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‘Hierarchy of Judiciary Must Be Respected’ : Supreme Court Cautions NCDRC Members Who Passed Directions Contrary To SC Order, Closes Contempt Case
Bysclaw
May 26, 2024
By sclaw
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Consumer Protection Act, 2019 — Section 71 — Execution of Order — Judgment Debtor Company — Liability of Directors/Promoters — Execution must strictly conform to the decree; it cannot be employed to shift or enlarge liability to bind persons who were neither parties to the decree nor otherwise legally liable thereunder — Where consumer complaints were consciously proceeded against the Company alone (Corporate Debtor), and directors/promoters were dropped as parties during admission/pre-adjudication stage (order unchallenged), the final order binds the Company exclusively, not the directors/promoters. (Paras 9, 10, 11, 12, 15, 23)
Jan 18, 2026
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Insurance Law — Fire Insurance Policy — Scope of Coverage — Proximate Cause — Repudiation of Claim — Loss occasioned by fire following an attempted theft/burglary — Policy covered ‘Fire’ as a specified peril with limited exclusions which did not include theft/burglary preceding the fire — Insurer denied claim arguing that the proximate cause was theft/burglary, which was excluded under the Riots Strike and Malicious Damages (RSMD) clause — Held: Once the loss is caused by fire (an insured peril), the cause igniting the fire is immaterial, particularly when no such exclusion (theft/burglary preceding fire) is contained within the ‘Fire’ peril’s exclusions or the general exclusions — A fire insurance contract indemnifies against loss by fire, and the cause of the fire is irrelevant unless it stems from a peril expressly excluded in the fire coverage — The exclusion under the RSMD clause cannot be imported to negate coverage under the distinct ‘Fire’ peril — Claim repudiation based on theft as the proximate cause was unjustified, and the NCDRC erred in upholding it. (Paras 20, 22, 23, 25, 28, 29)
Dec 17, 2025
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Consumer Protection Act, 1986 — Section 25 — Enforcement of orders — Pre-2002 amendment and post-2019 Act, all orders could be enforced as decrees. The period between 15.03.2003 to 20.07.2020 saw an anomaly where only interim orders (and monetary recovery) were clearly enforceable under Section 25, leaving final non-monetary orders in a gap. Interpretation of Statutes — Casus omissus — Court can fill gaps in legislation using interpretative tools like purposive construction when literal interpretation leads to absurdity or defeats the object of the Act, especially for remedial legislation like the Consumer Act.
Sep 2, 2025
sclaw
