Jurisdiction of the National Consumer Disputes Redressal Commission (NCDRC) under the Consumer Protection Act, 2019

The National Consumer Disputes Redressal Commission (NCDRC) plays a critical role in the adjudication of consumer disputes across India. It is the apex body that handles consumer complaints, appeals, and revisions under the Consumer Protection Act, 2019. As a quasi-judicial authority, the NCDRC’s jurisdiction is clearly defined to ensure efficient resolution of disputes involving consumers and businesses.

Under Section 58(1) of the Consumer Protection Act, 2019, the jurisdiction of the National Commission is outlined as follows:

1. Complaints Involving Goods or Services Exceeding Two Crore Rupees

The NCDRC has jurisdiction to entertain complaints where the value of the goods or services paid as consideration exceeds two crore rupees. This includes disputes related to defective products, deficient services, and any unfair trade practices involving high-value transactions.

• Example: If a consumer purchases a luxury vehicle or an expensive real estate property, and faces issues related to quality or service, they can approach the NCDRC if the value exceeds ₹2 crore.

Proviso: The Central Government has the discretion to prescribe a different value if necessary, but as of now, complaints involving goods or services exceeding ₹2 crore fall under the NCDRC’s jurisdiction.

2. Complaints Against Unfair Contracts (Exceeding Ten Crore Rupees)

In cases involving unfair contracts, where the value of goods or services exceeds ten crore rupees, the NCDRC has exclusive jurisdiction to entertain such complaints. These types of complaints typically arise from situations where consumers believe they have been forced into unjust, one-sided agreements or contracts that disproportionately benefit the seller or service provider at the expense of the consumer.

• Example: A consumer or a group of consumers facing exploitation due to unfair terms in a large corporate agreement, such as excessive penalties, one-sided clauses, or deceptive contract terms, can file a complaint with the NCDRC if the value exceeds ₹10 crore.

3. Appeals Against Orders of the State Commissions

The NCDRC also has appellate jurisdiction to hear appeals against the orders of any State Commission. If a party is dissatisfied with the decision rendered by a State Consumer Disputes Redressal Commission, they can appeal to the NCDRC for a re-evaluation of the case.

• Example: If a consumer or a business is dissatisfied with the judgment passed by a State Commission regarding a complaint, they may approach the NCDRC to seek redress.

4. Appeals Against Orders of the Central Authority

The NCDRC has the authority to entertain appeals against the orders of the Central Consumer Protection Authority (CCPA). The CCPA is a regulatory body set up under the Consumer Protection Act, 2019 to address and take action on unfair trade practices, misleading advertisements, and violations of consumer rights. Consumers or businesses may file an appeal with the NCDRC if they are dissatisfied with the CCPA’s order.

• Example: If the CCPA imposes penalties or corrective actions on a business for misleading advertisements, and the affected business disagrees with the order, it may file an appeal to the NCDRC.

Key Takeaways

The National Consumer Disputes Redressal Commission (NCDRC) serves as the highest forum for resolving consumer complaints and appeals in India. The jurisdiction of the NCDRC is specifically designed to handle high-value disputes (over ₹2 crore) and cases involving unfair contracts (over ₹10 crore), as well as appeals against decisions of State Commissions and the Central Consumer Protection Authority.

This ensures that consumers have access to justice for high-value and complex disputes that may not be appropriately handled at the lower forums.

Need Legal Assistance?

If you’re facing any consumer-related issues, whether it involves defective products, deficient services, or unfair trade practices, the expert team at Legal Light Consulting can help you navigate the legal process. From filing a complaint at the NCDRC to representing you in appeals or helping with documentation, Legal Light Consulting is your trusted partner in seeking justice for consumer disputes. Contact us today for expert guidance.