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CONSUMER PROTECTION ACT, 1986

Presented by

Dr.P.V.V.Satyanarayana Murthy Ph.D


Former Member, District Consumer Forum, Vijayawada

BACKDROP OF THE LEGISLATION

United Nations adopted guidelines for Consumer Protection in 1985 and circulated the same to its member countries. Our country enacted

Consumer Protection Act in 1986 which has come

into force in 1987.

PURPOSE OF THE ACT

To provide for better protection of the interests of consumers

APPLICATION OF THE ACT This Act applies to all goods and services, otherwise expressly exempted by Central Government by notification.

WHAT THE ACT ENVISAGES


It provides for establishment of
Consumer Protection Councils. Consumer Disputes Redressal Agencies

CONSUMER PROTECTION COUNCILS

District Consumer Protection Council Chairman : District Collector State Consumer Protection Council Chairman : Consumer Affairs Minister of the State
Central Consumer Protection Council Chairman : Consumer Affairs Minister Govt. of India

OBJECTS OF THESE COUNCILS


To promote and protect the rights of the consumers such as:1. Right to safety

2. Right to information
3. Right to choose 4. Right to be heard

5. Right to redressal 6. Right to consumer education

CONSUMER DISPUTES REDRESSAL AGENCIES

Consumer Disputes Redressal Forum known as District Forum at District level. State Consumer Disputes Redressal Commission known as State Commission at state level.

National Consumer Disputes Redressal Commission known as National Commission at national level.

DISTRICT FORUM

It is established at the district headquarters with 3 members out of which one shall be a woman. President shall be a district judge. Rs. 20 Lakhs monetary jurisdiction .

Territorial jurisdiction extends to the entire revenue district / assigned revenue divisions.

STATE COMMISSION

Monetary Jurisdiction : Above Rs.20 Lakhs to one crore Territorial Jurisdiction:Extends to the entire state
Appellate Jurisdiction : On orders of District Forum. Administrative Jurisdiction: On all the District Forums established in that particular state.

NATIONAL COMMISSION

Monetary Jurisdiction : Territorial Jurisdiction:

Above Rs. One Crore . Whole J & K. of India except

Appellate Jurisdiction:

On the orders of State Commissions.

Administrative Jurisdiction: On all the Consumer Courts. On the orders of the National Commission appeal lies to the Supreme Court.

DEFINITIONS
Complainant

Consumer
Defect Deficiency Goods

Services

COMPLAINANT
The following are empowered to approach consumer courts.
Consumer Registered Voluntary Consumer Association Central or any State Government One or more consumers where there are

numerous consumers having the same interest


In case of death of consumer his legal heir/

representative

Buys

any goods for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any user of such goods other than the person who buys such goods for consideration paid or promised or partly paid or partly promised, or under any system of deferred payment when such use is made with the approval of such person, but does not include a person who obtains such goods for resale or for any commercial purpose; or
,

CONSUMER

CONSUMER CONTD.,

hires or avails of any services for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any beneficiary of such services other than the person who hires or avails of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred payment, when such services are availed of with the approval of the first mentioned person but does not include a person who avails of such services for any commercial purpose.

DEFECT

Any fault, imperfection or shortcoming in the quality, 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, short coming 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 services.

GOODS
Goods

as defined in the Sale of Goods Act, 1930. All immovable properties except money and actionable claims are goods. Even the material that form part of the land such as growing crop, grass etc. that can be separated from the land by an agreement are also goods.

SERVICE
Service

of any description which is made available to potential users and includes but not limited to, the provision of facilities in connection with banking, financing, insurance, transport, processing, supply of electrical or other energy, board or lodging or both housing construction, entertainment, amusement or the purveying of news or other information, but does not include the rendering of any service free of charge or under a contract of personal service.

WHY THIS ACT IS UNIQUE?

This Act envisages simple, speedy and less-expensive justice.

OTHER ASPECTS
Complaint

must be filed with in 2 years from the date on which the cause of action arose
against an order shall be preferred by any aggrieved party with in 30 days

Appeal

PENALTIES
Any

party who fails to comply with the order of the consumer court may have to suffer a maximum punishment of 3 years imprisonment or Rs.10,000/- fine or both.

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