Friday, December 21, 2007

HC stays stiff fine on GoAir

New Delhi: Keeping with the trend of orders by the State Consumer Commission being stayed due to its jurisdiction being challenged, Delhi High Court on Thursday stayed a consumer commission order against GoAir airline.
The commission had ordered the firm which operates the no-frills airline GoAir to pay Rs 15,000 to each passenger of a flight that was cancelled due to a technical snag. The order had come on the petition of one affected consumer who claimed the cancellation cost him harassment and mental agony.
However, justice Pradeep Nandrajog stayed the order on a petition filed by GoAirlines challenging the commission’s jurisdiction. HC also issued notice to Yogesh Kumar, on whose petition the commission had passed its order and directed him to respond by April next year.
Senior advocate Rajiv Nayyar, appearing for the airline, contended that state commission has no power to proceed in such a sweeping fashion under section 14 (1)(hb) of the Consumer Protection Act 1986. Even if such a power existed, the commission could not have decided to extend the benefit of its order to all other passengers of the flight without giving the airline an opportunity to defend itself, the advocate argued.
21/12/07 Times of India
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