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DAILY NEWS ANALYSIS

GS-II :
  • 15 August, 2019

  • Min Read

Consumer Protection Bill

GS-II: Consumer Protection Bill

Context

Consumer Protection Bill, 2019 gets Parliamentary approval.

Provision of the Bill:

Definition of consumer:

A consumer is defined as a person who buys any good or avails a service for consideration.

What it cover?

It covers transactions through all modes including offline, and online through electronic means, teleshopping, multi-level marketing or direct selling.

What it doesn’t cover?

It does not include a person who obtains a good for resale or a good or service for commercial purposes.

Six consumer rights have been defined in the Bill, including the right to:

(i)Be protected against the marketing of goods and services which are hazardous to life and property. (ii)Be informed of the quality, quantity, potency, purity, standard and price of goods or services; (iii) Be assured of access to a variety of goods or services at competitive prices (iv) Seek redressal against unfair or restrictive trade practices.

Functions of Central Consumer Protection Authority (CCPA) :

  • CCPA shall promote, protect and enforce the rights of consumers.
  • It will regulate matters related to violation of consumer rights, unfair trade practices, and misleading advertisements.

Jurisdiction of Consumer Disputes Redressal Comission (CDRCs):

  • The District CDRC will entertain complaints where the value of goods and services does not exceed Rs one crore.
  • The State CDRC will entertain complaints when the value is more than Rs one crore but does not exceed Rs 10.

Why is this Bill significant?

  • Swift remedies: Presently consumers only have a single point of access to justice, which is time-consuming. Additional swift executive remedies are proposed in the bill through Central Consumer Protection Authority (CCPA).
  • Deterrent punishment to check misleading advertisements and adulteration of products.
  • Product liability provision to deter manufacturers and service providers from delivering defective products or deficient services.
  • Ease of approaching Consumer Commission and Simplification of the Adjudication process.
  • Scope for early disposal of cases through mediation.

Source: The Hindu


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