Consumer Protection Act, by Anubrati Debnath at Lexcliq.

The Consumer Protection Act, 1986 (old Act) came into force in 1986 to protect the interests of consumers in India for the first time that gave tranquil and quick advantages to consumer complaints and helped safeguard their rights. Under the new Act, the National CDRC is empowered to hear complaints worth more than Rs. 10 crores and the State CDRC was given jurisdiction for the value of more than Rs 1 crore but less than Rs 10 crore. 


  • Features:-


  • Commencement of E-filing


 The proceedings and Evidence can be done through video-conferencing thereby giving procedural ease and reducing hassle for the consumers. 


  • Inclusion of Unfair Trade practices


The 2019 Act introduces the Unfair Trade Practices definition and gives privacy to Consumers for information they share in confidence. 


  • Procedure for Appeal altered


The Opposing Party has to deposit 50% of the amount ordered by the District Commission before filing an appeal to the State Consumer Disputes Redressal Commission, as opposed to the earlier maximum amount of Rs. 25,000/-, as the old ceiling has been made redundant.


  • Inclusion of E-commerce transactions


Under the 2019 Act E-commerce transactions are included for adjudication under direct sales.


  • Mediation is an ADR


Under the 2019 Act Mediation has been introduced as an alternate mode of dispute resolution.


  1. Advantages:-


  • Communal Responsibility :


The company must be operated by definite societal and moral norms. It is the ethical liability of the firm to provide the interest of customers. 


  • Increasing Consciousness :


The clients are flattering extra mature and aware of their privileges against the malpractices by the company.  


  • Endure and Enhance of Business :


On globalization and improved struggle, any business firm which fails to offer better services to their vital customer shall come across it complicated to keep on. 


  • Rights of Consumers:


  1. Right to Safety


  1.     Right to be Informed 


  1.     Right to Choose


  1.     Right to be Heard :


  1.     Right to Seek Redressal :


  1.     Right to Consumer Education :


Successful & effective customer education leads to an enlarged stage of buyer attentiveness and help them to put into effect their rights more efficiently, and defend themselves against deceptive, fraudulent and disgustingly false announcement, cataloguing, etc.


  • Responsibility of consumers :


We should know our duties and responsibilities to defend ourselves from the fraud marketers or manufacturers in our society.  


  1.     Be quality conscious 


  1.     Beware of confusing advertisements  


  1.       Responsibility to examine a diversity of merchandise before making ng choice 


  1.     Collect evidence of deal 


  1.     Clients have to be conscious about their rights 


  1.       Complaint about authentic grievances 


  1.     Appropriate utilise of manufactured goods/services 


  1. 3.    Disadvantages:-


  • Not equivalent


A position today is that only those services come within this Act for which specific payment is made, such as electricity, telephones, banking, etc.  


  • Definition of safety requirements and the permitted hazardous levels :


 Section 2 (c) clause 5 says that the goods which will be hazardous to life and safety when used, are being offered for sale to the public in contravention of the provisions of any law for the time being in force requiring traders to display information regarding the contents, manner, and effect of the use of such goods. 


  • Interim injunction


The Act does not empower the Consumer Redressal Fora to issue either interim injunction or “cease and desist orders”. 


  • Concedes 6 rights of consumers


  1. Right to choose; 
  2. Right to safety; 
  3. Right to be informed; 
  4. Right to be heard; the right to redress; 
  5. Right to consumer education. 

 It acknowledges only 6 rights under Section 6 of the consumers as are recognised by the international organisation of consumer unions.


  • Election of order :


In a large number of cases, there are defaults in compliance with the orders. 

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