Consumer Protection: Centre revises pecuniary jurisdiction of district, state and national commissions

As per the new rules, the new pecuniary jurisdiction for District Commissions would be up to Rs 50 lakh for value of the goods or services paid as consideration, for State Commissions from Rs 50 lakh to Rs 2 crore and National Commission more than Rs 2 crore, according to a release issued by Ministry of Consumer Affairs, Food & Public Distribution.

According to the existing provisions of the Act, District Commissions have jurisdiction to entertain complaints where value of the goods or services paid as consideration does not exceed Rs 1 crore.

State Commissions have jurisdiction to entertain complaints where value of the goods or services paid as consideration, exceeds Rs 1 crore, but does not exceed Rs 10 crore and National Commission has jurisdiction to entertain complaints where value of goods or services paid as consideration exceeds Rs 10 crore.

After the Act came into force, it was observed that the existing provisions relating to pecuniary jurisdiction of consumer commissions were leading to cases which could earlier be filed in National Commission to be filed in State Commissions and cases which could earlier be filed in State Commissions to be filed in District Commissions.

This caused a significant increase in the workload of District Commissions, leading to rise in pendency and delay in disposal of cases, defeating the very object of securing speedy redressal to consumers as envisaged under the Act.

The pecuniary jurisdictions have been amended after Central Government held wide consultation with States/UTs, consumer organizations, law chairs etc. and examined the issues that had created long pendency of cases in detail.