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Consumer Rights
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Consumer Rights

Legal Framework

Enactment of the Consumer Protection Act,1986 marked one of the most important milestones in the consumer movement in the country. It is one of the benevolent social legislation intended to protect the large body of consumers from exploitation. The Act has come as a panacea for consumers all over the country and has assumed the shape of practically the most important legislation in the country during the last few years. It has become the vehicle for enabling people to secure speedy and in-expensive redressal of their grievances. With the enactment of this law, consumers now feel that they are in a position to declare sellers beware whereas previously the consumers were at the receiving end and generally told buyers beware.

The provisions of this Act cover 'Products' as well as ‘Services'. The products are those which are manufactured or produced and sold to consumers through wholesalers and retailers. The services are of the nature of transport, telephones, electricity, constructions, banking, insurance, medical treatment, etc. The services by and large include those provided by professionals such as Doctors, Engineers, Architects, Lawyers, etc. The Objects of the Act are:

  • Protection of Interests of Consumers
  • Protection of Rights of Consumers
  • Establishment of Consumer Protection Councils
  • Establishment of Consumer Dispute Redressal Agencies
This Act was amended in 2002 in the form of Consumer Protection (Amendment) Act, 2002. Some of the important amendments made by it include:
  • Creation of benches of the National Commission and State commissions and holding of circuit benches
  • Prescribing time-frame for admission of complaint, issue of notices and disposal of complaint
  • Recovery of compensation amount ordered by the redressal agency through certificate case in the same manner as arrears of land revenue
  • Provision for issue of interim orders by redressal agencies
  • Establishment of Consumer Protection Council at District level
  • Revision of pecuniary jurisdiction in respect of redressal agencies at district levels
  • Inclusion of sal of spurious goods/services as unfair trade practices
In exercise of the powers conferred by the Consumer Protection Act, the Central Government has formulated the Consumer Protection Rules,1987. Similarly, the National Consumer Disputes Redressal Commission with the previous approval of the Central Government, has formulated the Consumer Protection Regulations, 2005. These have been framed to give effect to the provisions of the Act, make them more explicit as also to further simplify the procedures with a view to serving better the interests of the aggrieved consumers.

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