M/S. SS GROUP PVT. LTD.versusAADITIYA J. GARG & ANR.
- Citation
- 2020 INSC 708
- Decided
- 17 December 2020
- Disposal
- Appeal(s) allowed
Holding
The Supreme Court held that the March 23, 2020 order extending limitation periods applies to consumer dispute proceedings, so the delayed filing of the written statement is permissible and must be taken on record.
Summary
The respondents booked flats with the appellant‑builder but the flats were not delivered on time, prompting them to file consumer complaints before the National Consumer Disputes Redressal Commission (NCDRC) seeking a refund. Under Section 38(2)(a) of the Consumer Protection Act, 2019, the appellant had 30 days to file a written statement, extendable by a further 15 days, but it filed the statement on 31 August 2020, four days beyond the 45‑day limit. The NCDRC refused to accept the statement, relying on New India Assurance Co. Ltd. v. Hilli Multipurpose Cold Storage (2020) which held that the consumer court cannot extend the time beyond 45 days. The appellant appealed, and the Supreme Court examined whether the Court’s March 23, 2020 order extending limitation periods for all proceedings due to the COVID‑19 pandemic applied to this case. The Court held that the extension order is binding on all tribunals, including the NCDRC, and therefore the four‑day delay was condoned. Consequently, the appeals were allowed, the NCDRC’s order was set aside, and the appellant’s written statement was ordered to be taken on record.
Issues considered
- Whether the National Consumer Disputes Redressal Commission could reject a written statement filed after the 45‑day period prescribed under Section 38 of the Consumer Protection Act, 2019, in view of the Supreme Court's March 23, 2020 order extending limitation periods due to the COVID‑19 pandemic.
Legislation cited
Subjects
Judgment
[2020] 13 S.C.R. 779 779
M/s. SS GROUP PVT. LTD. A
v.
AADITIYA J. GARG & ANR.
(Civil Appeal Nos. 4085 of 2020)
DECEMBER 17, 2020 B
[VINEET SARAN AND S. RAVINDRA BHAT, JJ.]
Consumer Protection Act, 1986: s.38 – Deficiency in service
– Respondents booked flats with the appellant-builder – Flats were
not delivered on time – Consumer complaint filed before National C
Commission claiming refund of money – Notices issued in June 2020
and received by the appellant on 13 July 2020 – Written statement/
reply filed by appellant on 31 August 2020 which was beyond the
period of 45 days – National Commission declined to take the written
statement on record on the ground that Consumer Court has no
D
power to extend the time for filing the response to the complaint
beyond 45 days – Held: It is true that written statement cannot be
allowed to be filed beyond the period of 45 days as per s.38 of the
Act – However, in the wake of Covid 19 pandemic, on 23 March
2020, Supreme Court in Re: Cognizance for Extension of Limitation,
had passed an order granting extension of period of limitation in E
all proceedings irrespective of limitation prescribed under the general
law or special laws whether condonable or not w.e.f. 15 March
2020 till further orders – It is admitted fact that the period of
limitation of 30 days to file the written statement had expired on 12
August 2020 and the extended period of 15 days expired on 27 F
August 2020 – This period expired when order dated 23 March
2020 was continuing – In view thereof, the limitation for filing written
statement in the present proceedings before National Commission
would be deemed to have been extended as order dated 23 March
2020 made extended period of limitation applicable to all petitions/ G
applications/suits/appeals and all other proceedings – As such delay
of four days in filing written statement in the pending proceedings
before the National Commission is allowed.
H
779
780 SUPREME COURT REPORTS [2020] 13 S.C.R.
A CIVIL APPELLATE JURISDICTION: Civil Appeal No. 4085
of 2020.
From the Judgment and Order dated 07.09.2020 of the National
Consumer Disputes Redressal Commission, New Delhi in I.A. No. 5276
of 2020 in C.C. No. 488 of 2020.
B With
Civil Appeal Nos. 4086, 4087, 4088, 4089, 4090, 4091, 4092, 4093
of 2020.
Sanjay K. Shandilya, Apoorva Agarwal, Abhishek, Mushtaq
Ahmad, Advs. for the Appellant.
C Naveen Kumar, Adv. for the Respondents.
The following Order of the Court was passed:
ORDER
Leave granted.
This batch of civil appeals has been filed by the appellant/builder
D challenging the order dated 07.09.2020 passed by the the National
Consumer Disputes Redressal Commission, New Delhi (“the National
Commission”, for short).
The respondents herein had booked the flats with the appellant
and since the flats were allegedly not delivered on time, the respondents
filed Consumer Complaints before the National Commission claiming
E refund of money.
The notices in each of the complaint petitions were issued by the
National Commission in June 2020 and were received by the appellant
on 13.07.2020 in each of complaint cases.
It is submitted that as per Section 38(2)(a) of the Consumer
F Protection Act, 2019, 30 days time is provided for filing written statement,
which could be extended for a further period of 15 days. In the present
matter, the period of 30 days expired on 12.08.2020 and extended period
of 15 days expired on 27.08.2020.
Admittedly, the written statement/reply was filed by the appellant
G before the National Commission on 31.08.2020, which filing was beyond
the period of 45 days. The National Commission thus declined to take
the written statement on record in view of the Constitution Bench decision
of this Court in New India Assurance Co. Ltd. v. Hilli Multipurpose
Cold Storage (P) Ltd.,(2020) 5 SCC 757, wherein it has been held that
the Consumer Court has no power to extend the time for filing the
H
M/s. SS GROUP PVT. LTD. v. AADITIYA J. GARG & ANR. 781
response to the complaint beyond 45 days. Said decision of the National A
Commission is presently under challenge in these appeals.
We have heard Mr. Sanjay K. Shandilya, learned counsel
appearing for the appellant and Mr. Naveen Kumar, learned counsel
appearing for the respondents on caveat.
Learned counsel for the respondents submits that the respondents B
do not wish to file counter affidavit and, therefore, these appeals be
disposed of.
With the assistance of the learned counsel for both the sides, we
have carefully perused the record.
C
It is true that the decision of the Constitution Bench of this Court
in New India Assurance Co. Ltd. (supra) clearly provides that no written
statement is to be allowed to be filed beyond the period of 45 days as per
Section 38 of the Consumer Protection Act, 2019. However, in this
context, it is noteworthy to refer to the order dated 23.03.2020 passed
by this Court in SMW(C) No.3 of 2020, titled as “In Re: Cognizance for D
Extension of Limitation”, which reads as under:
“This Court has taken Suo Motu cognizance of the situation arising
out of the challenge faced by the country on account of Covid-19
Virus and resultant difficulties that may be faced by litigants across
the country in filing their petitions/applications/suits/ appeals/all E
other proceedings within the period of limitation prescribed under
the general law of limitation or under Special Laws (both Central
and/or State).
To obviate such difficulties and to ensure that lawyers/litigants do
not have to come physically to file such proceedings in respective
F
Courts/Tribunals across the country including this Court, it is hereby
ordered that a period of limitation in all such proceedings,
irrespective of the limitation prescribed under the general law or
Special Laws whether condonable or not shall stand extended
w.e.f. 15th March 2020 till further order/s to be passed by this
Court in present proceedings. G
We are exercising this power under Article 142 read with Article
141 of the Constitution of India and declare that this order is a
binding order within the meaning of Article 141 on all Courts/
Tribunals and authorities.
H
782 SUPREME COURT REPORTS [2020] 13 S.C.R.
A This order may be brought to the notice of all High Courts for
being communicated to all subordinate Courts/Tribunals within their
respective jurisdiction.
Issue notice to all the Registrars General of the High Courts,
returnable in four weeks.”
B (Emphasis supplied)
The above order is still operative and by subsequent orders, the
scope has been enlarged so that the said order applies in other proceedings
also.
C In the present matter, it is an admitted fact that the period of
limitation of 30 days to file the written statement had expired on 12.08.2020
and the extended period of 15 days expired on 27.08.2020. This period
expired when the order dated 23.03.2020 passed by this Court in SMW(C)
No.3 of 2020 was continuing.
D In view of the aforesaid, in our opinion, the limitation for filing the
written statement in the present proceedings before the National
Commission would be deemed to have been extended as it is clear from
the order dated 23.03.2020 that the extended period of limitation was
applicable to all petitions/ applications/suits/appeals and all other
proceedings. As such, the delay of four days in filing the written
E statements in the pending proceedings before the National Commission
deserves to be allowed, and is accordingly allowed.
In the circumstances, we allow these appeals, set-aside the order
passed by the National Commission and direct that (i) the written
statement filed by the appellant shall be taken on record; and, (ii) the
F matter shall thereafter be proceeded with expeditiously and in accordance
with law.
With the aforesaid observations, the appeals are allowed with no
order as to costs.
Devika Gujral Appeals allowed
G
H
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