If you are stuck in such a situation, here is what to do.
Mr. Alok Verma, a resident of Jaipur, recently faced a frustrating situation with a popular online fashion portal, “FashionFiesta.com”. He had placed an order for a designer shirt last month. A few days later, he received a notification that his order had been cancelled by FashionFiesta.com without any clear or valid reason. When he checked the website again, he noticed that the same shirt was available but at a significantly higher price.
To make matters worse, while the cost of the shirt was refunded, the platform fee of ₹149 was not. Mr. Verma contacted their customer support team, who were unhelpful and insisted that the platform fee was non-refundable as per their policy, even though the cancellation was initiated by the company itself. They advised him to place a new order at the inflated price. Feeling cheated and frustrated by this unfair practice, Mr. Verma shared his ordeal on social media to raise awareness, but the issue remained unresolved. He felt that the company was unjustly enriching itself by retaining the fee for a service it failed to provide.
Advice in such cases
When faced with such arbitrary actions from e-commerce companies, it is crucial to know your rights as a consumer and the steps you can take to seek redressal.
Document Everything: Keep a record of all communication. This includes order confirmation emails, cancellation notifications, payment receipts, screenshots of the product page showing the price change, and transcripts or recordings of your conversations with customer support.
Formal Complaint: Escalate the matter by sending a formal complaint to the company’s designated Grievance Officer. The details of the Grievance Officer are mandatorily required to be published on their website under the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021.
Send a Legal Notice: If the company fails to respond or provide a satisfactory resolution, the next step is to send a formal legal notice through an advocate. This often prompts companies to resolve the matter to avoid litigation.
Consumer Forum: If the legal notice is ignored, you can file a complaint before the appropriate Consumer Dispute Redressal Commission for deficiency in service and unfair trade practices.
Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think
Applicable Sections of Law
Such cases are primarily governed by the Consumer Protection Act, 2019. Key concepts that apply here are:
Deficiency in Service [Section 2(11)]: Cancelling an order without a valid reason and failing to provide the promised service amounts to a deficiency in service.
Unfair Trade Practice [Section 2(47)]: Refusing to refund a fee for a service that was not rendered, especially when the cancellation was not the consumer’s fault, can be classified as an unfair trade practice. Forcing a consumer to re-order at a higher price also falls under this category.
Consumer Rights [Section 2(9)]: This act protects a consumer’s right to be informed, the right to choose, and the right to be heard and seek redressal against unfair trade practices.
If you are the complainant
As the complainant, you are the one driving the action. Your role is proactive.
Organize Your Evidence: Systematically arrange all your documents, screenshots, and communication records in chronological order.
Draft a Clear Complaint: Clearly state the facts of the case, the deficiency in service, the unfair trade practice, and the relief you are seeking (refund, compensation for mental harassment, and litigation costs).
File the Complaint: You can file a complaint online through the E-Daakhil portal or physically at the District Consumer Commission in whose jurisdiction the company operates or where you reside.
Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think
If you are the victim
As a victim of such unfair practices, it’s important to act methodically.
Stay Calm and Assertive: Do not be discouraged by the company’s initial refusal. Clearly and politely assert your rights in all communications.
Follow the Procedure: Exhaust the company’s internal grievance redressal mechanism first, as this is often a prerequisite before approaching a consumer forum.
Seek Compensation: Remember that you can claim not just the refund of the platform fee but also compensation for the mental agony and harassment caused by the company’s actions.
Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think
How the police behave in such cases
It is important to understand that matters of this nature are typically civil disputes, not criminal ones. The police are unlikely to register a First Information Report (FIR) for a non-refund of a platform fee or an order cancellation. Their jurisdiction is limited to criminal offences. If you approach the police, they will most likely advise you to seek remedy through the Consumer Dispute Redressal Commissions, as this is the appropriate forum for such grievances. However, if the company’s actions involve a larger pattern of fraud or cheating affecting numerous customers, it might attract criminal provisions like Section 318 of the Bharatiya Nyaya Sanhita, 2023 (BNS), but this is rare for isolated incidents involving small amounts.
FAQs people normally have
What evidence is required?
Strong evidence is the backbone of a successful consumer complaint. You will need:
A digital or physical copy of the order confirmation.
The email or SMS notification of the order cancellation from the company.
Bank or credit card statements showing the transaction and the partial refund.
Screenshots of your communication with customer support (chats, emails).
A copy of the legal notice you sent to the company and the postal receipt.
Screenshots of the product being listed at a higher price after your order was cancelled, if available.
How long will the investigation take?
The timeline for resolution can vary. Sending a legal notice usually gives the company 15 to 30 days to respond and settle the matter. If the case goes to a Consumer Commission, the Consumer Protection Act, 2019, mandates an endeavor to decide the case within three to five months. However, due to the high volume of cases, it can sometimes take longer, ranging from a few months to over a year, depending on the complexity of the case and the workload of the specific commission.
Advocate Sudhir Rao, Supreme Court of India