Khadija Khan  
                                                            BA.LLB IInd  Year 
                                                          IInd Internal Assessment                   
Consumer and Competition Law 
 
                                         

 
 

 
 

Submitted to : Prof: Burhan Majid 

 
 
 
 
 
 
 
 

Question: Historical Development of Consumer Protection

Jurisprudence with special reference to India 
 
 
 
 
 
 
 
 
 
Introduction 

The concept of consumer protection is old as human civilization. Protecting the consumer
interests is one among the prime concerns of the business. According to Mahatma Gandhi, Father
of the Nation, consumer is giving an opportunity for the business people serve him and he is the
ultimate purpose of the business. But the profit motive of many manufacturers and dealers is
leading to consumer exploitation through deceitful and unfair practices. Consumer Protection is a
Socio-economic activity that is to be carried out by government and business with a prime
interests of consumer satisfaction. It is the prime responsibility of the government to protect the
rights and interests of consumers through formulating suitable policies, laws and administrative
framework. There are different acts and laws were incorporated to protect the consumers. So, my
paper will discuss about the historical background, evolution of Consumer Protection Act and
with special reference to History and evolution of Consumer protection in in India  

History of Consumer Protection 

The consumer constitutes the start line of economic activities and its role has always been valued
by the event of the market. In effect, an adequate consumer protection allows the economic
systems to figure through the consolidation of the rights of the citizens. The Old
Testament mentions a sort of consumer protection, then does the Code of Hammurabi, but
only during a mercantile perspective. An early sort of movement in defense of consumers was
born within the us where the bases for the birth and development of monopoly and oligopolistic
capitalism are started 
Until the 18th century, the consumers had to verify themselves the standard of the products they
purchased and only in presence of gross negligence the vendor could are hold liable. The
struggle against capitalism and food fraud started the primary phase of consumerism but it
wasn’t until the third phase, within the 1950s, that we saw the involvement of the ecu countries.
the primary consumer’s organizations were born in Denmark in 1947 and in Great Britain in
1955 where the govt created the buyer Council so as to enable consumers to precise themselves
on issues reserved to producers and traders. But the important normative breakthrough came with
the only European Act; it modified the Treaty of Rome by strengthening the role of the
Economic and Social Committee, to whom were attributed powers to guard the consumers. Over
the years, some important changes were made to the above-mentioned legislation that paved the
way for a wider consumer policy. But despite these additions, it still lacked a solid foundation
that allowed getting a true consumer protection. 
 
 Organization of Consumer Protection 
The Federal Trade Commission was created on Sep twenty six, 1914, once President of the
United States signed the Federal Trade Commission Act into law. The FTC opened its doors
on March sixteen, 1915. The FTC's mission is to shield customers and promote competition.
because the FTC celebrates its one hundredth day of remembrance, our thoughts address its
distinctive mission, vital events in commission history, and its employees, stakeholders and
constituents – gift and past. The FTC works with foreign competition and shopper protection
authority, and cooperates with foreign authorities on social control and policy matters
through formal and informal agreements. In Europe there are several consumers’
organizations. The Regulation on shopper Protection Cooperation (CPC) is applicable within
the European Economic space. The consumers’ authorities of Kingdom of Norway, Iceland
and Principality of Liechtenstein are so authorities of the CPC Network. The International
shopper Protection and social control Network could be a worldwide organization involving
quite forty countries, most of that are members of the Organization for Economic
Cooperation and Development (OECD).The aim of the Network is to share data regarding
cross-border business activities which will have an effect on shopper interests, and to
encourage international cooperation among enforcement agencies. The Organization for
Economic Cooperation and Development addresses a large vary of problems relevant to
customers. The 3 main areas of labor of the CCP are: 
 
 Building customers trust within the digital economy; 
 Impact of the new technologies and rising business practices on consumers; 
 Examining shopper policy regimes, as well as the economic underpinning of shopper
policy and its interaction with competition policy. 
 
 
The United Nation guidelines  for Consumer Protection, that were adopted in 1985 and
revised in 1999, propose a listing of objectives delineated as “legitimate needs”: right to be
heard; right to information; right to safety; right to choose; right to client education;
promotion of economic interests of shoppers. several of those objectives seem to possess
their origins in human rights like the correct to safety for example, that echoes the Universal
Declaration of Human Rights. The Southern African Development Community (SADC) may
be a Regional Economic Community comprising fifteen Member States: African country,
Botswana, Democratic Republic of Congo, Lesotho, Madagascar, Malawi, Mauritius,
Mozambique, Namibia, Seychelles, African country, Swaziland, Tanzania, Zambia and
Republic of Zimbabwe. Established in 1992, SADC is committed to Regional Integration and
poorness obliteration inside Southern Africa through economic development and
guaranteeing peace and security. The SADC set specific challenges for the shoppers and,
equally to alternative regions in Africa, the inflated alleviation of exchanges and therefore the
gap of trade borders place the SADC markets underneath specific stress. The SADC region
has another challenger; that of restricted access to justice, that makes it long, difficult,
expensive and generally simply plain not possible for shoppers to exercise their rights just in
case of abuse. 
 
 

 
 
 
 
Historical Background of Consumer Protection In India 

Consumer Protection has its deep roots within the made soil of Indian civilization,
which dates back to 3200 B.C. In ancient Republic of India, human values were
cherished and ethical practices were thought of of nice importance. However, the rulers felt
that the welfare of their subjects was the first space of concern. They showed keen interest
in    regulation not solely the social conditions however additionally the economic lifetime of
the individuals, establishing several trade restrictions to safeguard the interests of consumers.
So here we will analyze Consumer Protection in India from the Vedic Age to the Modern
Period  

 Consumer Protection in Ancient India: 

The concept of Consumer Protection against unscrupulous, unfair and unethical malpractices
and safeguarding the interest of consumers was a locality of Indian administration
centuries ago. Ancient Indian Dharmas like Manu Smriti (800 B.C. to 600 BC),
The Yajnavalkya Smriti (300 B.C. to 100 B.C), The Narada Smriti (100 A.D to 200 A.D.),
The Brihaspati Smriti (200A.D. to 400 A.D.),  The Katyayana Smriti (300 A.D. to 600 A.D)
(Prasad A.R, 2008) were explained the living conditions of the individuals of that point and
were basis for the Dharma to be followed at that point. They were even the premise for the
system that is being followed currently. In India, Manu Smriti was one amongst the foremost
authoritative texts that prescribed varied consumer matters. Arthashastra of Kautilya  is taken
into account collectively of the oldest and a really effective book on trade and commerce in
ancient Bharat. Kautilya has mentioned concerning completely different punishments to
differing types of exploitations, and wrong measures and services. the patron protection was
a locality of common law throughout their amount. 

 Consumer Protection in Medieval period: 

During the medieval period Muslim kings who dominated Bharat, like Alauddin Khilji, Sher
Shah crowned head Suri, and Akbar etc., thought of protecting the consumer joined of their
prime considerations. The prices used were determined by local conditions. During the rule
of Allauddin Khalji strict controls were established in the market place. In those days, there
 was unending supply of grain to the city and grain carriers sold at the price fixed by Sultan.
There was a mechanism for price enforcement in the markets. Similarly, shopkeepers were
punished for under weighing their goods.
 
      Consumer Protection in Modern Period: 
In the modern period, the British system replaced the age old traditional legal system of India.
However, one of the outstanding achievements of British rule in India was “the formation of a
unified nationwide modern legal system. During the British period, 60the Indian legal system
was totally revolutionized and the English legal system was introduced to administer justice.
However, it is important to note that the traditions and customs of the Indian legal system were
not ignored. “The law itself underwent considerable adaptation. The British institutions and rules
were combined with structural features [e.g. a system of separate personal laws] and rules [e.g.
Dharma, and local custom] which accorded with indigenous understanding. The borrowed
elements underwent more than a century and a half of pruning in which British localisms and
anomalies were discarded and rules [were] elaborated to deal with new kinds of persons,
property and transactions.” To administer justice, “they were confronted [with] the problem of
the value suitable to attach in practice to the [Indian traditions and customs].” Despite the
challenges of combining the British and Indian legal systems, “the fabric of modern Indian Law
is unmistakably Indian in its outlook and operation” and consumer protection is not an exception
to this perception. 
 

  
Legal Provision before the enactment of Consumer
Protection Act 
 Some of the laws that were passed throughout the British regime regarding
consumer interest are: The Indian Contract Act, 1872, The Sale of Goods Act, 1930, The
Indian Penal Code,1860, The Drugs and Cosmetics Act, 1940, Civil
Procedure Code, 1908 Monopolistic and Restrictive Trade Practices Act, 1969 and etc. These
laws provided specific legal protection for consumers. 
 
  The Indian Contract Act, 1872 
This Act says that all agreements are contracts if they are made by free consent of the parties,
competent to contract, lawful consideration with a lawful object. The most important this act is
providing free consent consent should be free not taken by fraud or coercion. Basically, this act
provides a protection to consumer that how Consumer should protect himself by doing a legal
agreement.  

 The Sale of Goods Act, 1930 

This act provides for the consumer if the product he buys is defective. This act mentions about
buyers and seller relation.
 
 The Indian Penal Code,1860 
This act provides protection to the consumer from sections 264 –267, 269-278 which are
related to fraudulent use of weights and measures, spreading of infections, adulteration of
foods or drugs and voluntary corrupting or flouring of water public  
 
 The Drugs and Cosmetics Act, 1940 
This Act prescribes Central government officers to enforce its various provisions and also
prescribes stringent action against manufacturers of drugs and cosmetics or violations under this
Act. The Act defines misbranded, spurious and adulterated drugs - drugs that are mislabeled,
contain extraneous matter or harmful ingredients, is an imitation or falsely claimed to be of a
particular brand etc and are generally injurious to health
 
 Civil Procedure Code, 1908 
This act mentions such sections for consumers and buyer's relation that is section 94, section
95 and section 115. 

 Monopolistic and Restrictive Trade Practices Act, 1969 

It was enacted to protect the public from the monopolistic and restrictive trade practices. It
also has the authority to conduct enquiries under chapter III of the Act on proposals for
expansion and establishment of new undertakings as also for merger, amalgamation and
takeover though the government is not bound to make reference or to accept the report mad
by the commission. After the amendment of 1984 it has also been given jurisdiction to decide
cases of unfair trade practices. 
 
 
 
 
 
 
 
 
 
 
 
 Conclusion 

Consumer Protection is often a matter of great concern. In ancient of India, 

effective measures were initiated to shield consumers from crimes within the market 
place. Ancient law offers capably represented numerous types of unfair trade practices and 
also prescribed severe punishments for wrong doers. Mainly, acts of adulteration and 
false weights and measures were seriously addressed. In ancient of India, the king was the
expert to render justice, however his authority was circumscribed by the 
rules of Hindu deity. within the medieval amount, some Muslim rulers developed well 
organized market mechanisms to observe costs and therefore the offer of products to the 
markets. throughout the British amount, the trendy system was introduced in India. 
There were several different laws for the protection of consumer. For e.g. Sale of products 
Act, Specific relief Act, Indian legal code etc. although these laws were there for 
protection of consumer still the buyer wasn't protected from the exploitation of 
business malpractices. Consumer protection Act obligatory in 1986 in India. However,
before the Act implemented, in line with the opposite laws if the buyer needs to create any
complaints, he ought to solely visit the regular court for a remedy attending to the regular
court was both costly and time intense. This was a further burden on the innocent consumer.
This has hampered the consumer physically, psychologically and economically. For this
reason, consumer use involved the loss and unbroken silent. 
 
The Civil procedure code or Criminal procedure code there are provisions to induce justice
however these procedures are long and time intense which will never offer justice to
consumer. for several years the cases were unfinished within the court. Persistently for
several years unfinished cases that are there in court, the proof for a similar gets spoiled or
destroyed and it becomes tough for the buyer to present a similar within the court, it reduces
the probabilities of obtaining justice. According to Indian legal code there are some
provisions and penalization for protection of consumer like dishonorable weight and
measures, mainly adulteration etc.
Therefore, a requirement was felt to supply the innocent consumer a remedy, which 
was quick, easy, least expensive, effective and antagonistic in nature, keeping these in 
view, the buyer protection act, 1986 was enacted. 
 
 
 
 
 
 
 
 
 
 

                                                                                             
                                
   Khadija Khan  
                                                               BA.LLB IInd year   
                                         Consumer and Competition Law                   
Internal Assessment IIIrd  
 
 
                              
             

Submitted to : Prof: Burhan Majid        

 
 
 
 
                                                          
                                                         
                                                                  
 
Question: Rights and Remedies available under the
Consumer Protection Act. 
 
 
 
 
 
 
 
 
 
  

Introduction 
 The Consumer Protection Act changed into implemented in order to provide higher
protection to the rights of consumers. . Prior to the implementation of this Act, there has
been no unique act for protection of the consumers and the best treatment available to the
consumers turned into underneath the Law of Torts filing a civil suit for damages in
opposition to the consumers or the service providers.
 This act is based on the doctrine of Caveat Emptor which means that it is the responsibility
of the buyer to identify the defects in the good.   

Rights and Remedies available under this Act

 
The Consumer Protection Act provides 6 basic Rights for the protection of consumers
that are: 
 Right to Safety  
 Right to information 
 Right to Choose 
 Right to be heard  
 Right to redressal  
 Right to Consumer Education 
 
 Right to Safety: This right refers to right to provide safety to
the consumer because the right to be protected against the marketing of products and services
which are hazardous to life and property of the consumers. This right incorporates a very
wide scope of application, for example, this right is offered within the areas of electrical
appliances, healthcare, automobile, pharmaceuticals, housing, travel etc. Nowadays, each and
each field has an office for researchers who research and experiment and launch new
products and appliances accordingly. Most of those products aren't tested by the producers
which encourage be harmful to the consumer. Therefore, after the implementation of this
act, there's a mandate for every and each field to induce all their products which are a danger
to the life to be carefully tested and validated before launching it to the market. 
 
 Right to Information: It refers to the right of a consumer to be told of the standard,
quantity, potency, purity, standard and price of the products and services being sold by the
consumer. This right is given to the patron so as to guard them from the unfair trade practices
conducted by the seller so as to earn more profits. Therefore, it's an obligation on the
to supply the patron with all the relevant information of the merchandise he wishes to get. 
 
 Right to choose: It is defined within the act because the right to be assured, wherever
possible, to possess access to a range of products and services at competitive prices. it's quite
common to search out one product being sold at different possible prices by different sellers.
This reflects the age of market competition which is found in the majority the
countries. Therefore, it's the proper of all the consumers to buy any product at any price
which consistent with him is that the best. A consumer can't be forced to buy a product of
some particular brand or quality.  
 
 Right to be heard: It is referred to as the proper to be heard and to
be assured that consumers should receive a product with consideration at appropriate forums.
This right used to be added for a consumer in order to make sure that all the complaints
and troubles of the consumer are heard duly under the appropriate authority. This is due to
the fact of this proper that nearly all the large promoting corporations have a
separate department recognized as the consumer provider to help the customers in case of
any dispute or any criticism related to the great or quantity of the product. 
 
 
 
 Right to redressal: In this right if a customer has been abused by
the seller or confronted any unjustifiable things, he can look for redressal This
right guarantees that all the issues of the consumers are managed with and equity is done to
him. An appropriate redressal instrument has been set up by the government of India such as
the consumer courts and gatherings at local and national level 
 
  Right to Consumer Education: It is the right of each and every individual who could be
a citizen of India to have information almost all the laws and arrangements relating to
the consumer. In this manner it is made beyond any doubt the material regarding the
consumer-related laws is effectively accessible all over India but there 'still a major
population of people who are not aware of this right. 
 

Remedies under Consumer Protection Act 

  The consumer protection Act provides Consumer with such Remedies that are mentioned     
below: 
 Removal of Defects: If the consumer after buying the product and after using the product
find the product to be defective then authority can pass an order of removing the defects in
products. The authority can also replace the goods or refund the money of that good to the
consumer  
 Award of Compensation: In this remedy a consumer can demand compensation from
the trade or service provider if because of the defects in goods from the service provider or
by negligence from the service provider. 
 Removal of Deficiency in Service: In this remedy the authority can pass orders for
removal of the deficiency if there is any deficiency in delivery of the service, for instance, if
the consumer has applied for a loan and has fulfilled all formalities of the bank is making
unnecessary delay in sanctioning the loan, then the court can pass orders to sanctions the
loan. 
 Discontinuance of Unfair/ Restrictive Trade Practices: In this remedy if a suit is filed
by the consumer against any unfair trade practice in the market, the court can order an
immediate withdrawal of such practice and can also pass an order for prohibit such practice
that are like banning of sale of hazardous goods, withdrawal of hazardous goods in the
market , payment of the adequate cost  
 

 
Conclusion 

By concluding my answer I can say that the Consumer Protection Act has proved to be a best
protection act ever for consumers this act helped them from being exploited in the hands of huge
companies and famous traders . By introducing this Act in the market the Traders and famous
companies still working on how to fool consumers by making big advertisements
and posters . And our legislature and Judiciary are making amendments in the act from time to
time but consumer also have to aware of the people in the market,.