cb legal (consumer behivour)

8/14/2019 cb legal (consumer behivour)

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THE CONSUMERPROTECTION ACT,1986


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INTRODUCTION

What is consumerismGone are the days when the consumers

were treated as slaves.Shift from Sellers market to buyers

market.

Industrial development has led to the influxof various goods and services in themarket.

Consumer is the king of the market


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CONSUMER PROTECTION ACT 1986

The act was passed in LokSabha on 9thDecember,1986 and RajyaSabha on 10thDecember, 1986 and assented by thePresident of India on 24th December, 1986and was published in the Gazette of Indiaon 26th December, 1986.


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RIGHTS OF CONSUMERS

1.Regulation of Marketing Practices

2.Right to information

3.Right to safety4.Right to redress

5.Right to choose

6.Right to healthful Environment7.Right to choose


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RIGHT TO BE INFORMED

The consumers right to be protected againstfraudulent, deceitful, or misleadinginformation advertising or other practices, &to be given the facts the customer needs tomake a informed choice,

Ex:- The FDA rules that any advertisement fora prescription drug must include a brief summary Medicalese .


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RIGHT TO CHOOSE

The consumer right to assuredaccess whenever possible to avariety of products at competitiveprices.

Ex:- Homeopathic Medicine cure-all or consumer risk.


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RIGHT TO REDRESS

The right to redress is nothing butthe right to be heard or right tocomplain and express grievancesabout product failure.

Ex:- In any case of dissatisfactionconsumer can register hisgrievance in consumer court.


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RIGHT TO HEALTHFULENVIRONMENT

The consumer right to have legislationthat protects public health in the areas of

hazardous waste control toxic substancecontrol, and safe drinking water programs.

Ex:-A total of 222 industries were found polluting the Ganga by the CentralPollution Control Board.


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VAT VALUE ADDED TAX

Value added tax (VAT ), or goods andservices tax (GST ) is a consumption tax (CT)levied on any value that is added to a product.

Value added taxation avoids the cascade effectof sales tax by only taxing the value added ateach stage of production.

In principle, value added taxes apply to allcommercial activities involving the productionand distribution of goods and the provision of

services.


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IMPACT OF VAT ON CONSUMERBEHAVIOR

The "value added tax" has been criticized asthe burden of it relies on personal end-consumers of products and is therefore aregressive tax (the poor pay more, as a

percentage of their income, than the rich)In India, sales tax/VAT are a key revenue sourceas high unemployment and low per capitaincome render other income sources

inadequate.However, there is strong opposition to this bymany sub-national governments as it leads toan overall reduction in the revenue they collect

as well as a loss of some autonomy.


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EXCISE DUTY

Excise duty and consumer tax

You need to pay duties orconsumer tax on some of thegoods you use.

Excisable goods

Products containing alcohol:

beer

wine


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Tobacco for smoking, cigarettesand cigarsmineral oils (for example petrol,diesel oil and LPG) Consumer tax goodsAlcohol free drinks (fruit juice andvegetable juice, mineral water and

lemonade)Chewing tobacco and snuff Tariffs for excise andconsumer tax

The excisable oods and the


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BANNED DRUGS BUTAVAILABLE IN INDIA

A surprising lack of knowledge - Doctorscontinues to prescribe banned medicines.

The laxity on the government's part and theselfish interests of the manufacturers in not

banning drugs is a concern.

Drug and cosmetics act india Still allows somedrugs to market in India.

Lack of clinical trials in India generally mostof trails are conducted in U.S


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Some banned drugs are:

Generic name Use Reason for ban Brand name

1.Analgin Pain killer Bone marrowdepression

Novalgin

2.Furazolidone Anti-diarrhoeal Cancer Furoxone,Lomofen*

3.Nimesulide Pain-killer, fever Liver failure Nise, Nimulid

4. Nitrofurazone antibactirial Cancer Furacin

5. Phenylpropanolamine

Anti inflammatory Liverdamage,Stroke

D cold


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INFORMATION DISCLOSURE


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PRODUCT LABELLING

Awareness of consumers among product labeling andunderstanding of it depends on promotion and is positivelyrelated to income and education.

The better designed nutrition notices are, the more likely

they are to be used.Consumers agree that nutrition information increasesconfidence in the food industry, it indicates a greater concernon the part of the marketer.


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NUTRITION FACTS


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REVA SALES UP

The Indian Electronics car manufacturer Reva from REEC Bangalore hasrecently seen a boost in their sales because of the upgradations in theengine, better mileage and lower pricing though the company is currentlyhaving a yearly sale of around 3000 cars, the officials have announced thatunless starts selling 7000 cars every year it cannot cross their break evenpoint which is very important for any business and with the recent Venturecapital funding by xxxxxxxxxxx the company has upgraded their wholeproduction and manufacturing teams with plans to raise their carmanufacturing and promote the car outside India which is currentlyaccounting at 70% of the current sales.

The Reva car a 2 seator electronic battery powered car which has not seena lot of sales in India because of the limited number of power backupfacilities unlike the western countries where the government has helped

the electronic car consumers with a power option on the roads in order tohelp these companies increase the sales and decrease the pollution.


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BANKING OMBUDSMAN

RBI restrains banks from issuing unsolicited credit cards

Mumbai, July 24 (IANS) The Reserve Bank of India (RBI) has instructed allcommercial banks to refrain from issuing unsolicited credit cards andactivating them without seeking the customers consent. In a notificationissued here Thursday, the RBI has made it very clear to banks that those whoissue unsolicited credit cards, activate them and subsequently bill them willnot only have to reverse the charges forthwith, but will also pay a penaltywithout demur to the recipient amounting to twice the value of the chargesreversed.

The notification also empowers the person in whose name the card is issued toapproach the banking ombudsman who would determine the amount of compensation payable by the bank to the recipient of the unsolicited creditcard as per the provisions of the Banking Ombudsman Scheme, 2006, i.e forloss of complainants time, expenses incurred, harassment and mentalanguish suffered by him.


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BAN ON CIGARETTESMOKING

WHY CIGARETTEE SALES HAVE FALLEN

83% increase in excise duty on micro

cigarettes since 1997 Smuggling of over 150 crore cigarettes every year

Ban on smoking/cigarette advertising inseven states

Luxury tax of 15% to 20% on cigarettesales in some states

Growing prevalence of smoke-free offices

WORLD'S FASTEST CAR


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WORLD'S FASTEST CARULTIMATE AERO TO STORM

INDIAN ROADS21 Sep 2009, 0623 hrs IST, Chanchal Pal Chauhan, ET Bureau

NEW DELHI: The Ultimate Aero - the worlds fastest car capable of reaching half thespeed of a jetliner cruising at 30,000 ft - is set to debutin India with a price tag of over Rs 6 crore that will make it the costliest car sold in the country.Its maker, the US-based Shelby Super Car (SSC), has decided to launch the car inMumbai in the next few months and follow it up with a Delhi launch, said a personworking on the launch who asked not to be named. An email query sent to the USfirm on its India plans did not get a response.

India will be the third market where the car, with a recorded speed of 413

kilometres per hour (257 mph), is sold after the US and Russia.The Aero, produced only in the US, costs around $654,400 (more than Rs3 crore). Indian customers will have to pay much more for the Aerobecause of the countrys high import duties of up to 100%. The Mercedes-Benz Maybach , currently the costliest car sold in India, is priced aroundRs 5 crore.
http://economictimes.indiatimes.com/News/News-By-Industry/Auto/Automobiles/Worlds-fastest-car-Ultimate-Aero-to-storm-Indian-roads/articleshow/5035312.cmshttp://economictimes.indiatimes.com/News/News-By-Industry/Auto/Automobiles/Worlds-fastest-car-Ultimate-Aero-to-storm-Indian-roads/articleshow/5035312.cmshttp://economictimes.indiatimes.com/News/News-By-Industry/Auto/Automobiles/Worlds-fastest-car-Ultimate-Aero-to-storm-Indian-roads/articleshow/5035312.cmshttp://economictimes.indiatimes.com/News/News-By-Industry/Auto/Automobiles/Worlds-fastest-car-Ultimate-Aero-to-storm-Indian-roads/articleshow/5035312.cms


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GUJARAT HOOCH DEATHS

Gujarat had banned alcohol consumption since 1961 as a homage toMohandas Karamchand Gandhi . However bootlegged alcohol, known asHooch, is widely available, allegedly under the patronage of the localpolice.Gujarat has witnessed several occasions of alcohol poisoning , claiming

the lives of more than 400 people after the ban was enforced.To counter theliquor mafia, the state government in 1996 formed the State ProhibitionDepartment, which was dismantled in 2006 because of a shortage of policepersonnel. During the tenure of the department there were no incidents of alcohol poisoning in Gujarat. The revenue loss to Gujarat government becauseof the ban is estimated to be around Rs 30 Billion.

Alcohol poisoning

On 7 July 2009, ten people died in Behrampura after drinking spurious liquor.Theliquor was brewed in the house of Arvind Solanki, who also died afterconsuming the liquor. The death toll rose to 43 next day and crossed 120 by

July 12.276 people were admitted in various hospitals with nearly 100 of themin intensive care units .More than 1000 litres of hooch containing methanol wasbrought to Ahmedabad from Mohammadabad . [10]
http://en.wikipedia.org/wiki/Alcoholic_beveragehttp://en.wikipedia.org/wiki/Mohandas_Karamchand_Gandhihttp://en.wikipedia.org/wiki/Alcohol_poisoninghttp://en.wikipedia.org/w/index.php?title=Behrampura&action=edit&redlink=1http://en.wikipedia.org/wiki/Intensive_care_unithttp://en.wikipedia.org/wiki/Methanolhttp://en.wikipedia.org/wiki/Ahmedabadhttp://en.wikipedia.org/wiki/Mohammadabadhttp://en.wikipedia.org/wiki/2009_Gujarat_hooch_tragedyhttp://en.wikipedia.org/wiki/2009_Gujarat_hooch_tragedyhttp://en.wikipedia.org/wiki/Mohammadabadhttp://en.wikipedia.org/wiki/Ahmedabadhttp://en.wikipedia.org/wiki/Methanolhttp://en.wikipedia.org/wiki/Intensive_care_unithttp://en.wikipedia.org/w/index.php?title=Behrampura&action=edit&redlink=1http://en.wikipedia.org/wiki/Alcohol_poisoninghttp://en.wikipedia.org/wiki/Mohandas_Karamchand_Gandhihttp://en.wikipedia.org/wiki/Alcoholic_beverage


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Cybercrime

Cyber crime encompasses any criminal actdealing with computers and networks (called

hacking ). Additionally, cyber crime also includestraditional crimes conducted through theInternet . For example; hate crimes,telemarketing and Internet fraud, identity theft,

and credit card account thefts are considered tobe cyber crimes when the illegal activities arecommitted through the use of a computer andthe Internet.


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The first recorded cyber crime took place in theyear 1820. In 1820, Joseph-Marie Jacquard, atextile manufacturer in France, produced theloom. This device allowed the repetition of aseries of steps in the weaving of special fabrics.This resulted in a fear amongst Jacquard'semployees that their traditional employment andlivelihood were being threatened. Theycommitted acts of sabotage to discourageJacquard from further use of the new technology.

This is the first recorded cyber crime!


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If people are bothering you via the Internet,

you can report it at any police station. Punehas its own cyber crime cell and has a recordof taking quick action against the culprits.

The crime will be recorded if it is a cognisableoffence, and then directed to the cyber crimecell. You can call the Pune cyber crimecell on 26123346 or send a mail [email protected]
mailto:[email protected]:[email protected]


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Block the offender from your Messenger/address list

Inform everyone on your address book to block yourcurrent address as your account has been hacked

Inform the mail service providers about the misuse of your account

Make it known to the offender in clear language thatyou will not tolerate any nonsense

Communicate your intention of taking legal action if he/she does not stop even after warnings

Here are the thingsyou can do:


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Don't talk to strangers online. You never know whatmight go wrong

Be prudent in disclosing your email ID anywhere onthe Internet

Frequently change your password and your answer tothe secret question

Do not use a password that also happens to be theanswer to your secret question

on'ts:


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Do not click photographs by your mobile phones withoutpermission. You may be infringing the privacy of another.

Do not reply to sms /mms received from strangers.

Do not send obscene/pornographic text, images. SMS orMMS (multimedia messaging service) Do not transmit

obscene/ pornographic material. It is an offence underInformation Technolo act, 2000, unishable with

Do's


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Do not give your mobile numbers while chatting onINTERNET to avoid STALKING.

Do not keep your Blue tooth open to all, you mayreceive obscene/phornographic text, images and viruses.

DO not handover your mobile phone to unauthorisedservice center, to avoid CLONING.

Do's conti.


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Dont allow anyone to use your mobile in yourabsence

Note down your IMEI number

Use security pin code to avoid misuse of yourmobile phones

Anti-virus software should be loaded in the mobilephone

Mobile phone keypad should be locked after everyuse

Don'ts


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Cyber-crime can have a huge impact on abusinesss bottom line. Indian businessesbelieve that loss of revenue (75 percentversus 72 percent of global) ranks thehighest. Loss of market capitalizationranks second.

Business impact


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