All proceedings instituted before 20 July 2020 under the Consumer Protection Act 1986 shall continue to be heard by the fora corresponding to those designated under the Consumer Protection Act 1986 and not be transferred in terms of the new pecuniary limits established under the Consumer Protection Act 2019 – Neena Aneja & Anr. Vs. Jai Prakash Associates Ltd. – SC

Hon’ble Supreme Court holds that it is accepted, that in defining the jurisdiction of the District Commission, Section 34 of the Act of 2019 entrusts the jurisdiction to “entertain” complaints. A similar provision is contained in Section 47 and Section 58 in regard to the SCDRC and NCDRC. The expression “entertain” has been considered in a two judge Bench decision of this Court in Hindusthan Commercial Bank Ltd. v. Punnu Sahu (Dead) Through Legal Representatives((“Hindusthan Commercial Bank”; (1971) 3 SCC 124)), in the context of the provisions of Order XXI Rule 90 of the CPC. The Court has accepted that the expression “entertain” means to adjudicate upon or proceed to consider on merits. In Nusli Neville(supra), while considering the provisions of Section 9A of the CPC as inserted by a Maharashtra Amendment, a two judge Bench followed the exposition in Hindusthan Commercial Bank(supra). Undoubtedly, the expression “entertain” has been construed in the context of Section 9A of the Code of Civil Procedure, as amended in Maharashtra, by a three judge Bench of this Court in Nusli Wadia(supra) to mean “to adjudicate upon or to proceed to consider on merits”. Sections 34, 47 and 58 similarly indicate that the respective consumer fora can entertain complaints within the pecuniary limits of their jurisdiction. These provisions will undoubtedly apply to complaints which were instituted after the Act of 2019 came into force. However, the mere use of the word “entertain” in defining jurisdiction is not sufficient to counteract the overwhelming legislative intention to ensure consumer welfare and deliberately not provide for a provision for transfer of pending proceedings in the Act of 2019 or under Section 106 of the Act of 2019 which is a power to remove difficulties for a period of two years after the commencement of the Act of 2019.

All proceedings instituted before 20 July 2020 under the Consumer Protection Act 1986 shall continue to be heard by the fora corresponding to those designated under the Consumer Protection Act 1986 and not be transferred in terms of the new pecuniary limits established under the Consumer Protection Act 2019 – Neena Aneja & Anr. Vs. Jai Prakash Associates Ltd. – SC Read Post »