Presentation 1 Bel Consumers Protection

8/2/2019 Presentation 1 Bel Consumers Protection

1/54

.

An Act to provide for better protection of the interests of consumers and for that purpose to make provision for the establishment of consumer councils and other authorities for the settlement of consumers' disputes and for mattersconnected therewith.

CONSUMER PROTECTION ACT 1986


2/54


3/54

INTRODUCTION The Consumer Protection Act 1986 is a social welfare

legislation which was enacted as a result of widespreadconsumer protection movement. The main object of thelegislature in the enactment of this act is to provide for thebetter protection of the interests of the consumer and tomake provisions for establishment of consumer councils andother authorities for settlement of consumer disputes andmatter therewith connected.


4/54

CONSUMER

The "consumer" is the one who consumes the goods andservices produced

Consumer means any person who (i) buys any goods for a consideration which has been paid orpromised or partly paid and partly promised, or under anysystem of deferred payment and includes any user of suchgoods other than the person who buys such goods forconsideration paid or promised or partly paid or partlypromised, or under any system of deferred payment whensuch use is made with the approval of such person, but does

not include a person who obtains such goods for resale or forany commercial purpose; or


5/54

(ii) hires or avails of any services for a consideration which

has been paid or promised or partly paid and partlypromised, or under any system of deferred payment andincludes any beneficiary of such services other than theperson who hires or avails of the services for considerationpaid or promised, or partly paid and partly promised, orunder any system of deferred payment, when such servicesare availed of with the approval of the first mentionedperson but does not include a person who avails of suchservices for any commercial purposes


6/54

CONSUMER DISPUTE

It means a dispute where the person against whom acomplaint has been made , denies or disputes theallegations contained in the complaint.

There should be two or more persons involoved in adispute.


7/54

DEFECT

Means any fault , imperfection or shortcoming in thequality , quantity , potency , purity or standard whichis 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 inany manner whatsoever in relation to any goods


8/54

DEFICIENCY

Means any fault, imperfection shortcoming orinadequacy 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 hasbeen undertaken to be performed by a person inpursuance of a contract of otherwise in relation toany service.

Defects has been used in relation to any goods whilethe deficiency is relevant in case of service.


9/54

GOODS Goods are simply any physical or tangible products that

can be seen and touched. Some goods are quickly consumed and must be replaced

by like or similar products on a regular basis. Food is one example of goods that are quickly consumed

and must be acquired repeatedly. Other forms of goods are more long-term in nature, and

may last for years or even decades. Furniture, cutlery, and houses are examples of DURABLE

GOODS that are intended to satisfy consumers forextended periods of time.


10/54

SERVICES Services are intangible support that is provided to

the consumer in some manner. A physician provides healthcare support or services.

Telephone companies provide communicationsservices such as local calling ability, long distancecalling, and other features that enhance theelectronic communication process.

` Banks provide a range of financial services tocustomers, ranging from basic and checking accountsto investment opportunities.


11/54

OBJECTIVES OF CONSUMERPROTECTION ACT

Physical protection of consumers. Protection against deceptive and unfair trade practices. Protection against all types of pollution.

Protection of enjoying the rights The business and consumerism both aim at the protection of

consumers interest, business through self regulation andconsumerism through self help


12/54

RIGHTS OF CONSUMERS Right to safety. Right to be informed. Right to choose.

Right to be heard. Right to seek redressal. Right to consumer education.


13/54

ACT 1986 The Consumer Protection Bill, 1986 was passed by both the

houses of parliament and it received the assent of thePresident on 24 th december, 1986. it came on the statutesbook as the Consumer Protection Act,1986.

LIST OF AMENDING ACTS

i. The Consumer Protection (Amendment)Act,1991

ii. The Consumer Protection (Amendment) Act,1993iii. The Consumer Protection (Amendment) Act, 2002


14/54

APPROPRIATE LABORATORY

Defined in section 2 (1)(a). It means a laboratory or organisation-Recognised by the central government

Recognised by the state government, subject to suchguidelines as may be prescribed by the centralgovernment in this behalf.

This concept is important because it has been provided inthe act that when a district forum recieves somecomplaint about a defect in some commodity, it will sendthe sample for analysis to the appropriate laboratory


15/54

COMPLAINT

Complaint means An unfair trade practice or a restrictive trade practice

has been adopted by any trader, or service provider. The goods brought by him suffer from one or more

defect; The services availed by him suffer from deficiency in

any respect;


16/54

ESSENTIALS OF COMPLAINTS

Should be filed as per section 2(1)(b). Should contain allegations in writing. Should state the facts, when and where they arose.

Must specify the relief which the compainant isseeking. Contains addresses of compainant and the opposite

party.


17/54

WHO CAN FILE A COMPLAINT?

The following can file a complaint under the act: A consumer: Any voluntary consumer organisation registered under the Societies

Registrations Act 1860 or under the companies act 1956 or under any

other law for the time being in force. The Central Government: The State Government or Union Territory Administration One or more consumer on behalf of numerous consumers who are

having the same interest.


18/54

WHAT CONSTITUTES A COMPLAINT?

Under the act a complaint means any allegation inwriting made by a complainant in regard to one ormore of the following:

Any unfair trade practice as defined in the act orrestrictive trade practices like tieup sales adopted byany trader.

One or more defect in goods. Deficiencies in services. A trader charging excess of price that is fixed by or

under any law for the time being in force.


19/54

WHERE TO FILE A COMPLAINT?

If the cost of goods or services and compensation asked for isup to rupees five lakhs, then the complaint can be filed in theDistrict Forum.

if the cost of goods or services and compensation asked for ismore than rupees five lakhs, but less than rupees twentylakhs then the complaint can be filed before the StateCommission notified by the State Government or UnionTerritory Concerned.If the cost of goods or services and compensation asked forexceed rupees twenty lakhs then the complaint can be filedbefore the National Commission at New Delhi.


20/54

HOW TO FILE A COMPLAINT?

Procedures for filing complaints and seeking redressal aresimple.

There is no fee for filing a complaint before the DistrictForum, the State Commission or the National Commission.

A stamp paper is also not required.There should be 3 to 5 copies of the complaint on plainpaper.The complainant or his authorized agent can present thecomplaint


21/54

A complaint should contain the following information:-

*The name, description and the address of the complainant.*The name, description and address of the opposite party orparties, as the case may be, as far as they can be ascertained.*The facts relating to complaint and when and where it arose.

*Documents, if any, in support of the allegations contained in thecomplaint.*The relief, which the complainant is seeking.*The complainant or his authorized agent should sign the

complaint.*The complaint is to be filed within two years from the date onwhich cause of action has arisen.


22/54

RELIEF AVAILABLE TO THE CONSUMERS

Depending on the nature of relief sought by the consumerand facts, the Redressal Forums may give orders for one ormore of the following relieves:-

*Removal of defects from the good*Replacement of the goods*Refund of the price paid*Award of compensation for the loss or injury suffered

*Removal of defects or deficiencies in the services.


23/54

NATIONAL COMMISSION

The National Commission established in the Country underSection9(c) of the consumer Protection Act,1986.

The National Commission shall ordinarily function at NewDelhi.

The legal provisions relating to the National Commission are:


24/54

COMPOSITION OF THE NATIONAL COMMISSION [ SECTION20(1)]The National Commission is a body of minimum five persons appointed by

the Central Government. Legally the National Commssion shall consist of a president and atleast four other members. Section 20(1) makes thefollowing provisions regarding the qualification of the president andother members.

a) president: a judge of the supreme court shall be the president

b) Other members: consist of four other members one of whom shall be awoman the qualification for appointment of other members are:

i. must not be less than 35 years of age.ii. Must possess a bachelors degree from a recognised university.

iii. Must be a person of ability, experience of atleast ten years in dealingwith problems relating to economics, law commerce, accountancy etc.


25/54

APPOINTMENT OF THE MEMBERS OF THE NATIONAL COMMISSION[ section20(1) (a) (b)]

The appointment of the President shall be made by the CentralGovernment after consultation with the chief justice of India. [section 20(1) (a)]The appointment of th eother four members shall be made by the

Central Government on the recommendation of the selection committeeconsisting of a. Single judge of the supreme court,b. Secretary in department of legal affairs, Government of India.c. Secretary in department dealing with the consumer affairs in the

Government of India [section 20 (1) (b)]


26/54

DISQUALIFICATION OF MEMBERS [ Section20 (1) (b)]

a. If he has been convicted and sentenced the imprisonment for anoffence

b. If he is an insolventc. If he is of unsound mindd. If he has been removed or dismissed from the service of the

government

TENURE OF OFFICE OF THE MEMBERS OF THE NATIONALCOMMISSION [Section20(3)The president or the members of the National Commission shallhold the office for a term of 5years or upto the age of 70yearswhichever is earlier


27/54

JURISDICTION OF NATIONAL COMMISSION [Section21] :The provision relating to the jurisdiction of national commission are:a) PECUNIARY JURISDICTION: The national commission has the jurisdiction to

entertain complaints where the value of the goods and services andcompensation , if any claimed exceeds one crore.

b) APPELLATE JURISDICTION: The national commission also has the appellate jurisdiction to entertain appeals against the order of any state commission[section21(a) (ii)] . Any any person aggrieved by an order may by the statecommission before it may prefer an appeal to the national commissionwithin a period of 30 days from the date of order [section19]

c) REVISIONAL JURISDICTION: In those cases where it appears to the NationalCommission that any state commission has exercised a jurisdiction not vested

in it , or has failed to exercise its jurisdiction , or has acted illegally or withmaterial irregularity , the National commission has the power to call for therecords and pass appropriate orders in any consumer dispute which ispending before or has been decided by such state commission [Section 21(b)]


28/54

DISTRICT FORUM District forum is the short name of the Consumer District Redressal Forum

Established in district under section 9(a) of the Consumer Protection Act1986

It is established by the State Government.


29/54

LEGAL PROVISIONS REGARDING DISTRICT FORUM

The legal provisions regarding district forum are :

Composition of the district forum [Section 10(1)]The District forum is a body of three persons appointed by the StateGovernment. Legally each district forum shall consist of a President and

two other members.a. President: a person who is,or has been qualified to be, a District

Judge shall be the President of District forum.b. Other member: consist of two other members one of whom shall be

a woman. The qualification for appointment of other members are:i. he/she must not be less than 35 years of age.ii. He/she must possess a bachelors degree. iii. Must have atlkeast 10 years of experience in dealing with problems

relating to economics,law, commerce,accountancy etc.


30/54

APPOINTMENT OF MEMBERS OF DISTRICT FORUM[Section 10 (1A)The appointment of the President and of the members shall be made by the

State Government on the recommendation of the selection committeeconsisting of a) The president of the state commission,b) Secretary, law department of the state,c) Secretary ,incharge of the department dealing with consumer afairs in

the State [section10(1A)

TENURE OF OFFICE OF THE MEMBERSPresident or a member of the District Forum for 5 years or upto the ageof 65years whichever is rearlier.


31/54

DISQUALIFICATIONS OF MEMBERS[ section10(1) (b)a. If he has been convicted and sentenced the imprisonment

for an offence.b. If he is an insolvent.c. If he is of unsound mind.If he has been removed or dismissed from the service of thegovernment.

VACANCY IN THE OFFICE OF THE DISTRICT FORUM[Section10(2)]The office of the President or of any member of the forum maybecome vacant on his attaining the age of sixty-five years.A member may resign his office by resignation in writing to StateGovernment. On the resignation being accepted by the

government ,his office shall become vacant.


32/54

JURISDICTION OF THE DISTRICT FORUM[Section11]a) Primary jurisdiction: it has the jurisdiction to entertain complaints where

the value of the goods or services and the compensation, if any,claimeddoes not exceed rupees twenty lakhs.

b) Territorial jurisdiction: the opposite party at the time of institutionof thecomplaint

Actually and voluntarily resides or

Carries on business or has a branch office, or Personally works for gain

SALARYThe salary or honorarium and other allowances payable to and the other

terms and conditions of the services of, the members of the district forumshall be prescribed by the state.


33/54

Powers of the district forum:i. Enforcing the attendance of any witness and examining

the witness on oath.ii. Production of any document , producable as evidence.iii. Reception of evidence on affidavits.iv. Issuing of any commission for the examination of any

witness.v. Any other matter which may be prescribed.


34/54

RELIEFS GRANTED BY THE DISTRICT FORUM:

i. That the goods complained against suffer from any of thedefects specified in the complaint, or

ii. That any of the allegations contained in the complaint aboutthe services are proved.

On being satisfied about the above allegations the district forumshall issue an order to the opposite party directing him todo one or more of the following things:

i. To remove the defect pointed out by the appropriatelaboratory from the goods in question;

ii. To replace the goods with new goods of similar discriptionwhich shall be free from any defect;

iii. To return to the complainant the price , or, as the chargespaid by the complainant.


35/54

iv. To pay such amount as may be awarded by it as compensation to theconsumer for any loss or injury suffered by the consumer due to thenegligence of the opposite party;

v. To remove the defects in goods or deficiencies in the services in question;vi. To discontinue the unfair trade practice or the restrictive trade practice or notto repeat them;

vii. Not to offer the hazardous goods for sale;viii. To withdraw the hazardous goods from being offered from sale;ix. To cease manufacture of hazardous goods and to desist from offering services

which are hazardous in nature.x. To provide for adequate costs to the parties.


36/54

STATE COMMISSION

The State Commission is established in the State under Section 9(b).The State Commission is established by the State Government.The State Government shall ordinarily function in the state capital.


37/54

LEGAL PROVISIONS RELATING TO STATE COMMISSION

The legal provisions stating to state commission are as follows:

COMPOSITION OF THE STATE COMMISSION[Section 16(1)]

a) President: A person who is or has been a judge of the high courtb) Other members: apart from the president , the State Commission shall consist of

two other membersone of whom shall be a woman. The qualifications forappointment of other members are:

i. he/she must not be less than 35 years of age.ii. He/she must possess a bachelors degree. iii. Must have atlkeast 10 years of experience in dealing with problems relating to

economics,law, commerce,accountancy etc.


38/54

APPOINTMENT OF THE MEMBERS OF THE STATE COMMISSION[Section16(1)(a)(1A)]

The appointment of the President shall be made by the State Government afterconsultation with the chief justice of the high court of the State [section(1)(a)]and the appointment of theother members shall be made by the StateGovernment on the recommendation of the selection committee of a) President of the state commission,b) Secretary of the law departmentc) Secretary ,incharge of department dealing with consumer affairs in the

state[section16(1A)]


39/54

DISQUALIFICATIONS OF MEMBERS[ section16(1) (b) PROVISION]a. If he has been convicted and sentenced the imprisonment for an offence.b. If he is an insolvent.c. If he is of unsound mind.d. If he has been removed or dismissed from the service of the government.

TENURE OF THE OFFICE OF THE MEMBERS OF THE STATE COMMISSION[Section16 (3)]

The President or the member of the State Commission shall hold the office for aterm of 5years or upto the age of 67 years


40/54

JURISDICTION OF THE STATE COMMISSION[Section 17]The provisions relating to the jurisdiction of State Commission are as follows:

a) Precuniary jurisdiction: the state commission has the jurisdiction toentertain complaints where the value of the goods or services or thecompensation , if any, claimed exceeds rupees twenty lakhs but not exceedsrupees one crore. [section 17 (1) (a)]

b) Appellate jurisdiction: it entertains appeals against the orders of any Districtforum within the state . Any person aggrieved may prefer an appeal to thestate commission within a period of 30 days from the date of order[section15]

c) Revisional jurisdiction: when district forum has failed to exercise its

jurisdiction, or has acted illegally or with material irregularity , or the statecommission has the power to call for the records in any consumer disputes

d) Territorial jurisdiction [section17 (2)]: As regard the territorial jurisdiction ,section17(2) provides that a complaint shall be instituted in statecommission within the local limits of whose jurisdiction:


41/54

Territorial jurisdiction [section17 (2)]: As regard the territorial jurisdiction ,section17(2) provides that a complaint shall be instituted in state commissionwithin the local limits of whose jurisdiction:a) the opposite party at the time of institution of the complaint (i)actually and

voluntarily resides , or (ii) carries on business or has a branch office , or (iii)personally works for gain, or

b) where there are more than one opposite parties , any of the oppositeparties (i) actually or voluntarily resides, or (ii) carries on business or has a

branch office , or (iii) personally works for gain. However , in such a case ,the requirement is that either the permission of the state commission isgiven or the opposite parties who do not reside or carry on business, orhave a branch office or personally works for gain , as the case may be , givetheir consent for the filing of the complaint, or

c) the causes of action, wholly or in part, arises.


42/54

APPEALS AGAINST ORDERS OFREDRESSAL AGENCIES

Appeal against the order of district forum[section15]. Appeal against the order of state commission

[section19,19A] Appeal against the order of national

commission[section23].


43/54

CONSUMER PROTECTION COUNCILS

1. Central consumer protection council[section4]2. State consumer protection council[scetion7]3. District consumer protection council[section8A]


44/54

CENTRAL CONSUMER PROTECTION COUNCIL

Established by the central council [section4 (2)]

Membership of the central council[section4(1)]Minister incharge of the consumer affairs in the centralgovernment , who shall be the chairman of the council;Such other official or non official membersrepresenting the prescribed interest.


45/54

Constitution of the central council: The minister in-charge of consumer affairs in the

central govt. The minister of state or deputy minister incharge of consumer affairs in the central government. The minister in-charge of consumer affairs in states; Eight members of parliament five from lok sabhaand three from rajya sabha. The secretary of the national commission forscheduled castes and scheduled tribes. Representatives of the customers- not less thanthirty five. Representatives of woman not less than ten.


46/54

OBJECTS OF THE CENTRAL COUNCIL

To promote and protect the rights of the consumers.


47/54

STATE CONSUMER PROTECTIONCOUNCIL

Established by the state government at the statelevel.

Legal provisions are contained in sections 7 and 8.

MEMBERSHIP : Minister incharge of the consumer affairs who shall

be the chairman. Number of other official and non official members as

may be prescribed by the state government. Number of other official and non official members as

may be nominated by the central government.


48/54

OBJECTS OF THE STATE COUNCIL:

To promote and protect the rights of the customerswithin the state.


49/54

DISTRICT CONSUMER PROTECTIONCOUNCIL

Established by the state government at the districtlevel.

Legal provisions are contained in section 8A and 8B

MEMBERSHIP:The collector of the districtNumber of other official and unofficial members .


50/54

OBJECTS :To promote and protect the right of the consumerwithin the district.


51/54

POWERS OF THE DISTRICT FORUM

Discovery and production of any documentproducible as evidence.

Requestioning of the report of the concerned

analysis or test from the appropriate laboratory orfrom any other relevant sources.

Issuing of any commission for the examination of anywitness.


52/54

RELIEFS GRANTED BY THE DISTRICTFORUM

To remove the defects pointed out by theappropriate laboratory from the goods in question.

To replace the goods with the 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. To remove the defects in goods. To withdraw the hazardous goods from being offered

for sale.

PROCEDURE APPLICABLE TO THE STATE


53/54

PROCEDURE APPLICABLE TO THE STATECOMMISSION

The procedure applicable to the statecommission is same as the powers grantedand reliefs granted to the district forum.


54/54

Date post:	06-Apr-2018
Category:	Documents
Upload:	kavisha-gulati
View:	216 times
Download:	0 times