Punjab State Commission Allows Country Club’s Appeal, Holds Complainant Ineligible For Refund Due To Unpaid Membership Balance And AMC
Pranav B Prem
The Punjab State Consumer Disputes Redressal Commission has allowed an appeal filed by Country Club Hospitality and Holidays Ltd., overturning the District Consumer Commission’s direction to refund the membership amount. The State Commission held that the complainant was himself in breach of the contractual terms by failing to pay the outstanding balance of ₹10,000 as well as the mandatory Annual Maintenance Charges (AMC), and therefore was not entitled to avail holiday benefits under the membership plan.
The bench comprising Justice Daya Chaudhary (President) and Vishav Kant Garg (Member) observed that the complainant had suppressed material facts and deliberately withheld the signed Vacation Sale Agreement while filing the complaint. The Commission noted that the complainant’s own obligation under the Agreement was to deposit ₹70,000 as the full membership fee, of which he had paid only ₹60,000 on 04.10.2018, leaving ₹10,000 outstanding to be paid within 45 days of enrolment. The Commission further held that, under the Agreement and the Welcome Letter dated 13.10.2018, the complainant was also liable to pay ₹10,500 annually as AMC, which he had not cleared.
The complaint was originally filed by Rajiv Vohra before the District Consumer Commission, Gurdaspur. He contended that after being induced into purchasing a five-year family vacation plan under the Blue Season category, he was assured 21 days of free boarding and lodging per year in Country Club properties. According to him, when he attempted to book a vacation at Goa in December 2018 and later at Bangalore and Ooty in January 2019, the Opposite Party refused his requests and demanded an additional ₹10,000. Alleging cheating, unfair trade practice and deficiency in service, he sought refund of ₹60,000 along with interest and compensation. The District Commission partly allowed the complaint and directed refund of ₹60,000 with 9% interest.
Challenging that order, Country Club argued before the State Commission that the complainant had himself violated the contractual terms by failing to clear the remaining ₹10,000 towards the membership fee within the stipulated timeline and also defaulted on AMC charges. Relying on the terms of the Agreement, Counsel for the Opposite Party submitted that holiday benefits could be availed only upon payment of all dues and that the booking system was designed accordingly. The club contended that no booking could be processed until the complainant fulfilled his financial obligations and that it was always willing to provide services in accordance with the Agreement
After carefully examining the Welcome Letter, the Agreement and the correspondence exchanged between the parties, the State Commission held that the complainant had concealed the signed Agreement despite relying on the alleged terms under which he sought relief. The Commission found that the complainant’s concealment was not accidental but intentional, as he attempted to create a false impression that the Opposite Party had committed deficiency in service by refusing holidays. The Commission reasoned that when there was an admitted outstanding balance of ₹10,000 and the complainant had also failed to pay AMC, he could not be permitted to claim holiday benefits. It held that the refusal by Country Club to provide bookings could not amount to deficiency in service when the complainant himself had not complied with mandatory dues.
Based on its findings, the State Commission concluded that the complainant was not entitled to any refund or compensation. It allowed the appeal, set aside the District Commission’s order dated 06.02.2024 and dismissed the consumer complaint. The Commission noted that, in the circumstances of concealment of material facts and default in payment of dues, no relief could have been granted to the complainant.
Cause Title: Country Club Hospitality and Holidays Ltd. vs Rajiv Vohra
Case No: F.A No.162 of 2024
Coram: Justice Daya Chaudhary (President), Vishav Kant Garg (Member)
