The Consumer Protection Act, 2019, is a monumental Act which repealed the Consumer Protection Act of 1986; its enactment was necessary for improvement in consumer rights in this digital age. “Consumer” is now defined broadly, with the newly formed Central Consumer Protection Authority (CCPA) enforcing online dispute resolution. The law also has stricter penalties for trade practices so as to further strengthen consumer protection. 

Features of the Consumer Protection Act, 2019

The Consumer Protection Act in India enacted in 2019 makes strong provisions relating to consumer rights and also takes note of newer provisions for handling specific emerging problems, particularly in the case of the digital era.

Consumer Rights Under the Act

• CCPA Establishment: A chief agency for actual regulation, protection, and enforcement of consumer rights.
• Product Liability: Factors into consideration manufacturers’ as well as sellers’ liability for defective products or services.
• Misleading Advertisements: Proactive against false claims and deceptive advertising.
• E-commerce Protection: Entails transparency, fair pricing, and availability for grievance redress to online shoppers.
• Conciliation: Encourages settlement negotiations in disputes before action in a court of law begins.
• Consumer Rights: Protect against unfair competition, provide access to information, and enable grievance redress.
• Unfair Trade Practices: It forbids the avaricious and unethical maneuvers that prey on unsuspecting consumerism.
• Consumer Education: Awareness campaigns and educational programs are initiated to create awareness among consumers.

How the Consumer Protection Act, 2019 is Making a Difference

The Consumer Protection Act, 2019, enhances consumer rights and introduces stronger protections against trade practices. Here’s how it makes an impact:

• Enhanced Consumer Rights: Consumers now have the right to obtain quality goods and services and not be unwittingly exploited.
• Fast Remedy: It involves effective measures for the resolution of consumer complaints.
• Mediation Process: It also seeks to mediate the settlement of disputes before legal proceedings commence.
• Filing of Complaints online: Consumers can obtain redress through digital platforms.
• Central Consumers Protection Authority (CCPA): It provides for the regulation of violations, unfair trade practice, and misleading advertisement.
• Product Liability: Manufacturers and vendors shall be liable for defective products.
• Protection Against Unfair Trade: Strengthening measures to restrain misleading advertisement and unethical trade practices.
• Right to Information: This ensures consumers have knowledge on quality, price and standards.
• Right to Compensation: To enable a consumer to enforce right against any practice or exploitation.
• Safety from Goods: Protection against injuries resulting from dangerous products and services.
• E-commerce protection: Strengthening consumer rights in both online and cross-border transactions.

How to File a Complaint Under the Consumer Protection Act

To file a complaint under the Consumer Protection Act, one can use the National Consumer Helpline portal online or visit the relevant district commission in person, providing necessary details and supporting documents.

Online Consumer Complaints Process

In order to register a complaint, applicants can launch a National Consumer Helpline portal.  Here are the steps to file an online consumer complaint:

Step 1: Portal Visit: Enter the National Consumer Helpline site.

Step 2: Registration/Login: A user creates an account; Login.

Step 3: Complaint Selection Category: The relevant complaint type is chosen.

Step 4: Fill the Form: Information and supporting documents are provided.

Step 5: Filing a Complaint: The form submitted successfully; a reference number was received.

Step 6: Processing of the Complaint: The authorities review the complaint and process it further.

Step 7: Resolution or Escalation: Feedback on the resolution or escalate if required.

Step 8: Following Up: Online status tracking of the filed complaint.

Offline Complaint Filing and Jurisdictions

• Visit the appropriate consumer court (district, state, or national) with required documents for offline complaint filing.
• It is also possible to visit the Central Vigilance Commission (CVC) for complaints related to vigilance matters.
• Submit grievances concerning the judiciary to the Department of Justice.

Features and Structure of Consumer Forums

Consumer forums provide easy access, cheap, and speedy resolution of disputes to consumers to get justice without going through the costly legal process. The consumer forums protect consumer rights and promote trading practices.

Jurisdiction and Types of Forums

Jurisdiction 

The jurisdiction of each forum is determined by the monetary value of the case, ensuring that disputes are handled by the appropriate level of authority in a structured manner.

Types of Forums

There are two key aspects to consumer forums in India: their types based on jurisdiction and their composition by legal authorities.

1. Consumer forums 

Consumer forums in India follow a three-tier system based on the value of the claim:

1. District Forum: Handles cases with a claim value of up to ₹20 lakh.
2. State Commission: Deals with disputes involving claim amounts between ₹20 lakh and ₹1 crore.
3. National Commission: Handles cases exceeding ₹1 crore and serves as the highest appellate body for consumer disputes.

2. Composition of Forums:

Each forum is made up of experienced legal professionals:

1. District Forum: A President (former/current District Judge) and two members.
2. State Commission: A President (former/current High Court Judge) and two members.
3. National Commission: A sitting or retired Supreme Court Judge and at least four members.

Consumer Rights and Responsibilities

consumer rights and responsibilities are integral to a well-functioning market. These rights protect individuals against fraud, while the associated responsibilities encourage informed and responsible choices. The following points highlight significant consumer rights and responsibilities.

1. Consumer Rights:

• Right to Safety: To be safeguarded against problems while using products and services.
• Right to be Informed: To obtain accurate information on product quality, quantity, price, and possible hazards.
• Right to Choose: The right to choose from a wide range of products and services that are given.
• Right to be heard: Raise issues and complaints with respect to defective goods or services.
• Right to Seek Redress: To claim redress for defective goods or unfair trade practices.
• Right to Consumer Education: Allowed to learn about consumer rights and obligations in order to make informed decisions.
• Right to a Healthy Environment: To live and consume in a clean, unpolluted atmosphere.

2. Consumer Responsibilities:

• Responsibility to be Aware: Alertness regarding rights, responsibilities, and product quality before purchases.

• Responsibility to be Ethical: Practise the trade in excess of responsible activity and misrepresentation thereof.

• Responsibility to Complain: File complaints against defective products or inferior services.

• Responsibility to Speak Out:  Raising awareness on ambiguous or dangerous practices within the market.

• Responsibility to be Quality Conscious: Prefer suggested certified products (for example, this is, Agmark, ISI mark certified).

Role of Consumer Lawyers in the Complaint Process

Consumer protection lawyers help individuals assert their rights and resolve disputes related to defective products, deficient services, or trade practices.They are the lawyers who have legal advisory services, help in filing complaints to appropriate authorities and represent consumers during court proceedings.

• Advocacy: This includes advocacy for a consumer before consumer forums and courts.
• Preparation of Complaints: Assisting in the formulation of well-drafted complaints, with the evidence to substantiate them.
• Dispute Resolution: Helping from client to mediation, settlement, or litigation.
• Advocacy for Consumer Rights: Rendering legal advice on rights, duties, and available remedies.
• Compliance Certification and Documentation: Ensuring that the needed documentation and formalities are in place for a solid case.

Additional role in Consumer Protection Laws

• Consumer Education: Attorneys educate customers on their rights and obligations under laws relating to consumers.
• Partnership with Regulators: They help enforce consumer protection and pursue companies in default.
• Class Suits: They can file lawsuits for groups of consumers who share the same issues.
• Misleading Advertisements: They can help customers contest such types of marketing and fake claims.
• Product and Service Grievances: Lawyers assist individuals in claiming defective products or inferior services.

Amendments to the Consumer Protection Act, 2019

The Consumer Protection Act, 2019 introduced a number of important reforms regarding the rights of consumers and how they can be resolved. Some of the amendments include provisions concerning online transactions, alternative dispute resolution, and stricter control over trade practices.

• Expanded Definition of “Consumer”:

The term now applies to an individual who purchases goods or renders services through online platforms and electronic or e-commerce transactions.

• Filing Complaint Online:

Consumers are now able to submit complaints via the online facility e-Daakhil, making the entire process more accessible and economical.

• Establishment of the Central Consumer Protection Authority (CCPA):

A regulatory mechanism to monitor breaches of consumer rights, to take action against misleading advertisements, and to penalize trade practices was constituted.

• Mediation and dispute resolution: 

The Act lays down alternative dispute resolution mechanisms for the quick disposal of consumer complaints through mediation.

• Regulation of E-commerce and Direct Selling:

Specific guidelines were formulated to promote e-commerce and direct selling businesses in providing fair treatment and protection to the consumers in online transactions.

• Product Liability Provisions:

Manufacturers, service providers, and sellers are liable for any damages that result from defective products, with compensation claims being available to injured consumers. 

• Action against Misleading Advertisements:

The Act penalizes manufacturers, advertisers, and brand endorsers for false or misleading advertisements that mislead consumers.

• Updated Monetary Jurisdiction:

The pecuniary limits for consumer disputes updated are as follows: 

District Commission: up to ₹50 lakh; 

State Commission: ₹50 lakh-₹2 crore; 

National Commission: Above ₹2 crore. 

• Consumer Mediation Cells:

These mediation cells are established to settle disputes amicably and to avoid unnecessary protracted litigation from going on.

• Entitled to Appeal Against Orders:

Consumers displeased with the judgments of consumer forums can appeal against the decisions to the higher commissions for further redress.

• Criminal Liability for Fake Products:

The Act contains penalties and legal consequences with respect to an enterprise for dealing in counterfeit or substandard goods.

• Defining Unfair Trade Practices:

The Act, in so doing, also clearly defines trade practices that have been prohibited, which would help consumers in legal remedies against such methods of unfair or dishonest dealing.

Consumer Protection in the Digital Age

Consumer Protection in the Digital Age Right now, consumers are increasingly taking it critical because of the use of e-commerce. Here, different laws have been developed to keep pace with new challenges so that consumers are shielded from fraud, unfair trade practices, and violations of privacy in digital transactions. Such consumers have specific rights, and together with that, they are entitled to legal remedies that legally protect them in cyber marketplaces.

Regulations of e-commerce platform

• Such e-commerce and online platforms should commit to transparent pricing, return policies, grievance redressal mechanisms, etc.
• The seller should make the details of the product, terms of warranty, and refund policies available before purchase.

Digital Consumer’s Rights

• Consumers enjoy rights to safety, information, and redress even in electronic shops, as in physical stores.
• There has also been an expansion in the definition of “consumer” with the Consumer Protection, 2019 Act by including digital transactions and purchases made through e-commerce.

Online Dispute Resolution(ODR)

• Portals like e-Daakhil help consumers file complaints in a digital manner.
• Invention of mediation and ADR provide an excellent mechanism for conflict resolution.

Protection Against Fraud and Misleading Ads

• Such businesses can be prosecuted for false advertising, counterfeit sales, or charging hidden prices. 
• Influencers and endorsers falsely advertising a product shall also be accountable.

Conclusion

In conclusion, The Consumer Protection Act, 2019, enhances consumer rights with stricter regulations, faster complaint resolution, and greater accountability for businesses, including e-commerce platforms. Understanding these protections helps consumers make informed decisions and seek redress effectively. If you need legal support on consumer rights, Zolvit’s experts are here to assist you.

 

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