Mr. Alok Sharma, a resident of a housing society in Jabalpur, decided to get a new broadband connection from a well-known provider, “SpeedLink Telecom.” He applied online through their official website and paid an advance installation fee of ₹1500 as required. He was assured that a company representative would contact him shortly for the installation process.
Days turned into weeks, but Mr. Sharma received no communication. Frustrated, he contacted SpeedLink’s customer service. The representative apologized for the delay and, surprisingly, advised him to make a fresh request over the phone to expedite the process, promising that the new connection would be installed the same day. They also assured him that his initial online request would be cancelled and the ₹1500 advance would be refunded automatically.
Trusting the representative, Mr. Sharma agreed. However, it has now been over three months. Despite numerous follow-up calls and emails, where he provided transaction details and payment proof, he has only received template responses promising resolution within “48 hours.” The promised refund never arrived, and the company has shown no real intent to resolve the matter, leaving Mr. Sharma feeling cheated and helpless.
Advice in such cases
When a company fails to provide a promised service after taking an advance payment and then refuses to refund the amount, it constitutes a clear case of deficiency in service. Here are the steps you should take:
Compile All Documentation: Gather every piece of evidence you have. This includes the payment confirmation email or SMS, bank statements showing the transaction, screenshots of the online application, and records of all communication with the company (emails, chat transcripts, call log details with dates and times).
Send a Formal Written Complaint: Draft a formal complaint and send it to the company’s nodal officer or appellate authority. The contact details for these authorities are usually available on the company’s website as per regulatory guidelines. This creates a formal record of your attempt to resolve the issue.
Send a Legal Notice: If the company does not respond satisfactorily to your formal complaint, the next step is to have a lawyer send a legal notice. This notice will detail your grievance, the deficiency in service, and demand the refund along with compensation for the harassment and costs incurred, within a specified timeframe (e.g., 15 or 30 days).
File a Consumer Complaint: If the company fails to comply with the legal notice, you can file a complaint before the appropriate District Consumer Disputes Redressal Commission under the Consumer Protection Act, 2019. This is a quasi-judicial body specifically designed to handle such grievances.
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
This situation is primarily governed by the Consumer Protection Act, 2019.
Section 2(11) of the Consumer Protection Act, 2019 – “Deficiency in Service”: The company’s failure to install the connection after accepting payment and then not processing the refund is a clear deficiency in the service they were supposed to provide.
Section 2(47) of the Consumer Protection Act, 2019 – “Unfair Trade Practice”: Making a false promise of a service and its subsequent refund can be construed as an unfair trade practice, as it is a deceptive practice for the purpose of promoting the sale of their services.
Indian Contract Act, 1872: By accepting your payment for a service, the company entered into an implied contract with you. Their failure to uphold their end of the bargain is a breach of contract, entitling you to a refund of the amount paid.
If you are the complainant
If you have decided to take legal action and file a complaint, here is what you should do:
Organize Your Evidence: Arrange all your documents chronologically. Prepare a clear timeline of events, from the day you made the payment to your last communication with the company.
Draft a Clear Complaint: The complaint filed in the consumer commission should be clear, concise, and state all the facts accurately. It must specify the relief you are seeking, which would include the refund of ₹1500, interest on that amount, compensation for mental agony and harassment, and litigation costs.
Follow Procedural Requirements: Ensure you file the complaint in the correct jurisdiction (usually where the company’s office is located or where the cause of action arose). The complaint can be filed online through the e-daakhil portal or physically at the District Commission.
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 the person who has suffered a loss due to the company’s actions, you have specific rights and steps to follow:
Act Promptly: The limitation period for filing a consumer complaint is two years from the date the cause of action arose. Do not delay in taking action.
Preserve All Communication: Do not delete any emails, text messages, or call recordings (if any) with the company. These are crucial pieces of evidence that establish their false promises and failure to act.
Understand Your Rights: As a consumer, you have the right to be protected against unfair trade practices and the right to seek redressal against them. The Consumer Protection Act is designed to protect your interests.
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
In matters like this, the police generally do not intervene. This is considered a civil dispute or a consumer-company dispute, not a criminal one, unless there is a clear element of widespread, premeditated fraud or cheating under the Bharatiya Nyaya Sanhita (BNS). If you approach a police station, they will most likely advise you that this is not a police matter and direct you to file a complaint in the consumer commission. Their role is limited as there is no cognizable criminal offence apparent on the face of it.
FAQs people normally have
What evidence is required?
To build a strong case, you will need the following evidence:
Proof of payment: Bank statement, credit card statement, UPI transaction ID, or the digital receipt issued by the company.
The initial application or request confirmation for the broadband connection.
All email and chat correspondence with the customer service department.
A record of phone calls made (dates, times, and a summary of the conversation).
A copy of the legal notice sent to the company and the postal receipt.
How long will the investigation take?
This is not a police investigation. The timeline for resolution depends on the proceedings of the Consumer Disputes Redressal Commission. While the Act aims for speedy disposal of cases, the process can take several months to over a year, depending on the complexity of the case, the company’s response, and the workload of the commission. However, often the mere filing of a complaint and receiving a notice from the commission prompts the company to settle the matter and issue the refund to avoid litigation.
Advocate Sudhir Rao, Supreme Court of India