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    Question

    Under Section 51(1) of the Consumer Protection Act,

    2019, what is the mandatory deposit required from an appellant seeking to appeal a State Commission order before the National Commission? 
    A 25% of the amount awarded by State Commission Correct Answer Incorrect Answer
    B 50% of the amount awarded by State Commission, as a condition precedent to entertaining the appeal Correct Answer Incorrect Answer
    C 75% of the amount awarded by State Commission Correct Answer Incorrect Answer
    D Full amount of the award must be deposited Correct Answer Incorrect Answer
    E No deposit is required if the appeal raises substantial questions of law Correct Answer Incorrect Answer

    Solution

    Section 51(1) provides that appeals from State Commission orders must be filed within 30 days, but critically, the second proviso states: "no appeal by a person, who is required to pay any amount in terms of an order of the State Commission, shall be entertained by the National Commission unless the appellant has deposited fifty per cent. of that amount in the manner as may be prescribed." This 50% deposit requirement is mandatory and jurisdictional—failure to deposit renders the appeal non-maintainable. The Supreme Court has examined whether this constitutes a minimum or maximum deposit threshold. The deposit requirement operates as a guard against frivolous appeals and protects the consumer's interest, ensuring that appellants have financial commitment to their claims.

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