Code Fitness Gym Found Liable For Service Deficiency: Chandigarh Consumer Commission Orders Refund & Compensation
The Chandigarh District Consumer Disputes Redressal Commission-I bench, presided over by Sh. Pawanjit Singh (President) and Mrs Surjeet Kaur (Member), has allowed a consumer complainant filed against a gym. A group of people, who had purchased gym memberships in 2019 by paying varying amounts, filed a complaint when the gym, in 2020, issued a notice about discontinuing services due...
The Chandigarh District Consumer Disputes Redressal Commission-I bench, presided over by Sh. Pawanjit Singh (President) and Mrs Surjeet Kaur (Member), has allowed a consumer complainant filed against a gym. A group of people, who had purchased gym memberships in 2019 by paying varying amounts, filed a complaint when the gym, in 2020, issued a notice about discontinuing services due to relocation. Despite the complainants seeking a refund, the gym did not comply. The Commission found that the gym had admitted the refundable amount due to the complainants and, after relocating, failed to refund it, thus constituting a deficiency in service. Consequently, the Commission directed the gym to refund the respective amounts with interest along with compensation and litigation costs.
Brief Facts
A group of consumers filed a complaint against Code Fitness Gym (Opposite Party). In 2019, these people had paid different amounts for availing the gym memberships. However, the gym issued a notice in January 2020, stating a halt in services and allowing members to request a refund by email before 11th February 2020. As per the complaint, the gym did not provide services thereafter. The complainants sought refunds, but the gym failed to reimburse them. As a result, the consumers filed a complaint alleging deficiency in service and unfair trade practices.
Arguments by Code Fitness Gym
In response to the complaint, the Gym "Code Fitness" contended that they had been operating their fitness center since 2015, providing commendable services. They argued that due to strict local regulations and some unforeseen events they were compelled to cease operations from January 2020, leading to the relocation of their fitness center. Despite the relocation, the Gym asserted that it offered the complainants and all members the option to continue availing services at alternative locations in Zirakpur and Mohali. The Gym claimed that during this period, no request for a refund was made by the complainants.
Observations by the Commission
The Consumer Commission recognized that the complainants had acquired memberships in the Code Fitness Gym in 2019 and paid the specified amounts. Acknowledging the Gym's admission of a due refundable amount, the Commission, however, noted the complainants had failed to submit their account details to the gym before filing the complaint, negating their entitlement to interest from the deposit date.
Nevertheless, the bench emphasized that the Gym's failure to refund the amounts after the complaint was filed, indicated a clear deficiency in service. Consequently, the Gym was held liable to refund the complainants' respective amounts, along with 9% per annum interest from the date of the complaint. Additionally, the Commission awarded compensation of Rs 10,000/- and imposed litigation costs of Rs 10,000/-. 45 days were given to comply with the order, failure of which would result in interest at 12% per annum from the date of the order until its realization.
Case Tite: Inderpal Singh vs. Code Fitness
Counsel for the Complainants: Mr. Inderpal Singh (Complainant No.1 in person as Advocate)
Counsel for the Opposite Party: Mr. Pranab Bansal, Advocate
Click here to Read/Download the Order