Forum and jurisdiction of agencies under consumer protection act. By Sreelakshmi S Batch 1 Roll no 56
What is consumer redressal ? When a consumer has any complaint regarding the goods or things, consumer can approach to Consumer Courts for redressal The word REDRESSAL means REMEDY Redressal means a remedy for the loss suffered by the consumers The Consumer Protection Act,1986 enacted by the Parliament protects the interests of consumers in India It makes provisions for the establishment of Consumer Councils and other authorities for the settlement of consumer disputes The Consumer Protection Act,1986 has provision for establishing these Redressal Agencies or Courts
Consumer disputes redressal agencies Consumer disputes redressal agencies are of three types; District Consumer Disputes Redressal Forum State Consumer Disputes Redressal Commission National Consumer Disputes Redressal Commission
District consumer forum – composition, jurisdiction and powers Composition :
The District Forum would be composed of:
President—a person who is, or has been, or is qualified to be a District Judge,
Not less than two other members— one of the two members shall be a woman. The two members shall have the following qualifications: Qualifications 35 years of age is bare minimum;
having a bachelor’s degree from a university which is recognised ;
Integrity, ability and standing is essential and have adequate knowledge and experience of at least 10 years of dealing problems related to economics, public affairs, industry, commerce, accountancy, law or administration.
Disqualifications A member would be disqualified from the appointment on the following grounds:
Having convicted for an offence involving moral turpitude; or
is of unsound mind; or
dismissed from the service of the government or any corporate body under the government; or
Having a financial interest, according to the State Government;
is an insolvent; or
has such other disqualifications as notified by the State Government.
Selection committee for appointment of members Every appointment as mentioned shall be done by the State Government on the advice of a selecting committee consisting of:
President of the State Commission
Consumer Affair Department’s Secretary
State’s Law Department Secretary
Term of office Each member will hold the office for a period of 5 years or till the age of 65 years, whichever is earlier and would also be eligible for a re appointment, if not reached the age of 65 years.
JURISDICTION Pecuniary limit The District Forum shall have jurisdiction to entertain complaints where the value of the goods or services and the compensation, if any, claimed does not exceed rupees one crore . If the Central Government feels necessary, it would provide other values as it deems fit.
Territorial limit A complaint shall be instituted in a District Forum within the local limits of whose jurisdiction:
the opposite party or each of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides or carries on business, or has a branch office or personally works for gain; or
any of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides, or carries on business or has a branch office, or personally works for gain, provided that in such case the permission of the District Commission is given;
the cause of action, wholly or in part, arises; or
Residence or the workplace of the complainant.
Powers Summoning of any witness or defendant or issuing of commissions for examination of documents or any witness.
Requiring production of a material or object as evidence or the analysis/test report from the concerned laboratory.
Composition of the State Commission Each State Commission shall consist of One President and two or more other members. The President The President shall be a person who is or has been a Judge of a High Court, appointed by the State Government. His appointment should be made in consultation with the Chief Justice of High Court. Members In the state commission there should be not less than two, and not more than such number of members, as may be prescribed, and one of whom shall be a woman.
Qualifications of members 1. Minimum 35 years of age; 2. Possess a bachelor's degree from a recognised university 3. be persons of ability, integrity and standing, and have adequate knowledge and experience of at least ten years in dealing with problems relating to economics, law, commerce, accountancy, industry, public affairs or administration Provided that not more than fifty per cent. of the members shall be from amongst persons having a judicial background. Explanation.- For the purposes of this clause, the expression 'persons having judicial background'' shall mean persons having knowledge and experience for at least a period of ten years as a presiding officer at the district level court or any tribunal at equivalent level.
Selection committee for appointment of members (sec.16 (1a)) every appointment under sub-section (1) shall be made by the state government on the recommendation of a selection committee consisting of the following members, namely:
(i) president of the state commission- chairman; (ii) secretary of the law department of the state- member; (iii) secretary incharge of the department dealing with consumer affairs in the state- member: provided that where the president of the state commission is, by reason of absence or otherwise, unable to act as chairman of the selection committee, the state government may refer the matter to the chief justice of the high court for nominating a sitting judge of that high court to act as chairman
Term of Office (Section 16 (3)) Every member of the State Commission shall hold office for a term of five years or up to the age of 67
A member may resign his office in writing under his hand addressed to the State Government
Jurisdiction of the State Commission Subject to the other provisions of this Act, the State Commission shall have jurisdiction Pecuniary Jurisdiction Complaints where the value of the goods or services and compensation, if any, claimed exceeds rupees 1 crore but does not exceed rupees 10 crore, then it comes under the pecuniary jurisdiction of State Commission.
Territorial Jurisdiction A complaint shall be instituted in a State Commission within the limits of whose jurisdiction: actually and voluntarily resides, or carries on business or has a branch office or personally works for gain, or personally works for gain; or
any of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides, or carries on business or has a branch office, or personally works for gain, provided that in such case the permission of the District Commission is given;
the cause of action, wholly or in part, arises; or
Residence or the workplace of the complainant.
Appellate Jurisdiction (Section 15) Section 15 of the Act gives the right to prefer an appeal to the state commission within a period of thirty days from the date of order of the District Forum to any person who has been aggrieved by the order. The time limit may be extended by the state commission on showing sufficient cause The person making an appeal should deposit 50% of the decreed amount or Rs.25000/- whichever is less. This requirement has been introduced by the Consumer Protection (Amendment) Act, 2002.
POWERS The Commission can suo moto or on application of the complainant transfer any complaint pending before a District Commission to another District Commission Can declare any terms of a contract,which is unfair to any consumer,to be null and void Can direct any individual/organization/expert to assist in matters concerning the larger interests of consumers
NATIONAL COMMISSION Composition It is also open to the Central Government to establish regional benches of this Commission.Each such Commission consists of, (a) a President (b) a minimum of 4 members while the maximum number of members may be as prescribed by the Central Government
Qualifications (i) be not less than thirty-five years of age;
(ii) possess a bachelor’s degree from a recognised university; and
(iii) be persons of ability, integrity and standing and have adequate knowledge and experience of at least ten years in dealing with problems relating to economics, law, commerce, accountancy, industry, public affairs or administration:
Every appointment under this clause shall be made by the Central Government on the recommendation of a selection committee consisting of the following, namely:—
(a) a person who is a Judge of the Supreme Court — Chairman;
to be nominated by the Chief Justice of India
(b) the Secretary in the Department of Legal Affairs — Member;
in the Government of India
Term of office The term of office of the President and the members is 5 years from the date of entering on office The President and the members are eligible for reappointment The President cannot hold office after 70 years The members cannot hold office after 67 years
JURISDICTION Pecuniary jurisdiction The Commission can (a) entertain complaints I.where the value of goods or services paid as consideration exceeds 10 crore rupees II.against unfair contracts,where the value of goods or services paid as consideration exceeds 10 crore rupees
Powers The National Commission can suo motu oron application of the complainant transfer any compliante pending before a District Commission or State Commission of one State to a District Commission or State Commission in another State respectively.This power can be exercised at any stage of the proceedings The Commission may also declare any terms of contract,which is unfair to any customer, to be null and void The Commission has power to direct any individual/organization/expert to assist it in matters concerning the larger interests of consumers