Unregistered organisations can't file cases: NCDRC

  • The National Consumer Diputes Redressal Commission (NCDRC), has ruled that trusts, unregistered consumer organizations, residents' welfare associations (RWAs), cooperative societies or associations of flat or plot buyers cannot file a case for one or more consumers or on behalf of a group ending the ambiguity on who can approach the consumer forum under the category of “Voluntary Consumer Association (VCA)". 
    There have been numerous cases when trusts and unregistered entities filed cases in NCDRC seeking relief for consumers. Section 12 of the Consumer Protection Act indicates that besides individual consumers only “recognized consumer organization” (i.e. those VCAs that are registered under any law) can file a case in the consumer forums.

    The NCDRC and the Supreme Court have already ruled that a group of consumers with the same interest can come together without forming any association to file a case in NCDRC. The NCDRC can take up cases directly where the claim is Rs. 1 crore or more. If the claim is less, then consumers need to file cases in the district forum or state commission.

    Visit the Indian Kanoon section of LawRato to learn more on Indian Laws.

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