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8/3/2019 Final LAB Ppt (1)
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Presented By:Hiteshi Brahmbhatt (8)Hardik Chokshi (9)
Kunal Patel (10)Manish Patel (11)Karishma Hotchandani (13)Sudhir Vasoya (14)Ritu Shah (15)
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Introduction
● Caveat emptor rule ( let the buyer beware) in sale of goods act of 1930, sprout the root of consumer interestprotection.
● United nations passed resolution of consume protectionin april 1985
● In India 1986 was the enactment of consumer protectionact
● Aimed at providing simple, quick, and cheaper protection of consumers interest
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● The law relating to consumer protection is containedin the consumer protection Act ,1986.The Actapplies to all goods and services .The centralgovernment may however by notification publishedin the official Gazette exempt any goods or services.
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objectives
● Better protection of interests of consumers
● Protection of rights of consumers
- Right to be protected against marketing of goods or services which are hazardous to life and property
- To be informed about the quality, quantity, potency,
purity, standard and price of goods or services so as toprotect the consumers against unfair trade practices
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-The right to be assured, where ever possible, access
to goods and services at competitive prices
- The right to be heard and to be assured that
consumers interest will receive due consideration atappropriate forums
- The right to seek redresses against unfair trade
practices or restrictive trade practices or unscrupulousexploitation of consumers
- Right to consumer education .
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1) Right to Satisfaction of basic needs: To have access to basic essentialgoods and services including adequate food, clothing, shelter, healthcare,education and sanitation.
2) Right to Safety: To be protected against products, processes and services
that are hazardous to health or life.3)
Right to Information: To be given facts needed to make informed choiceand to be protected against misleading advertisements and labeling.
4)Right to Choice: To be able to select from a range of products and services
offered at competitive prices with an assurance of quality.5) Right to Representation: To have consumer interests represented in the
development of products and services and in the making and execution of government policy.
6)Right to Redressal: To receive a fair settlement of just claims, including
compensation for substandard goods or unsatisfactory services.7) Right to Consumer Education: To acquire knowledge and skills needed to
make informed choices about goods and services while being aware of basic consumer rights and responsibilities.
8)Right to a Healthy Environment: To live in an environment which is safe to
the well being of the present and future generations.
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Scope of the Act● Applies to whole of the state Except the state of Jammu
and Kashmir ● Applies to all type of goods and services, public utilities &
public sector undertakings
● All types of complains relating to goods ,unfair trade
practice● Remedies under this act is same as those in other laws.
● A suit pending in civil court cannot be heard in consumer court
● Consumer forums have the power to adjudicate disputes,but they do not have trappings of a court
● The consumer court powers are limited
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"consumer" means any person who—
● (i) buys any goods for a consideration
● which has been paid or promised or partly paidand partly promised, or under any system of deferred payment
● includes any user of such goods other than the
person who buys such goods for consideration paid or promised or partly paid or partlypromised, or under any system of deferredpayment when such use is made with the
approval of such person, but does not includea person who obtains such goods for resale or for any commercial purpose; or
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● (ii) hires or avails of any services for aconsideration 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 anysystem of deferred payment, when suchservices are availed of with the approval of the
first mentioned person but does not includea person who avails of such services for any commercial purposes;
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Definitions. - In this Act,
“Appropriate laboratory” means a laboratory or organisation—
● (i) recognised by the Central Government;
● (ii) recognised by a State Government, subjectto such guide-lines as may be prescribed by the
Central Government in this behalf; or ● (iii) any such laboratory or organisation
established by or under any law for the timebeing in force, which is maintained, financed or
aided by the Central Government or a StateGovernment for carrying out analysis or test of any goods with a view to determining whether such goods suffer from any defect;
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"branch office" means—
● (i) any establishment described as a branch by
the opposite party; or ● (ii) any establishment carrying on either the
same or substan-tially the same activity as thatcarried on by the head office of the
establishment.
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complainant" means—
(i) a consumer; or
(ii) any voluntary consumer association registeredunder the Companies Act, 1956 (1of 1956)or under any other law for the time being in force; or
(iii) the Central Government or any State
Government,(iv) one or more consumers, where there arenumerous consum-ers having the same interest;
(v) in case of death of a consumer, his legal heir or representative; who or which makes a complaint
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4)complaint" means any allegation inwriting made by a complain-ant that—
● (i) an unfair trade practice or a restrictivetrade practice has been adopted by anytrader or service provider;
● (ii) the goods bought by him or agreed tobe bought by him; suffer from one or moredefects;
● (iii) the services hired or availed of or
agreed to be hired or availed of by himsuffer from deficiency in any respect;
●(iv) a trader or service provider, as the
case may be, has charged for the
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● “consumer dispute" means a dispute wherethe person against whom a complaint has beenmade, denies or disputes the allega-tions
contained in the complaint.● "defect" means any fault, imperfection or
shortcoming in the quality, quantity, potency,purity or standard which is required to be
maintained by or under any law for the timebeing in force under any contract, express or implied or as is claimed by the trader in anymanner whatsoever in relation to any goods;
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deficiency" means any fault, imperfection,shortcoming or inade-quacy in the quality, natureand manner of performance which is required to bemaintained by or under any law for the time beingin force or has been undertaken to be performedby a person in pursuance of a contract or otherwise in relation to any service.
District Forum" means
a Consumer Disputes Redressal Forum
established under clause (a) of section 9.
10) d " d d fi d i th S l f
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10)goods" means goods as defined in the Sale of Goods Act, 1930 (3 of 1930).
9) “manufacturer” means a person who—
(i) makes or manufactures any goods or part thereof; or
(ii) does not make or manufacture any goodsbut assembles parts thereof made or
manufactured by others; or
(iii) puts or causes to be put his own mark on anygoods made or manufactured by any other
manufacturer; ● Explanation. — Where a manufacturer dispatches any goods or part thereof to anybranch office maintained by him, such branch
office shall not be deemed to be the
11) " b " i l d th P id t d
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11) "member" includes the President and amember of the National Commission or a StateCommission or a District Forum, as the case may
be.12)"National Commission" means the NationalConsumer Disputes Redressal Commission
established under clause (c) of section 9.● 12) notification" means a notification published
in the Official Gazette.
13)"person" includes,—
(i) a firm whether registered or not;
(ii ) a Hindu undivided family;
14)" ib d" ib d b l
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14)"prescribed" means prescribed by rulesmade by the State Gov-ernment, or as the casemay be, by the Central Government under this
Act;●15) regulation” means the regulations made
by the National Commission under this Act;
16)“restrictive trade practice” means a tradepractice which tends to bring about manipulationof price or conditions of delivery or to affect flow
of supplies in the market relating to goods or services in such a manner as to impose on theconsumers unjustified costs or restrictions andshall include—
● (a) delay beyond the period agreed to by a
17)” i " i f
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● 17)” service" means service of anydescription which is made avail-able topotential users and includes, but not limited to,
the provision of facilities in connection withbanking, financing insurance, transport,processing, supply of electrical or other
energy, board or lodging or both, housingconstruction, entertainment, amusement or thepurveying of news or other information, butdoes not include the rendering of any service
free of charge or under a contract of personalservice;
18) “goods and spurious goods and services”
mean such services which are claimed to be
19) "St t C i i " C
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19) "State Commission" means a Consumer Disputes Redressal Commission established in aState under clause (b) of section 9;
20)"trader" in relation to any goods means a
person who sells or distributes any goods for saleand includes the manufacturer thereof, andwhere such goods are sold or distributed in
package form, includes the packer thereof;
21)" f i t d ti " t d
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● 21)"unfair trade practice" means a tradepractice which, for the purpose of promotingthe sale, use or supply of any goods or for the
provision of any service, adopts any unfair method or unfair or deceptive practiceincludingany of the following practices, namely;—
● the practice of making any statement, whether orally or in writing or by visible representationwhich,—
● (i) falsely represents that the goods are of aparticular standard, quality, quantity, grade,composition, style or model;
● (ii) falsely represents that the services are of a
particular standard, quality or grade;
t i ll i l d th bli i
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● materially misleads the public concerningthe price at which a product or likeproducts or goods or services, have been
or are, ordinarily sold or provided, and, for this purpose, a representation as to priceshall be deemed to refer to the price at
which the product or goods or serviceshas or have been sold by sellers or provided by suppliers generally in therelevant market unless it is clearly
specified to be the price at which theproduct has been sold or services havebeen provided by the person by whom or
on whose behalf the representation is
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CONSUMER PROTECTIONCOUNCILS
● Central Level
● State Level
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Central Consumer ProtectionCouncil
● The Central Government may, bynotification, establish with effect from
such date as it may specify in suchnotification, a council to be known asthe Central Consumer Protection
Council
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Consists of…..
● the Minister in charge of consumer affairs in the Central Government, who
shall be its Chairman● such number of other official or non-
official members representing such
interests as may be prescribed
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Procedure for meetings of theCentral Council
● The Central Council shall meet as and whennecessary, but at least one meeting of the
council shall be held every year ● The Central Council shall meet at such time
and place as the Chairman may think fit andshall observe such procedure in regard to
the transaction of its business as may beprescribed
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Objects of the central council(Sec.6)
● a) The right to be protected against themarketing of goods and services which
are hazardous to life and property.
● b) The right to be assured ,where ever
possible ,access to a variety of goodsand services at competitive price
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● c) The right to consumer education.
● d) The right to be heard and to be assuredthat consumer interests will receive dueconsideration at appropriate forums.
● e) The right to be informed about the quality ,quantity,potency,purity,standard and price of goods or services so as to protect the
consumer against unfair trade practices.
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State and district Consumer Protection Councils
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The state consumer protectioncouncils(Sec.7and 8)
● Members :-
● Chairman:-The minister in charge of
consumer affairs of the stategovernment.
● Such number of other official or non-
official members representing suchinterests as may be prescribed by thestate government.
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● Meetings:-
Number of meetings:-Not less then 2 meetings
every year Time and place:- Depends on the chairman
● Objective:-
To promote and protect within the statesThe rights of the consumer as laid down in
Sec(6)
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The district consumer protectioncouncil
● Members:-
District collector is the Chairman
Other official and non-official members areappointed by the state government
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● Meetings:-
Number of meetings:- not less then 2
meetingsTime and place:- as decided by thechairman
Objective:-To protect and preserve the right of the
consumer within the district laid down
under the Sec(6).
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Nature and scope of remedies &State commission
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Nature and scope of remediesUnder the Act (sec. 14)
● In case the goods complained againstsuffer from any of the allegations
contained in the complaint about theservices are proved, the districtforum/the state commission may pass
one or more of the following orders;
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● To remove the defects pointed out by the appropriatelaboratory from all the goods in question.
● To replace the goods of similar description which shall befree from defect.
● To discontinue the unfair trade practice or restrictivetrade practice or not to remove them.
● To withdraw the hazardous goods from being offered for sale.
● In the case of misleading advertisements the other partyhas to pay the cost of the corrective advertisements.
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State commission ( secs16,17,17A and 17B)
● Composition (sec. 16)
● The state commission should consist the
following;● A. President; He shall be a person who is or
was a judge of the high court. Hisappointment can be made only after
consultation with the chief justice of highcourt
● B. Members; there shall not be less than twoor not more than the number specified, oneof them should be a woman.
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● The members should have thefollowing qualifications;
● 1.Not less than the age of 35.
● 2.the person should possess abachelor degree from any recognized
university.
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Complaint……..
● A complaint is any allegation in writing made by acomplainant that, an “unfair trade practice” or a
“restrictive trade practice” has been adopted byany trader.
● Under sec2(1)c of consumer protection act, Acomplaint must be made with a view to obtainingany relief provided.
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● The consumer to whom the goods are sold or delivered, or agreed to be sold or delivered , or the service has been provided, or agreed to beprovided’
● Any recognized consumer association,regardless of whether the consumer is a
member of such association or not.
Who can file a complaint ??
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● One or more consumer , where there arenumerous consumer having the same interestwith permission of the district forum on behalf of or for the benefit of all consumer so interested.
● The state or central govt. either its individualcapacity or as a representative of the interest of the consumer in general.
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COMPLAINT RELATING TO GOODS
● District Forum shall refer a copy of the complaintto the opposite party mentioned in thecomplaint.
● It shall direct the opposite party to give hisversion of the case within 30days.
(extension not exceeding 15days)
Procedure on admission of Complaint
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DENIAL OF ALLEGATION BY THE OPPOSITEPARTY
● If the opposite party on receipt of a complaintreferred to him denies/disputes the allegationscontained in the complaint or fails to represent
his case within time given by the District Forum,it proceeds to settle the dispute in the followingmanner:
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1. Reference of sample laboratory where thecomplaint alleges a defect in the goods which
cannot be determined without proper analysis or test of the goods.
In such a case District Forum shall
● Obtain a sample of goods from the complainant,seal it & sends it to the lab for analysis.
● Report within a period of 45 days
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1. Deposit of fees
The District Forum may require the complainant todeposit to the credit of Forum such fees to carryout appropriate tests.
3. Remission of fees to lab & forwarding of report to
opposite partyThe District Forum shall remit the amount of feedeposited to its credit to the appropriate lab. It shallalso forward a copy of the report along with suchremarks to the opposite party.
4 Obj ti b f th ti
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4. Objections by any of the parties
If any of the parties disputes the correctness of thefinding of the appropriate lab, the forum shall
require the objective party to submit in writing hisobjections.
5. Reasonable opportunity to parties of being heard
and issue of order District Forum shall give opportunity to the
● Complainant as well as to the opposite party of
■ Being heard as to the correctness of thereport
■ As to the objection made in
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COMPLAINT RELATING TO SERVICES
● Similar to Complaint relating to goods.
● District Forum shall refer a copy of the complaintto the opposite party mentioned in the complaint.
● It shall direct the opposite party to give hisversion of the case within 30days.
(extension not exceeding 15days)
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DENIAL OF ALLEGATION BY THE OPPOSITEPARTY
● Similar to previous one
● If the opposite party on receipt of a complaintreferred to him denies/disputes the allegations
contained in the complaint or fails to representhis case within time given by the District Forum,it proceeds to settle the dispute in the followingmanner:
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1. Settlement of dispute
“Ex parte” meaning "from (by or for) one party“
An ex parte decision is one decided by a judge without requiring all of the parties to thecontroversy to be present.
● Ex parte on the basis of evidence brought to itsnotice by the complainant & the opposite party,where the opposite party denies or disputes the
allegations contained in the complaint.
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● Ex parte on the basis of evidence brought to itsnotice by the complainant where the opposite
party omits or fails to take any action torepresent his case within the time given by theForum
● Where the complainant fails to appear on thedate of hearing before the District Forum, it mayeither dismiss the complaint for default or decideit on merits.
2 Death of a complainant
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2. Death of a complainant
In the event of death of a complainant who is aconsumer or of the opposite party against whomthe complainant has been filed, the provision of Order XXII of the First Schedule to the Code of
Civil Procedure, 1908 shall apply subject to themodification that every reference therein to theplaintiff & the defendant shall be constructed asreference to a complainant or the opposite party,
as the case may be.
Ti f ithi hi h l i t
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Time frame within which a complaint canbe filed
● Section 24A of the Act provides that a consumer dispute can be filed within two years from thedate on which the cause of action arises.
● Appeals are required to be filed within 30 daysfrom the date of receipt of the court's order.
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● If the complaint does not require
testing/analysis – 3months from the dateof receipt notice by the opposite party
● Within 5months, if it requiresanalysis/testing.
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● It may be noted that these time frames are notabsolute limitations. If the Consumer Forum is
satisfied that there was sufficient cause for notfiling the complaint within the prescribed period,it can entertain a complaint beyond limitationtime.
● However the Forum must record the reasons for condensation of delay.
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STATE COMMISSION &NATIONAL COMMISSION
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Qualifications for appointment asmember of the state commission
● It is same those for a district forum.
● Selection commission for appointment
is also similar to that of district forum.● Appointment of state commission is
done by the state government on
recommendation of the president of thestate commission depending on thework load.
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Continued..
● State commission consist of the
president and one or more members.● Decisions are taken on the basis of
majority.
Jurisdiction of state
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Jurisdiction of statecommission
1. Monetary jurisdiction
● Deals with complaints only for which the
value does not exceed 1crore.Appellate jurisdiction
● It can entertain appeals against any order of district forum within the state.
● No appeal by anyone who has been requiredto pay any amount by order of district forumshall be entertained unless he has deposited50% of the amount or 25000 which ever isless.
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Continued..
2. Supervisory jurisdiction
● Can ask for records or pass an order
for any pending dispute in the districtforum within the state.
Territorial jurisdiction of the state commission
can be invoked in the same grounds as that of the district forum under section 11(2)
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Continued..Transfer of cases
On the application of a complainant, or of itsown motion, the state commision may, at any
stage of the proceeding, transfer any complaintspending before the district forum to another district forum within the state if the interest of
justice so requires.
Circuit benchesState commission ordinarily functions in thestate capital, but may be required to perform itsfunctions at any other place as the state
government may, in consultation with the state
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Continued..
Tenure
The term of office of a member is mostly 5
years or 65 years of age which ever isearlier.
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National commission
Section 9 empowers the centralgovernment to establish national
consumer disputes RedressalCommission.
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Composition1. President
He has to be a person who is or has been theJudge of the Supreme Court. His appointment
shall be made by the Central Government inconsultation by the Chief Justice of India.
2. Members
There shall be not less than 4 and not more
than such a number of members as may beprescribed, processing the qualifications as areprescribed for a member of the StateCommission.
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● Every member of the National Commission shallhold office for a term of five years or up to the age
of seventy years, whichever is earlier:● a member shall be eligible for re-appointment for
another term of five years or up to the age of seventy years, whichever is earlier
● A member may resign his office in writing under hishand addressed to the Central Government and onsuch resignation being accepted, his office shallbecome vacant and may be filled by appointmentof a person possessing any of the qualificationsmentioned in sub-section (1)
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● Subject to the other provisions of this Act,
the National Commission shall have jurisdiction—
● (a) to entertain—
● (i) complaints where the value of the goodsor services and compensation, if any,claimed exceeds rupees one crore; and
● (ii) appeals against the orders of any StateCommission; and
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● (b) to call for the records and pass
appropriate orders in any con-sumer dispute which is pending before or hasbeen decided by any State Commissionwhere it appears to the National
Commission that such State Commissionhas exercised a jurisdiction not vested init by law, or has failed to exercise a
jurisdiction so vested, or has acted in theexercise of its jurisdiction illegally or withmaterial irregularity.
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● Any person, aggrieved by an order made
by the National Commission in exercise of its power may prefer an appeal againstsuch order to the Supreme Court within aperiod of thirty days from the date of the
order:● Provided that the Supreme Court may
entertain an appeal after the expiry of the
said period of thirty days if it is satisfiedthat there was sufficient cause for notfiling it within that period.
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Tenure and
Removal of President or
Members (Rule 13)
Tenure
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Tenure● Every member of the national commission
shall hold the office for 5 years or up to theage of seventy years, whichever is earlier.
● A member shall be eligible for reappointment
for another term of 5 years or up to the ageof seventy years, whichever is earlier.
● The reappointment is to be made on thebasis of recommendation of the selection
committee.
Removal of president or members(rule 13)
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Removal of president or members(rule 13)
● Has been adjudged an insolvent.● If any conviction of an offence,
● Physically or mentally incapable of acting
as a president or member, or ● Has acquired such financial or other
interest as is likely to affect prejudicially
his function as the president or member,or
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● Has so abused his position as to render
his continuance in office prejudicial topublic interest, or
● Remains absent in three consecutivesittings except for reasons beyond hiscontrol.
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