4.1 Salient feature definition of consumer | unit 4 the consumer protection act

BRF

Unit 4

The consumer protection Act 1986

4.1 Salient feature definition of consumer

INTRODUCTION

A consumer is the one who assumes to be treated like a King as they carry business to the vendor. Previously “consumer was requested to beware” but lately fingers are pointed to seller “let seller be beware” as thanks to policies introduced, authorities laws, consumer protection, NGO and thus the increased competition within the market.

Consumer Protection may be a term given to a exercise wherein we'd like to guard the consumer from the unfair practice, teaching them about their rights and responsibilities and also redressing their grievances.

In today’s world, the protection of the consumer is regarded to be of utmost importance. All round the world, mechanisms are pondered upon so as to uphold the satisfaction of the consumer.

The Consumer Protection Act was passed in 1986 and it came into force from I July, 1987. the most objectives of the Act are to supply better and every one round protection to consumers and effective safeguards against differing types of exploitation like defective goods, deficient services and unfair trade practices. It also makes provisions for easy , speedy and cheap machinery for redressed of consumer's grievances.

SALIENT FEATURES

• It applies to all goods, services and unfair trade practices unless specifically exempted by the Central Government.

• It covers all sectors-private, public or co-operative.

• It provides for establishment of consumer protection councils at the central, state and district levels to market and protect the rights of consumers and a three-tier quasi-judicial machinery to affect consumer's grievances and disputes.

• It provides a statutory recognition to the six rights of consumers.

THE MAIN OBJECTIVES OF THE CONSUMER PROTECTION ACT

Providing better and every one round protection to consumer.

Providing machinery for the speedy redressal of the grievances.

Creating framework for patrons to hunt redressal.

Providing rights to consumers.

Safeguarding rights of Consumers.

To ensure fair, competitive and responsible markets that employment well for consumers and promote ethical business practices.

To promote and protect economic interest of consumers.

To improve access to information that consumers require, to form knowledgeable choices consistent with their individual needs.

To protect consumer from hazards.

4.2 Grievance redressal machinery

Three tier consumer grievances machinery under the consumer protection act

1. District Forum:

District forum consists of a president and two other members. The president is often a retired or working judge of District Court. they're appointed by using government . The complaints for goods or services worth Rs 20 lakhs or less are often filed during this agency. The agency sends the products for testing in laboratory if required and provides decisions on the idea of facts and laboratory report. If the aggrieved party isn't cozy by the jurisdiction of the district forum then they will file an appeal against the judgment in State Commission inside 30 days by depositing Rs 25000 or 50% of the penalty amount whichever is a smaller amount.

2. State Commission:

It consists of a president and two other members. The president must be a retired or working decide of Supreme Court. All of them are appointed by government . The complaints for the products really worth quite Rs 20 lakhs and fewer than Rs 1 crore are often filed in State Commission on receiving complaint the State commission contacts the party against whom the complaint is filed and sends the products for testing in laboratory if required. just in case the aggrieved party isn't satisfied with the judgment then they will file an appeal in National Commission within 30 days by depositing Rs 3500 or 50% of penalty amount whichever is a smaller amount .

3. National Commission

The national commission consists of a president and 4 members one among whom shall be a lady. They’re appointed by Central Government. The complaint is often filed in National Commission if the worth of products exceeds Rs 1 crore.

If aggrieved party isn't satisfied with the judgment then they will file a grievance in Supreme Court within 30 days.

	Basis		District		State Commission		National Commission
	Composition		It consists of a president and two other members.		It consists of a president and two other members.		It consists of a president and four other members.
	Who can be a President		A working or retired judge of District Court.		A working or retired judge of High Court.		A working or retired judge of Supreme Court.
	Appointment of President		The president is appointed by the state government on the recommendation of the selection committee.		The president is appointed by the state government after consultation with the chief justice of the High Court.		The president is appointed by the central government after consultation with the chief justice of India,
	Jurisdiction		In 1986, it had jurisdiction to entertain complaints where the value of goods or services does not exceed Rs 5, 00,000 but now the limit is raised to 20 lakhs.		In 1986, it had jurisdiction to entertain complaints when the value of goods or services exceeds Rs 5,00,000 and does not exceed Rs 20,00,000 but now it is raised to more than Rs 20,00,000 and up to Rs1 crore.		In 1986, it had jurisdiction to entertain complaints where the value of goods or services exceeds Rs 20 lakhs but now the limit is raised and it entertains the complaints of goods or services where the value exceeds Rs 1 crore.
	Appeal against orders		Any person who is aggrieved by the order of District Forum can appeal against such order to State Commission within 30 days and by depositing Rs 25000 or 50% of the penalty amount whichever is less.		Any person who is aggrieved by the order of State Commission can appeal against such order to National Commission within 30 days and by depositing Rs 35000 or 50% of penalty amount whichever is less.		Any person who is aggrieved by the order of the National Commission can appeal against such order to Supreme Court within 30 days and by depositing 50% of penalty amount but only cases where value of goods or services exceeds Rs 1 crore can file appeal in Supreme Court.
Basis		District		State Commission		National Commission
Composition		It consists of a president and two other members.		It consists of a president and two other members.		It consists of a president and four other members.
Who can be a President		A working or retired judge of District Court.		A working or retired judge of High Court.		A working or retired judge of Supreme Court.
Appointment of President		The president is appointed by the state government on the recommendation of the selection committee.		The president is appointed by the state government after consultation with the chief justice of the High Court.		The president is appointed by the central government after consultation with the chief justice of India,
Jurisdiction		In 1986, it had jurisdiction to entertain complaints where the value of goods or services does not exceed Rs 5, 00,000 but now the limit is raised to 20 lakhs.		In 1986, it had jurisdiction to entertain complaints when the value of goods or services exceeds Rs 5,00,000 and does not exceed Rs 20,00,000 but now it is raised to more than Rs 20,00,000 and up to Rs1 crore.		In 1986, it had jurisdiction to entertain complaints where the value of goods or services exceeds Rs 20 lakhs but now the limit is raised and it entertains the complaints of goods or services where the value exceeds Rs 1 crore.
Appeal against orders		Any person who is aggrieved by the order of District Forum can appeal against such order to State Commission within 30 days and by depositing Rs 25000 or 50% of the penalty amount whichever is less.		Any person who is aggrieved by the order of State Commission can appeal against such order to National Commission within 30 days and by depositing Rs 35000 or 50% of penalty amount whichever is less.		Any person who is aggrieved by the order of the National Commission can appeal against such order to Supreme Court within 30 days and by depositing 50% of penalty amount but only cases where value of goods or services exceeds Rs 1 crore can file appeal in Supreme Court.

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