Consumer Court settles over half its cases in first year, but access remains limited

Nepal's Consumer Court has made a strong start in its first year, settling more than half of the 45 cases registered. Notable rulings include ordering Qatar Airways to pay 26.19 million Nepalese rupees in compensation to a passenger who suffered burns from spilled hot coffee, and awarding 11 million rupees to a woman whose husband died after being electrocuted in a hotel swimming pool.

The court, established on March 15 last year, has become an effective mechanism for consumer justice. Officials report that 23 cases were decided, with four resolved through out-of-court settlements. The majority of cases involved medical negligence and disputes over goods and services, followed by automobile-related complaints. Internet services, tourism, home construction, banking, and airlines also saw cases brought before the court.

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Consumers have received compensation of more than Rs10 million. The specialised court delivers decisions quickly, and even the possibility of consumers approaching the Consumer Court has made traders more cautious before engaging in unfair practices.

Consumer rights activists praise the court's speed and its role in making traders more cautious. However, they point out that the court's reach is limited to the Kathmandu Valley. This geographical restriction leaves consumers in the rest of the country with restricted access to justice, despite the court's ability to resolve cases much faster than traditional district courts.

Following a Supreme Court directive, efforts are underway to establish Consumer Courts in all seven provinces, which would significantly improve access to justice for a wider population.

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This shows the Consumer Court's effectiveness is growing, but it is still not sufficient.