Interest of dealers not independent of vehicle manufacturer: SC

Delhi | Thursday | 14th October, 2021

Summary:

New Delhi, Oct 14 (PTI) The Supreme Court has set aside an order of the National Consumer Disputes Redressal Commission (NCDRC), which directed a car dealer to pay Rs 7.43 lakh compensation for deficiency of service over a misleading advertisement, saying the interest of the dealers is not independent of the vehicle manufacturer.

The complainant, who purchased a Ford Fiesta (Diesel) car from A B Motors Pvt Ltd, Dehradun, claimed that Ford India Pvt Ltd had published a misleading advertisement in newspapers claiming an average mileage of 31.4 km litre whereas the actual mileage was 15-16 km/litre.

He filed a complaint before the District Forum which was allowed and the manufacturer along with the dealer were directed to make a payment of Rs 7,43,200 to him upon the return of the vehicle.

A sum of Rs 10,000 was also awarded towards costs.

Ford India filed an appeal before the State Commission which was dismissed.

Later, the NCDRC allowed the revision petition.