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CONSUMER PROTECTION ACT, 1986
Ms. KUMKUM SENRAJINDER NARAIN & CO.
NEW DELHI
BRIEF HISTORICAL BACKGROUND
Scenario in early 70s & 80s
Existing laws providing consumer
protection
Shortcomings of such Laws
UN GUIDELINES FOR THE CONSUMER PROTECTION
Protect from hazard to health & safety;
Promote & protect economic interests;
Provide adequate information for informed choice;
Consumer education;
Provide effective redress—formal and informal
procedures;
Freedom to form groups & present views in
decision-making affecting consumers;
THE CONSUMER PROTECTION ACT, 1986 (ACT)
Applicability
Amendments
Amendments in the year 1993
Amendments in the year 2002
WHO IS A CONSUMER?
Two kinds of consumer under the Act
Consumer of goodsbuys or agrees to buy goodsany user of such goods
Consumer of services
hires or avails any services
any beneficiary of such service
CONSUMERS NEED PROTECTION AGAINST
Unfair trade practice
Restrictive trade practice
Defects
Deficiencies
UNFAIR TRADE PRACTICEAdopting unfair methods or deception to promote sale,
use or supply of goods or services e.g.
Misleading public about price (e.g. bargain price when Misleading public about price (e.g. bargain price when
it is not so).it is not so).
Charging above MRP printed.Charging above MRP printed.
Misleading public about another’s goods or services.Misleading public about another’s goods or services.
Falsely claiming a sponsorship, approval or affiliation.Falsely claiming a sponsorship, approval or affiliation.
Offering misleading warranty or guarantee.Offering misleading warranty or guarantee.
CONSUMERS NEED PROTECTION AGAINST
CONSUMERS NEED PROTECTION AGAINST
RESTRICTIVE TRADE PRACTICE Price fixing or output restraint re: delivery/flow of supplies to
impose unjustified costs/restrictions on consumers.
Collusive tendering; market fixing territorially among competing suppliers, depriving consumers of free choice, fair competition.
Supplying only to particular distributors or on condition of sale only within a territory.
Delaying in supplying goods/services leading to rise in price.
Requiring a consumer to buy/hire any goods or services as a pre-condition for buying/hiring other goods or services.
CONSUMERS NEED PROTECTION AGAINST
DEFECTS Any fault, imperfection or shortcoming in the quality, quantity,
potency, purity or standard which is required to be maintained by or under any law for the time being in force or under any contract express or implied or as is claimed by the trader in any manner whatsoever in relation to any goods.
DEFICIENCY Any fault, imperfection, shortcoming or inadequacy in the quality,
nature and manner of performance which is required to be maintained by or under any law for the time being in force or has been undertaken to be performed by a person in pursuance of a contract or otherwise in relation to any service.
CONSUMER'S RIGHTS
Right to safety against hazardous goods and Right to safety against hazardous goods and
servicesservices
Right to be informed about quality, quantity, Right to be informed about quality, quantity,
purity, standard, pricepurity, standard, price
Right to choose from a variety at competitive Right to choose from a variety at competitive
pricesprices
Right to be heardRight to be heard
Right to seek redressalRight to seek redressal
Right to consumer educationRight to consumer education
FORUM & JURISDICTION
Consumer Disputes Redressal Forums (District
Forum) Claims less than or equal Rs.20 lacs.
Consumer Disputes Redressal Commissions (State Commission) Claim more than Rs.20 lacs & less than Rs.1 crore & appeals.
National Consumer Disputes Redressal Commission (National Commission) Claim equal to Rs.1 crore & appeals
REQUISTIES OF A COMPLAINT
Who can file a complaint
Where to file a complaint
How to file a complaint
What constitutes a complaint?
Procedure for filing the appeal
ESSENTIAL INFORMATION IN THE APPLICATION
Name and full address of complainant
Name and full address of opposite party
Description of goods and services
Quality and quantity
Price
Date & proof of purchase
Nature of deception
Type of redressal prayed for
BENEFITS & RELIEFS
BenefitBenefit Disposal within 90 daysDisposal within 90 days
No adjournment shall ordinarily be granted - No adjournment shall ordinarily be granted - Speedy trial
Relief Removal of defects in goods or deficiency in services.
Replacement of defective goods.
Refund against defective goods or deficient services.
Compensation.
Prohibition on sale of hazardous goods.
THANK YOU