Uber Issued with a Fine of Rs 20,000 After Extra-Charging a Customer  

Uber fined Rs. 20000

Uber, the leading ride-hailing company is fined over a consumer dispute by the Chandigarh High Court.

Uber, which is known for its safe rides and has the trust of millions in India, is finding itself in a tight spot after the company was fined Rs 20,000 as compensation to Ashwani Parashar, a resident of Chandigarh. The customer was charged Rs 1,334 for a small ride of 8.83 km by Uber. The decision was taken by the Consumer Court of Chandigarh for overcharging the customer. 

The incident is not recent but dates back to August 6, 2021, when Ashwani Parashar was charged a shocking amount of Rs. 1,334 for just a mere 8.83 kilometers ride, nearly Rs 150 per kilometer. The distance adds up to around 16 minutes journey which is why, the incident seemed unjustified and unfair. On further investigating the matter, the court found the original fair to be Rs 358.57.

Due to certain detours for the journey from AG Colony, Audit Phool Colony, Sector 41-B, to Sector 48-B, the total amount added up to Rs 1334. 

Parashar had reported the issue to Uber customer care and had also mailed the company multiple times regarding his complaint but the response was always unsatisfied. As a defence, the company tried to justify the prizes due to the certain detours the drivers had to take during the ride. Furthermore, the company said they had refunded Rs 975 to the complainant as an apology gesture. 

However, the Consumer Dispute Redressal Commission did not accept the justification and held the company responsible for the unfair trade practice. The Court sided with Parashar and ordered Uber to compensate him with Rs 10,000 and in addition pay Rs 10,000 for the legal aid count. 

In addition, the Court called it a deceptive practice by Uber to charge more than the fixed rate decided during the cab booking. The incident highlighted the issues that a customer has to face while booking anything online while shedding light on the importance of consumer rights protection. Consumer rights refer to seeking protection against unfair trade practices or exploitation.

Furthermore, it also uncovers the frustrated state of mind and feeling of helplessness of the customers, in the way they have to fight alone in trying to resolve issues with online services. This case not only serves as an example of helplessness of the customers but also as a reminder of vigilance and awareness while dealing with digital companies and platforms regarding unfair trade practices.



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