PRESENTED BY

Dr.S.RITA DEVI

PGT COMMERCE

JNV IMPHAL WEST

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CONSUMER PROTECTION

CONCEPT OF CONSUMER PROTECTION

An analysis of marketing management has made it clear that consumer is a king pin in the market. The producer should produce goods keeping in mind the requirements of consumers and satisfy the consumer but it is observed that this obligation is neglected by some businessmen and they are involved in the unfair trade practices such as supply of substandard quality, adulteration etc. So, there is need for consumer protection.

Consumer protection means safeguarding the interest and rights of consumers. In other words, it refers to the measures adopted for the protection of consumers from unscrupulous and unethical malpractices by the business and to provide them speedy redressal for their grievances.

CONSUMER PROTECTION ACT, 1986 (CPA, 1986)

Consumer Protection Act 1986 was introduced to make consumers aware about their rights and to give them legal protection. The provision of act came into force from July 1,1987.

Main features of CPA,1986:

1) This act has provided various rights and responsibilities to consumers.

2) It provides safeguard to customers against defective goods, deficient, services, unfair trade practices and other forms of their exploitation.

3) The act has provided three tier redressal agencies where consumer can file complaints. These are district forum, state commission and national commission.

DEFINITION OF A CONSUMER UNDER � THE CPA,1986

According to it consumer is defined as follows.

1. Any person who buys any goods for a consideration. It includes any user of such goods with the approval of the buyer. But it does not include a person who obtains goods for resale or any commercial purpose.
2. 2. Any person who avails any services for a consideration. It includes any beneficiary of such services but it does not include a person who avails such service for any commercial purpose

CONSUMER RIGHTS

Consumer Protection Act, 1986 has provided six rights to the consumers, which are as follows:

1. Right to Safety:

Consumer has the right to be protected against products, & services which are hazardous to health & life (should use ISI marked electronic devices.)

2. Right to be Informed:

Consumer has right to have complete information about the product before buying it. E.g. Manufacturing Date , Price, Quantity ,Expiry Date etc.

3. Right to choose:

Consumer has a right to choose any product out of the available products as per his own decision making.

4. Right to be heard:

Consumer has the right to file a complaint to be heard in case of dissatisfaction with goods or services (use of grievance cell)

5. Right to Seek Redressal:

Consumer has the right to get relief in case the product or service falls short of his expectations or is dangerous. He may be provided with replacement/removal of defect or compensation for any loss. Various redressal forums are set up by the Government. at National and State level.

6. Right to consumer education:

Consumer has the right to acquire knowledge and to be well informed throughout life. He should be made aware of his rights and reliefs available to him in case of the product or service falls short of his expectations. The Government of India has included consumer education in the school curriculum & is making use of media to make consumers aware of their rights

LOGO TO LOOK FOR PURCHASING GOODS:

ELECTRICAL GOODS

GOLD & SILVERJEWELLERY

AGRICULTURAL PRODUCTS

100% PURE WOOL

ECO FRIENDLY PRODUCTS

PROCESSED FOOD PRODUCTS

Responsibilities/Duties of a Consumer

• 1. Consumer must exercise his rights:

Consumers must be aware of their rights with regard to the products or services they buy from the market.

• 2. Consumer must be a Cautious consumer:

While buying a product or services, a consumer should read labels carefully.

• 3. Consumer must file a complaint in an appropriate forum in case of any shortcoming in product/service availed.
• 4. Consumer must insist on cash memo i.e a proof of purchase is required to file a complaint.
• 5. Consumer must be quality conscious. He should ask/look for ISI mark on electric goods. FPO mark on food products, Hall mark on jewellery etc.

6.Do not be carried away by advertisement:

The advertisement often exaggerate the qualities or features of product or service. The consumer must compare the actual use of product with the use shown in advertisement and whenever there is any difference it must be brought to the notice of sponsor of advertisement and insist to stop showing exaggerated qualities.

7.Form consumer societies which could play an active part in educating consumers and safeguarding their interest.

8.Respect the environment, avoid waste littering and contribution to pollution.

9.Discourage black marketing, hoarding and choose only legal

Goods and services.

10.Be aware of variety of goods and services available in market

THE SALIENT FEATURES AND PROVISIONS OF CONSUMER PROTECTION ACT, 1986 :�Who Can File A Complaint Under CPA, 1986

A complaint before the appropriate consumer forum can be made by:

1. Any consumer.
2. Any registered consumer association.
3. The central or state government.
4. One or more consumers on behalf of numerous consumers having same interest.
5. A legal heir or representative of a deceased consumer.

Against whom can a complaint be filed?

• Consumer Protection Act, 1986 is applicable to all types of undertakings, whether big or small, private or public, or in co-operative sector, manufacturer or a trader, wholesaler or retailer, supplying goods or providing services. Thus, a complaint can be filed against:
• 1. The seller, manufacturer or dealer of defective goods. Defect means any fault, imperfection or shortcoming in the quality, quantity or purity of goods.
• 2. The provider of services if they are deficient in any manner. Deficiency means any imperfection, shortcoming or inadequacy in the quality, nature and manner of performance of services.

REDRESSAL AGENCIES UNDER CONSUMER PROTECTION ACT, 1986

For the redressal of consumer grievances the act provides a three–tier machinery as:

Direct Appeal National Commission (More than 1 crore)

Direct Appeal State Commission (More than 20 Lakhs to 1crore) Direct Appeal District Forum (upto 20 crore)

REDRESSAL AGENCIES:

1) DISTRICT FORUM:

The District Forum consists of a President and two other members, one of whom should be a woman. They all are appointed by the State Government concerned. A complaint can to be made to the appropriate District Forum when the value of the goods or services in question, along with the compensation claimed, does not exceed `20 lakhs. On receiving the complaint, the District Forum shall refer the complaint to the party against whom the complaint is filed. If required, the goods or a sample thereof, shall be sent for testing in a laboratory. The District Forum shall pass an order after considering the test report from the laboratory and hearing to the party against whom the complaint is filed. In case the aggrieved party is not satisfied with the order of the District Forum, he can appeal before the State Commission within 30 days of the passing of the order.

STATE COMMISSION:

Each State Commission consists of a President and not less than two other members, one of whom should be a woman. They are appointed by the State Government concerned. A complaint can to be made to the appropriate State Commission when the value of the goods or services in question, along with the compensation claimed, exceeds `20 lakhs but does not exceed ` 1 crore. The appeals against the orders of a District Forum can also be filed before the State Commission. In case the aggrieved party is not satisfied with the order of the State Commission, he can appeal before the National Commission within 30 days of the passing of the order.

NATIONAL COMMISSION

The National Commission consists of a President and at least four other members, one of whom should be a woman. They are appointed by the Central Government. A complaint can to be made to the National Commission when the value of the goods or services in question, along with the compensation claimed, exceeds `1 crore. The appeals against the orders of a State Commission can also be filed before the National Commission. Those appeals where the value of goods and services in question, along with the compensation claimed, exceeded ` 1 crore and where the aggrieved party was not satisfied with the order of the National Commission, can be taken to the Supreme Court of India.

Moreover, in a case decided by the District Forum, the appeal can be filed before the State Commission and, thereafter, the order of the State Commission can be challenged before the National Commission and no further.

REMEDIES AVAILABLE TO CONSUMERS

• 1. To remove the defect in goods or services.
• 2. To replace the defective product with new one free from defect.
• 3. To refund the price paid for the product/service.
• 4. To pay compensation for the loss or injury suffered by the consumer due to product/service.
• 5. To discontinue the unfair trade practice and not to repeat them.
• 6. To withdraw the hazardous goods from sale.
• 7. To pay any amount (not less than 5% of value of defective goods or deficient services provided) to be credited to consumer welfare fund or any other organization/person to be utilized in prescribed manner.
• 8. To issue corrective advertisement to neutralise the effect of a misleading advertisement.

END OF PRESENTATION