rights of consumers, responsibilities of consumers

2. Consumer Protection Act, 1986
Introduction -:
▪ ThisAct wasenactedin 1986 to protect the interest and rights of consumers in India. Passed in Assembly
in October, 1986 and came in force on 24-Dec-1986.
▪ Act applies to the whole of India except Jammu & Kashmir.
Objective:
▪ The main objective of Consumer Protection Act is to provide speedy and simple redressal to consumer
disputes.
▪ Right to be protected against marketing of goods which are hazardous to life and property.
▪ Right to be informed about the quality, potency, standard, and price of goods to protect the consumer
against unfair trade practices.
▪ Right to be heard and to be assured that customers’ interests will receive due consideration at
appropriate forums.
▪ Right to seek redressal against unscrupulous exploitation of consumers.
▪ Right to consumer education.

3.  Who is a Consumer ? ( Sec 2 (1)(d) )
▪ It includes a person who buys any goods or avails any service for a consideration for own
personal use or consumption.
▪ Consideration may be Paid, Promised, Partly Paid & Partly Promised. It does not
include a person -:
▪ Who obtains goods or avails such service for any commercial purpose or resale.
▪ Who buys any goods or avails any service free of charge.
 Consumer dispute
Complaint denied or challenged. On a complaint before the Consumer Redressal Forums against a
person, who denies or disputes the allegations contained in the complaint a consumer dispute
arises [Sec. 2(1) (c)].
Separate allegations may form separate disputes requiring separate finding on each dispute.

4.  What are Goods ?
It means every kind of movable property other than actionable claims and money, and includes
stock and shares, growing crops, grass and things attached to or forming part of the land, which
are agreed to be severed before sale or under the contract of the sale.
 What are Services ? (Sec 2(1) (o))
It means service of any description which is made available to potential users and include, but
not limited to, the provision of facilities in connection with banking, financing, insurance,
transport, processing, supply of electrical or other energy, board or lodging or both, housing
construction, entertainment, amusement or the purveying of news or other information, but does
not include the rendering of any service free of charge.
 What is a Defect (Goods) ? (Sec 2(1) (h))
It means any fault, imperfection or shortcoming in the quality, quantity, potency, purity or
standard which is required to be maintained by or under any law for time being in force or under
any contract, express or implied, or as is claimed by the trader in any manner whatsoever in
relation to any goods.

5.  What is Deficiency in Service ? (Sec 2(1) (g))
It means any fault, imperfection shortcoming or inadequacy in the quality, nature and manner
of performance which is required to be maintained by or under any law for time being in force
or has been undertaken to be performed by a person in pursuance of a contract or otherwise in
relation to any service.
 What is Unfair Trade Practice ? (Sec 2(1) (r))
Any unfair method or deceptive practice adopted to promote or sale or use or supply any goods or
services.
 What is Restrictive Trade Practice? (Sec 2(1))
Manipulation of price or conditions of delivery or to affect flow of supplies in the market
relating to goods or services in such a manner as to impose unjustified costs or restrictions on the
consumers.

6. CONSUMER RIGHTS
•Right to safety
•Right to information
•Right to choose
•Right to heard
•Right to redressed
•Right to consumer
education

7. RIGHT TO SAFETY
Means right to be protected against the marketing of
goods and services, which are hazardous to life and
property.

8. RIGHT TO BE INFORMED
Means right to be informed about the quality, quantity,
potency, purity, standard and price of goods so as to
protect the consumer against unfair trade practices.

9. RIGHT TO CHOOSE
Means right to be assured, wherever possible of access
to variety of goods and services at competitive price.

10. RIGHT TO BE HEARD
Means that consumer's interests will receive due
consideration at appropriate forums.

11. RIGHT TO SEEK REDRESSAL
Means right to seek redressal against unfair trade
practices or unscrupulous exploitation of consumers.

12. RIGHT TO CONSUMER EDUCATION
Means the right to acquire the knowledge and skill to be
an informed consumer throughout life.
Ignorance of consumers, particularly of rural consumers,
is mainly responsible for their exploitation.

13. Responsibilities of Consumers
▪ Ask for a Bill or Cash Memo
▪ Be aware
▪ Buy only standardized goods
ISI Mark - Electrical goods
FPO Mark - Food products
Hallmark - Jewelry
AGMARK - Agricultural Goods
Eco Mark - Environment-friendly
FPO Mark - Processed fruit products

14. Responsibilities of Consumers
• Proof of transactions.
• Proper claim.
• Responsibility of self help.
• Do not be carried away by Advertisements
• Proper use of product/ services.
• Form consumer societies which could play an active part in educating
consumers and safeguarding their interest.
• Respect the environment; avoid waste littering and contribution to pollution.
• Discourage black marketing, hoarding and choose only legal goods and
services.
• Be aware of variety of goods and services available in market.

15. Proof of transactions
•The proof of purchase and documents related to
purchase of durable goods should be invariable
obtained and preserved.

16. Proper claim
•Consumers are expected to bear in mind that while
making complaints and claiming compensation for loss
or injury they should not make unreasonably large
claims

17. Responsibility of self help
•It is always desirable that the consumer should not
depend on the seller for information and choice as
far as possible .

18. Do not be carried away by Advertisements
The advertisements often exaggerate the qualities or
features of product or service. The consumer must
compare the actual use of product with the use shown in
advertisement and whenever there is any discrepancy or
difference it must be brought to the notice of sponsor of
advertisement and insist to stop showing exaggerated
qualities.

19. Don’t be a victim of Misleading Ads

20. Proper use of Products/ Services
• Some consumers, especially during the guarantee
period, make rough use of the product, thinking
that it will be replaced during the guarantee
period.
• This is not fair on their part. They should always
use the products properly.

21. CONSUMER DISPUTE REDRESSAL AGENCIES
IN INDIA

22. CONSUMER DISPUTE REDRESSALAGENCIES IN INDIA
Introduction
The consumer protection act, 1986 provides for the establishment of the following agencies
for the settlement of consumer disputes:
•A Consumer Disputes Redressal Forum or ‘District Forum’ to be established by the State
Government in each district of the State by notification subject to the provisions that the
State Government may if it deems fit, establish more than one District Forum in a district.
•A Consumer Disputes Redressal Commission or ‘State Commission’ to be established by the
State Government in the State by notification; and
•A National Consumer Disputes Redressal Commission to be established by the Central
Government by notification.

23. Redressal Forums have been established at three different levels :-
-"District Forum" by State Government. At least one in each district or in
certain cases one District Forum may cover 2 or more districts.
-"State Commission" by State Government.
- "National Commission" (National Consumer Disputes Redressal
Commission ) by Central Government.

24. The establishment of these forums has provided an alternative remedy to the jurisdiction
of the civil courts.
District Forum entertains the cases where the value of claim is upto Rs.5 Lakh.
State Commission entertains the cases where the value of claim is upto Rs.20 Lakh.
State Commission has power to settle the appeals made against the order of the District
Forums.
State Commission may call for the records and pass appropriate orders in any consumer
dispute which is pending before or has been decided by any District Forum within the State.
Being the highest Consumer Forum, the National Commission may entertain all the
matters where the value of claim exceeds Rs.20 lakh. The National Commission also has the
appellate and revisional jurisdiction.

25. CONSUMER PROTECTION ACT, 1986
Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986
to protect interests of consumers in India. It makes provision for the establishment of
consumer councils and other authorities for the settlement of consumers' disputes and
for matters connected therewith.
CONSUMER PROTECTION COUNCIL
Consumer Protection Councils are established at the national, state and district
level to increase consumer awareness
the Central Consumer Protection Council
It is established by the Central Government which consists of the following
members:
•The Minister of Consumer Affairs, – Chairman
•Suchnumberof other officialor non-official members representing such interests as may be
prescribed.

26. State Consumer Protection Council
It is established by the State Government which consists of the following members:
•TheMinister in charge of consumer affairs in the State Government – Chairman.
•Such number of other official or non-official members representing such interests as
may be prescribed by the State Government.
•Such number of other official or non-official members, not exceeding ten, as may be
nominated by the Central Government.
The State Council is required to meet as and when necessary but not less than
two meetings every year.

27. How to File Complaint Online (FREE)
▪ Call to register your grievance : 1800-11-4000 or
14404
▪ SMS on this Number 8130009809.
▪ Website
▪ MobileApp

28. PROCEDURE FOR FILING THE APPEALS
• Appeal against order passed by the
• District Forum  State Commission
• State Commission  National Commission
• National Commission  Supreme Court
• Within a period of 30 days from the date of an order. An appeal may be entertained after
expiry of period provide Forum/Commission concerned is satisfied with cause of delay.
• Procedure for filing an appeal is the same as that of complaint, except that the application
should be accompanied by the orders of the District Forum or the State Commission or the
National Commission, as the case may be. The reasons for filing the appeal should be
clearly specified.

29. FEE FOR FILING AN APPEAL
• An appeal before State Commission  50 % of the amount to be paid to the complainant in
accordance with order of a District Forum or Rs 25,000.00, whichever is less [Provision to
Section 15].
• An appeal before National Commission  50 % of the amount to be paid to the complainant
in accordance with order of a State Commission or Rs 35,000.00, whichever is less
[Provision to Section 19]. The amount shall be remitted in the form of Demand Draft drawn
on a national bank in favour of the Registrar, National Commission payable at Delhi [Rule
14-A].
• An appeal before the Supreme Court can only be filed after the appellant has deposited fifty
per cent of the amount that he is required to pay to the complainant in accordance with
order of a District Forum or Rs 50,000.00, whichever is less [Provision to Section 23]. The
amount shall be remitted in the form of Demand Draft drawn on a national bank in favour of
the Registrar, Supreme Court payable at Delhi [Rule 16].

30. TIME SCHEDULE FOR DISPOSAL OF
COMPLAINTS/APPEALS
• Every complaint  decided within  3 months from the date of receipt
of notice by opposite party, where there is no requirement for testing of
sample etc. In the event of such a requirement, the prescribed time is 5
months.
• Appeals disposed of within a period of 90 days.
• The Forum shall make such orders as to the cost occasioned by the
adjournment
• If a complaint/appeal is disposed of after the specified period, then the
Forum/Commission shall record in writing reasons for the delay.

31. WHO CAN FILE A COMPLAINT ?
A complaint in relation to any goods or services may be filled by-
– A consumer or
– Any voluntary consumer association registered under the Companies Act, 1956
(1of 1956)or under any other law for the time being in force or
– The Central Government or any State Government; or
– One or more consumers, where there are numerous consumers having the
same interest or
– In case of death of a consumer, his legal heir or
representative.
NOTE :- A power of attorney holder cannot file a complaint under the Act.

32. Information Required for a Complaint
– Name and full address of complainant
– Name and full address of opposite party
– Description of goods and services
– Quality and quantity
– Price
– Date & proof of purchase
– Nature of deception
– Type of redressal requested

33. DISTRICT FORUM
This shall consist of :
1. a person who is, or has been, or is qualified to be a District
judge, its President
2.two other members shall be persons of:
• ability, integrity and standing and
• have adequate knowledge or experience or
• have shown capacity, in dealing with problems relating to economics,
law, commerce, accountancy, industry, public affairs or administration,
one of whom shall be a woman.

34. JURISDICTION OF THE DISTRICT FORUM
The District Forum shall have jurisdiction to entertain complaints where the value of
services and compensation claimed does not exceed Rupees Five Lakhs.
Manner in which complaint shall be made
A complaint may be filed with a District Forum by –
1.the consumer to whom such service is provided or is agreed to be provided;
2.any recognized consumer association, whether the consumer to whom the service is
provided or is agreed to be provided is a member of such association or not ;
3.one or more consumers, where there are numerous consumers having the same interest,
with the permission of the district forum, on behalf of or for the benefit of all consumers so
interested ;

35. Procedure on receipt of Complaint
The District Forum shall on receipt of a complaint -
1.refer a copy of such complaint to the opposite party directing him to give his version of the
case within a period of 30 days or such extended period not exceeding 15 days as may be
granted by the District Forum ;
2.Where the opposite party, on receipt of a copy of the complaint, denies or disputes the
allegations contained in the complaint, or omits or fails to take any action to represent his case
within the time given by the District Forum, the District Forum shall proceed to settle the
consumer dispute,
(i)On the basis of evidence brought to his notice by the complainant and the opposite party,
where the opposite denies or disputes the allegations contained in the complaint ; or
(ii)On the basis of evidence brought to its notice by the complainant where the opposite party
omits or fails to take any action to represent his case within the time given by the Forum

36. Findings of the District Forum
After the proceedings, the District Forum is satisfied that any of the allegations contained in
the complaint about the services are proved, it shall issue an order to the opposite party
directing him to do one or more of the following things:
•To return to the complainant the charges paid.
•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.
• To remove the deficiency in the services in question.
• To provide for adequate costs to parties.
Appeal against orders of the Dist. Forum
•Any person aggrieved by an order made by the District Forum may appeal against such
order to the State Commission within a period of 30 days from the date of the order.
•The State Commission may entertain an appeal after 30 days if it is satisfied that there was
sufficient cause for not filing it within that period.

37. STATE COMMISSION
It shall consist of -
1. a person who is or has been a Judge of a High Court , who shall be its President ;
2.two other members ( as for District Forum):
• ability, integrity and standing and
• have adequate knowledge or experience or
• have shown capacity, in dealing with problems relating to economics, law,
commerce, accountancy, industry, public affairs or administration, one of whom
shall be a woman.
Jurisdiction of the State Commission
The State Commission has jurisdiction to entertain -
1. Complaints where the value of services and compensation claimed exceeds rupees 5
lakhs but does not exceed rupees 20lakhs;
2. Appeals against the orders of any District Forum within the state

38. Procedure to be followed by State Commission
Same as for District Forum.
Procedure for hearing appeals
The State Commission may, on such terms as it may think fit and at any stage, adjourn
the hearing of appeal, but not more than one adjournment shall ordinarily be given and
the appeal should be decided within 90 days from the first date of hearing.
Appeals against orders of State Commission
Any person aggrieved by an order made by the State Commission may appeal against
such order to the National Commission within a period of 30 days. The National
Commission may entertain an appeal after 30 days if it is satisfied that there was
sufficient cause for not filing it within that period

39. NATIONAL CONSUMER DISPUTES REDRESSAL
COMMISSION
The National Consumer Disputes Redressal Commission (NCDRC), India is a quasi-judicial
commission in India which was set up in 1988 under the Consumer Protection Act, 1986. Its
head office is in New Delhi. The commission is headed by a sitting or retired judge of the
Supreme Court of India.
This shall consist of -
1. a person who is or has been a Judge of the Supreme Court, who shall be its President.
(No appointment under this clause shall be made except after consultation with the Chief
Justice of India) .
2. 4 other members ( qualifications : As for District Forum /State Commission ).

40. Jurisdiction of the National Commission
The National Commission shall have jurisdiction -
(a) to entertain complaints where the value of services and compensation claimed exceeds
rupees 20 lakhs ; and
(i) appeals against the orders of any State Commission.
(b) to entertain revision petition against the State Commission.
Procedure to be followed by the National Commission
A complaint containing the following particulars shall be presented by the complainant in
person or by his agent to the National Commission or be sent by registered post, addressed to
the National Commission :-
1.the name, description and the address of the complainant;
2.the name, description and address of the opposite party or parties, as the case may be, so far
as they can be ascertained ;
3.the facts relating to the complaint and when and where it arose ;
4.documents in support of the allegations contained in the complaint;
5.the relief which the complainant claims.
The remaining procedure and the procedure for hearing the appeal is similarto that for State

41. Appeal against orders of the National Commission
Any person, aggrieved by an order made by the National Commission, may appeal against
such order to the Supreme Court within a period of 30 days from the date of the order. The
Supreme Court may entertain an appeal after 30 days if it is satisfied that there was sufficient
cause for not filing it within thatperiod.
Penalties
Where a person against whom a complaint is made or the complainant fails or omits to comply
with any order made by the District Forum, the State Commission or the National Commission,
as the case may be, such person or complainant shall be punishable with imprisonment for a
term which shall not be less than one month but which may extend to three years, or with fine
which shall not be less than 2,000 rupees but which may extend to 10,000 rupees or with both.
In exceptional circumstances the penalties may be reduced further

42. THANKYOU