Zepto charged Rs 34 above MRP; consumer court ordered them to pay Rs 57,000

NEW DELHI: A district consumer commission in Telangana has held Zepto guilty for charging more than the maximum retail price (MRP) for groceries. The commission directed the company to pay Rs 2,000 as compensation to the customer, Rs 5,000 towards litigation expenses and deposit Rs 50,000 in the commission's consumer legal aid account.

Customer flags inflated prices on grocery order

According to the commission order, K Shiva Ganesh, a 35-year-old advocate from Uppal in Hyderabad, placed an order for tender jackfruit and MTR 3 Minute Poha on Zepto on September 28, 2023. The total bill was Rs 293, including Rs 288 for the items and Rs 5 in handling charges.The complainant alleged that the prices displayed on Zepto's platform were higher than the MRP, with discounts being applied to the inflated prices.

He said the practice was misleading consumers and amounted to an unfair trade practice.Ganesh raised the issue with the company and sought action over the pricing discrepancy. He filed a complaint before the District Consumer Disputes Redressal Commission, Ranga Reddy, seeking Rs 5 lakh as compensation for mental agony and violation of his fundamental rights, along with Rs 50,000 towards litigation expenses.

The company disputed the allegations, saying it was not the manufacturer of the products and sold goods made by other manufacturers. It relied on its terms of service, which stated that product prices could change and that unintended errors in prices or product information could occur.Zepto told the commission that it corrected the pricing error after the customer brought it to its notice. It also claimed that, as a goodwill gesture, it had offered to refund the entire amount paid for the order, but the complainant refused to accept it and demanded an additional Rs 5,000.

Commission's finding on Zepto

The bench comprising president Chitneni Latha Kumari and member Kathyayani Khandavilli examined the invoice, screenshots of the order and bill, the product received and the conversations between the customer and the company.The commission found that the company had charged more than the MRP and offered a discount on the inflated price. It rejected the company's explanation that the pricing discrepancy was an unintended technical or typographical error.“In this case, there is no dispute that the Opposite Parties Zepto online grocery delivery store sold the product at prices exceeding the Maximum Retail Price (MRP), Ex.A1 evidences the same,” the bench said.It further held that offering discounts on inflated prices amounted to deceptive trade practice.“In our view, the action of collecting more than MRP on the online platform attracts the definition of ‘unfair trade’ practice and as the action of the Opposite Parties lacks the transparency and it defeated trustworthiness of the products on their selling prices of the platform,” it added.The commission also noted that selling essential groceries above the MRP could mislead consumers and that the lack of transparency affected their interests. It considered the time and effort required to pursue legal remedies while deciding the relief.“And, observing the frustrating experience of the complainant, we feel it is just and reasonable to direct the Opposite Parties to pay compensation of Rs.2,000,” the commission added.

Final order

The District Consumer Disputes Redressal Commission, Ranga Reddy, partly allowed the complaint on October 13 and directed the two opposite parties to:

The company was directed to comply within 45 days of receiving a copy of the order. The commission passed the order on October 13, 2026.The total monetary amount directed to be paid or deposited is Rs 57,000, comprising Rs 7,000 for the complainant and Rs 50,000 for the commission's consumer legal aid account. The commission did not award the Rs 5 lakh in compensation or Rs 50,000 in litigation expenses sought by the complainant.