Section 65 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 65 of the Food Safety and Standards Act, 2006 lets the Adjudicating Officer or the court order a food business to pay compensation when food it manufactures, distributes, sells or imports causes injury to a consumer or death. The amounts are set by the section: not less than Rs 5 lakh for death, up to Rs 3 lakh for grievous injury and up to Rs 1 lakh for other injury. Section 65 also allows publication of the offender's name and orders against the licence and the stock.
Where any person, by himself or through another, manufactures, distributes, sells or imports food causing injury or death, the Adjudicating Officer or the court can direct compensation to the victim or the victim's legal representative: not less than Rs 5 lakh for death, not exceeding Rs 3 lakh for grievous injury, not exceeding Rs 1 lakh for other injury. Payment must be made within six months of the incident, and in a death interim relief goes to the next of kin within thirty days. The section is "without prejudice to the other provisions of this Chapter", so penalties and prosecution can run alongside.
Compensation at a glance
| Outcome for the consumer | Compensation under s.65(1) | Note |
|---|---|---|
| Death | Not less than Rs 5 lakh | A floor, not a ceiling |
| Grievous injury | Not exceeding Rs 3 lakh | A ceiling |
| All other cases of injury | Not exceeding Rs 1 lakh | A ceiling |
| Timing (first proviso) | Earliest, and not later than six months from the incident | Applies to all three |
| Timing in death (second proviso) | Interim relief to next of kin within thirty days of the incident | Part of the compensation process |
The death figure is worded differently from the other two: it is a minimum. The court or Adjudicating Officer can order more than Rs 5 lakh in a death case, but not less. The injury figures are maximums. If a claim or order under this section has reached your business, an early legal consultation helps you plan the response.
Who can be ordered to pay
The section covers "any person whether by himself or by any other person on his behalf" who "manufactures or distributes or sells or imports any article of food causing injury to the consumer or his death". It therefore reaches more than the manufacturer. A distributor, a retailer, a restaurant and an importer can each fall within the wording. Responsibility across the chain follows from section 27 (see responsibilities of a food manufacturer), and where the food business is a company, section 66 can bring in persons in charge of the company (see offences by companies).
Who decides: the Adjudicating Officer or the court
Section 65(1) says "the Adjudicating Officer or as the case may be, the court". The Adjudicating Officer acts under section 68; the court acts where a prosecution is before it. The Act does not give a formula for choosing between them in this section, so the forum depends on how the matter has been taken up.
Compensation does not need the victim to prove a separate negligence case. The triggers in the text are that food was manufactured, distributed, sold or imported by the person and that it caused the injury or death. Whether the food in fact caused the injury is a question of evidence, and analysis reports under sections 46 and 47 are central to it.
Publication, cancellation and other orders
Beyond compensation, the section gives three further powers.
- Publication (s.65(2)). Where a person is held guilty of an offence leading to grievous injury or death, the Adjudicating Officer or the court may order the name and place of residence of the person, the offence and the penalty to be published at the offender's expense. The expense is treated as part of the cost of the conviction and is recoverable like a fine.
- Orders against the business (s.65(3)(a)). In case of grievous injury or death of a consumer, the Adjudicating Officer or court may order cancellation of licence, recall of food from the market, and forfeiture of establishment and property.
- Prohibition orders (s.65(3)(b)). In other cases, the Adjudicating Officer or the court may issue prohibition orders.
Forfeiture of establishment and property is a serious consequence tied to the two gravest outcomes. The text does not define "grievous injury" in this section; see the definitions in section 3 and the general law.
How it fits with the penalty sections
Section 65 sits at the end of Chapter IX after the penalty sections. Its opening words, "Without prejudice to the other provisions of this Chapter", mean that compensation is in addition to whatever penalty or punishment the business faces. For unsafe food, that can include the unsafe food provisions of section 59, which carry imprisonment where injury or death results (see selling unsafe food and our wider note on food causing injury or death). Special Courts under section 74 are for offences of grievous injury or death with imprisonment of more than three years (see special courts and transfer of cases).
Example 1. A consumer dies after eating from a sealed pack that was later found unsafe. The Adjudicating Officer or the court can direct compensation of not less than Rs 5 lakh to the legal representative, with interim relief to the next of kin within thirty days and the balance within six months of the incident.
Example 2. A restaurant customer is hospitalised with an injury classified as grievous. The compensation can be up to Rs 3 lakh, and the court may also order cancellation of the restaurant's licence or forfeiture of the establishment.
What a food business should do
- Keep batch records, supplier guarantees and complaint logs, so the chain of responsibility can be shown.
- Act on any complaint of illness immediately and preserve the suspect sample.
- Report food poisoning where section 35 requires it (see food poisoning notification).
- Have a recall procedure ready; section 28 and the recall regulations are the background (see food recall regulation).
Need help with a claim or a show-cause on consumer injury?
If your business faces a compensation claim or an order after a consumer complaint, TaxClue can help you understand the section and prepare your response with your advocate. Start with a legal consultation.
Key takeaways
- Compensation under section 65 covers food that a person manufactures, distributes, sells or imports if it causes injury or death.
- Death: not less than Rs 5 lakh. Grievous injury: up to Rs 3 lakh. Other injury: up to Rs 1 lakh.
- Payment within six months; interim relief to next of kin within thirty days in death cases.
- For grievous injury or death, licence cancellation, recall and forfeiture of establishment and property can be ordered.
- Section 65 works alongside penalties and prosecution.
Read next
- Sections 60 and 62: interfering with seized items and obstructing an FSO
- Section 66: offences by companies
- Food causing injury or death: severe penalties
- Adjudication of food safety cases
Disclaimer: Based on the Food Safety and Standards Act, 2006 as enacted, read with the Jan Vishwas (Amendment of Provisions) Act, 2023 where it applies (ss.59, 61 and 63 only; s.65 is unchanged). Verify current notifications, regulations and FSSAI orders before acting.