Introduction

The Consumer Protection Act was enacted in 1986.

Amendments were made in 2002. The Act applies to
the whole of India except the State of Jammu and
Kashmir.
An Act to provide for the better protection of the
interest of the consumers. Establishment of
Consumer Councils and other authorities for the
settlement of consumers’ disputes.
Objectives
► Right of protection to life and property
► Right to be informed
► Right to choose
► Right to be heard
► Right to redress
► Right to education
Definitions
Consumer as per sec 2(1)(d):

 i) is a person “who buys any goods for a

consideration” which has been paid or promised, or
partly paid and partly promised, or under a system
of deferred payment.
 ii) Hires any services for a consideration which has
been paid or promised, or partly paid and partly
promised, or under a system of deferred payment.
Consumer for the purpose of
GOODS
For the purpose of Goods a consumer means a person
belonging to any of the following categories:
One(say X) who buys any goods for a consideration.
One(say Y) who uses such goods with the approval of
the buyer (i.e.X)
Consumer for the purpose of
SERVICES
For the purpose of servicess a consumer means a
person belonging to any of the following categories:
One(say X) who hires any service or services for a
consideration
One who is beneficiary, say Y, of such service, but Y
must avail such service with the approval of the
person who actually hires it(i.e. X)
Non consumers
Who are not consumers?
1. A person who purchased goods for resale
2. A person who purchased goods for commercial purpose
3. A person who obtains services without consideration
4. Tax-payers to municipality
5. Applicants for jobs
6. Persons who filed suits in courts
Complaint
Complaint
‘Complaint’ means any allegation in writing made by a complainant
that-
i) That he has suffered a loss or damage as a result of an unfair
trade practice or a restrictive trade practice adopted by any trade
or service provider
ii) the goods bought by him or agreed to be bought by him suffer
from one more defect
iii) the services hired or availed of or agreed to be hired or availed
of suffer from deficiency in any respect
iv) a trader or the service provider, as the case may be, has charged
for the goods or for the services mentioned in the complaint, a
price in excess of the price-
a) fixed by or under any law for the time being in force
b) displayed on the goods or any package containing such goods
c) agreed between the parties
Complainant

a) a consumer
b) Any voluntary consumer association registered under
the companies act 1956 or under any other law for the
time being in force.
c) The central government or any state government,
who or which makes a complaint
d) One or more consumers, where there are numerous
consumers having the same interest.
Consumer Disputes Redressal Forums
The aims and objectives of the Act are achieved by the
constitution and creation of

 District Forum

 State Commission and

 National Consumer Disputes Redressal Commission.

A District Forum shall have the powers

Can give directions to the opponent party to:

1. to remove the defect pointed out by the appropriate laboratory
from the goods in question

2. to replace the goods with new goods of similar description

which shall be free from any defect

3. to return to the complainant the price, or as the case may be,

the charges paid by the complainant

4. to pay such amount as may be awarded by it as compensation

to the consumer for any loss or injury suffered by the consumer
due to the negligence of the opposite party
5. not to offer the hazardous goods for sale;
6. to withdraw the hazardous goods from being offered for sale;
District Forum
Jurisdiction of the District Forum.—
District Forum shall have jurisdiction to entertain
complaints where the value of the goods or services
and the compensation, if any, claimed ''does not
exceed rupees twenty lakhs.
District Forum
 Each District Forum shall consist of a person who is or has been or is
qualified to be a District Judge who shall be its President
 two other members, one of whom shall be a woman
a) Possessing a bachelor’s degree from a recognized university,
b) Be a person of ability, integrity and standing and have adequate
knowledge and experience
c) Be not less than 30 five years of age

 Every member of the District Forum shall hold office for a term of 5
years or up to the age of 65 years which ever is earlier.

Subject to the other provisions of the Act a District forum shall have
jurisdiction to entertain complaints where the value of the goods or
services and the compensation, if any, claimed does not exceed Rs.20
Lakhs.
District Forum
Manner in which complaint shall be made.—
(1) A complaint in relation to any goods sold or delivered or agreed to be sold or
delivered or any service provided or agreed to be provided may be filed with a
District Forum by –

(a) the consumer to whom such goods are sold or delivered or agreed to be sold
or delivered or such service provided or agreed to be provided;
(b) any recognised consumer association whether the consumer to whom the
goods sold or delivered or agreed to be sold or delivered or service provided or
agreed to be provided is a member of such association or not;
(c) one or more consumers, where there are numerous consumers having the
same interest, with the permission of the District Forum, on behalf of, or for
the benefit of, all consumers so interested; or
(d) the Central Government or the State Government, as the case may be, either
in its individual capacity or as a representative of interests of the consumers in
general.
State Commission
Composition:
a)A person who is or has been a judge of a high court,
appointed by the state government, who shall be its president
b)Not less than two and not more than such number of
members, as may be prescribed, one of whom shall be a
woman, who shall have the following qualifications
Be not less than 35 yrs
Possess a bachelor’s degree from recognized university
Be person of ability integrity and standing and have
adequate knowledge and experience of at least 10 years in
State Commission-Jurisdiction
Each State Commission shall have jurisdiction to
entertain complaints where the value of the goods
or services and compensation, if any, claimed
exceeds Rs. 20 Lakhs but does not exceed Rs.1
Crore
appeals against the orders of any District Forum
within the State
State Commission-Procedure
The provisions of Sections 12, 13 and 14 and the rules
made thereunder for the disposal of complaints by the
District Forum shall, with such modifications as may
be necessary, be applicable to the disposal of disputes
by the State Commission.
State Commission- Appeals
Any person aggrieved by an order made by the State
Commission in exercise of its powers conferred by
sub-clause (i) of clause (a) of section 17 may prefer an
appeal against such order to the National Commission
within a period of thirty days from the date of the
order in such form and manner as may be prescribed
National Commission
 The ‘ National Commission’ shall consist of a person who
is or has been a Judge of the Supreme Court, shall be its
President.
Not less than 4 and not more than such number of
members as may be prescribed and one of whom shall be a
woman with similar qualifications as required in the case
of appointment as a member to a District Forum or a State
Commission.

 Every member of the National commission shall hold

office for a term of 5 years or up to the age of 70 years
which ever is earlier.
National Commission- Jurisdiction
The National Commission shall have jurisdiction to
entertain complaints where the value of the goods or
services and compensation, if any, the claim exceeds
Rs. 1 Crore
appeals against the orders of any State Commission
National Commission- Procedure
It shall in the disposal of any complaints or any
proceedings before it have the powers of a civil court
as specified in sub sections(4) and (5) of section 13
and follow such procedure as may be prescribed by
the central government.
National commission-Appeal
any person aggrieved by an order made by the State
commission in exercise of its powers may prefer an
appeal against such order to the National commission
within a period of 30 days
Procedure of Complaint
Complaint relating to goods
1. Reference of sample to laboratory
2. Deposit of fees
3. Remission of fees to lab and forwarding of report to
opposite party
4. Objections
5. Reasonable opportunity to parties