| Introduction | | | | itself can help in achieving consumer protection and |
| Consumers play a vital role in the economic system | | | | satisfaction through self -discipline. Businessmen can |
| of a nation because in the absence of effective | | | | regulate their own behaviour and actions by adopting |
| demand that emanates from them, the economy | | | | higher ethical standards. Trade associations and |
| virtually collapses. Mahatma Gandhi said, "A consumer | | | | chambers of commerce can check unfair trade |
| is the most important visitor on our premises. He is | | | | practices used by some businessmen. |
| not dependent on us, we are on him. He is not an | | | | 2. Consumer Self-help: Every consumer must be alert |
| interruption to our work, he is the purpose of it. We | | | | as self-help is the best help. He should educate |
| are not doing a favour to a consumer by giving him | | | | himself and know his rights. He should not allow |
| an opportunity. He is doing us a favour by giving us | | | | unscrupulous businessmen to cheat him. |
| opportunity to serve him. But, of late, unfortunately | | | | 3. Consumers' Associations: Consumers should form |
| cheating by way of overcharging, black marketing, | | | | voluntary associations. These associations can |
| misleading advertisements, etc has become the | | | | educate and awaken consumers. They can take |
| common practice of greedy sellers and | | | | organized action and put pressure on businessmen to |
| manufacturers to make unreasonable profits. In this | | | | adopt fair trade practices. |
| context, it is the duty of the government to confer | | | | 4. Government Regulations: The State can ensure |
| some rights on consumers to safeguard their | | | | consumer protection through legislative, executive |
| interests. | | | | and judicial actions. The laws enacted by the |
| CONSUMER RIGHTS | | | | Government must be strictly enforced by the |
| 1. Right to Safety: The right to be protected against | | | | executive. Government of India has enacted several |
| goods which are hazardous to life and property. | | | | laws to protect the interests and rights of |
| 2. Right to Information: The right to be informed | | | | consumers. Some of these laws are as follows:o The |
| about the quality, quantity, purity, price and standards | | | | Essential Commodities Act, 1955 which aims to |
| of goods. | | | | regulate and control the production, supply and |
| 3. Right to Choose: The right to be assured access | | | | distribution and prices of essential commodities.o The |
| to a variety of products at competitive prices, | | | | Prevention of Food Adulteration Act, 1954 which |
| without any pressure to impose a sale, i.e., freedom | | | | aims to check adulteration in food items and |
| of choice. | | | | eatables.o The Drugs and Cosmetics Act, 1940 which |
| 4. Right to be Heard: The right to be heard and | | | | seeks to ensure purity and quality in drugs and |
| assured that consumer interests will receive due | | | | cosmetics.o The Standards of Weights and Measures |
| consideration at appropriate forums. | | | | Act, 1956 which aims at ensuring that consumers get |
| 5. Right to Seek Redressal: The right to get relief | | | | the right weight and measurement in products.o The |
| against unfair trade practice or exploitation. | | | | Household Electrical Appliances (Quality Control) |
| 6. Right to Education: The right to be educated about | | | | Order, 1976 which seeks to ensure safety and quality |
| rights of a consumer. | | | | in the manufacture of electrical appliances.o The |
| Protection of Consumer Rights | | | | Consumer Protection Act, 1986 which seeks to |
| Consumer protection means safeguarding the rights | | | | provide speedy and inexpensive redressal to the |
| and interests of consumers. It includes all the | | | | grievances of consumers. |
| measures aimed at protecting the rights and interests | | | | THE CONSUMER PROTECTION ACT, 1986 |
| of consumers. | | | | The Act provides following remedies to an aggrieved |
| Consumers need protection due to the following | | | | consumer:o Removal of defects in goods or |
| reasons: | | | | deficiency in service.o Replacement of defective |
| 1. Illiteracy and Ignorance: Consumers in India are | | | | goods with new goods of similar description which |
| mostly illiterate and ignorant. They do not understand | | | | shall be free from any defect.o Return of price paid |
| their rights. A system is required to protect them | | | | by the consumer.o Payment of compensation for any |
| from unscrupulous businessmen. | | | | loss or injury suffered by the consumer.o Discontinue |
| 2. Unorganised Consumers: In India consumers are | | | | the restrictive, or unfair trade practice, and not to |
| widely dispersed and are not united. They are at the | | | | repeat it.o Withdraw the hazardous goods from being |
| mercy of businessmen. On the other hand, producers | | | | offered for sale and not to offer them for sale.o |
| and traders are organized and powerful. | | | | Provide for adequate cost to the aggrieved party. |
| 3. Spurious Goods: There is increasing supply of | | | | The Consumer Production Act provides for a |
| duplicate products. It is very difficult for an ordinary | | | | threetier system of redressal agencies: one at district |
| consumer to distinguish between a genuine product | | | | level known as District Forum, second at state level |
| and its imitation. It is necessary to protect consumers | | | | known as 'State Commission', and third at national |
| from such exploitation by ensuring compliance with | | | | level known as 'National Commission'. A complaint is to |
| prescribed norms of quality and safety. | | | | be made to the district forum of the concerned |
| 4. Deceptive Advertising: Some businessmen give | | | | district where the value of goods and services and |
| misleading information about quality, safety and utility | | | | compensation, if any, is up to Rs 20 lakhs, to the |
| of products. Consumers are misled by false | | | | 'State Commission' between Rs 20 lakhs and Rs 100 |
| advertisement and do not know the real quality of | | | | lakhs, and to the National Commission for more than |
| advertised goods. A mechanism is needed to prevent | | | | Rs 100 lakhs. Interestingly, there is provision for |
| misleading advertisements. | | | | appeals against the orders of a particular redessal |
| 5. Malpractices of Businessmen: Fraudulent, unethical | | | | forum by the aggrieved party before the next higher |
| and monopolistic trade practices on the part of | | | | echelon and even from the findings of the National |
| businessmen lead to exploitation of consumers. | | | | Commission before the Supreme Court. |
| Consumers often get defective, inferior and | | | | Conclusion |
| substandard goods and poor service. Certain | | | | Invariably, consumers are a vulnerable lot for |
| measures are required to protect the consumers | | | | exploitation, more so in a developing country with the |
| against such malpractices. | | | | prevalence of mass poverty and illiteracy. India too is |
| 6. Freedom of Enterprise: Businessmen must ensure | | | | no exception to it. Instances like overcharging, black |
| satisfaction of consumers. In the long run, survival | | | | marketing, adulteration, profiteering, lack of proper |
| and growth of business is not possible without the | | | | services in trains, telecommunication, water supply, |
| support and goodwill of consumers. If business does | | | | airlines, etc are not uncommon here. From time to |
| not protect consumers' interests, Government | | | | time, the government has attempted to safeguard |
| intervention and regulatory measures will grow to | | | | consumer's interests through legislations and the CPA |
| curb unfair trade practices. | | | | 1986 is considered as the most progressive statute |
| 7. Legitimacy for Existence: Business exists to satisfy | | | | for consumer protection. Procedural simplicity and |
| the needs and desires of consumers. Goods are | | | | speedy and inexpensive redressal of consumer |
| produced with the purpose of selling them. Goods will, | | | | grievances as contained in the CPA are really unique |
| in the long run, sell only when they meet the needs | | | | and have few parallels in the world. Implementation |
| of consumers. | | | | of the Act reveals that interests of consumers are |
| 8. Trusteeship: Businessmen are trustees of the | | | | better protected than ever before. However, |
| society's wealth. Therefore, they should use this | | | | consumer awareness through consumer education |
| wealth for the benefit of people. | | | | and actions by the government, consumer activists, |
| Methods of Consumer Protection | | | | and associations are needed the most to make |
| There are four main methods of protecting the | | | | consumer protection movement a success in the |
| interests of consumers: | | | | country. |
| 1. Business Self-regulation: The business community | | | | |