CONSUMER AWARENESS PROGRAMME

Presents

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INTRODUCTION

“A consumer is the most important

visitor on our premises. He is not

dependent on us, we are on him. He is

not an interruption to our work, he is the

purpose of it. We are not doing a favor

to a consumer by giving him an

opportunity. He is doing us a favor by

giving us opportunity to serve him.”Mahatma Gandhi

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EVOLUTION OF CONSUMER PROTECTION IN INDIA

In ancient India, all sections of society

followed Dharma-shastras (“Dharma”),

which laid out social rules and norms,

and served as the guiding principle

governing human relations. The

principles of Dharma were derived

from Vedas. The smriti (tradition) and shruti

(revelation) prescribed codes to guide

the kings and rulers about the methods

of ruling the State and its subjects.

Consumer protection was also a major

concern in their writings.

Yajnavalkya Smriti

Narada Smriti

Bruhaspati Smriti

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Manu Smriti describes the social, political and economic conditions of ancient society. It prescribes a code of conduct to traders and specified punishments to those who committed certain crimes against the buyers.

Kautilya’s Arthashasthra, though its primary concern is with matters of practical administration but consumer protection occupies a prominent place in Arthashasthra. It describes the role of the State in regulating trade and its duty to prevent crimes against consumers.

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During the Mughal period, the prices of commodities were determined as per local conditions. During the rule of Alauddin Khalji, strict controls were established in the market places.

The grains used to be sold at prices fixed by the Sultan. There was a mechanism for price-enforcement in the markets. Similarly, shop-keepers were punished for under weighing their goods and selling false goods etc.

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During British regime, various laws were enacted such as Sale of Goods Act,1930 (“SGA”); Indian Contract Act,1872 ; Drugs and Cosmetic Act,1940 and Agriculture Procedure (Grading & Marketing Act),1937 for the benefits of consumers.

Until enactment of Consumer Protection Act, 1986, the SGA was the exclusive source of consumer protection in India.

The SGA provided exceptions to the principle of Caveat emptor (“let the buyer beware”), thus granted main protection to the consumers.

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The orthodox legal framework, proved inadequate and cumbersome, hence a need for specific law for protection of consumer interest was felt.

As a result Consumer Protection Act, 1986

(“CPA”) was enacted to provide simple, swift and cost effective redressal mechanism to the consumers.

The Indian legal system experienced a revolution with the enactment of the Consumer Protection Act, 1986.

CPA has instilled confidence among the common individuals.

The way in which the consumer forums are flooded with cases creates an impression of “judicial populism” in India in the arena of consumer justice. © RallyMark

Legal

CONSUMER RIGHTS IN INDIA

1. Right to SAFETY against hazardous goods and services.

2. Right to be INFORMED about quality, quantity, purity, standard and price of goods and services.

3. Right to CHOOSE from varieties of goods and services at competitive price.

4. Right to BE HEARD.

5. Right to seek REDRESSAL.

6. Right to CONSUMER EDUCATION.

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INFRINGMENT OF CONSUMER RIGHTS

1. Adulteration

E.g.: Adding of water to milk

2. Defective goods

E.g.: Sale of substandard/defective goods.

3. Deceptive products

E.g.: Selling of products similar to branded

products.

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4. Unauthorized use of well known marksE.g. : ISI mark without number.

5. Use of non standard weights:

E.g. using weight which are not in accordance with the Standard Weights & Measurements Act,1976

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PROTECTION OF RIGHTS UNDER

CONSUMER PROTECTION ACT, 1986

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CONSUMER [Section 2(1)(d)]

A person who buys any goods, hires or avails any services for a consideration which has been paid or promised or partly paid and partly promised or under any system of deferred payment.

WHO IS NOT A CONSUMERAny person who:

1. Uses such goods or service for commercial purpose.

2. Gets the goods/service free of cost.

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COMPLAINT [S. 2(1)(c)]

1. Any unfair or restrictive trade practice has been adopted by the trader;

2. The goods bought by him or agreed to be bought by him suffer from one or more defects;

3. The services hired or availed or agreed to be hired or availed of by him suffer from some deficiency;

4. The trader has charged for the goods or services a price higher than the price fixed or displayed on the goods or any package containing such goods.

5. Goods which will be hazardous to life and safety when used, are being offered for sale.

“Complaint” means any allegation in writing made by a complainant that:

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LEGAL REDRESSAL MACHINERIES

DISTRICT FORUM

STATE COMMISSION

NATIONAL COMMISSION

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POWERS OF FORUM/COMMISSIONS

District Forum

State Commission National Commission

A complaint can be made when the value of goods and services along with compensation claimed does not exceeds Rs. 20 lakh.

A complaint can be made when the value of goods and services along with compensation claimed exceeds Rs. 20 lakh but does not exceed Rs. 1 crore.

A complaint can be made when the value of goods and services along with compensation claimed exceeds Rs. 1 crore.

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RELIEFS AVAILABLE AGAINST COMPLAINT

The Forum/ Commission may pass order:

1. To remove the defect pointed out by the appropriate laboratory from the goods in question;

2. To replace the goods with new goods of similar description which shall be free from any defect;

3. To return to the complainant the price, or, as the case may be, the charges paid by the complainant;

4. To pay such amount as may be awarded by it as compensation to the consumer for any loss or injury suffered by the consumer due to the negligence of the opposite party;

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6. To remove the defects or deficiencies in the services in question;

7. To discontinue the unfair trade practice or the re strictive trade practice or not to repeat it; and

8. Not to offer the hazardous goods for sale and to withdraw the hazardous goods from being offered for sale.

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PENALTY FOR NON COMPLIANCE OF ORDER OF FORUM AND COMMISSIONS

Punishable with imprisonment for a term which shall not be less than one month but which may extend to three years, or with fine which shall not be less than two thousands rupees but which may extend to ten thousand

rupees, or with both.

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VEXATIOUS COMPLAINTS

Where the District Forum, State Commission or the National Commission, finds a complaints frivolous/ vexatious, it shall dismiss the complaint and pass that the complainant shall pay to opposite party such cost not exceeding Rs. 10,000( Rupees Ten Thousand ).

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GUIDELINES FOR SUCCEEDING IN A CONSUMER DISPUTE

FIVE MANTRAS:

1. Responsibility of being self conscious in carrying out transaction;

2. Proof of transaction;

3. Proper use of products and availing of services in right way;

4. Proper and justified claim; and

5. Proper representation at redressal Machineries.

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WHERE CAN WE GO FOR HELP

1. RallyMark Legal, A law firm committed for protection of consumer’s right. Contact no.- 0522-3075100

2. A National Consumer Helpline (NCH) . Contact no.-1800-11-40003. A CORE (Consumer Online Research and

Empowerment). Contact no.-1800-180-4566

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AN AWARE CONSUMER IS AN ASSET TO THE NATION

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RallyMark Legal Advocates and Legal Consultants

Premier Building, 9 Shahnajaf Road, Lucknow-226001Website: www.rallymarklegal.com Phone: 0522-3075100Mob: 80520 45000, 9838597775E-Mail: rupendraporwal@rallymarklegal.com, porwal_acs@yahoo.com

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