Consumer Forums/Commissions Cannot Consider Complaint/Appeal On Merits After Finding That It Is Time Barred: SC [Read Order]

The Supreme Court has observed that a Consumer Forum/Commission after having come to the conclusion that the complaint/appeal was barred by limitation, could not consider the merits of the matter.

In this case, the National Consumer Disputes Redressal Forum, refused to condone a delay of 150 days in preferring the First Appeal. Having found thus, it also observed that there was apparent lack of merits in the matter and thus dismissed the appeal on grounds of both an inordinate delay of 150 days as well as on an apparent lack of merits.

The bench noted that the issue whether a Tribunal or a Forum, after having come to the conclusion that the matter was barred by limitation, could consider merits of the matter, was dealt in State Bank of India vs. B.S. Agriculture Industries, wherein it was observed as follows:

" As a matter of law, the consumer forum must deal with the complaint on merits only if the complaint has been filed within two years from the date of accrual of cause of action and if beyond the said period, the sufficient cause has been shown and delay condoned for the reasons recorded in writing. In other words, it is the duty of the consumer forum to take notice of Section 24A and give effect to it. If the complaint is barred by time and yet, the consumer forum decides the complaint on merits, the forum would be committing an illegality and, therefore, the aggrieved party would be entitled to have such order set aside."

The bench further observed that, In any case, the delay of 150 days, in the present circumstances, was not so alarming that the matter should have been rejected on the ground of delay. Imposing costs of Rs. 25,000, the bench condoned the delay and restored the appeal before the National Commisssion. 

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