Money
Consumer court decides first three cases in favour of victims
In its first three months of operation, Nepal’s consumer court has ruled in favour of consumers in three major cases.
Krishana Prasain
Nepal’s first consumer court has ruled in favour of consumers in three of the ten cases filed since its establishment nearly three months ago. Two cases were withdrawn following out-of-court settlements, while hearings continue in five others, mostly related to hospital negligence.
On Thursday, the court delivered verdicts in two cases, both siding with the consumers.
Nepal’s consumer court, a specialised judicial body dedicated to addressing consumer grievances, officially began operations on March 15. Basanta Gautam, a resident of Ward 9 in Budanilakantha Municipality, filed the first case the following day.
Gautam accused Om Hospital and Research Centre, based in Chabahil, of medical negligence that allegedly led to his father’s death. The court ruled in Gautam’s favour and ordered the hospital to pay Rs5.68 million in compensation.
An advocate, Gautam initially sought Rs50 million in damages, claiming serious lapses in the treatment of his 98-year-old father, Harihar Prasad Gautam.
According to the complaint, Harihar Prasad had slipped in the bathroom at home on January 18 and was rushed to Om Hospital. The emergency team conducted an X-ray and prescribed a combination of medicines, including a pain relief injection (Dynapar 75 mg), Ecox 70 mg for three days, Pantocid 40 mg for seven days, and Myospal for five days. He was discharged the same day and advised to follow up with an orthopaedic specialist.
However, after four days of medication, Harihar Prasad’s condition did not improve. The family then took him to HAMS Hospital, where doctors re-evaluated the initial X-ray and diagnosed an acetabulum fracture. A subsequent CT scan revealed multiple fractures in the femoral head and acetabulum—injuries that had worsened due to inadequate treatment.
He died a few weeks later, which the court ruled was a result of the hospital’s serious negligence and breach of duty of care.
In another case decided on Thursday, Nani Kaji Khadka won Rs393,000 in compensation from GRS Two Wheelers Auto Pvt Ltd, a dealership in Jamal.
Khadka had purchased a Yamaha motorcycle for Rs445,900, assuming it was the latest model. However, he later discovered it had been manufactured a year earlier.
Soon after the purchase, the bike developed issues with its self-start mechanism, battery, engine performance, and fading paint. Despite initial efforts to resolve the matter through a preliminary settlement, the case proceeded in court and was resolved in the consumer’s favour.
On May 9, the court awarded compensation to Savitri Thapa, who had lodged a complaint after being denied a full refund for a returned item.
Thapa, a resident of Ward 13 in Godavari Municipality, filed her complaint on March 18 against Swastik Silver Palace in Bishal Bazaar, New Road. She had purchased a silver idol for Rs4,600 and returned it within seven days, expecting a full refund. However, the seller deducted Rs2,375 and returned only Rs2,225.
Thapa then filed a complaint against shop owner Sunita Shrestha, accusing her of fraud. She demanded Rs4,600 for the item, Rs1,500 for travel expenses, Rs25,000 for mental distress, and an additional Rs4,600 for physical loss, bringing her total compensation claim to Rs35,700. The court ultimately awarded her Rs20,000.
“The consumer court has delivered verdicts in three cases so far. If any party is dissatisfied, they may appeal to the Patan High Court,” said Shobhakar Kharel, registrar of the consumer court.
Kharel noted that most complaints currently under review involve alleged medical negligence by hospitals in Kathmandu Valley. “We have five ongoing cases against hospitals,” he added.
Among them is a complaint registered on March 17 by Ram Sagar Yadav, a resident of Sunsari currently living in Ward 18 of Lalitpur Metropolitan City.
Yadav filed a case against CG Holding, claiming his car, still under warranty, was damaged in the September 2024 floods.
When he took it to the Suzuki Service Centre in Dallu, the workshop allegedly opened the engine without authorisation during the warranty period, leading to serious performance issues. Yadav initially sought Rs7.77 million in compensation but later settled the case out of court and withdrew his complaint.
Another withdrawn case involved Chiranjibi Thapa, who had filed a case on April 20 against New Laptop Trader in New Road, Kathmandu. Thapa had bought a laptop for Rs71,500, which soon developed battery issues. When he attempted to return it within seven days, the seller refused a refund or a replacement. Thapa ultimately decided to withdraw the case.
According to Kharel, two additional consumer complaints originally registered at the Kathmandu District Court, before the establishment of the consumer court, have now been transferred to the consumer court for further proceedings.
Consumer rights activists stress that individuals are entitled to legal redress if the products or services they receive differ from what was promised at the time of purchase. Consumers may file complaints either independently or with the help of a lawyer. They can also seek guidance from consumer rights organisations to navigate the legal process.
Under the Consumer Protection Act-2018, cases can be filed over a wide range of grievances, from delayed flights and food poisoning at restaurants to deceptive advertising and faulty goods or services. However, complainants must provide valid purchase receipts and a clear estimate of any financial, physical, or emotional harm incurred.
Registrar Kharel said that complaints must be filed within six months of the purchase date, and the original bills must be included in the application for the case to proceed.