State Commission Jurisdiction and Transfer of Cases under Consumer Protection Law

The State Consumer Disputes Redressal Commission is the consumer adjudicatory body established at the State level. Under the current Consumer Protection Act, 2019, its original, appellate and revisional jurisdiction is governed mainly by Section 47 of the Consumer Protection Act, 2019. Transfer of a complaint from one District Commission to another District Commission within the same State is governed by Section 48.

Section 47 - Jurisdiction of the State Commission

Section 47 defines the matters that a State Commission may entertain and the circumstances in which it may exercise appellate or revisional powers over District Commissions within the State.

1. Pecuniary jurisdiction

The text of Section 47(1)(a)(i) originally referred to complaints where the value of goods or services paid as consideration exceeded Rs. 1 crore but did not exceed Rs. 10 crore, while permitting the Central Government to prescribe other values. The Central Government subsequently exercised that power through the Consumer Protection (Jurisdiction of the District Commission, the State Commission and the National Commission) Rules, 2021.

The jurisdiction test under the 2019 framework is based on the value of goods or services paid as consideration, rather than the older formulation under the 1986 Act that referred to the value of goods or services and compensation claimed.

Official source: Consumer Protection (Jurisdiction of the District Commission, the State Commission and the National Commission) Rules, 2021.

2. Appeals from District Commissions

Section 47 gives the State Commission jurisdiction to hear appeals against orders of District Commissions within the State. The right of appeal and its conditions are also governed by the relevant provisions of the Consumer Protection Act, 2019.

3. Revisional jurisdiction

The State Commission may call for the records and pass appropriate orders in a consumer dispute pending before or decided by a District Commission within the State where the District Commission has exercised jurisdiction not vested in it by law, failed to exercise jurisdiction vested in it, or acted illegally or with material irregularity in exercising its jurisdiction.

4. Complaints concerning unfair contracts

Section 47 also confers jurisdiction on the State Commission in complaints against unfair contracts within the statutory monetary framework. An "unfair contract" is separately defined in Section 2(46) of the Consumer Protection Act, 2019 and broadly concerns a contract between a manufacturer, trader or service provider and a consumer containing terms that cause a significant change in the consumer's rights.

Territorial jurisdiction under Section 47(4)

A complaint may be instituted before a State Commission having territorial jurisdiction where the statutory conditions in Section 47(4) are satisfied. These include the place connected with the opposite party, the place where the cause of action wholly or partly arises, or the place where the complainant resides or personally works for gain.

Section 48 - Transfer of cases

Section 48 of the Consumer Protection Act, 2019 authorizes the State Commission, on an application by the complainant or on its own motion, to transfer a complaint pending before one District Commission to another District Commission within the same State when the interest of justice requires the transfer.

The provision can operate at any stage of the proceeding. It concerns transfer between District Commissions within the State; it is not a general power to transfer a case from one State to another.

Legacy law - Sections 17 and 17A of the Consumer Protection Act, 1986

The following explanation preserves the subject matter of the original page while making clear that these are provisions of the repealed 1986 Act.

Former Section 17 - Jurisdiction of the State Commission

Under former Section 17, the State Commission could entertain complaints where the value of goods or services and compensation claimed exceeded Rs. 20 lakh but did not exceed Rs. 1 crore. It also heard appeals against orders of District Forums within the State and exercised revisional jurisdiction where a District Forum acted without jurisdiction, failed to exercise jurisdiction, or acted illegally or with material irregularity.

Former Section 17 also contained territorial rules based on the residence, business, branch office or work for gain of the opposite party, subject to the statutory conditions where there were multiple opposite parties, and on the place where the cause of action wholly or partly arose.

Former Section 17A - Transfer of cases

Former Section 17A empowered the State Commission, on the complainant's application or on its own motion, to transfer a complaint pending before one District Forum to another District Forum within the State when the interest of justice so required. The corresponding current provision is Section 48 of the Consumer Protection Act, 2019.

Official consumer law resources

For the current statutory text, rules and regulations, refer to the India Code and the Department of Consumer Affairs - Consumer Protection Acts and Rules. Users should verify the latest notification or amendment before relying on a monetary jurisdiction limit.

This article is for general legal information. Jurisdiction may depend on the facts, relief, consideration paid, territorial connection and the law applicable on the date of filing.