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Consumer Protection Act1986

The Consumer Protection Act 1986 was enacted to protect consumer interests and provide better redressal of consumer disputes. It recognizes various consumer rights such as the right to safety, information, choice, being heard, and seeking redressal. The Act established consumer protection councils at district, state and national levels. It also set up a three-tier system for consumer dispute resolution - district forums, state commissions, and a national commission.

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67 views21 pages

Consumer Protection Act1986

The Consumer Protection Act 1986 was enacted to protect consumer interests and provide better redressal of consumer disputes. It recognizes various consumer rights such as the right to safety, information, choice, being heard, and seeking redressal. The Act established consumer protection councils at district, state and national levels. It also set up a three-tier system for consumer dispute resolution - district forums, state commissions, and a national commission.

Uploaded by

Aŋoop Krīşħŋặ
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© © All Rights Reserved
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Consumer protection Act1986

 The act was enacted for providing better


protection to the interests of the consumers.
The act also provided for the establishment of
consumer councils and other authorities for the
settlement of consumer disputes.
Consumer rights
 The Act recognizes some specific rights of
consumers, that these rights are enforceable and in
case of violation of these rights by manufactures and
traders ,punishment would be awarded for the default.
The rights include-
 1. The right to safety

This right recognizes the right of a consumer to


be protected against marketing of goods which are
hazardous to the life and safety of a person.
Eg manufacturing and distributing adulterated food.
 2. The right to information
Right to information relates to the right of a
consumer to be informed about the quality, quantity,
purity and price of the goods so as to be protected
against unfair and restrictive trade practices.
3. The right to choose
The right to choose gives the consumer wide
variety choices in the manner of accessing and
availing products and services at cheap prices.
 4. Right to be heard
Consumer disputes should be heard and
decided upon at appropriate forums. The
principle is that no one should be condemned
unheard.
5. The right to seek redressal
A consumer can seek adequate remedy against
unfair trade practices.
6. The right to consumer education
He has the right to education this include
the right to information ,comparative
advantage of the product, his right and
remedies under the Act etc…
The objectives of the Act are to be achieved by
the consumer protection councils which are
established at the district, state and central
levels
Restrictive trade practices
 Restrictive trade practice means a trade
practice which is bringing some restrictions
like manipulation of prize or its conditions of
delivery
 Eg Unnecessary delay in supplying the goods
(which may be for increasing the price)
 Imposing unnecessary conditions precedent to
buying or selling etc
Unfair trade practice
 This include
 1. Falsely represents that the goods are of a
particular standard, quality, quantity, grade,
composition, style, or model.
 2. Falsely represents that the services are of a
particular standard, quality or grade.
 3. Falsely represents that any re built , second
hand , reconditioned or old goods as new
goods.
 4. Falsely represents that the goods or services
have some sponsorship or approval of some
authorities.
 5. Falsely represents the seller has some
sponsorship or approval .
 6. Making a false statement regarding the
usefulness of the product.
 7. Making a false statement regarding
warranty or guaranty of the product or service
 8. Giving false or misleading facts regarding
the goods and services of another trade.
 9.A bare promise to replace , maintain or
repair an article.
Consumer protection councils
 The act provides for the establishment of a
central consumer protection council by the
central govt and state consumer protection
council in each state by respective state govt.
In addition to this there will be district
consumer protection council in respective
districts of each state.
Central council
 Established by the central govt
 Composition

-The central minister in charge of consumer


affairs
- The minister of state in charge of consumer
affairs
- 8 members of parliament
- Representatives of the consumer organisations
for consumers
 - such other official and non official members
appointed by central government.
 - representatives of woman
 -Representatives of farmers, trade and
industries. Etc..
 Council shall consist of 150 members.
Term of the council
 The term of the council shall be 3 years
Object of the council
 Object of the council shall be to protect the
right of consumers as discussed earlier.
State council
 Established by the state govt
 Composition
 Minister in charge of consumer affairs who
shall be the chairman.
 Such number of official and non official
members prescribed by the state govt
Objects
 Same as that of central council ie protecting
the consumer rights.
District council
 Established by state govt in each district
 Composition
 Collector shall be the chairman
 Such other members appointed by the state
govt.
Object shall be the same .
Consumer dispute redressal agencies
 The act provides for a three tier mechanisms
for the redressal of consumers in case of
dispute. These are-
 Consumer redressal forum by the state govt in
each district known as District forum
 Consumer redressal commission by respective
state govt known as State commission
 National consumer redressal commission by
central govt known as National commission
District forum
 A person who is or has been a judge of district
court who shall be the president. In addition to
this there will be two other members one shall
be a woman member. Term of office is 5 years
 Pecuniary jurisdiction- Upto 20 lakhs
 Powers – All the powers of a civil court
 Appeals- To state commission
State commission
 A person who is or has been a judge of a high
court who shall be the president and two other
members one shall be a woman member.
 Term office is 5 years
 Pecuniary jurisdiction – above 20 &upto 1
crore.
 Appeals – to national commission
National commission
 A person who is or has been a judge of
supreme court shall be the chairman and not
less than four members one of them shall be a
woman member.
 Term of office is 5 years
 Pecuniary jurisdiction – above one crore
 Appeals – to Supreme court.

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