JAIPUR METALS AND ELECTRICALS LTD Vs. LAXMI INDUSTRIES

JUDGEMENT

(1.) The complainant has lodged a complaint against the opposite party for the losses arising from its failure to erect and commission the cold rolling mill which it had supplied in accordance with purchase agreement between the parties. The purchase order was placed by the complainant on the opposite party on 17th March, 1988 and the supply was to be completed by November, 19. As per the terms of contract, the complainant purchaser was to pay a sum of Rs. 40.63 lakhs (Rs. 36.63 lakhs for the mill, and Rs. 4 lakhs for systems engineering, designing, erection and commissioning of the mill).

(2.) THE opposite party in its counter affidavit has taken the preliminary objection regarding the maintainability of the complaint that the complainant is not a consumer as defined in the Consumer Protection Act and that the mill machinery was purchased for a commercial purpose and therefore this transaction is not covered by the provisions of the Consumer Protection Act The opposite party has further submitted that the complaint is regarding breach of contract of sale and supply of goods and not deficiency in service and as such remedy for the grievance, if any, of the complainant lies a civil Court and not before the National Consumer Disputes Commission.

(3.) FROM the perusal of paragraph 13 of the complaint, it is evident that the amount claimed from the opposite party is on account of the payment made for the machines and also for the losses incurred by the complainant for failure of the opposite party to render the service of erection and commissioning the mill and. giving the performance test.