Swiggy Fined ₹1,000 Over Non-Refund Of ₹104, Court Cites Mental Harassment

The popular food delivery service, Swiggy, has been directed by a court to pay a fine of ₹1,000. The penalty was imposed due to the company’s failure to refund an amount of ₹104 to a customer, leading to a case of mental harassment.

What Happened: As per a Times of India report, a consumer court in Ahmedabad has issued a directive to Swiggy, the popular food delivery platform, instructing it to compensate a customer for mental distress stemming from a cancelled order incident. The episode, which unfolded in November 2022, involved an Ahmedabad resident named Prasad Kanade, who had placed an order for sweets via Swiggy but failed to receive the delivery. Despite Kanade’s expenditure of ₹549 on the order, he only received a partial refund of ₹445. Swiggy allegedly failed to provide prior notification regarding the cancellation.

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In response to Kanade’s dissatisfaction, Swiggy contended that he had personally cancelled the order and lodged a complaint with the Consumer Dispute Redressal Commission. Swiggy defended its position by asserting its role as an intermediary connecting customers with restaurants and delivery partners, suggesting that it should not be held liable for issues arising from orders.

However, the consumer court ruled in favour of Kanade, emphasising Swiggy’s acceptance of payment for the service, which, in turn, imposes a responsibility on the platform to ensure seamless transactions. Consequently, the commission directed Swiggy to reimburse the outstanding ₹104 along with 9% interest. Swiggy was also mandated to pay ₹1,000 to Prasad Kanade as compensation for the mental strain endured and litigation expenses incurred during the process.

Last month, the company was fined ₹5,000 for failure to deliver an ice cream.

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