Date of Filing: 12-11-2015
Date of Order:28-01-2019
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM – I, HYDERABAD
P r e s e n t
HON’BLE Sri P.VIJENDER, B.Sc. L.L.B. PRESIDENT.
HON’BLE Smt. D.NIRMALA, B.Com., LLB., MEMBER
Monday, the 28th day of January, 2019
C.C.No.564 /2015
Between
Smt.Dasari Surya Lakshmi, age: 43 years,
(Membership No.CVHYD3CLUB10LB107388)
W/o.D.Venkateswara Rao,
Qr.No.B-4, CCC Township,
Near Mancherial, Adilabad District,
State of Telangana ……Complainant
And
- Country Club (India)Limited,
Rep by its Managing Director,
Office : 6-3-1219A, Begumpet,
Hyderabad – 500016
- Country Vacations,
A Division of Country Club (India) Ltd.,
Rep. by its Regional Manager,
Office: 6-3-1219A, Begumpet,
Hyderabad – 500016
- Sales Manager, Country Vacations,
A Division of Country Club (India) Ltd.,
Rep. by its Regional Manager,
Office: 6-3-1219A, Begumpet,
Hyderabad – 500016
- The Manager,
Customer Care Centre
A Division of Country Club (India) Ltd.,
Country Vacations,
Office: 6-3-1219A, Begumpet,
Hyderabad – 500016 ….Opposite Parties
Counsel for the complainant : Mr.J.Prabhakar
Counsel for the Opposite Parties : Mr. V.V.G.krishna
.
O R D E R
(By Sri P. Vijender, B.Sc., LL.B., President on behalf of the bench)
This complaint is preferred under Section 12 of C.P. Act of 1986 for a direction to the opposite party to refund an amount of Rs.1,59,000/- collected towards membership fee and a sum of Rs.4,00,000/- as compensation for causing mental agony and physical inconvenience and interest on this amount at appropriate rate.
- The complainant’s case in brief is that she is permanent resident of Mancherial Mandal in Adilabad District and in the first week of February 2012 she along with her family came to Hyderabad for shopping. After finishing the shopping work she received coupons for best couple scheme which was given by the staff of opposite party No.1 asking her to drop in the drop box provided by the opposite party. Two weeks later she received a phone call from the opposite party informing that they were selected in the draw as best couple and they would be given a gift worth of Rs.30,000/- in a felicitation function. Though the complainant did not evince interest initially staff of opposite party No.3 persistently telephoned in the matter and requested her to attend the office of opposite party No.2 in one or two weeks. They repeatedly telephoned called hence she visited the office of opposite parties in Begumpet on 7-3-2012 where the opposite party No.3 and 4 were introduced as executives of opposite party No.2 Company.
The sales executives of opposite party No.3 company introduced their company as fastest growing entertainment and leisure conglomerate in India and multimillion dollar entity and a listed company as BSE, a pioneer in the concept of family clubbing in the country. He stated that it is having 205 properties having 55 are owned and 175 franchised properties plus a global gateway via country vacations and RCI affiliation of 4000 resorts for its esteemed members. It was further told to them that a unique benefit to members of joining the club is the facility of transferability of membership from one city to another by paying the deferential membership fee. It is also represented that the opposite party is power house of entertainment and it organizes different shows regularly by inviting celebrities from time to time. It was also informed that on joining as a member of opposite party No.2 club they will provide house plot and shopping vouchers worth Rs.20,000/- for member and if she pays Rs.6,000/- additionally they need not pay any maintenance charges in future. They were further promised monthly installment for a period of 2 years by SBI Credit Card if the payment is through Credit card of any bank. opposite party No.2 will provide free vacation trip for 7 days in India and abroad and accidental coverage of Rs.6,00,000/- to the family of complainant. Having lured by offers of sales executives of opposite party No.2 the complainant agreed to join as a member and paid a sum of Rs.30,000/- on the same day. Later her husband paid a sum of Rs.1,29,000/- through Andhra Bank Credit Card.
Thereafter she and her husband went to Fair Way Extension A,B& C and selected a plot near the main gate which is located in the north- east corner. The complainant learnt that there is a discount for nonresidents of Hyderabad as they cannot use club facilities and she wants use yearly vacations every year and she has to pay Rs.6,700/- towards maintenance charges. Thereupon she made enquiries about the shopping coupons worth of Rs.20,000/- and about the plot agreed to allot to her and arrangements of EMIs for two years by SBI Credit card and refund of the discount amount for club members residing outside Hyderabad city. Then she learnt that the plot chosen by her was already registered to 3rd party and she was allotted another plot No.3429 in the same venture. Then she spoke to opposite party No.1 to 3 and addressed a letter on 1-5-2012 enquiring about the same. She received reply letter dated 7-5-2012 informing that the plot allotted to her was allotted to another person. She is spoke to the sales executive namely B.H.A.S Raju about the shopping vouchers and easy monthly installments from SBI Credit card and refund of discount. On that the sales executive addressed a letter dated 12-05-2012 assuring her that he will settle all the issues. While she was seriously pursing the matter and copy of Inter office memo dated 09-8-2012 was issued by the opposite party along with letter stating that they have failed in their commitment to allot the selected plot therefore they are ready to refund Rs.75,000/-. Thereafter on 15-11-2012 and 09-08-2012 she addressed letters to refund an amount as assured by them. But there was no proper response. The complainant and her husband spent lot of amount towards travelling from their place to Hyderabad to meet the sales executives of the opposite party at Hyderabad. After that she received letters dated 23-02-2013 and 7-3-2013 informing that the amount of Rs.70,000/- will be refunded to her through 3 installments from the date of approval. In view of the letters and offers of opposite parties she did not approach any Forum or Court at the earliest. But the opposite party did not come forward either to refund the amount or to settle the issue hence got issued a registered letter on 8-10-2013asking the opposite party to cancel the membership and refund the entire amount collected but there was no response. She approached Sanghamitra Consumers Councel, Adilabad which issued a notice to opposite party No.3 on 16-11-2013 and also a reminder on 18-3-2014. On 19-4-2014 one Mr. Komareshan K.S. Regional Manager, Country Vacations telephoned and also sent a mail informing that the matter will be settled but even after that there was no response. Thereupon she approached the Forum at Adilabad on 9-12-2014 through Sanghamitra Council, Adilabad but the complaint was returned asking her to file a complaint at Hyderabad. Hence the present complaint for the reliefs stated supra.
- Common written version is filed on behalf of the opposite parties admitting about the payment of Rs.1,59,000 by the complainant towards membership but denied the other allegations made in the complaint. The substance of the written version is that Country Club hospitality and holidays limited is leading hospitality company that offers state of the art clubbing facilities innovative family holiday packages and star studded entertainment events. It has 53 own properties, 25 fitness centers and 42 associated resorts across 4 countries. It caters to only families and is committed to providing facilities to spend quality time with each other. It provides club facilities , fitness centres, family vacation spots and festival celebrations for members. The opposite party has been recognized by the Guinness book of world records for conducting Asia’s largest new year bash with over 15,000/- people attending the event in 14 locations. It is also involved in C.S.R activities such as blood donation camps and some other activities. Its customer care team also contacts the member to explain the products’ any further clarifications or assistance.
The complainant jointed as member in the club and signed on the purchase agreement on 24-3-2012 and paid a sum of Rs.1,59,000/- as life membership to her and spouse and same is non-refundable as per the terms and conditions of purchase agreement. As per the terms and conditions of membership, the complainant is entitled to book holidays for 6 nights 7 days for 10 consecutive years in the resorts of it. The complainant was allotted a plot No.3429 admeasuring 150 Sq.yards in its venture at Shaila Bhoomi at Srisilam Road subject to payment of full membership fee and development and registration charges of Rs.49,999/- . But the complainant failed to pay it till date. Even now the opposite parties are willing to register the said complimentary plot in favour of the complainant on payment of above said amounts. The complainant has to pay the annual maintenance charges irrespective of usage of club facilities. It denied that the opposite parties executives promised the complainant if she pays Rs.6,000/- additionally she need not pay any maintenance charges in future for availing the vacations. There was no promise to arrange EMI of two years. The claim of the complainant that she and her husband visited their venture and selected the plot is false. There is no truth in the complainant’s allegations that plot selected by her was registered to someone else. No one offered to refund the membership amount of Rs.75,000/- and the alleged letter issued by the person is not binding on the opposite parties as he was not authorized to issue a letter for refund of the amount as the amount paid is non-refundable. Required facilities are available with opposite parties and it is for the complainants to utilize the same and failure to utilize is not fault of the opposite parties. AT the time of entering into membership the complainant was clearly informed that the membership fee paid is not refundable. Since membership agreement is valid contract, one of the parties to the contract cannot be repudiated unilaterally. The complainant was aware of terms and conditions of this membership agreement at the time of signing of it and now she cannot quit out from it. Hence complainant is neither entitled the refund of amount nor any compensation as there is no deficiency of service on the part of the opposite parties.
The complainant has filed a rejoinder to the written version of the opposite parties and substance of the same is reiteration of the complaint itself .
In the enquiry stage the complainant has filed her evidence affidavit reiterating the substance of the complaint and he also got exhibited Seventeen (17) documents. Similarly for the Opposite Party evidence affidavit of C.M.Sridhar stated to be Assistant Manager of opposite party No.2 is filed and substance of the same is reiteration of defense set out in the written version and through him got exhibited three (3) documents Both the parties have filed written arguments and supplemented the same with the oral submissions.
On a consideration of material available on record the following points have emerged for consideration .
- Whether the complainant is entitled to seek refund of the amount paid towards the membership and compensation claimed?
- To what relief?
Point No.1: The complainant’s version that when she and her husband were in Hyderabad in the work on 1st week of February, 2012 for shopping at Himayatnagar they were approached by sales executive of the opposite parties with coupons asking them to fill the same and drop in the drop box is not denied by the opposite parties either in written version or in the evidence affidavit filed on their behalf. It is not denied by the opposite parties that about two weeks thereafter a telephone call was made to the complainant by opposite party No.3 informing that they were selected in the draw as best couple and would get gift worth of Rs.30,000/- and later after follow up telephone calls from the sales executives of opposite party they came down to the office of opposite party at Begumpet on 7-3-2012. In the light of it, it can be safely said that the complainant and her husband have not visited opposite party No.2 office at Begumpet on 7-3-2012 on their own and they were lured by the sales executives of opposite parties. They paid an amount of Rs.30,000/- in cash on 7-3-2012 and thereafter further sum of Rs.1,29,000/-by the complainant’s husband through his Andhra Bank credit card is also not denied by the opposite parties . It is the complainant’s case that they visited the venture of opposite party namelys Fairway Extension, A,B and C selected a plot situate near the main gate on the north-east corner. Though this has been denied by the opposite parties the letter of correspondence between the parties supports the complainant’s version. Ex.A7 letter from the office of opposite party No.2 dated 7-5-2012 in which it has been categorically undertaken to register the plot on receipt of the amount of Rs.30,000/-. It is further stated that if for any reason the allotted plot cannot be registered alternate plot will be allotted in any of the other venture wherever is possible. In this letter the plot number communicated the complainant was 3429. Ex.A9 is Inter office memo of the opposite parties dated 9-8-2012 in which it has been categorically stated that as per the commitment the opposite parties are unable to give the schedule plot as same was already registered to 3rd parties. The next letter from the opposite parties is Ex.A12 by which has been categorically stated that commitment made to the complainant at the time of joining as a member on 7-3-2012 could not be fulfilled as committed plot was already registered in some other’s name. It is further stated in this letter that as per the commitment given by Mr.Ajay Srinivas Raju and Mr.Santosh, Sales Managers on 9-8-2012, finally the approval is received on 6-03-2013 to refund an amount of Rs.75,000/- to the complainant, hence it will be refunded by way of three installments after 90 working days. Though the opposite party has stated that the person who sent these letters is not authorized at the same time it is not case of the opposite parties that Srinivas Raju and Mr.Santosh are not the Managers (Sales) of the company as on the date of sending of Ex.A12 letter.
The complainant’s version that they were promised to provide installments from SBI Credit card hence the amount was paid through Andhra Bank Credit card is also denied by the opposite parties stating that no one offered to the complainant to grant installments by SBI credit card. But Ex.A8 is letter signed by Srinivas Raju addressed to the complainant stating that he had discussed with Accounts personnel and will take the Post dated cheques for EMI. The next subject is regarding subscription rebate as the complainant was not residing in Hyderabad and for that the P.Srinivas Raju informed the complainant that he will discuss this aspect with higher officials and settle the concession part. Ex.A11 is another letter to the complainant from the Himayath nagar office of opposite party and subject of this letter is refund of amount for not allotting committed plot. From this letter it is crystal clear stated that as per the commitment the opposite party was unable to give selected plot as it was already registered in some other’s name and the commitment made by P. Ajay Srinivas Raju and Mr.Santosh on 9-08-2012 refund of amount of Rs.75,000/-on 23-02-2013. These letters are in response to the letter addressed by the complainant under Ex.A6 and A10 seeking refund to the amount as committed plot was not being registered. This letter of correspondence between the parties fortifies the complainant’s version of promising the arranging EMIs and compensation for not utilizing the club facilities at Hyderabad. She was constrained to seek cancellation of membership and ask refund of amount as promises made were not honored. Admittedly even as on today the complainant has not utilized any of the facilities though the amount of Rs.1,59,000/- was paid towards membership fee.
As rightly pleaded by the complainant, she and her husband were lured to join as a member’s with the promise of state of art facilities at various places by the sales executives of opposite parties and the promise house plot. One of the plea taken by the opposite parties is admission fee paid is non- refundable as per the terms and conditions of purchase agreement Ex.B1 which is concluded contract between the parties. As could be seen from Ex.B1 it was signed by P. Ajay Srinivas Raju on behalf of opposite party No.2. But the version of opposite party No.2 is said P. Ajay Srinivas Raju is not an authorized person to promise for refund an amount of Rs.75,000/-. The opposite party is cannot be permitted to take two inconsistent pleas about the status of P. Ajay Srinivas Raju. That apart the opposite party has not placed any record to show its ownership of the plot offered to the complainant and there is no schedule of the said plot and in absence of the same it cannot be said that Ex.B1 is a complete concluded contract with mutual obligations and rights incorporating a clause as non-refundable. The opposite parties cannot be permitted enrich themselves at the cost of innocent persons like complainant. Even for the sake of the arguments it is accepted that because of non-refundable clause in the purchase agreement Ex.B1 is still in view of the subsequent developments and promises made by the concerned person to refund the amount of Rs.75,000/- itself is sufficient to say that the opposite parties have given a go by the terms and conditions of Ex.B1 agreement. Hence the complainant is entitled to seek refund of the entire amount of Rs.1,59,000/-. She is also entitled to claim interest as said amount has been utilized by the opposite parties for its business purpose. Hence the opposite parties are liable to pay interest @ 18% p.a on the said amount from the date of receiving from the complainant to the date of payment to her.
The opposite parties are liable to pay compensation because even after collecting a huge amount of Rs.1,59,000/- from the complainant they have failed to register the plot chosen by the complainant and thereby caused mental agony and sufferance. Hence they are liable to pay compensation of Rs.50,000/- to the complainant. Accordingly the point is answered.
Point No.2: In the result, the complaint is partly allowed directing the opposite parties
- To refund an amount of Rs.1,59,000/- with interest @ 18% p.a from the date of collecting the amount from the complainant to the date of payment
- The opposite parties further directed to pay a sum of Rs.50,000/- as compensation for causing mental agony and physical inconvenience.
- The opposite parties are liable to pay a sum of Rs.10,000/- as costs of the complaint.
Time for compliance is 30 days from the date of service of this order
Dictated to steno transcribed and typed by her pronounced by us on this the 28th day of January , 2019
MEMBER PRESIDENT
APPENDIX OF EVIDENCE
PW1 DW1
Smt.Dasari Surya Lakshmi C.M.Sridhar
Exs. filed on behalf of the Complainant:
Ex.A1 is receipt dated 7/3/2012
Ex.A2 is copy of debit sale receipt
Ex..A3 is also a receipt
Ex.A4 and A5 are also receipts
Ex.A6 is letter dated 1-5-2012 addressed to the opposite party by the complainant
Ex.A7 is letter of allotment dated 7-05-2012
Ex.A8 is letter dated 12-05-2012 by A.S.Raju
Ex.A9 is Inter office memo
Ex.A10 is letter addressed to the opposite party by the complainant
Ex.A11 is letter dated 18-2-2013 by the opposite party to the complainant
Ex.A12 is letter dt.7-3-2013 addressed to the complainant by the opposite party
Ex.A13 is letter addressed dated 8-10-2013 to the opposite party by the complainant
Ex.A14 is notice dated 16-11-2013 to the opposite party by the consumer council Sanghamithra
Ex.A15 is reminder No.1 dated 18-03-2014 to the opposite party by the consumer council Sanghamithra
Ex.A16 is Gmail correspondence
Ex.A17 is reminder No.2 dated 16-07-2014 to the opposite party by the consumer council Sanghamithra
Exs. filed on behalf of the Opposite parties
Ex.B1 is copy of purchase agreement for club and vacation membership
Ex.B2 is copy of purchase agreement for club and vacation membership
Ex.B3 is copy of lay out
MEMBER PRESIDENT