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Electric Scooter Explosion: Consumer Commission Orders ₹10 Lakh Compensation

Medak Consumer Commission Holds Electric Vehicle Manufacturer and Dealer Liable

In a landmark decision, the District Consumer Disputes Redressal Commission in Medak at Sangareddy ruled in favor of two complainants who suffered significant property damage, mental agony, and financial losses due to a defective electric scooter. The Commission ordered the manufacturer and dealer to jointly pay ₹10 lakh as compensation, along with other costs, after the vehicle exploded and caused extensive damage.

Case Background

The Incident:

• Mrs. Kandi Shailaza and her daughter, Ms. Harshitha, purchased a Benling Falcon Electric Scooter in April 2021 for ₹74,000.
• On February 27, 2023, while the vehicle was charging, it exploded at 2:30 a.m., setting off a fire that destroyed the scooter and caused damage to another vehicle, household property, and personal belongings.

Damages Suffered:

• The fire spread rapidly, damaging walls, windows, electrical systems, and personal items, and caused structural cracks in the house.
• Family members, including elderly relatives and pets, experienced physical injuries, mental trauma, and smoke-related health issues.

Manufacturer’s Response:

• Despite repeated complaints, emails, and legal notices, the manufacturer, Benling India Energy and Technology Pvt. Ltd., and the dealer, San Motors, failed to address the grievances or provide any resolution.

Complainants’ Arguments

The complainants alleged:

1. Defective Product:
   • The scooter exploded despite being used as per the manufacturer’s instructions.
2. Negligence:
   • The manufacturer and dealer failed to investigate the cause of the explosion or provide support.
3. Product Liability:
   • Under the Consumer Protection Act, 2019, the manufacturer and seller are strictly liable for any damage caused by defective products.

Commission’s Findings

Deficiency in Service:

• The explosion was attributed to a defect in the vehicle, and the manufacturer failed to address safety concerns or assist the complainants.
• The dealer and manufacturer were negligent in handling the issue despite multiple communications.

Product Liability:

• The manufacturer has a statutory obligation to ensure the safety of its products and compensate consumers for any damages caused by defects.

Failure to Act:

• The respondents did not appear before the Commission to defend themselves, reinforcing the complainants’ claims.

Compensation:

• Although the complainants sought ₹13.5 lakh in damages, the Commission awarded ₹10 lakh for property loss, collateral damage, and mental agony, based on the evidence provided.

Commission’s Order

The Medak Consumer Commission directed the manufacturer and dealer to jointly:

1. Compensate the Complainants:
   • Pay ₹10 lakh for property damage, mental agony, and other losses.
2. Refund the Scooter’s Depreciated Cost:
   • Refund ₹60,608 after accounting for two years of depreciation or provide a replacement vehicle.
3. Reimburse Legal Costs:
   • Pay ₹10,000 towards litigation expenses.

The respondents were given 30 days to comply with the order, failing which the amounts would accrue interest.