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LAW AND CONSUMER IN INDIA

Citizen consumer and civic Action Group (CAG) 9/5, II Street, Padmanabha Nagar, Adyar, Chennai – 600 020. LAW AND CONSUMER IN INDIA. INTRODUCTION. Consumer Protection System Policies, laws, institutions and structures that form the framework for a consumer protection system

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LAW AND CONSUMER IN INDIA

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  1. Citizen consumer and civic Action Group (CAG)9/5, II Street, Padmanabha Nagar, Adyar, Chennai – 600 020 LAW AND CONSUMER IN INDIA

  2. INTRODUCTION Consumer Protection System Policies, laws, institutions and structures that form the framework for a consumer protection system • UN Guidelines • Consumer Protection Agencies/Organizations • Consumer Protection Laws • Consumer Redress

  3. Consumer Laws - Indian Scenario Many legislations enacted even during 1940’s and 50’s in order to protect the interests of consumers • The Sale of Goods Act, 1930  • Drugs and Cosmetics Act, 1940 • Prevention of Food Adulteration Act, 1954  • Drugs and Magic Remedies (Objectionable Advertisement) Act, 1954  • Essential Commodities Act, 1955 • Prevention of Black Marketing & Maintenance of supplies of Essential  Commodities Act, 1980 • Standards of Weights & Measures Act, 1975  • The Packaged Commodities Regulation Order, 1975

  4. Contd… • Infant Milk Substitutes, Feeding bottles and infant foods (regulation  of production, supply and distribution) Act, 1992 • Bureau of Indian Standards Act, 1986 • Consumer Protection Act, 1986 • The Telecom Regulatory Authority of India Act, 1997 • Competition Act, 2002 • Right to Information Act, 2005 • Food Safety and Standards Act, 2006

  5. Food Safety and Standards Act, 2006 An unified law to regulate the entire range of food products in the market • manufacture, processing, storage, distribution, sale and import of food so as to ensure the availability of safe and wholesome food for human consumption. Integrates many food related Regulations • The Fruit Products Order, 1955 • The Meat Food Products Order, 1973 • The Vegetable Oil Products (Control) Order, 1947 • The Edible Oils Packaging (Regulation) Order, 1998 • The Solvent Extracted Oil, De oiled Meal, and Edible Flour (Control) Order, 1967 • The Milk and Milk Products Order, 1992

  6. Contd… Provides for involvement of consumers to fix irresponsible food sellers. People can take samples and get them tested, and in case they are adulterated, prosecution can be launched by the Designated Officer, namely food inspectors in districts Penalties • Entails stringent provisions • Violators to be penalized for penalty of a maximum of Rs.10 lakhs and/or life imprisonment Violations include - food contamination, unsafe and sub-standard food, carrying out business without a license, providing false information, unhygienic manufacturing or processing, mis-branding, violations of standards, misleading advertisements

  7. Consumer Protection Act, 1986 A socio – benevolent, all inclusive legislation enacted to protect the overall interests of consumers Provisions of the Act in addition to and not in derogation of the provisions of any other law for the time being in force Speedy Redress The Act seeks to protect the consumer in the following respects: • The right to be protected against marketing of goods which are hazardous to life and property • The right to be informed about the quality, quantity, potency, purity, standard and price of goods to protect the consumer against unfair trade practice • The right to be assure, wherever possible, access to variety of goods at competitive price • The right to be heard and to be assured that consumers’ interests will receive due consideration at appropriate forums • The right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers • The right to consumer education

  8. Contd… Consumers may approach Consumer Forums in case of – Defective Goods - home appliances, mobile phones, motor bikes, cars, etc. Deficiency in services – education, insurance, banking, medical negligence, telecom, electricity, housing, etc. Unfair Trade Practices – selling above MRP, tied selling, arbitrary disclaimers, etc And, other related areas

  9. Medical Negligence – an example Legal Avenues available (other than CPA) to aggrieved patients/families to sue against health professionsals - Medical Council of India (constituted under the Indian Medical Council Act, 1956) and Dental Council of IndiaCivil Courts- Remedies based on Law of Torts, Fatal Accidents Act, 1855 and Section 357 of Cr. P.C., 1973 Public Interest Litigation – usually resorted to when public health programs are not properly implemented Indian Penal Code, 1860 - Sections 52, 80, 81,83, 88, 90, 91, 92, 304-A, 337 and 338 contain the law of medical malpraxis in India

  10. Role of Judiciary It is vital for the Judiciary to take a consumer friendly approach, adopt the principle of natural justice, as defined under the Consumer Protection Act, while deciding cases. Need to mention this – Telecom sector removed from the purview of the Consumer Forums due to a ruling by the Apex Court more than two years back

  11. Amendments made to existing laws need to be consumer friendly - Under Standards of Weights and Measures Act, 1976, and the Standards of Weights and Measures Rules (Packaged Commodities) of 1977 - standard packaging of particular weights is mandatory for each and every pre-packed commodity - Done to protect consumers from deceptive packaging - Amendment to Rule 5 of the Standards of Weights and Measures (Packaged Commodities) Rule, 1977, effected in 2006, relaxed the previous rule - Stated that if a commodity is packed in a size other than that prescribed, a declaration that “Not a standard pack size under the Standards of Weights and Measures (Packaged Commodities) Rules, 1977” shall be displayed prominently on the label of such a package - Consequence? – Exploitation!

  12. Responsibilities of consumers It is important for consumers to be responsible, follow the rule of the land, be alert and raise questions and demands where necessary, in order to make the authorities abide by the law in force - ex. Garbage Rules – civic responsibility Energy Conservation Electricity Act, 2003 and Distribution Code laid down by the Tamil Nadu Electricity Regulatory Commission, to be complied upon by the utility

  13. Conclusion • Sufficient laws in place – inclusiveness makes it more effective • Have been beneficial in many ways • Need of the hour - Implementation of the provisions of the law in its fullest sense - more rigid measures to be adopted – to add more meaning • Penal provisions to be stringent in order to ensure that the offense is not repeated • Judiciary to take a more proactive approach on consumer related issues and stick to time line • Consumers to be responsible towards the society

  14. Thank You

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