Sadda Haq Ethhe Rakh!!
You
are a Consumer!! Yes! It’s an assertive statement! If you are reading this
article, you are a consumer. You bought a smart-phone or a laptop or whatever
device for reading the article. Moreover, you spent for an internet connection.
Also, you are charging those devices via electricity. This makes you a part of
the society and a consumer of the public market.
Human beings are not self -reliant for all their needs. They rely on each other which becomes the foundation of society and the concept of the market: The area where commercial dealings i.e. buying and selling is carried out. Now being a part of the society, as one is aware of their fundamental rights, you should also be aware of the rights you are entitled to in the market.
The Consumers can cheer that the three-decade-old Consumer Protection Act, 1986 has been replaced by “The Consumer Protection Act 2019” with various new consumer friendly amendments. But first let us understand who a consumer is according to the new Consumer Protection Act, 2019
In mid August 2019 Hon’ble President gave his assent to the bill and the “The consumer protection Act, 2019” legislation came in effect. Remarkably, the 2019 Act repeals the old 1986 Consumer Protection Act. The 1986 Act had been amended from time-to-time so as to bring it in accordance with changing time. However, the objective of being “Socio-economic legislation to provide protection for consumers” was far from being practically feasible.
NEW ADDITIONS
I. The new Act has brought fundamental
changes to the existing 1986 Act. The definition of a ” Consumer” now includes
those who buy online goods. The endorsement done by various celebrities mow
comes under the ambit of the 2019 Act. There are strict provisions for false or
misleading endorsements. Additional responsibilities have been laid on
manufacturers, endorsers and service providers.
II. Notably, the definition of goods now
includes “Food” as defined in the FSSAI (Food Safety and Standards) under the
Ministry of Health and Family Welfare.
III. A significant addition is an inclusion
of “Telecom” in the definition of “Services’’ to bring telecom services under
the ambit of the 2019 Act.
IV. A new provision of “Product Liability”
has been introduced where the manufacturer or the service provider has to
reimburse for any form of harm caused by defective goods or services. Even the
goods and services provided via the e-commerce medium come under the provision.
V. “Unfair Trade Practices” now include electronic as well. This now makes sure that if any personal data which is private or privileged and gathered in course of transaction gets disclosed, it will attract penal action.
CONSUMER COURTS
I. The Consumer Redressal Commission (also
called Consumer Courts) now have increased pecuniary jurisdiction. Meaning, the
ability of the court to take cognizance of the case based on the actual value.
The District Court can now take up cases up to 1 crore.
II. Another important change is that the
money spent on buying the goods or services until that time will now be
calculated by the previous parameter of the total value of the purchased goods
and services. For example, if someone has bought a product on a discount, then
the discounted price will be the determiner of the case and not the M.R.P.
III. Coming as a great relief
for the consumers, an agitated consumer can now file the case from anywhere in
the country as in the earlier Act the complainant had to file a case in the
area where the service provider was present. This amendment has been made
keeping in mind with the explosion of e-commerce.
IV. The Act also proposes to establish a central regulator, Central Protection Authority (CCPA) to tackle issues relating to consumer rights, unfair trade practices, misleading advertisements, and impose penalties for selling fake or faulty products. In short, the Regulatory body will not address the consumer complaints directly. but the moves of CCPA will be directed towards the manufacturers or sellers.
Consumer Protection Provisions Act, 1986 No separate
regulator |
REGULATOR |
Consumer Protection Act,2019 Central
Protection Authority (CCPA) |
Complaint
filing in the area of the seller |
CONSUMER COURT |
Complaint can
be filed where the complainant resides or works. |
No provision.
The consumer had to approach a district court |
PRODUCT LIABILITY |
Harm contain by
a product or serviceperson who is consuming can obtain compensation. |
District: upto
10 lakh State: 20
lakh to 1 Cr National
: above 1 Cr |
PECUNIARY JURISDICTION |
District :
upto 1 Cr State: 1Cr to
10 Cr National :
above 10 Cr |
No provision |
E-COMMERCE |
All rules of
direct selling extend to e-commerce |
No Provision |
MEDIATION CELLS |
Court can
refer settlement through mediation |
One can really say that the
amendment of the Consumer Protection Act was the need of the hour. Many
consumers were helpless when it came to the grievances regarding e-commerce. As
now e-commerce has come on the radar of laws, the onus of ensuring that no counterfeit
products are sold on these platforms will lie upon the companies. This fitting
move will ensure that no fake products are circulated via these platforms. With
the 2019 Act introducing the power of judicial review, the Consumer commissions
would now be able to undo the errors which have been committed.
The new consumer Act has proposed a slew of measures which tighten the existing rules to provide relief to the aggrieved customers. In all, the revolutionary Consumer Protection Act, 2019 is a constructive and practical step towards consumer laws in a dynamically changing society. But, the real test of the amended Act of 2019 would lie in its implementation.
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By- Rutveek Jawalekar, student of 2nd year from Government Law College, Mumbai and currently pursuing LLB.
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