Reasons why consumers need protection

• Prices might be fixed artificially high either by one firm or by a group of firms
acting together.
• Misleading price reductions might be offered.
• Customers might not receive the correct weight or quantity of goods.
• Advertisements might make false claims for goods.
• Inferior and even dangerous ingredients and components might be used in
production to keep costs down.

METHODS OF SAFEGUARDING THE CONSUMERS

1. CONSUMER PROTECTION LAWS

a) Sale of Goods Act 1979:
The main provisions are:
• Goods must suit the purpose for which they are sold.
• Goods sold by description must fit the description.
• Goods sold by sample must correspond with the sample.
• Goods must be of merchantable quality.

In the event of any of these conditions not being fulfilled, buyers are normally
entitled to choose whether the retailer refunds the money, replaces the goods or
repairs them.

b) Trade Description Act 1968:

This Act lays down penalties for traders who deceive the public by making false
claims for their goods and inaccurate price comparisons. It is an offense to claim
that an article is worth £10 and is sold for £7, when actually it is worth less than
£10. Likewise a seller should not claim that his articles are unbreakable or
waterproof unless they actually are. This Act is enforced by trading standards
officers.

c) Fair Trading Act 1973:

This Act is controlled by a Director General who is assisted by the Consumer
Protection Advisory Committee. There are some recommendations:
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• Retailers are not allowed to quote manufacturers’ recommended prices.

• Shopkeepers are forbidden to have notices such as, “No Cash Refunded” as it
will mislead a consumer as to his rights.
• Traders who are selling goods must not pretend to sell them as private
citizens.
• The Act sets codes of practice for traders to follow so that customers are
satisfied.

d) Consumer Protection Act 1987:

Sometimes consumers are endangered by goods they buy. This Act imposes a
duty on manufacturers to supply safe products. Failure to do so may render a firm
to pay unlimited compensation. For example, a gas burner must have a guard,
which prevents clothing from touching the flame.

e) Food and Drugs Act 1955:

This Act controls the contents of food products and their labeling. It is enforced by
the local environmental health department. It is also concerned with the
ingredients in food items. For example:
• Jam must contain a minimum proportion of the named fruit.
• Meat pies must contain 25% of meat.
• At least 50% by weight of sausages must be meat.

2. CONSUMER PROTECTION AGENCIES (ORGANIZATIONS)

a) National Consumer Council:

The NCC, which was established in 1975 by the Government, has members from
trade unions, parliament, industry and independent consumer organizations. Their
role is to make the consumers’ view known to the government. The NCC has
made strong representations to the government about bus services, optical
services and shop opening hours.

b) Citizens Advice Bureau:

Their role is to act as a mediator between consumers and traders in areas where
there is no consumer protection agencies.

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c) The British Standards Institution:

It lays down standards for a manufacturer to follow. The BSI cannot enforce its
recommendations, as it is an independent organization. The kite mark of the BSI
is regarded as a sign of quality by consumers, due to extensive tests by BSI
inspectors.

d) The Media:
The press, television and radio are very important in dealing with individual
complaints. Some newspapers run their own consumer protection agencies. They
make a consumer aware of his rights.

e) The Consumers’ Association:

The Consumers’ Association is an independent and non-profit making
organization. It publishes a monthly magazine “Which?” In its report, “Which?” the
list of good and bad points of a particular product are published. This enables a
consumer to choose the best product from a range of products. The association
also advises its consumers on consumer problems. The association also
publishes “Gardening From which?” and “Holiday which?” which deal with
pregnancy restaurants, health, divorce and taxes.

f) Codes of practice,
Industries establish voluntary code of practice for the guidance of their members
and the protection of consumer. The advertising standard authority is an example.
Though the consumers are protected by trade description Act, the advertising
standard authority maintains code of practice. It is described as example the
Retail Trading Standard Association, The British Electro Technical Approval Board.

3. OTHER MEANS OF SAFEGUARDING CONSUMERS

Self Protection
Consumer awareness while they consume goods or services
The customers should be able to check all the particulars when goods or services
supplied to them.
Most retailers are prepared to correct genuine mistakes

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Further, where genuinely faulty goods are concerned the retailer will probably
have little trouble in obtaining the refund from manufacturer.

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