{"id":135801,"date":"2006-03-29T00:00:00","date_gmt":"2006-03-28T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/maruti-udyog-ltd-vs-susheel-kumar-gabgotra-anr-on-29-march-2006-2"},"modified":"2019-02-03T17:33:34","modified_gmt":"2019-02-03T12:03:34","slug":"maruti-udyog-ltd-vs-susheel-kumar-gabgotra-anr-on-29-march-2006-2","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/maruti-udyog-ltd-vs-susheel-kumar-gabgotra-anr-on-29-march-2006-2","title":{"rendered":"Maruti Udyog Ltd vs Susheel Kumar Gabgotra &amp; Anr on 29 March, 2006"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Maruti Udyog Ltd vs Susheel Kumar Gabgotra &amp; Anr on 29 March, 2006<\/div>\n<div class=\"doc_author\">Author: A Pasayat<\/div>\n<div class=\"doc_bench\">Bench: Arijit Pasayat, Tarun Chatterjee<\/div>\n<pre>           CASE NO.:\nAppeal (civil)  3734 of 2000\n\nPETITIONER:\nMaruti Udyog Ltd\n\nRESPONDENT:\nSusheel Kumar Gabgotra &amp; Anr\n\nDATE OF JUDGMENT: 29\/03\/2006\n\nBENCH:\nARIJIT PASAYAT &amp; TARUN CHATTERJEE\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<\/p>\n<p>ARIJIT PASAYAT, J.\n<\/p>\n<p>Challenge in this appeal is to the judgment rendered by a<br \/>\nDivision Bench of the J &amp; K High Court at Jammu dismissing<br \/>\nthe appeal filed by the appellant under Section 17 of the J&amp;K<br \/>\nConsumers Protection Act, 1988 (in short the &#8216;Act&#8217;).  Challenge<br \/>\nin the said  appeal was to the order dated 9.11.1998 passed by<br \/>\nthe J&amp;K State Consumer Redressal Commission (in short the<br \/>\n&#8216;Commission&#8217;) on a complaint filed by respondent no.1.  In the<br \/>\ncomplaint appellant and respondent no.2 were impleaded as<br \/>\nthe opposite parties.\n<\/p>\n<p>The factual background in a nutshell is as follows:\n<\/p>\n<p>Respondent-complainant filed a compliant before the<br \/>\nCommission seeking a direction to the appellant herein to take<br \/>\nback the Maruti car back and repay an amount of<br \/>\nRs.1,97,460.37 being the cost of the car supplied to him, along<br \/>\nwith interest at the rate of 18 per cent with effect from<br \/>\n27.11.1996, as the car was defective.  He also sought<br \/>\ncompensation for the loss at his place of work and coaching<br \/>\ncharges approximately Rs.60,000\/-; Rs.1,00,000\/- towards<br \/>\nmental agony, physical deterioration and emotional stress,<br \/>\nRs.15,000\/- for his trip to Karnal on the mistaken direction of<br \/>\nthe appellant and also Rs.2,500\/- towards the costs of<br \/>\nlitigation and legal consultation.\n<\/p>\n<p>Respondent No.1 complainant had purchased a Maruti<br \/>\nCar on 27.11.1996 from the appellant through its authorized<br \/>\ndealer, respondent No.2 herein, on payment of Rs.1,97,460.37<br \/>\nas sale price.  After delivery of the car, the complainant<br \/>\nnoticed that the clutch of the car was not functioning properly<br \/>\nas it developed unusual noise\/jerks on running of the engine.<br \/>\nThe defect was brought to the notice of respondent No.2,<br \/>\nwhose engineer after examining the defect told the<br \/>\ncomplainant that the clutch is behaving erratically because of<br \/>\nthe new engine and it will automatically adjust\/become defect-<br \/>\nfree after covering some mileage. But it did not happen that<br \/>\nway and on the other hand problem increased. He again<br \/>\nreported to respondent No.2 whereupon he was assured that<br \/>\nthe defect will disappear after the first service which was done<br \/>\non 19.12.1996. But the defect continued. The complainant<br \/>\nagain approached respondent No.2 and was told that the<br \/>\nengine will have to be brought down to locate the trouble<br \/>\nwhich the engineers failed to pin point.  The complainant<br \/>\nobjected to it as the defect had developed within the warranty<br \/>\nperiod and approached the Head Office (Marketing) of the<br \/>\nappellant at Gurgaon.  He wrote letter dated 19.2.1997<br \/>\nbringing to the appellant&#8217;s notice about the inherent<br \/>\nmanufacturing defect in the car and requested for its<br \/>\nreplacement. The appellant vide its letter dated 5.3.1997,<br \/>\nadvised the complainant to take the car to Modern<br \/>\nAutomobiles, Karnal, for getting the needful done.  He took the<br \/>\ncar to Karnal on 10.3.1997.  But the said concern did not test<br \/>\nthe vehicle on the ground that the same had been delivered by<br \/>\nrespondent No.2 who was responsible and can repair the<br \/>\nvehicle. The complainant came back to Jammu.  On 13.3.1997<br \/>\nthe appellant conceded to have wrongly advised the<br \/>\ncomplainant to take the car to Karnal and asked him to again<br \/>\napproach respondent No.2 at Jammu.  On 21.3.1997 Mr. H.S.<br \/>\nChahal, Senior Engineer, Regional Office, Chandigarh,<br \/>\nexamined the car but the defect could not be removed which<br \/>\ncontinued to give trouble.  The matter was again reported to<br \/>\nthe appellant and the complainant again visited respondent<br \/>\nNo.2 on 17.4.1997 but had to return with persisting defect.<br \/>\nOn 21.4.1997 the complainant addressed a letter to the<br \/>\nChairman-cum-Managing Director of the appellant-company<br \/>\nabout the manufacturing defect in the car sold to him and<br \/>\nrequested for its replacement.  No reply to the said letter was<br \/>\nreceived.  The complainant suffered financial loss not only<br \/>\nbecause of the callous and careless attitude of the appellant<br \/>\nbut also on account of the appellant having sold defective car<br \/>\nto the complainant, defects whereof could not be removed<br \/>\nthereby leaving him to face emotional stress, mental agony<br \/>\nand to drive the defective car posing a risk to his life .With<br \/>\nthese grievances complainant approached the Commission.\n<\/p>\n<p>Respondents filed their replies before the  Commission<br \/>\nstating therein that their obligation under the warranty was<br \/>\nonly to repair or replace any part found to be defective.  The<br \/>\nappellant and its authorized dealer (Respondent No.2) have<br \/>\nattended to the vehicle during the warranty period free of<br \/>\ncharges and had carried out necessary repairs and<br \/>\nreplacement of the components on 21.3.1997 to the<br \/>\nsatisfaction of the complainant.  The vehicle was again<br \/>\ninspected on 29.5.1997 and the complainant was advised to<br \/>\nleave the vehicle at the workshop of the dealer of the appellant<br \/>\nat Jammu for inspection and carrying out necessary repairs to<br \/>\nwhich the complainant did not agree.  The correspondence<br \/>\nbetween the parties has not been denied by the appellant and<br \/>\ntheir dealer (Respondent No.2).  The appellant has claimed<br \/>\nthat it is not under any obligation to take back the Maruti car<br \/>\nor repay the sale price to the complainant.\n<\/p>\n<p>The High Court held that the warranty condition relied<br \/>\nupon by the appellant did not warrant interpretation that only<br \/>\nthe defective part was to be replaced and not the car itself.<br \/>\nReference was made to certain observations in the Corpus<br \/>\nJuris Secundrum Volume 77 page 1198.  It was held that the<br \/>\nbooklet containing warranty clearly indicates promise of<br \/>\nservice and replacement with certain conditions.  It was<br \/>\nobserved that the Commission was justified in its conclusion<br \/>\nthat the appellant had agreed to replace the vehicle and had<br \/>\nadmitted that there was manufacturing defect in the<br \/>\nconcerned part.  Reliance was also placed on a decision of this<br \/>\nCourt in <a href=\"\/doc\/1259362\/\">Tata Engineering &amp; Locomotive Co. Ltd. v. Gajanan Y.<br \/>\nMandrekar<\/a> (1997(5) SCC 507). Therefore, the appellant was<br \/>\ndirected to replace the car or repay the amount received by it<br \/>\nas sale price with interest @ 18% p.a. w.e.f. 27.11.1996 with<br \/>\ncosts awarded by the Commission.\n<\/p>\n<p>In support of the appeal, learned counsel for the<br \/>\nappellant submitted that both the Commission and the High<br \/>\nCourt erred in holding that there was an admission to replace<br \/>\nthe car and\/or admission of any manufacturing defect. The<br \/>\nwarranty condition clearly refers to the replacement of the<br \/>\ndefective part and not of the car.  Observations made in the<br \/>\nCorpus Juris Secundrum had been read out of context.  It was<br \/>\nstated that at the most the Commission and the High Court<br \/>\ncould have asked for the replacement of the defective part or to<br \/>\npay the cost thereof.\n<\/p>\n<p>Learned counsel for the respondent no.1 supported the<br \/>\norders of the Commission and the High Court.\n<\/p>\n<p>The obligation under clause (3) of the Manual reads as<br \/>\nunder:\n<\/p>\n<p>&#8220;(3) Maruti&#8217;s Warranty Obligation:\n<\/p>\n<p>If any defect(s) should be found in a<br \/>\nMaruti Vehicle within the term<br \/>\nstipulated above, Maruti&#8217;s only<br \/>\nobligation is to repair or replace at<br \/>\nits sole discretion any part shown to<br \/>\nbe defective with a new part of the<br \/>\nequivalent at no cost to the owner<br \/>\nfor parts or labour, when Maruti<br \/>\nacknowledges that such a defect is<br \/>\nattributable to faculty material or<br \/>\nworkmanship at the time of<br \/>\nmanufacture.  The owner is<br \/>\nresponsible for any repair or<br \/>\nreplacement which are not covered<br \/>\nby this warranty.&#8221;\n<\/p>\n<p>\tThe Commission and the High Court have relied on so<br \/>\ncalled admission of the appellant in para 3 of the objections<br \/>\nfiled before the Commission.  In various documents, more<br \/>\nparticularly letter dated 19.2.1997 written by respondent no.1<br \/>\nto the appellant, it is clearly stated that appellant had<br \/>\nindicated that downing of the engine was necessary to trace<br \/>\nthe problem.  There was no agreement to replace the engine<br \/>\nsystem.  Additionally, it is not disputed by learned counsel for<br \/>\nthe respondent no.1 that when appellant had asked the<br \/>\nvehicle to be brought for the aforesaid purpose the respondent<br \/>\nno.1 had not done so.  To infer that there was any<br \/>\nmanufacturing defect in the said background is without any<br \/>\nfoundation.\n<\/p>\n<p>\tIn Corpus Juris Secundrum the observations to which<br \/>\nreference was made by the High Court read as follows:\n<\/p>\n<p>&#8220;On a sale of a motor vehicle by a<br \/>\nmanufacturer to dealer there may be an<br \/>\nimplied warranty that it is reasonably fit<br \/>\nfor, or adapted to, the uses for which it is<br \/>\nmade and sold; and such a warranty is<br \/>\nnot excluded by the silence of the<br \/>\ncontract of sale as to warranties.&#8221;\n<\/p>\n<p>\tThe principles stated above can never be doubted.  But<br \/>\nwhat is relevant in the case at hand is that the warranty<br \/>\nconditions were specially stated.  This is not a case of silence<br \/>\nof a contract of sale as to warranty.  Therefore, the High Court<br \/>\nwas not justified in directing replacement of the vehicle.\n<\/p>\n<p> But on the peculiar fact of the case relief to the<br \/>\nrespondent no.1 has to be moulded.  In almost a similar case<br \/>\ncertain directions were given in <a href=\"\/doc\/943637\/\">Jose Phillip Mampillil v.<br \/>\nPremier Automobiles Ltd.<\/a> (2004 (2) SCC 278).\n<\/p>\n<p>\tIn line with what has been stated in the aforesaid case,<br \/>\nwe direct as follows:-\n<\/p>\n<p>(1)\tOn respondent no.1 taking the vehicle in<br \/>\nquestion to the authorized service centre of the<br \/>\nappellant at Jammu within three weeks,  the<br \/>\ndefective part that is  clutches assembly shall<br \/>\nbe replaced.  Respondent no.1 shall not be<br \/>\nrequired to pay any charge for the<br \/>\nreplacement.\n<\/p>\n<p>2.\tIn addition, respondent no.1 shall be entitled<br \/>\nto receive a consolidated sum of Rs. 50,000\/-<br \/>\n(rupees fifty thousand only) from the appellant<br \/>\nfor cost of travel to Karnal which admittedly<br \/>\nwas wrongly advised by the appellant, for the<br \/>\ninconvenience caused to respondent no.1 on<br \/>\naccount of the acts of the appellant and the<br \/>\nrespondent no.2 and the cost of litigation.\n<\/p>\n<p>\tThe appeal is allowed to the aforesaid extent. There shall<br \/>\nbe no order as to costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Maruti Udyog Ltd vs Susheel Kumar Gabgotra &amp; Anr on 29 March, 2006 Author: A Pasayat Bench: Arijit Pasayat, Tarun Chatterjee CASE NO.: Appeal (civil) 3734 of 2000 PETITIONER: Maruti Udyog Ltd RESPONDENT: Susheel Kumar Gabgotra &amp; Anr DATE OF JUDGMENT: 29\/03\/2006 BENCH: ARIJIT PASAYAT &amp; TARUN CHATTERJEE JUDGMENT: J U [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-135801","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Maruti Udyog Ltd vs Susheel Kumar Gabgotra &amp; 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