Liability for defective products

2016 CLC 1145 LAHORE-HIGH-COURT-LAHORE Judicial Precedent

Ss. 2(c)(i), 4, 8, 25 & 28(4)Punjab General Clauses Act (VI of 1956), Ss.2 & 2(47)Constitution of Pakistan, Art.199Constitutional petitionLiability for defective productsDeterminationTerms 'consumer' and 'commercial purpose'Definition and scopeLimitation and negligence in using product, determination ofPrinciples

Complaint under S.25 of Punjab Consumer Protection Act, 2005 on ground that solar energy system installed by respondent was not working properly, which complaint was entertained by Consumer Court

Respondent contended that complaint could not be entertained as complainant did not fall within definition of 'consumer' as he had used solar energy system for commercial purpose

Validity

Under S.2(c) Punjab Consumer Protection Act, 2005, 'consumer' meant person or entity who bought or obtained any product against consideration and any user of such product but did not include person or entity who obtained any product for resale or for any commercial purpose, which did not include use of product by consumer only for purpose of his livelihood as self-employed person

Definition of 'consumer' showed that two words 'person' and 'entity' had been used

Word 'person' was not defined in Punjab Consumer Protection Act, 2005, for which provision of S.2 of Punjab General Clauses Act, 1956 would be invoked

Section 2(47) of Punjab General Clauses Act, 1956 defined 'person' as 'Person shall include any company or association or body of individuals, whether incorporated or not.'

Section 2 (e) of Punjab Consumer Protection Act, 2005 defined 'entity' as 'Entity means organization that has legal identity apart from its members'

Definition of 'consumer' was very comprehensive, which not only covered consumer of products but also consumer of services and extended from person who bought any commodity to consume either as eatable or otherwise from shop, business place, corporation, store, fair price shop to use private or public service

When any expression or word was not defined in an Act, then its common parlance meaning should have been given, and according to which words 'commercial purpose' was purpose the object or aim of which was to make profit out of undertaking

High Court observed that 'commercial purpose' must be interpreted considering facts and circumstances of each case

Respondent had installed solar energy system after receiving consideration at shop of complainant, where he sold shoes

Purpose of installation of solar energy system was for providing better atmosphere to customers who came there to buy shoes and to facilitate workers who worked there, and no benefit by way of profit had accrued to complainant improving his balance sheet

Whether complainant had used solar energy system for operating machines used in manufacturing shoes or he supplied energy to other shops could not be proved

Complainant, therefore, fell within definition of 'consumer' in terms of S.2(c)(i) of Punjab Consumer Protection Act, 2005

Consumer Court had rightly observed that complainant had purchased solar system from respondent for using the same at his business premises which was meant for selling of shoes and not for sale of energy solar system

Questions as to limitation in filing complaint and negligence on part of complainant in using the product, could appropriately be dealt with and decided by Consumer Court

Any verdict on said questions under constitutional jurisdiction would affect case of either party at trial

Constitutional petition against interlocutory or interim order was not maintainable

Constitutional petition was dismissed in circumstances.