Goonj – India Law Blog & Insights on Society and Spirituality

  Why a 150-Year-Old Law is Stalling Modern Contracts By Adv. Mamta Singh Shukla, Supreme Court of India India, a rising economic titan with a $4.5 trillion dream, is being shackled by a 150-year-old ghost. Its law of damages, rooted in the dusty, paternalistic anxieties of colonial rule, is no longer a legal framework but an economic drag. Foundation of India’s Law of Damages The current law is derived from English common law principles distinguishing between compensation and penalties: Section 73 of Indian Contract Act 1872 – Deals with unliquidated damages providing compensation for loss or damage caused by breach of contract. Section 74 of Indian Contract Act 1872 – Deals with liquidated damages, situations where the parties stipulate the amount of damages in advance. Jurisprudence built on Sections 73 & 74 of the Indian Contract Act was a necessary shield for the illiterate farmer against the extortionist landlord. The cours...

🏛️ Consumer Protection Act vs Lawyers: Can Advocates Be Sued for Deficiency in Service? Introduction The Consumer Protection Act was enacted to safeguard consumers from unfair trade practices, fraud, poor quality, and non-delivery of promised services. Originally designed to cover sectors like healthcare, retail, and finance, a question soon arose — should lawyers also fall within its ambit? If a lawyer accepts fees but fails to perform due diligence or act responsibly, can the client drag them before a consumer court for deficiency in service ? This question continues to generate intense debate within India’s legal system. ⚖️ Legal Background: The 1986 Act and “Service” Definition The Consumer Protection Act, 1986 , defines “service” under Section 2(1)(o) as any service made available to potential users in exchange for consideration. In 2007, the National Consumer Disputes Redressal Commission (NCDRC ) held that legal services provided by advocates would fall under this defini...