THE CONSUMER PROTECTION ACT, 1986 By: Amit Kumar Giri PGDM Sec. A Roll No. 13
OBJECTS OF THE ACT Providing
better protection of interest of consumers Providing for the establishment of consumer council and other authorities Settling consumer disputes and matters connected therewith
RIGHTS OF CONSUMERS Right
to Safety Right to be Informed Right to Choose Right to be Heard Right to Seek Redressal Right to Consumer Education
1. RIGHT TO SAFETY Right to be protected against the marketing of goods and services which are hazardous
2. RIGHT TO BE INFORMED Right to be informed about the quality, quantity, potency, standard of goods and services
3. RIGHT TO CHOOSE Right to be assured access to a variety of goods and services at competitive prices
4. RIGHT TO BE HEARD Right to be represented in various forums formed to consider the welfare of consumers
5. RIGHT TO SEEK REDRESSAL Right to seek redressal against unfair practices or unscrupulous exploitation of consumers
6. RIGHT TO CONSUMER EDUCATION Right to acquire knowledge to be an informed consumer
BASIC DEFINITIONS AND CONCEPTS Consumer Complainant
(who can file a complaint)
Complaint Unfair
Trade Practice
1. CONSUMER A
person who buys any goods for a consideration which has been paid or promised or partly paid and partly promised A person who hires or avails of any services for consideration which has been paid or promised or partly paid and partly promised
2. COMPLAINANT A complainant may be: A consumer Any voluntary consumer association registered under the Companies Act, 1956 The Central Government or any State Government In case of death of a consumer, his legal heir or representative
3. COMPLAINT
Complaint means any allegation in writing made by a complainant that: Any unfair trade practice has been adopted by any trader Goods bought by consumer suffer from any defect Services hired by the consumer may suffer from any deficiency The trader is charging excess price for goods Goods or services which are hazardous
4. UNFAIR TRADE PRACTICE A trade practice which, for the purpose of promoting the sale, adopts any unfair method like: Misleading advertisement Offering gifts and prizes etc. Not conforming to prescribed standards Hoarding or destruction of goods
CONSUMER REDRESSAL AGENCIES District
Forum State Commission National Commission
1. DISTRICT FORUM
Set up by State Government in each district of the state and shall consist of: A person who is a qualified to be a District judge shall be its President A person of respect in the field of education, trade or commerce A lady social worker An appeal against its order can be filed before the State Commission within a period of 30 days from the order
2. STATE COMMISSION
Established in each State by the respective State Government and shall consist of: A person who is a judge of High Court shall be its President Two other members who shall be persons of integrity, ability and have experience of dealing with problems relating to economics, law, commerce, accountancy or administration. One of them shall be woman An appeal against its order can be filed before the National Commission within 30 days from the date of order
3. NATIONAL COMMISSION
The Central Government shall establish a National Consumer Disputes Redressal Commission which shall consist of: A person who is a judge of the Supreme Court shall be a President Two other members who shall be persons of ability, integrity and have experience of dealing with problems of economics, law, commerce, accountancy or administration. One of them shall be a woman An appeal against its order can be filed in the Supreme Court within the 30 days from the date of order
HOW TO FILE A COMPLAINT?
A complaint can be sent to the appropriate Commission/Forum and should be addressed to the President. It should contain the following information: The name, description and address of the complainant The name, description and address of the opposite party or parties The facts relating to complaints Documents in support of the allegations The relief which the complainant is seeking
REMEDIES AVAILABLE TO CONSUMERS
If it is proved that the goods are defective and the allegations are correct then opposite party has to do the following things: To remove the defect from the goods in question To replace the goods with new goods free from defects To return the price of the good To pay an amount as a compensation To remove the deficiencies in the services in question To discontinue the unfair trade practice
Not
to offer the hazardous goods for sale To withdraw the hazardous goods from being offered for sale To cease manufacture of hazardous goods To issue corrective advertisement to neutralize the effect of misleading advertisement To provide for adequate costs to the parties