Consumer protection act , 1986

Name ketan rana

Enrollment no. a3221514005
Program bba llb (h) 2014 2019

INTRODUCTION
Consumer rights are an integral part of our
lives like the consumerist way of life. We have all made use of them
at some point in our daily lives. Market resources and influences
are growing by the day and so is the awareness of ones consumer
rights. These rights are well defined and there are agencies like the
Government, consumer courts and voluntary organizations that
work towards safeguarding. While we like to know about our rights
and make full use of them, consumer responsibility is an area
which is still not demarcated and it is hard to spell out that all the
responsibility is that a consumer is supposed to shoulder.
Consumer Protection Act, 1986 is an important
Act in the history of the consumer movement in the country. The
Act was made to provide for the better protection and promotion of
consumer rights through the establishment of consumer councils
and quasi-judicial machinery. It is mile stone in the history of socioeconomic legislation and directed towards public welfare and public
benefits.
The CPA was passed by the Lok Sabha on 5th
December 1986 and Rajya Sabha on 10th December, 1986 and
assented to by the president in the Gazette of India.

Extra Part II: Section 1 dated 26.12.1986.and

at PP 1-12 called, the CPA 1986 (Act No.66 of 1986) and the
preamble states that, An Act provide for better protection of the
interest of the consumers and for that purpose to make
provisions for the establishment of consumer councils and
other authorities for the settlement of consumers dispute and
for matters connected therewith.
Under the Act, consumer disputes redressal
agencies have been set up through out the country with the District
Forum at the District level, State Commission at the State level and
National

Commission

at

national

level

to

provide

simple,

inexpensive and speedy justice to the consumer with complaints

against defective goods, deficient services and unfair and restrictive
trade practices1.
The Law relating to consumer protection in
India is at recent origin and is developing slowly, day by day, with
the

pronouncement

of

orders

passed

by

the

commissions

constituted under the Act all over India and the National

Commission2. However the presence of some protective Laws for the

benefits of consumer in the ancient culture cannot be denied.

MEANING
As the preamble of CPA 1986 reflect; this socioeconomic Law was enacted to provide for the better protection of the
interest of consumers and for that purpose the CPA 1986 seeks to
provide speedy and simple redressal to consumer dispute. In
Charan Singh v. Healing Touch Hospital the Honble Supreme Court
has made important observations on the object of the act.

DEFINITION
S.2(1)d of the act defined consumer as Consumer means any
person who-

(i)Buys any goods for a consideration which has been paid or

promised or partly paid and party 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 person, but does not include with the approval of
self person, but does not include a person who obtains such goods
for resale or for any commercial purpose or
(ii)

{Hires for avails of} any services for a consideration which has

been paid promised or partly paid or partly promised or under any

system of differed payment and includes any beneficiary of such
services other than the person. [hires or avails of ] the services for
consideration paid or promised or partly paid or partly promised,
under any system of differed payment, when such services are
availed or with the approval the first mentioned person.

OBJECTIVES
(a) To assist countries in achieving or maintaining adequate
protection for their population as consumers;
(b) To facilitate production and distribution patterns responsive to
the needs and desires of consumers;
(c) To encourage high levels of ethical conduct for those engaged in
the production and distribution of goods and services to
consumers;

(d) To assist countries in curbing abusive business practices by all

enterprises at the national and international levels which adversely
affect consumers;
(e) To facilitate the development of independent consumer groups;
(f) To further international cooperation in the field of consumer
protection;
(g) To encourage the development of market conditions which
provide consumers with greater choice at lower prices.

FEATURES
Following are the features of the Act are:
1) The Act aims to provide better and all-round protection to
consumers.
2) In terms of geographical application, it applies to the whole of
India except the State of Jammu and Kashmir.
3) It applies to all goods and services unless otherwise expressly
notified by the Central Government.

4) It is indeed a very unique and highly progressive piece of social

welfare legislation and is acclaimed as the magna carta of Indian
consumers. The Act has made the consumer movement really going
and more powerful, broad-based and effective and people oriented.
In fact, the Act and its Amendment in 1993 have brought fresh
hopes to the beleaguered Indian consumer. This is the only law
which directly pertains to market place and seeks to redress
complaints arising from it. Even prior to 1986, there were in force a
number of laws which could be interpreted in favour of the
consumers. But, this Act is most powerful piece of legislation the
consumer has had before 1986. Its provisions are very
comprehensive and highly efficacious.
In fact, it provides more effective protection to consumers than any
corresponding
legislation in force even in countries which are considered to be
much more advanced.
5) It provides effective safeguards to the consumers against different
types of exploitation such as defective goods, unsatisfactory (or
deficient) services and unfair trade practices.

CONSUMER RIGHTS
Consumers in the advanced countries, obviously,
are much more conscious of their rights than in countries like
India.

1. Right against exploitation by unfair trade practices.

2. Right to protection of health and safety from the goods and
services the consumers buy or are offered free.
3. Right to be informed of the quality and performance standards,
ingredients of the product, operational requirements, freshness
or the product, possible adverse side effects and other relevant
facts concerning the product or service.
4. Right to be heard if there is any grievance or suggestions.
5. Right to get genuine grievances redressed.
6. Right to choose the best from a variety of offers.
7. Right to physical environment that will protect and enhance the
quality of life.

STRUCTURE OF CONSUMER PROTECTION ACT

The Act envisages a three- tier quasi-judicial machinery at the

National, State and District levels.
National Consumer Disputes Redressal Commission - known as
"National Commission" deals with complaints involving costs and
compensation higher than Rs. One Crore.
State Consumer Disputes Redressal Commissions - known as
"State Commission, deals with complaints involving costs and
compensation higher than Rs. Twenty Lakhs and less than Rs.
One Crore.
District Consumer Disputes Redressal Forums - known as
"District Forum, deals with complaints involving costs and
compensation less than Rs. Twenty Lakhs.

CONTENTS OF CONSUMER COMPLAINT

Procedures for filing complaints and seeking redressal are simple.

There is no fee for filing a complaint before the District Forum, the
State Commission or the National Commission. ( A stamp paper is
also not required). Three to five copies of the complaint on plain
paper are required to be submitted by the complainant or his
authorized agent in person or could be sent by post to the
appropriate Forum / Commission.
A complaint should contain the following information:(a) The name, description and the address of the complainant.
(b) The name , description and address of the opposite party or
parties, as the case may be, as far as they can be ascertained;
(c) The facts relating to complaint and when and where it arose;
(d) Documents, if any, in support of the allegations contained in the
complaint.
(e) The relief which the complainant is seeking.
The complaint should be signed by the complainant or his
authorized agent.
The complaint is to be filed within two years from the date on which
cause of action has arisen.

SAMPLE COMPLAINT PETITION

For defective good
CASE : Mr. X purchases a mixer grinder from M/s Y & Co. operating in
the same town, in December 1998. Even within the warranty period of 1
year the grinder fails. M/s Y & Co. fails to rectify the defect. The
manufacturer M/s Z Ltd., was also unable to rectify the mixer grinder.
Frustrated, Mr. X finally approaches the District Forum.
COMPLAINT PETITION
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL
FORUM, <NAME OF THE DISTRICT>
Consumer Dispute Case No. ........./200 <Year of filing>
A petition under Section -11 of Consumer Protection Act
and In the mater of :
Mr. X
<Address of Mr. X>

...... Complainant
Vs.

1. Proprietor,
M/s Y & Co.
<Address of Y & Co.>
2. Managing Director,
M/s Z Ltd.,
<Address of Z>

..... Opposite Parties

To
Hon'ble President and
Members of District Forum
<Name of District>
May it please your honours :
This complaint petition is being filed on behalf of Mr. X, <Address of
X>, referred hereafter as Complainant, and is as follows :
1.0 That this complaint Petition is being filed under Sec.
2 (1)(b)(i) of the Consumer Protection Act.
2.1 That the opposite party No. 1 is engaged in the business of selling
Consumer durables like refrigerator, TV, Mixer Grinder, etc. to the
public for a consideration, apart from other activities. (Description about
the O.P.)
2.2 That the Opposite Party No. 2 is the manufacturer of 'A' brand mixer
grinders and other electrical household gadgets and that the mixer
grinders of O.P. No. 2 are sold in retail by O.P. No. 1. (Description about
the O.P)
(Narration of the incident)
.1 That on 26th December 1998 (date of purchase), the complainant
purchased one 'A' brand Mixer Grinder, Sl. No....... (Details about the
equipment purchased) manufactured by O.P. No. 2 from the show room
of O.P. No. 1, vide Cash memo No...(Cash memo /Cash receipt No.), a
photocopy of the said document is furnished at Annexure - I.
3.2 That the mixer grinder abruptly stopped functioning (Nature of
problem encountered) on 8th January 1999 (when)
and the matter was immediately reported to O.P. No. 1. As per his advice
the defective mixer grinder was handed over in their Service Centre, on

9th January 1999. A photocopy of the Service Centre receipt is

furnished at Annexure - II.
3.3 That the mixer grinder was returned back after rectification on 24th
January 1999.
3.4 That the mixer grinder was put to use on 25th January 1999. After
running hardly for 5 minutes, the mixer grinder once again totally failed.
3.5 That the Complainant immediately reported the matter to O.P. No. 1
and also complained to O.P. No. 2. Copy of the letter is furnished at
Annexure - III. (Furnish important relevant documents.)
3.6 That as per the advice of O.P. No. 1 the defective Mixer Grinder was
once again handed over to their Service Centre on 30th January 1999.
There was inordinate delay in rectifying the defect by O.P. No. 1. In
April 1999 O.P. No. 2 advised O.P. No. 1 to replace the Mixer Grinder,
Copy of the said letter is furnished at Annexure - IV.
3.7 That the O.P. No. 1 did not bother to honour the directive of O.P.
No. 2 and till date the Complainant is suffering due to non-availability of
the Mixer Grinder.
4.0 That the O.P.s had supplied defective good and they have to make
good the losses suffered by the complainant.
PRAYER
In view of the submissions contained in the preceding paragraphs, the
complainant most respectfully prays to the Hon'ble Forum to direct the
Opposite Parties to :
(a) refund the cost of the Mixer Grinder, Rs. <Cost> along with 18 %
interest ;

(b) pay a sum of Rs. 10,000/- towards the physical strain and mental
agony suffered by the complainant and his family members
(compensation) ; and
(c) pay a sum of Rs. 1,000/- towards cost of this petition (Cost) ;
for which act of kindness, the complainant shall, as is duty bound,
ever pray.
Signature
(X) (Name)
Complainant

CONCLUSION:-

I can conclude that very few consumers

Are fully aware about the rights, responsibilities and Consumer
Protection Act. Hence, it is necessary to educate them on their
rights and responsibilities as consumers, to make them vigilant,
rational and aware buyers. The government has been fruitful in
providing protection to the consumers in the real sense of the term
and served the purpose of the Act. It is hoped that further
improvement in the act would aim at even more efficiency and
render the position of the consumers much stronger in this era of
globalization and privatization where the sudden unchecked advent
of Multi National Companies has to be balanced with the protection
of the rights of the consumers by the legislature and the judiciary.