LAXMI ENGINEERING WORKS versus P.S.G. INDUSTRIAL INSTITUTE

LAXMI ENGINEERING WORKS versus P.S.G. INDUSTRIAL INSTITUTE

A person who purchases goods for use by himself exclusively for earning his livelihood by means of self-employment is a 'consumer', but appellant's purchase was not for such purpose; machine was for commercial activity on a large scale, and thus appellant is not a 'consumer' under S.2(d). Explanation to S.2(d) is clarificatory and affirms prior National Commission decisions.

Parties
Appellant: Laxmi Engineering Works; Respondent: P.S.G. Industrial Institute
Jurisdiction
India
Judgment Date
04 April 1995
Procedural Posture
Civil Appeal / Appeal From National Consumer Disputes Redressal Commission Decision
Outcome
Appeal dismissed.
Legal Topics
Definition of Consumer, Commercial Purpose, Jurisdiction of Consumer Forums, Quasi Judicial Tribunals
Consumer Protection Definition of Consumer Commercial Purpose Jurisdiction of Consumer Forums Quasi Judicial Tribunals

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Parties

Laxmi Engineering Works

Appellant

P.S.G. Industrial Institute

Respondent

Procedural Posture

Civil Appeal / Appeal From National Consumer Disputes Redressal Commission Decision

Legal Issues

  1. 1 Meaning and ambit of 'commercial purpose' under S.2(d) of Consumer Protection Act
  2. 2 Applicability of Explanation to S.2(d) inserted by Act 50 of 1993
  3. 3 Whether appellant is a consumer under the Act given the purpose of purchase

Ratio Decidendi

A person who purchases goods for use by himself exclusively for earning his livelihood by means of self-employment is a 'consumer', but appellant's purchase was not for such purpose; machine was for commercial activity on a large scale, and thus appellant is not a 'consumer' under S.2(d). Explanation to S.2(d) is clarificatory and affirms prior National Commission decisions.

Court Disposition

Appeal dismissed.

Orders

  • No costs.
  • Appellant may file suit for relief claimed, benefiting from Section 14 of Limitation Act for time spent prosecuting under Consumer Protection Act.