COPMTITION AND CONSUMER PROTECTION

INC GUNTUR PUTTU GURU PRASAD

Consumer is king
A

consumer is a user of goods and services. Any person paying for goods and services which he uses is entitled to expect that the goods and services are of a nature and quality promised to him by the seller.  The earlier principle of Caveat Emptor or Let the buyer beware has given way to the principle that Consumer is king.

CONSUMER PROTECTION ACT 1986

        

The need to recognize and enforce the rights of consumers is being understood and several laws have been made for this purpose. In India we have the Indian contract act, Sale of goods act, Dangerous drugs act, Agricultural produce act, Indian standards institutions act, Prevention of food adulteration act, Standards of weights and measures act, Trade and merchandise marks act, etc, Which to some extent protect consumer interests

Consumer protection law
 The

consumer protection act 1986 is a mile stone in the history of socio-economic legislation in India. The act is intended to provide simple, speedy and inexpensive redressal to the consumer's grievances, and remedies of a specific nature and award of compensation wherever appropriate to the consumer

CONSUMER REDRESSAL MECHANISMS
 To

provide simple, speedy and inexpensive redressal of consumer grievances, the act envisages three-tier quasi-judicial machinery at the national, state, district levels

COMPETITION ACT,2002
 The

object of competition act,2002 is to position the competition policy with pragmatic option to promote the spirit of competition and harmonize the conflicts caused by the volatility of globalize markets

The objectives of the competition law
 Safety

and stability of domestic markets  Transparency of business practices  Prevention of abusive practices  Institutionalization of supervision over barriers to fair competition  Sustained benefits to consumers

The competition act consists of the following areas
      

Prohibition of anti-competitive agreements Prohibition of abuse of dominant position Regulation of combinations Establishment of competition commission of India Penalties for contravention of orders of commission and non-compliance with directions Competition advocacy Constitution of competition fund

MONOPOLY RESTRICTIVE AND TRADE PRACTICES ACT,1969

 

A restrictive trade practice is defined to mean a trade practice which has or may have the effect of preventing, distorting or restricting competition in any manner and particularWhich tends to obstruct the flow of capital or resources into the stream of production, or This tends to bring about manipulation of prices or conditions of delivery or to affect the flow of supplies in the market relating to goods or services in such manner as to impose on the consumers unjustified costs or restrictions

Unfair trade practices

     

A trade practice which a person adopts for the purpose of promoting sale, use of supply of goods or provision of any services by any unfair method or unfair deceptive practice. Misleading advertisement Bargain sale or supply Offering of gifts, prizes Conduct of any contest, lottery Hoarding or destruction of goods, or not to make them available for sales. Selling the goods not comply with the standards

PRODUCT LIABILITY
 Any

liability of the manufacturer, wholesalers, distributors or vendors for the injury or damage caused by the use of the product due to it being dangerous or defective in nature is known as product liability

Product liability claims
 Design

defects  Manufacturing defects  Marketing defects  Negligence  Strict liability  Breach of warranty

PUBLIC INTEREST LITIGATIONS

Public interest litigation means a legal action initiated n a court of law for the enforcement of public interest or general interest in which the public or class or the community have pecuniary interest or some interest by which their legal rights or liabilities are affected. Under PIL , courts take up cases that concern not the rights of the petitioner but of the public at large. PIL has emerged as one of the most powerful tools for promoting social justice and the rights of the poor.

JUDICIAL ACTIVISM

On can simply approach the court to have fundamental rights enforced by writing a letter or mailing a post card to any judge. Such letters based on true facts will be converted into writ petitions. In welcoming the Public Interest Litigation , the court attempts to ensure observance of social and economic programs framed for the benefits of the underprivileged citizens and the handicapped. PIL has proved a boon for the common citizens

CLASS ACTION SUITS IN US
 Just

like PIL in India, class action suits are prevalent in the USA. When there exits some kind of perceived fraud or misconduct that affects many people in a similar way, then those people tend to look for a law firm to represent them all