COMPAQ COMPUTERS PVT. LTD. vs POONAM SURI

HEARD. 1. Both these appeals by opposite parties the manufacturer and the dealer, are directed against the order dated 8.4.2004 passed by District Consumer Disputes Redressal Forum, Gwalior in Case No. 388/2002 directing appellants to pay to respondent-complainant, jointly and severally, Rs. 50,000 with interest @ 10% p.a., from 15.8.2001 besides cost Rs. 2,000.

THE dispute was regarding a computer system manufactured by appellant-Compaq Computers (India) Pvt. Ltd. and purchased by respondent-complainant from appellant-dealer-Omtech Peripherals Pvt. Ltd., Gwalior. It is more or less admitted between the parties that the computer after its purchase started giving troubles and is used to hang quite often and was also not working with the requisite speed. Although the Service Engineer of the appellants had attended to the problems from time to time, but the complaint continued and could not be rectified fully. The respondent-complainant has filed affidavit of one Shivdeep Panjwani, a diploma holder in advance software technology who testfied to have examined the computer and found that its mother board was defective which led to hanging of the computer when used. It is significant to note that in order to increase the speed of the computer some part of the computer was replaced by the appellants but on payment of cost Rs. 700 even when the warranty period had not expired. It was a clear case of sale of defective article as also of deficiency in service on the part of appellants.

Learned Counsel for appellants contended that the appellants are prepared to replace the computer by a new one and under a renewed warranty of one year. Section 14 of the Consumer Protection Act, 1986 provides that in case of sale of defective goods the Forum may order for replacement of goods and may also award adequate compensation. In the instant case, the Forum below has straightaway ordered for refund of the purchase money with interest. In our considered opinion, this order needs to be modified giving an option to the appellants to replace the computer by a new one or else to pay the said amount to the respondent-complainant as ordered by the Forum below.

WE thus allow the appeal in part and to the extent indicated above. The appellants shall have option to replace the computer free of cost under a renewed warranty of one year or else pay the said amount of Rs. 50,000 to the respondent-complainant with interest and cost as directed by the District Forum. WE however, make no order as to the cost of these appeals. This order be retained in Appeal No. 1096/2004 and copy be placed in the record of Appeal No. 1117/2004. Appeal partly allowed.