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The Consumer Protection Act, 1986

INTRODUCTION
What is consumerism Gone are the days when the consumers were treated as slaves. Shift from Sellers market to buyers market. Industrial development has led to the influx of various goods and services in the market. Consumer is the king of the market

CONSUMER PROTECTION ACT 1986

The act was passed in LokSabha on 9th December,1986 and RajyaSabha 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.

Objects and Applicability of the Act


1.To Provide for better protection of interest of consumers. 2.To establish the Consumer Councils 3.To empower the Consumer Councils and other authorities to settle disputes and matters connected. The Act in terms of geographical application extends to the whole of India except Jammu & Kashmir. and compensatory in nature.

Basic Definitions & Concepts


1.Appropriate Laboratory {Sec 2(1)a}.

2.Complainant {Sec 2(1)b}. .(A Consumer .An association of consumer registered under Companies Act of 1956. .The Central or State Govt. .One or more consumers having same interest. .The legal Heir or representative in case of death of the consumer.)

Def of Complaint {Sec 2(1)b}


Complaint means any allegation in writing made by a complainant that1)An unfair trade practice or a restrictive trade practice has been adopted by any trader or service provider. 2)Goods bought by him or agreed to be bought by him suffer from defects. 3)Services hired or availed or agreed to be hired suffer from deficiency in any respect. 4)A trader or the service provider as the case may be has charged for the goods or for the services mentioned in the complaint, a price in excess of the price. 5)Goods and Services which are hazardous to life and safety when used are being offered for sale to the public.

Define Consumer {Sec2(1)d}

A person who buys any goods for a consideration which has been paid or promised or partly paid and partly promised or any other user of such goods when such user is made with the approval of the buyer.
OR

A person who hires or avails of any services for consideration which has been paid or promised or partly promised or under any system of deferred payment.

(Imp Consumer does not include a person who obtains goods or avails services for commercial purpose or resale.)

Are the following consumers

Winner of a lottery (Byford v/s Shrivastava. Warranty of free service. Passenger traveling by train. A person registering for gas connection. Subscriber of telephones. User of electricity. User of sewerage system laid down by Municipal Corporation. Purchaser of equipment using it by himself in the practice of his profession.

Are the following consumers

Parents of the infant person. Subscriber to a provident fund. Person buying goods for resale use in large scale profit making activity. Insurance Company.

CASE STUDY

STANDARD CHARTERED BANK V/S

BHAKRU (Delhi based resident)

Consumer dispute

COVERED UNDER SECTION 2(1)(c).

THE PERSON AGAINST WHOM A COMPLAINT IS MADE DENIES THE ALLEGATIONS CONTAINED IN THE COMPLAINT.

DEFECT

COVERED UNDER SECTION 2(1)(f).


ANY FAULT, IMPERFECTION OR SHORTCOMING IN THE QUALITY, QUANTITY, POTENCY, PURITY OR STANDARD WHICH IS TO BE MAINTAINED IN RELATION TO ANY GOODS.

DEFICIENCY

COVERED UNDER SECTION 2(1)(g). ANY FAULT, IMPERFECTION, SHORTCOMING OR INADEQUACY IN THE QUALITY, NATURE AND MANNER OF PERFORMANCE TO BE MAINTAINED IN RELATION TO ANY SERVICES.

DISTRICT FORUM

COVERED UNDER SECTION 2(1)(h). A CONSUMER DISPUTES REDRESSAL FORUM ESTABLISHED UNDER CLAUSE (a) OF SECTION 9. ESTABLISHED BY THE STATE GOVERNMENT IN EACH DISTRICT OF THE STATE BY NOTIFICAION.

goods

COVERED UNDER SECTION 2(1)(i).

ANY KIND OF MOVABLE PROPERTY OTHER THAN ACTIONABLE CLAIMS AND MONEY.

NATIONAL COMMISSION

COVERED UNDER SECTION 2(1)(k). NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION ESTABLISHED UNDER CLAUSE (c) OF SECTION 9. ESTABLISHED BY THE CENTRAL GOVERNMENT BY NOTIFICATION.

State commission

COVERES UNDER SECTION 2(1)(p). A CONSUMER DISPUTES REDRESSAL COMMISSION ESTABLISHED UNDER CLAUSE (b) OF SECTION 9. ESTABLISHED BY THE STATE GOVERNMENT IN THE STATE BY NOTIFICATION IN THE OFFICIAL GAZETTE.

TRADER

COVERED UNDER SECTION 2(1)(q).


A PERSON WHO SELLS OR DISTRIBUTES ANY GOODS FOR SALE.

TRADER SHALL INCLUDE THE PACKER OF THOSE GOODS.

UNFAIR TRADE PRACTICE

COVERED UNDER SECTION 2(1)(r). UNFAIR METHOD OR UNFAIR OR DECEPTIVE PRACTICE ADOPTED FOR PROMOTING THE SALE, USE OR SUPPLY OF ANY GOODS OR FOR THE PROVISION OF ANY SERVICES.

RESTRICTIVE TRADE PRACTICE

COVERED UNDER SECTION 2(1)(nn). A TRADE PRACTICE WHICH REQUIRES A CONSUMER TO BUY, HIRE OR AVAIL OF ANY GOODS OR SERVICES AS A CONDITION PRECEEDENT FOR BUYING OR HIRING OF OTHER GOODS AND SERVICES.

Right to Safety. Right to be informed. Right to Choose. Right to be heard. Right of Seek Redress. Right to Consumer Education. Right to a Healthy Environment.

Consumer Complaint
Any allegation made by the complainant in writing
Unfair

trade practice Defect in goods Deficiency in service Excess price

Content of Consumer Complaint

Details of the complainant. Details of the opposite party or parties.

The facts relating to complaint and when and where it arose.


Documents, if any, in support of the allegations contained in the complaint. Relief which the complainant is seeking.

Who can file a complaint ???

A consumer; or Any voluntary consumer association registered under the Companies Act, 1956 or under any other law for the time being in force, or The Central Government or any State Government, One or more consumers, where there are numerous consumers having the same interest.

Where do I file my complaint???

Pecuniary Jurisdiction Territorial Jurisdiction Consumer Forum

Time period for filing complaint


Within 2 years

Fees for filing a complaint


Up to 1 Lakh Rs.100. 1 Lakh & above but less that 5 Lakhs Rs.200. 5 Lakhs & above but less that 10 Lakhs Rs.400. 10 Lakhs & above but less that 20 Lakhs Rs. 500

Do I have to be there myself to file a complaint? Ans : No How to inform the opposite party about the complaint?

Remedies Under Consumer Protection Act

To remove the defects pointed out by the appropriate laboratory from goods in question. To replace the goods with new goods of similar description which shall be free from any defect To return to the complainant the price, or, as the case may be, the charges paid by the complainant.

Compensation for loss of negligence on part of consumer


To remove the defects or deficiencies in the services in question.

To discontinue the unfair trade practice or the restrictive trade practice or not to repeat them.
Not to offer the hazardous goods for sale.

Continued

To withdraw the hazardous goods from being offered for sale To cease from manufacturing of hazardous goods

Loss of injury of consumer


Issue of corrective advertisement Provision of adequate costs to parties

CONCLUSION

Benevolent Piece Social Legislation

Issue of Consumer Welfare


Special feature of this act Role of Three Tier Quasi judiciary

Concept of Consumers Sovereignty


Overall Effect of Consumer Protection

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