Case Note & Summary
The case involved an appeal against a judgment by the Karnataka High Court regarding the constitutionality of Section 27 of the Consumer Protection Act, 1986. The State of Karnataka and the Union of India challenged the High Court's ruling that the proviso to Section 27 was unconstitutional for failing to prescribe a trial procedure, thus violating Articles 20 and 21 of the Constitution. The High Court had determined that the absence of procedural safeguards rendered the imposition of penalties unconstitutional, although it upheld the main provision of Section 27. The appellants argued that the High Court's decision was incorrect, asserting that the main provision was valid and that the proviso merely allowed for lesser penalties. The respondents contended that the issue had become academic following amendments to Section 27 in 2003, which included provisions for the District Forum and Commissions to act as Judicial Magistrates. The Supreme Court noted that the amendments had rendered the controversy moot, leading to the dismissal of the appeals without costs.
Headnote
A) Constitutional Law - Fundamental Rights - Violation of Articles 20 and 21 - Consumer Protection Act, 1986, Section 27 - The High Court found the proviso to Section 27 unconstitutional as it allowed punishment without procedural safeguards, infringing on fundamental rights. The court held that the offence and penalties under Section 27 must be tried in accordance with the IPC and the Code of Criminal Procedure, 1973 (Paras 1-2).
Issue of Consideration
Whether the proviso to Section 27 of the Consumer Protection Act, 1986 was unconstitutional for lack of procedural safeguards.
Final Decision
The Supreme Court dismissed the appeals as the amendments to Section 27 rendered the controversy academic, with no order as to costs.
Law Points
- Constitutional validity
- Consumer Protection Act
- Judicial Magistrate powers
- Article 21
- procedural safeguards



