In a landmark judgment, the District Consumer Disputes Redressal Commission of Chandigarh has imposed a fine of ₹20,000 on Uber India for overcharging a customer on a relatively short ride. The ruling came in response to a complaint filed by Chandigarh resident Ashwani Prashar, who was billed an exorbitant amount of ₹1,334 for a mere 8.83-kilometer journey, equivalent to ₹150 per kilometer.
Despite attempts to resolve the issue directly with Uber, Prashar’s grievances went unanswered, prompting him to seek redress through legal channels. Uber India defended the inflated fare by attributing it to multiple route deviations, which allegedly led to a surge from the initially quoted upfront fare of ₹359. However, the Commission dismissed this explanation as an unfair trade practice, deeming it unacceptable.
As per the Commission’s ruling, Uber India was directed to compensate Prashar with ₹10,000 and deposit an additional ₹10,000 into the legal aid account. Criticizing Uber’s practice of charging fares significantly higher than the contracted fare displayed during booking, the Commission labeled it as deceptive and unfair to consumers.
In response to the verdict, Uber India refunded ₹975 worth of Uber Credits to Prashar’s account as a gesture of goodwill. This incident sheds light on the challenges consumers face when confronted with unjustified charges from online service providers, emphasizing the importance of transparency and fairness in billing practices.
The ruling serves as a stern warning to companies operating in the ride-hailing industry to prioritize ethical conduct and ensure transparent pricing structures to maintain consumer trust and uphold regulatory compliance.
