CONSUMER PROTECTION ACT,

1986
Mst. Abhishek Gupta (16BSP0082)
Mst. Abhishek Vyas (16BSP0105)
Mst. Achyut Shukla (16BSP0111)
Mst. Aditya Mahajan (16BSP0144)
Ms. Advita Hegde (16BSP0150)
Ms. Aileen Saikia (16BSP0152)
Mst. Akash Dewan (16BSP0188)
Mst. Akhil Sanghi (16BSP0193)
Mst. Hamza Sheikh (16BSP0906)
WHAT IS CONSUMER PROTECTION ACT,
1986
The Consumer Protection Act, 1986 promotes and protects the interest of
consumers against deficiencies and defects in goods and services.

The main objective of the Consumer Protection Act, 1986 is to protect the
interest and safeguard the rights of the consumers

The purpose behind this act is to promote and advance the social and
economic growth of the consumer. With consumer being the victim always
it focuses on the social responsibilities of businessman, widespread
exploitation, consumer ignorance etc. Its main agenda is to bring
customer, consumer and business working in smoothly
 IMPORTANT KEYWORDS

Consumer [section 2(d)] : Refers to any individuals or households that use

goods and services generated within the economy. In legal terms who
buys any goods for a consideration which has been paid or promised, or
partly paid and partly promised, or under a system of deferred payment.

Not Consumer : Refers to the person who purchased goods for resale or for
commercial purpose. Individuals who obtain services under the contract of
personal service. They obtain services without consideration

Defect[Section 2(1)(f)] : Any fault, imperfection or shortcoming in the

quality, quantity, purity, potency or standard which is required to be
maintained under any law in relation to any goods
 IMPORTANT KEYWORDS (cntd.)
Deficiency[Section 2 (1)(g)] : Any fault, imperfection, shortcoming or
adequacy in the quality, nature and manner of performance which is
required to be maintained under any law in relation to any service. It should
occur during the happening of performance of a service commenced.

Restrictive Trade Practise [Section 2 (1)(nn)] : Any trade practise which

requires a consumer to buy, hire or avail of any goods or services as a
condition precedent for buying, hiring or availing other goods or services.
This arrangement is called tie-up sales or tying arrangement

Unfair Trade Practise [Section 2(1) (r)] : A trade practise for promoting the
sale, or use or supply of any goods adopts any unfair method or unfair
practise. It includes false representation of quality, grade, style or model,
misleading statements, gives false warranty or guarantee based on
inadequate information and improper tests, misleading facts and
materiality misleads
 RIGHTS OF THE CONSUMER
[Section 6 and 8]
Right to Choose : Access to a variety of goods and services at competitive
prices. A consumer can even bargain on the MRP. MRP is not a
government fixed price and can be bargained upon since actual selling
price could be lower, depending upon local taxes and transport cost.

Right to Safety : Consumers have the right to be protected against

marketing of goods and services which are hazardous to life and property.
It aims to protect consumers against immoral practices by doctors,
hospitals, pharmacies and the automobile industry.

Right to Information : A consumer has the right to be informed about the

quality, potency, purity, standard and price of goods or services. This right is
meant to protect consumers against unfair trade practices
 RIGHTS OF THE CONSUMER
[Section 6 and 8] (cntd.)
Right to be Heard : Every consumer has a right to be heard and to be assured
that his/her interests will receive due consideration at helpline centres. The
consumer has the right to represent him or to be heard or right to advocate his
interest. In case a consumer has been exploited or has any complaint against
the product or service then he has the right to be heard and be assured that
his/her interest would receive due consideration. This right includes the right to
representation in the government and in other policy making bodies.

Right to Redressal : Consumers has the right to seek redressal against unfair
trade practices or restrictive trade practices or unscrupulous exploitation. The
right to redressal includes compensation in the form of money or replacement
of goods or repair of defect in the goods as per the satisfaction of consumer

Right to Consumer Education : It is the right of every Indian citizen to have

education on matters regarding consumer protection as well as about his/her
right. This right ensures that proper informational programs are in place that are
easily accessible and help consumers make purchasing decisions
 CONSUMER REDRESSAL SYSTEM
Consumer Protection Act provides for a 3 tier approach in resolving consumer
disputes:
District Forum [Section 10] : Each District Forum shall consist of a person who is
or has been qualified as a District judge, as the President. There must be two
other persons who are not less than thirty-five years of age and also possesses a
degree from a recognized university. The following are the important points of
District Forum:-
> Person must have adequate knowledge in the field of economics,
commerce, industry, public affairs, and administration.
> The district forum must have the jurisdiction to entertain such complaints
where the value of goods or services and the compensation, does not exceed Rs.
twenty lakhs.
> It resolves complaints of majority of the consumers with lesser amount than
State/National forum.
> District forums are also enabled with a faster way of dispensing consumer
redressal which enables normal people to seek a solution for their problems.
 CONSUMER REDRESSAL SYSTEM
(cntd.)
State Commission [Section16] :
Each State Commission shall consist of a person who is or has been a judge of High
Court as its President. The Commission also consists of not less than two members,
who are above thirty-five years of age and also possesses a degree from a
recognized university. The following are the important points of State Commission:-
> Persons must have adequate knowledge in the field of economics,
commerce, industry, public affairs, and administration.
> Not less than fifty percent of the members shall be from amongst the persons
having a judicial background.
> It deals with the cases where the value of goods or services or the
compensation claimed, if any, exceeds the number of Rs. twenty lakhs but
does not exceed Rs. one crore.
> State Commission is a higher jurisdiction than District forums.
> Therefore it also looks after any pending disputes or cases by any District
Forum within the state.
 CONSUMER REDRESSAL SYSTEM
(cntd.)
National Commission [Section 20] :
The National Commission shall consist of a person, who is or has been a judge of
the Supreme Court, to be appointed by the Central Government, shall be the
President, The commission shall consist of not less than four members of its
executive committee who shall not be less than thirty-five years of age and must
be graduates from a recognized university. The following are the important
points of National Commission:-
> They must also be specialized in the areas of commerce, economics, and
administration.
> This commission is at the apex in the three tier system of consumer
redressal.
> The jurisdiction of the commission shall extend to any case where the
compensation amount might exceed Rs. one crore
> It also has the power to check pending disputes or cases decided by any
State Commissions.
 CONSUMER GUIDANCE SOCIETY OF
INDIA (CGSI)
A Non-Profit consumer organization established in India in 1966 to protect
and educate the Indian consumer about sub-standard products and
services, adulterated foods, short weights and measures, spurious and
hazardous drugs, exorbitant prices, endemic shortages leading to black
marketing and profiteering, unfulfilled manufacture guarantees, and a host
of other problems.

The main Consumer activities taken out by CGSI is as follows-

> Consumer education
> Holding talks and exhibitions to spread consumer rights awareness.
> Consumer Complaints Redressal
> Testing of Consumer Products.
 CONSUMER AWARENESS DONE BY
GOVERNEMENT
Jaago Grahak Jaago : In 2005 the Govt. of India started a national campaign
Jago Grahak Jago (Wake up Consumer) to create awareness among
consumers. Realizing the importance of consumer awareness, Government has
accorded top priority to Consumer Education, Consumer Protection and
Consumer Awareness. Print media advertisements, Audio Campaigns, Video
Campaigns are being used for consumer information and education.

Multi Media Publicity Campaign : Multi-media publicity campaign are being

undertaken through print and electronic media on the issues that are directly
relevant to the role of the Department such as ISI, Hallmark, Labelling, MRP,
Weights and Measures etc,. Each advertisement is released through a
network of national as well as regional newspapers throughout the country.

Use of Sports Events - In order to reach maximum number of consumers, the

Department telecasted video spots containing consumer related information
during the popular sports events where the audience interest is maximum.

National Consumer helpline:1800-11-4000

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