Hotel liable for guest's car loss even if the parking is free

Taj Hotels sought a dismissal of the complaint on grounds that Dhawan could not be termed a consumer, as no consideration was charged for the valet parking facility

Sapan Dhawan owned a Maruti Zen, 1997 model. The car was insured with United India Insurance. When Dhawan went for dinner to Taj Mansingh Hotel, Delhi, he entrusted the car for valet parking. He was issued a token for the same. After dinner, when he sought the car keys, he was informed that the vehicle had been stolen. 

Dhawan lodged a claim with United India Insurance. The insurer settled the claim of Rs 280,000. However, the insurer obtained a power of attorney and a letter of subrogation from Dhawan to get the right to the vehicle, in the event it