Section 98 CPA: Protection of action taken in good faith

Section 98 of Consumer Protection Act: Protection of action taken in good faith

Official Bare Act Text

Override / Mandate Mens Rea (Intent) Actus Reus (Conduct) Punishment Limitation Monetary

No suit, prosecution or other legal proceeding shall lie against the Presidents and members of the District Commission, the State Commission and the National Commission, the Chief Commissioner, the Commissioner, any officer or employee and other person performing any duty under this Act, for any act which is in good faith done or intended to be done in pursuance of this Act or under any rule or order made thereunder.

Legal Commentary & Landmark Judgments: Section 98

Section 98 provides statutory immunity protecting the Central Government, State Governments, CCPA, Commissions, and their members and officers against civil suits, criminal prosecutions, and legal proceedings for actions done in good faith.

Comprehensive Statutory Immunity: Shields the Central Government, State Governments, CCPA, consumer commissions, members, and officers from civil suits and criminal prosecutions.
Substantive Criterion: Good Faith: Immunity is contingent upon establishing that the impugned action was performed or intended to be done in 'good faith' pursuant to the Act, rules, or regulations.
Threshold Bar to Vexatious Litigation: Operates as a complete preliminary defense against retaliatory tort actions, damages claims, or private complaints initiated by disgruntled litigants.

Key Landmark Precedents:

S.P. Goel v. Collector of Stamps (1996) 1 SCC 583: The Supreme Court held that quasi-judicial officers acting in bona fide discharge of statutory duties are protected from civil actions for damages, affirming that statutory immunity ensures judicial independence.
State of Gujarat v. Kansara Manilal Bhikhalal (1964) 5 SCR 656: The Supreme Court held that 'good faith' under statutory protection clauses requires honesty of intention and due care and caution, protecting public functionaries from vexatious litigation.

Courtroom Practice & Strategic Litigation Guidance:

If a disgruntled opposite party files a civil suit or damages claim against commission members or registry officials for procedural delays or adverse orders, file an application under Order VII Rule 11 CPC read with Section 98 for rejection of the plaint at the threshold.

Section 98: Protection of action taken in good faith

Section 98 of Consumer Protection Act: Protection of action taken in good faith

Legal Commentary & Landmark Judgments: Section 98