Flipkart to Pay Rs 10k Compensation for Unfair iPhone Order Cancellation

The Consumer Disputes Redressal Commission found Flipkart culpable of employing unjust trade practices and mandated it to reimburse a customer Rs 10,000 for the psychological distress endured following the cancellation of his iPhone order. The District Consumer Disputes Redressal Commission, Central Mumbai, concluded in a recent ruling that the cancellation, aimed at generating additional profit, constituted a deficiency in service and an unjust and prohibitive trade practice by the online platform.

Although the customer had received a refund, the commission emphasized the need for compensation due to the mental anguish and suffering caused by the unilateral cancellation of the order. According to the complainant, a resident of Dadar, he had ordered an iPhone from Flipkart on July 10, 2022, and made a payment of Rs 39,628 via credit card. Despite the phone’s scheduled delivery for July 12, six days later, he received a cancellation notification from the e-commerce company.

Flipkart’s delivery partner, Ekart Logistics, was implicated in the complaint. However, the commission ruled that as a delivery partner, Ekart Logistics lacked a direct consumer-service provider relationship with the complainant. Flipkart contended that it merely acted as an online intermediary, with products on the platform sold and supplied by independent third-party sellers. In this instance, the seller was International Value Retail Private Limited, and Flipkart claimed it played no part in the transaction between the complainant and the seller.

While Flipkart maintained that the cancellation occurred because of the seller’s inability to deliver the product, the commission noted the unilateral nature of the cancellation, especially as the complainant had been in regular communication with Flipkart regarding the issue. The commission also highlighted Flipkart’s failure to provide evidence of multiple delivery attempts as claimed.

The commission determined that Flipkart’s actions were intentional, aimed at securing additional profit, thus constituting a deficiency in service and unjust trade practices. Consequently, Flipkart was ordered to compensate the complainant with Rs 10,000 for the mental distress and agony suffered, in addition to Rs 3,000 towards costs.

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