Consumer protection act 1986


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Consumer Protection Act 1986

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Consumer protection act 1986

  1. 1. Consumer Protection Act 1986 INTRODUCTION   Before the enactment of the consumer Protection Act,1986 a person aggrieved by the defective goods or deficiency in service had to approach the ordinary civil court to get his grievances redressed.  The proceeding in the ordinary civil court is very complex , expensive and time consuming .  In Order to give more protection to the interest of consumers of goods and service the parliament enacted the consumer Protection Act 1986.  The law relating to consumer protection is contained in the Consumer Protection Act , 1986.  The Consumer Protection Act-1986 & enforced from 10th June 1987 in India.  Aimed at providing simple, quick, and cheaper protection of consumers interest.
  2. 2. Meaning of Consumer Protection  The purpose of any business is to create a customer. It is the customer who determines what a business is. It is the customer and he alone, who, through being willing to pay for a goods or services. Convert economic resources into wealth, things into goods. What a business thinks it produces is not of first importance especially not to the future of the business and to its success. What the customer thinks he is buying- what he consider value, is decisive; it determines what a business is, what it produces and whether it will prosper.
  3. 3. Aims of Consumer Protection Act 1986  • Establishment of “Consumer Disputes Redressal Forum” (District forum) • Establishment of “Consumer Disputes Redressal commission” (State commission) • Establishment of National Consumer Disputes Commission” (National commission) Redressal • Establishment of a “ Central Consumer Protection Council ” for promoting and protecting the rights of the consumers .
  4. 4. Who is a Consumer ?  Consumer of Goods A person who has purchased goods for a consideration .The consideration may be paid or promised to pay or partly paid or partly promised. A person who has purchased goods under a system of deferred payment is also a consumer . Consumer of Service A person who has hired or availed of any service for consideration .Consideration may be paid or promised to pay or partly paid . A person who has hired or availed of any service under system of deferred payment.
  5. 5. Objectives of the act :  Better protection of interests of consumers. • Right to be protected against marketing of goods or services which are hazardous to life and property. • To be informed about the quality, quantity, purity, standard and price of goods or services so as to protect the consumers against unfair trade practices. • The right to be assured, where ever possible, access to goods and services at competitive prices. • The right to be heard and to be assured that consumers interest will receive due consideration at appropriate forums. • The right to seek redresses against unfair trade practices or exploitation of consumers.
  6. 6. Scope of the Act :   Applies to whole India.  It is divided in 4 chapters & 31 sections.  Applies to all type of goods and services, public utilities & public sector undertakings.  All types of complains relating to goods ,unfair trade practice.  A suit pending in civil court cannot be heard in consumer court.
  7. 7. Who can file complaint:  The consumer to whom the goods are sold 1. or delivered, or agreed to be sold are delivered , or the service has been provided, or agreed to be provided . 2. Any recognized consumer association , regardless of whether the consumer is a member of such association or not. 3. One or more consumer , where there are numerous consumer having the same interest with permission of the district forum on behalf of or for the benefit of all consumer so interested. 4. The state or central govt . either its individual capacity or as a representative of the interest of the consumer in general.
  8. 8. CONUMER DISPUTE REDRESSAL AGENCIES:  • U/Sec.9 Forum & commissions are formed for filing complain • District forum , jurisdiction- district. headed by District judge • State Commission headed by Judge of High Court , jurisdiction- whole state.
  9. 9. WHERE TO FILE A COMPLAINT? District Forum-  If the cost of goods or services and compensation asked for is up to Rs. 20 lakh ,the district where the cause of action has arisen or where the opposite party resides. State Commission – If the cost of goods or services and compensation asked for is more than rupees 20 lakh , but less than rupees 1 Crore. National Commission at New Delhi. – If the cost of goods or services and compensation asked for exceed rupees 1 Crore. National Commission headed by Chief Justice Of India, jurisdiction- entire nation.
  10. 10. PROCEDURE OF FILING COMPLAINT:  1. Notice to the Opposite Party. 2. Prepare the consumer complaint in the required format. 3. Get the complaint affidavit notarized through a notary. 4. Submit the complaint and court fee to the receiving clerk in the consumer court who will give you the date for admission hearing and complaint reference number. 5. On admission hearing, you would be informed whether your case is fit for acceptance or not. If accepted, you
  11. 11. 6. The court will send a notice & complaint copy to the opposite party seeking reply within 30 days. 7.Where complaint alleges a defect in the goods which can’t be determined without proper analysis, the forum/commission send it to the laboratory to find out whether there is any defect in it or not? 8. The hearings will continue till the matter is decided. 9.The complaint should be decided within 90 days. 
  12. 12. Appeals: Appeals Sec.27 - Appeal:  District Forum – State Commission. State Commission – National Commission. National Commission – Supreme Court.
  13. 13. Relief to Consumers:  • Repair of defective goods. • Replacement of defective goods. • Refund of price paid for defective good/services. • Removal of deficiency in service. • Refund of extra money charge. • Withdrawal of goods hazardous to life. • Compensation for the loss due to negligence of opposite party.
  14. 14. PENALTIES. If trader fails to follow the order then he shall be punishable with min. 1 month up to 3yrs with fine of min. Rs.2000 up to Rs.10000.  If frivolous complaint is filed then it shall be dismissed & complainant is penalized to pay the cost incurred buy opposite party (not more than Rs.10000 ). conclusion: conclusion Consumer protection act provide for better protection of the interest of consumer and for that purpose to make provision for the establishment of the consumer councils and other authorities for settlement on consumers disputes and for matters connected there with.