Red Tape ordered to pay Rs 26,000 compensation after Gurgaon man asked to pay extra Rs 30 for carry bags

A consumer commission found Red Tape guilty of unfair trade practices. The footwear brand charged a customer thirty rupees for three shopping bags. This action was deemed a deficiency in service by the Gurugram commission. Red Tape must now refund...

Agencies
Red Tape ordered to refund Rs 10 carry bag charge, pay Rs 8,000 to customer
A district consumer commission in Gurugram has held footwear and apparel brand Red Tape guilty of deficiency in service and unfair trade practice for charging a customer ₹30 for three carry bags during a shopping purchase. The commission directed the company to refund the amount with interest and pay a total of ₹26,000 as compensation and litigation costs.

The order was passed on August 4 by a bench comprising President Sanjeev Jindal and Members Jyoti Siwach and Khushwinder Kaur.

Why did the customer file the complaint?

According to the commission's order, the customer visited a Red Tape outlet in Gurugram on August 31, 2025, and purchased items worth ₹4,713.


He was charged ₹30 for three carry bags. When he requested a complimentary bag, saying he could not carry the purchased items in his hands, the store allegedly refused.

“Despite the assertion of the complainant for a complimentary carry bag, citing an inability to manually hold and take the purchased items, the OP flatly denied the said request,” the court order reads.

The customer argued that charging separately for carry bags was illegal and amounted to deficiency in service and an unfair trade practice, prompting him to approach the consumer commission.
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Why did the commission rule against Red Tape?

The commission relied on an earlier National Consumer Commission judgment involving Big Bazaar, which rejected the argument that customers should pay separately for carry bags or that they were supplied on a no-profit, no-loss basis. It observed that large retailers exploit their position by charging consumers for bags.

“In the aforesaid citation, it has been further held by the Hon’ble National Commission, New Delhi that if the OP claims itself to be responsible and environmentally conscious, then, they should have given the carry bags to the customers free of cost because in our considered view, the price of the carry bag has generally been included by them in the profit margins of the product(s),” the commission observed.

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The bench also referred to a State Consumer Commission ruling stating that retailers have a duty to provide free carry bags to customers purchasing goods. It noted that the Plastic Waste (Management and Handling) Rules, 2011 were amended in 2018 and the provision requiring retailers to charge for carry bags was removed.

“In this regard, it was also clarified by the Hon’ble State Commission, Chandigarh that the Plastic Waste (Management and Handling) Rules, 2011 had already been amended vide notification dated 18.03.2018 and Rule 15 thereof had also been omitted vide subsequent notification dated 27.03.2018 as well, and further, that as per the current legal position, the OP cannot take the shelter of the said rule which stipulated that ‘no carry bag shall be made available free of cost by retailer to its customers’,” the commission said.

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The commission further cited Section 36(5) of the Sale of Goods Act, 1930, which provides that expenses incurred in putting goods into a deliverable state must be borne by the seller.

“Thus, under this provision of law also, all the expenses with regard to packaging etc. shall be borne by the vendor in order to put goods into a deliverable state,” the commission observed.

It added that allowing retailers to continue charging customers for carry bags would undermine the objective of the Consumer Protection Act.

Compensation ordered

The commission directed Red Tape to:

  • Refund ₹30 for the three carry bags with 9% annual interest from August 31, 2025, until payment.
  • Pay ₹15,000 as compensation for mental harassment, pain and agony.
  • Pay ₹11,000 towards litigation expenses.
The company has been asked to comply with the order within 45 days. Failing that, the awarded amount will attract 12% annual interest until actual realisation.
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