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TMI Blog2003 (12) TMI 617X X X X Extracts X X X X X X X X Extracts X X X X ..... tion to decide the dispute between members and cooperative society in view of Section 90 of the Tamil Nadu Cooperative Societies Act, 1983 (for short `the Act'). The District Forum, in the light of the pleadings of the parties, raised the following points for determination:- "1) Whether the complainants are consumers and whether there is any consumer disputes within the meaning of the Consumer Protection Act and whether this Forum has no jurisdiction to entertain the complaints of this nature and decide the issue? 2) Whether there is any deficiency in service and negligence on the part of the opposite party in all the complaints? 3) Whether the complainants in all the complaints are entitled to the reliefs prayed for?" The District Forum answered the points 1 and 2 in favour of the respondents and granted relief. The appellant took up the matters in appeal before the State Consumer Disputes Redressal Commission. The respondents also filed appeal to the extent they were aggrieved in regard to payment of interest from 14.9.1992. The State Com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions of the Act and the 1986 Act. He cited few decisions in support of his submissions. He alternatively submitted that in case his contentions are not accepted, the State Commission having not decided other contentions on merit in the appeal filed by the appellant, the matter may be remanded to the State Commission to adjudicate the issues other than the issue of maintainability. In opposition, the learned senior counsel, who assisted the Court at our request in the absence of any representation despite service of notice on the respondents, supported the impugned order, contending that Section 3 of the 1986 Act clearly shows that the remedy available under the 1986 Act is in addition to and not in derogation of the other remedies available; having regard to the Statement of Objects and Reasons and the purpose sought to be served by the 1986 Act, it cannot be said that District Forum had no jurisdiction to decide the disputes. He submitted that even under Section 156 of the Act, the jurisdiction of the District Forum is not barred; if at all, it is only the jurisdiction of the civil court in respect of certain matters is barred. He added that a consumer may include a member of coo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rce no order or award passed, decision or action taken or direction issued under this Act by an arbitrator, a liquidator, the Registrar or an officer authorized or empowered by him, the Tribunal or the Government or any officer subordinate to them, shall be liable to be called in question in any court and no injunction shall be granted by any court in respect of anything which is done or intended to be done by or under this Act." Section 3 of the 1986 Act reads:- "Section 3. Act not in derogation of any other law - The provisions of this Act shall be in addition to and not in derogation of the provisions of any other law for the time being in force." Before proceeding further, it is useful to know the background, the objects and reasons and purpose for which the 1986 Act is enacted. Consequent upon Industrial Revolution and vast development and expansion in the field of international trade and commerce, variety of consumer goods entered the market to meet the needs of the consumers and most of services like insurance, transport, electricity, housing, entertainment, finance and banking have been made available to the consumers. Well-organized sectors of manufacturers and traders ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the right to be assured, wherever possible, access to an authority of goods at competitive prices; the right to be heard and to be assured that the interest of consumers will receive due consideration at appropriate forums; the right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers and right to consumer education. The object is also to provide speedy and simple redressal to consumer disputes, a quasi judicial machinery is sought to be set up at the district, State and Central levels. These Quasi Judicial bodies will observe principles of natural justice and have been empowered to give relief of specific nature and to award, wherever appropriate, compensation to consumers. Penalties for non-compliance of orders given by Quasi Judicial bodies have also been provided. The preamble of the Act declares that it is an Act to provide for better protection of the interest of consumers and for that purpose to make provision for the establishment of consumer councils and other authorities for the settlement of consumers disputes and matters connected therewith. In Section 3 of the Act in clear and unambiguous terms it is stated that the provisions of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the protection of the interest of consumers'. Use of the word 'protection' furnishes key to the minds of makers of the Act. Various definitions and provisions which elaborately attempt to achieve this objective have to be construed in this light without departing from the settled view that a preamble cannot control otherwise plain meaning of a provision. In fact the law meets long felt necessity of protecting the common man from such wrongs for which the remedy under ordinary law for various reasons has become illusory. Various legislations and regulations permitting the State to intervene and protect interest of the consumers have become a haven for unscrupulous ones as the enforcement machinery either does not move or it moves ineffectively, inefficiently and for reasons which are not necessary to be stated. The importance of the Act lies in promoting welfare of the society by enabling the consumer to participate directly in the market economy. It attempts to remove the helplessness of a consumer which he faces against powerful, business, described as, 'a network of rackets' or a society in which, 'producers have secured power' to 'rob the rest&# ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e power by the judicial authority under the Act. It is a matter of discretion. Considered from this perspective, we hold that though the District Forum, State Commission and National Commission are judicial authorities, for the purpose of Section 34 of the Arbitration Act, in view of the object of the Act and by operation of Section 3 thereof, we are of the considered view that it would be appropriate that these forums created under the Act are at liberty to proceed with the matters in accordance with the provisions of the Act rather than relegating the parties to an arbitration proceedings pursuant to a contract entered into between the parties. The reason is that the Act intends to relieve the consumers of the cumbersome arbitration proceedings or civil action unless the forums on their own and on the peculiar facts and circumstances of a particular case, come to the conclusion that the appropriate forum for adjudication of the disputes would be otherwise those given in the Act." (emphasis supplied) Again in Spring Meadows Hospital and another vs. Harjol Ahluwalia through K.S. Ahluwalia and another [(1998) 4 SCC 39], this Court, having taken note of the background in which the 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tim did not file claim petition before the Motor Accidents Claims Tribunal constituted under the Motor Vehicles Act, 1988. After expiry of the period of limitation for filing claim petition before the Motor Accidents Claims Tribunal, the LRs of the deceased filed a complaint claiming Rs.20 lakhs before the National Commission. As can be seen from paragraph 6 of the judgment, the question that arose for consideration was whether the National Commission had jurisdiction to entertain the claim application and award compensation in respect of an accident involving the death of a person caused by the use of a motor vehicle. Taking note of the fact that the Claims Tribunals constituted under the Motor Vehicles Act, 1988 had jurisdiction to entertain claim for compensation which clearly fell within the ambit of Section 165 of the Motor Vehicles Act, 1988, held that the 1988 Act can be said to be a special Act in relation to claims of compensation arising out of the use of a motor vehicle. It is observed that the accident occurred had nothing to do with service provided to the deceased, if one reads the provision along with the definition of complaint in Section 2(1)(c) and service in Sect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder the 1986 Act expressly and intentionally to serve a definite cause in terms of the objects and reasons of the Act, reference to which is already made above. When the decision of Dhulabhai's case was rendered the provisions similar to 1986 Act providing additional remedies to parties were neither available nor considered. If the argument of the learned counsel for the appellant is accepted it leads to taking away the additional remedies and forums expressly provided under the 1986 Act, which is not acceptable. The question of conflict of decisions may not arise. If the parties approach both the forums created under the Act and the 1986 Act, as indicated in the case of Fair Air Engineers (P) Ltd. (supra), it is for the forum under the 1986 Act to leave the parties either to proceed or avail the remedies before the other forums, depending on the facts and circumstances of the case. Thus, having regard to all aspects we are of the view that the National Commission was right in holding that the view taken by the State Commission that the provisions under the Act relating to reference of disputes to arbitration shall prevail over the provisions of the 1986 Act is incorrect and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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