CONSUMER PROTECTION

ACT, 1986
Objective
 The act seeks to provide better protection in the interests of consumers for the
purpose, to make provision for the establishment of Consumer councils and other
authorities for the settlement of consumer disputes and for matter connected
therewith.

 To promote and protect the rights of consumers

 To provide speedy and simple redressal to consumer disputes

WHO IS A CONSUMER?

 Two kinds of consumer under the Act

Consumer of goods / services

buys or agrees/hires or avails to buy goods/ any
services
any user of such goods / service
does not include a person who obtains such goods for
resale or for any commercial purpose
CONSUMER'S RIGHTS

 Right to safety against hazardous goods and

services
 Right to be informed about quality, quantity, purity,
standard, price
 Right to choose from a variety at competitive prices
 Right to be heard
 Right to seek redressal
 Right to consumer education
CONSUMERS NEED PROTECTION
AGAINST

UNFAIR TRADE PRACTICE

 Adopting unfair methods or deception to promote sale, use
or supply of goods or services
 Misleading public about price (e.g. bargain price when it is
not so).
 Charging above MRP printed.
 Misleading public about another’s goods or services.
 Falsely claiming a sponsorship, approval or affiliation.
 Offering misleading warranty or guarantee.
CONSUMERS NEED PROTECTION
AGAINST

RESTRICTIVE TRADE PRACTICE

 Price fixing or output restraint (delivery/flow of supplies to
impose unjustified costs/restrictions on consumers)
 Collusive tendering; market fixing territorially among
competing suppliers, depriving consumers of free choice, fair
competition.
 Supplying only to particular distributors or on condition of
sale only within a territory.
 Delaying in supplying goods/services leading to rise in price.
 Requiring a consumer to buy/hire any goods or services as a
pre-condition for buying/hiring other goods or services.
CONSUMERS NEED PROTECTION
AGAINST

 DEFECTS
 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 the 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.

 DEFICIENCY
 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 the 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.
COMPLAINT

 What constitutes a complaint?

 Who can file a complaint

 Where to file a complaint

 How to file a complaint

 Procedure for filing the appeal

"complaint" means any allegation in writing made by a complainant
that-

(i) an unfair trade practice or a restrictive trade practice has been adopted by any trader or
service provider

(ii) the goods bought by him or agreed to be bought by him suffer from one or more
defects

(iii)the services hired or availed of or agreed to be hired or availed of by him suffer from
deficiency in any respect;

(iv) a trader or the service provider, as the case may be, has charged for the goods or for
the services mentioned in the complaint, a price in excess.

(v) goods/ service which will be hazardous to life and safety when used, are being-offered
for sale to the public
 FORUM & JURISDICTION

Amount of
Compensation You Form/ Commission President Other Members
Seek
District Consumer Two other members;
Must be qualified to
Up to Rs. 20 Lakh Disputes Redressal one must be a
be a District Judge.
Forum woman
Must be a person
State Consumer
Rs. 20 Lakh to Rs. 1 who is or has been a At least two other
Disputes Redressal
Crore Judge of a High members.
Commission
Court.

Must be a person
National Consumer
Higher than Rs. 1 who is or has been a At least four other
Disputes Redressal
Crore Judge of the members.
Commission
Supreme Court
APPEAL
Time for
Form/ Amount To be
Jurisdiction Appeal To admissability/
Commission paid
Appeal
District
50% of Amount
Consumer within the local State Consumer
21 days/ 30 prescribed/
Disputes limits (The Disputes
days Rs.25000 which
Redressal District) Redressal
ever is less
Forum Commission

National 50% of Amount

State Consumer State Consumer
Consumer prescribed/
Disputes Disputes 21 days/ 30
Disputes Rs.25000 which
Redressal Redressal days
Redressal ever is less
Commission Commission
Commission

National National 50% of Amount

Consumer Consumer prescribed/
21 days/ 30
Disputes Disputes Supreme Court Rs.50000 which
days
Redressal Redressal ever is less
Commission Commission
ESSENTIAL INFORMATION IN THE
APPLICATION

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 prayed for
BENEFITS & RELIEFS

 Benefit
Disposal within 90 days
No adjournment shall ordinarily be granted - Speedy trial

 Relief
Removal of defects in goods or deficiency in services.
Replacement of defective goods.
Refund against defective goods or deficient services.
Compensation.
Prohibition on sale of hazardous goods.
THANK YOU