The Consumer Court began operations on Saturday (March 15), six years after the Consumer Protection Act was enacted. Consumers who feel cheated by sellers or service providers can now file cases and seek compensation.
Chief Justice Prakash Man Singh Raut inaugurated the court building in Tripureshwar on World Consumer Rights Day. Speaking at the event, he stated that the Consumer Court will handle cases related to black marketing, price manipulation, and the sale of substandard goods, ensuring compensation for affected consumers.
The court has jurisdiction over cases involving fines exceeding Rs 300,000 and imprisonment of more than one year. Lesser offenses will be handled by the Department of Commerce.
"This court will address cases where consumers are deceived through low-quality goods, arbitrary pricing, or health hazards caused by products," Chief Justice Raut said. He highlighted that the Consumer Protection Act, 2075 BS, is built on three key principles: protecting consumers’ rights to quality goods and services, providing judicial remedies, and ensuring compensation for harm or loss.
The government approved the court’s formation in a cabinet meeting on February 3. Although the Consumer Protection Act was issued in 2075 BS, its enforcement was delayed due to the absence of a dedicated court. With the implementation of Article 44 of the Constitution, consumers now have a legal avenue to seek justice.
Stakeholders emphasized the need to consider international precedents when handling cases. Jyoti Baniya, President of the Consumer Protection Forum Nepal, noted that cases ranging from overcharging in hospitals to fraud in vegetable sales will be heard by the court. He expressed confidence that the court would expedite justice, citing past instances where compensation was provided to consumers.
This is Nepal’s first Consumer Court, and initially, it will handle cases from Kathmandu, Bhaktapur, and Lalitpur. In 2078 BS, the Supreme Court directed the establishment of consumer courts in all seven provinces, and the Ministry of Industry, Commerce, and Supplies has stated that expansion beyond the valley is underway.
The Council of Ministers has appointed Kathmandu District Court Judge Ram Prasad Sharma as the chairperson of the Consumer Court, with Under Secretary Gehendra Raj Regmi and Under Secretary Ananda Raj Pokharel as members. A bench with one member can take actions other than staying a case, while a full bench can make all legal decisions, including case stays.
Senior Advocate Dr. Narayan Ghimire highlighted the need for strong penalties to deter consumer fraud. He cited international examples, including a case where a hotel guest received Rs 1.6 million in compensation for a mosquito bite. "If strict fines are imposed, sellers will be more cautious," he said.
Judge Gehendra Raj Regmi assured that the court would swiftly deliver justice. He clarified that existing consumer-related cases in other courts would not be transferred to this court, while new cases will be heard by the Consumer Court from Sunday.
