Consumer Courts
Sep 01, 2014
Analysis of the Consumer Courts and its functioning
- Caveat Emptor Buyer Beware! APURVA AGARWAL Consumer Courts in India and how to make them more effective November 9, 2006 Universal Legal
- Laws/Bodies for consumers
- Consumer Protection Act 1986 (the Act)
- Appropriate Laboratories
- Redressal Agencies
- Consumer Protection Rules, 1987
- State Rules
- Consumer Welfare Fund Rules, 1992
- Voluntary Consumer Organisations
- Competition Act, 2002
- Council for Fair Business Practices, 1996
- UN Guidelines for Consumer Protection
- The Act is unique in the world
- Exclusive courts for consumer disputes in all districts, state and national capitals
- 6 consumer rights specified
- Consumer Protection Councils from national to state and district levels
- Covers private, public, cooperative sectors
- Prevents practices with adverse effect on competition; promotes & sustains competition in markets; protects interests of consumers & ensures freedom of trade
- Consumer's Rights
- Right to SAFETY against hazardous goods and services
- Right to be INFORMED about quality, quantity, purity, standard, price
- Right to CHOOSE from a variety at competitive prices
- Right to BE HEARD
- Right to seek REDRESSAL
- Right to CONSUMER EDUCATION
- Who can file a complaint
- Consumer
- Consumers - with permission of the District Forum
- Recognized Consumer Association effected consumer need to be a member
- Central Government or State Government
- Where to Lodge a Complaint
- If claim is less than rupees twenty lakhs, in the District Consumer Disputes Redressal forum
- If more than rupees twenty lakhs but less than rupees one crore, & appeals, in the State Consumer Disputes Redressal Commission
- If more than rupees one crore, & appeals from SC, in the National Consumer Disputes Redressal Commission
- Appeals from NC lie to Supreme Court
- Procedure for Filing a Complaint under the Act
- There is nominal fee for filing a complaint before the District Forum, the State Commission or the National Commission
- No stamp paper required
- File in triplicate on plain paper to the District Consumer Disputes Redressal Forum where the seller has his business or residence or where the cause of action arises
- File complaint within 2 years from the date of the cause of action
- Essential Information in the Complaint
- Name and full address of complainant
- Name and full address of opposite party
- Description of goods and services
- Quality and quantity
- Price
- Date & proof of purchase
- Nature of deception
- Type of redressal prayed for
- Applicable Court Fee
- Central Government has fixed the filing fee payable in Consumer Disputes to be filed before the Consumer forum as follows
- Value of goods, Service & Compensation Claimed determine the amount of fee payable
- Ranges from Rs. 100 to Rs. 500
- Payment through a Nationalized Bank Demand Draft duly crossed, drawn in favour of "President, Consumer Disputes Redressal Forum".
- Benefits
- No lawyer or agent is necessary for filing complaint or to make submission
- If due to lawyers conduct consumer suffers, it is a deficiency in service open to redress
- Nominal fees payable
- No charges for dispatching notices to opposite parties etc.
- Finality of Orders
- Every order shall, if no appeal is preferred, be final
- Time allowed for appeal
- After expiry of 30 days the appeal maybe entertained if sufficient cause for not filing within the time limit has been satisfied
- Consumer Complaint
- Under the Act, a complaint means any allegation in writing made by a complainant in regard to one or more of the following :-
- Any unfair trade practice or restrictive trade practices
- One or more defects in goods are hazardous goods to life and safety
- Deficiencies in services
- A trader charging excess of price
- o Fixed by or under any law for the time being in force; or
- o Displayed on goods; or
- o Displayed on any packet containing such goods
- Redressal a Consumer may seek
- Removal of defects in goods or deficiency in services
- Replacement of defective goods
- Refund against defective goods or deficient services
- Compensation
- Prohibition on sale of hazardous goods
- UNFAIR Trade Practice (1)
- Adopting unfair methods or deception to promote sale use or supply of goods or services:
- Misleading public about price (e.g. bargain price when it is not so) Misleading public about anothers goods or services
- Falsely claiming a sponsorship, approval or affiliation
- Offering misleading warranty or guarantee
- UNFAIR Trade Practice (2)
- Sale of spurious or sub-standard goods or services.
- Offering used or renovated goods as new.
- Using banned food colours.
- Creating artificial scarcity of goods.
- Exaggerated, misleading advertising.
- Offering, then withholding gifts/prizes.
- False claim of offering gifts/services when cost is included partly in the charge
- Restrictive Trade Practice
- Price fixing or output restraint re: delivery/flow of supplies to impose unjustified costs/restrictions on consumers
- Collusive tendering; market fixing territorially among competing suppliers, depriving consumers of free choice, fair competition
- Supplying only to particular distributors or on condition of sale only within a territory
- Delaying in supplying goods/services leading to rise in price
- Requiring a consumer to buy/hire any goods or services as a pre-condition for buying/hiring other goods or services
- Consumer Education should cover
- Health, nutrition, food-borne diseases, food adulteration
- Product hazards
- Product labeling
- Protective laws
- How and whom to approach for redress
- Information on weights, measures, packaging, prices, quality, availability of basic needs
- Environment, pollution, sustainable consumption
- Trends in Consumer Courts
- Courts to decide a complaint within 3 months from date of receipt of notice by opposite party
- Adjournments despite of strict rule
- Backlog of pending suits
- Inadequate infrastructure
- Not enough courts/forums
- Consumer not aware of his rights
- Unique Achievements of West Bengal
- The only state to have a separate Department of Consumers Affairs (November 1999) with the State Commission and the District Consumer Disputes Redressal Fora (DCDRF) under it
- Legal Metrology was added in June 2001 and upgraded to a Directorate in 2003
- Protecting Consumers Rights
- District Consumer Protection Council was created in all the 18 Districts including Rotary & Lions Clubs, VCOs, Chambers, Traders Associations within a few months of the new provision in the Act
- Kolkata Consumer Protection Council was set upthe only one for a Metro City ofIndia.
- Proactive (1)
- Most proactive Consumer Website of Government launched on 31 July 2001 (http://kolkata.wb.nic.in.consumers )
- Any Grievance Box entry or e-mail complaint is responded to within 24 hours
- Newspapers are scanned and consumer complaints taken up. 352 resolved so far (consumer goods, post & telephone, electricity, gas supply, medical negligence
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