Hotel Fined Rs 16 Lakh After Student’s Exam Disruption

OYO Rooms has been ordered to pay Rs 16 lakh in compensation due to a court ruling over inadequate service. The case involved a student who sued after her hotel booking was canceled, which disrupted her studies and caused considerable distress.

The district Consumer Disputes Redressal Commission in Thoothukudi, tamil Nadu, directed OYO’s founder, Ritesh Agarwal, and a chennai guest house to jointly pay the damages. The student had booked a hotel room in chennai in 2022, but upon arrival, the booking was canceled. This reservation was essential for her younger sister, who was preparing for the All india Law Entrance Test (AILET).

Despite the online reservation, the hotel refused to honor it, and oyo did not offer alternative accommodation. As a result, the student had to book a guest house at a higher cost, which caused significant inconvenience. In her legal petition, the student claimed that the incident adversely affected her sister’s mental state and exam performance, leading to her missing out on admission to the National Law university (NLU).

The court’s ruling on July 25 recognized the mishandling by oyo and the guest house, acknowledging its severe impact on the student’s future prospects. The compensation includes:

Rs 6,797 for booking and travel expenses
Rs 1.23 lakh for the sister’s course fees
Rs 10 lakh for distress, wasted time, and disrupted aspirations
Rs 5 lakh for mental anguish suffered by both the complainant and her sister
Rs 10,000 for legal expenses
The court emphasized that the negligence of oyo and the guest house undermined the sister’s hard work and aspirations. The judgment was issued ex-parte as neither oyo nor the guest house representatives attended the court proceedings.
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Balasahana Suresh

04/09/2024 07:33 PM