Description
explains who is consumer and consumer protection act in detail. It also lists down the rights of the consumer.
Consumer protection Act 1986
Definitions
• • • • • • • • • • • Consumer Unfair Trade Practice Restrictive Trade Practice Defect Deficiency Rights of a consumer Complaint Relief District Forum State Commission National Commission
Consumer [S. 2(d)]
• Consumer means a person who buys any goods or avails of any service for a consideration, including any user of such goods or service with the approval of the buyer. It excludes a buyer for resale or commercial purposes. Use for earning livelihood is not commercial use • Customer : is a buyer
• Buyer [S.2(1) of Sale of Goods Act 1930]: A person who buys or agrees to buy goods for a consideration • Goods: as defined in the Sale of Goods Act 1930
Consumer: Examples
1. Municipal corporation of Delhi fails to maintain a public drain (It is a statutory duty; not a contractual duty made for a consideration. User is therefore not a ‘consumer’. Users of water and sewerage services, however, are consumers because they pay a consideration for it. 2. A medical practitioner purchases an ultrasound scanner for his practice. The scanner stops functioning within a short period of time. Medical practitioner is a consumer because he is using it himself for earning his livelihood
Examples
• Student is a consumer of educational services. Undue delay in declaration of results is a deficiency in service. • Medical treatment, consultation, diagnosis , etc. for consideration is a service. Free Treatment in a govt. hospital, however, is not a service. • A lottery ticket holder is not a consumer • An applicant for allotment of shares is not a consumer • A buyer of immovable property is not a consumer
Unfair Trade Practice [S.2(r)]
• 1. 2. 3. 4. 5. 6. Unfair or deceptive practice for promoting sale, including: False claim of quality, quantity, standard of goods/services Passing off second hand goods as new False claim of sponsorship or approval False claim of usefulness Misleading warranty or guarantee of performance False or misleading facts disparaging the goods or services of another person Misleading the public regarding market price of like products/ services
7.
Unfair Trade Practice [S.2(r)] (contd.)
8. Misleading advertisement for sale at a bargain price 9. Misleading offer of gifts/prizes 10. Conduct of contest, lottery or game of chance or skill for sale promotion 11. Sale of goods that do not comply with safety standards 12. Hoarding of goods to raise their cost
Example
• Withholding results of scheme offering gifts, etc. It is an unfair trade practice. The results should normally be published in the same news paper in which the scheme was originally advertised.
Restrictive Trade Practice [S.2(nn)]
• Requiring a consumer to buy goods or services as a precondition for buying other goods and services • Imposing unjustified costs on the consumer by affecting flow of supplies in the market or by manipulation of price or by imposing conditions on delivery, etc.
Example
• Cement companies reducing supplies in the busy construction season and pushing up prices
Defect [S.2(f)]
Means any fault in quality or quantity or standard prescribed by law or contract, or claimed by trade.
Deficiency [ S. 2(g)]
• A defect in relation to a service. • Services include banking, finance, insurance, transport, water/ electric supply, board or lodging, house construction, entertainment. It excludes a contract of personal service.
Example
• Life Insurance claim not entertained for 14 years. National Commission awarded interest 12% p.a. from 3 months after the date of the death of the assured. • A gas cylinder with a leaking valve was supplied. Gas distributor’s supply person failed to check the defect at the time of the delivery. Fire was caused by leakage of gas, and there was loss of life. Gas company held liable for loss of life due to deficiency in service
Rights of a consumer (S.6)
• Right to safety: against marketing of goods and services which are hazardous • Right to be informed of quality, quantity, price, purity, standard, etc. of goods or services • Right to choose at competitive prices • Right to be heard • Right to seek redressal • Right to consumer education
Complaint [S. 2(c)]
Means an allegation of: 1. Unfair trade practice 2. Restrictive trade practice 3. Defect in goods 4. Deficiency in service 5. Overcharging 6. Sale of hazardous goods, etc.
No court fee is required for lodging a complaint.
Complainant [ S.2(b)]
• Means a consumer, any registered voluntary consumer association or Central/state govt. who makes a complaint
Relief from District Forum[S. 14]
1. 2. 3. 4. To remove the defect To replace with new goods free from the defect To remove the deficiency in service To pay compensation to the consumer due to the negligence of the opposite party 5. To discontinue the unfair or the restrictive trade practice, or not to repeat them 6. To withdraw the hazardous goods 7. To pay costs to the parties
However, the Forum can not grant an injunction or interim order. Eg. restrain a public issue
District Forum [S. 2)h)]
• Means a Consumer Disputes redressal Forum established under S. 9(a) of the Act. It is headed by a person who is or has been or is qualified to be a District Judge. It consists of two other persons of ability and integrity, one of whom is a woman. It can entertain complaints of value not exceeding Rs 5 lakh.
State Commission (S. 16)
• President of the State Commission is a person who is or has been a judge of a High Court. It consists of two other members who are persons of ability and integrity, one of whom is a woman. It hears appeals against the orders of a District forum, and can entertain complaints whose value exceeds Rs 5 lakh but does not exceed Rs 20 lakh
National Commission ( S. 20)
• President of the National Commission is a person who is or has been a judge of the Supreme Court High Court. It consists of two other members who are persons of ability and integrity, one of whom is a woman. It hears appeals against the orders of a District forum, and can entertain complaints whose value exceeds Rs 20 lakh
doc_914536556.ppt
explains who is consumer and consumer protection act in detail. It also lists down the rights of the consumer.
Consumer protection Act 1986
Definitions
• • • • • • • • • • • Consumer Unfair Trade Practice Restrictive Trade Practice Defect Deficiency Rights of a consumer Complaint Relief District Forum State Commission National Commission
Consumer [S. 2(d)]
• Consumer means a person who buys any goods or avails of any service for a consideration, including any user of such goods or service with the approval of the buyer. It excludes a buyer for resale or commercial purposes. Use for earning livelihood is not commercial use • Customer : is a buyer
• Buyer [S.2(1) of Sale of Goods Act 1930]: A person who buys or agrees to buy goods for a consideration • Goods: as defined in the Sale of Goods Act 1930
Consumer: Examples
1. Municipal corporation of Delhi fails to maintain a public drain (It is a statutory duty; not a contractual duty made for a consideration. User is therefore not a ‘consumer’. Users of water and sewerage services, however, are consumers because they pay a consideration for it. 2. A medical practitioner purchases an ultrasound scanner for his practice. The scanner stops functioning within a short period of time. Medical practitioner is a consumer because he is using it himself for earning his livelihood
Examples
• Student is a consumer of educational services. Undue delay in declaration of results is a deficiency in service. • Medical treatment, consultation, diagnosis , etc. for consideration is a service. Free Treatment in a govt. hospital, however, is not a service. • A lottery ticket holder is not a consumer • An applicant for allotment of shares is not a consumer • A buyer of immovable property is not a consumer
Unfair Trade Practice [S.2(r)]
• 1. 2. 3. 4. 5. 6. Unfair or deceptive practice for promoting sale, including: False claim of quality, quantity, standard of goods/services Passing off second hand goods as new False claim of sponsorship or approval False claim of usefulness Misleading warranty or guarantee of performance False or misleading facts disparaging the goods or services of another person Misleading the public regarding market price of like products/ services
7.
Unfair Trade Practice [S.2(r)] (contd.)
8. Misleading advertisement for sale at a bargain price 9. Misleading offer of gifts/prizes 10. Conduct of contest, lottery or game of chance or skill for sale promotion 11. Sale of goods that do not comply with safety standards 12. Hoarding of goods to raise their cost
Example
• Withholding results of scheme offering gifts, etc. It is an unfair trade practice. The results should normally be published in the same news paper in which the scheme was originally advertised.
Restrictive Trade Practice [S.2(nn)]
• Requiring a consumer to buy goods or services as a precondition for buying other goods and services • Imposing unjustified costs on the consumer by affecting flow of supplies in the market or by manipulation of price or by imposing conditions on delivery, etc.
Example
• Cement companies reducing supplies in the busy construction season and pushing up prices
Defect [S.2(f)]
Means any fault in quality or quantity or standard prescribed by law or contract, or claimed by trade.
Deficiency [ S. 2(g)]
• A defect in relation to a service. • Services include banking, finance, insurance, transport, water/ electric supply, board or lodging, house construction, entertainment. It excludes a contract of personal service.
Example
• Life Insurance claim not entertained for 14 years. National Commission awarded interest 12% p.a. from 3 months after the date of the death of the assured. • A gas cylinder with a leaking valve was supplied. Gas distributor’s supply person failed to check the defect at the time of the delivery. Fire was caused by leakage of gas, and there was loss of life. Gas company held liable for loss of life due to deficiency in service
Rights of a consumer (S.6)
• Right to safety: against marketing of goods and services which are hazardous • Right to be informed of quality, quantity, price, purity, standard, etc. of goods or services • Right to choose at competitive prices • Right to be heard • Right to seek redressal • Right to consumer education
Complaint [S. 2(c)]
Means an allegation of: 1. Unfair trade practice 2. Restrictive trade practice 3. Defect in goods 4. Deficiency in service 5. Overcharging 6. Sale of hazardous goods, etc.
No court fee is required for lodging a complaint.
Complainant [ S.2(b)]
• Means a consumer, any registered voluntary consumer association or Central/state govt. who makes a complaint
Relief from District Forum[S. 14]
1. 2. 3. 4. To remove the defect To replace with new goods free from the defect To remove the deficiency in service To pay compensation to the consumer due to the negligence of the opposite party 5. To discontinue the unfair or the restrictive trade practice, or not to repeat them 6. To withdraw the hazardous goods 7. To pay costs to the parties
However, the Forum can not grant an injunction or interim order. Eg. restrain a public issue
District Forum [S. 2)h)]
• Means a Consumer Disputes redressal Forum established under S. 9(a) of the Act. It is headed by a person who is or has been or is qualified to be a District Judge. It consists of two other persons of ability and integrity, one of whom is a woman. It can entertain complaints of value not exceeding Rs 5 lakh.
State Commission (S. 16)
• President of the State Commission is a person who is or has been a judge of a High Court. It consists of two other members who are persons of ability and integrity, one of whom is a woman. It hears appeals against the orders of a District forum, and can entertain complaints whose value exceeds Rs 5 lakh but does not exceed Rs 20 lakh
National Commission ( S. 20)
• President of the National Commission is a person who is or has been a judge of the Supreme Court High Court. It consists of two other members who are persons of ability and integrity, one of whom is a woman. It hears appeals against the orders of a District forum, and can entertain complaints whose value exceeds Rs 20 lakh
doc_914536556.ppt