OYO Customer Denied Accommodation Despite Confirmed Booking, Gurgaon District Commission Holds OYO Liable For Deficiency In Service

Brief Facts:

Mr. Vibhor Aggarwal (“Complainant”) reserved a hotel room at "Hotel New Sunshine-OYO 79994" for his guest, covering a span of 3 nights and made a payment of Rs. 3,461/-. Out of the total amount, Rs. 2,161/- was directly paid by the Complainant via the mobile application of Oyo Hotels and Homes Private Limited (“Oyo”). Additionally, the Complainant utilized a Coupon Discount of Rs. 865/- and Oyo Money of Rs. 435/- for this booking. The confirmation of the booking was received from Oyo through email on the same date. However, on the booking date, the hotel denied accommodation for the Complainant's guest, citing a full reservation for that date. Consequently, the guest was compelled to vacate the premises.

It was stated to the Complainant that Oyo didn't confirm the booking with the hotel. Despite attempts to communicate with Oyo's representative, the Complainant didn't receive any response, leading to further inconvenience and frustration for the Complainant and his guest. As a result, the Complainant made an alternative booking with an additional cost of Rs. 849/-. Feeling aggrieved, the Complainant approached the District Consumer Disputes Redressal Commission, Gurgaon, Haryana (“District Commission”) and filed a consumer complaint against Oyo.

Observations by the District Commission:

The District Commission referred to an email from Oyo to the Complainant which unequivocally confirmed the booking with assurances of "assured check-in" and a "hassle-free stay". Similarly, another email from Oyo acknowledged the dissatisfaction of the Complainant with the stay and committed to addressing the issue, even agreeing to process a refund of Rs. 849/- for the booking.

Therefore, the District Commission held Oyo guilty of failing to provide adequate service to the Complainant. It held Oyo liable for deficiency in services. Consequently, the District Commission ordered Oyo to refund the entire booking amount of Rs. 3,461/-, along with interest at a rate of 9% per annum from the date of deposit. Furthermore, Oyo was directed to pay Rs. 25,000/- as damages for the severe mental anguish, harassment, and damage to the Complainant's reputation. Additionally, it was directed to pay Rs. 10,000/- for the litigation costs incurred by the Complainant.

Case Title: Vibhor Aggarwal vs Oyo Hotels and Homes Private Limited.