Whether a charitable trust is a “Consumer”? : SC
Last Updated on September 18, 2024 by Shianjany Pradhan
The SC sought the assistance of the Union of India through the Ministry of Consumer Affairs as the respondent in the case involving the issue of whether a charitable trust can be considered a consumer under the Consumer Protection Act of 1986.
Under section 2(1)(d), the definition of a consumer has been given as the person who buys any goods or services for consideration. It excludes any goods and services which are bought for commercial purposes.
The amendment of the cause title for the inclusion of the Union of India was permitted by the bench of Justice Abhay S Oka, Justice Pankaj Mithal, and Justice Ahsanuddin Amanullah.
The issue was referred to a larger bench in 2019 by a division bench that concluded that the charitable trust would fall under the definition of consumer.
On 18th September, during the hearing, it was argued by the petitioner-trust that the definition of person would include a variety of entities, and this was also agreed upon by the bench.
It was also said that the definition would also include Trusts and if the definition excludes trust, then it would fail the intent of the legislation.
A “consumer” refers to someone buying goods or services for consideration but expands to include online and teleshopping transactions.
The same should also include firms, Hindu undivided families, corporations, and artificial juridical persons.
