mindset qua revamping the tenure of office in Consumer fora,” the bench said.

The apex court said giving permanency would go a long way in developing and enhancing the concept of consumerism.

The verdict expressed hope that the Centre would closely examine the issue and act appropriately.

“We may also point out that though provisions for taking action against those who have erred is part of the current legal framework, there is no clear mechanism available, similar to the one provided for under Article 227 of the Constitution. At this juncture, we deem it fit to suggest that the Union of India may consider increasing the strength of Consumer fora at all levels,” the top court said.

The directions came on a plea alleging lacunae in the implementation of the Consumer Protection Act, 1986.

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