Consumer Panel Fines MakeMyTrip for Withholding Cancelled Trip Refund

Consumer Panel Fines MakeMyTrip for Withholding Cancelled Trip Refund

The District Consumer Disputes Redressal Commission, Shimla bench, comprising Dr Baldev Singh (President) and Yogita Dutta (Member), found MakeMyTrip India Pvt. Ltd. and its Relationship Manager liable for unfair trade practices and deficiency in service. This decision stemmed from their failure to provide a complete refund for a cancelled trip due to the COVID-19 pandemic. The District Commission noted that a resolution was only reached and a refund initiated after the filing of the complaint. Consequently, MakeMyTrip was ordered to pay compensation and litigation costs to the Complainant.

Vatsal Agarwal (Complainant) planned a holiday tour for himself and his parents to the idyllic Andaman and Nicobar Islands during his annual leave in February 2020. He approached MakeMyTrip to secure holiday packages for three individuals. MakeMyTrip agreed to provide the services for a total cost of ₹1,69,677 for a six-day duration, inclusive of "To and Fro" booking via Vistara Airlines

On March 14, 2020, the Complainant received a WhatsApp communication from MakeMyTrip's Relationship Manager, conveying the cancellation of the planned tour due to the COVID-19 pandemic. Following this, the Complainant asked for a refund through a WhatsApp exchange with MakeMyTrip's Business Account.

On April 16, 2020, MakeMyTrip notified the Complainant via email that a penalty of ₹99,679 would be levied, with the remaining amount to be compensated through a gift voucher. Subsequently, the penalty was reduced, and the gift voucher amount was increased to ₹89,000. Despite this, the Complainant declined the offer, insisting on a full refund, which was rejected by MakeMyTrip. In response, the Complainant issued a legal notice to both MakeMyTrip and its Relationship Manager, receiving no reply.

Feeling aggrieved by the lack of resolution, the Complainant proceeded to file a consumer complaint with the District Consumer Disputes Redressal Commission in Shimla, Himachal Pradesh.

In its affidavit submitted to the District Commission, MakeMyTrip presented a contrasting narrative. They argued that the Complainant's claim was factually inaccurate and an attempt to mislead the Commission.

MakeMyTrip asserted that, upon receiving the complaint notices, a mutually agreeable settlement was reached. As per this settlement, they maintained that a full refund of ₹1,69,677 was promptly issued to the Complainant.

Further, the affidavit pointed out a resolution of the matter, MakeMyTrip highlighted a communication sent to the Complainant on September 8, 2020, explicitly informing them of the settlement and urging the withdrawal of the complaint in accordance with the agreed terms.

The District Commission noted that MakeMyTrip had refunded ₹1,69,677 to the Complainant only after legal proceedings were initiated. This delay, coupled with the absence of any valid justification for withholding the amount initially, led the Commission to conclude that MakeMyTrip and its Relationship Manager had engaged in unfair trade practices and deficient service.

As a result of the unfair trade practices and deficient service, the District Commission ruled in favour of the Complainant. MakeMyTrip was held liable and ordered to pay compensation. This included a sum of ₹10,000 for the mental agony and harassment caused to the Complainant, along with an additional ₹5,000 to reimburse the legal costs incurred.