July_20

Consumer Protection Act, 2019

The Consumer Protection Act, 2019–> via Section 10(1)–> Central Consumer Protection Authority

Swift and less time consuming compared to the older Consumer Protection Act, 1986 in which single-point access to justice was given making it a time-consuming exercise.

The old act provided for a 3-tier consumer dispute redressal machinery at the National (National Consumer Disputes Redressal Commission), State and District levels.

Primary objective will be to promote, protect and enforce the rights of consumers.

Rules on E-commerce and Unfair Trade Practices:  Consumer Protection (E-commerce) Rules, 2020–>

  • E-commerce entities are required to provide information to consumers, relating to return, refund, exchange, warranty and guarantee, delivery and shipment, modes of payment, grievance redressal mechanism, payment methods, security of payment methods, charge-back options and country of origin.
  • platforms will have to acknowledge the receipt of any consumer complaint within 48 hours and redress the complaint within one month
  •  Consumer Protection (E-commerce) Rules, 2020 are mandatory and are not advisories.
  • Sellers cannot refuse to take back goods or withdraw services or refuse refunds, if such goods or services are defective, deficient, delivered late, or if they do not meet the description on the platform.

Product Liability

Alternate Dispute Resolution Mechanism of Mediation

  •  complaint will be referred by a Consumer Commission for mediation,
  •  mediation will be held in the Mediation Cells which will be established under the aegis of the Consumer Commissions.
  •  will be no appeal against settlement through mediation.

Empowering the State and District Commissions to review their own orders.

  • As per the Consumer Disputes Redressal Commission Rules, there will be no fee for filing cases up to Rs. 5 lakh.
  • The credit of the amount due to unidentifiable consumers will go to the Consumer Welfare Fund (CWF).
  • there are Central Consumer Protection Council Rules, provided for the constitution of the Central Consumer Protection Council (CCPC).
    • It will be an advisory body on consumer issues, headed by the Union Minister of Consumer Affairs, Food and Public Distribution with the Minister of State as Vice Chairperson and 34 other members from different fields