Consumer court asks MakeMyTrip, Oyo Rooms to pay ₹42,000 to customer for cancelling hotel booking

Meanwhile, the commission said in its order that the cancellation of a pre-booked hotel room, without substantial reason, caused significant physical and mental distress to the complainant. The complainant, Vineet Marwaha, had made a reservation at The Essence Retreat in October 2021 through GoIbibo, a subsidiary of MakeMyTrip.

The booking was for a vacation with his wife and daughter, spanning five days in December 2021. Just three days before his check-in date, the booking was cancelled, citing the hotel's "un-operational" status and unavailability of the room. An amount of ₹10,432 was refunded to the complainant.

However, when the complainant discovered that the same hotel rooms were available for the same dates, but at an higher cost of ₹27,207. He filed a complaint with the Consumer Commission.

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In response to the Commission, MakeMyTrip stated that it acted solely as an intermediary and facilitator between the complainant, the hotel, and the hospitality service provider, Oyo. Similarly, Oyo claimed that its role was limited to arranging the booking through its platform, with the operational responsibility resting on the hotel owner.

After hearing all parties involved, the Commission observed that the room's price was escalating daily due to high demand at the hotel, with multiple customers vying for the same room at a higher price.

The Commission ruled that the complainant hired the services of OPs in advance so that he does not have to pay higher rates during peak peak season. Given that MakeMyTrip and the other parties failed to substantiate the cancellation of the complainant's booking and the subsequent availability of the same room at exorbitant rates, the Commission granted the complaint and issued directions for compensation.