OLA Electric Technologies And Its Dealer Held Liable For Manufacturing Defect In Electric Scooter: Thrissur Consumer Commission

The Thrissur Consumer Disputes Redressal Commission bench comprising C.T Sabu, President,Sreeja S, Member and Ram Mohan R, Member has held OLA Electronic Technologies and its dealer liable for a manufacturing defect in an electric scooter sold to the complainant. The bench directed the replacement of the vehicle and granted compensation to the complainant. Brief facts: The complainant purchased an OLA S1 X Plus scooter from OLA Experience Centre ('dealer') and manufactured by OLA Electric Technologies Pvt. Ltd. ('manufacturer') making a down payment of Rs. 50,594/- on 31.12.2023. The balance amount of Rs. 56,406/- was raised by way of a vehicle loan from TATA Capital Ltd. which was being repaid through monthly installments worth Rs. 5,486/-. The dealer and the manufacturer are collectively referred to as Opposite Parties. As per the complainant, he purchased the scooter placing great reliance on the opposite parties' assurances regarding its defect-free performance and a warranty of 36 months. It was alleged that the vehicle exhibited fault in the functioning of the scooter that he was forced to hire autorickshaws to attend his official duties. It was stated that though the vehicle was taken to the service centre, it was not repaired productively. Further, the vehicle broke down on 30.04.2024 and 22.06.2024 during riding as well. Hence, a complaint was filed by the complainant alleging manufacturing defect in the scooter and prayed for appropriate compensation. Despite service of notice, none appeared on behalf of the opposite parties. Hence, they were proceeded as ex-parte by the commission. Observations of the commission: The bench examined all the documents on record and observed that the vehicle was taken for repair several times by the opposite parties which proves that it had faulty functioning. The report of the expert commissioner was also examined by the bench basis which it was held that the vehicle had manufacturing defects and it turned out to be unworthy of use in less than one year of registration. On the issue of compensation, the bench observed that no document has been filed to prove that the purchase price of the scooter is Rs. 1,07,000/- except for the down payment of Rs. 50,594/-. Since no purchase invoice was produced by the complainant, the commission allowed his claim for replacement of the vehicle.only. Further, the bench emphasised on the bounden duty of the dealer to coordinate with the manufacturer and to redress the grievances faced by the complainant. It was observed that the dealer cannot embrace the attitude of posing itself as a mere point to collect money from the consumer. Since no reply was filed by the opposite parties, all allegations in the complaint were held to be admitted and the opposite parties were held liable for deficiency in service and unfair trade practice. Hence, the complaint was allowed with the following reliefs: Manufacturer- OLA Electric Technologies was directed to replace the vehicle. A sum of Rs. 50,000 as compensation for mental agony and hardship A sum of Rs.10,000 as litigation costs All amounts were directed to be paid jointly by the opposite parties. Case Title: Arjunan K.R vs OLA Electric Technologies Pvt. Ltd. Case Number: CC 407/24 Date of Decision: 27.10.2025Click Here To Read/Download Order

OLA Electric Technologies And Its Dealer Held Liable For Manufacturing Defect In Electric Scooter: Thrissur Consumer Commission

Aakanksha Bajoria

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