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Unit VIIIConsumers and their Rights

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Consumer

• Consumer Protection Act,1986- Consumer is King.

• Caveat Emptor not applicable.

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Consumer Redressal AgencyForum Presided by Pecuniary lt

District Commission Qualified to be District Judge

Upto 20 lacs

State Commission Qualified to be HC judge 20 lacs to 1 crore

National Commission Qualified to be SC jude Above 1 crore

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Complaint Causes

• Forums entertain cases for following causes: Goods have defect;Services are deficient;An unfair or restrictive trade practice has been

adopted;Goods hazardous to life and safety are being

offered for sale; orA price higher than that mentioned on the

package or as reqd by the law, is being charged.

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Who is a consumer?

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WHO CAN FILE A COMPLAINT?

A consumer can file a complaint under the Act ,

Who is a Consumer?

A Consumer under the Act is:" One who buys any goods, hires and service/services for a consideration which has been paid or promised or partly paid and partly paid and partly promised under any system of deferred payment."

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A consumer means a person belonging to the following categories:

• i) one who hires or avails of any service or services for a consideration, which has been paid or promised or partly paid and partly promised, or under any system of deferred payment.

• ii) Any voluntary consumer association registered under the Companies Act or any other law for the time being in force.

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Cont…

• iii) Class action complaints - one or more consumers, where there are numerous consumers having the same interest.

• iv) The Central Government

• v) The State Government or Union Territory Administrations.

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TIME FRAME WITHIN WHICH A COMPLAINT CAN BE FILED

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Time frame within which a complaint can be filed

• Section 24A of the Act provides that a consumer dispute can be filed within two years from the date on which the cause of action arises.

• The point of time when cause of action arises is an important factor in determining the time period available to file a complaint. There are no set rules to decide such time. It depends on the facts and circumstances of each case.

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The complaint should be filed within 2 years

from the date of cause of action.

Appeals are require to be filed within 30 days from the date of receipt of the court's order.

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• It may be noted that these time frames are not absolute limitations. If the Consumer Forum is satisfied that there was sufficient cause for not filing the complaint within the prescribed period, it can entertain a complaint beyond limitation time. However the Forum must record the reasons for condensation of delay.

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Case-study

1. Rahul bought TV set from an electronic store for personal use at home. Is he a consumer?

2. Raj on holiday with his family hired a taxi service. The taxi was in poor condition, the driver rode rashly, car had a breakdown and Raj and family could not reach airport on time. Is Raj a consumer?

3. Ajay bought pressure cooker for use by his family. His wife Suman was using the cooker it burst. Is Ajay a consumer? Is Suman a consumer?

4. Akash runs a laundry shop. He bought a washing machine from an electronic shop for using it at his shop. The machine was installed at his shop. The machine was defective right from the time it was installed. Is Akash a consumer?

5. Arora is a computer vendor. Hr brought 1000 iPads from Apple Inc for reselling to other computer vendors. Is Arora a consumer?

6. Vijay bought cycles for purpose of hiring them to tourist who visits his hometown Shimal. Rohan on his visit to shimla hired cycle from Vijay. The cycle was defective and on uphill ride its handle broke and Rohan sustained injuries. Is Vijay a consumer? Is Rohan a consumer? If yes then uder which s. 2(d)(i) or 2(d)(ii)?

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• 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.• The state or central govt. either its individual

capacity or as a representative of the interest of the consumer in general.

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• COMPLAINT WHERE LABORATORY TESTING IS POSSIBLE OR REQUIRED.

• COMPLAINT RELATED TO SERVICE, I.E, WHERE LABORATORY TESTING IS NOT POSSIBLE.

PROCEDURE ON RECEIPT OF COMPLAINTS

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STATE COMMISSION & NATIONAL COMMISSION

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DEFICIENCY IN SERVICE

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Meaning

• Section 2(1) (g) of the Act provides that, “deficiency” 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 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.

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• “Deficiency” means any fault, imperfection, shortcoming or inadequacy in the quality, nature and manner of performance.

• Such quality and manner of performance of service should have been required to be maintained by or under any law for the time being in force or undertaken to be performed by a person in pursuance of a contract or otherwise.

• The deficiency must be in relation to a service.

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Meaning Of Service [u/s 2(1)(o)]

‘Service of any description which is made available its potential users and includes but not limited to the provisions of facilities in connection with banking, financing, insurance,…….. But does not include the rendering of any service free of charge or under a contract of personal service’.

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Examples

• Bank of Maharashtra v/s Mrs Jyothi Satya– When the locker facility is provided by the bank, the

relationship b/w the bank and hirer of a locker is not that of a landlord and tenant.

– In event of loss of contents of lockers as a result of robbery, the bank will be liable for deficiency of service.

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• Failure of the housing board to give possession of the flat after receiving the price and registering it in favour of the allottee.

• Non-delivery of consignment by the courier.• Failure of railways to provide cushioned seats in the

first class compartment as per specifications laid down by the board.

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• The removal of ladder of an aircraft while the passenger was disembarking and thereby causing 10% permanent disability.

• The fall of the passenger from a running train while passing through the vestibule passage.

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Examples

• Delay caused in returning of baggage or tampering with baggage.

• Failure in informing the unavailability of a connecting flight.

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DEFECT Sec 2 (1) (f)

“Any fault, imperfection or shortcoming in the quality, quantity, potency, 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”