No membership card, land after promise, holiday firm to pay Delhi man Rs 3.25 lakh

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The Delhi State Consumer Dispute Redressal Commission recently ordered a hospitality and holiday provider chain to pay Rs 3.25 lakh to a man, as it was held guilty of deficiency in service for not issuing a membership card and allotting the promised plot after collecting the payment for a holiday membership scheme.President Sangita Dhingra Sehgal and Member Bimla Kumari were hearing a plea filed by a man who had paid Rs 1.75 lakh to a holiday provider chain for obtaining membership of a scheme which claimed to provide holiday offers, benefits and a complimentary plot on Bombay-Goa Highway.“The opposite party (holiday provider) was deficient in providing its services to the complainant (the man), as it failed to render the services and facilities assured under the “Mr Cool Global Parivar Life Membership”, including issuance of the membership card and allotment of the complimentary plot measuring 2000 sq. ft. at Kolad, Maharashtra,” the September 28 order read.The commission further said that “the Consumer Protection Act, 1986, came into being in order to protect the interests of consumers who are affected by the acts of the service providers, who in order to attract the consumers, tend to make lucrative offers but when it comes to actually providing the offered services, they take a step back.”The man claimed that in April, 2008, he met the business promotion executives of the hospitality and holiday provider chain who were carrying out word-of-mouth business promotion of the scheme at Connaught Place, New Delhi. According to the man, the hospitality chain was providing various services and facilities in the scheme, including:Lifetime membership for the member, spouse, and parents for life, and children up to the age of 18 years.Annual subscription of Rs 4,000.Lifelong, transferable, and global membership.2000 square feet plot at Golf Village, Kolad, Mumbai, situated on the Bombay-Goa Highway, to be registered in the name of the man.Free holiday for 7 days and 6 nights at any of the properties of the chain for 30 years under Resort Condominiums International (RCI) membership.3 days and 3 nights holiday for 5 years by paying Rs. 350 per day (Food and Beverages charges extra).Five years’ free membership to RCI-affiliated clubs.Holiday in Goa for 3 nights and 2 days for a couple with one-way air ticket.The man alleged that, “lured by the genuineness of the offer and services,” he opted for “Mr Cool Global Parivar Life Membership” at the rate of Rs 2 lakh and paid Rs 1.75 lakh after a discount of Rs 25,000 was given to him. The man was also allotted a membership number.The man contended that he was assured by the holiday provider that he would receive his membership card and other information, brochures, etc., within two weeks so that he could enjoy the benefits of his membership during the summer vacation.Story continues below this adHowever, no membership card was received, and the entire vacation plan made by the man with his family members was ruined. The man stated that he had to “face a very awkward situation as he had also included one of his married relatives and their children.”The man was forced to file a consumer complaint because even after calling various officials of the holiday provider and furnishing different documents that the provider asked for, he did not receive any satisfactory response, which caused “considerable mental anguish” to the man and his father.No proof of paymentAdvocate Ankur Saini, appearing for the holiday provider, argued that the man never applied for or availed any holiday package services under the agreement and that he had failed to place any proof that he had made a payment of Rs 1.75 lakh towards the membership of the holiday provider.The counsel urged that the man had himself opted for the membership after understanding the terms and conditions of the agreement and had paid the “non-refundable membership fee”. The counsel stated that the complimentary plot was subject to certain terms and conditions, like payment of Rs 20,000 towards registration and other expenses, which were not fulfilled by the man.Story continues below this ad‘Not sustainable’The state commission noted that the holiday provider “failed to issue the membership card to the complainant (the man) for availing the services and benefits under the said membership.According to the commission, “the contention of the opposite party (holiday provider) that the complainant (man) was required to pay Rs 20,000 towards registration and other expenses for the complimentary plot and annual maintenance charges for availing the membership benefits, is also not sustainable,” as the holiday provider had “failed to establish that it had fulfilled its primary obligations under the membership scheme, including issuance of the membership card and allotment of the complimentary plot.”The state commission directed the holiday provider to refund Rs 1.75 lakh paid by the man and further pay Rs 1 lakh as cost for mental agony. The holiday provider was also ordered to pay an additional sum of Rs 50,000 to the man as litigation costs.TakeawayThe ruling establishes the obligation of holiday provider companies to follow up on their holiday schemes and that the concerns of the consumers must not be ignored, causing them unnecessary inconvenience. For consumer-related grievances, individuals may contact the consumer helpline in their respective states and union territories or call the National Consumer Helpline at 1915 for assistance.Story continues below this adDon’t miss out on these stories:Cold storage sells farmer’s 48,000 kg carrots without consent, ordered to pay Rs 31.5 lakhNearly 6 lakh cases pending in consumer commissions, over 860 posts vacant: Centre19% whole wheat, 52% maida: CCPA fines biscuit firm Rs 1 lakh for ‘misleading’ label