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Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act ?
FEDERATION OF HOTELS & RESTAURANTS ASSOCIATION OF INDIA AND OTHERS v. UNION OF INDIA & ORS [2007 CTJ 352 (DEL) (CP)] Vikramajit Sen, J. [Decided on 5.03.2006]
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act – Held, No. Whether such supply could be treated as sale – Held, No.
Brief facts : Facts are immaterial for this case. The issue before the court was whether a hotel or restaurant could serve mineral water at a price more than its MRP ?
Decision : They can serve.
Reason : The question before the High Court was whether it was permissible for the petitioners, the hoteliers and restaurateurs, to charge their customers/guests any price above the maximum retail price (MRP) mentioned on the packaged mineral water/ included aerated soft drinks, mineral water and drinking water. This may be so but the sweep and intendment of the SWM Act and Rules are palpably obvious from the fact that in respect of these commodities it is the packaging thereof which has been specifically dealt with. A reading of Section 33 fortifies the conclusion that the Act is primarily concerned with the display of weight, measure, number, MRP etc. on the packaging and does not travel further to punish the charging of a price in excess of the stated MRP. The discussion would not be complete without some reference to the decision s of the Delhi State Commission. Under the Consumer Protection Act, 1986 (‘CP Act’ in brief) where the charging of prices beyond the MRP have been held to violate the statute. Prima facie, however, it appears to me that learned counsel for the parties had obviously not brought to the notice of the Commission the decision of the Supreme Court in Associated Hotels and Northern India Caterers, which leave no room for argument that supply or service of eatables and drinks in hotels and restaurants does not partake of the nature of a ‘sale’ in common legal parlance. Hence, when a person goes to a hotel or restaurant and while he is there orders and consumers such commodities this does not fall within the definition of consumption as contained in Section 2(1)(d) of the Consumer Protection Act. Forcing the provisions of Consumer Protection Act in such circumstances would run counter to the law laid down in Associated Hotel and Northern India Caters. These observations are obviously made en passant. In the above analysis I hold that charging prices for mineral water in excess of MRP printed on the packaging, during the service of customers in hotels and restaurants does not violate any of the provisions of the SWM Act as this does not constitute a sale or transfer of these commodities by the Hotelier or Restaurateur to its customers. The customer does not enter a hotel or a restaurant to make a simple purchase of these commodities. It may well be that a client would order nothing beyond a bottle of water or a beverage, but his direct purpose in doing so would clearly travel to enjoying the ambience available therein and incidentally to the ordering of any article for consumption. Can there be any justifiable reason for the Court or Commission to interdict the sale of bottled mineral water other than at a certain for a cup of tea or coffee. The response to this rhetorical query cannot but be in the negative.
Best Regards,
VANITA NIGOO
www.vanitanigoo.info
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act ?
FEDERATION OF HOTELS & RESTAURANTS ASSOCIATION OF INDIA AND OTHERS v. UNION OF INDIA & ORS [2007 CTJ 352 (DEL) (CP)] Vikramajit Sen, J. [Decided on 5.03.2006]
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act – Held, No. Whether such supply could be treated as sale – Held, No.
Brief facts : Facts are immaterial for this case. The issue before the court was whether a hotel or restaurant could serve mineral water at a price more than its MRP ?
Decision : They can serve.
Reason : The question before the High Court was whether it was permissible for the petitioners, the hoteliers and restaurateurs, to charge their customers/guests any price above the maximum retail price (MRP) mentioned on the packaged mineral water/ included aerated soft drinks, mineral water and drinking water. This may be so but the sweep and intendment of the SWM Act and Rules are palpably obvious from the fact that in respect of these commodities it is the packaging thereof which has been specifically dealt with. A reading of Section 33 fortifies the conclusion that the Act is primarily concerned with the display of weight, measure, number, MRP etc. on the packaging and does not travel further to punish the charging of a price in excess of the stated MRP. The discussion would not be complete without some reference to the decision s of the Delhi State Commission. Under the Consumer Protection Act, 1986 (‘CP Act’ in brief) where the charging of prices beyond the MRP have been held to violate the statute. Prima facie, however, it appears to me that learned counsel for the parties had obviously not brought to the notice of the Commission the decision of the Supreme Court in Associated Hotels and Northern India Caterers, which leave no room for argument that supply or service of eatables and drinks in hotels and restaurants does not partake of the nature of a ‘sale’ in common legal parlance. Hence, when a person goes to a hotel or restaurant and while he is there orders and consumers such commodities this does not fall within the definition of consumption as contained in Section 2(1)(d) of the Consumer Protection Act. Forcing the provisions of Consumer Protection Act in such circumstances would run counter to the law laid down in Associated Hotel and Northern India Caters. These observations are obviously made en passant. In the above analysis I hold that charging prices for mineral water in excess of MRP printed on the packaging, during the service of customers in hotels and restaurants does not violate any of the provisions of the SWM Act as this does not constitute a sale or transfer of these commodities by the Hotelier or Restaurateur to its customers. The customer does not enter a hotel or a restaurant to make a simple purchase of these commodities. It may well be that a client would order nothing beyond a bottle of water or a beverage, but his direct purpose in doing so would clearly travel to enjoying the ambience available therein and incidentally to the ordering of any article for consumption. Can there be any justifiable reason for the Court or Commission to interdict the sale of bottled mineral water other than at a certain for a cup of tea or coffee. The response to this rhetorical query cannot but be in the negative.
Best Regards,
VANITA NIGOO
www.vanitanigoo.info
http://www.onecaselawperday.com/?p=56
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act ?
FEDERATION OF HOTELS & RESTAURANTS ASSOCIATION OF INDIA AND OTHERS v. UNION OF INDIA & ORS [2007 CTJ 352 (DEL) (CP)] Vikramajit Sen, J. [Decided on 5.03.2006]
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act – Held, No. Whether such supply could be treated as sale – Held, No.
Brief facts : Facts are immaterial for this case. The issue before the court was whether a hotel or restaurant could serve mineral water at a price more than its MRP ?
Decision : They can serve.
Reason : The question before the High Court was whether it was permissible for the petitioners, the hoteliers and restaurateurs, to charge their customers/guests any price above the maximum retail price (MRP) mentioned on the packaged mineral water/ included aerated soft drinks, mineral water and drinking water. This may be so but the sweep and intendment of the SWM Act and Rules are palpably obvious from the fact that in respect of these commodities it is the packaging thereof which has been specifically dealt with. A reading of Section 33 fortifies the conclusion that the Act is primarily concerned with the display of weight, measure, number, MRP etc. on the packaging and does not travel further to punish the charging of a price in excess of the stated MRP. The discussion would not be complete without some reference to the decision s of the Delhi State Commission. Under the Consumer Protection Act, 1986 (‘CP Act’ in brief) where the charging of prices beyond the MRP have been held to violate the statute. Prima facie, however, it appears to me that learned counsel for the parties had obviously not brought to the notice of the Commission the decision of the Supreme Court in Associated Hotels and Northern India Caterers, which leave no room for argument that supply or service of eatables and drinks in hotels and restaurants does not partake of the nature of a ‘sale’ in common legal parlance. Hence, when a person goes to a hotel or restaurant and while he is there orders and consumers such commodities this does not fall within the definition of consumption as contained in Section 2(1)(d) of the Consumer Protection Act. Forcing the provisions of Consumer Protection Act in such circumstances would run counter to the law laid down in Associated Hotel and Northern India Caters. These observations are obviously made en passant. In the above analysis I hold that charging prices for mineral water in excess of MRP printed on the packaging, during the service of customers in hotels and restaurants does not violate any of the provisions of the SWM Act as this does not constitute a sale or transfer of these commodities by the Hotelier or Restaurateur to its customers. The customer does not enter a hotel or a restaurant to make a simple purchase of these commodities. It may well be that a client would order nothing beyond a bottle of water or a beverage, but his direct purpose in doing so would clearly travel to enjoying the ambience available therein and incidentally to the ordering of any article for consumption. Can there be any justifiable reason for the Court or Commission to interdict the sale of bottled mineral water other than at a certain for a cup of tea or coffee. The response to this rhetorical query cannot but be in the negative.
Best Regards,
VANITA NIGOO
www.vanitanigoo.info
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act ?
FEDERATION OF HOTELS & RESTAURANTS ASSOCIATION OF INDIA AND OTHERS v. UNION OF INDIA & ORS [2007 CTJ 352 (DEL) (CP)] Vikramajit Sen, J. [Decided on 5.03.2006]
Hotels and restaurants – Sale of Mineral water – Price charged more than MRP – Whether violates any provisions of Standards of Weights and measures Act – Held, No. Whether such supply could be treated as sale – Held, No.
Brief facts : Facts are immaterial for this case. The issue before the court was whether a hotel or restaurant could serve mineral water at a price more than its MRP ?
Decision : They can serve.
Reason : The question before the High Court was whether it was permissible for the petitioners, the hoteliers and restaurateurs, to charge their customers/guests any price above the maximum retail price (MRP) mentioned on the packaged mineral water/ included aerated soft drinks, mineral water and drinking water. This may be so but the sweep and intendment of the SWM Act and Rules are palpably obvious from the fact that in respect of these commodities it is the packaging thereof which has been specifically dealt with. A reading of Section 33 fortifies the conclusion that the Act is primarily concerned with the display of weight, measure, number, MRP etc. on the packaging and does not travel further to punish the charging of a price in excess of the stated MRP. The discussion would not be complete without some reference to the decision s of the Delhi State Commission. Under the Consumer Protection Act, 1986 (‘CP Act’ in brief) where the charging of prices beyond the MRP have been held to violate the statute. Prima facie, however, it appears to me that learned counsel for the parties had obviously not brought to the notice of the Commission the decision of the Supreme Court in Associated Hotels and Northern India Caterers, which leave no room for argument that supply or service of eatables and drinks in hotels and restaurants does not partake of the nature of a ‘sale’ in common legal parlance. Hence, when a person goes to a hotel or restaurant and while he is there orders and consumers such commodities this does not fall within the definition of consumption as contained in Section 2(1)(d) of the Consumer Protection Act. Forcing the provisions of Consumer Protection Act in such circumstances would run counter to the law laid down in Associated Hotel and Northern India Caters. These observations are obviously made en passant. In the above analysis I hold that charging prices for mineral water in excess of MRP printed on the packaging, during the service of customers in hotels and restaurants does not violate any of the provisions of the SWM Act as this does not constitute a sale or transfer of these commodities by the Hotelier or Restaurateur to its customers. The customer does not enter a hotel or a restaurant to make a simple purchase of these commodities. It may well be that a client would order nothing beyond a bottle of water or a beverage, but his direct purpose in doing so would clearly travel to enjoying the ambience available therein and incidentally to the ordering of any article for consumption. Can there be any justifiable reason for the Court or Commission to interdict the sale of bottled mineral water other than at a certain for a cup of tea or coffee. The response to this rhetorical query cannot but be in the negative.
Best Regards,
VANITA NIGOO
www.vanitanigoo.info
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Angeethi Restaurant charges 5 times on Kinley Mineral Water
India
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Angeethi Restaurant charges 5 times on Kinley Mineral Water — Restaurant Charged 5 times of MRP on Mineral Water
I would like to take this up very strongly , an issue which might have come up earlier in many forums, in fact i was trying to find out the latest court ruling on this - A Mumbai restaurant( Angeethi) i visited on Tuesday night ( 5 Th Jan 2010) charged Rs 70 for a bottle of Kinley Mineral water - 1 Litre which has a printed MRP of 14 /-( Bill attached for your reference) .
We all know the kind of margin the food and restaurant business makes, charging 5 times the MRP on something as essential as mineral water on top of it i felt is criminal , and when i enquired with them , they very confidently said yes we can .
Can you do something about it ! Consumers in huge numbers who are also a victim would be grateful.
Warm regards
abhimanyu chakraborty
Kandivili East
Mumbai
Mob :[protected]