The document summarizes the key aspects of the Consumer Protection Act of 1986 in India. It was enacted to provide simpler, quicker and cheaper remedies to consumers, and established 3-tier quasi-judicial machinery - district forums, state commissions, and a national commission - to resolve consumer disputes and complaints. The act defined unfair/restrictive trade practices and rights of consumers. It also created consumer protection councils at central, state, and district levels to promote awareness.

1. CONSUMER
PROTECTION ACT-1986
PRESENTED BY:
PALASH BHATIA
PRERNA HOLKAR
NITISH PANDEY
POORVI KALYANI
RAHUL LAKKADWALA
RAHUL YADAV

2. INTRODUCTION
The law relating to consumer rights is
contained in the Consumer Protection Act ,
1986.
United nations resolution - April 1985
The Consumer Protection Act-1986 & enforced from 10th
June 1987 in India
Aimed at providing simple, quick, and cheaper
protection of consumers interest

3. OBJECTIVES OF CONSUMER
PROTECTION ACT
Better protection of interests of consumers.
Protection of rights of consumers.
Consumer protection councils.
Quasi-Judicial Machinery for Speedy Redressal
of Consumer Disputes.

4. COMPLAINANT
 A consumer; or
 Any voluntary consumer association
registered under Companies act,1956
 The Central or State Government who
or which makes a complaint
 One or more consumers having
similar interest
 In case of death of a consumer, his
legal heir or representative

5. DEFECTS AND DEFICIENCY
 DEFECT means any fault, imperfection or shortcoming
in the quality, potency, purity or standard which is
required to be maintained in a product.
 DEFICIENCY means any fault, imperfection,
shortcoming or inadequacy in the quantity, nature and
manner of performance which has been undertaken by
law.

6. TRADE PRACTICES
 RESTRICTIVE TRADE PRACTICE is a trade practice
which tends to bring about manipulation of price or
conditions of delivery; or which affects the flow of
supplies into the market in such a manner that imposes
unjustified costs on customers.
 UNFAIR TRADE PRACTICE is a trade practice which
for the purpose of promoting any sale, use or supply of
any goods or services adopts unfair method or deceptive
practice.

7. COMPLAINT
It means any allegation made by a complainant in writing,
the allegation may be:-
 An unfair trade practice or a restrictive trade practice
adopted by any trader or service provider
 The goods bought by him or agreed by him suffer from
one or more defects
 The services hired or availed of or agreed to be hired or
availed of by him suffer from deficiency in any respect
 Services which are hazardous to life and safety of the
public are being offered by the service provider

8. CONSUMER RIGHTS
 Right to SAFETY against hazardous
goods and services.
 Right to be INFORMED about the
quality, quantity, purity, standard and
price.
 Right to CHOOSE from a variety at
competitive prices.
 Right to be HEARD.
 Right to seek REDRESSAL.
 Right to CONSUMER EDUCATION.

9. CONSUMER PROTECTION COUNCIL
The Consumer Protection Act postulates establishment of
Consumer Protection Councils at the Central and State levels for
the purpose of spreading consumer awareness. The objects of the
Councils, as per the Act, shall be to promote and protect the
rights of the consumers.
The Consumer Protection Council can be subdivided into:
 Central Consumer Protection Council
 State Consumer Protection Council
 District Consumer Protection Council

10. CASE STUDIES
Chetan Prakash vs MET Institute of Computer Science
Krishnan Kumar Bajaj vs Pepsico
Dharamdas Pritiani vs HDFC ERGO General Insurance
Company Ltd.

11. CONSUMER DISPUTES REDRESSAL
AGENCIES
Following agencies are established by government for
consumer dispute redressal process:
1) District Forum
2) State Commission
3) National Consumer Disputes Redressal Commission

12. Composition of the District Forum
District Judge, who shall be its President
other members, one of whom shall be a woman, who shall
have the
following qualifications, namely :-
 be not >35 years of age,
 a bachelor’s degree from a recognized university,
 be persons of ability, integrity and standing, and have
adequate problems relating to economics, law, commerce,
accountancy, industry public affairs or administration.
Member -5 Year term or up to the age of 65 years,
whichever is earlier.

13. Jurisdiction of the District Forum.--( I) Subject to the other
provisions of this Act, the District Forum shall have
jurisdiction to entertain complaints where the value of the
goods or services and the compensation, if any, claimed does
not exceed rupees twenty lakhs.
District forum will send a copy of complaint to the counter
parties. If the counter party is not taking appropriate action
with in 30 days forum will proceed the action. If opposition
reply by denying the complaint forum will fix date to here the
parties and will take decision after hearing both parties.
Appeal.-Any person aggrieved by an order made by the
District Forum may prefer an appeal against such order to the
State Commission within a period of thirty days from the date
of the order, in such form and manner as may be prescribed.

14. FINDING OF THE DISTRICT FORUM
District forum will have following decisions:
(a) to remove the defect pointed but by the appropriate laboratory
from the goods in question;
(b) to replace the goods with new goods of similar description
which shall be free from any defect;
(c) to return to the complainant the price, or, as the case may be,
the charges paid by the complainant;
(d) to pay such amount as may be awarded by it as compensation
to the consumer for any loss or injury suffered by the consumer
due to the negligence of the opposite party

15. Cont.…
(e) to remove the defects in goods or deficiencies in the
services
(f) to discontinue the unfair trade practice
(g) to withdraw the hazardous goods from being offered for
sale
(h)to cease manufacture of hazardous goods and to desist
from offering services which are hazardous in nature
(i) to provide for adequate costs to parties

16. STATE COMMISSION
 State Commission has been established at the State level and it is next,
after District Forum. There are 35 State Commissions at present in India.
 It consists of a president and two other members. The president must be a
retired or working judge of high court.
 Two other members, neither more than two nor less than prescribed and
one of them must be a woman.
Jurisdiction of State Commission
 Pecuniary Jurisdiction
 Territorial Jurisdiction
 Appellate Jurisdiction
 Revisional Jurisdiction
 Review of Jurisdiction

17. Cont.…
CPA amendment Rules, 1991, requires that before giving the
judgment in any case, consensus of two members must be
required and one of them must be the president of the
Commission.
Provision of setting up Benches has been introduced after
amendment 2002.
If no appeal has been made against the order made by State
Commission, the order is treated as final.
Each and every order made by State Commission is
enforceable as enforced by Civil Court if there is a non-
compliance of the order, the concerned person will be charged
with Penalties

18. NATIONAL COMMISSION
 The National Commission is considered as an apex court; because it
oversees the functioning of State Commissions and District Forums
also.
 A person who is or has been a judge of the Supreme Court, to be
appoint by the Central Government who be its President
 Four other members, neither more than four nor less than prescribed
and one of them must be a woman
Jurisdiction of National Commission
 Pecuniary Jurisdiction
 Territorial Jurisdiction
 Appellate Jurisdiction
 Revisional Jurisdiction
 Review of Jurisdiction

19. Cont.…
CPA amendment Rules, 1991, requires that before giving the
judgment in any case, consensus of three members must be
required and one of them must be the president of the Forum.
Every order made by the Commission must be signed by the
president and two other members who conclude the case.
If any party not satisfied with judgment given by National
Commission, can make appeal with the Supreme Court.
If no appeal has been made against the order made by National
Commission, the order is treated as final.
Penalties
Imprisonment for a term from one month to three years
Monetary punishment from Rs. 2,000 to Rs. 10,000,
Or With both

20. RECENT NEWS
 Cabinet approves new Consumer Protection Bill that seeks to
replace 29-year-old law.
 The key features of the new bill include establishment of an
executive agency 'Central Consumer Protection Authority‘ which
will protect and enforce the rights of consumers.
 The bill also has a provision for setting up of a 'circuit bench' to
facilitate quicker disposal of complaints and there is an enabling
provisions for consumers to file complaints electronically.
 U.S judge dismissed some claims brought against general motors by
customers seeking to recoup vehicle values.

21. CONCLUSION
Consumer protection act 1986.
Objectives of consumer protection act- protection of rights
of customer and protection of interest .
Different trade practices- Restrictive Trade Practice and
Unfair Trade Practice.
Consumer rights- Right to safety, Right to be informed,
Right to choose etc.