SCDRC Delhi Clears Hyundai Motors of Liability in Car Delivery Dispute
Last Updated on September 16, 2024 by Athi Venkatesh
The Delhi State Consumer Disputes Redressal Commission (SCDRC) ruled in favor of Hyundai Motors Ltd. in a case involving the non-delivery of a Hyundai Santro car. A coram of Justice Sangita Dhingra Sehgal and Member JP Agrawal concluded that Hyundai Motors was not responsible for the actions of its dealer, Suhrit Hyundai.
In 2008, a customer booked a Santro car at a Mayapuri dealership after seeing a promotional offer in The Times of India. The customer paid ₹3.32 lakhs in installments but did not receive the car. When the dealership failed to deliver by the promised date of February 10, 2009, the customer found that Suhrit Hyundai had shut down without notice. He filed a complaint and requested a refund from Hyundai Motors, which was not provided.
The District Consumer Commission initially ruled that Suhrit Hyundai should refund the money with 9% interest but cleared Hyundai Motors of any liability. The customer then appealed to the State Commission, arguing that Hyundai Motors should be held accountable as the dealership had closed down and failed to comply with the district forum’s order.
The SCDRC upheld the District Commission’s ruling. The State Commission stated that Hyundai Motors could not be held liable for the dealer’s actions as there was no direct contract or agreement between the customer and the car manufacturer. It also emphasized that the relationship between Hyundai Motors and Suhrit Hyundai was a principal-to-principal one, not a principal-agent relationship. Hence, Hyundai Motors had no legal obligation to fulfill the dealer’s commitment.The appeal was dismissed, clearing Hyundai Motors of any liability in the case.
