LAB-Consumer Protection Act

8/8/2019 LAB-Consumer Protection Act

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Consumer Protection Act 1986

Topics To Be covered

Introduction of the Act

Background of the ActDefinitions

Advantages of Consumer Protection Act

Rights of Consumers

Duties and Responsibilities of Consumer

Consumer Protection Council

Consumer Courts

How to file a case

Procedure of the court

Punishment


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Introduction and Background of theAct

Industrial development in the field of manufactured goodshas led to the influx of various consumer goods into theIndian market to cater to the needs of the consumers and a

variety of services such as banking, financing, insurance,transport, housing construction,medical entertainment havebeen made available to the consumers.

In order to protect the consumers fromexploitation and to save them from adulterated andsubstandard goods and deficient services the Consumer

Protection Act came into force on15th

April,1987

and itapplies to the whole of India except the State of Jammu andKashmir .


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Object

To provide for better protection of interests of consumers.

In order to meet the aforesaid objective, to provide for theestablishment of consumer councils and other authorities.

To empower the Consumer Councils and other authorities to

settle consumers disputes and matters connected therewith Right to be protected against marketing of goods which are

hazardous to life and property.

Right to be informed about the quality, potency, purity,standard and price of goods to protect the consumer againstunfair trade practices.

Right to consumer education.


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Definitions

Defect

Deficiency

Consumer Dispute

A dispute where the person against whom a complaint has been made,denies or disputes the allegations contained in the complaint.


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Definitions

Unfair Trade Practice

Misleading Advertisement and False Representation

Bargain Sale

Offering gifts, prizes etc

Not confirming to prescribed standards


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Redressal Forums

District Forum State Commission National Commission

Composition Composition Composition

Jurisdiction Jurisdiction

Limitation Period

Jurisdiction

Limitation Period Limitation Period


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Compositions District Forum Each District Forum shall consist of -

(a) A person who is, or who has been or is qualified to be, a DistrictJudge, who shall be its President;2[(b) two other members, one of whom shall be a woman, who shallhave the following qualifications, namely:-

a) be not less than thirty-five years of age,

(ii) posses a bachelor's degree from a recognized university,(iii) be persons of ability, integrity and standing, and have adequateknowledge and experience of at least ten years in dealing withproblems relating to economics, law, commerce, accountancy,industry, public affairs or administration:

a person shall be disqualified for appointment as member if he-(a) has been convicted and sentenced to imprisonment for anoffence which, in the opinion of the State Government, involves

moral turpitude; or(b) is an undischarged insolvent; or

(c) is of unsound mind and stands so declared by a competentcourt; or


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Composition

(d) has been removed or dismissed from the service of theGovernment or a body corporate owned or controlled by the

Government; or(e) has, in the opinion of the State Government, suchfinancial or other interest as is likely to affect prejudiciallythe discharge by him of his functions as a member; or

(f) has such other disqualifications as may be prescribed bythe State Government.


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State Commission

Each State Commission shall consist of -

(a) a person who is or has been a Judge of a High Court,appointed by the State Government, who shall be itsPresident :

Provided that no appointment under this clause shall bemade except after consultation with the Chief Justice of theHigh Court;

(b) two other members, who shall be persons of ability, integrity and standing and have

adequate knowledge or experience of, or have shown

capacity in dealing with problems relating to economics, law,commerce, accountancy, industry, public affairs oradministration, one of whom shall be a woman :


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National Commission 1) The National Commission shall consist of-

(a) a person who is or has been a Judge of the Supreme Court, to beappointed by the Central Government, who shall be its President:

1[Provided that no appointment under this clause shall be madeexcept after consultation with the Chief Justice of India;]

2[(b) not less than four, and not more than such number ofmembers, as may be prescribed, and one of whom shall be awoman, who shall have the following qualifications, namely:-

(i) be not less than thirty-five years of age;

(ii) possess a bachelor's degree from a recognised university; and

(iii) be persons of ability, integrity and standing and have adequate

knowledge and experience of at least ten years in dealing withproblems relating to economics, law, commerce, accountancy,industry, public affairs or administration:


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Jurisdiction JURISDICTION - WHERE TO FILE COMPLAINT

CONSUMERCOURTS AS PERVALUE / AREA OF CLAIM. The Consumer courts are 3 tiered. 1.District Consumer Disputes Redressal Forums At the lowest level are the District Forums and these are established in

each District and have jurisdiction to entertain complaints where thevalue of goods or services and the compensation if any, claimed doesnot exceed Rs.20,00,000 (TWENTY LAKHS), and a complaint can befiled in a District Forum within the local limits of which

the opposite party resides or carries on his business or works for gain or where the cause of action arises.

2. State Consumer Disputes Redressal Commission The State Consumer Disputes Redress Commission is established in

each state and these have jurisdiction to entertain complaints wherethe value of goods or services and the compensation if any, claimeddoes not exceed Rs.1,00,00,000 (One Croe).

3.National Consumer Disputes Redressal Commission The National Consumer Disputes Redressal Commission has jurisdiction

to entertain complaints where the value of the goods or services andcompensation if any claimed exceeds Rs.1,00,00,000 (One crore ).

Cores


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Appointment

District Forum The state Government makes the appointments of the

members of the District Forum according to the provisions onthe recommendation of a selection committee which consistsof

The president of the State Commission -Chairman

Secretary of the Law Department of the State -Member

Secretary in charge of the Department dealing with consumer

affairs in the State member Member

Member


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Appointment

State Commission

Every appointment shall be made by the stateGovernment of the recommendation of a

Selection Committee consisting of thefollowing members-

The president of the State Commission -Chairman

Secretary of the Law Department of the State -Member

Secretary in charge of the Department dealing withconsumer

affairs in the State member Member


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Appointment

National CommissionEvery appointment of members of National commission

shall be made by the Central Government on the

recommendation of a selection committee consistingof

A person who is a judge of Supreme court, to benominated by the Chief Justice of India-Chairman

Secretary of the Legal Affairs in the Government of

India -Member Secretary of the department dealing with Consumer

Affairs in the Government of India Member


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Limitation Period

24A. LIMITATION PERIOD.

(1) The District Forum, the State Commission or theNational Commission shall not admit a complaintunless it is filed within two years from the date onwhich the cause of action has arisen.

(2) Notwithstanding anything contained in sub-section(1), a complaint may be entertained after the periodspecified in sub-section (1), if the complainant satisfiesthe District Forum, the State Commission or theNational Commission, as the case may be, that he hadsufficient cause for not filing the complaint within suchperiod :


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How To File a Complaint Manner in which complaint shall be made. Complaint shall be accompanied with such amount of fee.

Shall not be rejected unless an opportunity of being heard has beengiven to the complainant.

Admissibility of the complaint shall be decided within 21 days from thedate on which the complaint was received.

Procedure on admission of Complaint. Refers a copy of admitted complaint and sends to the opposite party or

parties.

Where the opposite party on receipt of a complaint denies the allegationscontained in the complaint has to file his version in the court before theperiod of 30 days.(15 days is the grace period given to the Oppositeparty).

If the opposite party fails to take any action to represent his case withinthe time given by the Forum then forum has right to declare ex-partecase.

Where the complainant fails to appear on the date of hearing before theDistrict Forum, the District Forum may either dismiss the complaint fordefault or decide it on merits.


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How To File a Complaint

Every complaint shall be decided within the period of three months fromthe date of receipt of notice by opposite party.

Where the complaint alleges a defect in the goods ,District Forum shallobtain a sample of the goods from complainant,seal it and refer thesample so sealed to the appropriate laboratory for analysis.

Powers ofDistrict Forum The summoning and enforcing the attendance of any defendant or

witness and examining them on oath.

The discory and production of any document or other material objectproducible as evidence.

The reception of evidence on affidavits.

Appeal Any person aggrieved by an order made by the District Forum may preferan appeal against such order to the state commission within a period ofthirty days from the date of the order, in such form and manner as maybe prescribed.


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Consumer Protection Council

The Central Protection council

The State Consumer Protection Council

District Consumer Protection Councils.

The Central Protection Council

The Central Protection council shall consist of the following members

The minister in charge of the 9consumer affairs0 in the Central Government, who shall be

its Chairman. Such number of other official or non official members representing such interest s as maybe prescribed.

Objects of the Central Protection Council

The right to be protected against the marketing of goods which are hazardous to life andproperty.

The right to be informed about the quality,quantity,potency,purity,standard and price ofgoods so as to protect the consumer against unfair trade practices.

The right to be assured,where possible,access to a variety of goods at competitive prices.

The right to be heard and to be assured that consumers interests will receive dueconsideration at appropriate forums.

Right to seek redressal against unfair trade practices or unscrupulous explotation ofconsumers.

The right to consumer education


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The State Consumer Protection

Councils.

The State Council shall consist of the following member,

The minister in charge of consumer affairs in the state governmentwho shall be its Chairman,

Such number of other official or non-official members representatingsuch interests as may be proscribed by the state government.

Such number of other official or non official members not exceedingten, as may be nominated by the central government.


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The District ConsumerProtection Council

They are consists of following members

The collector of the district ,who shall be its Chairman.

Such number of other official and non official members representingsuch interests as may be prescribed by the state Government-

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LAB-Consumer Protection Act

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