Court Orders Car Dealer To Refund Rs 28 Lakh For Faulty EV – OEM Spared

Tata Harrier EV purchased in August 2025 from Select Motors Hyderabad faced issues again and again – Owner filed case in consumer court

In a recent case involving Harrier EV, the district consumer commission in Hyderabad has ruled in favour of the complainant. With evidence supporting claims that the vehicle continued to face issues despite multiple repairs, the court has ordered the Tata Select Motors dealership to refund Rs 28 lakh to the customer. However, this ruling could be challenged in a higher court of law.

Harrier EV consumer case details

In this case, the consumer is M/s Refrigeration Equipment and Solutions, a partnership firm based out of Hyderabad. They had purchased a Tata Harrier EV Empowered variant (75 kWh) on 1st August 2025 from Tata Select Motors. The SUV was purchased for Rs 27.98 lakh. According to the owner, the vehicle developed issues soon after it was delivered.

Issues experienced by the owner included startup problems. The owner also pointed out issues with the smart key and central locking. Even when the car was taken to the service centre multiple times, the issues persisted. Several times, the vehicle also stopped unexpectedly while driving. According to the dealer, these issues were due to a software glitch. However, the issues were never fully resolved even after multiple repairs.

Owner requests a refund

With no long-lasting resolution in sight, the owner asked the dealership to refund Rs 29,29,395. Additionally, a compensation of Rs 10 lakh was also demanded for mental agony and harassment. The dealer dismissed the complaint, saying that there was no deficiency in service on their part. It was also pointed out that the initial issue was resolved and the central locking system has been replaced under warranty.

The dealer also stated that they were only a middleman and the company was not mentioned in the case filed. This case was heard by a bench of President B Uma Venkata Subba Lakshmi and members C Lakshmi Prasanna and B Raji Reddy. Upon examining the service history and job cards, it was found that the issue with the smart key has been resolved.

Court order

However, the records also revealed that the same issues appeared again and again even after multiple repairs. Since the issues were not resolved, the commission treated it as a deficiency in service. In their final order, the commission has asked the dealer to refund the price of the vehicle after deducting 10% as depreciation. For the Rs 10 lakh compensation demanded by the owner, the court found it to be excessive.

As such, the compensation was reduced to Rs 50,000. The commission also ordered the dealer to pay Rs 15,000 as litigation charges. The refund has to be paid within 45 days to the owner. Failing to do so will attract 9% interest on the ordered amount, charged annually. It remains to be seen if the matter is settled by the dealer or an appeal is made in a higher court.