1 Consumer Protection Act, 1986
2 Topics already covered
Consumer Protection Act, 1986 About the Act Objects of the Act Consumer Protection Council Central Consumer Protection Council State Consumer Protection Council Consumer Disputes Redressal Agencies Manner Procedure Findings
3 Flow of the presentation
Objectives – Central and State Council Jurisdiction – District Forum, State and National Commission Powers of the Consumer Forums Flow of the presentation
4 Objectives – Central and State Council
The objectives of the Central and State Council is to promote and protect the rights of the consumers such as -- the right to be protected…. the right to be informed…. the right to be assured…. the right to be heard…. the right to seek redressal…. the right to consumer education. the right against consumer exploitation. the right to be protected against the marketing of goods and services which are hazardous to life and property. the right to be informed about the quality, quantity, potency, purity, standard and price of goods or services, as the case may be so as to protect the consumer against unfair trade practices. the right to be assured, wherever possible, access to a variety of goods and services at competitive prices. the right to be heard and to be assured that consumer's interests will receive due consideration at appropriate forums. the right to seek redressal against unfair trade practices or restrictive trade practices or unscrupulous exploitation of consumers; and the right to consumer education. the right against consumer exploitation.
5 Jurisdiction - District Forum
a) PECUNIARY JURISDICTION shall have jurisdiction to entertain complaints where the value of the goods or services and the compensation, if any, claimed does not exceed rupees 5 lakhs. Example : A purchased machinery for Rs. 7 lakhs. After working for some time, the machine broke down due to some manufacturing defect. A filed a claim for compensation worth Rs. 4.5 lakhs. Since the value of claim is less than Rs. 5 Lakhs, it will fall under the jurisdiction of District Forum. The complainant has a right to reduce value of his claim in order to bring his claim within the jurisdiction of a junior forum. Example : A filed a complaint with a District Forum claiming Rs. 6,00,000 as against a supplier of machinery. The complaint was rejected on the ground that it was beyond the jurisdiction of the District Forum. A revised his claim to Rs. 4,99,999 and filed the plaint again with the same District Forum. The plaint was accepted and tried. The term jurisdiction may be defined as authority or legal power to hear and decide the cases.
6 Jurisdiction - District Forum
b) TERRITORIAL JURISDICTION the opposite party or each of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides or carries on business or has a branch office or personally works for gain, or works for gain, provided that in such case either the permission of the District Forum is given, or the opposite parties who do not reside, or carry on business or have a branch office, or personally work for gain, as the case may be, acquiesce in such institution; or the cause of action, wholly or in part, arises. c) APPELLATE JURISDICTION - District Forum is the lowest rung of the ladder of the consumer courts. Thus this is not an appellate court, i.e., no appeal lies in this court. The term jurisdiction may be defined as authority or legal power to hear and decide the cases.
7 Jurisdiction - state commission
a) PECUNIARY JURISDICTION to entertain complaints where the value of the goods or services and compensation, if any, claimed exceeds rupees 5 lakhs but does not exceed rupees 20 lakhs Example : A of Delhi bought a house from housing board for Rs. 4 lakhs. Due to defect in the house, its wall fell down on the daughter of A and she dies. A sue the Housing Board claiming Rs. 15 lakhs as compensation. This matter will lie with the State Commission of Delhi. Note : That although the value of house is less than 5 lakhs, the decisive factor regarding jurisdiction is the value of claim.
8 Jurisdiction - state commission
b) TERRITORIAL JURISDICTION appeals against the orders of any District Forum within the State and to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any District Forum within the State, where it appears to the State Commission that such District Forum has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested or has acted in exercise of its jurisdiction illegally or with material irregularity.
9 Jurisdiction - state commission
c) APPELLATE JURISDICTION State Commission has power to adjudicate upon the appeals made against the order of the District Forums. d) REVISIONAL JURISDICTION State Commission may call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any District Forum within the State
10 Jurisdiction - National Commission
a) PECUNIARY JURISDICTION Since National Commission is the highest level of Consumer Forums, it may entertain all the matters where the value of claim exceeds Rs. 20 lakhs.
11 Jurisdiction - National Commission
b) TERRITORIAL JURISDICTION The territorial jurisdiction of the National Commission is whole of India except the State of Jammu & Kashmir. However, the Consumer Protection Act is applicable only if the cause of action arise in India. If the cause of action arises out of India, National Commission has no jurisdiction over the matter as it cannot be tried in India under the Act. Example: The complainant alleged that they were not properly treated by the Egyptian Airlines authorities at Barcelona. It was held that the cause of action arose at Barcelona, so the complaint under the Act is not maintainable in India
12 Jurisdiction - National Commission
c) APPELLATE JURISDICTION The National Commission has jurisdiction to entertain appeals against the order of any State Commission. The appeal may be made within 30 days from the date of the order of the State Commission d) REVISIONAL JURISDICTION National Commission can call for the records and pass the appropriate orders in any consumer dispute which is pending before or has been decided by any State Commission
13 Powers of the Consumer Forums
For the purpose of adjudicating a consumer dispute, section 13(4) has vested the Consumer Forums with certain powers of a civil court. Apart from these powers, the Central Government has provided some additional powers to them under Rule 10 of the Consumer Protection Rules, Finally section 14 of the Act has provided them with the power to issues orders.
14 Powers of the Consumer Forums
discovery and production of any document or other material object producible as evidence; receiving of evidence on affidavits; requisitioning of the report of the concerned analysis or test from the appropriate laboratory or from any other relevant source; issuing of any commission for the examination of any witness; Requiring production of any books, accounts, documents, or commodities from any person, examining and retaining them. Obtaining information required for the purpose of the proceedings from any person.