Consumer Protection

7.1 Introduction
7.2 Meaning and Definition
7.3 Need and importance of Consumer Protection
7.4 Rights of Consumer
7.5 Responsibilities of Consumer
7.6 Ways and means of Consumer Protection
7.7 Consumer Protection Act,2019
7.8 Role of Consumer organizations and NGOs
Comparative Study / Distinguish Between
Summary
Exercise

"A consumer is the most important visitor in our premises. He

is not dependent on us. We are dependent on him. He is not an
interruption in our work; he is the purpose of it. He is not an outsider
to our business, he is part of it. We are not doing him a favour by
serving him, he is doing a favour by giving us on opportunity to do
so".
- Mahatma Gandhi.

7.1 INTRODUCTION

Consumer is the origin of the modern marketing world, consumer is the originator of an
organization, the success and failure of any business depends on consumers. Consumers are the
pillars of economic development in any country as the entire economy revolves around them. All
the production and manufacturing activities are undertaken by business organisations only to give
maximum satisfaction to the consumer.
In today's seller's market consumers have been cheated and exploited through price rise,
artificial scarcity, black marketing, adulteration, and misleading advertising.
Every consumer should have adequate knowledge of product and services regarding quality,
quantity, price, standards etc. to select right product.

133
 7.2 MEANING

The word 'Consumer' is derived from the Latin word 'Consumere' which means, to eat or to
drink. The consumer is the one who consumes or uses any commodity or service available from nat-
ural resources or through a market.
A Consumer means any person who buys any goods, hires any service or services for a
consideration which has been paid or promised or partly paid or partly promised or under any system
of deferred payments.
We are all consumers when we use any commodity like foodgrains, milk etc. or service like
bank, railway, post office, hospital etc.

7.3 NEED AND IMPORTANCE OF CONSUMER PROTECTION

Generally, safeguarding the rights and interests of consumers is known as consumer protec-
tion. It includes all the measures aimed at protecting the rights and interests of consumers. In modem
competitive market, consumer is regarded as the 'King of Market' hence consumer protection is re-
quired due to the following reasons:
1) Need of participation of consumers: It is noted that business organizations take decisions
which affect the consumers' interest without consulting the consumer or their organizations.
Only a strong consumer organisation can pressurise business organisations to allow consumer
participation in the decision making process.
2) Lack of information: It is very difficult to establish direct contact between consumer and
manufacturer because consumers live in a dynamic and complex world and they are widely
scattered. Today's markets are full of domestic as well as imported products therefore it is very
difficult to get correct and reliable information about product before they purchase.
3) Ignorance: Ignorance of consumers is the main cause of exploitation by business. Consumers
in India are mostly ignorant about their rights, market conditions, price levels and product
details. A system is required to protect them from business malpractices.
4) Unorganized Consumers: Consumers are widely scattered and are not organized, On the
other hand sellers are in better position than consumers and they are powerful. Consumers are
under the influence of businessman. An individual consumer cannot fight against these pow-
erful sellers.
5) Spurious Goods: There is increasing supply of duplicate products. It is not possible for an
ordinary consumer to distinguish between a genuine product and its imitation. It is necessary
to protect consumers from such exploitation by ensuring compliance with prescribed norms of
quality and safety standards.
6) Misleading Advertising: Some businessmen give misleading information about quality, safe-
ty and utility of products. Consumers are misled by misleading advertisement and do not
know the real quality of advertised goods. A mechanism is needed to prevent misleading
advertisements.
7) Malpractices of Businessmen: Fraudulent, unethical and monopolistic trade practices by
businessmen lead to exploitation of consumers. Many times consumers get defective, inferior

134
 and substandard goods and services. Certain measures are required to protect the consumers
against such malpractices.
8) Trusteeship: According to Gandhian philosophy businessmen are trustees of the society's
wealth. Therefore, they should use this wealth for the benefit of people.

Activity :

Discuss with your friends about various beauty products appeared attractive in advertisement
but not in reality.
7.4 RIGHTS OF CONSUMERS

On 15th March, 1962 the then President of United States, J. F. Kennedy (U.S.A) declared certain
rights of consumer, therefore it is observed as 'World Consumer Rights Day'. Rights of consumers
are an integral part of our day to-day life. Consumer rights protect consumers from being cheated by
salesman, manufacturer and shopkeeper.
Rights of Consumers:
The success of any campaign depends on the consciousness and awareness of the people for
whose cause the movement is organized. Consumer's rights play an important role in their protection
and safety. The business aim should be to meet the needs of the consumers and to provide full satis-
faction. Every consumer should be aware of his rights and use of them in his daily life for protection.
Consumers have to fight for their rights and put pressure on business, manufacturer and traders for
safeguarding their rights.
Consumers have the following rights:

Right to Safety

Right to Information

Right to Choose

Right to be heard

Right to Consumer Education

Right to Represent

15 March Right to Redress

Right to Healthy Environment

Right to protect from unfair business practices

Right against spurious goods

135
1) Right to Safety: This right protects consumers against products, production processes and
services which are hazardous to health or life. It includes concern for consumer's long-term
interests as well as their immediate requirements. According to this right, consumer must get
full safety and protection to his life and health. This safety should be in relation to medicines,
electrical appliances, food etc. The GOI has given safety standards in the form of AGMARK,
lSI, BIS, Hallmark etc.
2) Right to Information: According to this right, consumer should be provided with adequate
information about all aspects of goods and services like price, name of manufacturer, contents
used, batch number if any, date of manufacture and expiry date, user manual and safety in-
struction etc. This right also enables consumer to select right product or service. It is applicable
to food products, medicines, spare parts or any other consumer products or services.
3) Right to Choose: The choices available to Indian consumers across the basket of goods and
services have multiplied like telecommunications, travel and tourism, banking, electronics,
fast moving consumer goods(FMCG) etc. According to this right, consumer should be given
full freedom to select an article as per his requirement, liking and purchasing capacity. The
right to choose is related to the concept of free market economy. As per this right, the seller
cannot compel consumer to buy particular product and hence monopoly is prevented.
4) Right to be heard: Every business organization should listen and solve the complaints of
consumers. According to this right, consumers have opportunity to voice their complaint to
the consumer forum. Consumers also give suggestions to manufacturer or trader on certain
matters such as quality, quantity, price, packaging etc. Now a days, consumers can file online
complaints through portal or mobile applications.
5) Right to Consumer Education: Every consumer has the right to know about consumer rights
and solutions to their problems. This right creates consumer awareness. An aware consumer
can make rational choice of goods and services and protect his rights and interests from the
exploitation of unscrupulous businessmen. Thus, consumer education becomes a priority con-
cern. It is necessary to give education and training regarding prevailing acts and legal process-
es. The government, media and NGOs play vital roles in this regard. E.g. 'Jago Grahak Jago'
campaign.
6) Right to Represent: The act provides an opportunity to individuals and consumer groups to
represent consumer’s interest before consumer forum. The act allows the consumer to be rep-
resented by a person who is not a professional advocate. This provision is in recognition of
consumer's right to represent.
7) Right to Redress: Along with the right to represent, right of redressal is also given. Only filing
of complaint is not enough to give justice to consumers, so this right implies fair settlement
of claims. This right enables the consumer to demand repair or replacement or compensation
for defective products and for poor services. According to consumer protection Act, three tier
quasi judicial consumer dispute redressal machinery is established for settlement of claims
such as District Commission at District level, State Commission at state level and National
Commission at national level. Consumers are protected from business malpractices.
8) Right to Healthy Environment: All consumers have a right to healthy and clean environment.
According to this right, consumer can demand actions against the pollution causing business
organisations. All consumers have the right to healthy and clean environment in present and
future.

136
9) Right to Protect from unfair business practices: As per this right all consumers are protect-
ed against unfair business practices such as black marketing, profiteering, faulty weights and
measures, exorbitant prices, adulteration etc.
10) Right against spurious goods: This right is against the marketing of goods which are hazard-
ous to health, spurious and pose a danger to life itself.

Activity :

Visit to ten consumers in your area to find out whether they are aware of their rights and
responsibilities as consumer.

7.5 RESPONSIBILITIES OF CONSUMERS :

The Act, has given certain rights to the consumers. At the same time consumers have some
responsibilities too. Consumers should exercise their rights and responsibilities while purchasing
products or services. These are as follows:
1) Consumer should use his rights: Consumers have many rights with regard to the goods and
services. They must be aware of their rights while buying.
2) Cautious consumer: The consumers should understand their responsibilities while buying
goods and services. While buying, the consumer should enquire about the quality, quantity,
price, utility of goods and services etc.
3) Filing of complaint: It is the responsibility of a consumer to approach the officer concerned,
if consumers have some complaint about the goods and services. A delay in complaint may
result in expiry of guarantee or warrantee. Sometimes, consumers ignore the dishonest acts of
businessmen which encourages unethical business practices.
4) Quality conscious: The consumers should never compromise on the quality of goods. They
should not buy inferior stuff out of greed for less prices. If the consumers behave like this, there
cannot be any protection for them from any sector. It is also the responsibility of the consumers
to buy quality goods. The symbols such as ISI, AGMARK, Hallmark, FPO, FASSAI etc. are
indicative of the good quality of the goods.
5) Beware from exaggerate advertisement: The seller informs the consumer about their goods
and services through advertisement. Usually the sellers exaggerate the quality of their goods
in advertisements. Therefore, it is the responsibility of the consumers to identify the truth of
advertisement.
6) Demand of Invoice and Guarantee, Warrantee Card: Consumer should always ask for in-
voice for the goods purchased. It is the responsibility of consumer to check details mentioned
on the guarantee or warrantee card. If the goods purchased are of inferior quality, these docu-
ments are useful to settle all kinds of disputes with the seller.
7) Pre-planned buying: The important responsibility of consumers is that they should not buy
in hurry. It means that the consumers should make an estimate of the goods they want to buy
along with their quantity required. They should also take in consideration the place from
where to buy the things.

137
8) Organised Efforts: Consumer should undertake responsibility for the protection of their rights
and safeguarding their interests. Consumers can work for and support the consumer protection
associations for consumer welfare.
Activity :

Visit local market and find out ways of adulteration in groceries.

7.6 WAYS AND MEANS OF CONSUMER PROTECTION

We have enumerated several instances of exploitation and malpractices on the part of

manufacturers, traders, dealers and services provider. Now the question arises as to how can these be
eliminated? The prevailing judiciary system is not sufficient enough to protect consumers, therefore,
there are various ways and means of consumer protection. They are as follows.
1) Lok Adalat:
Lok adalat is the effective and economical system for quick redressal of the public grievances.
It can also be referred to as 'People's Court'. It is established by the government to settle dis-
putes by compromise.
The aggrieved party can directly approach the adalat with grievance, and issues are discussed
on the spot and decisions are taken immediately. Resolution of disputes by Lok Adalat gets
statutory recognition. e.g. MSEDCL, MSRTC, Railway authority, Insurance Companies,
Banks etc. organize regular Lok Adalat.
2) Public Interest Litigation (Janahit Yachika)
Public Interest Litigation means a legal action initiated in a court of law regarding a matter of
general public interest. It is a legal facility under which any person can approach to the court
of law in the interest of the society. Its aim is to provide legal remedy to unrepresented groups
of society. The party which is not related to grievance can also file public interest litigation. It
is filed in the High Court as well as Supreme Court directly in some cases.
3) Redressal Forums:
Under the Consumer Protection Act, 2019, a system has been set up to deal with the consumer
grievances and disputes at district, state and national level. Any individual consumer or asso-
ciation of consumers can file a complaint with respective commission depending on the value
of goods and claim for compensation. The main aim of these commissions is to provide for
simple, speedy and inexpensive redressal of consumer's grievances.
As per the Act, Consumer Protection Councils at district, state and national level can be set up
for promotion and protection of rights of consumers.
4) Awareness Programme:
To increase the level of awareness among the consumers the Government of India has initiated
various publicity measures. State and Central Government regularly publishes journals, bro-
chures, booklets and various posters depicting the rights and responsibilities of consumers, re-
dressal machineries etc. Several audio-video programmes on consumer awareness are broad-
casted on various channels and through social media. 15th March is observed as 'International
Consumer Rights Day' and 24th December is observed as 'National Consumer Day'.

138
5) Consumer Organizations:
Consumer Organizations have been active in India to promote and protect consumer interests.
Consumer movement is well settled in India and helping individuals to seek quick and adequate
redressal of their grievances. It is necessary to strengthen consumer movement throughout the
country.
6) Consumer Welfare Fund (CWF):
Department of Consumer Affairs has created consumer Welfare Fund for providing financial
assistance to strengthen the voluntary consumer movement particularly in rural area. This
fund is used for training and research in consumer education, complaint handling, counselling
and guidance mechanisms, product testing labs and so on.
7) Legislative Measures:
A number of laws have been enacted in India to safeguard the interest of consumers and
protect them from unethical practices of businessman. Some of these laws are as follows:
● Sale of Goods Act, 1930
● Essential Commodities Act, 1955
● Standard of Weights and Measures Act, 1956
● Bureau of Indian Standards Act, 1969
● Food Safety and Standards Act, 2006
● National Food Security Act, 2013
There are a number of laws to safeguard the interests of consumers, but these acts could not
provide complete and fair justice to consumers. Therefore, an exclusive Act has been advocated in
the form of Consumer Protection Act, 2019.
Activity :

Visit the Non Government Organization and discuss about malpractices by business in your area.

7.7 CONSUMER PROTECTION ACT, 2019

Consumer Protection Act.2019 received the assent of the President on the 9th August 2019.
It shall come into force on such date as the Central Government may, by notification, appoint and
different dates may be appointed for different states and for different provisions of this Act and any
reference in any such provision to the commencement of this Act shall be construed as reference to
the coming into force of that provision.
The Central Government initially passed the consumer protection Act on 24th December,1986.
In 2019, Ministry of Law and Justice has proposed new act as 'Consumer Protection Act,2019'
which has received the assent on 9th August,2019. This Act, made provision for the establishment
of consumer dispute redressal agencies, known as District Commission at the district level, State
Commissions at the state level and National Commission as an apex body at the central level. The
Act covers all complaints with relevant merchandise or services, and unfair trade practices.

139
 Following are consumer dispute redressal forums established under theAct.
1) District Commission:
Meaning - A consumer dispute redressal commission at each district established by the State
Government is known as District Commission.
Composition - Each District commission shall consist of the following.
a) President: A person who is sitting or retired or qualified to be a District Judge.
b) Member: not less than two and not more than such number of members as may be prescribed,
in consultation with the Central Government.
c) Tenure: Any person appointed as President or a member of the District Commission shall hold
office as such as President or as a member till the completion of his term for which he has been
appointed. The members will hold office for a term of five years or upto the age of sixty five
years, whichever is earlier.
Qualification -The members of District Commission shall have the following qualifications
a) Age - Members should not be less than 35 years of age.
b) Education - They should possess a Bachelors Degree from a recognised University.
c) Experience - They should have adequate knowledge and at least ten years experience in deal-
ing with problems related to economics, law, commerce, accountancy, industries and public
affairs or administration.
Territorial Jurisdiction - Territorial Jurisdiction of district commission is entire district in which it
is established.
Monetary Jurisdiction - District Commission shall have jurisdiction to entertain complaints where
the value of the goods or services paid as consideration does not exceed Rs. one crore.
Appeal - Any person aggrieved by an order made by the District Commission may prefer an appeal
against such order to the State Commission within a period of forty-five· days from the date of the
order, in such form and manner, as may be prescribed.
The State Government, by notification may make rules about qualifications, method of recruit-
ment, term of office, resignation and removal of president and members of district commission.
However, any person already appointed as a President or member of district commission im-
mediately before the commencement of this Act, will remain on the same post till the completion of
his term for which he has been appointed.
2) State Commission:
Meaning - A consumer dispute redressal commission at the state level established by the State
Government is known as State Commission. It is also called as State Consumer Disputes Re-
dressal Commission.
Composition - Each State Commission shall consist of
a) President: A person who is sitting or retired Judge of High Court, shall be appointed by the
State Government as the president of State Commission in consultation with Chief Justice of
High Court.

140
b) Member: Not less than four or not more than such number of members as may be prescribed
in consultation with the Central Government.
c) Tenure: The members will hold office for a term of five years or up to the age of sixty seven
years, whichever is earlier.
Qualification - The members of state commission shall have the following qualifications
a) Age - Members should not be less than 35 years of age.
b) Education - They should possess a Bachelors Degree from a recognised University.
c) Experience - They should have adequate knowledge and at least ten years experience in
dealing with problems related to economics, law, commerce, accountancy, industries and public
affairs or administration.
Territorial Jurisdiction - It can entertain original cases as well as appeals against the order of
District Commission which are within the geographical limits of the state.
Monetary Jurisdiction - to entertain complaints where the value of the goods or services paid as
consideration, exceeds Rs. one crore, but does not exceed Rs. ten crore.
Appeal - Any person aggrieved by an order made by the State Commission may prefer an appeal
against such order to the National Commission within a period of thirty days from the date of the
order in such form and manner as may be prescribed.
The Central Government, by notification may make rules about qualifications, method of recruit-
ment, term of office, resignation and removal of President and Members of State Commission.
However, any person already appointed as a President or member of State Commission immediately
before the commencement of this Act, will remain on the same post till the completion of his term
for which he has been appointed.
3) National Commission
Meaning - A consumer dispute redressal forum at the National level established by the Central
Government by notification is known as National Commission. It is also called as the National
Consumer Disputes Redressal Commission.
Composition - National Commission shall consist of -
a) President: A person, who is or has been a Judge of the Supreme Court, shall be appointed by
the Central Government as the president of National Commission in consultation with Chief
Justice of India.
b) Member: Not less than four and not more than such number of members as may be prescribed.
c) Tenure: The members will hold office for a term of five years or up to the age prescribed,
whichever is earlier.
Qualification - The members of national commission shall have the following qualifications
a) Age - Members should not be less than 35 years of age.
b) Education - They should possess a Bachelors Degree from a recognised University.
c) Experience - They should have adequate knowledge and at least ten years experience in deal-
ing with problems related to economics, law, commerce, accountancy, industries and public
affairs or administration.

141
Territorial Jurisdiction- It can entertain original cases as well as appeals against the order of State
Commission which are within the geographical limits of the state.
Monetary Jurisdiction - to entertain complaints where the value of the goods or services paid as
consideration exceeds Rs. ten crore.
Appeal- Any person, aggrieved by an order made by the National Commission may prefer an appeal
against such order to the Supreme Court within a period of thirty days from the date of the order.
The Central Government, may by notification make rules about the qualification, appointment,
term of office, salaries, resignation and removal of the President and Members of the National
Commission. However, the President and the members shall hold the office for maximum five years,
but are eligible for resppointment. The Act further provides that the President can work upto the age
of seventy years and members can work upto the age of sixty seven years.
Penalty for non-compliance of Order:
If any party failed to comply with any order made by the District Commission, State Commission
or National Commission, it shall be punishable with an imprisonment for term not less than one
month but may extend to three years or with a fine, which shall not be less than Rs. twenty- five
thousand, but may extend to R. one lac or with both.
Activity :

Collect Newspaper cuttings related to consumer protection.

7.8 ROLE OF CONSUMER ORGANISATIONS AND NGOs

"Non-government organisation (NGO) are non- profit and non political organisation which
aim at promoting the welfare of the people." The main aim of these NGOs is to study the trend of
prices in the market and publish them for the information of consumers and to agitate against the
malpractices of traders.
Role of Consumer organizations & NGOs in Consumer protection and Education:
i) To organize campaigns and various programmes on consumer issues to create social awareness.
ii) To organize training programmes for the consumers and make them conscious of their rights
and modes of redressal of their grievances.
iii) To publish periodicals to enlighten the consumers about various consumer related developments.
iv) To provide free legal advice to members on matters of consumer interest and help them to take
up grievances.
iv) To interact with businessmen and Chambers of Commerce and Industry for ensuring a better
deal for consumers.
v) To file Public Interest Litigation on important consumer issues, such as ban on a product inju-
rious to public health.
The fol1owing are examples of NGOs
1) Consumer Guidance Society of India. (CGSI)
2) Voluntery Organisation in Interest of Consumer Education. (VOICE)
3) Consumer Education and Research Centre. (CERC)

142
4) Consumer Association of India. (CAL)
5) Mumbai Grahak Panchayat. (MGP)
6) Grahak Shakti. (GS)
Comparative Study / Distinguish between :
Sr.No. Points District State Commission National
of Commission Commission
Distinction
1) Meaning A consumer dispute A consurqer dispute A consumer dispute
redressal forum at redressal forum redressal forum at
the district level at the State level the National level
established by the established by the established by the
State Government State Government Central Government
is known as District is known as State by notification is
Commission. Commission. known as National
Commission.
2) President A person who A person who is A person who is or
is sitting or retired sitting or retired or
has been a judge of
or qualified to be the Supreme Court,
Judge of High Court,
District Judge. shall be appointed by
shall, be appointed by
the State Government
the Central Govern-
as the President ofment by notification
State Commission. is known as National
Commission.
3) Member Not less than two Not less than four or Not less than four
and not more than not more than such and not more than
such number of number of members such number of
members as may as may be prescribed members as may be
be prescribed, in in consultation prescribed.
consultation with the with the Central
Central Government Government.
4) Membership The members can The members can The members can
Tenure have the membership have the membership have the membership
for a term of five for a term of five for a term of five
years or upto the years or up to the years or up to the age
age sixty five years, age sixty seven, sixty seven years and
whichever is earlier. whichever is earlier. president upto sev-
enty years, whichev-
er is earlier.
5) Area covered It covers particular It covers particular It covers the entire
district state country

143
6) Monetary To entertain com- To entertain com- To entertain com-
Jurisdiction plaints where the plaints where the plaints where the
value of the goods value of the goods or value of the goods or
or services paid as services paid as con- services paid as con-
consideration does sideration, exceeds sideration exceeds
not exceed Rs. one Rs. one crore, but Rs. ten crore.
crore. does not exceed Rs.
ten crore.
7) Appeal Appeal against the Appeal against the Appeal against the
District Commission State Commission National Commis-
can be made to the can be made to the sion can be made to
State Commission. National Commis- the Supreme Court.
sion.

Just to know
Quick tests for establishing tentative authentication of food products by sensory evaluation.

Food Product Adulteration Method of sensory evaluation

Milk Synthetic Milk 1. Synthetic milk gives bitter after teste.
2. If adulterated, it gives a soapy feeling on
rubbing between the fingers.
Chilli Powder Brick powder/salt pow- 1. Take teaspoon of chilli powder in a glass of
der/ talc powder water and examine the residue.
2. When the residue is rubbed and if any grit-
tiness is felt it indicates the presence of brick
powder/sand.
3. When the white residue is rubbed, soapy and
smooth feel indicates the presence of soap stone.
Sugar Urea 1. Rub a little sugar on palm and smell. If adul-
terated with Urea, it will smell of ammonia.
2. Dissolve a small amount of sugar in water.
3. If adulterated, urea in sugar gives a smell of
ammonia.
Wheat, Rice, Maize, Kernel Bunt 1. Separate out the non characteristics grains
Jowar, Bajra Channa and examine.
2. Kernel bunt has a dull appearance, blackish
in colour and a rotten fish smell.
Atta Resultant atta/Maida 1. When dough is prepared from resultant atta,
less water is needed.
2. The normal taste of chapatti prepared out of
atta is somewhat sweetish whereas those pre-
pared out of adultery will taste insipid.

144
Sago Sand or talcum 1. Put a little quantity of sago in mount
2. If adulterated, it will have gritty feel.
Powdered spices Common salt 1. Taste of addition of common salt.
2. If present, it will have a gritty feel.

Summary

Meaning of consumer:
The consumer is one who consumes or uses any commodity or service available from natural
resources or through a market.
The one who buys any goods, hires any service or services for a consideration which has been
paid or promised or partly paid or partly promised or under any system of deferred payment is a
consumer.
Need of Consumer Protection:
In modem competitive market, consumer is regarded as the King of Market Consumers need
protection due to the following reasons:
1) Need of participation of consumers
2) Lack of information
3) Ignorance
4) Unorganised consumers
5) Spurious goods
6) Misleading advertising
7) Malpractices of businessman
8) Trusteeship

Consumer Rights:
1) Right to Safety
2) Right to Information
3) Right to Choice
4) Right to Heard
5) Right to Consumer Education
6) Right to Redress
7) Right to Represent
8) Right to Healthy Environment
9) Right to protect from unfair business practicess.
10) Right against spurious goods.

145
Consumer Responsibilities :
Responsibilities of consumer are as follows:
1) Consumer should use his right
2) Cautious consumer
3) Filing complaint for the redressal of actual grievances
4) Consumer must be quality conscious
5) Beware from exaggerate advertisement
6) Demand of Receipt and Guarantee/ warrantee card
7) Pre-Plan for buying
8) Organised efforts
Ways and Means of Consumer Protection
Following are the various ways and means of consumer protection in India.
1) Lok Adalat
2) Public Interest Litigation (Janahit Yachika)
3) Redressal Forums
4) Awareness Programme
5) Consumer Organizations
6) Consumer Welfare Fund
7) Legislative Measures
Consumer Protection Act,2019:
1) District Commission 2. State Commission 3. National Commission
Career
Opportunities
Consumer court Lawyer.
Consumer Counsellor.
Analyst in Food testing laboratories

EXERCISE
Ql A) Select the correct answer and rewrite the sentence.
1. In India, the consumer protection act was initiaed in the year ........ .
a) 1947 b) 1989 c) 1986
2. The President of District Commission is a .............. .
a) District Judge b) High Court Judge c) Supreme Court Judge
3. The main objective of the consumer organization is to protect the interest of the ....... .
a) Consumer b) trader c) producer
4. ....... is the highest authority to settle the consumer dispute under Act.
a) State Commission b) National Commission c) District Commission
5. The Government has established ....... to settle the consumer disputes by compromise.

146
 a) District Commission b) Lok Adalat c) Consumer organisation
6. National Commission has ........ members.
a) 2 b)3 c) 4
7. District Commission entertains complaints of consumer for compensation which is less than
........ .
a) one crore b) ten lacs c) ten crore
8 ....... is celebrated as World Consumer Day.
a) 24th December b)26th January c) 15th March
9. In modern competitive market, consumer is regarded as the ........... .
a) king, b) Agency c) Owner
B) Match the pairs.
Group A Group B
A) King of the market 1) 1930
B) National Commission 2) Socialist
C) Mumbai Grahak Panchayat 3) Exceeds Rs. ten crore
D) Sale of Goods Act 4) Non Government Organisation
E) Consumer Right 5) Consumer
6) Legislative Measures
7) Exceeds Rs. one crore but does not exceeds Rs. ten crore.
8) 1956
9) Consumer Protection Act
10. Right to information

C) Give one word / phrase / term for the following sentence.

1. The commission which entertains case where the value of the goods or services paid as consid-
eration does not exceed Rs. one crore.
2. A legal action initiated in a court of law regarding a matter of general public interest.
3. Organizations which aim at promoting the welfare of the people.
4. The right of consumer which is about safety and protection to his life and health.
5. One who consumes or uses any commodity or service.
D) State whether following statements are true or false.
1. The seller has to recognize the rights of Consumer.
2. Consumer Protection Act provides protection to the producer.
3. Consumer Protection Act is not required in India.
4. Lok Adalat can rightly be described as "People's Court".
5. Consumer, being the king of market, does not have any responsibility.

147
E) Find the odd one.
1. District Commission, State Commission, NGO, National Commission
2. District Judge, High Court Judge, Commissioner, Supreme Court Judge
F) Complete the sentences.
1. National Commission is tobe established by ............ Government.
2. Any person who does not agree with the decision of District Commission can appeal to the
............ .
3. State commission has ............ members.
4. The President of National Commission is ............ judge.
5. National Commission entertains complaints of consumer for compensation that exceeds
Rs ............ .
6. The consumer protection Act established ............ Tier quasi judicial system for consumer
protection exist.
G) Select the correct option and complete the following table.
(High court Judge, Four, Consumer Organisations, does not exceeds Rs. one crore, 2019)
Group A Group B
l) Amount of compensation in A. ............................
District Commission
2) ............................ B. State Commission
3) Consumer Protection Act C. ............................
4) ............................ D. non-profit and non Political organisation
5) Members of National Commission E. ............................
H) Answer in one sentence.
1) When do we observe a National Consumer's Day?
2) Who is consumer?
3) What information one should check before buying a product?
4) Which forum is set up at the national level for redressal for consumer complaints?
5) Who shall be appointed as president of National Commission?
6) When do we observe World Consumer's Rights Day?
I) Arrange in proper order.
1) National Commission, District Commission, State Commission.
2) District Judge, Supreme Court Judge, High Court Judge.
J) Correct the underlined word and rewrite the following sentence
1) An appeal can be filed against the order of the National Commission to the State forum.
2) National Commission is established by the State Government.
3) District Commission is also referred as People's Court.
4) In India, sellers are widely dispersed and are not united.
5) National Commission entertains complaints where the value of the goods or services_
paid as consideration does not exceed Rs. one crore .

148
Q.2. Explain the following terms/ concepts.
1) District Commission.
2) National Commission.
3) State Commission.
4) Lok Adalat.
5) Janhit Yachika
Q.3. Study the following case/situation and express your opinion.
1) Mr. Ashok visited a shop to buy a pair of shoes of RS. 700. The salesman forced him to buy a
pair of bigger size shoes of ordinary company by claiming this size would be suitable to him. After
reaching home, he discovered that shoes are still too big for him. He complained about the shoes to
the shopkeeper. It was denied by the shopkeeper to replace the shoes despite of availability of stock.
In above case
i) Which right has been violated?
ii) Comment on the right which has been violated.
iii) Where can Mr. Ashok file his complaint?

2) Mrs. Meera a resident of Nagpur District bought a washing machine worth Rs. 50,000 without
cash memo with a warrantee period of 2 years. After 1.5 years she noticed some defect and
asked the company to repair or replace it. The company did not accept her complaint despite
of the defective product.
In the above case,
i) Suggest suitable redressal machinery to protect her right.
ii) If she is not satisfied with the decision given by redressal machinery, where should she
appeal?
iii) What was the negligence of Mrs. Meera while buying the washing machine?
Q.4. Distinguish between.
1) District Commission and State Commission.
2) State Commission and National Commission.
3) District Commission and National Commission
Q.5. Answer in brief.
1) Explain any four needs of consumer protection.
2) State any four rights of the consumer.
3) Explain any four responsibilities of the consumer .
4) State the role of NGO in consumer protection.
Q.6. Justify the following statements.
1) The Consumer Protection Act was passed in the interest of consumers.
2) Consumers have many responsibilities.
3) Aim of consumer organization is to protect the rights of the consumer.

149
Q.7. Attempt the following.
1) State rights of the consumer.
2) State responsibilities of the consumer.
3) State the need of consumer protection.
4) State the role of NGOs and consumer protection.
5) State the composition and monetary jurisdiction of district Forum.
6) State the composition and monetary jurisdiction of state commission.
7) State the composition and monetary jurisdiction of national commission.
Q.8. Answer the following.
1) Who is consumer? Explain the rights of the consumers.
2) Explain the ways and means of Consumer Protection.
3) Explain the three tier quasi judicial machinery under the Act.
Answer Key

Q.l (A) 1- 1986,2 - District Judge, 3 - Consumer, 4- National Commission, 5 - Lok

Adalat, 6 - 4, 7- one crore, 8 - 15th March, 9 - King
(B) A-5, B-3, C-4, D-l, E-10
(C) 1 - District Commission 2 - Public Interest Litigation, 3.Non Government
Organizations,4 Right to safety, 5. Consumer
(D) True-1,4, False-2,3,5
(E) 1. NGO, 2.Commissioner
(F) 1. Central, 2. State Commission, 3. four, 4. Supreme Court, 5 Rs ten
crore 6.three
(G) 1. Does not exceed Rs. one crore 2. High court Judge, 3.2019 4.Consumer
Organisations, 5.4
(I) 1. District Commission, State Commission, National Commission.
2. District Judge, High Court Judge, Supreme Court Judge.
(J) 1. Supreme Court, 2. Central Government, 3. Lok Adalat, 4. Consumer, 5. District
Comission

REFERENCES :
• The text book 'Organisation of commerce and management' XII Maharashtra State
Board of Secondary and Higher Secondary Education Pune.
• Consumer Protection Law, Provision and Procedure, R. N. P.Chaudhary
• www. Wikipedia.org! Lok Adalat
• www.Wikipedia.org/ Public Interest Litigation
• www.conusmeraffairs.nic.in
• Consumer Protection Act, 2019 Gazatte of India dtd.9 August,2019.

³³³³³

150