Consumer rights of bangladesh

1. CONSUMER RIGHTS
IN BANGLADESH
Submitted to ::
Farhana Khan
Assistant Professor
Faculty Of Business Administration
EASTERN UNIVERSITY
Submitted to ::
Md. Faizul Alam Bhuiyan
ID : 122200084
Course : Business Law (BUS 301)
Section 3

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INTRODUCTION
Bangladeshis a small country with a huge population. Perhapsit is the country with
largest consumer comparingits small area. Though in many sectors Bangladesh
improvesbutit is matter of sorrow that after 40 year of independenceconsumer
rights are yet been introduced in a significant manner in Bangladesh. Though there
is lot of organization workingfor human rights in Bangladesh but no organization
except Consumer Association of Bangladesh(CAB)workingfor consumer rights. But
consumer rights are integral partsof human rights. Asa studentof business we
know that consumer is treated as king to the market. In developed country wesee
that consumer is very muchhonored.
Butin Bangladeshwe see that consumer is treated negligently. Consumer rightsare
abused almost every sector in Bangladesh. Reasonsfor such imperfection of market
economy in Bangladesh are many. However somekey reasonsmay be identified as
illiteracy and ignorance of consumers, wantof governmentsurveillance, inadequate
provision of law, lack of vigilance on the part of manufacturersassociation, lack of
standardization of product, and absenceof strong consumer movement. In this
context, to check the reckless exploitation of the consumers, historically three
possible measureshave so far been proved effective; these are:
1. Legal actions,
2. Role of Consumers’Associations, and
3. Voluntary controlling system by the producers.
Out of these three measures, the first one is considered the most effective one.
Becausethe affectivity of the rest two measuresare, moreor less, dependenton

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existence and proper implementation of law and order. From the beginning of the
human civilization, law and order (i.e., legal actions) ensurethe disciplined and
moralactivities of human beings by formulatingsome fundamentalprinciples.
Therefore, law and order must come first to protect the consumer’sinterests and
thereby, let it serve its historical duty of ensuringconsumers’rights. Ultimately in
fullboomed market economy consciousness, choice and power of the consumers
and competitivenessof producerswilldominatethe market, where legal action
becomes less significant.
In this assignmentI will first of all explain who is a cosumer, what is consumer
rights & the currentsituation of such rights in Bangladesh.

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WHO IS A CONSUMER?
A consumer is a person or organization, that uses economic services or
commodities. The consumer is the onewho paysto consumegoodsand services
produced. Assuch, consumers play a vital role in the economic system of a nation.
Without consumer demand, producers wouldlack oneof the key motivationsto
produce: to sell to consumers. The consumer also formspart of the chain of
distribution.
Consumer, under thesection 2(1)(d)of the Consumer Protection Act 1986, means
one who paysmoney for goodsand services. In other words, aconsumer is a specific
person who pays moneyeither for purchase of some goodsor some service of other
person, individualor corporatebodyand itdoes notmean any commercial purpose,
its meansfinally consumingthe goods and service by the buyer.
WHAT ARE THE CONSUMER RIGHTS?
Consumer right is a right that providesa proper opportunity to get their required
productsfromthedistributors. Legal protection to the consumersin Bangladeshis
not adequate from the very beginning accordingto human rights but the most
importantthing is- few laws those are available are not enforced strictly to protect
the consumers’rights. In ‘fundamentalprinciplesand statepolicy’ partof the
constitution rights of consumersare not discussed properly.

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There are several consumer rights. Those are-
1.Right to Equality
2. Right to Privacy
3. Right to Choose
4. Right to Disclosureof Information
5. Right to Fair and Responsible Marketing
6. Right to Fair and Honestealing
7. Right to Fair, Just and Reasonable Termsand Conditions
8. Right to Fair Value, Good Quality and Safety
9. Right to Accountability by Suppliers
CURRENT STATUS OF CONSUMER RIGHTS IN BANGLADESH
It has already been mentioned that the current system of legal protection to the
consumers in Bangladesh is inadequate and outdated. Further whatever little laws
are available, they are not strictly enforced for the protection of the rights of the
general consumers. The consumers in Bangladesh are thus deprived of their rights
at every sphere of their lives.
The Constitution of Bangladesh, under its ‘fundamental principles of state policy’
part, recognises the rights of consumers to a limited extent. The provisions of
consumer protection can be found at Articles 15 and 18 of the Constitution.
However, these provisions are mainly focussed on the vital issues of ‘health’ and
‘food’ than on other consumer rights. Moreover, the said provisions are mentioned
under the ‘fundamental principles of state policy’ part and not under the

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‘fundamental rights’ part of the Constitution. Hence, they remain mostly non-
enforceable in the courts of law.
Further, there are certain legislations, part of which has got direct bearings on
consumer protection.
 The current laws are faulty and do not meet the present needs;
 Under the existing legal regime, the aggrieved consumers themselves cannot
go to the court to sue against the violators. It is only the designated
government officials empowered under these laws, who can initiate and sue
against the violators.
 The provisions of penalty or punishment under the current laws are so
negligible that nobody cares to abide by such laws; and
 Finally, the laws are not effectively enforced.
EXISTING LAWS IN BANGLADESH
1. The Control ofEssential Commodities Act,1956
The objective of this law, which came into effect on September 19, 1956, isto
imposerestriction over the essential commodity prices. In order to impose
restriction over the essential commodity pricesGovernmentpossessesthe right to
produce, distribute, preserve, useand trade, etc. of the essential commoditiestime
to time.
Punishmentsfor violation as envisaged in the law are:
· Three yearsimprisonment, or
· A penalty, or
· Both.

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2. Essential Commodities Price & BondOrdinance, 1970
Objective to guarantee the currentpricesof commodities so that Government
possesses the right to determinethe pricesof essential commodities.
Enforcingthe Producers:
· To mention the price on the commodity,
· To disclose the price list publicly, and
· To issue receipts for the commoditiessold
3. The Pure Food Stuff Ordinance, 1959
The objective of this ordinancewhich came into effect on Oct 14,1959 and later
amended in 1966 isto check and control adulteration and production, supply and
distribution of several foodstuffsincludingmilk and powder milk, flour, edibleoils,
butter etc.
Restrictions Imposed:
· Production and sale of adulterated food stuffs, foodsharmfulto men and animals,
brandsin labeling and advertisements,
· Sale of flesh of dead animals(banned), and
· The involvementof peoplesufferingfrom infectiousdiseases like tuberculosis
leprosy etc. in production and saleof food items.
4. Trade MarkAct, 19
TradeMark Act, 1940, has followingobjectives:
To enable the customersto identify the particular productof their choice outof
many and to preventduplication aswell as cheating the consumers
Punishmentsfor Violation of the Act:
· Two yearsimprisonment, or

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· A penalty, or
· Both.
5. Breast Milk Substitutes Ordinance, 1983
The ordinancehas followingobjectives:
· To encourage breastfeeding, and
· To control marketing of breastmilk substitutes through showing or publishingof
highly motivatingadvertisementof breastmilk substitutes.
Restrictions Imposed:
· Prohibition of attractive & lucrative advertisements, and
· Prohibition of promotionalactivities of companies, i.e. givingfree samples, gifts,
discounts, sponsorshipsto health personnel, etc.
6. Weights and Measures Ordinance, 1961
The ordinancehas followingobjectives:
· To introduce40 seers equivalentto 1 maund, and
· 80 Tolas equivalent to 1 seer .
7. Drug Control Ordinance, 1982
The ordinancehas followingobjectives:
· To restrict marketing of unnecessary and harmfuldrugs, and
· Stricter quality control of medicines, and
· To encourage local production of medicinesand pharmaceuticals.
Punishmentsfor violationsof the ordinance:
· A penalty of 1(one)to10 (ten) years rigorousimprisonment, or
· A fine up to the amountof Tk. Two hundred thousand only, or both.

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8. The Consumer Rights ProtectionAct,2009
The Consumer RightsProtection Act, 2009 actseems to have been enacted in the
spirit of ‘additionalcrimes, increased punishments’, which seems to continuethe
criminalization process. The Act doeshave provision for aggrieved consumersto
take recourse to civil Courtsfor monetary compensation. However, theaggrieved
consumer can only seek such compensation after the Directorate has actually
initiated the criminal procedurein a Magistrate’s Court.
The establishment of specialized consumer Courtsin the formal system linking them
withinformalalternative disputeresolution systems under theConsumer Rights
Protection Act, toensurefor an effective consumer redressmechanism in the
country is necessary.
Section 2 (20)of the Consumer RightsProtection Act, 2009 states that “Acts against
consumer rights. The Bangladeshilaws providesfor the establishments of different
organizationsto protectthe rights of the consumersincludingvariousCourtsor
Tribunalssuch as-
 Consumer RightsProtection Department;
 National Consumer RightsProtection Council;
 Special Tribunal;
 Mobile Court(can work/function under variousLaws; Itmay be constituted
by a special executive order);
 DrugCourt;
 Food Special Court;
 Ordinary CriminalCourts;
 Ordinary CivilCourts;
 MarineCourts;
 BSTI;
 Claims Tribunaletc

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IMPORTANT ASPECTS OF THE CONSUMER RIGHTS PROTECTION ACT, 2009
 Liability of seller to third party
Under this Act, the seller or the service provider will be liable not only to the purchaser but also, to
those persons who again buy or use the products with the consent of the former buyer. Since the
definition of consumer covers such person, it means that the seller is liable to a third party.
 Establishment of the Council (parishad)
Under the Consumer Rights Protection Act, 2009, there are Councils at two levels:
a. National level (National Consumer Rights Protection Council)
b. District level (District Consumer Rights Protection Committee) The National Consumer Rights
Protection Council may, for purpose of preservation and protection of consumer rights, make
appropriate regulations, undertake research, create awareness, and advise the government on
policy relating to consumer protection, as well as monitor the activities of the Directorate of
Consumer Protection. On the other hand, the District Committees are to implement the rules and
regulations adopted by the National Council.
 Establishment ofDirectorate on Consumer Rights
Under the Consumer Rights Protection Act, 2009, a Directorate of consumer rights is established
in Dhaka. In fact, the principal responsibility to implement this Act rests on this Directorate. The
Directorate is headed by a Director General (DG) and to assist him, there will be such staffs as may
be necessary. A person may submit complaint of any activity violating consumer rights to the DG
or any person authorized by him. To make a complaint to Magistrate or to file a criminal case
requires the permission of the DG or of person authorized by him on this behalf. The DG holds
power to investigate, to search or to issue summons and warrant. Besides this, he may also issue
directives to close any shop or business enterprise engaged in activities that violate consumer
rights.
 Filing of Complaint
Under the CRPA 2009, no person can file a complaint directly at the Magistrate’s court. A person
can file a complaint based on the anti-consumer activities to the Director General of the National
Consumer Rights Protection Directorate or any other person authorized by him within 30 days of
the complained cause of action. Then, within 90 days of the complaint received, the charge has to
be filed to the Magistrate court with the approval of the DG.

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 Concurrent Remedy
Apart from filing a criminal case with the Magistrate court, civil remedy can be sought at the civil
courts. The civil court is endowed with the jurisdiction to grant proper compensation which would
not go beyond the fivefold amount of the actual damage.
 Act not in derogation of any other law
The provisions of the CRPA shall be in addition to and not in derogation of the provisions of any
other law for the time being in force. It would be operative as an additional apparatus with the
other laws having consumer implications. This law does not supersede other laws, rather it is said
to be applied as a complementary law on the same point. If an anti-consumer activity falls within
the ambit of some other rigorous law (for example: Special Powers Act 1974), the complainant
would have the option to resort to that law.
 Mobile Court
The mobile court has jurisdiction to try offences relating to activities that violate consumer rights.
An executive Magistrate runs the mobile court. Besides, the DG has also the same power as an
Executive Magistrate to run the mobile court. He has jurisdiction all over Bangladesh. A Magistrate
may at once recognize an offence under this Act, if committed in front of him and punish him, on
the basis of his confession, with an imprisonment for a period of maximum two years. However, if
the offence is serious in nature; he will take steps to file a criminal case in the criminal court.

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RECOMMENDATIONS
This is the age of consumerism. The world of businessis now focussed to consumers
and tryingtheir best to providethe consumersnot only with satisfaction they are
tryingto make them delighted. This is possible only when there is free and fair
competition. In a highly competitive marketconsumersare the ultimate gainers
profitingfrom a seamless price reduction and quality improvement.
The right of the consumersis a recognized entity in most of the advanced countries
of the world. However, weareyet to have a comprehensiveconsumer act and a
congenial business environmentfor a healthy relationship between business and
consumers.
The abovereview of the situation as obtained in the country in respect of business
and industry whichproduceconsumer goodsand services the following
recommendationsmay be made:
SHORTRUN
 Governmentshould setup a national vision on consumer rights and
protection of their interests in consultation with the key stake holders, namely
differentprofessionalbodies, business groups, common peopleto have a
wider and aggregative view on it.
 Governmentshould providepoliticalcommitmentto national vision on
consumer right and ensureadministrativ e commitment to the same.

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 A comprehensiveconsumer protection act should be immediately enacted by
the governmentwhich should respect the consumersrights and putan end to
restrictive trade practices reflecting the viewsof the representativesof the
consumersand business.
 A strongmeasure to be taken by the governmentto stop smuggling to protect
the local industriesand the consumersby adequate surveillanceand vigilance
at the border and spotchecking of the smuggled items in the market and take
quick punitivemeasuresagainst the violators.
 Set up a task force to review the acts related to consumerswith a plan to
updatethose to make them useful and effectiveto serveand protect the
consumers.
 A fair pricemonitoringcell should be established under the auspices of the
chambers of commerce to regulate and monitor unfair businesspractices and
take appropriatepreventivemeasuresto restore and raise the consumer faith
in business.
 Businessshould empower consumersto enforcetheir own quality control
gradually.
 ProvidingCAAB and other consumer associations supportfor carryingout
their activities.
 A rational tax and excise duty to protect the local industriesand to discourage
smuggling.

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MEDIUM RUN
 Governmentshould review the old and outdated consumer oriented lawslike,
The controlof essential commodities act, 1956, Essentialcommoditiesprice
and bond ordinance1970, Thepurefood stuff ordinance, 1959, trademark act
1940, Weightand measuresordinance, 1961 and updatethosein respect of
policy instrumentsand punishmentclauses.
 A congenial businessenvironmentshould bebuilt by ensuringfreeand fair
competitive market for all goods and services and endingthe monopoly of the
State Owned Enterprises(SOE).
 To foster consumer education through relevantgovernmentagencies.
LONG RUN
 To enact laws restricting monopoly bothin public and privatesector and in
the utility sector as well.
 To introducea separate cell under the ministry of commerce to monitor and
constantly keep vigilance on price of essential commodities and violation of
consumer rights and privileges.