NOTES

• First International Conference on Consumer Protection of South, South

East & East Asian Countries with the theme of “Empowering consumers

in new markets” concludes in New Delhi

• The Conference was chaired by Shri Ram Vilas Paswan, Union Minister

for Consumer Affairs, Food & Public Distribution

• His Excellency Mr. Narendra Modi, Prime Minister of India inaugurated

the Conference which was attended by 1600 participants that included

delegates from 19 countries

CONSUMER PROTECTION ACT, 1986, BUT WHAT IS THE HISTORY?

Every year the 15th of March is observed as the World Consumer

Rights Day.

On that day in 1962 President John F. Kennedy(35th President of the

United States) of U.S. called upon the U.S. Congress to accord its

approval to the Consumer Bill of Rights. They are:

(i) right to choice

(ii) right to information

(iii) Right to safety and

(iv) Right to be heard.

QUESTION

What is the theme of the 2017 World Consumer Rights

Day (WCRD)?

[A] Consumer awareness in a new era

[B] Consumer rights for developing countries

[C] Building a digital world consumers can trust

[D] For the consumer, we need rights!

NATIONAL CONSUMER DAY

• The National Consumer Day is observed every year in India

on 24th December. On this day the Consumer Protection Act,

1986 had received the assent of the President.

UN FOR CONSUMER RIGHTS

• In the history of the development of consumer policy,

April 9, 1985 is a very significant date for it was on that

day that the General Assembly of the United Nations

adopted a set of general guidelines for consumer

protection and the Secretary General of the United

Nations was authorised to persuade member countries

to adopt these guidelines through policy changes or law.

NOTESThese guidelines constitute a comprehensive policy framework outlining what governments need to do to promote consumer protection in following seven areas:

i. Physical safety;

ii. Protection and Promotion of the consumer economic interest;

iii. Standards for the safety and quality of consumer goods and services;

iv. Distribution facilities for consumer goods and services;

v. Measures enabling consumers to obtain redress;

vi. Measures relating to specific areas (food, water and pharmaceuticals) and

Vii. Consumer education and information programme.

UN GUIDELINES - NOT LEGALLY BINDING

These guidelines were adopted recognizing that consumers

often face imbalances in economic terms, educational levels and

bargaining power and bearing in mind that consumers should

have the right of access to non hazardous products as well as

the importance of promoting just, equitable and sustainable

economic and social development.

1999 RE-EXAMINATION BY UN• The U.N. guidelines were never intended to be a static document and

required to be revisited in the changed social, political and economic circumstances. On re-examination of U.N. guidelines in 1999 “sustainable consumption” was also included in the list which is certainly an important step in this direction.

• Sustainable Consumption defines it as "the use of services and related products which respond to basic needs and bring a better quality of life while minimizing the use of natural resources and toxic materials as well as emissions of waste and pollutants over the life cycle of the service or product so as not to jeopardize the needs of future generations."

• It would perhaps be apt to highlight that long back Mahatma Gandhi said that” the rich must live more simply so that the poor may simply live.”

IN INDIA

• In India, the consumer movement as a ‘social force’ originated with the

necessity of protecting and promoting the interests of consumers

against unethical and unfair trade practices.

• Rampant food shortages, hoarding, black marketing, adulteration of food

and edible oil gave birth to the consumer movement in an organized

form in the 1960s.

• Till the 1970s, consumer organisations were largely engaged in writing

articles and holding exhibitions. They formed consumer groups to look

into the malpractices in ration shops and overcrowding in the road

passenger transport.

1986

• The Central Government, during Rajiv Gandhi’s tenure as the Prime

Minister, presented the bill ‘Consumer Protection Act, 1986’ to the

legislature and was subsequently passed. It was drafted after

consultations with various consumer organisations and activists.

• PREAMBLE OF THE ACT - An Act to provide for better protection of

the interests of consumers and for that purpose to make provision for

the establishment of Consumer Councils and other authorities for the

settlement of consumer disputes and for matters connected therewith.

1986

A major step taken in 1986 by the Indian government was the enactment

of the Consumer Protection Act 1986.

The Objectives of Consumer Protection Act, 1986 in India

The purpose of the Act is to provide for the establishment of the

Commission:

· To prevent practices having adverse effect on competition;

· To promote and sustain competition in markets;

· To protect the interests of consumers and

· To ensure freedom of trade carried on by other participants in the

markets, in India

BASIC RIGHTS OF CONSUMERS INCLUDE• Right to be protected against marketing of goods and services which

are hazardous to life and property.

• Right to be informed about the quality, quantity, standard and price of

goods or services so as to protect the consumer against unfair trade

practices.

• Right to be assured, wherever possible, access to variety of goods and

services at competitive prices.

• Right to be heard and to be assured that consumers interests will

receive due consideration at appropriate forums.

• Right to seek redressal against unfair trade practices.

• Right to consumer education

HOW GOOD IS THE INDIAN CONSUMER PROTECTION ACT?

• In the International Conference on Consumer Protection held in Malaysia

in 1997, the Indian Consumer Protection Act was described as one “which

has set in motion a revolution in the field of consumer rights, the parallel

of which has not been seen anywhere else in the world”.

_______________________________________________

The Act applies to all goods and services unless specifically exempted by the

Central Government.

• It covers all the sectors – private, public and cooperative.

• The provisions of the Act are compensatory in nature.

• It provides adjudicatory authorities, which are simple, speedy and less

expensive.

• It also provides for Consumer Protection Councils at the National, State

and District levels

CONSUMER REDRESSAL FORUM

Under the Consumer Protection Act, every district has at least

one consumer redressal forum also called a consumer court.

Here, consumers can get their grievances heard. Above the

district forums are the state commissions.

At the top is the National Consumer Disputes Redressal

Commission in New Delhi.

Bureau of Indian standards (BIS) Act 2016 brought into force with effect

from 12th October, 2017

The Act establishes the Bureau of Indian Standards (BIS) as the National

Standards Body of India. The Act has enabling provisions for the

Government to bring under compulsory certification regime any goods

or article of any scheduled industry, process, system or service which it

considers necessary in the public interest or for the protection of human,

animal or plant health, safety of the environment, or prevention of unfair

trade practices, or national security

PORTALS FOR CONSUMER AWARENESSINGRAM (Integrated Grievance Redress Mechanism)

_______________________________

Smart Consumer Application - This is a mobile application to enable consumer to scan the bar code of the product and get all the details of the product.

____________________________________

GAMA - the Department of Consumer Affairs has launched this portal for registering online complaints for Grievances Against Misleading Advertisements (GAMA).

FILING OF COMPLAINT

A written complaint to the company is taken as proof that the company has

been informed. The complaint must be backed by copies of bills, prescriptions

and other relevant documents, and should set a deadline for the company to

respond. Consumers can also complain through a consumer organisation

____________________________________

1. A consumer.

2. Any voluntary consumer association registered under the Companies Act,

1956

3. or any other law. for the time being enforced.

4. The Central Government.

5. Any State Government.

6. A legal heir or representative of a deceased consumer.

WHERE TO FILE A ‘COMPLAINT’?

• If the value of the goods and services and the compensation

claimed does not exceed Rs.20,00,000/-, then the complaint

can be filed in the District Forum

• If the value of goods or services and the compensation

claimed is between Rs.20,00,000/- and Rs.1,00,00,000/-, the

complaint can be filed before State Commission

• If the value of goods or services and the compensation

claimed exceeds Rs.1,00,00,000/-, a complaint can be filed

before the National Commission.

ALTERNATIVE DISPUTE RESOLUTION

• The Courts are backlogged with dockets resulting in delay of

year or more for the parties to have their cases heard and

decided. To solve this problem of delayed justice ADR

Mechanism has been developed in response thereof.