“Uber Penalized ₹28,000 for Imposing ₹27 Surcharge on Passenger in Chandigarh”

Uber Fined ₹28,027 for Overcharging Passenger ₹27 in Chandigarh

The District Consumer Disputes Redressal Commission has imposed a hefty fine of ₹28,027 on cab aggregator Uber for overcharging a passenger by ₹27 during a ride in Chandigarh. The complainant, Ritvik Garg, filed a complaint against Uber India Systems Pvt Ltd (UISPL) after being charged ₹80 instead of the ₹53 fare displayed at the time of booking.

Garg’s complaint highlighted the discrepancy between the fare shown on the Uber app and the amount charged by the driver for a “moto connect” ride from Sector 21-A to Modern Housing Complex, Sector 13, Chandigarh, on September 19, 2022. Despite attempts to resolve the issue with the company, Garg resorted to filing a consumer complaint.

In response, Uber argued that UISPL acted as a technology services provider, offering the Uber app as a platform for drivers and passengers to connect for taxi services. They contended that users agreed to the terms of service and privacy policy before using the app.

The commission, however, noted that consumers like Garg were unaware of the contractual intricacies between Uber and its drivers. It emphasized that consumers expected a contract with the branded service provider, not the hidden partner, and held Uber liable for deficiency in service and unfair trade practices.

As a result, the commission directed Uber to refund ₹27 to Garg for the excess charge, pay ₹8,000 as compensation for mental agony and harassment, cover litigation costs, and deposit an additional ₹20,000 into the consumer legal aid account maintained by the commission. This ruling underscores the importance of transparent pricing and consumer rights in the digital service sector.

Sources By Agencies

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