Dummies Guide to Consumer Protection Act, 2019

Consumer Protection Act

This article is written by Shreyak Patnaik , a third-year student pursuing B.A LL.B from Symbiosis Law School, Hyderabad. This article deal with the Consumer Protection Act, 2019, the changes the act has gone through, the relevant authorities and important cases to keep in mind.

Table of Contents

Introduction

You’re a consumer. No, it’s not a conditional statement. If you are reading this article on the Ipleaders blog. You are a consumer. You have purchased a phone, a computer or whatever device you are viewing this on, you have bought an internet connection and have paid for the electricity which is charging the device you are using to read this article. You are a part of the society, and therefore are also a consumer of the market that inherently exists in modern society. Humans are not self-sustainable, they rely on each other which forms the basis of society, and with society, there also exists a market: A commonplace for individuals to trade their commodities and buy other individual’s commodities and services. So being a part of that system, makes you a consumer. Now, as a consumer, you are entitled to certain rights when you purchase something from the market, much like any other individual living in society being entitled to societal rights.

So, as an individual of the society, the way you are aware that you can’t be murdered or can’t have your purse stolen from you at gunpoint. Similarly, a consumer, you must also be aware of certain rights you are entitled to, as a participant of the market.

Download Now

Definition of consumer

I told you that you’re a consumer. But that’s not enough, is it? When are you a customer? What brings you within the ambit of a customer? The answer lies in The Consumer Protection Act, 2019 . Any problems you have as a consumer and all the rights that you are entitled to as a consumer along with how to go about the procedure in case any of those rights are violated are all mentioned in this Act. So who is a consumer?

Under section 2(7) of the Act, it is stated that consumer is anyone who:

(i) buys any goods for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any user of such goods other than the person who buys such goods for consideration paid or promised or partly paid or partly promised, or under any system of deferred payment, when such use is made with the approval of such person, but does not include a person who obtains such goods for resale or for any commercial purpose; or

(ii) hires or avails of any service for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any beneficiary of such service other than the person who hires or avails of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred payment, when such services are availed of with the approval of the first-mentioned person, but does not include a person who avails of such service for any commercial purpose.

If you have bought any goods or hired any service whatsoever for any consideration or with a promise to pay consideration or with an arrangement which allows you to pay in instalment (think: EMI), or are using goods or availing services hired by someone else but with their permission, then you’re a consumer of the good or service.

Definition of deficiency in service

Deficiency, within the meaning of the Act, is always of service. So, problems in the goods purchased are defects and defects in services availed is labelled as a deficiency. Deficiency is defined in the Act under section 2(11):

“deficiency” means any fault, imperfection, shortcoming or inadequacy in the quality, nature and manner of performance which is required to be maintained by or under any law for the time being in force or has been undertaken to be performed by a person in pursuance of a contract or otherwise in relation to any service and includes:

(i) any act of negligence or omission or commission by such person which causes loss or injury to the consumer; and

(ii) deliberate withholding of relevant information by such person to the consumer;

So for example, if you have hired a mechanic to refill your bike’s mobile oil and he negligently uses petrol instead of mobile oil, that will be called a deficiency in service . Basically, if you face a loss directly because of the acts of the individual whose service you hired, then it can be labelled a deficiency in service .

Consumer protection redressal agencies

To protect consumer rights, the Act mentions the establishment of three redressal mechanisms wherein the consumers can approach to address their grievances.

District Commission

This the lowest rung in the redressal commissions that consumers can approach. The State Government, under section 28(1) establishes at least one district consumer dispute redressal commission in every district of the state. If the government deems fit, it can even establish more than one district commission in a district. Every district commission needs to have a minimum of one president and two members but can have more members after discussing it with the Central government. If your redressal value is 1 crore or less than that, then you can approach the district commission.

Who can file a complaint at the district commission?

The following people can file a complaint at the commission under section 35(1) of the Act:

i) To whom such goods are delivered, or sold or agreed to be sold or such service which has been provided or has been agreed to be provided.

ii) Who alleges unfair trade practises in respect of such goods.

Any voluntary consumer association registered under the law. It doesn’t matter if the consumer is part of such association or not.

These consumers would first need to get permission from the District Commission to proceed with the complaint in such a manner.

Under Section 34(2), a complaint can be filed at the District Court under within whose local limits: