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The Consumer ProtectionAct, 1986

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Consumer is the king of the market

Sellers market is now buyers market.

Industrial development has led to the influx of

various goods and services in the market.

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Objects and Application of the Act

1.To Provide for better protection of interest ofconsumers as per IOCU.

2.To establish the Consumer Councils

3.To empower the Consumer Councils and

other authorities to settle disputes and

matters connected.

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Consumer RightsSafety

education

Choose Information

Redressal

Heard

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CONSUMER

A person who buys any goods for a consideration

which has been paid/ promised/ partly paid and partlypromised or under scheme of deferred payment andincludes other user of such goods with the approval ofthe buyer.

OR A person who hires or avails of any services for

consideration which has been paid/ promised / partlypromised or under any system of deferred payment.

(Imp Consumer does not include a person who obtainsgoods or avails services for commercial purpose or re-sale, or given free of charge)

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GOODS

As per sales of goods act Any kind of movable property other than actionable

claims and monney

SPURIOUS GOODS AND SERVICES

Such goods and services which are claimed to be genuinebut they are actually not so.

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Service

Service of any description which is madeavailable to potential users

includes the provisions of facilities inconnection with banking, financing, insurance,transport, processing, supply of electrical orother energy, boarding or lodging of good,

house construction, entertainment, amusementor other information.

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DEFICIENCY

Any fault imperfection ,shortcoming or inadequacy in

the quality , nature and manner of performance to be

maintained in relation to any services.

It has two parts Services for which standard has been

prescribedand service for which express guarantees and

warranties are given by person concerned.

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DEFECT

Any fault ,imperfection ,shortcoming in the Quality,

quantity, potency, purity or standard which is to be

maintained in relation to any goods

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COMPLAINANT

Is A Consumer An Asso. of consumer reg. under Co. Act

The Central or State Govt.

One or more consumers having same interest.

The legal Heir or representative in case of

death of the consumer.

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Consumer Complaint

Any allegation made by the complainant inwriting

Unfair trade practice or RTPDefect in goodsDeficiency in serviceExcess price

Hazardous goods or service made availableto public

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CONSUMER DISPUTE

The allegation made by consumer with respect to

defect in goods and deficiency in service provided.

TRADERA person who sells or distributes any goods for sale

Trader shall include the packer of those goods

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Are the following consumers

Passenger traveling by train.

A person registering for gas connection.

Subscriber of telephones.

User of electricity.

Purchaser of equipment using it by himself in thepractice of his profession.

Subscriber to a provident fund.

Person buying goods for resale use in large scale profitmaking activity.

Insurance Company.

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UNFAIR TRADE PRACTICE UNFAIR METHOD OR UNFAIR OR DECEPTIVE

PRACTICE ADOPTED FOR PROMOTING THE SALE, USE

OR SUPPLY OF ANY GOODS OR FOR THE PROVISION

OF ANY SERVICES. It includes

1. Misleading Advertisements and False representation

2. Sale offer of bargain price

3. Scheme offering gifts or prizes

4. Non compliance of prescribed standards

5. Hoarding destruction or refusal

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Misleading Adv. False Repre.

Any warranty Guarantee

of performance not based

on adequate test

Seller has sponsorship

approval

Rebuilt as new goods

Goods are ofQ, Q, S, G, Co,S,M

Misleading about the priceat which goods ordinarily sold

Disparaging goods of another

About the need Usefulness

of goods services

Goods ,services have

Sponsorship ,performance

Services are ofS,Q,G

V

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RESTRICTIVE TRADE

PRACTICE

A TRADE PRACTICE WHICH REQUIRES A CONSUMER TO BUY, HIRE

OR AVAIL OF ANY GOODS OR SERVICES AS A CONDITIONPRECEEDENT FOR BUYING OR HIRING OF OTHER GOODS AND

SERVICES.

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Interesting Cases Conducted Tours: RAJ TRAVELS &TOURS PVT.

LTD Educational institutes: KATILA MEDICAL COLL.

PATNA Offering Gifts: VIMAL POWDER SOCIETY for civic rights Vs Colgate UTP

#Reduction/ introductory pricing for a particularperiod#3 contest schemes only in an yr. for introductory

goods#price of product and highest cost of any prize notmore than 1:10

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Redressal Agency

The aims and objectives of the Act are achieved bythe constitution and creation of

District Forum

State Commission and

National Consumer Disputes RedressalCommission.

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District Forum

It shall consist of a person who is or has been or is qualified to

be a District Judge as its President,2 other members, one ofwhom shall be a woman possessing a bachelors degree from arecognized university, be a person of ability, integrity andstanding and have adequate knowledge and experience

Every member of the District Forum shall hold office for aterm of 5 years or up to the age of 65 years which ever isearlier.

It shall have jurisdiction to entertain complaints where the

value of the goods or services and the compensation, if any,claimed does not exceed Rs.20 Lakhs.

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A District Forum shall have the powers

1. to remove the defect pointed out by the appropriatelaboratory from the goods in question

2. to replace the goods with new goods of similar

description which shall be free from any defect

3. to return to the complainant the price, or as the casemay be, the charges paid by the complainant

4. to pay such amount as may be awarded by it ascompensation to the consumer for any loss orinjury suffered by the consumer due to the negligenceof the opposite party

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State Commission

It is established by SG by notification

It shall have jurisdiction to entertain complaints where thevalue of the goods or services and compensation, if any,claimed exceeds Rs. 20 Lakhs but does not exceed Rs.1Crore and appeals against the orders of any District Forumwithin the State.

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It shall consist of a person who is or has been a Judge of

the Supreme Court,as its President. Not less than 4 andnot more than such number of members as may beprescribed and one of whom shall be a woman withsimilar qualifications as required in the case ofappointment as a member to a District Forum or a StateCommission.

Every member of the National commission shall holdoffice for a term of 5 years or up to the age of 70 yearswhich ever is earlier.

It shall have jurisdiction to entertain complaints wherethe value of the goods or services and compensation, ifany, the claim exceeds Rs. 1 Crore and appeals againstthe orders of any State Commission.

National Commission

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Content of Consumer Complaint

Details of the complainant.

Details of the opposite party or parties.

The facts relating to complaint and when and where it arose.

Documents, if any, in support of the allegations contained in the

complaint.

Relief which the complainant is seeking.

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Where do I file my complaint???

Pecuniary JurisdictionTerritorial Jurisdiction

Consumer Forum

Time period for filing complaint

Within 2 years

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Fees for filing a complaint

Up to 1 LakhRs.100.

1 Lakh & above but less that 5 LakhsRs.200.

5 Lakhs & above but less that 10 LakhsRs.400. 10 Lakhs & above but less that 20 LakhsRs. 500

Do I have to be there myself to file a complaint?Ans : No

R di U d C P i A

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Remedies Under Consumer Protection Act

1. To remove the defects pointed out by the appropriatelaboratory from goods in question.

2. To replace the goods with new goods of similar descriptionwhich shall be free from any defect

3. To return to the complainant the price, or, as the case may be,

the charges paid by the complainant.

4. Compensation for loss of negligence on part of consumer

5. To remove the defects or deficiencies in the services inquestion.

6. To discontinue the unfair trade practice or the restrictive tradepractice or not to repeat them.

7. Not to offer the hazardous goods for sale.

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Continued

8 To withdraw the hazardous goods from being offered for

sale

9. To cease from manufacturing of hazardous goods

10. Loss of injury of consumer

11. Issue of corrective advertisement

12. Provision of adequate costs to parties

LIMITATION PERIOD

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LIMITATION PERIOD.

(1) The District Forum, the State Commissionor the National Commission shall not admit acomplaint unless it is filed within two years from

the date on which the cause of action has arisen.

Provided that no such complaint shall beentertained unless the National Commission, the

State Commission or the District Forum, as thecase may be, records its reasons for condoningsuch delay.

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Objects of Council Topromote and protect the rights of the consumers such as, -

(a) To beprotected against the marketingof goods andservices which are hazardous to life and property;

(b) To be informedabout the Q,Q,P,P,S and price of goods orservices, and against UTP;

To be assured, wherever possible, access to a variety ofgoods and services at competitive prices;

(d) To be heardand to be assured that consumers' interests willreceive due consideration at appropriate forums;

e) To seek redressedagainst UTP or RTP or unscrupulousexploitation of consumers; and

(f) To consumer education.

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CouncilsThe District Consumer Protection Council.

(1) The SG will establish for every district, bynotification.(2) It shall consist of the foll. members, namely:-

(a) the Collector of the district (by whatever namecalled), as its Chairman; and(b) such number of other official and non-officialmembers as may be prescribed by the SG

(3) The District Council shall meet at least twice in anyear.

(4)The procedure will be set by SG

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State CouncilTHE STATE CONSUMER PROTECTION COUNCILS.

(1) The SG will establish State Council by notification

(2) It shall consist of the foll. members, namely :-(a) the Minister in-charge of consumer affairs in the SG

as its Chairman;(b) such number of other official or non-officialmembers as may be prescribed by the StateGovernment.

(3) The State Council shall meet at least twice in anyear.

(4) The procedure will be prescribed by the SG

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Central CouncilTHE CENTRAL CONSUMER PROTECTION

COUNCIL.

(1) The CG will establish Central Consumer ProtectionCouncil by notification

(2)It shall onsist of the foll. members, namely :-

(a) the Minister in charge of Consumer Affairs inthe CG as its Chairman, and

(b) such number of other official or non-officialmembers as may be prescribed.3. The Council shall meet at least once an year.

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CONCLUSION

Benevolent Piece Social Legislation

Issue of Consumer Welfare

Special feature of this act

Role of Three Tier Quasi judiciary

Concept of Consumers Sovereignty

Overall Effect of Consumer Protection