The Consumer Protection Act 1986

Course-LL.B-II

Subject-Law of Torts-II

Unit-III

1

Background

• Consumer neglected with dominance of Producer,Trader or businessman

• “Consumer is the King” got statutory recognition in India.

• However redressal through Court was time consuming & Costly process

Conti…

• Need for Statute for Consumer Protection was felt.

• UN passed a resolution in 1985 to have a Law for protection of consumer interests & rights.

• The Consumer protection Act Enacted in 1986• Effective from 15.04.1987.• Supplemented by Consumer protection Act

1987.

Objective

• To provide for better protection of interests of consumers & for that purpose to make provisions for the establishments of consumer Councils.

• To protect Rights of Consumers.

Rights of Consumers

• To be protected against marketing of goods which are hazardous to life & property

• Right to be informed about the quality, quantity,purity,standered etc.

• Right to assure access to variety of goods at competitive prices.

• Right to be heard & to assured to get good consideration at appropriate forums.

• Right to seek redressal against unfair trade practices• Right to consumer Education

Extent of Consumer Protection

• Enrishrines the rights of a consumer to be informed about the

1.Quality,quantity,potency,price etc of goods

2.Protection against unfair trade practices, to seek inexpensive and redressal of grievances

Who is Consumer?

• Consumer is a Person who Buys any “goods” for a consideration Hires or avails of any “Services” for consideration “uses the goods” with the approval of the person who

has bought the goods for consideration “is beneficiary of services” with the approval of the

person who has hired the services for consideration.

Who is not a Consumer?

• He obtains the goods for resale or for any commercial purpose

• Buys goods without consideration• Hires or avails of any services without the approval of the

person who has bought the goods for consideration• Is beneficiary of services without the consent of the person

who has hired the services for considerations.• He obtains service under a contract of personal service.• He avails of services for any commercial purpose.

Consumer Dispute

• A dispute where the person against whom a complaint has been made, denies or disputes the allegations contained in the complaint.

• Separate allegations may form separate finding on each dispute.

Who can be a Complainant?

• A Consumer• A Registered Consumer Organization• Central Government or State Government• One or more consumer for and on behalf of

other consumers similarly affected.

What is a Complaint?

• Any allegation in writing made by a complainant that

1. An unfair or restrictive trade practice adopted by trader or service provider

2. The goods bought by him suffers from defects

3. Services hired or availed or agreed to be do so suffer from Deficiency

4. A trader or Service provider has charged for the goods “A price in excess”.

5. Goods & services which will be hazardous to life & safety.

Scope of Different Complaints

1. Unfair Trade Practice

2. Restrictive Trade Practice

3. Defects

4. Deficiency

5. Excessive Price

6. Hazardeous Goods

1.Unfair Trade Practice

• A Trde practice which,• For the purpose promoting sale ,use or supply

of goods or for the provision of any service,• Adopts unfair method or unfair or deceptive

practice• Including any of the following practices,

UTP(cont.)

1.Making Statements:

Falsely represent goods are of a particular quality Falsely represent any second hand or old goods as new Represents having sponsorship which such goods do not have Represents seller has a sponsorship which he does not have Makes a false or misleading representation of goods Gives adequacy of the performance that is not based on test. Materially misleads the public concerning the piece.

UTP(cont.)

2. Publication

3.Gifts and Prizes

4.Sale Or Supply of Goods

5.Hoarding of Goods

6.Spurious Goods

2.Restrictive Trade Practices

• It tends to bring about manipulation• It Shall Include

1.Delay beyond the period agreed to by a trader in supply of goods or services which has led to increase in price.

2.Any trade practice which require a consumer to buy , hire or avail of any good s as condition precedent to buying

3. Deficiency

• Any fault,imperfaction,ShortComing or inadequacy

• In the quality, nature and manner of performance

• Which is required to be maintained by or under any law

• Has been undertaken by a person to be performed

• Otherwise in relation to any service:

4.Defects

• 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 time being in force• Under any contract express or implied• As is claimed by the trader in any manner

whatso ever in relation to any goods

5.Excessive Price

• A price in excess of the price1. Fixed by or under any law for the time being in

force2. Displayed on the goods or any package

containing such goods3. Displayed on the price list exhibited by him

under existing law4. Agreed between parties

6.Hazardous Goods

• Goods which are hazardous to life & safety,

• Traders shall display information regarding the content, manner and effect of such goods

Thank you

References

• 1. https://lh4.ggpht.com/8-nIhmMryH442Nw-g78kL4K4YNsTtgcOebMD-ALs3S2j-dXMFwIKsrJbgwzRDaArdUfdqg=s170

• Ratan Lal & Dhiraj Law-The Law of Torts (1997) Universal, Delhi