The Consumer Protection Act, 2019, is a comprehensive legislation enacted by the Indian Parliament to safeguard the interests of consumers in India. It replaced the earlier Consumer Protection Act of 1986 and came into effect in July 2020. The Act aims to provide an effective and timely mechanism for redressal of consumer disputes, promote consumer rights, and regulate unfair trade practices and misleading advertisements. Sources: NCDRC, iPleaders, Wikipedia
Key Features of the Consumer Protection Act, 2019: Sources: iPleaders, pib india
Wider Definition of Consumer
The Act expands the definition to cover any person who buys goods or avails services for self-use, including online purchases and tele-shopping. However, goods or services bought for resale or commercial purposes are excluded.
Central Consumer Protection Authority (CCPA)
A new regulatory body with powers to investigate violations of consumer rights, unfair trade practices, and false or misleading advertisements. The CCPA can take suo-motu action, order recall of products, impose penalties, and file class-action suits.
Consumer Dispute Redressal Agencies
The Act establishes Consumer Disputes Redressal Commissions at the district, state, and national levels with specified pecuniary jurisdictions to resolve consumer complaints quickly and effectively. District Commissions handle complaints up to ₹50 lakh, State Commissions between ₹50 lakh and ₹2 crore, and the National Commission above ₹2 crore.
Simplified Complaint Filing
Consumers can file complaints electronically through the E-Daakhil portal, with provisions for hearings via video conferencing. Complaints can be filed at the consumer’s residence or workplace jurisdiction, enhancing convenience.
Product Liability
The Act introduces product liability provisions, holding manufacturers, service providers, and sellers responsible for any harm caused by defective products or deficient services.
Mediation and Alternative Dispute Resolution
It provides for mediation as a formal mechanism for dispute resolution, allowing consumers and sellers to settle disputes amicably without prolonged litigation.
Consumer Protection Councils
These advisory bodies exist at the central, state, and district levels to promote and protect consumer rights.
Consumer Rights
The Act explicitly grants consumers the rights to safety, information, choice, to be heard, to seek redressal, and to consumer education.
E-commerce Regulation
Special provisions regulate e-commerce platforms to ensure transparency, fair trade, and consumer protection in digital transactions.
Objectives of the Act:
Protect consumers from hazardous products and unfair trade practices.
Provide access to competitive pricing and quality goods.
Ensure speedy and effective redressal mechanisms.
Promote consumer education for awareness and empowerment.
Address the challenges posed by digital commerce and technology-driven markets.
This Act is a significant step in protecting consumer interests in the digital era and ensuring that businesses adhere to fair practices while consumers have effective access to justice and information.