Privity of Contract Essential to Be a Consumer Under the Act: Supreme Court

The Supreme Court ruled party lacking direct contractual ties (privity of contract) with a service provider cannot be considered a "consumer" under the Consumer Protection Act and thus cannot invoke consumer rights. 

It set aside the NCDRC’s order directing Citicorp Finance (India) Ltd. to refund litigation costs to a respondent who had no direct contractual relationship with the appellant. 

The Court held that liability under the Act requires a contractual obligation and that the NCDRC erred in imposing financial liability.

Referring to Janpriya Buildestate Pvt. Ltd. v. Amit Soni (2021), the Supreme Court clarified that a contract is essential for consumer claims.