The Consumer Protection Act: A Comprehensive Overview

undefined
 
Miss. Akshada Zurale
 
CONSUMER
PRO
T
ECTION
ACT
 
INTRODUCT
I
O
N
 
O
F
 
LAW
 
 
LAW 
means 
rule 
made 
by 
the authority 
for the proper
regulation 
of 
a 
community 
or 
society 
or for 
correct conduct 
in
life. Law is 
different 
from an
 
ACT.
It
 
is
 
an
 
Act
 
of
 
Parliament,
 
a
 
statute
 
(commonly
 
called
 
a
 
law)
enacted as primary legislation 
by a 
national 
or
 
sub-national
 
which
 
the
 
parl
i
a
m
en
t
.
 
I
t
 
s
e
ts
 
out
 
the
 
m
ain
 
objec
t
i
v
es
legislation 
intended to
 
achieve.
Eg
; 
contract act, 
consumer 
protection act
 
etc.
 
What is
 
Consumer
 
Consumer 
refers to any individuals or households that
 
use
goods and 
services generated within the
 
economy.
 
Consumer is defined as someone 
who acquires goods or
services for direct 
use 
or ownership rather than for resale
 
or
use in production and
 
manufacturing.
 
For
 
example
,
When 
your 
father 
buys apple 
for 
you and you 
consume them,
your father 
as 
well 
as 
yourself are treated 
as consumers. 
The
same 
thing applies to hiring a taxi to go to your
 
school.
 
Consumer
 
Law
 
"MODU" 
or 
"consumer 
law" regulates
 
private
law 
relationships between individual 
consumers 
and
 
the
businesses 
that sell those goods and
 
services.
 
IT deal with credit 
repair, 
debt 
repair, 
product 
safety,
 
service
and 
sales 
contracts, bill collector regulation, pricing, utility
turnoffs, 
consolidation, personal loans that 
may
 
lead
to bankruptcy and 
much
 
more.
 
CONCEPT OF
 
CONSUMER
PROTECTION
 
 
Consumer 
protection 
means 
safeguarding the interest and
rights of 
consumers. 
In other 
words, 
it refers to the 
measures
adopted for the protection of 
consumers 
from unscrupulous
and unethical 
malpractices 
by the business and to provide
 
them
speedy 
redressal of their
 
grievances
 
CONSUMER PROTECTION
 
ACT
 
The 
Consumer Protection 
Act, 
1986 
was enacted 
for
 
better
protection of the interests of
 
consumers.
The 
provisions 
of the Act 
came into 
force 
with 
effect 
from 15-
4-87.
 
Consumer Protection Act imposes strict liability 
on a
manufacturer, 
in case of supply of defective 
goods 
by 
him, 
and
a 
service 
provider, 
in 
case 
of 
deficiency 
in 
rendering 
of 
its
services.
 
HISTOR
Y
 
O
F
 
CONSUMER
PROTECTION
 
ACT
 
The act 
was 
passed in Lok Sabha on 9th 
December,1986 
and it
came 
into force from 1 
July 
1987. Rajya Sabha passed on 10th
December, 
1986 and assented by the 
President 
of India on
 
24th
December, 
1986 and was published in the Gazette of India on
26th 
December, 
1986.
 
FEATUR
E
S
 
O
F
 
CONSUMER
PROTECTION
 
ACT
 
It applies to all goods, services and 
unfair 
trade
 
practices
unless specifically 
exempted 
by the Central
 
Government.
 
It covers all sectors whether private, public or
 
co-operative.
 
It provides for 
establishment 
of 
consumer 
protection
 
councils
at the central, state and district levels to 
promote 
and protect
the rights of 
consumers 
and a three tier quasijudicial
machinery 
to deal with 
consumer 
grievances and
 
disputes.
 
OBJECTIVES
 
To 
protect the 
consumer 
from
 
abuse.
 
To 
provide a venue 
for 
grievance
 
/redress.
 
To 
ensure a better quality of living by 
improving 
the quality
 
of
consumer 
products &
 
services.
 
IMPORTANC
E
 
O
F
 
CONSUMER
PROTECTION
 
ACT
 
Importance from 
Consumer’s 
Point 
of view:
 
Unorganised 
Consumers
-In developing countries like India,
consumers 
are not 
organised.Ther 
are very few 
consumer
organistions 
which are working to protect the interest of
consumers. Consumer 
protection provides power and rights
 
to
these 
organsation as 
these 
organisations 
can file a case behalf
of
 
customer.
 
Consumer 
Ignorance
-It 
spreads awareness so 
that 
consumer
can know about the various redressal agencies where they
 
can
approach to protect their
 
interests.
 
Wide 
Spread 
Exploitation of 
Consumer’s
-There is 
lot of
exploitation of 
consumers 
as 
businessmen 
use various
 
unfair
trade 
practices 
to cheat and exploit 
consumers.Consumer
protection provides 
safe 
guard to 
consumers 
from such
exploitation.
 
Importance 
from 
Businessmen’s 
Point 
of
 
View:
 
Businessman Uses 
Society’s 
Resources- 
Businessmen use 
the
resources of 
society. 
They earned profit by supplying goods
and services to the 
members 
of 
society. 
They 
must 
use these
resources for the benefits of
 
consumers.
 
Social Responsbilities-A 
businessman has 
social obligations
towards 
customer. 
It 
is 
responsbility of 
businessmen 
to provide
quality goods at reasonable price. 
Consumer 
protection guides
businessman 
to provide social
 
responsibilities.
 
Government Intervention-
If 
businessman 
want to
 
avoid
intervention of 
govt. 
then they should not involve in
unfair trade 
practices. Businessman 
should voluntarly
involve in the 
activities 
which protect the interest of
consumer
 
Consumer is the Purpose 
of Business-
The basic
purpose
 
of
 
the 
business is 
to create 
more 
and 
more
customers 
and retain them and 
businessmen 
can
 
create
more customers 
only by 
satisfying 
the 
customers 
and
protecting the interest of
 
consumers.
 
SCOPE OF
 
CONSUMER
PROTECTION
 
ACT
 
Requirements 
to 
performance, 
composition, 
contents, design,
construction, finish, packaging 
of 
a 
consumer
 
product
Requirements as 
to 
kind, class, 
grade, 
dimensions, 
weights,
material
Requirements
 
as
 
to
 
the
 
methods
 
of
 
sampling,
 
tests
 
and
 
codes
used 
to 
check the 
quality 
of the
 
products
Requirements as 
to 
precautions 
in 
storage, transporting 
and
packaging
Requirements that 
a 
consumer 
product 
be marked with 
or
accompanied 
by clear and 
adequate safety warnings 
or
instructions, 
or 
requirements respecting the 
form of warning
or
 
instruc
t
ions
 
NE
E
D
S
 
O
F
 
CONS
U
M
E
R
PROTECTION
 
ACT
 
The necessity of adopting 
measures 
to protect the interest of
consumers 
arises 
mainly 
due to the 
helpless 
position of
 
the
consumers.
 
Social
 
Responsibility-
It 
is 
the 
moral 
responsibility of the 
business 
to serve the
interest of 
consumers. 
Keeping in line with this principle, it
 
is
the duty of producers and traders to provide right quality and
quantity of goods at 
fair 
prices to the
 
consumers.
 
Increasing
 
Awareness-
The 
consumers 
are 
becoming more mature 
and conscious of
their rights against the 
malpractices 
by the 
business. 
There
 
are
many consumer organisations 
and associations 
who 
are
making 
efforts 
to build 
consumer
 
awareness
 
Consumer
 
Satisfaction-
Father of 
the 
Nation Mahatma Gandhi had once given a 
call 
to
manufactures and 
traders 
to 
treat 
your 
consumers as
 
god
”.
Consumers’ satisfaction 
is the key to 
success of business.
Hence, the 
businessmen 
should take every step to serve the
interests of 
consumers 
by providing them quality goods
 
and
services at reasonable
 
price.
 
Survival 
and 
Growth 
of
 
Business-
The business 
has 
to serve 
consumer 
interests for their own
survival 
and growth. 
On 
account of globalisation and
increased 
competition, 
any business 
organisation 
which
indulges in 
malpractices 
or 
fails 
to provide 
improved
 
services
to their 
ultimate consumer 
shall find it 
difficult 
to
 
continue.
Principle of
 
Trusteeship-
Resources 
are supplied by the 
society. 
They are 
merely 
the
trustees of the resources and, therefore, they should 
use
 
such
resources 
effectively for 
the 
benefit 
of the 
society, 
which
includes the
 
consumers.
 
RIGH
T
S
 
O
F
 
CONSUMER
 
Right to
 
Safety
Right to
 
Information
Right to
 
Choice
Right to be
 
Heard
Right to Seek
 
Redressal
Right to 
Consumer
 
Education
Right to Basic
 
Needs
Right to Healthy
 
Environment
 
Right 
to Safety: 
To 
be protected against the 
marketing 
of
goods or the provision of services that are hazardous to
 
health
and
 
life.
 
Right 
to Information: 
To 
be protected against dishonest or
misleading 
advertising or labeling and the right to be given
 
the
facts 
and 
information 
needed to 
make 
an 
informed
 
choice.
 
Right 
to 
Choice: 
To 
choose products at 
competitive 
prices
with 
an assurance of satisfactory
 
quality.
 
Right 
to 
representation: 
To 
express 
consumer 
interests in the
making 
and execution of 
government
 
policies.
 
Right 
to 
Seek 
Redress: 
To 
be 
compensated for
misrepresentation, 
shoddy goods or unsatisfactory
 
services.
 
Right 
to 
Consumer Education: 
To 
acquire the 
knowledge
and skills necessary to be an 
informed
 
customer
 
Right 
to Basic 
Needs: 
which guarantee survival, adequate
food, clothing, 
shelter, 
health care, education and
 
sanitation
 
Right 
to health 
environment: 
To 
live and 
work 
in an
environment 
which 
is 
neither threatening nor dangerous
 
and
which 
permits 
a life of dignity and
 
well-being.
 
CONSUMER
 
REPONSBILITY
 
Consumer must exercise his 
right-
The 
consumer 
must 
select
the product according to his preferences, he 
must 
file a
complaint 
if he 
is 
not satisfied with the quality of
 
product.
 
Cautious 
Consumer-
The 
consumer 
should not blindly believe
on the 
words 
of 
seller. 
He 
must 
insist on getting 
full
information 
on 
quality,quantity,utility,price
 
etc
 
Consumer 
must be quality-conscious-
According to this,
consumer himself stops compromising 
the quality of product.
While 
purchasing the goods or services 
consumer 
must 
look
for quality 
marks 
such as 
ISI 
mark,Agmark,ISO,Wool 
Mark
etc.
 
Insist on cash 
memo- 
To 
file a 
complaint 
the 
consumer 
needs
the evidence of purchase,and cash 
memo 
is the evidence or
proof that 
consumer has 
paid for the good or
 
service.
 
Filling complaints for 
the 
redressal 
of 
genuine 
grievances-
The 
consumer 
must 
file a 
complaint 
even for a 
small 
loss.This
awareness 
among consumers will make 
the sellers 
more
conscious to supply quality
 
product
.
 
WAYS 
AND
 
MEANS
 
In India 
large 
no. of 
consumers 
are 
illiterate 
and unaware of
their rights. It 
has 
to be a social 
movement 
wherein people
 
of
all 
walks 
of life have to play their role. Following are 
some
ways 
and 
means 
of 
consumer 
protection followed in
 
India:
 
Self Regulation by 
Business-
Large 
business 
houses 
have
realised that they can prosper and grow for a long period
 
of
time 
only giving due 
importance 
to 
consumer, 
attend the
complaints 
of
 consumer.
 
Government- 
Govt. of India 
has framed 
a set of 
laws 
and
legislations 
to protect the interest of 
consumers 
and 
most
important 
act 
framed 
by Govt. 
is Consumer 
Protection
 
Act
1986
 
Business 
Associations
-Various 
business 
associations such as
Federation 
of 
Indian 
Chamber of 
Commerce 
and
Industry(FICCI)and Confederation of Indian
Industry(CII)have 
framed 
a set of code of conducts 
which
 
lay
down 
guidelines 
for 
dealing 
with
 
customers.
 
Consumer 
Awareness-
Consumer 
must 
be well 
aware 
about
his 
rights,responsibilities 
and relief available to him under
consumer 
protection
 
act.
 
Consumer 
Organisations-
It play an important role
 
in
educating 
consumers 
regarding their rights,
 
duties.
 
FILING 
A
 
COMPLAINT
 
Some 
Important 
Terms 
Defined 
in 
Consumer Protection
 
Act
Who is a
 
consumer?
One who 
buys goods or hire services for 
some
 
value.
When 
or
 
under
 
what
 
circumstance the 
complaints 
can
 
be
filed?
False 
by 
traders and
 
manufacturers
If goods are
 
defective
Within what 
period 
the complaint 
can be 
filed?
The
 
complaint
 
must 
be filed within 3 
months 
of purchase
and if 
some 
testing of 
goods 
is required then 
within 
5
 
months.
 
Where 
the 
complaints 
can be
 
filed?
District 
Forum- 
the value of goods and 
compensation
 
claim
does not
 
exceed Rs.20
 
lakh.
State 
Commission- 
the value
 
of
 
goods or 
compensation
 
is
more 
than 20lakh but
 
does not
 
exceed
 
1crore.
National 
Commission-it 
takes up all cases exceeding
 
the
value of
 
Rs.1crore.
Who is not 
a
 
consumer?
The person who obtains goods for
 
re-sale.
The person who 
uses 
the goods without the approval of
 
the
buyer.
The person who obtain goods, 
hires 
or avails of any
 
services
without
 
consideration
 
SOME RELIEFS OR REMEDIES
 
TO
CONSUMER
 
Removal 
of defects from the
 
goods.
 
Replacement 
of the
 
goods.
 
Refund 
of price
 
paid.
 
Compensation 
of loss or injury
 
suffered.
 
Removal 
of deficiency in
 
service.
 
Stopping the 
sale 
of hazardous
 
goods.
 
Three 
tier 
consumer
 
grievances
 
machinery
 
under the
 
Consumer
Protection 
Act,1986 and their
Jurisdiction
District
 
Forum
 
State
 
Forum
 
National
 
Forum
 
DISRICT
 
FORUM
 
It consists of a president and two other
 
members.
 
The
 
president
can be a retired or working judge of District Court. They are
appointed by state govt.In 1986,it had 
jurisdiction 
to entertain
complaints
 
where the value of 
goods 
or services does not
exceeds Rs.5,00,000 but 
now 
the 
limit 
is raised to Rs.20lakh.
The agency 
sends 
the goods for testing in lab. If the aggrieved
party 
is 
not satisfied by the 
judgment 
of district forum then
they can file an appeal in State 
Commission 
within 30 days
 
by
depositing 25000 
or 
50% of penalty 
amount 
whichever is
 
less.
 
STATE
 
FORUM
 
It consists of a president and 
two
 
other
 members.
 
The president
must 
be a retired or working judge of high court. They all are
appointed by state govt.In 1986,it had a jurisdiction to
entertain
 
complaints 
when the value of goods or services
exceeds Rs.5lakh but now the 
limit is 
raised upto
Rs.1crore.The State 
Commission 
sends the goods 
for 
testing
 
in
lab if required. If the upset party 
is 
not satisfied with the
judgment 
then they can file an appeal in National 
Commission
within 30 days by depositing Rs.3500 or 50% of penalty
amount 
whichever is
 
less.
 
NATIONAL
 
FORUM
 
It
 
consists
 
of
 
a
 
president
 
and four
  
members
 
one
 
of
 
whom shall
be 
women. 
They
 
are
 
appointed
 
by Central Govt.In 1986,it
 
had
jurisdiction
 
to
 
entertain
  
complaints 
where the value of goods
or services exceeds Rs.20lakh but now exceeds
 
Rs.1crore.
.The National 
Commission 
sends the 
goods 
if required. If
aggrieved party 
is 
not satisfied with the 
judgment 
then
 
they
can file a 
complaint 
in 
Supreme 
Court within 30
 
days.
 
ROLE OF
 
CONSUMER
ORGANISATION
 
In India there are 
about 
500 
consumer organizations working
 
in
the 
field 
of 
consumer 
protection. The 
most 
popular
 
are:
Consumer 
Guidance Society of 
India(Mumbai),Citizen
 
Action
Group(Mumbai)
Consumer 
Education and
 
Research
Centre(CERC)Ahmedabad
Common 
Causes(New 
Delhi),Consumer 
Unity and 
Trust
Society(CUTS).
 
These associations are 
performing 
following
 
functions:
Bringing out brochures, journals
 
etc.
Spreading 
consumer
 
awareness.
Collecting data of 
different 
products and testing
 
them.
Filing 
suits or 
complaints 
on behalf of
 
consumers.
Educating the 
consumers 
to help
 
themselves.
Educating 
women 
regarding
 
consumerism.
 
Motivating people to 
ask 
for quality 
marks 
such 
as 
ISI
 
mark,
Agmark
 
etc.
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Consumer protection laws play a vital role in safeguarding the rights of consumers and regulating interactions between consumers and businesses. The Consumer Protection Act, 1986, ensures strict liability for manufacturers and service providers in cases of defective goods or deficient services. This act aims to provide speedy redressal of consumer grievances and promote ethical business practices. Learn more about the history, purpose, and concept of consumer protection in this detailed guide.

  • Consumer Protection Act
  • Consumer Rights
  • Consumer Law
  • Consumer Rights Protection
  • Legislation

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  1. CONSUMER PROTECTION ACT Miss. Akshada Zurale

  2. INTRODUCTION OF LAW LAW means rule made by the authority for the proper regulation of a community or society or for correct conduct in life. Law is different from anACT. It is an Act of Parliament, a statute (commonly called a law) enacted as primary legislation by a national orsub-national parliament. It sets out the main objectives legislation intended to achieve. Eg; contract act, consumer protection actetc. which the

  3. What is Consumer Consumer refers to any individuals or households that use goods and services generated within the economy. Consumer is defined as someone who acquires goods or services for direct use or ownership rather than for resaleor use in production and manufacturing. For example, When your father buys apple for you and you consume them, your father as well as yourself are treated as consumers. The same thing applies to hiring a taxi to go to yourschool.

  4. Consumer Law "MODU" or "consumer law" regulates private law relationships between individual consumers andthe businesses that sell those goods and services. IT deal with credit repair, debt repair, product safety,service and sales contracts, bill collector regulation, pricing, utility turnoffs, consolidation, personal loans that may lead to bankruptcy and much more.

  5. CONCEPT OF CONSUMER PROTECTION Consumer protection means safeguarding the interest and rights of consumers. In other words, it refers to the measures adopted for the protection of consumers from unscrupulous and unethical malpractices by the business and to providethem speedy redressal of their grievances

  6. CONSUMER PROTECTION ACT The Consumer ProtectionAct, 1986 was enacted for better protection of the interests of consumers. The provisions of the Act came into force with effect from 15- 4-87. Consumer Protection Act imposes strict liability on a manufacturer, in case of supply of defective goods by him, and a service provider, in case of deficiency in rendering of its services.

  7. HISTORY OF CONSUMER PROTECTION ACT The act was passed in Lok Sabha on 9th December,1986 and it came into force from 1 July 1987. Rajya Sabha passed on 10th December, 1986 and assented by the President of India on 24th December, 1986 and was published in the Gazette of India on 26th December, 1986.

  8. FEATURES OF CONSUMER PROTECTION ACT It applies to all goods, services and unfair tradepractices unless specifically exempted by the CentralGovernment. It covers all sectors whether private, public orco-operative. It provides for establishment of consumer protection councils at the central, state and district levels to promote and protect the rights of consumers and a three tier quasijudicial machinery to deal with consumer grievances and disputes.

  9. OBJECTIVES To protect the consumer from abuse. To provide a venue for grievance /redress. To ensure a better quality of living by improving the quality of consumer products & services.

  10. IMPORTANCE OF CONSUMER PROTECTION ACT Importance from Consumer s Point of view: Unorganised Consumers-In developing countries like India, consumers are not organised.Ther are very few consumer organistions which are working to protect the interest of consumers. Consumer protection provides power and rights to these organsation as these organisations can file a case behalf of customer.

  11. Consumer Ignorance-It spreads awareness so that consumer can know about the various redressal agencies where they can approach to protect theirinterests. Wide Spread Exploitation of Consumer s-There is lot of exploitation of consumers as businessmen use various unfair trade practices to cheat and exploit consumers.Consumer protection provides safe guard to consumers from such exploitation.

  12. Importance from Businessmens Point of View: Businessman Uses Society s Resources- Businessmen use the resources of society. They earned profit by supplying goods and services to the members of society. They must use these resources for the benefits of consumers. Social Responsbilities-A businessman has social obligations towards customer. It is responsbility of businessmen to provide quality goods at reasonable price. Consumer protection guides businessman to provide social responsibilities.

  13. Government Intervention-If businessman want to avoid intervention of govt. then they should not involve in unfair trade practices. Businessman should voluntarly involve in the activities which protect the interest of consumer Consumer is the Purpose of Business-The basic purpose of the business is to create more and more customers and retain them and businessmen can create more customers only by satisfying the customers and protecting the interest of consumers.

  14. SCOPE OF CONSUMER PROTECTION ACT Requirements to performance, composition, contents, design, construction, finish, packaging of a consumer product Requirements as to kind, class, grade, dimensions, weights, material Requirements as to the methods of sampling, tests and codes used to check the quality of the products Requirements as to precautions in storage, transporting and packaging Requirements that a consumer product be marked with or accompanied by clear and adequate safety warnings or instructions, or requirements respecting the form of warning or instructions

  15. NEEDS OF CONSUMER PROTECTION ACT The necessity of adopting measures to protect the interest of consumers arises mainly due to the helpless position of the consumers. Social Responsibility- It is the moral responsibility of the business to serve the interest of consumers. Keeping in line with this principle, itis the duty of producers and traders to provide right quality and quantity of goods at fair prices to the consumers.

  16. IncreasingAwareness- The consumers are becoming more mature and conscious of their rights against the malpractices by the business. Thereare many consumer organisations and associations who are making efforts to build consumer awareness Consumer Satisfaction- Father of the Nation Mahatma Gandhi had once given a call to manufactures and traders to treat your consumers as god . Consumers satisfaction is the key to success of business. Hence, the businessmen should take every step to serve the interests of consumers by providing them quality goodsand services at reasonable price.

  17. Survival and Growth of Business- The business has to serve consumer interests for their own survival and growth. On account of globalisation and increased competition, any business organisation which indulges in malpractices or fails to provide improved services to their ultimate consumer shall find it difficult to continue. Principle ofTrusteeship- Resources are supplied by the society. They are merely the trustees of the resources and, therefore, they should usesuch resources effectively for the benefit of the society, which includes the consumers.

  18. RIGHTS OF CONSUMER Right to Safety Right to Information Right to Choice Right to be Heard Right to Seek Redressal Right to Consumer Education Right to Basic Needs Right to Healthy Environment

  19. Right to Safety: To be protected against the marketing of goods or the provision of services that are hazardous tohealth and life. Right to Information: To be protected against dishonest or misleading advertising or labeling and the right to be giventhe facts and information needed to make an informed choice. Right to Choice: To choose products at competitive prices with an assurance of satisfactory quality. Right to representation: To express consumer interests in the making and execution of government policies.

  20. Right to Seek Redress: To be compensated for misrepresentation, shoddy goods or unsatisfactory services. Right to Consumer Education: To acquire the knowledge and skills necessary to be an informed customer Right to Basic Needs: which guarantee survival, adequate food, clothing, shelter, health care, education andsanitation Right to health environment: To live and work in an environment which is neither threatening nor dangerousand which permits a life of dignity and well-being.

  21. CONSUMER REPONSBILITY Consumer must exercise his right-The consumer must select the product according to his preferences, he must file a complaint if he is not satisfied with the quality ofproduct. Cautious Consumer-The consumer should not blindly believe on the words of seller. He must insist on getting full information on quality,quantity,utility,priceetc Consumer must be quality-conscious-According to this, consumer himself stops compromising the quality of product. While purchasing the goods or services consumer must look for quality marks such as ISI mark,Agmark,ISO,Wool Mark etc.

  22. Insist on cash memo- To file a complaint the consumer needs the evidence of purchase,and cash memo is the evidence or proof that consumer has paid for the good or service. Filling complaints for the redressal of genuine grievances- The consumer must file a complaint even for a small loss.This awareness among consumers will make the sellers more conscious to supply quality product.

  23. WAYS AND MEANS In India large no. of consumers are illiterate and unaware of their rights. It has to be a social movement wherein peopleof all walks of life have to play their role. Following are some ways and means of consumer protection followed in India: Self Regulation by Business-Large business houses have realised that they can prosper and grow for a long periodof time only giving due importance to consumer, attend the complaints of consumer. Government- Govt. of India has framed a set of laws and legislations to protect the interest of consumers and most important act framed by Govt. is Consumer ProtectionAct 1986

  24. Business Associations-Various business associations such as Federation of Indian Chamber of Commerce and Industry(FICCI)and Confederation of Indian Industry(CII)have framed a set of code of conducts whichlay down guidelines for dealing with customers. Consumer Awareness-Consumer must be well aware about his rights,responsibilities and relief available to him under consumer protection act. Consumer Organisations-It play an important rolein educating consumers regarding their rights, duties.

  25. FILING A COMPLAINT Some Important Terms Defined in Consumer ProtectionAct Who is a consumer? One who buys goods or hire services for some value. When or under what circumstance the complaints can be filed? False by traders and manufacturers If goods are defective Within what period the complaint can be filed? The complaint must be filed within 3 months of purchase and if some testing of goods is required then within 5 months.

  26. Where the complaints can be filed? District Forum- the value of goods and compensation claim does not exceed Rs.20 lakh. State Commission- the value of goods or compensation is more than 20lakh but does not National Commission-it takes up all cases exceedingthe value of Rs.1crore. Who is not a consumer? The person who obtains goods for re-sale. The person who uses the goods without the approval ofthe buyer. The person who obtain goods, hires or avails of anyservices without consideration exceed 1crore.

  27. SOME RELIEFS OR REMEDIES TO CONSUMER Removal of defects from the goods. Replacement of the goods. Refund of price paid. Compensation of loss or injury suffered. Removal of deficiency in service. Stopping the sale of hazardous goods.

  28. Three tier consumer grievances machinery under the Consumer Protection Act,1986 and their Jurisdiction District Forum State Forum National Forum

  29. DISRICT FORUM It consists of a president and two other members. The president can be a retired or working judge of District Court. They are appointed by state govt.In 1986,it had jurisdiction to entertain complaints where the value of goods or services does not exceeds Rs.5,00,000 but now the limit is raised to Rs.20lakh. The agency sends the goods for testing in lab. If the aggrieved party is not satisfied by the judgment of district forum then they can file an appeal in State Commission within 30 daysby depositing 25000 or 50% of penalty amount whichever isless.

  30. STATE FORUM It consists of a president and two other members. must be a retired or working judge of high court. They all are appointed by state govt.In 1986,it had a jurisdiction to entertain complaints when the value of goods or services exceeds Rs.5lakh but now the limit is raised upto Rs.1crore.The State Commission sends the goods for testingin lab if required. If the upset party is not satisfied with the judgment then they can file an appeal in National Commission within 30 days by depositing Rs.3500 or 50% of penalty amount whichever is less. The president

  31. NATIONAL FORUM It consists of a president and four members one of whom shall be women. They are appointed by Central Govt.In 1986,ithad jurisdiction to entertain complaints where the value of goods or services exceeds Rs.20lakh but now exceedsRs.1crore. .The National Commission sends the goods if required. If aggrieved party is not satisfied with the judgment thenthey can file a complaint in Supreme Court within 30 days.

  32. ROLE OF CONSUMER ORGANISATION In India there are about 500 consumer organizations working in the field of consumer protection. The most popularare: Consumer Guidance Society of India(Mumbai),CitizenAction Group(Mumbai) Consumer Education and Research Centre(CERC)Ahmedabad Common Causes(New Delhi),Consumer Unity and Trust Society(CUTS).

  33. These associations are performing following functions: Bringing out brochures, journals etc. Spreading consumer awareness. Collecting data of different products and testingthem. Filing suits or complaints on behalf of consumers. Educating the consumers to help themselves. Educating women regarding consumerism. Motivating people to ask for quality marks such as ISImark, Agmark etc.

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