Commerce Board Project
Commerce Board Project
Bhagyashree Vaswani
12-E
Lilavatibai Podar High School
Acknowledgement
2. STATE COMMISSION
1. Setup by the State government in each state
2. Consists of a president who is or has been a judge of a high court and
two other members. All three appointed by the state government
3. It can receive complaints where the value of goods and services and
compensation claimed is more than ₹ 20 lakhs but less than 100 lakhs.
Also appeals of district forum can also be filed with State commission
4. On receiving the complaint, the State commission shall refer the
complaint to the opposite party and send the sample of goods for
testing.
5. The State commission after bring satisfied that the goods are
defective or there was unfair trade practice, it can issue an order to
resolve the defect or replace the goods or return the price paid or pay
compensation for loss / injury.
6. An appeal can be filed against the order of State commission with the
State commission within 30 days.
3. NATIONAL COMMISSION
1. It is established by the Central Government
2. It consists of a president who is or has been a judge of the Supreme
court and four other members appointed by the Central government
3. It can receive complaints where the value of goods and services and
compensation claimed is more than ₹100 lakhs. Also appeals of State
commission can also be filed with National commission
4. On receiving the complaint, the National commission shall refer the
complaint to the opposite party and send the sample of goods for
testing.
5. The National commission after bring satisfied that the goods are
defective or there was unfair trade practice, it can issue an order to
resolve the defect or replace the goods or return the price paid or pay
compensation for loss / injury
6. An appeal can be filed against the order of National commission with
the Supreme Court within 30 days.
PROCEDURE TO FILE A COMPLAINT
STEP 1: At first the Consumer has to take into consideration both the
territorial and pecuniary jurisdiction of the tribunal in mind before filing
his complaint and has to choose the correct forum. A complaint shall be
instituted in a District Forum or State Commission or National within
the local limits of whose jurisdiction:
a) the opposite party resides or carries on business or has a branch office
or personally works for gain
OR
b) If there are more than one opposite party, then any one of the
opposite parties resides, or carries on business or has a branch office, or
personally works for gain, provided that in such case the permission of
either District Forum, State Commission or National Commission as the
case may be must be obtained.
Submission of Complaint: Complaint can be submitted in the form
Writing or through Online.
Registration of Online Complaint
• Aggrieved Party can register complaints on
https://consumerhelpline.gov.in/ .
• Complaints can be registered by filling essentials details like name,
email, contact number & password.
• Complainant will receive login credentials though which he can
register a complaint by uploading required documents.
• There are different portals available for different sectors.
• A consumer can also register complaints through Mobile Apps namely
the NCH app, Umang App or Consumer App.
• Post-registration of the complaint, complainant will be provided with a
unique identification number through which he can determine the status
of the complaint.
• Fees for the complaint can be submitted through online payment
portal.
STEP 2: The consumer will be required to pay a prescribed fee along
with their complaint before the District Forum, State Commission & the
National Commission as the case may be.
STEP 3: Then one has to draft a complaint stating facts necessary to
establish a cause of action.
Contents of the Complaint
• Name and complete details of complainant and opposite party.
• Date and time of purchase of goods/ availing of services.
• Necessary Facts of the case establishing the cause of action.
• Particulars of dispute: Defect in goods/ deficiency in service.
• Relief sought
• Copies of the documents supporting the contention of the complainant.
(Invoice, Warranty receipt, etc)
STEP 4: At the end of the complaint the consumer has to put his
signature. In case any other person is authorised to file the complaint
then the complaint has to be accompanied with an authorization letter.
STEP 5: The consumer should not forget to mention the name,
description and address of the complainant and the name, description,
address of the opposite party or parties against whom relief is claimed.
STEP 6: Copies of all the documents supporting their allegations. In
this they can put on record the copy of the bill of the goods bought,
warranty and guarantee documents and also a copy of the written
complaint and notice made to the trader requesting him to rectify the
product.
STEP 7: The consumer can also ask for compensation costs which
should be specifically alleged in the complaint. Besides compensation, a
the consumer can also ask for the refunds, damages cost. They must
give the breakup of amount claimed under different heads.
STEP 8: One should explain in complaint as to how the case falls
within the jurisdiction of this forum.
STEP 9: Complaint must clearly state as to what relief is sought against
the opposite party.
STEP 10: The Act provides for limitation period of two years from the
date of cause of action. In case there is delay in filing the complaint, the
consumer must explain the delay which can be can be condoned by the
Tribunal.
STEP 11: He is also required to file an affidavit along with the
complaint that facts stated in the complaint are true and correct.
STEP 12: The complainant can present the complaint in person or by
his/her authorised representative without engaging any advocate. A
complaint can be sent by registered post. A minimum of 5 copies of the
complaint is to be filed in the forum. Besides this they have to file
additional copies for each opposite party.
CONSUMER PROTECTION ACT, 2019
The Consumer Protection Bill, 2019 has been passed by the Lok Sabha
on Jul 30, 2019, and Rajya Sabha passed on Aug 06, 2019. This bill was
introduced in the parliament by the Minister of Consumer Affairs, Food
and Public Distribution, Mr. Ram Vilas Paswan. The new Consumer
Protection Act, 2019 came into force on 20th July 2020 and it will
empower consumers and help them in protecting their rights through its
various notified rules and provisions. Consumer Protection Act, 2019 is
a law to protect the interests of the consumers. This act was inevitable to
resolve a large number of pending consumer complaints in consumer
courts across the country. It has ways and means to solve the consumer
grievances speedily. The basic aim of the Consumer Protection Act,
2019 to save the rights of the consumers by establishing authorities for
timely and effective administration and settlement of consumers’
disputes.
Establishment of the CCPA
The CCPA will protect, promote and enforce the rights of consumers.
The CCPA will regulate cases related to unfair trade practices,
misleading advertisements and violation of consumer rights.
It is empowered to:
i) Conduct investigations into violations of consumer rights and institute
complaints/prosecution.
ii) Order recall of unsafe goods and services.
iii) Order discontinuance of unfair trade practices and misleading
advertisements.
iv)Impose penalties on manufacturers/endorsers/publishers of
misleading advertisements.
Defined as contracts
that cause significant
Unfair change in consumer
4 No Provision
contracts rights. Lists six
contract terms which
may be held as unfair.
Establishes the
Central Consumer
Protection Authority
(CCPA) to promote,
protect, and enforce
the rights of
consumers as a class.
CCPA may: issue
6 Regulator No Provision safety notices; pass
orders to recall goods,
prevent unfair
practices, and
reimburse purchase
price paid; and
impose penalties for
false and misleading
advertisements.
Selection Committee
No provision for
(comprising a judicial
Selection Committee.
Appoint member and other
9 Central Government
ment officials) will
will appoint through
recommend members
notification.
on the Commissions.
The case dates back to the last century, when in 1991, Ashok Iron Works, a
private company that manufactures iron applied for obtaining electricity from
the state’s power generation company – the Karnataka Power Transmission
Corporation (hereinafter KTPC) for commencing its iron production.
However, despite paying charges and obtaining confirmation for the supply of
1500 KVA energy in February 1991, the actual supply did not begin until ten
months later, in November 1991. This delay led to incurring of losses by the
private company. This prompted a complaint to the Belgaum Consumer
Dispute Forum and later Karnataka High Court, under the Consumer
Protection Act 1986 for the delay in supply of electricity.
Commercial supply not covered under the act – The major argument
relied on by the power generation company KTPC was that the complaint
was not maintainable since the Consumer Protection Act 1986 excludes
commercial supply of goods. The applicant company was engaged in
manufacturing of iron, and hence, intended to use the electricity for
commercial consumption, which is excluded under the act.
A private company is not a consumer – The other argument by KTPC
was that the complaint is not maintainable because the complainant is not
a `person’ under Section 2(1)(m) of the Act, 1986. This section defines
who can be included as a consumer, and because it didn’t contain “a
company incorporated under Companies Act” – the applicant company is
not a consumer.
Thus, the court allowed the complaint on the two grounds that the
applicant – Ashok Iron Works Private Limited, can sue as a person,
and that supply of electricity, if found deficient can be a fit ground for
claiming compensation. The Supreme Court sent the case back to
District Forum for retrial on these grounds.
2.Sehgal School of Competition v Dalbir Singh
The factual background of the case
In this landmark judgement concerning educational institutions that
dates back to the year 2005, a student was asked to deposit lump sum
fees of ₹18,734 as fees for coaching for medical entrance examinations
for the next two years. This was deposited by the student in two
complete instalments within the first six months of classes. However,
the student realised later that the quality of the coaching institute was
substandard, and therefore sought a refund for the remaining period,
which was refused by the coaching institute.
The Court highlighted to the company that Jocelyne had the right to ask
for compensation under the Consumer Protection Law if the goods
delivered did not conform to contract. The dresses were returned and
Jocelyne received a full refund.
Conclusion
I am pleased to have had the opportunity to work on this project.
Researching further into consumer protection, gives me a deeper insight
of the rights and duties of a consumer and the implementation of the
same. A prominent conclusion to this project would definitely be the
insightful knowledge I got about consumer protection through the
intensive case studies. Once again, I highly appreciate and consider
myself grateful to be assigned a project on this specific topic, pushing
me to learn more about Consumer Protection.
Bibliography
vakilsearch.com
blog.lawskills.in