consumer protection act 1986 ppt for the UG students

laws and terminology related to consumer protection act 1986

1. 1
CONSUMER PROTECTION
ACT, 1986
( With amendments of the Act effected
from 15.3.2003
and rules from 5.3.2004)

2. 2
CONSUMER PROTECTION ACT,
1986
Enactedtoprovideforthebetterprotection
oftheinterestofconsumer
ActappliestowholeofIndiaexceptJammu
andKashmir
ChapterI,IIandIVcameintoforceon
15.4.1987.ChapterIIIcameintoforceon
1.7.1987
Theactwasamendedin2002andthe
amendments cameintoforcew.e.f.15
th
March2003.

3. 3
WHAT IS A COMPLAINT?
“Complaint”meansanyallegationin
writingmademyacompliantthat:
I.Anunfairtradepracticeorarestrictive
tradepracticehasbeenadoptedbyany
traderorserviceprovider;
II.Thegoodsboughtbyhimoragreedtobe
boughtbyhimsufferfromoneormore
defects;
III.Theserviceshiredoravailedoforagreed
tobehiredoravailedoffbyhimsuffer
fromdeficiencyinanyrespect;

4. 4
WHAT IS A COMPLAINT?
IV.Atraderorserviceproviderasthecasemay
behaschargedforthegoodsorforthe
servicesmentionedinthecomplaint,aprice
inexcessoftheprice
a)fixedbyorunderanylawforthetimebeing
inforce;
b)displayedonthegoodsoranypackage
containingsuchgoods;
c)displayedonthepricelistexhibitedbyhim
byorunderanylawforthetimebeingin
force;
d)agreedbetweentheparties.

5. 5
WHAT IS A COMPLAINT?
V.Goodswhichwillbehazardoustolife
andsafetywhenusedarebeingoffered
forsaletothepublic–
a)Incontraventionofanystandards
relatingtosafetyofsuchgoodsas
requiredtobecompiledwith,byor
underanylawforthetimebeingin
force;
b)Ifthetradercouldhaveknownwithdue
diligencethatthegoodssoofferedare
unsafetothepublic;

6. 6
WHAT IS A COMPLAINT?
VI.Servicewhicharehazardousorlikelyt
behazardoustothelifeandsafetyof
thepublicwhenused,arebeing
offeredbytheserviceproviderwhich
suchpersoncouldhaveknownwith
duediligencetobeinjurioustolifeand
safety.

7. 7
WHO IS A CONSUMER ?
Anypersonwhobuysgoodsor
availsservicesforconsideration
Considerationmaybefullypaid,
partiallypaidorfullypromisedtobe
paidorpartiallypromisedtobepaid
Anybodywhousesthegoodsor
serviceswiththeconsentofthe
consumer

8. 8
WHO IS A CONSUMER ?
Legalheirofconsumerincasedeathof
consumer
Doesnotincludeanypersonwhobuys
goodsforresaleorcommercialpurpose
andservicesforcommercialpurpose
Howeveranypersonwhobuysgoodsfor
commercialusebutexclusivelyforhis
livelihoodbymeansofselfemployment
isaconsumer.

9. 9
WHAT IS A DEFECT ?
Fault
Imperfection
Shortcoming
In the
Quality
Quantity
Potency
Purity Or
Standards
Which is required to be maintained by or
under any law for the time being in force

10. 10
WHAT IS A DEFICIENCY ?
Fault
Imperfection
Shortcoming Or
Inadequacy
In the
Quality
Standard and
Manner of
performance
Which is required to be maintained by or
under any law for the time being in force

11. 11
WHAT IS A SERVICE?
“Service” means service of any description, which is
made available to potential users and includes, but not
limited to the provisions of the facilities in connection
with
1) banking 2) financing 3) insurance 4) transport
5) processing 6) supply of electrical or other energy
7) boarding or lodging or both 8) house construction
9) entertainment 10) amusement or
11) the purveying or new or other information
But does not include the rendering of any service free of
charge or under a contract of personal service

12. 12
CONSUMER DISPUTE
REDRESSAL AGENCIES
1)AConsumerDisputeRedressalForumatthe
Districtlevel.
2)AConsumerDisputeRedressalCommissionat
theStatelevel.
3)ANationalConsumer DisputeRedressal
Commissionatnationallevel.

13. 13
JURISDICTION
Forum / Commission Where the value of the goods or
services and the compensation, if
any claimed,
District Forum Does not exceed Rs. 20 lakhs
State Commission Rs. 20 lakhs and above but not
exceeding One Crore
National CommissionAbove One Crore
Besides, State and National Commission have appellate
jurisdiction also.

14. REDRESSALAGENCY
TheaimsandobjectivesoftheActareachievedby
DistrictForum
StateCommission
NationalCommission.

15. DISTRICTFORUM
Each DistrictForumshallconsistof,
i)A personwhois orhasbeen orisqualified tobe aDistrict
Judge,whoshallbe President
ii)2othermembers,oneshouldbea woman, whoshallhave
thefollowing qualifications
a)bachelor'sdegreefroma recognizeduniversity
b)bepersonsofability, integrityandstanding,andhave
adequateknowledgeandexperienceofatleast tenyearsin
dealingwithproblemsrelatingtoeconomics,law,
commerce,accountancy,industry,publicaffairs or
administration.
c)benotlessthanthirty-fiveyears of age
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16. STATECOMMISSION
EachStateCommissionshallconsistof,
i)ApersonwhoisorhasbeenaJudgeofaHighCourt,appointedbythe
StateGovernment,whoshallbeitsPresident
ii)notlessthantwo,andnotmorethansuchnumberofmembers,asmay
beprescribed,andoneofwhomshallbeawoman,whoshallhave
followingqualification,
a)benotlessthanthirty-fiveyearsofage
b)possessabachelor'sdegreefromarecogniseduniversity
c)bepersonsofability,integrityandstanding,andhaveadequate
knowledgeandexperienceofatleasttenyearsindealingwithproblems
relatingtoeconomics,law,commerce,accountancy,industry,publicaffairs
oradministration
16

17. NATIONALCOMMISSION
TheNationalCommissionshallconsistof,
i.ApersonwhoisorhasbeenaJudgeoftheSupremeCourt,to
beappointedbytheCentralGovernment,whoshallbeits
President;
ii.Notlessthanfour,andnotmorethansuchnumberofmembers,
asmaybeprescribed,andoneofwhomshallbeawoman,who
shallhavethefollowingqualifications,
a)benotlessthanthirty-fiveyearsofage
b)possessabachelor'sdegreefromarecogniseduniversity
c)bepersonsofability,integrityandstandingandhaveadequate
knowledgeandexperienceofatleasttenyearsindealingwith
problemsrelatingtoeconomics,law,commerce,accountancy,
industry,publicaffairsoradministration
17

18. 18
FILING OF COMPLAINTS
Acomplaintmaybefiledby
a)Theconsumertowhomthegoodsaresold
orservicesareprovided
b)Anyrecognisedconsumerassociation
c)One or more consumers with same interest
d)Thecentralgovernmentorstategovernment

19. 19
FILING OF COMPLAINTS
The Fee for filing the Complaint for the district forum is as under
Sr.
No.
Value of Goods / Service and Compensation Amount
of Fees
1) Upto Rs. 1 lakh rupees Rs. 100
2) Rs. 1 Lakh and above but less than Rs.5 lakhs Rs. 200
3)Rs. 5 Lakhs and above but less than Rs. 10 lakhs Rs. 400
4) Rs. 10 lakhs and above but less than Rs. 20 lakhs
ThefeesshallbepaidbyCrossdemandDraftdrawnonanationalized
bankorthroughcrossedIndianpostalorderdrawninfavourofthe
RegistraroftheSateCommissionandpayableattheplaceoftheState
Commission(w.e.f.5.3.2004.)

20. 20
RELIEF TO THE COMPLAINANT ?
IF THE COMPLAINT IS PROVED THE FORUM SHALL
ORDER
a)toremovedefectpointedoutbytheappropriatelaboratory
fromthegoodsinquestion;
b)toreplacethegoodswithnewgoodsofsimilardescription
whichshallbefreefromanydefect;
c)toreturntothecomplainanttheprice,or,asthecasemay
be,thechargespaidbythecomplainant;
d)topaysuchamountasmaybeawardedbyitas
compensationtotheconsumerforanylossorinjurysuffered
bytheconsumerduetonegligenceoftheoppositeparty;
e)Toremovethedefectingoodsordeficiencyintheservicesin
question.

21. 21
RELIEF TO THE COMPLAINANT ?
f)todiscontinuetheunfairtradepracticeortherestrictive
tradepracticeornottorepeatthem;
g)nottoofferhazardousgoodsforsale;
h)towithdrawthehazardousgoodsfrombeingofferedfor
sale;
ha)toceasemanufactureofhazardousgoodsandtodesistfrom
offeringserviceswhicharehazardousinnature;
hb)topaysuchsumasmaybedeterminedbyit,ifitisofthe
opinionthatlossorinjuryhasbeensufferedbyalarge
numberofconsumerswhoarenotidentifiableconveniently.
hc)toissuecorrectiveadvertisementstoneutralizetheeffectof
misleadingadvertisementatthecostoftheoppositeparty
responsibleforissuingsuchmisleadingadvertisement;
i)Toprovideforadequatecosttoparties.

22. 22
APPEAL
shallbefiledwithinthirtydays.
Delayinfilingappealmaybe
condonedifthereissufficientcause.

23. 23
LIMITATION PERIOD
Withintwoyearsfromthedateon
whichthecauseofactionhasarisen.

24. 24
DISMISSAL OF FRIVOLOUS OR
VEXATIOUS COMPLAINTS
Whereacomplaintinstitutedbeforethe
DistrictForum,theStateCommissionor
theNationalCommission,isfoundtobe
frivolousorvexatious,itshall,for
reasonstoberecordedinwriting,dismiss
thecomplaintandmakeanorderthatthe
complainantshallpaytotheopposite
partysuchCost,notexceedingten
thousandrupees,asmayspecifiedinthe
order.

25. 25
PENALTIES
Whereatraderorapersonagainstwhoma
complaintismade(orthecomplainant)failsor
omitstocomplywithanyordermadebythe
DistrictForum,theStateCommissionorthe
NationalCommission,suchtraderorperson(or
complainant) shallbe punishable with
imprisonmentforatermwhichshallnotbeless
thanonemonthbutwhichmayextendtothree
yearsorwithfinewhichshallnotbelessthan
twothousandrupeesbutwhichmayextendto
tenthousandrupees,orwithboth.

26. CentralCouncil
StateCouncil
DistrictCouncil
CONSUMERPROTECTIONCOUNCILS
To protect the rights of consumer following councils
are established under the act:

27. CENTRALCOUNCIL
TheCentralCouncilshallconsistofthefollowing
members,namely:-
i)TheMinisterinchargeoftheconsumeraffairsin
theCentralGovernment,whoshallbeits
Chairman
ii)suchnumberofotherofficialornon-official
membersrepresentingsuchinterestsasmaybe
prescribed
CentralCouncilshallmeetasandwhennecessary,
butatleastonemeetingshouldheldeveryyear.
27

28. STATECOUNCIL
•Statecouncilshallconsistsofthefollowingmembers,
namely:-
-TheMinisterin chargeof consumeraffairs intheState
Governmentwhoshallbeits Chairman
-Suchnumberof otherofficialornon-officialmembers
representingsuchinterests asmaybeprescribedby the
StateGovernment
-Suchnumberof otherofficialornon-officialmembers,
notexceedingten, asmaybe nominatedbytheCentral
Government
•TheStateCouncilshallmeetas andwhennecessarybutnot
lessthantwomeetings shallbeheldeveryyear.
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29. DISTRICTCOUNCIL
•Stategovernmentshallestablishacouncilforeverydistrict
to be knownastheDistrictConsumerProtectionCouncil.
•TheDistrict ConsumerProtectionCouncilshallconsistof
thefollowingmembers,namely:-
-theCollector ofthedistrict,whoshallbeits Chairman
-Suchnumberof otherofficialandnon-officialmembers
representingsuchinterests asmaybe prescribedby theState
Government
•TheDistrict Councilshallmeetas andwhennecessarybut
notlessthantwomeetings shallbeheldeveryyear
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