Consumer protection
Concept of consumer protection
Consumer protection refers to protection of consumers from
unscrupulous, exploitative and unfair trade practices of manufacturers,
traders, sellers and service providers.
Importance of consumer protection
from consumers point of view EUI
1. Widespread Exploitation of consumers
1.1.Consumers might be exploited by unscrupulous, exploitative and
unfair trade practices like defective and unsafe products,
adulteration, false and misleading advertisement, hoarding, black-
marketing. So, it becomes necessary to protect the Consumers needs
against such malpractices of the sellers.
2. Unorganized consumers
2.1.Consumer needs to be organized in the form of consumer
organizations which would take care of their interests.
2.2.Though in India we do have consumer organization which are
working in the direction, protection is required to be given to
consumers till these organizations become powerful enough to
protect and promote the interest of consumers.
3. Consumer Ignorance
3.1.Due to widespread ignorance of consumers about their rights and
reliefs, it becomes necessary to educate them about the same so as
to achieve consumers awareness.
Importance of consumer protection
from business point of view. (GM SIR)
1. Government intervention
1.1.A business which engages in exploitative and unfair trade practices
invite, government intervention.
1.2.This can impair and tarnish the image of the company.
1.3.Therefore, business organizations should resort to such practices
where the customers’ needs and interests will be taken care of.
2. Moral justification
2.1.It is the moral duty of any business to take care of consumer’s
interest and avoid any form of exploitation towards them.
2.2.Thus, a business must avoid unscrupulous, exploitative and unfair
trade practices like defective and unsafe products, adulteration, false
and misleading advertisements and black-marketing etc.
3. Social responsibility
3.1.It is because the business has social responsibility towards various
interest groups including consumers.
4. Long term interest of business
4.1.It is in the long-term interest of business to protect and promote the
interests of consumers because satisfied customers lead to repeat
sales and provide good feedback.
5. Business uses society’s resources
5.1.Since the business uses society’s resources therefore it has a
responsibility to supply products and services which are in public
interest.
Role/functions of NGO’s and consumer organizations PPT FEE
1. Providing legal assistance
1.1.Providing legal assistance to consumers by way of providing aid, legal
advice etc. in seeking legal remedy.
2. Publishing periodicals and other publications
2.1.Publishing periodicals and other publications to impart knowledge
about consumer problems, relief available and other matters of
interest.
3. Testing of consumer products
3.1.Carrying out comparative testing of consumer products in accredited
laboratories to test relative qualities of competing brands and
publishing the test results for the benefit of consumers.
4. Filing complaints
4.1.Filing complaints in consumer courts on behalf of consumers.
5. Educating the general public
5.1.Educating the general public about consumer rights by organizing
training programs seminars and workshops.
6. Encouraging consumers
6.1.Encouraging consumers to strongly protest and take an action against
exploitative and unfair trade practices of sellers.
Rights of a consumer. HIRE SC
1. Right to be Heard
1.1 Right to be heard states that a consumer has right to file a complaint
and to be heard in case of dissatisfaction with a product or service
1.2 It is because of this reason many firms have set-up their own
consumer service and grievance cells.
2. Right to be Informed
2.1 It states that a consumer has right to be completely informed about
the product he intends to buy such as ingredients, date of
manufacture, price, quantity etc.
2.2 It is because of this reason that the legal frameworks in India
requires the manufacturer to provide such information on the
package and label of the product.
3. Right to seek redressal
3.1 It states that a consumer has a right to get relief in case of product
or service falls short of his expectations.
4. Right to consumer education
4.1 It states that a consumer has right to acquire knowledge and to be a
well-informed consumer
4.2 He should be aware about his rights and the reliefs available to him
in case of a product or service is failing short of his expectation.
5. Right to safety
5.1 It states that a consumer has a right to be protected against goods
and services which are hazardous to life and health.
5.2 It includes the rights to get protection against the risk caused due to
the use of sub-standard products or products that do not conform
safety norms.
6. Right to choose
6.1 It states that a consumer has the freedom to choose from a variety
of products at competitive price.
Responsibility of a consumer
While purchasing
1. Be aware about various goods and services available in the market so that
an intelligent and wise choice can be made
2. Buy only standardized goods as they provide quality assurance. Thus, look
for the ISI mark on electrical goods, FPO/FSSI mark on the food products,
hallmark on jewelry etc.
3. Ask for cash memo on purchase of goods or services. This would serve as
the proof of purchase made.
4. Read labels carefully so as to have information about prices, net weight,
manufacturing and expiry dates etc.
5. Assert yourself to ensure that u get a fair deal.
6. Be honest in your dealings. Choose only from legal source and discourage
unscrupulous practices like black marketing hoarding etc.
While using and consuming
1. Learn about the risks associated with products and services, follow
manufacturers instructions and use the product safely.
2. File a complaint in an appropriate consumer forum in case of shortcoming
in the quality of goods purchased or services availed.
3. Form consumer societies which would play an active part in educating
consumers and safe-guarding their interests.
4. Respect the environment by avoiding waste littering and contributing to
pollution.
3 Tier Redressal Machinery Under the Consumer Protection Act 2019
1. District consumer dispute redressal commission
The state government shall, by notification, establish a district commission
dispute redressal commission to be known as district commission.
1.1.The district commission will entertain complaints where value of goods
and services does not exceed rupee 1 crore.
1.2.Any person aggrieved by an order made by district commission may
prefer an appeal against such order to the state commission on the
grounds of facts or law within a period of 45 days within an order.
2. State consumer dispute redressal commission
The state government shall, by notification, establish a state consumer
dispute redressal commission to be known as state commission.
2.1.The state commission shall have jurisdiction to entertain complaints
where the value of goods and services paid as consideration, exceeds
Rs. 1 crore but does not exceed 10 crores.
2.2.Any person aggrieved by an order made by the state commission may
prefer an appeal against such order to the national commission within a
period of 30 days from the date order.
3. The national consumer disputes redressal commission
The central government shall, by notification, establish a national
commission dispute redressal commission to be known as national
commission.
3.1.The national commission shall have jurisdiction to entertain complaints
where the value of goods and services paid as consideration, exceeds
Rs. 10 crores
3.2.Any person aggrieved by an order made by the national commission
may prefer an appeal against such order to the supreme court within a
period of 30 days from the date order.
Relief / remedies available
If the consumer court is satisfied about the genuineness of the complaint, it
can issue one or more of the following directions to the opposite party.
1. To remove the defects in goods or deficiencies in the services in question.
2. To replace the goods with new goods of similar description which shall be
free from any defect.
3. To return the price, or the charges paid by the complainant along with
interest.
4. To pay compensation to the consumer for any loss or injury suffered by the
consumer due to the negligence of the opposite party.
5. To discontinue the unfair trade practice or restrictive trade practice and not
to repeat them.
6. To withdraw the hazardous goods from being offered for sale.
7. To cease manufacture of hazardous goods and to desist from offering
services which are hazardous in nature.
8. To provide for adequate costs to parties.
9. To cease and desist from issuing any misleading advertisement.
Who can file a complaint under the consumer protection act 2013?
1. A consumer
2. Any voluntarily consumer association registered under any law for the time
being in force
3. Central government or any state government
4. The central authority
5. In case of death of consumer, his legal heir or legal representative
6. In case of consumer being a minor his parent or legal guardian.
Against whom a complaint can be filed
1. In case of any defective goods supplied, a complaint can be filed against the
manufacturer or seller or dealer.
2. For any deficient services rendered, a complaint can be filed against the
provider of services.
