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State And District Forum Cannot Recall Or Review Their Ex-Parte Order

In Rajeev Hitendra Pathak & Ors vs Achyut Kashinath Karekar,  the main question which arises for consideration before The Supreme Court was whether the District Consumer Forums and the State Commissions have the power to set aside their own ex parte orders or in other words have the power to recall or review their own orders?

Before the Supreme Court two judgments were placed which held opposite view. While in the case of Jyotsana Arvind Kumar Shah & Others v. Bombay Hospital Trust (1999), the Court held that the State Commission did not have the power to review or recall its ex parte order, in New India Assurance Co. Ltd. v. R. Srinivasan (2000), this Court took the contrary view and held that the State Commission could review or recall its ex parte order.

The court held that - "In our considered opinion, the decision in Jyotsana's case laid down the correct law and the view taken in the later decision of this Court in New India Assurance Co. Ltd. is untenable and cannot be sustained.

In view of the legal position, in Civil Appeal No.4307 of 2007, the findings of the National Commission are set aside as far as it has held that the State Commission can review its own orders. After the amendment in Section 22 and introduction of Section 22A in the Act in the year 2002 by which the power of review or recall has vested with the National Commission only. "

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