Professional Documents
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ACT-2019
DR SANJAY BANG
ASSOCIATE PROFESSOR LAW
CHRIST UNIVERSITY, PUNE LAVASA
TO BEGIN
• 7-0
POINTS TO BE COVERED
• 1) HISTORY OF CONSUMERISM.
• 2) SIX GOLDEN RIGHTS OF CONSUMER.
• 3) 5 IMPORTANT DEFINITIONS.
• 4) CONSUMER COUNCILS.
• 5) CONSUMER FORUMS.
• 6) PROCEDURE TO FILE THE COMPLAINT.
• 7) CHANGES MADE BY THE ACT OF 2019 FROM THE ACT OF 1986
WHY PROTECT THE CONSUMERS? REASONS
FOR ENACTING THE ACT
• COLLECTIVE BARGAINING, SELLERS LOBBY; FORMING CARTELS; ARTIFICIALLY
KEEPING PRICES HIGH.
• MULTIPLE LAWS, INDIA CONTRACT ACT-1872; SALE OF GOODS ACT-1930;
ESSENTIAL COMMODITIES ACT-2020.
• HURDLES IN THE LITIGATION, GOING TO REGULAR COURT; EXPENSIVE AND TIME
CONSUMING.
INTRODUCTION
• IN THE OLDEN DAYS THE PRINCIPLE OF “CAVEAT EMPTOR” WHICH MEANT
“LET THE BUYER BEWARE” GOVERNED THE RELATIONSHIP BETWEEN THE
SELLER AND THE BUYER.
• THE SELLERS WHO WERE GATHERED AND ORGANIZED WERE EASILY
DECEIVING THE BUYERS WHO WERE NEITHER ORGANIZED NOR GATHERED.
• EVEN THE LEGISLATURES HAD ENACTED THE LAWS WHICH PROTECTED
THE SELLERS THAN THE BUYERS. SECTION 16 OF THE SALE OF GOODS ACT-
1930 IS THE BEST EXAMPLE OF THAT.
CONCEPT OF CONSUMER PROTECTION
• THE JOURNEY OF CONSUMERISM BEGAN IN 1957, IN NEW YORK WHEN A PERSON RALF NADAR
MET WITH AN ACCIDENT BECAUSE OF MANUFACTURING DEFECT IN THE CAR.
• HE DIED IN THE INCIDENCE AND THERE WAS NO ONE TO LOOK AFTER THE FAMILY MEMBERS.
• HIS FRIENDS PROTESTED BEFORE THE WHITE HOUSE AND INITIALLY GOT RESISTANCE BY THE
LEGISLATURE AS WELL.
• BUT FINALLY GOT SUCCEED TO GET THE RIGHTS OF CONSUMERISM AND THIS WAS
CONSIDERED AS BOON FOR THE MANKIND ALL OVER THE WORLD.
• FROM LET THE BUYER BEWARE IT TURNS INTO CONSUMERISM
SIX RIGHTS OF CONSUMERISM
• SERVICE :THE TERM ‘SERVICE’ IS DEFINED UNDER SECTION 2(1)(O) AS TO MEAN 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.
• ONKAR RATHI VS LG ELECTRONICS ( 2018) ( NAGAR DISTRICT FORUM)
• SO, IF A COURIER REACHES AFTER THE PROMISED DATE, THERE IS “DEFICIENCY” IN SERVICE
• SHOULD WE INCLUDE MEDICAL AND LEGAL PROFESSION THERE?
DEFECT AND DEFICIENCY
CENTRAL COUNCIL
• THE ACT ESTABLISHES CONSUMER PROTECTION COUNCILS TO PROTECT THE RIGHTS OF THE
CONSUMERS AT BOTH THE NATIONAL AND STATE LEVELS.
• UNDER CHAPTER 2 ,SECTION 3 OF THE CONSUMER PROTECTION ACT, 2019 THE CENTRAL
GOVERNMENT SHALL ESTABLISH THE CENTRAL CONSUMER PROTECTION COUNCIL WHICH IS KNOWN
AS THE CENTRAL COUNCIL. IT IS AN ADVISORY BODY AND THE CENTRAL COUNCIL MUST CONSIST OF
THE FOLLOWING MEMBERS;
• THE CENTRAL COUNCIL MAY MEET AS AND WHEN NECESSARY, HOWEVER, THEY MUST HOLD AT
LEAST ONE MEETING EVERY YEAR. THE PURPOSE OF THE CENTRAL COUNCIL IS TO PROTECT AND
PROMOTE THE INTERESTS OF THE CONSUMERS UNDER THE ACT.
STATE COUNCIL
• THE COMPLAINT CAN BE MADE ON PLAIN PAPER AND YOU CAN FILE IT IN
PERSON OR THROUGH AN AUTHORISED AGENT, AFTER IT HAS BEEN NOTARISED,
THROUGH REGISTERED POST OR REGULAR POST.
• IN YOUR LANGUAGE.
• IT IS IMPORTANT THAT YOU SERVE A PERSONAL OR LEGAL NOTICE TO THE
OPPOSITE PARTY BEFORE FILING THE COMPLAINT.
CENTRAL AUTHORITY
• UNDER SECTION 21 OF THE ACT, THE CENTRAL AUTHORITY IS AUTHORISED TO ISSUE DIRECTIONS
TO FALSE AND MISLEADING ADVERTISEMENTS WHICH MAY EXTEND TO TEN LAKH RUPEES.
• WHILE DETERMINING THE PENALTY OF THE OFFENCE THE CENTRAL AUTHORITY MUST KEEP IN
MIND FACTORS SUCH AS; THE POPULATION AFFECTED BY THE OFFENCE, FREQUENCY OF THE
OFFENCE AND GROSS REVENUE FROM THE SALES OF SUCH PRODUCT.
• THE CENTRAL AUTHORITY CAN ALSO DIRECT SEARCH AND SEIZURE FOR THE PURPOSES OF THIS
ACT.
• IN NEXT 15 DAYS THE LIABILITY OF CELEBRITY IS ABOUT TO GET FIX FOR MISLEADING
ADVERTISEMENT.
CONTINUED
• YOU WILL NEED TO FILE FOUR COPIES, PLUS ADDITIONAL COPIES FOR EACH OPPOSITE PARTY.
• THE COMPLAINT MUST BE FILED WITHIN TWO YEARS FROM THE DATE OF THE CAUSE OF ACTION
HAVING ARISEN.
• THE COURT FEE FOR CASES INVOLVING UP TO RS 1 LAKH IS NIL FOR THOSE HOLDING ANTYODAYA
ANNA YOJANA CARDS AND RS 100 FOR THE REST.
• FOR CASES INVOLVING UP TO RS 5 LAKH THE CASE FEE IS RS 200, FOR CASE UP TO RS 10 LAKH THE
COURT FEE IS RS 400
• THE DEMAND DRAFT SHOULD BE MADE OUT TO THE PRESIDENT, CONSUMER DISPUTES REDRESSAL
FORUM, (NAME OF) DISTRICT.
STATE COMMISSION
• (A) DOCUMENTS OF RECORD WITH CORRECT NAME OF ALL PARTIES AND THEIR ADDRESSES;
(B) CERTIFIED COPY OF THE DISTRICT FORUM ORDER;
(C) MORE THAN FOUR ADDITIONAL COPIES FOR EACH RESPONDENT FOR FILING AN APPEAL;
(D) ANY CONDITIONAL DELAY, INTERIM ORDERS AND OTHER PETITIONS TO BE SUBMITTED
ALONG WITH AN AFFIDAVIT; AND
(E) A STATUTORY DEPOSIT OF RS 25,000 OR 50 PER CENT OF THE AWARD / COMPENSATION
AMOUNT, WHICHEVER IS LESS, IS TO BE MADE BY THE APPELLANT / OPPOSITE PARTIES.
NATIONAL COMMISSION