Archive · 17 Jan 2026
Kerala HC Rules on Celebrity Endorsements in Consumer Case
The Kerala High Court recently made an important decision about celebrity endorsements.
They said that a famous person who advertises a company, like actor Mohanlal, cannot be blamed if the company does something unfair to customers.
In this case, two people took a loan from a company called Manappuram Finance.
They saw an ad with Mohanlal and thought they would get a lower interest rate.
But when they tried to pay back the loan, the company wanted more money than they promised.
The people who took the loan complained and included Mohanlal in their complaint.
The court said that Mohanlal is not responsible because he just appeared in the ads and did not make any promises about the loan.
The court also said that the company can still be held responsible for any unfair practices.
Kerala High Court ruled that brand ambassadors cannot be held liable for a company's unfair trade practices without a direct link to the transaction.
The case involved actor Mohanlal, who was the brand ambassador for Manappuram Finance, and two borrowers who alleged higher interest rates than advertised.
The court found that Mohanlal's role was limited to appearing in advertisements and he had no direct involvement in the loan transaction.
The court clarified that liability for unfair trade practices or deficiency of service cannot be attributed to the endorser merely because they endorsed the brand.
The consumer case against Manappuram Finance will continue, and borrowers can seek remedies under Section 21 of the Consumer Protection Act for misleading advertisements.
- Who
- Mohanlal, Manappuram Finance, two borrowers in Thiruvananthapuram
- What
- Kerala High Court ruled that brand ambassadors cannot be held liable for a company's unfair trade practices without a direct link
- When
- The case pertained to loans taken in 2018
- Where
- Thiruvananthapuram, Kerala, India
- Why
- The borrowers alleged they were charged higher interest rates than advertised, and Mohanlal was named in the complaint as the brand ambassador
- Case Involved
- Mohanlal, Manappuram Finance, two borrowers in Thiruvananthapuram
- Issue
- Higher interest rates than advertised
- Court's Decision
- Brand ambassadors not liable for company's unfair trade practices without direct link
- Legal Basis
- Consumer Protection Act, 2019
- Key Section
- Section 21 (False or misleading advertisements)
- Actor's Role
- Brand ambassador for Manappuram Finance
- Consumer Complaint
- Refund of excess interest and Rs 25 lakh compensation
- Court's Clarification
- Consumer case against Manappuram Finance to continue