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The Delhi State Consumer Disputes Redressal Commission has directed Mercedes Benz India Pvt Ltd to pay a buyer Rs 1.78 crore as compensation for a defective car.
“It is pertinent to mention that although the car was brand new, within six months of purchase, its battery pack had to be replaced. This raises concerns about the presence of a manufacturing defect," the Commission said in its order dated September 12.
"The persistence of such defects can reasonably be attributed to faults existing at the time of manufacture, as minor defects can easily be diagnosed and rectified and would not require numerous visits to the workshop," it said.
Gurvinder Khurana, director of Samran Media Consultants Pvt Ltd had bought the car, a Mercedes-Benz EQS580 for Rs 1.55 crore in November 2022.
According to the customer, shortly after the purchase, when the car had run for just 9,000 km, multiple problems surfaced – a bulge in the rear tyre, sudden stoppage, radar sensor failure, malfunctioning of the sensor, a humming noise from the AC blower, etc.
Despite multiple visits to the workshop, the problems persisted, the customer said.
After hearing the consumer's submissions, the Commission noted: "We find that the issues in the car arose within six months from the date of purchase and have continued to persist to date, despite repeated interventions by the opposite parties".
Mercedes Benz argued that the complainant was not a ‘consumer’ under the Consumer Protection Act, 2019, as the car had been purchased for a commercial purpose. It also submitted that the Commission lacked territorial jurisdiction to entertain the complaint, and that no expert evidence had been provided by the complainant to prove a manufacturing defect.
The Commission, comprising its president Justice Sangita Dhingra Sehgal and Member (Judicial) Pinki, rejected these submissions.
“The important issue before us is how the complainant is to be compensated, given that Opposite Party No.1 has already withdrawn the model of the car in question, namely the Mercedes Benz EQS580, from the Indian market. In these circumstances, we are left with no other alternative but to direct a refund of the entire purchase price of the said vehicle to the complainant," it said.
To decide the compensation, the Commission considered the cost of the car, insurance and road tax (Rs 3.1 lakh), tax collected at source (Rs 1.55 lakh), and interest on a loan of Rs 1 crore for 60 months (Rs 16 lakh).
It also directed Mercedes Benz to pay the consumer Rs 5 lakh for mental agony and 50,000 towards litigation costs.
