CONSUMER PROTECTION

ACT, 2019
AND
COMPETITION ACT, 2002

(FOR PRIVATE CIRCULATION ONLY)

2022
PROGRAMME COORDINATOR
Prof. Pallavi Ligade

COURSE DESIGN AND REVIEW COMMITTEE

Ms. Swatee Yogessh Prof. Dr. Shashikala Gurpur
Ms. Nehaa Satalkar Prof. Ujjwala Sakhalkar
Mr. Nikhil Fulambarkar Prof. Medha Kolhatkar

COURSE WRITERS
Ms. Medha Kolhatkar Ms. Nehaa R. Satalkar
Mr. Nikhil Fulambarkar

EDITOR
Mr. Yogesh Bhosle

Published by Symbiosis Centre for Distance Learning (SCDL), Pune

December, 2020 (Revision 04, 2022)

Copyright © 2022 Symbiosis Open Education Society

All rights reserved. No part of this book may be reproduced, transmitted or utilised in any form or by any
means, electronic or mechanical, including photocopying, recording or by any information storage or retrieval
system without written permission from the publisher.

Acknowledgement
Every attempt has been made to trace the copyright holders of materials reproduced in this book. Should any
infringement have occurred, SCDL apologises for the same and will be pleased to make necessary corrections
in future editions of this book. Students are advised to refer to the new Consumer Protection Act, 2019 and
provisions thereof. http://egazette.nic.in/WriteReadData/2019/210422.pdf
 PREFACE
Consumer Protection is a subject close to our hearts as we all are consumers in one form or the other.
The consumer is said to be the pivot around which the entire business activity revolves.

With liberalization and globalization, the Consumer Protection Law has acquired immense importance.

The Consumer Protection Act, 1986 was a milestone in the history of unit 4 consumer movement in
India which has now been replaced with Consumer Protection Act, 2019. The Act aims to protect the
rights and interests of consumers and to provide for speedy and inexpensive remedy to the consumer.

This self-learning material brings into focus the numerous problems faced by the consumers and the
need for consumer education and awareness.

Similarly, the competition regime in India has undergone a complete change in the recent years resulting
in the introduction of the legislation, The Competition Act, 2002.

The Competition Act replaces the Monopolies & the Restrictive Trade Practices Act, 1969 (MRTP).
MRTP was the first piece of legislation aimed at regulating free and unfettered trade in India.

The basic difference between the Competition Act 2002 and the MRTP Act 1969 is that the MRTP Act
was driven by the force of the restriction on the growth of the firms, with no extraterritorial authority.
With the advent of the liberalization and globalization in India, MRTP Act became obsolete. While
drafting the Competition Act, due care has been taken that the gaps of the MRTP regime are to be
filled in. The Competition Act is more liberal, which talks about the regulation of the business firms
by analysing the behaviour and structure based on the neo-classical micro-economic analysis, instead
of restriction.

Thus it is mandatory for all those who are concerned with the business practices, especially the business
and corporate law practitioners.

Attempt has been made by the authors to cover all the important concepts and legal provisions
concerning the competition law, however for detailed understanding, much wider study of economics
in context of competition law is required. The website of the Competition Commission of India is the
basic source.

We sincerely hope and believe that this self-learning material will be found useful by one and all.

Ms. Medha Kolhatkar

Ms. Nehaa R. Satalkar
Mr. Nikhil Fulambarkar

iii
 ABOUT THE AUTHORS

Ms. Medha Kolhatkar is a faculty at ILS Law College, Pune for the last 18 years and is also working
as a corporate consultant. She is BS.L. LL.M. and has qualified SET (Law).

She has authored the book titled ‘Human Rights and the Indian Constitution’ for Yashwantrao Chavan
Open University, Maharashtra. She has also revised the 9th Edition of the celebrated book ‘Deeds and
Documents’ by G.M. Divekar. She also has to her credit a number of articles and research papers.

Ms. Nehaa R. Satalkar has completed her LLM from the University of Pune. She has also done
her PG Diploma in Labour Laws and Labour Welfare from the University of Pune. Nehaa Satalkar
has over ten years of deep domain knowledge and experience of the Indian legal practice and has
successfully worked with US corporate clients. She is the author of several course contents for the
Distance Education Programmes of Bharati Vidyapeeth, Pune.

She is also a well qualified and accomplished Legal Process Outsourcing (LPO) consultant with
extensive experience in the LPO industry, including specific exposure in document review, contract
management and deposition summarization having been engaged primarily with clients across the
United States.

Mr. Nikhil Fulambarkar, has completed his LL.M. in Business Laws from Symbiosis Law School, and
has been practicing as an Advocate. He also works as a visiting faculty in various Law and Management
Institutes in Pune as well as in Delhi, including Institute of Company Secretaries, Pune Chapter, Pune.

iv
 CONTENTS

Unit No. TITLE Page No.

1 Introduction to Consumer Protection Act, 2019 (COPRA) 1-28
1.1 Introduction
1.2 Salient Features of the COPRA, 2019
1.3 Short-Title, Commencement and Application of the Act
1.4 Definitions and their Judicial Interpretations under the Act
1.5 Types of Negligence
1.6 Res Ipsa Loquitor
1.7 Other Cases of Negligence
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading
2 ‘Consumer’ under Consumer Protection Act 29-38
2.1 Consumer of Goods
2.2 User of Goods
2.3 Beneficiary of Services - Meaning and Ingredients of Negligence
2.4 Meaning of ‘Commercial Purpose’
2.5 Various Marks that indicate Quality Standards
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading
3 Consumer Disputes Redressal Agencies 39-62
3.1 Establishment of Consumer Disputes Redressal Agencies
3.2 Composition of the District Commission
3.3 Jurisdiction of the District Commission
3.4 Composition of the State Commission and Eligibility of Members
3.5 Jurisdiction of the State Commission
3.6 Composition of the National Commission
3.7 Jurisdiction of the National Commission
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

v
 Unit No. TITLE Page No.
4 Procedure for filing Consumer Complaint 63-72
4.1 Introduction
4.2 Who can file the Complaint
4.3 How to File a Consumer Complaint under Consumer Protection
Act, 2019?
4.4 Fee for a Consumer Complaint under Consumer Protection Law
4.5 Process to File a Consumer Complaint in District Commission
4.6 Process to File a Consumer Complaint in State Commission
4.7 Process to File a Consumer Complaint in National Commission
4.8 Contents and Annexure with the Complaint
4.9 Online Consumer Complaint
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading
5 Appeals 73-86
5.1 Introduction
5.2 Appeal to State Commission
5.3 Period of Limitation for Appeal before the State Commission
5.4 Appeal to National Commission
5.5 Appeal to the Supreme Court
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading
6 Enforcement of Orders and other relevant Provisions 87-98
6.1 Introduction
6.2 Finality of Orders
6.3 Enforcement of Orders
6.4 Dismissal of Frivolous and Vexatious Complaints
6.5 Penalties and Miscellaneous Provisions
6.6 Appeal against Order
6.7 Protection of Action taken in Good Faith
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

vi
Unit No. TITLE Page No.
7 Forms 99-120
7.1 Introduction
7.2 Notices and their Model Forms
7.3 Complaints and their Model Forms
7.4 Affidavit and its Model Forms
7.5 Application for Condonation of Delay
7.6 Appeal
7.7 Application for Execution of Order
7.8 Format of Application
7.9 Format of Application for Production of Documents
7.10 Format of Application for Seizure of Documents
7.11 Format of Application to file Complaint as ‘Class Action’
7.12 Model Form of Application seeking Permission to engage Advocate
Summary
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading
8 Introduction to Competition Law 121-140
8.1 Introduction
8.2 Historical Background of the Competition Act
8.3 Development of the Competition Act
8.4 Theories of Competition
8.5 Competition Advocacy
8.6 Monopolies and Restrictive Trade Practices Act
8.7 Restrictive Trade Practices
8.8 Unfair Trade Practices
8.9 Objectives of the Competition Act
8.10 Difference between MRTP ACT, 1969 and Competition Act, 2002
8.11 Components of the Competition Act
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

vii
x
Introduction to Consumer Protection Act, 2019 (COPRA)
UNIT

1
Structure:

1.1 Introduction
1.2 Salient Features of the COPRA, 2019
1.3 Short-Title, Commencement and Application of the Act
1.4 Definitions and their Judicial Interpretations under the Act
1.5 Types of Negligence
1.6 Res Ipsa Loquitor
1.7 Other Cases of Negligence
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Introduction to Consumer Protection Act, 2019 (COPRA) 1

 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Comprehend the need for consumer legislation
----------------------
• Enumerate the salient features of the Act
----------------------
1.1 INTRODUCTION
----------------------
Everyday we as consumers are buying and consuming an incredible variety
---------------------- of goods and services. Consumers constitute the largest unorganized public body
in the country and protection of their rights is of vital importance in a welfare
----------------------
state like India.
---------------------- Since the establishment of consumer courts and due to the efforts of a number
of consumer organizations and the media, and the Government’s support, things
----------------------
are definitely changing.
---------------------- The consumer is said to be the pivot around which the entire business activity
revolves. Consumer interest forms a mutually beneficial relationship between an
----------------------
enterprise and a consumer, and encompasses all those activities that direct the
---------------------- flow of goods and services from the producer to the consumer. As the earning
capacity and education improves, people are becoming conscious of quality of
---------------------- their lives and in general the quality and the durability of the goods they buy.
---------------------- These days are said to be the days of the advertisers and the gullible consumer
comes into their grip, unknowingly, because there are conflicting claims,
---------------------- misleading advertisements, attractive and fancy packaging, bright promises, and
the aggressive marketing mechanism of the manufacturers and the producers of
----------------------
the goods and services.
---------------------- The initiative made by the government and other consumer groups has
proved to be inadequate, basically due to lack of proper attitude on the part of
----------------------
consumer. It is the consumer who offers himself for exploitation, does not resist,
---------------------- object, complaint or seek redressal.
Thus the consumer due to poverty, ignorance, illiteracy, complicated and
---------------------- time consuming legal procedures in the court of law, etc. are the factors which
---------------------- has constantly discouraged the consumer from fighting against unscrupulous and
powerful traders, sellers and manufacturers.
---------------------- Due to liberation and globalization, there are products and brands on display
---------------------- in the market of the country. All this has resulted in stiff competition. Now
the consumers have a wider choice and they can select the products for use at
---------------------- affordable prices.
---------------------- Need for the new act:
The Digital Age has ushered in a new era of commerce and digital branding,
---------------------- as well as a new set of customer expectations. Digitisation has provided easy
---------------------- access, a large variety of choices, convenient payment mechanisms, improved

2 Consumer Protection Act, 2019

services and shopping as per convenience. However, there are also associated Notes
challenges related to consumer protection.
To help address the new set of challenges faced by consumers in the digital ----------------------
age, the Indian Parliament passed the landmark Consumer Protection Bill, 2019 ----------------------
which aims to provide timely and effective administration and settlement of
consumer disputes. ----------------------
Details: ----------------------
Consumer Protection Act, 2019 is a law to protect the interests of the
consumers. This Act provides safety to consumers regarding defective products, ----------------------
dissatisfactory services, and unfair trade practices. ----------------------
The basic aim of the Consumer Protection Act, 2019 is to save the rights of
the consumers by establishing authorities for timely and effective administration ----------------------
and settlement of consumers’ disputes.
----------------------
1.2 SALIENT FEATURES OF THE COPRA, 2019 ----------------------

In the history of the development of consumer policy, 9th April 1985, is ----------------------
a very significant date for it was on that day that the General Assembly of the
United Nations adopted a set of general guidelines for Consumer Protection. ----------------------

Unlike any existing laws, which are punitive or preventive in nature, the ----------------------
provisions of this Act are compensatory in nature.
----------------------
In the statement of objects as reasons, it is said that the Act seeks to provide
speedy and simple redressal to consumer disputes. Quasi-judicial machinery is ----------------------
sought to be set up at the District, State and Central levels. These quasi-judicial
----------------------
bodies will observe the principles of natural justice and have been empowered to
give relief of a specific nature and to award, wherever appropriate, compensation ----------------------
to consumers. Penalties for non-compliances of orders given by the quasi-judicial
bodies have also been provided. ----------------------
Consumer Protection Act is a social welfare legislation. Section 2 of the ----------------------
Consumer Protection Act, 2019 implies that the definitions of various words
& expressions given in this section should be followed generally; but if the ----------------------
context otherwise requires then the interpreter has the discretion to adopt such
----------------------
other meaning of the particular word or expression which is in harmony with the
context of the expression and for this purpose sufficient flexibility is provided ----------------------
by the insertion of these words.
----------------------
The provisions of the Consumer Protection Act thus have to be construed
in favour of the consumer to achieve the purpose of enactment as it is a social ----------------------
benefit oriented legislation.
----------------------
Empowering consumers:
●● The new Act will empower consumers and help them in protecting their ----------------------
rights through its various rules and provisions. The new Act will help in
----------------------
safeguarding consumer interests and rights.
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 3

 Notes ●● Consumer-driven businesses such as retail, e-commerce would need to
have robust policies dealing with consumer redressal in place.
---------------------- ●● The new Act will also push the consumer-driven businesses to take extra
---------------------- precautions against unfair trade practices and unethical business practices.
Inclusion of the e-commerce sector:
----------------------
●● The earlier Act did not specifically include e-commerce transactions, and
---------------------- this lacuna has been addressed by the new Act.
---------------------- ●● E-commerce has been witnessing tremendous growth in recent times. The
Indian e-commerce market is expected to grow to US$ 200 billion by
---------------------- 2026.

---------------------- ●● The Act also enables regulations to be notified on e-commerce and direct
selling with a focus on the protection of interest of consumers. This would
---------------------- involve rules for the prevention of unfair trade practices by e-commerce
platforms.
----------------------
●● As per the notified rules, every e-commerce entity is required to
---------------------- provide information relating to return, refund, exchange, warranty and
guarantee, delivery and shipment, modes of payment, grievance redressal
---------------------- mechanism, payment methods, the security of payment methods, charge-
back options, etc. including country of origin which are necessary for
----------------------
enabling the consumer to make an informed decision at the pre-purchase
---------------------- stage on its platform.
●● The e-commerce platforms will have to acknowledge the receipt of any
----------------------
consumer complaint within forty-eight hours and redress the complaint
---------------------- within one month from the date of receipt under this Act. This will
bring e-commerce companies under the ambit of a structured consumer
---------------------- redressal mechanism.
---------------------- ●● E-commerce entities that do not comply will face penal action.
Time-bound redressal:
----------------------
●● A large number of pending consumer complaints in consumer courts
---------------------- have been common across the country. The new Act by simplifying the
resolution process can help solve the consumer grievances speedily.
----------------------
●● A main feature of the Act is that under this, the cases are decided in a
---------------------- limited time period.
---------------------- Responsible endorsement:
●● The new Act fixes liability on endorsers considering that there have been
----------------------
numerous instances in the recent past where consumers have fallen prey
---------------------- to unfair trade practices under the influence of celebrities acting as brand
ambassadors.
---------------------- ●● This will make all stakeholders – brands, agencies, celebrities, influencers
---------------------- and e-commerce players – a lot more responsible. The new Act would
force the endorser to take the onus and exercise due diligence to verify the
---------------------- veracity of the claims made in the advertisement to refute liability claims.

4 Consumer Protection Act, 2019

Upholding consumer interests: Notes
●● For the first time, there will be an exclusive law dealing with Product
Liability. ----------------------

●● Product liability provision will deter manufacturers and service providers ----------------------
from delivering defective products or deficient services.
----------------------
●● The new legislation empowers the National Consumers Dispute Redressal
Committee as well as the State Commission to declare null and void any ----------------------
terms of a contract while purchasing a product. This will go a long way
in protecting consumers, who are often subject to contract conditions that ----------------------
favour a seller or manufacturer. ----------------------
Alternate dispute redressal mechanism:
----------------------
●● The provision of Mediation will make the process of dispute adjudication
simpler and quicker. ----------------------
●● This will provide a better mechanism to dispose of consumer complaints ----------------------
in a speedy manner and will help in the disposal of a large number of
pending cases in consumer courts across the nation. ----------------------
Simplified process for grievance redressal:
----------------------
●● The new Act would ease the overall process of consumer grievance redressal
and dispute resolution process. This will help reduce inconvenience and ----------------------
harassment for the consumers.
----------------------
The enhanced pecuniary jurisdiction and provisions providing statutory
recognition to mediation processes, enabling filing of complaints from ----------------------
any jurisdiction and for hearing parties through video-conferencing will
----------------------
increase accessibility to judicial commissions and afford crucial protection
in times when international e-commerce giants are expanding their base. ----------------------
Central Consumer Protection Authority: ----------------------
●● The Act proposes the establishment of the Central Consumer Protection
Authority (CCPA) as a regulatory authority. ----------------------
●● The CCPA will protect, promote and enforce the rights of consumers and ----------------------
regulate cases related to unfair trade practices, misleading advertisements,
and violation of consumer rights. ----------------------
●● CCPA would be given wide-ranging powers. ----------------------
●● The CCPA will have the right to take suo-moto actions, recall products,
----------------------
order reimbursement of the price of goods/services, cancel licenses,
impose penalties and file class-action suits. ----------------------
●● The CCPA will have an investigation wing to conduct independent inquiry
----------------------
or investigation into consumer law violations.
Consumer Disputes Redressal Commission: ----------------------
●● The Act has the provision of the establishment of Consumer Disputes ----------------------
Redressal Commissions (CDRCs) at the national, state and district levels
to entertain consumer complaints. ----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 5

 Notes ●● As per the notified rules, the State Commissions will furnish information
to the Central Government on a quarterly basis on vacancies, disposal, the
---------------------- pendency of cases and other matters.
---------------------- The CDRCs will entertain complaints related to:
●● Overcharging or deceptive charging
----------------------
●● Unfair or restrictive trade practices
---------------------- ●● Sale of hazardous goods and services which may be hazardous to life.
---------------------- ●● Sale of defective goods or services
●● As per the Consumer Disputes Redressal Commission Rules, there will
----------------------
be no fee for filing cases up to Rs. 5 lakhs.
---------------------- 1) Three-Tier Quasi Judicial Machinery:
---------------------- • The National
---------------------- • The State, and

---------------------- • The District Level Mechanism

It is the pecuniary jurisdiction that guides the Jurisdiction of these Quasi
---------------------- Judicial Mechanisms.
---------------------- The limit of the National Commission is to award a compensation above
Rs. 10 Crore.
---------------------- The limit of the State Commission is to award a compensation from 1 crore to
---------------------- 10 crores.
The limit of the District Commission is to award a compensation upto 1
----------------------
crore..
---------------------- It is for the first time a separate adjudicating system is provided to protect
and enforce the rights of consumers. This helps in providing speedy justice to
----------------------
the consumers. The Consumer Commission can exercise original, appellate,
---------------------- reversionary, supervisory powers. The District Commission can exercise original
jurisdiction. These quasi-judicial bodies entertain and decide all complaints,
---------------------- appeals, consumer disputes, etc that fall within the scope and ambit of Consumer
Protection Act, 2019.
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

6 Consumer Protection Act, 2019

 Notes
Check your Progress 1
----------------------
Multiple Choice Single Response. ----------------------
1. Consumer Protection Act is a______________ legislation.
i. Comprehensive ----------------------
ii. Social welfare ----------------------
iii. Social
2. The Consumer Protection Act has been changed in the year __________. ----------------------
i. 2017
----------------------
ii. 2018
iii. 2019 ----------------------

----------------------

Activity 1 ----------------------

----------------------
Attend the hearing of any matter in any one of the quasi-judicial
----------------------
mechanisms for a first- hand experience.
----------------------
1.3 SHORT TITLE, COMMENCEMENT AND
----------------------
APPLICATION OF THE ACT
----------------------
Section 1
(1) This Act may be called the Consumer Protection Act, 2019. ----------------------

(2) It extends to whole of India. ----------------------

(3) It shall come into force on such date as the Central Government may, by ----------------------
notification appoint and different dates may be appointed for different dates
and for different provision of this Act. ----------------------
(4) Save as otherwise expressly provided by Central Government by notification, ----------------------
this Act shall apply to all goods and services.
----------------------
Territorial Jurisdiction
The Act extends to the ‘whole of India’. Now the term ‘whole of India’ has ----------------------
not been defined. However, as per Article A clause (3) of the Constitution of ----------------------
India ‘the territory of India comprises of the territories of the states, the union
territories specified in the first schedule and other territories as may be acquired. ----------------------
Commencement of the Act ----------------------
The Consumer Protection Act received the assent of the President of India
----------------------
on August 09, 2019. The act came into force with effect from July 20, 2020.
Application of the Act ----------------------
The Act is made applicable to all goods and services. The Central Government ----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 7

 Notes is empowered to exempt any goods and services from the application of this Act.
So far the central government has not exempted any goods and services. Even
---------------------- statutory bodies such as housing board, government bodies like railways, etc.
fall within the scope and ambit of this Act.
----------------------

---------------------- 1.4 DEFINITIONS AND THEIR JUDICIAL

----------------------
INTERPRETATIONS UNDER THE ACT
Section 2 of the Act deals with the definitions of various expressions that
---------------------- are used in the Act.
---------------------- While interpreting the definition clause, the courts have to endeavour to find
out the exact sense in which the words have been used in a particular context.
---------------------- They are entitled to look at the statute as a whole and give an interpretation in
---------------------- consonance with the purposes of the statute and what logically follows from the
terms used. They are to avoid absurd results. (AIR 197 SC 113). The definition
---------------------- clause attempts to give as far as possible definite meaning to the various
expressions so defined.
----------------------
In interpreting a social welfare legislation, one should not make a narrow
---------------------- approach but should be guided by the principles of benevolent interpretation
which will help to promote and achieve the object and purpose of the Act, i.e. to
---------------------- protect the interests of the consumers and suppress evil sought to be remedied
---------------------- by the statute namely the unscrupulous exploitation of consumers.
The expression ‘Unless the context otherwise requires’ used in section 2
----------------------
of the Act implies that the definition of various words and expressions given in
---------------------- this section should be followed generally, but if the context otherwise requires
then discretion is given to adopt such other meaning of the particular word or
---------------------- expression which is in harmony with the context of the expression and for this
purpose sufficient flexibility is provided by the insertion of these words.
----------------------
Some Definitions Under The Act
----------------------
CONSUMER Sec 2(1) (d)
---------------------- “Consumer” means any person 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 services 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 services 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

8 Consumer Protection Act, 2019

 such services are availed of with the approval of the first mentioned person Notes
but does not include a person who avails of such services for any commercial
purpose.] ----------------------
The new Act has widened the definition of ‘consumer’. ----------------------
Definition of consumer:
----------------------
As per the Act, a person is called a consumer who avails the services and
buys any good for self-use. Worth to mention that if a person buys any good or ----------------------
avails any service for resale or commercial purposes, he/she is not considered a
----------------------
consumer. This definition covers all types of transactions i.e. offline and online
through teleshopping, direct selling or multi-level marketing. ----------------------
APPROPRIATE LABORATORY Sec 2 (1) (a) ----------------------
Sec 2 (1) (a) defines the term ‘appropriate laboratory’ as follows -
----------------------
[(a) ‘Appropriate laboratory’ means a laboratory or organization -
----------------------
(i) Recognized by the Central Government;
(ii) Recognized by the State Government, subject to such guidelines as may be ----------------------
prescribed by the Central Government in this behalf; or
----------------------
(iii) Any such laboratory or organization established by or under any law for the
time being in force, which is maintained, financed or aided by the Central ----------------------
Government or State Government for carrying out analysis or test of any ----------------------
goods with a view to determining whether such goods suffer from any
defect;] ----------------------
The Consumer Protection Rules, 1987, under Rule 2A provides as to when ----------------------
State Governments has to recognize a laboratory as an appropriate laboratory.
The said rule is as follows - ----------------------
(i) for the purpose of obtaining recognition as an appropriate laboratory, the ----------------------
applicant shall send application, in triplicate, in the proforma prescribed by
the Bureau of Indian standards with the relevant details to the department ----------------------
concerned with the Consumer Protection work in the State Government.
----------------------
(ii) The State Government on receiving the application from the applicant,
shall forward its two copies to the Bureau of Indian Standards to assess the ----------------------
suitability of the laboratory from the standards prescribed by them (Bureau
----------------------
of Standards). The fee charged by the Bureau of Indian Standards for this
purpose, shall be paid by the applicant. ----------------------
(iii) The State Government on receiving the recommendations and approval of
----------------------
the Bureau of Indian Standards shall notify that laboratory as an appropriate
laboratory for the purpose of the Consumer Protection Act, 2019 for a period ----------------------
of three years.
----------------------
Thus from the definitions of the term ‘appropriate laboratory’ it means a
laboratory or organization, which is recognized by Central Government or State ----------------------
Government.
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 9

 Notes BRANCH OFFICE Sec 2(1) (aa)
“Branch Office” means -
----------------------
i) any establishment described as a branch by the opposite party; or
----------------------
ii) any establishment carrying on either the same or substantially the same
---------------------- activity as that carried on by the head office of the establishment;]

---------------------- COMPLAINANT Sec 2(1) (b)

(b) “Complainant” means –
----------------------
(i) a consumer; or
----------------------
(ii) any voluntary consumer association registered under any law for the
---------------------- time being in force; or
(iii) the central government or any state government;
----------------------
[(iv) one or more consumer, where there are numerous consumers having
---------------------- the same interest;]
---------------------- [(v) in case of death of a consumer his legal heir or representative,] who or
which makes a complaint;
----------------------
Any voluntary consumer association can also take up the cause of any
---------------------- consumer or group of consumers and can file complaint under the Act. Of course
the association should be registered as required by the law. The Act also gives
---------------------- right to the legal heirs of the consumer to file complaint in case of death of a
---------------------- consumer. Even the state government and central government can file a complaint
where it is felt that it is necessary in the interest of the consumers to do so.
----------------------
COMPLAINT Sec 2(1) (c)
---------------------- Complaint
---------------------- (c) “Complaint” means any allegation in writing made by a complainant that –

---------------------- [(i) an unfair trade practice or a restrictive trade practice has been adopted
by [any trader or service provider];
---------------------- (ii) [the goods bought by him or agreed to be brought by him] suffer from
---------------------- one or more defects;
(iii) [the services hired or availed of or agreed to hired or availed of by him]
---------------------- suffer from deficiency in any respect
---------------------- [(iv) a trader or the service provided as the case may be has charged for the
goods or for the services mentioned in the complaint up rise in excess
----------------------
of the price -
---------------------- a. fixed by or under any law for the time being in force;
b. displayed on the goods or any package containing such goods;
----------------------
c. displayed on the price list exhibited by him by or under any law
---------------------- for the time being in force;
d. agreed between the parties;
----------------------

10 Consumer Protection Act, 2019

 (v) goods which will be hazardous to life and safety when used are being Notes
offered for sale to the public -
a) in contravention of any standards relating to safety of such goods ----------------------
as required to be complied with, by or under any law for the time
----------------------
being in force;
b) if the trader could have known with due diligence that the goods ----------------------
so offered are unsafe to the public;
----------------------
(vi) services which are hazardous or likely to be hazardous to life and safety
of the public when used, are being offered by the service provider which ----------------------
such person could have known with due diligence to be injurious to
life and safety;] ----------------------

As per the abovestated definition, complaint means any allegation in writing ----------------------
made by the complainant with regard to one or more of the following things –
----------------------
i) Complaint against unfair and restrictive trade practice
----------------------
Unfair Trade Practice means false representations, bargain sales, etc. all
such malpractices seriously affects the consumers. ----------------------
ii) Complaint against defective goods
----------------------
A complaint can also be preferred by the complainant in case of supply of
defective goods. The terms goods, defect and trader are discussed in detail ----------------------
in this unit. ----------------------
Defect means any fault, imperfection or shortcoming in the quality, quantity,
potency, purity or standard which is required to be maintained under any ----------------------
law for the time being in force or under any contract express or implied or ----------------------
as is claimed by any trader.
(Sudhir Saran Bhatnagar Vs Chairman Competent Automobiles Co. (P) ----------------------
Ltd. I (1991) CPJ 316 (320) (Del)) ----------------------
E-Filing of Complaints:
----------------------
The new Act provides flexibility to the consumer to file complaints with
the jurisdictional consumer Commission located at the place of residence ----------------------
or work of the consumer. This is unlike the earlier condition where the
----------------------
consumer had to file a complaint at the place of purchase or where the
seller has its registered office address. ----------------------
The new Act also contains enabling provisions for consumers to file
----------------------
complaints electronically and for hearing and/or examining parties through
video-conferencing. ----------------------
Consumers will also not need to hire a lawyer to represent their cases. ----------------------
When initially the car purchased by the complainant suffered from various
defects including clutch of the car being hard and its pick up not proper, ----------------------
these two defects pointed out by the complainant fall within the definition of ----------------------
the word ‘defect’ as defined in the Act and as service provided for rectifying
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 11

 Notes the said defects were deficient, the claim petition filed by the complainant
held to fall within the definition of word ‘complaint’ under the Act.
----------------------
iii) Complaint against deficient service
---------------------- Previously, complaint could be filed only for those services, which were
hired by the consumer and suffered from deficiency in any respect. But now
----------------------
with the amendment, a complaint can be made in respect of services hired
---------------------- or availed of or agreed to be hired or availed of suffer from deficiency in
any respect.
----------------------
‘Deficiency’ means any fault, imperfection, shortcoming or inadequacy in
---------------------- the quality, nature and manner of performance. A complaint is required to
be decided within a certain set frame of time and so provisions of Code of
---------------------- Civil Procedure as such are not applicable. The only requirement being the
observance of principles of Natural Justice.
----------------------
iv) Complaint against excess Price
----------------------
The consumer also enjoys the right to sue the seller or service provider if
---------------------- he has charged excess price instead of the prevailing price (i) fixed by or
under any law for the time being in force (ii) displayed on the goods of any
---------------------- package containing such goods (iii) displayed any law for the time being
---------------------- in force; (iv) agreed between the parties.
v) Complaint Against Hazardous Goods
----------------------
If the goods are hazardous to life and safety when used or being offered
---------------------- for sale to public, the consumer can bring complaint against the same. The
goods are hazardous to life and safety when they are offered for sale
----------------------
(i) in contravention of such goods as required to be complied with, by or
---------------------- under any law for the time being in force;
---------------------- (ii) if the trader could have known with due diligence that the goods so
offered are unsafe to the public.
----------------------
vi) Complaint Against Hazardous Services
---------------------- The consumer can file complaint if it is found that the services rendered or
---------------------- provided by the services are hazardous to the life and safety of the consumer.
As stated above, it can be seen that the consumer can file complaint on the
----------------------
aforementioned grounds to seek redressal from the commission.
---------------------- Consumer Dispute
---------------------- “Consumer dispute” means a dispute where the person against whom a
complaint has been made, denies or disputes the allegations contained in the
---------------------- complaint;
---------------------- From the definition it becomes clear that consumer dispute means a dispute
which the consumer/complainant alleges against the opposite party and the
---------------------- opposite party in turn denies or disputes, the same is said to be a consumer
----------------------

12 Consumer Protection Act, 2019

dispute. However, the dispute has to be a bonafide consumer dispute between Notes
the parties for the courts to intervene and grant redressal.
----------------------
Through various judgments, the Consumer Commission have held the
following as not a ‘Consumer Dispute’ ----------------------
i) The Commission/Commission cannot investigate into the pricing of the flat
----------------------
or plot. Thus the same is not a ‘consumer dispute’.
ii) When the controversy raised in the complaint is concerning a dispute ----------------------
between rival claimants as to the entitlement for receiving the provident fund
----------------------
amount payable to a deceased subscriber, it is not a matter falling within the
jurisdiction and purview of the commissions constituted under the consumer ----------------------
protection act in as much as such a dispute is not a ‘Consumer Dispute’.
----------------------
Defect [Clause (f)]
“defect” means any fault, imperfection or shortcoming in the quality, ----------------------
quantity, potency, purity or standard which is required to be maintained by or ----------------------
[under any law for the time being in force or under any contract, express or
implied, or] as is claimed by the trader in any manner whatsoever in relation to ----------------------
any goods;
----------------------
Under the provisions of the Consumer Protection Act, 2019, a complaint
can be made in case of any defect in the goods in question. ----------------------
The term defect includes any fault, imperfection or shortcoming in the ----------------------
quality, quantity, potency, purity or standard.
----------------------
The quality, quantity, potency, purity or standard should be such – (i) which
is required to be maintained by or under any law for the time being in force or ----------------------
under any contract, express or implied or (ii) as is claimed by the trader in any
manner whatsoever in relation to any goods. ----------------------
In the case of Wheels World Vs Tejinder Singh Grewal & another, there ----------------------
were inherent manufacturing defects in the car purchased by the complainant. The
car had to be taken to dealer for repairs a couple of times and lastly the engine ----------------------
block had to be removed and sent to the manufacturer for repairs/replacement. ----------------------
The National Commission directed the manufacturer to pay compensation and
interest at the rate of 18% till realization (decided by National Commission on ----------------------
16.12.94).
----------------------
In Maruti Udyog Ltd. Vs Susheel Kumar Gabgotra (2006) II CPJ 3(SC) as
per the terms of warranty, it clearly provided for the replacement of the defective ----------------------
parts and not the car, therefore the Supreme Court directed that the defective parts
should be replaced without charges and the appellant was to pay compensation ----------------------
of Rs. 50,000/- to the respondent for cost of travel to Karnal which was wrongly ----------------------
advised by the appellant and for the inconvenience caused to him.
Deficiency ----------------------

“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 law for the time being in force or has been undertaken

Introduction to Consumer Protection Act, 2019 (COPRA) 13

 Notes to be performed by a person in pursuance of a contract or otherwise in relation
to any service and includes any act of negligence or omission by such person
---------------------- which causes loss or injury to the consumer;
---------------------- Any consumer who suffers due to deficiency in service can prefer complaint under
the Consumer Protection Act 2019.
----------------------
When vital information withheld, will it be deficiency?
---------------------- It was found that the personal health statement submitted by the insured just
prior to the revival of policy, he had suppressed the material facts concerning
----------------------
his health. Therefore the National Commission observed that the repudiation of
---------------------- the policy by the life insurance corporation was fully warranted and there was
no deficiency in service because of such repudiation.
----------------------
(LIC of India Vs Smt. S. Vijaya decided by the National Commission on
---------------------- 13.12.1994)

---------------------- Delay in shifting Telephone Connection

In the case of General Manager, Calcutta Telephones Vs Dr. Timir Baran
---------------------- Bhattacharjee (2002) |CPJ 8(NCDRC)), the complainant/respondent was a
---------------------- practicing medical doctor who applied for shifting of his telephone from one
residence to another. The telephone department took almost three years to shift
---------------------- the telephone connection. It was contended that due to this delay it caused great
mental pain, suffering, financial loss and extreme hardship to the complainant.
---------------------- Hence the National Commission awarded Rs. 10,000/- as compensation to the
---------------------- complainant.
Change in Telephone number without informing the subscriber
----------------------
The telephone number was arbitrarily changed of the complainant without
---------------------- any justification and without any notice to her, owing to which she suffered some
inconvenience and loss being a leading lawyer. It was held that this amounts
----------------------
to deficiency in service and the telephone department was directed to pay
---------------------- Rs. 5,000 as damages.

---------------------- Impure/substandard goods

In this case, the complainant filed the complaint on the allegations that
---------------------- he purchased one bottle of ‘McDowell’s soda’ from the hotel of the second
---------------------- respondent on 3rd September, 1987 but found some foreign solid body floating
inside the bottle. According to him, he carried the bottle away with him so that
---------------------- he could make a representation to the appropriate authorities in due course.
Therefore the complainant got his grievance published through the columns
---------------------- of a newspaper by the name ‘Madhyam’. However the complainant did not
---------------------- make any complaint of any authority nor got the bottle sealed and its contents
analyzed by any recognized laboratory. After almost 1 year i.e. on 8th June 1988,
---------------------- the complainant filed complaint before the National Commission claiming
compensation of Rs. 12 lakhs. The National Commission rejected the claim as the
---------------------- complainant could not give the basis of this fantastic amount of compensation,
----------------------

14 Consumer Protection Act, 2019

even if his case regarding the existence of same foreign matter in the bottle of Notes
soda purchased by him is assured to be true.
----------------------
(P.A. Pouran Vs McDowell & Co. Ltd. I (1992) CPJ300 (301)(N.C))
Defective trailer ----------------------
In Abhaya Kumar Panda Vs Bajaj Auto Ltd. ((1992) | comp LJ 180 ----------------------
(NCDRC), the complainant had purchased a Bajaj Auto Trailer. The said trailer
was manufactured by the respondent. It was contented that the Trailer had major ----------------------
structural manufacturing defect. The National Commission directed replacement
----------------------
of the vehicle by a new auto Trailer and observed that the respondent should not
have supplied a product which suffered from a major manufacturing defect. ----------------------
In M/s Karthik Agencies Vs K. Rajkumari & another, decided by National ----------------------
Commission on 19.8.1993, it was held that the manufacturer of the cylinder and
the distributor are both liable for the supply of the defective gas cylinder along ----------------------
with defective valve, and for the negligence and deficiency in service of the same.
----------------------
Manufacturer
“Manufacturer” means a person who - ----------------------

a) makes or manufactures any goods or part thereof; or ----------------------

b) does not make or manufacture any goods but assembles parts thereof made ----------------------
or manufactured by others; or
----------------------
c) puts or causes to be put his own mark on any goods made or manufactured
by any other manufacturer;] ----------------------
The Consumer Redressal Commission through its various judgments has ----------------------
laid down that for any manufacturing defect in the goods produced by the
manufacturer, the manufacturer shall be liable to compensate the consumer. ----------------------
A person is deemed to have manufactured goods if he puts or causes to ----------------------
be put his own mark (e.g. name or brand or trademark) on the goods made or
manufactured by any other manufacturer. ----------------------
Manufacturer includes any manufacturer who assembles goods from parts ----------------------
made by others or puts any mark on any goods made or manufactured by any
other manufacturer whether he claims such goods to be manufactured by himself ----------------------
or not.
----------------------
Member
----------------------
[“member” includes the President and a member of the National Commission or
a State Commission or a District Commission, as the case may be;] ----------------------
National Commission: ----------------------
“National Commission” means the National Consumer Disputes Redressal
Commission established under clause(i) of section 53. ----------------------

All complainants wherein the claim is above Rupees Ten crores should ----------------------
be filed before the National Commission. The National Commission exercises
original, appellate and revisionary powers. ----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 15

 Notes Person
“person” includes –
----------------------
i) an individual
----------------------
ii) a firm whether registered or not;
---------------------- iii) a Hindu undivided family;
---------------------- iv) a co-operative society;

---------------------- v) every other association of persons whether registered under the Societies
Registration Act, 1860 (21 of 1860) or not;
----------------------
Every association of persons whether registered under the Societies
---------------------- Registration Act, 1860 or not is deemed to be a ‘person’ under the Act.
Regulation
----------------------
[“regulation” means the regulations made by the National Commission
---------------------- under this Act;
---------------------- Restrictive trade practice

---------------------- “restrictive trade practice” means a trade which tends to bring about
manipulation of price or its conditions of delivery or to affect flow of supplies
---------------------- in the market relating to goods or services in such a manner as to impose on the
consumers unjustified costs or restrictions and shall include -
----------------------
a) delay beyond the period agreed to by a trader in supplier of such goods or in
---------------------- providing the services which has led or is likely to lead to rise in the price;
---------------------- b) any trade practice which requires a consumer to buy, hire or avail of any
goods or, as the case may be, services as condition precedent to buying,
---------------------- hiring or availing of other goods or services;]
---------------------- Now even manipulation of price or delivery or flow of supplies leading
to unjustified cost or imposing certain conditions/restrictions on the consumer
---------------------- and delay beyond the agreed period which has led or likely to lead to rise in the
price. Creating artificial scarcity of the product and then sell the commodity at
---------------------- a higher price also amounts to Restrictive trade practice.
---------------------- Service
---------------------- (o) “service” means service of any description which is made available to
potential [users and includes, but not limited to, the provision of] facilities
---------------------- in connection with banking, financing, insurance, transport, processing,
supply or electrical or other energy, board or lodging or both, [housing,
---------------------- construction,] entertainment, amusement or the purveying of news or other
---------------------- information, but does not include the rendering of any service free of charge
or under a contract of personal service;
---------------------- It applies to any service made available to potential users. Housing, Airlines,
---------------------- Telephone, Banking, Transport, Insurance, etc. are a few instances of service
made available to the potential users.
----------------------

16 Consumer Protection Act, 2019

 In M.G. Ravinarayana Vs Professional Couriers III (1993) CPJ 364, it was Notes
held that the commission need not go into that question because except the bald
allegation of the complainant that the consignment has not been received by the ----------------------
addressee, there is no evidence to prove non-delivery of the consignment and
therefore the complaint was dismissed. ----------------------

Imparting of education by an educational institution for consideration in form ----------------------

of fees falls within ambit of ‘service’ as defined in Consumer Protection Act. In
Bhupesh Khurana & others Vs Vishwa Buddha Parishad & others decided by ----------------------
National Commission on 29.9.2000, that a liberal view of the word ‘services’ ----------------------
needs to be taken rendered by the State Government.
Spurious goods and services ----------------------

[“spurious goods and services” mean such goods and services which are ----------------------
claimed to be genuine but they are actually not so;]
----------------------
State Commission
----------------------
“State Commission” means a State Consumer Disputes Redressal
Commission established in a State; ----------------------
Unit 5 explains the composition and powers of State Commission.
----------------------
Trader
----------------------
“Trader” in relation to any goods means a person who sells or distributes
any goods for sale and includes the manufacturer thereof, and where such goods ----------------------
are sold or distributed in package form, includes the packer thereof;
----------------------
Unfair Trade Practice (UTP)
----------------------
[“unfair trade practice” means a trade practice which, for the purpose of
promoting the sale, or supply of any goods or for the provision of any service, ----------------------
adopts any unfair method or unfair or deceptive practice including any of the
following practices, namely: ----------------------
(1) the practice of making any statement, whether orally or in writing or by ----------------------
visible representation which, -
----------------------
i) falsely represents that the goods are of a particular standard, quality,
grade, composition, style or model; ----------------------
ii) falsely represents that the services are of a particular standard, quality ----------------------
or grade;
iii) falsely represents any re-built, second-hand, renovated, reconditioned ----------------------
or old goods as new goods; ----------------------
iv) represents that the goods or services have sponsorship, approval,
----------------------
performance, characteristics, accessories, uses or benefits which such
goods or services do not have; ----------------------
v) represents that the seller or the supplier has a sponsorship or approval
----------------------
or affiliation which such seller or supplier does not have;
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 17

 Notes vi) makes a false or misleading representation concerning the need for, or
the usefulness of, any goods or services;
----------------------
vii) gives to the public any warranty or guarantee of the performance,
---------------------- efficacy or length of life of a product or of any goods that is not based
on an adequate or proper test thereof:
----------------------
Provided that where a defense is raised to the effect that such warranty
---------------------- or guarantee is based on adequate or proper test, the burden of proof
of such defense shall lie on the person raising such defense;
----------------------
viii) makes to the public a representation in a form that purports to be -
---------------------- i) a warranty or guarantee of a product or of any goods or services;
---------------------- or
ii) a promise to replace, maintain or repair an article or any part
---------------------- thereof or to repeat or continue a service until it has achieved a
---------------------- specified result, if such purported warranty or guarantee or promise
is materially misleading or if there is no reasonable prospect that
---------------------- such warranty, guarantee or promise will be carried out;
---------------------- (ix) materially misleads the public concerning the price at which a product
or like products or goods or services, have been or are, ordinarily sold
---------------------- or provided, and, for this purpose, a representation as to price shall be
deemed to refer to the price at which the product or goods or services
---------------------- has or have been sold by sellers or provided by suppliers generally in
---------------------- the relevant market unless it is clearly specified to be the price at which
the product has been sold or services have been provided by the person
---------------------- by whom or on whose behalf the representation is made;
---------------------- (x) Gives false or misleading facts disparaging the goods, services or trade
of another person.
----------------------
Explanation - For the purpose of this subclause, a statement that is -
---------------------- (a) expressed on an article offered or displaced for sale, or on its
---------------------- wrapper or container; or
(b) expressed on anything attached to, or accompanying an article
---------------------- offered or displayed for sale, or on anything on which the article
---------------------- is mounted for display or sale; or
(c) contained in or on anything that is sold, sent, delivered transmitted
---------------------- or in any other manner whatsoever made available to a member of
---------------------- the public, shall be deemed to be a statement made to the public
by, and only by, the person who had caused the statement to be so
---------------------- expressed, made or contained;
---------------------- (2) permits the publication of any advertisement whether in any newspaper or
otherwise, for the sale or supply at a bargain price, of goods or services that
---------------------- are not intended to be offered for sale or supply at the bargain price, or for
a period that is, and in quantities that are reasonable, having regard to the
----------------------

18 Consumer Protection Act, 2019

 nature of the market in which the business is carried on, the nature and size Notes
of business, and the nature of the advertisement.
----------------------
Explanation - For the purpose of this subclause, “bargaining price” means -
(b) a price that is stated in any advertisement to be a bargain price, by ----------------------
reference to an ordinary price or otherwise; or
----------------------
(c) a price that a person who reads, hears or sees the advertisement, would
reasonably understand to be a bargain price having regard to the prices ----------------------
at which the product advertised or like products are ordinarily sold;
----------------------
(3) permits -
----------------------
(a) the offering of gifts, prizes or other items with the intention of not
providing them as offered or creating impression that something is ----------------------
being given or offered free of charge when it is fully or partly covered
by the amount charged in the transaction as a whole; ----------------------

(b) The conduct of any contest, lottery, game of chance or skill, for the ----------------------
purpose of promoting, directly or indirectly, the sale, use or supply of
any product or any business interest except such contest, lottery, game ----------------------
of chance or skills as may be prescribed; ----------------------
[Withholding from the participants of any scheme offering gifts, prizes or
----------------------
other items free of charge, on its closure the information about final results of
the scheme. ----------------------
Explanation - for the purposes of this sub-clause, the participants of a scheme
----------------------
shall be deemed to have been informed of the final results of the scheme where
such results are within a reasonable time published, prominently in the same ----------------------
newspapers in which the scheme was originally advertised;]
----------------------
(4) permits the sale or supply of goods intended to be used, or are of a kind likely
to be used, by consumers, knowing or having reason to believe that the goods ----------------------
do not comply with the standards prescribed by competent authority relating
to performance, composition, contents, design, constructions, finishing or ----------------------
packaging as are necessary to prevent or reduce the risk of injury to the ----------------------
person using the goods;
(5) permits the hoarding or destruction of goods, or refuses to sell the goods or ----------------------
to make them available for sale or to provide any service, if such hoarding ----------------------
or destruction or refusal raises or tends to raise or is intended to raise, the
cost of those or other similar goods or services; ----------------------
(6) manufacture of spurious goods or offering such goods for sale or adopting ----------------------
deceptive practices in the provision of services.
----------------------
False Representation
In Bhupesh Khurana & others Vs Vishwa Buddha Parishad & others decided ----------------------
by National Commission on 29.9.2000, it was held that the misrepresentation
----------------------
amounted to Unfair Trade Practice and deficiency in service.
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 19

 Notes The new Act has armed the authorities to take action against unfair trade
practices too.
----------------------
The Act introduces a broad definition of Unfair Trade Practices, which also
---------------------- includes the sharing of personal information given by the consumer in confidence
unless such disclosure is made in accordance with the provisions of any other
---------------------- law.
----------------------
Check your Progress 2
----------------------
Multiple Choice Single Response.
----------------------
1. Complainant under the Consumer Protection Act includes:
----------------------
i. Consumer association
---------------------- ii. Central Government
---------------------- iii. State government
---------------------- iv. Legal representative
v. All of the above
----------------------
2. Ram buys 5 kg wheat from Shyam who runs a grocery shop. The wheat
---------------------- sold to Ram is rotten and full of insects. Thus, the wheat sold to Ram
---------------------- by Shyam is defective.
i. Yes
----------------------
ii. No
----------------------
iii. Can’t say
----------------------

---------------------- Activity 2
----------------------
Identify any two cases under “defect in goods” and “deficiency in
---------------------- services”.
----------------------

---------------------- 1.5 TYPES OF NEGLIGENCE

---------------------- The term ‘negligence’ has not been defined under the Consumer Protection
Act. The Consumer Protection Act, 2019 empowers the forum/commission to
---------------------- award compensation to the complainant for the loss or injury suffered due to
the negligence of the opposite party. It is here that the right of the complainant
----------------------
is recognized to claim compensation for the acts of negligence of the opposite
---------------------- party. Negligence is defined under the law of Torts. It is defined as doing an act
carelessly or recklessly. It is the breach of the duty of the doer.
----------------------
According to Winfield, “Negligence, as a tort, is the breach of a legal duty
---------------------- to take care which results in damage, undesired by the defendant to the plaintiff.”

20 Consumer Protection Act, 2019

It is careless conduct, without any guilty mind or there is no intention of the Notes
person to cause any harm.
----------------------
The three ingredients of negligence are:
1) a legal duty to exercise due care on the part of the party who owes such duty ----------------------
to the other,
----------------------
2) breach of said duty; and 3) consequential loss or damage.
----------------------
Under the Consumer Protection Act 2019, the complainant has to establish
that the opposite party owed a duty of care and that opposite party has failed to ----------------------
exercise the said duty of care against the complainant and therefore the consumer/
complainant has suffered loss or injury. Therefore the complainant has to show ----------------------
that the opposite party owed the standard care and committed breach of that duty ----------------------
which resulted in loss or injury to the other. The degree of care varies. The degree
of duty of care will be different in case of professionals. Professionals such as ----------------------
lawyers, doctors, architects etc. are people possessing special skills, knowledge
and expertise. ----------------------

In Michael Hyde and Associates Vs J.D. Williams & Co. Ltd [(2001) PNLR ----------------------
233, CA], Sedley L.J. said that where a profession embraces a range of views as
to what is an acceptable standard of conduct, the competence of the defendant ----------------------
is to be judged by the lowest standard that would be regarded as acceptable. ----------------------
For a professional, his work, his name, his reputation will be at stake if he acts
carelessly or negligently. ----------------------

----------------------
Check your Progress 3
----------------------
Multiple Choice Single Response.
----------------------
1. Negligence is defined under __________.
i. Consumer Protection Act ----------------------
ii. Law of Torts ----------------------
iii. Both
----------------------
2. According to __________, “Negligence, as a tort, is the breach of a
legal duty to take care ----------------------
which results in damage, undesired by the defendant to the plaintiff.”
----------------------
It is careless conduct, without any guilty mind or there is no intention
of the person to cause any harm. ----------------------
i. Winfield
----------------------
ii. Salmond
iii. H.L.A Hart ----------------------
3. There are ______ essential ingredients that constitute negligence.
----------------------
i. Five
ii. Three ----------------------
iii. Two ----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 21

 Notes
Activity 3
----------------------

---------------------- Enumerate two instances from our daily lives that could amount to
negligence keeping in mind the essential ingredients of negligence.
----------------------

---------------------- 1.6 RES IPSA LOQUITOR

---------------------- The general rule of law of evidence is that if the complainant/plaintiff wants
the court to believe something, then it is for the complainant to plead and prove
---------------------- the said facts before the court.
---------------------- Sometimes the facts of the case are so peculiar in nature that the plaintiff
or complainant is unable to prove the same or has no detailed knowledge about
---------------------- the same. Under these circumstances, it is very unjust and unfair to call upon
---------------------- the plaintiff/complainant to prove the said facts. This situation is recognized by
the rule of Res Ipsa Loquitor. When the accident/mishap explains only one thing
---------------------- and that is that the accident could not ordinarily occur unless the defendant had
been negligent, the law raises a presumption of negligence on the part of the
---------------------- defendant. In such a case, it is sufficient for the plaintiff to prove the accident/
---------------------- mishap and nothing more. For the maxim Res Ipsa Loquitor to apply, it is also
necessary that the event causing the accident must have been in the control of
---------------------- the defendant. Thus where the maxim becomes applicable the burden of proof
is shifted from the plaintiff to the defendant. It is a rule of evidence benefiting
---------------------- the plaintiff by not requiring him to prove negligence. It is not a rule of law.
---------------------- Case Law where Res Ipsa Loquitor Made Applicable
---------------------- In the tragic case, of Geeta Jethani & others Vs Airports Authority of India
& others decided by the National Commission on 5.8.2004, it was held by the
---------------------- National Commission that ‘the principle of Res Ipsa Loquitor (the event speaks
for themselves) is eminently applicable in the instant case. It was the duty of
----------------------
the AAI to maintain the escalator in proper condition. It was the duty of the
---------------------- concerned officers to be more careful at the time of inspecting such installation
and the inspection should not be casual or routine. The opposite party No.1,
---------------------- Airports Authority of India was directed to pay 2,50,000/- French Francs or its
equivalent in Rupees together with interest @10%.
----------------------

---------------------- 1) Contributory Negligence

---------------------- When along with the defendant, the plaintiff by his own carelessness
also contributes to the negligent act in question. It is said to be a case of
---------------------- contributory negligence.
---------------------- Contributory negligence is a defense which the defendant/opposite party can
set up if they can prove that the plaintiff failed to take reasonable care of his
---------------------- own safety and that contributed to the ultimate harm the plaintiff suffered.
----------------------

22 Consumer Protection Act, 2019

 For e.g. It is the courier company’s responsibility to deliver the consignment, Notes
but if the customer has given confusing and vague address then the
courier company is responsible for delay in delivery of consignment, but ----------------------
the customer is also negligent as he contributed to the negligent act in
question. Thus, the courier company can set up the defense of contributory ----------------------
negligence. Age of a person, therefore has to be taken into account to ----------------------
ascertain whether a person is guilty of contributory negligence or not.
----------------------
2) Composite Negligence
----------------------
When the act of negligence is committed by two or more persons which
results in same damage to the plaintiff then it is termed as ‘composite ----------------------
negligence’ and the persons responsible for causing such damage are
known as ‘Composite Tort Facers’. The liability of the Composite Tort ----------------------
Facers’ is joint and several liability. ----------------------
3) Medical Negligence ----------------------
In the case of Dr. Laxman Balkrishna Joshi Vs Dr. Trimbak Babu Godbole ----------------------
and another (AIR 1969 SC128) & A.S. Mittal Vs State of Uttar Pradesh
(AIR 1989SC 1570) it was laid down that when a doctor is consulted by ----------------------
a patient, the former, namely the doctor owes to his patient certain duties
which are: ----------------------

i) duty of care in deciding whether to undertake the case; ----------------------

ii) duty of care in deciding what treatment to give; and ----------------------
iii) duty of care in the administration of that treatment.
----------------------
A breach of any of the above duties may give a cause of action for negligence
and the patient may on that basis recover damages from his doctor. ----------------------
The Supreme Court vide its judgment dated 13.11.1995 pronounced by ----------------------
the three-Judge Bench comprising Hon’ble Mr. Justice Kuldip Singh, Mr.
Justice S.C. Agarwal and Mr. Justice B.L. Hansaria has finally put an end ----------------------
to the controversy. The findings of the Supreme Court on the aforesaid ----------------------
issues are as under:-
(i) Service of any description ----------------------

(a) on the ground that they have failed to exercise reasonable skill and care. ----------------------
(ii) Any service free of charge ----------------------
(a) Services rendered at a government hospital, health centre or dispensary
----------------------
where no charge whatsoever is made from any person availing the
services and all patients (rich and poor) are given free service is ----------------------
excluded from the purview of the act. Registration fee in such cases
will not amount to payment of consideration for the services; ----------------------
(b) Service rendered free of charge by a medical practitioner attached to a ----------------------
hospital or nursing home is excluded from the purview of the act;
----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 23

 Notes (c) Service rendered by a medical officer employed in a hospital or nursing
home where services are rendered free of charge to everybody is
---------------------- excluded from the purview of the act;
---------------------- (d) Service rendered at a non-government hospital, nursing home where
no charge whatsoever is made from any person availing the service and
---------------------- all patients (rich and poor) are given free service is excluded from the
purview of the act;
----------------------
(e) Service rendered at a government hospital; health centre or dispensary
---------------------- where services are rendered on payment of charges and also rendered
free of charge to other persons availing such services, falls within the
----------------------
purview of the act. Rendering of free services also by such institutions
---------------------- to persons who do not pay is no more a ground for seeking immunity
from the scope of the act and even the person who has availed free
---------------------- service can maintain an action against such institutions;
---------------------- (f) Service rendered at a non-government hospital or nursing home where
charges are required to be paid by the persons availing such services,
---------------------- falls within the purview of the act;
---------------------- (g) Service rendered at a non-government hospital or nursing home where
charges are required to be paid by persons who are in a position to
---------------------- pay and persons who cannot afford to pay are rendered service free of
---------------------- charge, fall within the purview of the act. Rendering of free services also
by such institutions to persons who cannot pay is no more a ground for
---------------------- seeking immunity from the scope of the act and even the person who
has availed free service; can maintain an action against such institutions;
----------------------
(h) Service rendered by a medical practitioner or hospital or nursing
---------------------- home wherein the expenses for consultation, diagnosis and medical
treatment are reimbursed and the patient is indemnified under the terms
---------------------- and conditions of a medical insurance policy contract, falls within the
---------------------- purview of the act;
(i) Service rendered by a medical practitioner or hospital or nursing home
---------------------- wherein the expenses of medical treatment of the patient and his family
---------------------- members are reimbursed and indemnified under the conditions of
service of such a patient by his employer, falls within the purview of
---------------------- the act.
---------------------- (iii) Contract of personal service
(a) ‘Contract of personal service’ has to be distinguished from a ‘contract
----------------------
for personal service’. In the absence of relationship of master and
---------------------- servant between the patient and the medical practitioner, the service
rendered by a medical practitioner to the patient cannot be regarded as
---------------------- service rendered under a contract of personal service. It is a contract for
personal service. Where, however, there is a relationship like that of a
----------------------
master and servant, it is a ‘contract of personal service’ and is excluded
---------------------- from the purview of the act.

24 Consumer Protection Act, 2019

 (b) Service rendered by a medical officer to his employer under the contract Notes
of employment is excluded from the purview of the act.
----------------------
Check your Progress 4 ----------------------

Match the following. ----------------------

i. Principle of Res Ipsa Loquitor a. Defence by defendant ----------------------
ii. Contributory Negligience b. Joint and several liability
----------------------
iii. Composite Tort facers c. The event speaks for itself
----------------------

----------------------
Activity 4
----------------------
Read the Supreme Courts judgement in Indian Medical Association Vs. ----------------------
V.P. Shantha & Ors 1996 AIR 550, 1995 SCC (6) 651.
----------------------
1.7 OTHER CASES OF NEGLIGENCE ----------------------
In Shree Taj Travels and Tours Ltd Vs Jitubhai Bandhi and others ----------------------
decided by N.C on 31.07.2002, the National Commission accepted the contentions
and awarded compensation of Rs.1,10,585/- Here, the complainants were not ----------------------
provided with luxury coach bus for the long and arduous journey of 4 and 1/2 ----------------------
hours to the mountains. The bus met with an accident as the driver who drove
was in a drunken condition. Journey to Chitwan was aborted and after waiting ----------------------
on the road sides, complainants came back to Khatmandu in a lorry.
----------------------
In Haryana State Electricity Board Vs Anand Medicos and another
(decided by the N.C. on 1.8.2003), it was held that when all the evidences have ----------------------
been led by both the parties before District Commission, there is no ground to
relegate the complainant to seek remedy in civil court and dismiss the complaint ----------------------
and also upheld the State Commission’s decision directing the opposite party to ----------------------
pay Rs.2,19,316.76 together with interest @12% from the date of fire.
----------------------
Activity 5 ----------------------

Visit http://consumereducation.in/lawoftorts.pdf and read the article by ----------------------

Rajiv Kumar Khare titled “LAW OF TORTS, MEDICAL NEGLIGENCE
----------------------
AND CONSUMER PROTECTION.”
----------------------
Summary ----------------------
●● Negligence means doing an act carelessly or recklessly which causes ----------------------
some injury, loss or inconvenience to another. “Negligence is the breach
of duty caused by omission to do something which a reasonable man, ----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 25

 Notes guided by those considerations which ordinarily regulate the conduct
of human affairs would do; or doing something which a prudent and
---------------------- reasonable man would not do.”
----------------------
Keywords
----------------------
●● Injury: Any harm whatever illegally caused to any person, in body, mind,
---------------------- reputation or property and mental agony.
---------------------- ●● Negligence: i) Means the absence of proper care, caution & diligence;
ii) Omission to do something which a reasonable man, guided upon
---------------------- considerations which ordinarily regulate the conduct of human affairs
would do or; doing something which a prudent & reasonable man would
---------------------- not do.
----------------------
Self-Assessment Questions
----------------------
1. Explain the concept of ‘Negligence’.
----------------------
2. What does ‘Res Ipsa Loquitor’ mean?
----------------------
3. What kind of degree and skill is required to be exercised by a professional?
---------------------- 4. Cite any two cases of medical negligence.
---------------------- 5. Explain the term ‘Contributory Negligence’.
----------------------
Answers to Check your Progress
----------------------
Check your Progress 1
---------------------- Multiple Choice Single Response.
---------------------- 1. Consumer Protection Act is a______________ legislation.
---------------------- ii. Social welfare
2. The Consumer Protection Act has been changed in the year __________.
----------------------
i. 2019
----------------------
Check your Progress 2
---------------------- Multiple Choice Single Response.
---------------------- 1. Complainant under the Consumer Protection Act includes:
---------------------- v. All of the above

---------------------- 2. Ram buys 5kg wheat from Shyam who runs a grocery shop. The wheat
sold to Ram is rotten and full of insects. Thus, the wheat sold to Ram by
---------------------- Shyam is defective.

---------------------- i. Yes

----------------------

26 Consumer Protection Act, 2019

Check your Progress 3 Notes
Multiple Choice Single Response.
----------------------
1. Negligence is defined under __________.
----------------------
ii. Law of Torts
2. According to __________, “Negligence, as a tort, is the breach of a legal ----------------------
duty to take care ----------------------
which results in damage, undesired by the defendant to the plaintiff.” It is
careless conduct, without any guilty mind or there is no intention of the ----------------------
person to cause any harm. ----------------------
i. Winfield
----------------------
3. There are ______ essential ingredients to constitute negligence.
----------------------
ii. Three
Check your Progress 4 ----------------------
Match the following. ----------------------
i. – c. ----------------------
ii. – a.
----------------------
iii. – b.
----------------------
Suggested Reading ----------------------

1. http://www.theshillongtimes.com/2012/10/13/patients-rights-under- ----------------------
consumer-protection-act/
----------------------
2. Bangia, R.K. 2007. Law of Torts. Faridabad: Allahabad Law Agency.
----------------------
3. Bare Act, Consumer Protection Act, 2019
4. Consumer Protection Law and Practice by Taxmann, Taxmann Publications ----------------------
5. Consumer Protection Act, 2019 with rules By Taxmann ----------------------
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

Introduction to Consumer Protection Act, 2019 (COPRA) 27

 Notes

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

28 Consumer Protection Act, 2019

‘Consumer’ under Consumer Protection Act
UNIT

2
Structure:

2.1 Consumer of Goods

2.2 User of Goods
2.3 Beneficiary of Services - Meaning and Ingredients of Negligence
2.4 Meaning of ‘Commercial Purpose’
2.5 Various Marks that indicate Quality Standards
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

‘Consumer’ under Consumer Protection Act 29

 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Define a consumer
----------------------
• Identify a “user of goods”
---------------------- • Conclude as to what constitutes “negligence”
---------------------- • State the true beneficiaries of services offered

---------------------- • Identify the quality marks

• Explain the meaning of commercial purpose
----------------------

----------------------
2.1 CONSUMER OF GOODS
---------------------- One must be a “Consumer” to be covered under the Consumer Protection
Act. He must be either the “User” or a “Consumer” of goods or “services”. To
----------------------
be a consumer or an user of goods one must have paid consideration or he must
---------------------- have hired the services offered to him. Now let us consider the real meaning and
the definition of a “Consumer” and an “User of Goods”.
----------------------
Consumer of Goods
----------------------
Under the Consumer Protection Act, 2019, ‘consumer’ has been defined
---------------------- in section 2(7) as under:
---------------------- “Consumer” means any person 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 services 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 services 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 services for any commercial
---------------------- purpose.
---------------------- Explanation - For the purposes of this clause, (a) “commercial purpose” does
not include use by a person of goods bought and used by him and services
---------------------- availed by him exclusively for the purposes of earning his livelihood by means
---------------------- of self-employment.

30 Consumer Protection Act, 2019

The definition of the term ‘consumer’ given in clause 7 of sec 2 of the Act is Notes
comprehensive one so as to cover not only consumer of goods but also consumer
of services. ----------------------
The following conditions should be satisfied to be a consumer of goods. ----------------------
1) the subject matter of sale should be goods;
----------------------
2) there must be a sale transaction between the seller & the buyer;
----------------------
3) the goods in question are bought for consideration (price);
4) the consideration has been paid or promised or partly paid & partly promised ----------------------
or under any system of deferred payment; ----------------------
5) The user of the goods may also be a consumer when such use is made with
the approval of the buyer. ----------------------

However, the term consumer does not include a person who obtains any goods ----------------------
for resale or for any commercial purpose.
----------------------
Now let us consider each of these conditions one by one.
----------------------
1. The subject matter of sale should be goods;
Goods ----------------------

(i) “goods” means goods as defined in the Sale of Goods Act, 1930 (3 of 1930); ----------------------
The term ‘goods’ has been defined under section 2 clause (7) of the sale of Goods ----------------------
Act, 1930 as follows:
----------------------
Goods mean -
(a) Every kind of movable property other than actionable claims and money; ----------------------
and
----------------------
(b) Includes -
----------------------
(i) stocks & shares,
(ii) growing crops, grass and things attached to or forming part of land ----------------------
which are agreed to be severed before sale or under the contract of ----------------------
sale. ‘goods’ means any movable property as distinct from immovable
property. ----------------------
2. There must be a sale transaction between the seller & the buyer; ----------------------
The term ‘sale’ has not been defined under the Consumer Protection Act.
----------------------
However, recourse can be had to The Sale of Goods Act, 1930. As per sec 4
of The Sale of Goods Act, a contract of sale of goods is a contract whereby ----------------------
the seller transfers or agrees to transfer the property in goods to the buyer for
a price. ‘Price’ means the money consideration. Under a contract of sale, the ----------------------
property in the goods is transferred from the seller to the buyer, the contract
----------------------
is called ‘sale’, but where the property in goods is to be transferred in future,
the contract is called an ‘agreement to sell’. ‘Seller’ means a person who ----------------------
sells or agrees to sell the goods and buyer means who buys or agrees to buy
the goods. ----------------------

‘Consumer’ under Consumer Protection Act 31

 Notes The term ‘consideration is not defined under the Consumer Protection Act.
It is defined under sec 2(d) of the Indian Contract Act, 1872 as follows:
---------------------- When, at the desire of the promisor, the promisee or any other person has
---------------------- done or abstained from doing or does or abstains from doing, or promises to do
or to abstain from doing, something, such act or abstinence or promise is called
---------------------- ‘consideration’ for the promise. Consideration can be past, present & future. It
is the recompense given by one person to another.
----------------------
A person registering himself for release of LPG connection with the
---------------------- distributor is a ‘consumer’ though at that time he pays nothing & the payment is
deferred till the time of release of gas connection. Dharam Chand Vs Mandeep
---------------------- Gas Service [(993) 2 CPJ 985 (Punj)].
---------------------- Subscriber of a law reporter is not a consumer. Delhi Law Times Office Vs
Jagdish Prasad [(1996) 2 CPJ 78 (Bihar)].
----------------------
---------------------- 2.2 USER OF GOODS
---------------------- The person who buys is a consumer, so also the person who uses such
goods with the approval of the original buyer is a Consumer. In short user of
---------------------- goods is also a Consumer.
---------------------- In Akhil Bhartiya Grahak Panchayat Vs Meghna Metals {I (1994) CPJ
113}; the complainant purchased Prestige Pressure Cooker from the opposite
---------------------- party. Inspite of special gasket release system for safety, the cooker burst which
resulted in damage to the right hand of the complainants’ wife. The opposite
---------------------- party was held liable to pay compensation of Rs. 1,00,000/- plus reimbursement
of the medical bills although the wife was user of goods and not the buyer, but
---------------------- she used the goods with the approval of the buyer.
---------------------- In Sonia Bhatia Vs State of UP & others (1981) 2SCC 585, it was held that
–‘consideration’ means a reasonable equivalent or other value benefit passed on
---------------------- by the promisor to the promisee or by the transferor to the transferee.
----------------------
Check your Progress 1
----------------------
State True or False.
----------------------
1. To be a consumer of goods, the goods bought by such person must be
---------------------- for some consideration.
---------------------- 2. Subscriber of a law reporter is not a consumer.
Multiple Choice Single Response.
---------------------- 1. X buys an induction stove. His mother Y uses it with the approval of
---------------------- X. So Y is:
i. User of goods
----------------------
ii. Consumer
---------------------- iii. All of the above

----------------------

32 Consumer Protection Act, 2019

 Notes
Activity 1
----------------------
Give one illustration from your daily life with regard to user of goods. ----------------------

----------------------
2.3 BENEFICIARY OF SERVICES - MEANING AND
INGREDIENTS OF NEGLIGENCE ----------------------

Consumer of Services ----------------------

The second category of ‘consumer’ is that of hirer or user of services. As ----------------------

per this clause, Consumer means
----------------------
i) any person who hires or avails of any services;
----------------------
ii) services are availed or hired for a consideration;
----------------------
iii) a consideration which has paid or promised or partly paid and partly promised
or under any system of deferred payment and includes any beneficiary of ----------------------
such services with approval of the first mentioned person.
----------------------
There is no element of commercialism involved in the whole process. A
railway passenger is a ‘consumer’ under the Consumer Protection Act & is ----------------------
entitled to the benefits of the services being offered by the railways. ----------------------
Hiring of Services ----------------------
The word ‘hire’ has not been defined in the Act. According to Concise Oxford
----------------------
Dictionary, ‘hire’ means to employ person for wages or fee.
The definition is, thus, an inclusive & extensive one. It brings within its ----------------------
ambit not only the person who has the privity of contract with the person hiring ----------------------
out the services, but also subsequent beneficiaries thereof, even though the latter
may not be a party to the original contract or have a direct nexus therewith. ----------------------
Service Free of Charge ----------------------
Service rendered at a Government hospital/health centre/dispensary where no ----------------------
change whatsoever is made from any person availing the services & all patients
(rich & poor) are given free service – is outside the purview of the expression ----------------------
‘service’. The payment of token amount for registration purpose only at the
----------------------
hospital/nursing home would not alter the position. (Indian Medical Association
V.V.P. Shantha AIR 1996 SC 550). ----------------------
The Consumer Protection Act has widened the scope of services by including ----------------------
in its fold also the beneficiary of such services provided that he is availing the
services with approval of the hirer. ----------------------
In Spring Meadows Hospital Vs. Harjol Ahluwali (1998) ICPJ 1(sc), the ----------------------
Supreme Court pointed out that in clause (ii) of sec 2 (1) (d) of the Consumer
Protection Act, a consumer would mean a person who hires or avails of any ----------------------

‘Consumer’ under Consumer Protection Act 33

 Notes services & includes any beneficiary of such services other than the person who
hires or avails of the services when a young child is taken to a hospital by his
---------------------- parents & the child is treated by the doctor, the parents would come within the
definition of consumer having hired the services & the young child would also
---------------------- become a consumer under the inclusive definition being a beneficiary of such
---------------------- services. The court thus held that both the parents of the child as well as the
child would be consumer within the meaning of sec 2(1) of the Act & as such
---------------------- can claim compensation under the Act.
---------------------- A person who is using the telephone of a subscriber with his approval is
consumer of telephone services & is entitled to claim compensation under the Act
---------------------- for the period for which his complaints remained unattended by the Telephone
Department (Mahanagar Telephone Nigam Vs. Vinod V. Karkare (1991) II CPJ
----------------------
655).
----------------------
---------------------- Check your Progress 2

---------------------- State True or False.

---------------------- 1. Hirer or user of services does not come under the category of
Consumer.
----------------------
2. Service free of charge does not come under the purview of Sec 2(1)(o).
----------------------

----------------------
Activity 2
----------------------
Read the judgment in Suhas Haldulkar Vs. Secretary, Public Health Dept.,
---------------------- State of Maharashtra 1994 3 CPJ 89.
----------------------
2.4 MEANING OF COMMERCIAL PURPOSE
----------------------

---------------------- Generally ‘Commercial Purpose’ is that purpose the object of which is to

make profit. It thus implies that cases of purchase of goods for consumption or
---------------------- use in the manufacture of goods or commodities on a large scale with a motive
to make profit will fall outside the scope of the definition of term consumer.
----------------------
In Oswal Fine Arts Vs H.M.T. Madras, (1991) ICPRI (NCDRC) the
---------------------- complainant purchased an offset printing machine from the respondent. The
grievance of the complainant was that the machine was defective in several
---------------------- respects due to which he suffered serious loss & claimed compensation. It was
---------------------- admitted that the machine was purchased by the complainant for the purpose
of its use in the printing press, which was a commercial establishment. The
---------------------- national commission held that the goods obtained for the commercial purpose
have specifically been excluded from the scope of the term ‘consumer’ and,
---------------------- therefore, the complaint is not maintainable under the Consumer Protection
---------------------- Act.

34 Consumer Protection Act, 2019

 In Sterling Computer Ltd. Vs. P.R. Kutty, ((1996) CPJ 118 (N.C)) the Notes
complainant purchased a computer for his personal use which was to be used by
his office staff for the purpose of business. The complainant was a contractor by ----------------------
profession. The computer was not being used to earn his livelihood. The computer
did not work properly from the very beginning. The National Commission held ----------------------
that the computer was purchased for commercial purpose & the complainant ----------------------
was not a consumer. The complaint was therefore dismissed.
In Binda Prasad Mandal Vs. Eicher Tractor Ltd., ((1993) I CPR 290) the ----------------------
complainant purchased a tractor from the dealer of the respondent which was
----------------------
found to be defective one. The complainant admitted in his evidence that besides
cultivating his own land he has also hired out the tractors to others for cultivation ----------------------
& carrying goods & he charged Rs. 60 per hour. The Bihar State Commission held
that the tractor purchased by the complainant used to be hired out for cultivation ----------------------
for which he used to charge money by way of hire charges then it can be said
to have been purchased for commercial purpose & therefore the complainant is ----------------------
not a consumer under the Consumer Protection Act. ----------------------
The distinction between “Commercial Purpose” and non-commercial
purpose is so obscure that at times it becomes very difficult to reach to a definite ----------------------
conclusion. ----------------------
A person who purchases a brick manufacturing machine for self employment
to earn his livelihood would be a Consumer. Cheema Engineering Services Vs ----------------------
Rajan Singh (1996) II CPR II. ----------------------
In Nirmal Chauhan Vs. New India Assurance Co. and Another {(1999) II
CPJ 33 (H.P.CDRC)}, a Photostat machine was purchased by the complainant ----------------------
for self-employment and the money was borrowed by him from the Bank. The ----------------------
Himachal Pradesh State Commission held that the complainant had discharged the
onus to prove that it was for self-employment exclusively for earning livelihood. ----------------------

----------------------
Check your Progress 3
----------------------
Match the following.
----------------------
i. Goods obtained for commercial a. Purchaser is not a
purpose consumer ----------------------
ii. Goods purchased for personal use or b. Purchaser is consumer
----------------------
for earning livelihood
----------------------

----------------------
Activity 3
----------------------
Think of two acts (other than those mentioned in 2.4) which would fall in
----------------------
the category of purchase for commercial purposes and thereby disqualify
the purchaser from obtaining relief under the Consumer Protection Act. ----------------------

----------------------

‘Consumer’ under Consumer Protection Act 35

 Notes 2.5 VARIOUS MARKS THAT INDICATE QUALITY STANDARDS
----------------------
IN INDIA

---------------------- a) ISI Mark: The use of ISI mark has become widely popular particularly
after the setting up of the Bureau of Indian Standards in the year 2019. The
---------------------- mark symbolizes the use of a standard quality control in the production of
the concerned products. Improper use of mark is an offence.
----------------------
b) PAC Mark: It is the quality mark which covers all building materials and
---------------------- production and components which are out of the ambit of ISI Certification.
This mark is issued by Ministry of Urban Development through its Building
----------------------
Material and Technology Promotion Council.
---------------------- c) ECO Mark: This mark scheme has been evolved by the Ministry of
---------------------- Environment under the water (prevention & control of pollution) Act,
1974 and Air Act, 1981. The necessary license is issued by Bureau of
---------------------- Indian Standards. The products covered by the mark include toilet soap,
food products, paper and detergent. In other words, this mark indicates that
---------------------- products as well as packages are environmental friendly.
---------------------- d) FPO Mark: The Food Processing Order or the FPO mark is provided in
the rules framed under the Prevention of Food Adulteration Act, 1954.
----------------------
e) AGMARK: This mark is issued by authorities constituted under the
---------------------- Agriculture Produce (Trading and Marketing) Act, 1937. Manufacturers use
---------------------- AGMARK for products, including mustard oil, ghee, butter, eggs, fruits,
vegetables, pulses, chillies, jaggery and spices.
----------------------

---------------------- Check your Progress 4

---------------------- Match the following.

---------------------- i. PAC Mark a. Fruits, vegetables, jaggery, spices, etc
ii. ECO Mark b. Food processing order
---------------------- iii. ISI Mark c. Environmental friendly products and packages
iv. AGMARK d. Building materials and production components
----------------------
v. FPO Mark e. Use of standard quality in production
----------------------

---------------------- Activity 4
----------------------
Make a list of products in your house with ISI mark and AGMARK.
----------------------

---------------------- Summary
---------------------- ●● In this unit the expression ‘consumer’ has been explained. The definition
consumer as per Consumer Protection Act includes person who buys
---------------------- goods, who uses goods with the approval of the buyer & a person who hires

36 Consumer Protection Act, 2019

 or avails services & also beneficiary of services. All these transactions Notes
should be for consideration. The goods purchased or services if availed
are for commercial purpose, then it is outside the preview of this Act. ----------------------

----------------------
Keywords
----------------------
●● Liable: Bound or obliged by law; accountability & responsibility to
another enforceable by legal sanction. ----------------------
●● Malice: Ill-will against a person; a wrongful act done intentionally ----------------------
without just cause or excuse.
●● Opposite Party: Person against whom complaint is filed. ----------------------

----------------------
Self-Assessment Questions ----------------------
1. Who is not a consumer & why? ----------------------
2. If Mr. A purchases an Air Conditioner for his residence, is he a consumer?
----------------------
3. What is commercial purpose?
----------------------
4. If a computer is purchased for your office, are you a consumer?
----------------------
Answers to Check your Progress ----------------------
Check your Progress 1 ----------------------
State True or False.
----------------------
1. True
----------------------
2. True
Multiple Choice Single Response. ----------------------

1. X buys an induction stove. His mother Y uses it with the approval of X. ----------------------
So Y is:
----------------------
iii. All of the above
----------------------
Check your Progress 2
State True or False. ----------------------
1. False ----------------------
2. True ----------------------
Check your Progress 3
----------------------
Match the following.
----------------------
i. – a.
ii. – b. ----------------------

----------------------

‘Consumer’ under Consumer Protection Act 37

 Notes Check your Progress 4
Match the following.
----------------------
i. – d.
----------------------
ii. – c.
---------------------- iii. – e.
---------------------- iv. – a.

---------------------- v. – b.

----------------------
Suggested Reading
----------------------
1. http://www.bis.org.in/cert/procert.htm
---------------------- 2. http://www.cpcb.nic.in/ecomark_logo.php
---------------------- 3. http://mofpi.nic.in/ContentPage.aspx?CategoryId=141
---------------------- 4. Bare Act, Consumer Protection Act, 2019
5. 
Consumer Protection Law and Practice by Taxmann, Taxmann
----------------------
Publications
---------------------- 6. Consumer Protection Act, 2019 with rules By Taxmann
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

38 Consumer Protection Act, 2019

Consumer Disputes Redressal Agencies
UNIT

3
Structure:

3.1 Establishment of Consumer Disputes Redressal Agencies

3.2 Composition of the District Commission
3.3 Jurisdiction of the District commission
3.4 Composition of the State Commission and Eligibility of Members
3.5 Jurisdiction of the State Commission
3.6 Composition of the National Commission
3.7 Jurisdiction of the National Commission
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Consumer Disputes Redressal Agencies 39

 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Discuss the establishment of the consumer commissions
----------------------
• Identify the hierarchy of the consumer commissions
---------------------- • Explain the composition of the commissions
---------------------- • Describe the eligibility criteria of the members

---------------------- The consumer commissions have been established to ease the cumbersome
process of filing a consumer complaint in the ordinary civil courts and help the
---------------------- consumer get the redressal in a quicker and easier way, without the hassles of
---------------------- going round the lethargic legal procedure.
Now let us see how these commissions are established, who has what
---------------------- powers and how these commissions function, their pecuniary and territorial
---------------------- jurisdictions.

---------------------- 3.1 ESTABLISHMENT OF CONSUMER DISPUTES

---------------------- REDRESSAL AGENCIES

---------------------- The Central Consumer Protection Council:

●● The Consumer Protection Act empowers the Central Government to
----------------------
establish a Central Consumer Protection Council. It will act as an advisory
---------------------- body on consumer issues.
●● As per the notified Central Consumer Protection Council Rules, the Central
----------------------
Consumer Protection Council would be 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.
----------------------
●● The Council, which has a three-year tenure, will have a Minister-in-
---------------------- charge of consumer affairs from two States from each region – North,
South, East, West, and NER. There is also a provision for having working
---------------------- groups from amongst the members for specific tasks.
---------------------- Consumer Disputes Redressal Commission:
●● The Act has the provision of the establishment of Consumer Disputes
----------------------
Redressal Commissions (CDRCs) at the national, state and district levels
---------------------- to entertain consumer complaints.
●● As per the notified rules, the State Commissions will furnish information
---------------------- to the Central Government on a quarterly basis on vacancies, disposal, the
---------------------- pendency of cases and other matters.
●● The CDRCs will entertain complaints related to:
----------------------
●● Overcharging or deceptive charging
----------------------

40 Consumer Protection Act, 2019

●● Unfair or restrictive trade practices Notes
●● Sale of hazardous goods and services which may be hazardous to life.
----------------------
●● Sale of defective goods or services
●● As per the Consumer Disputes Redressal Commission Rules, there will ----------------------
be no fee for filing cases up to Rs. 5 lakh. ----------------------
Three-tier Consumer Disputes Redressal Mechanism:
----------------------
Section 9 of the Consumer Protection Act, 2019 deals with the establishment of
three-tier Consumer Disputes Redressal Agencies namely ----------------------
Supreme Court of India ----------------------

----------------------

----------------------
National Commission
----------------------

----------------------

State Commission ----------------------

----------------------

----------------------
District Commission ----------------------
The act provides an alternative system of adjudication of cases through
----------------------
simple, inexpensive and easily accessible Consumer Disputes Redressal
machinery at the district, state and national levels. The procedure before these ----------------------
commissions is simple devoid of legal complexes and technicalities.
----------------------
The District Commission
The State Government is empowered to establish a Consumer Disputes ----------------------
Redressal Commission at each District level. It shall be called the District ----------------------
Commission. However, there can be more than one District Commission in a
District, if the State Government deems it necessary to establish the same. This ----------------------
commission is the lowest in the hierarchy of the three-tier-Quasi Judicial set up.
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

Consumer Disputes Redressal Agencies 41

 Notes
Check your Progress 1
----------------------

---------------------- State True or False.

Multiple Choice Single Response.
----------------------
1. _________ forum is the lowest in the hierarchy of the Consumer
---------------------- Dispute Redressal Mechanism.
---------------------- i. National
ii. District
---------------------- iii. State
----------------------

---------------------- Activity 1
----------------------
Refer to the Consumer Protection Act, 2019 and find the alternative name/
---------------------- title by which the District Commission, State Commission and National
---------------------- Commission are known.

---------------------- 3.2 COMPOSITION OF THE DISTRICT COMMISSION

----------------------
1. The State Government shall, by notification, establish a District Consumer
---------------------- Disputes Redressal Commission, to be known as the District Commission,
in each district of the State:
----------------------
Provided that the State Government may, if it deems fit, establish more
---------------------- than one District Commission in a district.
2. Each District Commission shall consist of— (a) a President; and (b) not
----------------------
less than two and not more than such number of members as may be
---------------------- prescribed, in consultation with the Central Government.

---------------------- The District Commission shall be presided over by:

a) A person who is or has been or is qualified to be a District Judge, who shall
---------------------- be its President.
---------------------- b) Two other members, one of whom shall be a woman. These members have
to be persons of ability, integrity and standing and have adequate knowledge
---------------------- or experience of, or have shown capacity in dealing with, problems relating
---------------------- to economics, law, commerce, accountancy, industry, public affairs or
administration.
----------------------
From the above provisions it becomes clear that the commission compromises
---------------------- of both Judicial and Non-judicial members.
a) Procedure for Appointment:
----------------------
Every appointment as mentioned above shall be made by the State
---------------------- Government on the recommendation of a Selection Committee. The

42 Consumer Protection Act, 2019

 Committee shall consist of the following - Notes
I. President of the State Commission;
----------------------
II. Secretary of the Law Department of the State;
----------------------
III. Secretary in-charge of the Department dealing with Consumer Affairs
in the State. ----------------------
b) Terms and Conditions of Office: ----------------------
The members of the District Commission shall hold office for a term of
five years or up to the age of 65 years whichever is earlier and shall not be ----------------------
eligible for reappointment. However, a member may resign his office before ----------------------
the expiry of the term, and the Government on accepting his resignation
may fill the vacancy from among persons who belong to that category. ----------------------
The salary or honorarium and other allowances payable to and the other ----------------------
terms and conditions of service of the members of the District Commission
shall be such as may be prescribed by the State Government. ----------------------

----------------------
Check your Progress 2
----------------------
Multiple Choice Single Response.
----------------------
1. The district commission comprises:
----------------------
i. Judicial members
ii. Non-judicial members ----------------------

iii. All of the above ----------------------

2. The State Government appoints the members of the District ----------------------
Commission on the recommendation of:
----------------------
i. Department of Consumer Affairs
ii. Selection Committee ----------------------
iii. President of India ----------------------
----------------------
Activity 2 ----------------------

----------------------
Visit the District Commission in your district and find the names of its
president and members. ----------------------

----------------------
3.3 JURISDICTION OF THE DISTRICT COMMISSION
----------------------
1. Subject to the other provisions of this Act, the District Commission shall
have jurisdiction to entertain complaints where the value of the goods or ----------------------
services paid as consideration does not exceed one crore rupees: Provided
that where the Central Government deems it necessary so to do, it may ----------------------

Consumer Disputes Redressal Agencies 43

 Notes prescribe such other value, as it deems fit.
2. A complaint shall be instituted in a District Commission within the local
----------------------
limits of whose jurisdiction,—
---------------------- (a) the opposite party or each of the opposite parties, where there
are more than one, at the time of the institution of the complaint,
----------------------
ordinarily resides or carries on business or has a branch office or
---------------------- personally works for gain; or
(b) any of the opposite parties, where there are more than one, at the
----------------------
time of the institution of the complaint, actually and voluntarily
---------------------- resides, or carries on business or has a branch office, or personally
works for gain, provided that in such case the permission of the
---------------------- District Commission is given; or
---------------------- (c) the cause of action, wholly or in part, arises; or

---------------------- (d) the complainant resides or personally works for gain. Qualifications,
etc., of President and members of District Commission. Salaries,
---------------------- allowances and other terms and conditions of service of President
and members of District Commission. Transitional provision.
---------------------- Vacancy in office of member of District Commission. Officers and
---------------------- other employees of District Commission. Jurisdiction of District
Commission.
---------------------- 3. The District Commission shall ordinarily function in the district
---------------------- headquarters and may perform its functions at such other place in the
district, as the State Government may, in consultation with the State
---------------------- Commission, notify in the Official Gazette from time to time.
---------------------- Consumer Protection Act lays down the pecuniary as well as the territorial
jurisdiction of the District Commission.
----------------------
‘Jurisdiction’ means the extent, both territorial as well as pecuniary, within
---------------------- which the Consumer Disputes Redressal Commission has the power and authority
to adjudicate upon a complaint under the Consumer Protection Act.
----------------------
The Jurisdiction of the Consumer Disputes Redressal Commission is to be
---------------------- found on the basis of the claim laid by the party and not on the basis of relief
granted.
----------------------
Pecuniary Jurisdiction of the District Commission:
---------------------- ‘DISTRICT COMMISSION’: Subject to the other provisions of this Act,
---------------------- the District Commission shall have jurisdiction to entertain complaints where the
value of the goods or services paid as consideration does not exceed one crore
---------------------- rupees [Section 34 of the New Act].
---------------------- Whereas, subject to the other provisions of this Act, the District Commission
shall have jurisdiction to entertain complaints where the value of the goods or
---------------------- services and the compensation, if any, claimed does not exceed rupees twenty
lakhs [Section 11 of the old Act].
----------------------

44 Consumer Protection Act, 2019

 Personally works for Gain: Notes
The words ‘Personally works for gain’ have widened the scope of
----------------------
jurisdiction of the District Commission. Even if the opposite party is not
residing at a particular place but is working for gain at such a place, then ----------------------
complainant can file complaint at such a place also against the opposite party.
Thus if the opposite party is residing in Pune but works for gain in Mumbai, the ----------------------
complainant can file complaint in Mumbai where the opposite party works for
----------------------
gain.
Permission of the District Commission or Acquiescence of Opposite Party: ----------------------
The Consumer Protection Act lays down that a complaint shall be instituted ----------------------
in a District Commission within the local limits of whose jurisdiction any of the
opposite parties, where there are more than one, at the time of the institution of ----------------------
the complaint, actually and voluntarily resides or carries on business or has a
----------------------
branch office or personally works for gain, provided that in such case -
i. either the permission of the District Commission is given or ----------------------

ii. the opposite parties who do not reside or carry on business or have ----------------------
a branch office, or personally work for gain, as the case may be, acquiesce in
such institution. ----------------------

Cause of Action Wholly or in Part arises ----------------------

According to the Consumer Protection Act, 2019, a complaint shall be ----------------------
instituted in a District Commission within the local limits of whose jurisdiction
the cause of action, wholly or in part, arises. Every complaint under the ----------------------
Consumer Protection Act must be based on a cause of action.
----------------------
‘Cause of Action’ means a bundle of facts which taken with the law
applicable, gives the complainant a right to relief against the opposite party. It is ----------------------
settled law that cause of action consists of a bundle of facts which give cause to
enforce the legal injury for redress in a court of law. The cause of action means, ----------------------
therefore every fact which if traversed, it would be necessary for the plaintiff ----------------------
to prove in order to support his right to a judgment of the court. In other words,
it is a bundle of facts, which taken with the law applicable to them, gives the ----------------------
plaintiff a right to claim relief against the defendant.
----------------------
It must include some act done by the defendant since in the absence of
such an act, no cause of action would possibly accrue or would arise. (South ----------------------
East Asia Shipping Co. Ltd. Vs Nav Bharat Enterprises Pvt. Ltd. (1996) 3
----------------------
SCC 443)
The cause of action in consumer transactions arises generally at the ----------------------
place where the goods are bought or services are hired or where the goods
----------------------
are delivered or supplied, or services are rendered and thus the jurisdiction is
determined accordingly. ----------------------
Case Law
----------------------
1) The payment for railway ticket was made at Delhi for a journey to be
performed from Bombay to Delhi, it was held that the Delhi Commission ----------------------

Consumer Disputes Redressal Agencies 45

 Notes has jurisdiction to entertain the complaint because the payment of the ticket
at Delhi constituted a part of the cause of action. (Union of India Vs K.K.
---------------------- Bhatt (1991) II CPR 578 (Delhi (DCR)).
---------------------- Agreement Ousting Jurisdiction:
Sec 28 of the Indian Contract Act 1872 provides that every agreement, which
----------------------
any party thereto is restricted absolutely from enforcing his rights under or in
---------------------- respect of any contract, by the usual legal proceedings in the ordinary tribunals,
or which limits the time within which he may thus enforce his rights, is void to
---------------------- that extent.
---------------------- Suppose the buyer enters into an agreement with the seller that he will never
ever proceed against the seller for defective goods, etc. such an agreement as per
---------------------- section 28 of the contract act is void, i.e. of no legal consequences.
---------------------- But, parties cannot by an agreement oust the jurisdiction of any court or
confer jurisdiction on a court not otherwise competent. However, where two
---------------------- courts have jurisdiction to try a case, but the parties have agreed that dispute
---------------------- between them should be tried at one court rather than the other, it is valid and
does not contravene sec 28 of the Contract Act.
---------------------- State Commission
---------------------- The State Commission is the second in the hierarchy of the three tier quasi
Judicial System established under the Act. The State Commission is to be
---------------------- established by every State Government by issue of notification in the official
---------------------- Gazette. It has both original as well as appellate jurisdiction.

---------------------- Check your Progress 3

----------------------
State True or False.
----------------------
1. “A” buys a car from manufacturer “B” for Rs 10 lakh. Any complaint
---------------------- relating to the car should be filed in the District Commission that has
jurisdiction.
----------------------
2. A buyer enters into an agreement with the seller that he will not take
---------------------- any action against the seller for defective goods. Such agreement is
enforceable.
----------------------

----------------------
Activity 3
----------------------

---------------------- Find the location of District Consumer Disputes Redressal Commission

in your district.
----------------------

----------------------
3.4 COMPOSITION OF THE STATE COMMISSION AND
ELIGIBILITY OF MEMBERS
----------------------

46 Consumer Protection Act, 2019

 Every State Commission shall consist of one President and not less than two Notes
and not more than such number of members as may be prescribed, and one of
whom shall be a woman. The members shall have the following qualifications ----------------------
namely;
----------------------
i) be not less than thirty-five years of age;
----------------------
ii) possess a bachelors degree from a recognized University; and
iii) be persons of ability, integrity and standing, have adequate knowledge ----------------------
and experience of atleast ten years in dealing with problems relating
----------------------
to economics, law, commerce, accountancy, industry, public affairs or
administration. ----------------------
Provided that not more than fifty percent of the members shall be from ----------------------
amongst persons having a judicial background. ‘Judicial background’ shall mean
persons having knowledge and experience for atleast a period of ten years as a ----------------------
presiding officer at the district level court or any tribunal or equivalent level.
----------------------
President of the State Commission
The State Commission shall be presided over by the President. ----------------------

A person who is or has been a judge of a High Court is eligible to be appointed ----------------------
as the President of the State Commission.
----------------------
Appointment of President
----------------------
The President of the State Commission shall be appointed by the State
Government. Provided that no appointment shall be made except after consultation ----------------------
with the chief Justice of the High Court.
----------------------
Disqualifications
The Act lays down that a person shall be disqualified for appointment as a ----------------------
member if he - ----------------------
a) has been convicted and sentenced to imprisonment for an offence which in
----------------------
the opinion of the State Government, involves moral turpitude, or
b) is an undischarged insolvent; or ----------------------
c) is of unsound mind and stands so declared by a competent court or ----------------------
d) has been removed or dismissed from the service of the Government or a ----------------------
body corporate owned or controlled by the Government; or
e) has in the opinion of the State Government, such financial or other interest; ----------------------
as is likely to affect prejudicially the discharge by him of his functions as ----------------------
a member; or
f) has such other disqualifications as may be prescribed by the State ----------------------
Government. ----------------------
Tenure of the Members of the State Commission
----------------------
The President and every member of the State Commission shall hold office
----------------------

Consumer Disputes Redressal Agencies 47

 Notes for a term of five years or upto the age of sixty-seven years, whichever is earlier;
and shall be eligible for re-appointment for another term. However, the President
---------------------- or any member may
---------------------- (a) by writing under his hand and addressed to the State Government resign his
office any time;
----------------------
(b) be removed from office by the State Government, who –
---------------------- i) has been adjudged an insolvent or
---------------------- ii) has been convicted of an offence, which in the opinion of the State
Government involves moral turpitude; or
----------------------
iii) has become physically or mentally incapable of acting as such member;
---------------------- or
---------------------- iv) has acquired such financial or other interest, as is likely to affect
prejudicially his functions, as a member; or
----------------------
v) has so abused his position as to render his continuance in office
---------------------- prejudicial to the public interest.
The President and the members of the State Commission shall not be removed
----------------------
from the office on the ground of acquiring such financial or other interest as
---------------------- is likely to affect prejudicially his functions as a member; or on the ground of
abusing his position as to render his continuance in office prejudicial to the public
---------------------- interest, except on an inquiry held by the State Government in accordance with
such procedure, as it may specify in this behalf, and finds the President or the
----------------------
member, as the case may be, to be guilty of such ground.
---------------------- Salary and Honorarium, etc. of the President and Members of the State
---------------------- Commission
As per the Consumer Protection Act, 2019 the salary or honorarium and
---------------------- other allowances payable to, and the other terms and conditions of service of,
---------------------- the members of the State Commission shall be such as may be prescribed by the
State Government.
----------------------
Check your Progress 4
----------------------

---------------------- Match the following.

---------------------- i. Member of the Commission a. Judge of High Court
ii. President b. Disqualification
---------------------- iii. Unsound mind c. Not less than 35 yrs
----------------------

----------------------

----------------------

----------------------

48 Consumer Protection Act, 2019

 Notes
Activity 4
----------------------
Prepare a list of the names of the president and members of the State ----------------------
Consumer Disputes Redressal Commission in your state.
----------------------

3.5 JURISDICTION OF THE STATE COMMISSION ----------------------

‘STATE COMMISSION’: Subject to the other provisions of this Act, the ----------------------
State Commission shall have jurisdiction to entertain complaints where the value ----------------------
of the goods or services paid as consideration, exceeds rupees one crore, but
does not exceed rupees ten crore [Section 47(1) of the New Act]. ----------------------
Whereas, subject to the other provisions of this Act, the State Commission ----------------------
shall have jurisdiction to entertain complaints where the value of the goods or
services and compensation, if any, claimed, exceeds rupees twenty lakhs, but ----------------------
does not exceed rupees one crore [Section 17(1) of the Old Act].
----------------------
Territorial Jurisdiction of State Commission
----------------------
The Consumer Protection Act is identical with the territorial jurisdiction of
the District Commission which is discussed earlier in this unit. A complaint shall ----------------------
be instituted in a State Commission within the limits of whose jurisdiction;
----------------------
a) the opposite party or each of the opposite parties where there are more than
one, at the time of the institution of the complaint, actually and voluntarily ----------------------
resides or carries on business or has a branch office or personally works for
gain; or ----------------------
b) any of the opposite parties, where there are more than one, at the time of ----------------------
the institution of the complaint actually and voluntarily resides, or carries
on business or has a branch office or personally works for gain, provided ----------------------
that in such case either the permission of the State Commission is given or
----------------------
the opposite parties who do not reside or carry on business or have a branch
office or personally works for gain, as the case may be, acquiesces in such ----------------------
institution; or
----------------------
c) the cause of action, wholly or in part arises.
Appellate Jurisdiction ----------------------

The State Commission can exercise original as well as appellate jurisdiction ----------------------
within the State.
----------------------
Reversionary Jurisdiction of State Commission
----------------------
In its revisionary jurisdiction, the State Commission has jurisdiction to
call for the records and pass appropriate orders in any consumer dispute which ----------------------
is pending before or has been decided by any District Commission within the
State, where it appears to the State Commission that such District Commission ----------------------
has exercised a jurisdiction not vested in it by law, or has failed to exercise a
----------------------
jurisdiction so vested or has acted in exercise of its jurisdiction illegally or with

Consumer Disputes Redressal Agencies 49

 Notes material irregularity. Where there is no error of jurisdiction or illegal exercise of
jurisdiction by the Consumer Commission, the Commission declined to entertain
---------------------- the revision petition. (Kuldip Singh Karla Vs Roshan Lal Pal II (1903) CPJ 170
(171)(NC)
----------------------
Form of complaint before the State Commission
----------------------
According to the Consumer Protection Act, the complaint under this
---------------------- Act can be filed in person or can be sent by registered post. Coming to the
form for filing complaints under the Act before the State Consumer Disputes
---------------------- Redressal Commission, the Consumer Protection Rules, framed by various
State Governments provide that the complaint shall be presented by the
----------------------
complainant in person or by his agent to the State Commission or be sent
---------------------- by registered post addressed to the State Commission, giving the following
particulars–
----------------------
a) the name, description and address of the complainant;
---------------------- b) the name, description and address of the opposite party or parties, as the
---------------------- case may be, so far as they can be ascertained;
c) the facts relating to complainant and when and where these arose;
----------------------
d) documents in support of the allegations, contained in the complaint; and
----------------------
e) the relief which the complainant claims
---------------------- Procedure applicable to State Commission
---------------------- 1. The provisions relating to complaints under sections 35, 36, 37, 38 and 39
shall, with such modifications as may be necessary, be applicable to the
---------------------- disposal of complaints by the State Commission.
---------------------- 2. Without prejudice to the provisions of sub-section (1), the State
Commission may also declare any terms of contract, which is unfair to
---------------------- any consumer, to be null and void
---------------------- The State Commission shall follow the provisions of the Consumer
Protection Act and the Rules made thereunder for the disposal of the complaints
---------------------- by the District Commission with such modifications as may be necessary.
---------------------- The first appeal of the District Commission situated within the state lies to
the State Commission and then State Commission can take cognizance of the
----------------------
dispute arising within that state.
---------------------- When the bank guarantee was invoked at Saharanpur and payment was also
made by the Saharanpur Branch of the Bank, which is situated within the state of
----------------------
Uttar Pradesh and no part of the cause of action has arisen in Delhi, it has been
---------------------- held that it is not possible to agree with view of the State Commission and also
of the National Commission that the State Commission at Delhi had jurisdiction
---------------------- in the matter? (Union Bank of India Vs Seppo Rally OY, AIR 2000 SC 62 (66))
---------------------- Transfer of cases

---------------------- On the application of the complainant or of its own motion, the State

50 Consumer Protection Act, 2019

Commission may, at any stage of the proceeding, transfer any complaint pending Notes
before a District Commission to another District Commission within the State if
the interest of justice so requires ----------------------
The State Commission has now been empowered to transfer any complaint ----------------------
pending before the District Commission to another District Commission within
the state if the interest of justice so requires. ----------------------
The transfer of cases/complaints can be done on the application of the ----------------------
complainant or of its own motion by the State Commission.
----------------------
There had been an occasion when a particular District Commission could
not hear a complaint pending before him as the President or Member was a party ----------------------
in such complaint.
----------------------
It is strongly felt here that instead of the words ‘on the application of the
complainant’ the words should have been ‘on the application of any party to ----------------------
the complaint’ thereby giving this ground even to the opposite party to seek
transfer of cases when appropriate and needed in the interest of justice. The State ----------------------
Commission should transfer cases only in the interests of justice. ----------------------
Circuit Benches
----------------------
The Consumer Protection Act states that the State Commission shall
ordinarily function in the State capital but may perform its functions at such ----------------------
other place as the State Government may, in consultation with State Commission,
notify in the official Gazette from time to time. ----------------------
Thus by issuing notification in the Official Gazette, the State Government ----------------------
in consultation with the State Commission can hold circuit benches of the State
Commission at places other than the State Capital. The State Commission shall ----------------------
entertain and dispose off all the complaints of that particular area falling within ----------------------
that particular circuit bench by holding regular sitting in that area as per the
convenience of the State Commission. ----------------------
The purpose of the publication in the Official Gazette is that it should come to
----------------------
the knowledge of the public. This provision of circuit benches will help in reducing
heavy backlog of cases and will render justice to the consumers more effectively. ----------------------
National Commission
----------------------
Under the Consumer Protection Act, three-tier quasi judicial mechanism is
provided for redressal viz, ----------------------
i) the District Commission, ii) the State Commission, iii) National Commission ----------------------
The National Commission is the apex body at the centre to adjudicate the
consumer disputes under the Act. The National Commission is a powerful body ----------------------
vested with wide powers to promote and safeguard the rights of the consumers. ----------------------

----------------------

----------------------

----------------------

Consumer Disputes Redressal Agencies 51

 Notes
Check your Progress 5
----------------------

---------------------- Multiple Choice Single Response.

1. The upper limit for the value of goods and services for which the
----------------------
State Commission has jurisdiction to entertain complaints is:
---------------------- i. 1 crore to 10 crores
ii. 50 lakh
----------------------
iii. 20 lakh
---------------------- iv. None of the above
---------------------- 2. The State Commission can exersise
i. Original jurisdiction
----------------------
ii. Appellate jurisdiction
---------------------- iii. Revisionary jurisdiction
iv. All of the above
----------------------

----------------------
Activity 5
----------------------
Find the location of the State Consumer Disputes Redressal Commission
----------------------
in your state.
----------------------

----------------------
3.6 COMPOSITION OF THE NATIONAL COMMISSION

---------------------- The National Commission shall consist of— (a) a President; and (b) not less
than four and not more than such number of members as may be prescribed
---------------------- The National Commission is to be presided over by a President and not less
---------------------- than four and not more than such number of members as may be prescribed and
one of whom shall be woman.
----------------------
Qualification of the President and the Members of the National Commission:
---------------------- 1. The Central Government may, by notification, make rules to provide
for qualifications, appointment, term of office, salaries and allowances,
----------------------
resignation, removal and other terms and conditions of service of the
---------------------- President and members of the National Commission: Provided that the
President and members of the National Commission shall hold office
---------------------- for such term as specified in the rules made by the Central Government
but not exceeding five years from the date on which he enters upon his
----------------------
office and shall be eligible for re-appointment: Provided further that no
---------------------- President or members shall hold office as such after he has attained such
age as specified in the rules made by the Central Government which shall
---------------------- not exceed,—
---------------------- (a) in the case of the President, the age of seventy years;

52 Consumer Protection Act, 2019

 (b) in the case of any other member, the age of sixty-seven years. Notes
2. Neither the salary and allowances nor the other terms and conditions of
----------------------
service of President and members of the National Commission shall be
varied to his disadvantage after his appointment. ----------------------
The qualifications for appointment as President of the National Commission
----------------------
are that
a) he should be a person, who is or has been a judge of the Supreme Court; ----------------------
b) he should be appointed by the Central Government, in consultation with the ----------------------
Chief Justice of India as such President of the National Commission;
----------------------
c) he should be seventy years of age;
d) he should give an undertaking that he does not and will not have any such ----------------------
financial or other interest as is likely to affect prejudicially his functions as ----------------------
such President;
----------------------
e) he has not been adjudged an insolvent and has not been convicted of an
offence, which in the opinion of the Central Government, involves moral ----------------------
turpitude.
----------------------
The qualification for the appointment of the members (not less than four,
one of whom shall be a woman) of the National Commission are that not less ----------------------
than four, and not more than such number of members as may be prescribed,
and one of whom shall be a woman, who shall have the following qualifications, ----------------------
namely –
----------------------
i) be not less than thirty-five years of age;
----------------------
ii) possess a bachelor’s degree from a recognized university;
iii) be persons of ability, integrity and standing and have adequate knowledge ----------------------
and experience of atleast ten years in dealing with problems relating ----------------------
to economics, law, commerce, accountancy, industry, public affairs or
administration provided that not more than fifty percent of the members ----------------------
shall be from amongst the persons having a judicial background.
----------------------
The members of the National Commission should be recommended for
appointment by the selection committee consisting of: ----------------------
i) a judge of a Supreme Court, to be nominated by the Chief Justice of India ----------------------
(Chairman)
----------------------
ii) the secretary in the Department of Legal Affairs in the Government of India
(member) and ----------------------
iii) the secretary of the Department dealing with consumer affairs in the ----------------------
Government of India (member)
----------------------

----------------------

----------------------

Consumer Disputes Redressal Agencies 53

 Notes
Check your Progress 6
----------------------

---------------------- Multiple Choice Single Response.

---------------------- 1. The President of the National Commission should be:

i. Chief Justice of High Court
----------------------
ii. Judge of Supreme Court
---------------------- iii. Chief Justice of Supreme Court
---------------------- iv. None of the above
---------------------- 2. The Selection Committee which recommends the appointment of the
members of the National Commission consists of:
----------------------
i. Judge of Supreme Court
---------------------- ii. Secretary, Department of Legal Affairs
---------------------- iii. Secretary, Department of Consumer Affairs

---------------------- iv. All of the above

----------------------

---------------------- Activity 6

---------------------- Find out who is the current president of the National Commission on
---------------------- Consumer Dispute Resolution.

----------------------
3.7 JURISDICTION OF THE NATIONAL COMMISSION
----------------------
‘NATIONAL COMMISSION’: Subject to the other provisions of this
---------------------- Act, the National Commission shall have jurisdiction to entertain complaints
---------------------- where the value of the goods or services paid as consideration, exceeds rupees
ten crore [Section 58(1) of the New Act].
---------------------- Whereas, subject to the other provisions of this Act, the National Commission
shall have jurisdiction to entertain complaints where the value of the goods or
----------------------
services and compensation, if any, claimed, exceeds rupees one crore [Section
---------------------- 21 of the Old Act].
1. Subject to the other provisions of this Act, the State Commission shall
----------------------
have jurisdiction—
---------------------- a) to entertain—
---------------------- (i) complaints where the value of the goods or services paid as
consideration, exceeds rupees one crore, but does not exceed rupees
---------------------- ten crore: Provided that where the Central Government deems it
---------------------- necessary so to do, it may prescribe such other value, as it deems fit;

54 Consumer Protection Act, 2019

 (ii) complaints against unfair contracts, where the value of goods or Notes
services paid as consideration does not exceed ten crore rupees;
----------------------
(iii) appeals against the orders of any District Commission within the
State; and ----------------------
b) to call for the records and pass appropriate orders in any consumer dispute
----------------------
which is pending before or has been decided by any District Commission
within the State, where it appears to the State Commission that such ----------------------
District Commission has exercised a jurisdiction not vested in it by law,
or has failed to exercise a jurisdiction so vested or has acted in exercise of ----------------------
its jurisdiction illegally or with material irregularity.
----------------------
2. The jurisdiction, powers and authority of the State Commission may be
exercised by Benches thereof, and a Bench may be constituted by the ----------------------
President with one or more members as the President may deem fit:
----------------------
Provided that the senior-most member shall preside over the Bench.
Where the members of a Bench differ in opinion on any point, the points ----------------------
shall be decided according to the opinion of the majority, if there is a ----------------------
majority, but if the members are equally divided, they shall state the point
or points on which they differ, and make a reference to the President who ----------------------
shall either hear the point or points himself or refer the case for hearing
on such point or points by one or more of the other members and such ----------------------
point or points shall Qualifications, etc., of President and members of ----------------------
State Commission. Salaries, allowances and other terms and conditions
of service of President and members of State Commission. Transitional ----------------------
provision. Officers and employees of State Commission. Jurisdiction of
State Commission. be decided according to the opinion of the majority of ----------------------
the members who have heard the case, including those who first heard it: ----------------------
Provided that the President or the other members, as the case may be,
shall give opinion on the point or points so referred within a period of one ----------------------
month from the date of such reference. ----------------------
A complaint shall be instituted in a State Commission within the limits of
whose jurisdiction,— ----------------------

a) the opposite party or each of the opposite parties, where there are more ----------------------
than one, at the time of the institution of the complaint, ordinarily resides
----------------------
or carries on business or has a branch office or personally works for gain;
or ----------------------
b) any of the opposite parties, where there are more than one, at the time of
----------------------
the institution of the complaint, actually and voluntarily resides, or carries
on business or has a branch office or personally works for gain, provided ----------------------
in such case, the permission of the State Commission is given; or
----------------------
c) the cause of action, wholly or in part, arises; or
d) the complainant resides or personally works for gain. ----------------------

----------------------

Consumer Disputes Redressal Agencies 55

 Notes The salaries honorarium of other allowances of the President and the
members of the National Commission shall be as under –
---------------------- a) The President of the National Commission shall be entitled to salary,
---------------------- allowances and other perquisites as are available to a sitting judge of the
Supreme Court.
---------------------- b) The other members of the National Commission, if sitting on whole time
---------------------- basis, shall receive a consolidated honorarium of twenty three thousand
rupees per month, or if sitting on part-time basis, a consolidated honorarium
---------------------- of three hundred rupees per day of sitting.
---------------------- c) The President and other member shall be entitled to traveling and daily
allowances on official tours at the same rates as are admissible to Group
---------------------- ‘A’ officers of the central government.
---------------------- d) The honorarium or the salary, as the case may be, and other allowances shall
be defrayed out of the consolidated fund of India.
----------------------
After having dealt with the Composition, qualification and other important
---------------------- details about presiding officers of the National Commission.

---------------------- 1. Subject to the other provisions of this Act, the National Commission shall
have jurisdiction—
---------------------- a) to entertain—
---------------------- (i) complaints where the value of the goods or services paid as
consideration exceeds rupees ten crore: Provided that where the
---------------------- Central Government deems it necessary so to do, it may prescribe
---------------------- such other value, as it deems fit;
(ii) complaints against unfair contracts, where the value of goods or
----------------------
services paid as consideration exceeds ten crore rupees;
---------------------- (iii) appeals against the orders of any State Commission;
---------------------- (iv) appeals against the orders of the Central Authority; and

---------------------- b) to call for the records and pass appropriate orders in any consumer dispute
which is pending before or has been decided by any State Commission
---------------------- where it appears to the National Commission that such State Commission
has exercised a jurisdiction not vested in it by law, or has failed to exercise
---------------------- a jurisdiction so vested, or has acted in the exercise of its jurisdiction
---------------------- illegally or with material irregularity.
2. The jurisdiction, powers and authority of the National Commission may
---------------------- be exercised by Benches thereof and a Bench may be constituted by the
---------------------- President with one or more members as he may deem fit:
Provided that the senior-most member of the Bench shall preside over the
----------------------
Bench.
---------------------- Where the members of a Bench differ in opinion on any point, the points
shall be decided according to the opinion of the majority, if there is a
----------------------
majority, but if the members are equally divided, they shall state the point

56 Consumer Protection Act, 2019

 or points on which they differ, and make a reference to the President who Notes
shall either hear the point or points himself or refer the case for hearing
on such point or points by one or more of the other members and such ----------------------
point or points shall be decided according to the opinion of the majority
of the members who have heard the case, including those who first heard ----------------------
it: Provided that the President or the other member, as the case may be, ----------------------
shall give opinion on the point or points so referred within a period of two
months from the date of such reference. ----------------------
Tenure of the President and the Members of the National Commission ----------------------
The President and every member of the National Commission shall hold
----------------------
office for a term of five years or upto the age of seventy years; whichever is earlier.
Provided that a member shall be eligible for re-appointment for another term of ----------------------
five years or upto the age of seventy years, whichever is earlier, subject to the
condition that he fulfils the qualification and other conditions for appointment ----------------------
mentioned in clause (b) of sub-section (1) and such re-appointment is made on
----------------------
the basis of the recommendation of the selection committee.
Provided further that a person appointed as a President of the National ----------------------
Commission shall also be eligible for re-appointment following the same
----------------------
procedure and requirement as for the first appointment.
Vacancy in the National Commission and its effect ----------------------

Provided that where a retired Judge of a High Court or a person who has ----------------------
been a Judicial Member is a member of the National Commission, such member
or where the number of such members is more than one, the senior-most person ----------------------
amongst such members, shall preside over the National Commission in the ----------------------
absence of President of that Commission.
Any member of the National Commission may resign his office in writing ----------------------
under his hand addressed to the Central Government and on such resignation ----------------------
being accepted, his office shall become vacant and may be filled by appointment
of a person possessing any of the qualifications mentioned earlier herein above. ----------------------
Salary and Honorarium, etc. ----------------------
The Consumer Protection Act 2019, states that the salary, honorarium and
----------------------
other allowances payable to and the other terms and conditions of service of the
members of the National Commission shall be such as may be prescribed by the ----------------------
Central Government.
----------------------
The scheme of the Consumer Protection Act 2019, is that these three agencies
constituted for redressal of ‘Consumer Dispute’ at different levels have as its ----------------------
President a person who is or has been a judge at the corresponding level. By this
mandatory prerequisites, it is ensured that one of the presiding officers at all the ----------------------
three levels is a person from the judicial branch and with good experience. ----------------------
As can be seen from the provisions of this Act, the appointment to the office
of the President of this Act, the appointment to the office of the President of the ----------------------
State Commission is to be made ‘only after consultation with the Chief Justice ----------------------

Consumer Disputes Redressal Agencies 57

 Notes of the High Court’ and to the office of the President of the National Commission
after consultation with the chief justice of India. Such a provision requiring prior
---------------------- consultation with the chief justice is to ensure that most suitable and competent
person would be appointed as the President of the Commission.
----------------------
Original Jurisdiction of the National Commission
----------------------
The term original jurisdiction of the National Commission means the
---------------------- extent, both territorial as well as pecuniary, within which the National Consumer
disputes Redressal Commission has the power and authority to adjudicate upon
---------------------- a complaint under the Consumer Protection Act. From the time of the passing of
the Consumer Protection Act by virtue of amendments, the original jurisdiction
----------------------
has been enhanced.
---------------------- Appellate Jurisdiction of National Commission
---------------------- Against the judgment and order of the State Commission, appeal can be filed
before the National Commission. The appeal may be preferred within a period
---------------------- of thirty days from the date of the order of the State Commission. The National
---------------------- Commission can condone the delay in filing the appeal, if it is satisfied that there
was sufficient cause for not filing it within that period.
---------------------- In Dr. Jagannath Mondal Vs Smt. Soma Roji (1996) IICPR 129 (Cal.H.C.)
---------------------- it was contended by the petitioner that appeal under section 21 of the Consumer
Protection Act is available only against judgment passed by the State Commission
---------------------- and not against an interlocutory order. The Calcutta High Court held that the
provisions of section 21(a)(ii) clearly indicate that the National Commission
---------------------- has jurisdiction to entertain appeal against the order of the State Commission.
---------------------- Therefore it is not correct to say that only against a judgment an appeal is available
and not against the order. Hence an appeal is also available under section 21 of
---------------------- the Act against the order of issuance of summons and notice as passed by the
State Commission.
----------------------
Revisional Jurisdiction of the National Commission
----------------------
The National Commission can exercise revisional powers. The revisional
---------------------- jurisdiction of the National Commission can be invoked wherein a state
commission has –
----------------------
i. exercised a jurisdiction not vested in it by law; or
---------------------- ii. failed to exercise jurisdiction so vested; or
---------------------- iii. acted in the exercise of its jurisdiction illegally or with material irregularity.

---------------------- The National Commission in revision should not interfere if there is no error
of jurisdiction or any material irregularity or improper exercise of jurisdiction.
---------------------- It can call for records and pass appropriate orders.
---------------------- In Kinetic Engineering Ltd. Vs Samasi Saunand and Another (1993) II CPJ
220 (NCDRC) the National Commission in revision petition found that the State
---------------------- Commission passed an order in appeal against the revisional petitioner when it
was not arrayed as a party before the State Commission and against whom there
----------------------
was no adverse finding in the order of the District Commission appealed against.

58 Consumer Protection Act, 2019

The National Commission opined that the State Commission proceeded to amplify Notes
the order by casting liability against the revision petitioner – Kinetic Engineering
Ltd. The National Commission held that the order of the State Commission is ----------------------
clearly vitiated by illegal exercise of jurisdiction resulting in material irregularity
and therefore be set aside. ----------------------

Power to set aside exparte Orders ----------------------

Where an order is passed by the National Commission ex parte, the aggrieved ----------------------
party may make an application to the Commission for setting aside such order.
----------------------
The National Commission can set aside exparte order passed by it on
application by the aggrieved party. The said application to set aside can be ----------------------
granted only if the National Commission is satisfied that the aggrieved party
was prevented by any sufficient cause from appearing when the case was called ----------------------
out for hearing.
----------------------
The application for setting aside the exparte order or dismissal of the
complaint in default shall be maintainable if filed within thirty days from the ----------------------
date of the order or date of receipt of the order, as the case may be. ----------------------
National Commission is empowered to transfer any complaint which is
pending before the District Commission of one State to a District Commission ----------------------
of another State or before one State Commission to another State Commission. ----------------------
The National Commission can transfer the cases on the application of the
complainant or of its own motion. The right to apply for transfer of cases however ----------------------
is not available to the opposite party. ----------------------
Circuit Benches
----------------------
The National Commission shall ordinarily function at the New Delhi and
perform its functions at such other place as the Central Government may, in ----------------------
consultation with the National Commission, notify in the Official Gazette, from
----------------------
time to time.
The Central Government has therefore in consultation with the National ----------------------
Consumer Disputes Redressal Commission, notified the following places and ----------------------
the places other than New Delhi at which the said Commission shall perform its
functions namely ----------------------
1) Ahmedabad 2) Allahabad 3) Bangalore 4) Bhopal 5) Chennai 6) Hyderabad ----------------------
7) Jodhpur 8) Kolkata 9) Lucknow 10) Nagpur 11) Pune.
Vacancy in the office of the President ----------------------

When the office of President of a District Commission, State Commission, or ----------------------

of the National Commission, as the case may be, is vacant or a person occupying
----------------------
such office is, by reason of absence or otherwise, unable to perform the duties
of his office, these shall be performed by the senior-most member of the District ----------------------
Commission, State Commission or of the National Commission as the case may
be. ----------------------
In the case of National Commission, it provides that where a retired judge ----------------------

Consumer Disputes Redressal Agencies 59

 Notes of a High Court is a member of National Commission, such member or where
the number of such members is more than one, the senior-most person among
---------------------- such members shall preside over the National Commission in the absence of
President of that Commission.
----------------------
This provision thus ensures the smooth and continuous functioning of these
---------------------- three-tier quasi-judicial bodies.
----------------------
Check your Progress 7
----------------------
Fill in the blanks.
----------------------
1. The value of goods and services for which the National Commission
---------------------- has jurisdiction to entertain a complaint should be ___________.
---------------------- 2. The members of the National Commission shall hold office for a term
of ____ years or up to the age of 70 years, whichever is earlier.
----------------------

----------------------
Activity 7
----------------------

---------------------- Cite a case recently decided by the National Commission on Consumer

Dispute Resolution .
----------------------

---------------------- Summary
---------------------- ●● The Consumer Protection Act, 2019 which aims at the protection and
promotion of the rights of the consumers has provided for three-tier
---------------------- quasi judicial set up for speedy and inexpensive procedure for disposal of
---------------------- complaints and appeals.
●● The presiding officers at these commissions comprise of judicial and
---------------------- non-judicial members which ensure that the judgment and order is as per
---------------------- law and in keeping with the prevailing commercial and trade practices.
The District Commission can exercise only original jurisdiction. But the
---------------------- State Commission and the National Commission can exercise Original,
Appellate and Revisionary jurisdiction. National Commission can
---------------------- exercise even Review Powers. Provisions such as transfer of cases, circuit
---------------------- benches, makes the Act more effective.

---------------------- Keywords
---------------------- ●● Ex-parte: Expression used to signify something done or said by one
---------------------- person not in the presence of his opponent.
●● Jurisdiction: Legal authority or power; the authority or power of a court
---------------------- to entertain and decide on any judicial proceedings; the area over which
---------------------- the power of the court extends.

60 Consumer Protection Act, 2019

●● Review: The process under which a court in certain circumstances can Notes
reconsider its own judgment. The term ‘review’ means a judicial re-
examination of the case in certain specified and prescribed circumstances. ----------------------
●● Revision: The act of examining again in order to remove any defect or ----------------------
grant relief against the irregular or improper exercise or non-exercise of
jurisdiction by lower court. ----------------------
●● Void: Not valid; of no effect; having no legal force or binding effect. ----------------------

----------------------
Self-Assessment Questions
----------------------
1. State the composition of the District Commission.
2. Can a person qualified to be a High Court Judge be eligible to be appointed ----------------------
as President of the State Commission? ----------------------
3. What is the difference between Original Jurisdiction and Appellate
Jurisdiction? ----------------------

4. Upto what age can the President of National Commission hold his office? ----------------------
5. What disqualifications are prescribed for the President and members of the ----------------------
State Commission?
----------------------
Answers to Check your Progress ----------------------
Check your Progress 1 ----------------------
Multiple Choice Single Response.
----------------------
1. _________ commission is the lowest in the hierarchy of the Consumer
Dispute Redressal Mechanism. ----------------------
ii. District ----------------------
Check your Progress 2 ----------------------
Multiple Choice Single Response.
----------------------
1. The district commission comprises:
----------------------
iii. All of the above
2. The State Government appoints the members of the District Commission ----------------------
on the recommendation of: ----------------------
ii. Selection Committee
----------------------
Check your Progress 3
----------------------
State True or False.
1. True ----------------------
2. False ----------------------

----------------------

Consumer Disputes Redressal Agencies 61

 Notes Check your Progress 4
Match the following.
----------------------
i. – c.
----------------------
ii. – a.
---------------------- iii. – b.
---------------------- Check your Progress 5

---------------------- Multiple Choice Single Response.

1. The upper limit for the value of goods and services for which the State
----------------------
Commission has jurisdiction to entertain complaints is:
---------------------- i. 1 crore to 10 crores
---------------------- 2. The State Commission can exersise

---------------------- iv. All of the above

Check your Progress 6
----------------------
Multiple Choice Single Response.
----------------------
1. The President of the National Commission should be:
---------------------- ii. Judge of Supreme Court
---------------------- 2. The Selection Committee which recommends the appointment of the
members of the National Commission consists of:
----------------------
iv. All of the above
---------------------- Check your Progress 7
---------------------- Fill in the blanks.
---------------------- 1. The value of goods and services for which the National Commision has
jurisdiction to entertain a complaint should be above 10 crores.
----------------------
2. The members of the National Commission shall hold office for a term of
---------------------- five years or up to the age of 70 years, whichever is earlier.

----------------------
Suggested Reading
----------------------
1. http://egazette.nic.in/WriteReadData/2019/210422.pdf
----------------------
2. Bare Act, Consumer Protection Act, 2019
---------------------- 3. Consumer Protection Law and Practice by Taxmann, Taxmann
Publications
----------------------
Consumer Protection Act, 2019 with rules By Taxmann Students are
---------------------- advised to refer to the new Consumer Protection Act, 2019 and provisions
---------------------- thereof.
Students are advised to refer to the new Consumer Protection Act, 2019 and
---------------------- provisions thereof.

62 Consumer Protection Act, 2019

Procedure for filing Consumer Complaint
UNIT

4
Structure:

4.1 Introduction
4.2 Who can file the Complaint
4.3 How to File a Consumer Complaint under Consumer Protection Act, 2019?
4.4 Fee for a Consumer Complaint under Consumer Protection Law
4.5 Process to File a Consumer Complaint in District Commission
4.6 Process to File a Consumer Complaint in State Commission
4.7 Process to File a Consumer Complaint in National Commission
4.8 Contents and Annexure with the Complaint
4.9 Online Consumer Complaint
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Procedure for filing Consumer Complaint 63

 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Specify who can file a complaint
----------------------
• State the limitation to file a complaint
---------------------- • Explain the procedure to file the complaint
---------------------- • Identify the procedure upon admission of the complaint

---------------------- • Discuss the procedure for the service of the notice

----------------------
4.1 INTRODUCTION
----------------------
It is the intention of parliament to provide a simple, inexpensive and
---------------------- expeditious procedure for disposing the complaints. As it is the consumer has been
harassed physically and mentally due to the defect in the goods or the services
---------------------- rendered by the seller. Hence the consumer commissions are intended to be
---------------------- accessible to one and all, irrespective of his social status. Complex procedures,
inordinate delays, heavy fees of a lawyer, have been done away with. The
---------------------- Consumer Protection Act therefore attempts to eliminate all these drawbacks and
therefore has laid down that no strict rules of civil procedure Code and Evidence
---------------------- Act are to be adhered to.
---------------------- The procedure to file a consumer complaint is very simple. The
burdensome and time consuming ways of the filing of a civil suit or a criminal
---------------------- case have been done away with. The name itself suggests that it is not a “case”,
---------------------- but a “consumer complaint”. Even the court fee stamp payable under the Act is
nominal and not exorbitant.
----------------------
The need to engage a lawyer has been done away. One may and can engage
---------------------- a lawyer if one wishes to, but it is not compulsory to do so. The advocates can
appear only with the prior permission of the presiding authority. The consumer
---------------------- can file the complaint on his own, in person, and draft the complaint in his own
words. For this purpose, it is important to know as to who can file the complaint,
----------------------
contents of the complaint, procedure for filing complaint and what reliefs can be
---------------------- granted by the Commission or the Commission.
Now let us go through the ways of filing a complaint in a consumer
----------------------
commission.
---------------------- Consumer Protection Act, 2019 passed on 7th August 2019, provides
protection of the interests of consumers and aims at establishing authorities to
----------------------
address the grievances of the consumers and settle consumer-related disputes.
---------------------- The authorities will also provide timely and effective redressals of consumer
disputes. In the case of grievances, consumers can file a complaint in the manner
---------------------- laid down under the Consumer Protection Act, 2019.
----------------------

64 Consumer Protection Act, 2019

 Sec 2 of the Consumer Protection Act, 2019 defines a complaint Notes
as any written allegation made by a consumer to obtain relief under the
Consumer Protection Act in the case of an unfair contract, unfair trade practice, ----------------------
restrictive trade practice, defective goods, deficiency of services or hazardous
goods or service. A complaint may also include a written allegation to claim ----------------------
liability against the product manufacturer, seller or service provider. ----------------------

4.2 WHO CAN FILE THE COMPLAINT? ----------------------

A complaint can be filed by one or more consumers, any registered ----------------------

voluntary consumer association, the Central or State Government, heirs or legal ----------------------
representatives of the consumer. Where the consumer is a minor, the complaint
can be filed by his parent or legal guardian; ----------------------
Voluntary Consumer Association ----------------------
Case Law
----------------------
i) In Consumer Unify and Trust Society Vs State of Rajasthan (1991) | CPR 30
(Raj CDRC), a complaint was filed by a registered consumer association on ----------------------
behalf of one Smt. Sushila Devi, who underwent an abdominal tubectomy
operation at the Government Hospital, Kota. It was alleged in the complaint ----------------------
that the operation caused serious complications to the patient, on account ----------------------
of the negligence on the part of the civil surgeon, who performed the
operation and also due to lack of proper post operative care and attention. ----------------------
The Rajasthan State Commission observed that the society can maintain
complaint, if the conditions laid down under sec 2(1)(d)(ii) of the Act are ----------------------
satisfied. But in this case, the required condition of ‘hiring services for ----------------------
consideration’ was not satisfied; therefore, the Commission dismissed the
complaint. ----------------------
Legal Representative ----------------------
In Kirti Ramniklal Parekh Vs Bank of Baroda (1995) II CPJ 350 (Guj.
CDRC), the complainant’s father who had a locker with the bank died. The ----------------------
Gujarat State Commission held that the appellant would be ‘consumer’ within ----------------------
the meaning of the Act. On the death of the deceased, Ramniklal Parekh, the
appellant would be one of the beneficiaries though not the sole beneficiary. ----------------------
Therefore, he would be covered by the definition of the word ‘consumer’ and can
file a complaint under the Act. It may be noted that he was also the legal heir. ----------------------

The term ‘legal representative’ has been defined in the Code of Civil ----------------------
Procedure. As per Section 2 (11) of the Code of Civil Procedure, ‘Legal
representative’ means a person who in law represents the estate of the deceased ----------------------
person and includes any person who intermeddles with the estate of the deceased ----------------------
and where a party sues or is sued in a representative character, the person on
whom the estate devolves on the death of the party so suing or sued. ----------------------
A consumer complaint can be filed as an individual complaint or as class ----------------------
action, in a group by the harassed consumers, together. A class action saves
precious court time and money. ----------------------

Procedure for filing Consumer Complaint 65

 Notes 4.3 HOW TO FILE A CONSUMER COMPLAINT
UNDER CONSUMER PROTECTION ACT, 2019?
----------------------
1. A Consumer Complaint can be made either in a written manner or in
---------------------- electronic mode to the District Collector, the Commissioner of regional
---------------------- office or the Central Authority. In the case of violation of consumer rights,
a complainant can approach the District Commission, State Commission
---------------------- or the National Commission. Also, if the complainant is not satisfied with
the order passed by a Consumer Court, he can file an appeal in the higher
---------------------- Court.
---------------------- 2. The first step before filing a consumer complaint is to determine the
territorial and pecuniary jurisdiction of the complaint. A consumer
----------------------
complaint can be filed in the District Commission if the claims for goods
---------------------- and services does not exceed Rs 1 Crore. For claims where the value of
goods and services is between Rs. 1 Crore to 10 Crore, the complaint
---------------------- can be filed in the State Commission whereas if the value of goods and
services exceeds Rs 10 Crore, a consumer complaint can be filed in the
----------------------
National Commission.
---------------------- 3. The next step requires serving a legal or personal notice to the opposite
party. After this, a complainant can file a complaint in the respective
----------------------
consumer redressal commission. The procedure for filing a consumer
---------------------- complaint is similar for all the District Commissions, State Commissions
and National Commissions.
----------------------
4.4 FEE FOR A CONSUMER COMPLAINT
----------------------
UNDER CONSUMER PROTECTION LAW
----------------------
As per the Consumer Protection (twenty-second amendment) Rules,
---------------------- 2018, the fee structure for filing a consumer complaint has been revised as per
the following:
----------------------
1. Cases of value up to Rs. 5 Lakh- No fee.
----------------------
2. Cases of the value of Rs. 5 Lakh-10 Lakh- Rs 200
---------------------- 3. Cases of value exceeding Rs 10 Lakh- Rs 400
---------------------- A complainant is not required to pay any fee for filing an appeal in the
State Commission or National Commission.
----------------------

---------------------- 4.5 PROCESS TO FILE A CONSUMER COMPLAINT IN

DISTRICT COMMISSION:
----------------------
1. A consumer complaint shall be made in writing to a District Commission.
---------------------- The complaint can be written on a plain paper and filed by the consumer
himself or through an authorized agent.
----------------------
2. The complaint should be notarised through a registered or regular post.
---------------------- It should be filed within 2 years of the date on which the dispute arose.

66 Consumer Protection Act, 2019

 The complainant is required to file four copies of the complaint and Notes
additional copies for each opposite party.
----------------------
3. The consumer complaint shall include the details of the complainant and
the opposite party along with the particulars of the dispute and the relief ----------------------
to be sought. Also, copies of relevant documents required to prove the
claim mentioned in the complaint shall be attached to the complaint. ----------------------
4. It is not necessary to approach an advocate to file a consumer complaint. ----------------------
5. The fee shall be paid in demand draft to the President, Consumer Disputes
----------------------
Redressal Commission, (name of) district.
Details to be included in complaint under Consumer Protection Act, 2019 ----------------------

A consumer complaint shall consist of the following details: ----------------------

1. Name and address of the complainant and the opposite party. ----------------------
2. The date on which the goods were purchased or services availed, details
----------------------
of such goods and services and the amount paid for the same.
3. The subject of the complaint, whether it was an unfair trade practice, ----------------------
defective goods were supplied, deficiency in services provided.
----------------------
4. The bills and receipts of the concerned product or service.
----------------------
5. The relief to be sought under the Act.
6. Signature of the complainant or his authorized agent. ----------------------

----------------------
4.6 PROCESS TO FILE A CONSUMER COMPLAINT IN
STATE COMMISSION ----------------------

----------------------
1. A consumer complaint in State Commission can be filed if the value of
goods or services exceeds Rs 1 Crore but less than Rs 10 Crores. One ----------------------
can also file an appeal in the State Commission against the order of the
District Commission within a period of 45 days from the date of order. ----------------------
2. The application shall accompany the requisite fee in the form of demand ----------------------
draft payable to the Registrar, (name of) State Commission in the
respective state. ----------------------
3. To file an appeal in the State Commission, the complainant should attach ----------------------
the following documents along with the complaint:
----------------------
I. Documents of record constituting correct names and addresses of
all the parties. ----------------------
II. A certified copy of the order of the District Commission against ----------------------
which an appeal is to be filed.
----------------------
III. There should be more than four additional copies of the appeal for
each respondent. ----------------------

----------------------

Procedure for filing Consumer Complaint 67

 Notes IV. Any order of conditional delay, interim order or other petitions
accompanied by an affidavit.
----------------------
V. Opposite parties or the appellant is required to pay a statutory deposit
---------------------- of Rs 25,000 or 50 per cent of the amount claimed, whichever is
less.
----------------------

---------------------- Activity 1

---------------------- Read the decision of the National Consumer Disputes Redressal

---------------------- Commission in Govind S. Poddar Vs. M/s. Cathay Pacific Airways Ltd.
& Ors. with reference to period of limitation available at: http://ncdrc.nic.
---------------------- in/op1672001.html Also read the judgment in S. Kumar Vs Managing
Director, Air India II (1991) C.P.J 111.
----------------------
---------------------- 4.7 PROCESS TO FILE A CONSUMER COMPLAINT
---------------------- IN NATIONAL COMMISSION:

---------------------- 1. Consumer complaint cases with value more than Rs 10 Crore should
be directly filed in the National Consumer Disputed Redressal
---------------------- Commission. A consumer aggrieved by the order of the State Commission
can also file an appeal in the National Commission. The appeal should
---------------------- be filed within 30 days from the date of the order passed by the State
---------------------- Commission.
2. The fee for approaching National Consumer Disputes Redressal
----------------------
Commission is Rs. 5000 which is payable as demand draft in the name of
---------------------- the Registrar, National Consumer Disputes Redressal Commission.
3. An appeal against the order of the National Commission can be filed in
----------------------
the Supreme Court within one month from the date of order passed by the
---------------------- National Commission.

---------------------- 4.8 CONTENTS AND ANNEXURE WITH THE COMPLAINT

----------------------
Contents of the Complaint
---------------------- A complaint must contain the following particulars:
---------------------- a) the name, description and the address of the complainant;

---------------------- b) the name, description and the address of the opposite party or parties, as the
case may be, so far as they can be ascertained;
---------------------- c) the facts relating to complaint and when and where it arose;
---------------------- d) documents in support of the allegations contained in the complaint;
---------------------- e) the relief which the complainant claims.
The complainant or his authorized agent can present the complaint in
----------------------
person before the appropriate Consumer Redressal Commission/Commission.
68 Consumer Protection Act, 2019
The complaint may also be sent by post to such Commission/Commission. The Notes
complaint should be signed by the complainant or his authorized agent.
----------------------
Annexure with the Complaint
Following documents are required to be filed along with the complaint: ----------------------
i) Copy of the complaint for the opposite party. ----------------------
ii) Affidavit in support of the complaint. ----------------------
iii) Original documents referred to in the complaint in respect of goods for e.g.
purchase bill, warranty card, invoice, receipt and any other documents. ----------------------

iv) Original documents referred to in the complaint for deficiency in service ----------------------
e.g. in case of dispute with the builder true copy of the agreement, payment
receipt etc. In case of cancellation of flight, the flight booking ticket etc. ----------------------

v) Where the complainant desires that he may be allowed to be represented ----------------------

by a lawyer, an application to that effect. (It is to be noted that only when
----------------------
the District Commission/Commission grants the permission, the Advocate
can appear.) ----------------------
vi) Letter of authorization or power of attorney where the complainant is
----------------------
represented by the authorized agent etc.
----------------------
Activity 2
----------------------

“A” buys a laptop from “B” for Rs 50, 000. After 10 days, the laptop ----------------------
explodes while “A” was using it and causes burns to him. Imagine yourself
as “A” who wants to file a complaint in the Consumer Commission. List ----------------------
out the documents required to be filed along with the complaint. ----------------------

----------------------
Activity 3
----------------------
Try to bring awareness among your friends about the simple procedure of
----------------------
filing a complaint with the Consumer Commission.
----------------------
1. All notices, required by this Act to be served, shall be served by delivering
or transmitting a copy thereof by registered post acknowledgment due ----------------------
addressed to opposite party against whom complaint is made or to the
complainant by speed post or by such courier service, approved by the ----------------------
District Commission, the State Commission or the National Commission,
----------------------
as the case may be, or by any other mode of transmission of documents
including electronic means. ----------------------
2. Without prejudice to the provisions contained in sub-section (1), the notice ----------------------
required by this Act may be served on an electronic service provider at the
address provided by it on the electronic platform from where it provides ----------------------
its services as such and for this purpose, the electronic service provider
shall designate a nodal officer to accept and process such notices. ----------------------

Procedure for filing Consumer Complaint 69

 Notes 3. When an acknowledgment or any other receipt purporting to be signed by
the opposite party or his agent or, as the case may be, by the complainant
---------------------- is received by the District Commission, the State Commission or the
National Commission, as the case may be, or postal article containing the
---------------------- notice is received back by such District Commission, State Commission
---------------------- or the National Commission, with an endorsement purporting to have been
made by a postal employee or by any person authorised by the courier
---------------------- service to the effect that the opposite party or his agent or complainant
had refused to take delivery of the postal article containing the notice
---------------------- or had refused to accept the notice by any other means specified in sub-
---------------------- section (1) when tendered or transmitted to him, the District Commission
or the State Commission or the National Commission, as the case may
---------------------- be, shall declare that the notice has been duly served on the opposite
party or to the complainant, as the case may be: Provided that where the
---------------------- notice was properly addressed, pre-paid and duly sent by registered post
---------------------- acknowledgment due, a declaration referred to in this sub-section shall be
made notwithstanding the fact that the acknowledgment has been lost or
---------------------- misplaced, or for any other reason, has not been received by the District
Commission, the State Commission or the National Commission, as the
---------------------- case may be, within thirty days from the date of issue of notice.
---------------------- 4. All notices required to be served on an opposite party or to complainant,
as the case may be, shall be deemed to be sufficiently served, if addressed
----------------------
in the case of the opposite party, to the place where business or profession
---------------------- is carried on, and in case of the complainant, the place where such person
actually and voluntarily resides.
----------------------

---------------------- Check your Progress 1

---------------------- State True or False

---------------------- 1. If the person to be examined as a witness is unable to attend court
due to sickness or infirmity, the District Commission can issue a
---------------------- commission to examine a witness.
---------------------- 2. The procedures provided under the Act are not in conformity with the
principles of natural justice.
----------------------
3. The District Commission shall have the same powers as are vested
---------------------- in a civil court under Code of Civil Procedure, 1908 for the purpose
of summoning and enforcing, the attendance of any defendant or
----------------------
witness and examining the witness on oath.
----------------------

----------------------

----------------------

----------------------

70 Consumer Protection Act, 2019

 Notes
Activity 4
----------------------
Read the case of Oriental Insurance Company Ltd. Vs Munimahesh Patel ----------------------
(2006) IVCPJ (SC). Do you agree with the judgment? Justify.
----------------------
4.9 ONLINE CONSUMER COMPLAINT ----------------------

1. A consumer can be filed both offline as well as online manner. A consumer ----------------------
complaint can be filed online by registering on the website of the national
consumer helpline https://consumerhelpline.gov.in/. A complainant can ----------------------
register himself as a consumer by filling in the required details such as ----------------------
name, email, contact number, and a password.
2. After registration, the consumer can log in with the help of log-in details ----------------------
and passwords. Then, the consumer should click on ‘register your ----------------------
complaint’ and should further fill the details regarding the complaint and
upload the required documents. There are different grievance portals in ----------------------
different sectors.
----------------------
3. Once the complainant registers itself as a consumer, he can also call on the
National Consumer Helpline number 1800-11-4000 or 14404 to register ----------------------
his complaint or send a message on 8130009809.
----------------------
4. A complainant can also register his grievance through the NCH app,
Consumer app or the UMANG app. ----------------------
5. The complainant will be provided with a unique id after registering the ----------------------
complainant. With the help of this unique id, the consumer can track the
status of his complaint. ----------------------
6. The required fee for the consumer complainant can be paid through an ----------------------
online payment gateway.
----------------------
Summary ----------------------
●● Complaint can be filed by the consumer, any authorized person of the ----------------------
consumer, voluntary association, Central Government, State Government
or by the legal representatives. Every complaint must give full details of ----------------------
the complaint as well as of the opposite party. The complaint must state
----------------------
clearly the other details such as when the goods were purchased, what are
the defects etc. The procedure for filing complaint is very simple. Only ----------------------
nominal amount of court fee is required to be paid and persons ‘below
the poverty line’ are exempted from payment of court fee stamp. The ----------------------
redressal agencies are empowered to grant interim reliefs under the Act.
----------------------
The prescribed procedure ensures that time limit is prescribed at every
stage to expedite the proceedings. ----------------------

----------------------

Procedure for filing Consumer Complaint 71

 Notes ●● The government has made several attempts for quick redressal of consumer
complaints. A consumer complaint can be filed in a written manner as
---------------------- well as National Consumer Helpline and various applications have been
launched to simplify the procedure of filing consumer complaints.
----------------------

---------------------- Keywords
---------------------- ●● Affidavit: A declaration on oath reduced to writing, affirmed or sworn
to by an affiant, before some person who has authority to administer the
----------------------
same.
---------------------- ●● Ex parte: Expressions used to signify something done or said by one
person, not in the presence of his opponent.
----------------------
●● Interim Relief/Order: A temporary court order; some order in the course
---------------------- of proceedings not being a final order.
---------------------- ●● Natural Justice: That which is found in equity, in honesty and right.
Justice based upon the innate moral feeling of mankind.
----------------------

---------------------- Self-Assessment Questions

---------------------- 1. Who can file a complaint under the Consumer Protection Act?
2. If the opposite party fails to file a reply, what will happen to the complaint?
----------------------
3. List the documents which are required to be filed along with the complaint.
----------------------
4. What is an affidavit?
---------------------- 5. What is class action?
----------------------
Answers to Check your Progress
----------------------
Check your Progress 1
----------------------
State True or False.
---------------------- 1. True
---------------------- 2. False
---------------------- 3. True

----------------------
Suggested Reading
----------------------
1. http://egazette.nic.in/WriteReadData/2019/210422.pdf
----------------------

----------------------

----------------------

----------------------

72 Consumer Protection Act, 2019

Appeals
UNIT

5
Structure:

5.1 Introduction
5.2 Appeal to State Commission
5.3 Period of Limitation for Appeal before the State Commission
5.4 Appeal to National Commission
5.5 Appeal to the Supreme Court
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Appeals 73
 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Appraise the provisions regarding appeal
----------------------
• Explain the procedure and disposal of appeal
---------------------- • Enumerate the contents of the appeal memo
----------------------
5.1 INTRODUCTION
----------------------
In the statement of objects and reasons of the Consumer Protection Act,
---------------------- 2019, it is said that the act seeks to provide speedy and simple redressal to
consumer disputes.
----------------------
We have seen the composition and jurisdiction of District Commission,
---------------------- State Commission and National Commission. These quasi judicial bodies are
to observe the principles of natural justice and have been empowered to grant
---------------------- relief to the aggrieved consumer including compensation and penalties for
non-compliances of orders given by these quasi judicial bodies have also been
----------------------
provided.
---------------------- In this unit, the provisions regarding appeal are dealt with. The consumer
who is aggrieved and dissatisfied by the judgment and order of the District
----------------------
Commission can file appeal against order of the District Commission to the State
---------------------- Commission and the person aggrieved by the order of the State Commission can
prefer appeal to the National Commission. Against the decision of the National
---------------------- Commission, the consumer can then knock the doors of the Apex Court for
justice and redressal.
----------------------
Who can file? When can you file appeal? Is any court fee payable? What
---------------------- document should accompany the appeal? Can a lawyer represent the consumer
in appeal?
----------------------
All the above questions are dealt with in the following unit.
----------------------
5.2 APPEAL TO STATE COMMISSION
----------------------
Meaning of Appeal:
----------------------
Appeal is the right of entering Superior Court and invoking its aid and
---------------------- interposition to redress the error of the court below. The appellate court therefore
acts as a superior body which rectifies the error committed by the lower court.
----------------------

---------------------- 5.3 PERIOD OF LIMITATION FOR FILING APPEAL

BEFORE STATE COMMISSION
----------------------
Any person aggrieved by an order made by the District Commission may
---------------------- prefer an appeal against such order to the State Commission on the grounds of
facts or law within a period of forty-five days from the date of the order, in
---------------------- such form and manner, as may be prescribed [Section 41 of the New Act]

74 Consumer Protection Act, 2019

 Whereas, pursuant to the provisions of Section 15 of the Old Act, any Notes
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 thirty days ----------------------
from the date of the order, in such form and manner as may be prescribed.
----------------------
When the appeal memo is presented, it has to be accompanied by the
certified copy of the order of the District Commission. This ensures that a ----------------------
scrutiny of the appeal by the State Commission at the time of the institution is
----------------------
to satisfy itself whether the appeal has been filed by the person aggrieved by
the order or not. The right to appeal is a pure creature of the statute. There is no ----------------------
natural or inherent right to a first appeal.
----------------------
It is important to note that it is not necessary that the person who has
preferred the appeal must be a party in the complaint before the District ----------------------
Commission, but the leave to prefer the appeal can be granted to a person
interested and affected by the order of the District Commission. ----------------------
Appeal to be filed along with certified copies ----------------------
For filing appeal under the Consumer Protection Act, it is necessary that ----------------------
the certified copy of the order of the District Commission appealed against
should be filed with the memorandum of appeal. ----------------------
As the appellant had not filed the certified copy of the order of the District ----------------------
Commission, it has been held that the appeal is not a proper appeal in the
eye of the law and is liable to be dismissed on this short ground. (Municipal ----------------------
Corporation of Delhi Vs. Narinder Kumar Rohtagi II (1993) (PJ 811 (Del)) In
this case, the petitioner filed along with the memorandum of appeal, Photostat ----------------------
copies of the certified copies of the orders of the District Commission instead ----------------------
of the certified copies and when the deficiency was pointed out, the petitioner
moved an application for leave to file the original certified copies and for ----------------------
condonation of delay which application was dismissed by the commission
by holding that there is not sufficient ground to condone the delay. In these ----------------------
circumstances, the National Commission held that the rules of procedure are ----------------------
intended to advance the interest of the consumers and should be so interpreted
as to sub serve the purpose and scope of the act. The relief could not be denied ----------------------
on a hyper technical interpretation of the rules and accordingly, the application
for condo nation of delay was allowed and the appeal was remanded to the State ----------------------
Commission for the decision of the appeal on merits. (V.P. Sant Vs. Chairman, ----------------------
Delhi Development Authority II (1995) CPJ 248 (249) NC)
The law of limitation depends upon the maxim interest reipublicae ut sit ----------------------
finis litium which means that the interest of the State requires that there should ----------------------
be an end to litigation. If a right which is not exercised within a reasonable time
is considered to be non-existent under the law of limitation, the court assists ----------------------
only those who are vigilant and conscious of their rights and who do not sleep
over their rights. ----------------------

The period of limitation for filing appeal before the State Commission ----------------------
against the order of the District Commission is thirty days from the date of the
----------------------
order.

Appeals 75
 Notes It is further provided that the commission may entertain the appeal after
the expiry of the said period of thirty days if it is satisfied that there was sufficient
---------------------- cause for not filing it within that period.
---------------------- The law of limitation deprives or restricts the right of an aggrieved person
to have recourse to legal remedy and where its language is ambiguous, that
---------------------- construction should be preferred which preserves such remedy to the one which
bars or defeats it. The time requisite for obtaining certified copies undoubtedly
----------------------
means ‘the time properly required’ and thus that period is to be excluded in
---------------------- computing the period of 30 days for filing appeal.
Suppose the District Commission has given its order on 25/01/19. The
----------------------
appellant (the aggrieved person) prefers application for obtaining certified
---------------------- copies on 26/01/09 and gets the certified copies of the judgment and order say
on 10/02/09. Then the period of limitation of thirty days is to be calculated from
---------------------- 11/02/09. But if the appellant negligently fails to apply for certified copies for
30 days, then he cannot plead that certified copies where not available. Only the
----------------------
period required for obtaining certified copy is to be excluded in computing 30
---------------------- days.
Limitation Period
----------------------
The District Commission, the State Commission or the National
---------------------- Commission shall not admit a complaint unless it is filed within two years from
the date on which the cause of action has arisen
----------------------
As stated earlier, the appeal can be entertained beyond the period of
---------------------- limitation. The State Commission and the National Commission can entertain
appeal if it is satisfied that there was sufficient cause for not filing it within the
----------------------
prescribed period of 30 days.
---------------------- The provision of the Limitation Act, 1963 and the proviso of the Consumer
Protection Act are almost similar using the term ‘sufficient cause’ for condoning
----------------------
the delay in filing the appeal. According to the Supreme Court, the expression
---------------------- ‘sufficient cause’ employed by the legislature is adequately elastic to enable the
courts to apply the law in a meaningful manner which sub-serves the ends of
---------------------- justice that being life purpose for the existence of the institution of courts. (AIR
1987 SC 1353)
----------------------
In Vice Chairman, DDA Vs O.P. Gauba, (III (1995) CPJ 18(NC)) there
---------------------- was a delay of 38 days by the Delhi Development Authority in making the
appeal. The ground for delay was the examining of the case from all its aspects
---------------------- at different levels. It was held that delay caused by inter-office consultations is
not sufficient cause and hence the delay was not condoned.
----------------------
In Mahendra Thakar Vs Devendra Kothari ((1996)IICPR 293(Bihar
---------------------- CDRC)) an appeal against the order of the District Commission was made
before the Rajasthan State Commission after 472 days of the expiry of the
----------------------
period of limitation. The appellant miserably failed to substantiate his case for
---------------------- presenting the appeal after such a long delay. The commission dismissed the
application for condonation of delay and observed: The appellant is required
---------------------- to explain the delay beyond terminus line of the prescribed period of limitation

76 Consumer Protection Act, 2019

and further that he has acted diligently for the purposes of filing the appeal. Notes
The provisions of Consumer Protection Act have to be construed in
----------------------
favour of the consumer to achieve the purpose of the enactment as it is a
social-benefit-oriented legislation. The primary duty of the court, while ----------------------
construing the provisions of such an act, is to adopt a constructive approach
subject to that it should not do violence to the language of the provisions and ----------------------
is not contrary to attempted objective of the enactment (AIR 1994 SC 787).
----------------------
Therefore, the consumer redressal commission should not legalize injustice on
technical grounds of limitation but should prefer cause of substantial justice to ----------------------
that of technical considerations thereby removing injustice being done to the
consumers. ----------------------
Whether or not there is a sufficient cause for condonation of delay is a ----------------------
question of fact and, therefore, the order of allowing or refusing an application
to extend time cannot be interfered within revision, unless the lower court has ----------------------
acted with material irregularity or contrary to law or has come to that conclusion
----------------------
on no evidence. When the court after keeping in view the relevant principles,
exercises its discretion granting relief, then unless it is shown to be manifestly ----------------------
unjust or perverse, it should not be interfered with by the higher court.
----------------------
Therefore it can be inferred that the discretion exercised by the State
Commission under application for condonation of delay cannot be interfered ----------------------
within revision, contrary to law. However no appeal lies against such order
allowing or refusing an application for condonation of delay. ----------------------
Affidavit ----------------------
If there is a delay in presenting the appeal i.e. after 30 days, then the ----------------------
memorandum of appeal shall be accompanied by an application supported by an
affidavit setting forth, the fact on which the appellant relies to satisfy the State ----------------------
Commission that he has sufficient cause for not preferring the appeal within the
period of limitation. ----------------------

Can interim stay be granted during the pendency of appeal? ----------------------

The filing of appeal may become ineffective if no interim stay is granted ----------------------
pending the hearing of appeal. The hearing and disposal of appeal is to be done
consistently with the accepted principles of justice and statute. The recognition ----------------------
of the existence of such power in the State Commission to grant suitable
----------------------
interim order, depending upon the circumstances of a particular case, keeping
in abeyance enforcement of the order under appeal wholly or in part, upon ----------------------
such condition, if any considered appropriate by it would advance the cause of
justice. Such a view must be preferred to the one, which defeats it. (AIR 1993 ----------------------
SC 361) Therefore it can be inferred that interim stay can be granted to serve
----------------------
the ends of justice.
Procedure for Hearing Appeal ----------------------
The Consumer Protection Act 2019, and the rules framed by the states have laid ----------------------
down the following procedure for presenting and hearing of appeal.
----------------------

Appeals 77
 Notes  The appeal has to be preferred within 30 days from the date of the order
of the District Commission (time for obtaining certified copy and public
---------------------- holiday to be excluded in computing the period of 30 days).
----------------------  The memorandum of appeal shall be presented by the appellant or his
authorized agent to the State Commission in person or sent by registered
---------------------- post addressed to the commission.
----------------------  The memorandum shall be in legible handwriting, preferably typed or online.
 Every appeal memo shall be signed by the person presenting it. Appeal
----------------------
memo must be filed along with the certified copy of the order passed by
---------------------- District Commission against which appeal is preferred.

----------------------  Appeal memo also to be accompanied by such of the documents, as may be

required to support grounds of objection mentioned in the memorandum.
----------------------  The appeal memo shall set forth concisely under distinct heads, the grounds
---------------------- of appeal without any argument or narrative and such grounds shall be
numbered consequently.
----------------------  Four copies of the appeal memo to be furnished to the State Commission
---------------------- for official purpose.
 The appellant and opposite party should remain present on the date of the
----------------------
hearing or any other day to which hearing may be adjourned.
----------------------  If the appellant or his authorized agent fails to appear on such date, the
commission may in its discretion either dismiss the appeal or decide it on
----------------------
the merits of case.
----------------------  If the opposite party/respondent or his authorized agent fails to appear on
---------------------- such date, the commission shall proceed ex-parte and shall decide the appeal
ex-parte on the merits of the case.
----------------------  The State Commission may, on such terms as it may think fit and at any
---------------------- stage, adjourn the hearing of appeal, but not more than one adjournment
shall ordinarily be given and the appeal shall be decided as far as possible
---------------------- within ninety days from the first date of hearing.

----------------------  The appellant and the opposite party to put up their arguments in support
of their case.
----------------------
 The appellant shall not except by leave of the State Commission, urge or
---------------------- be heard in support of any ground of objection not set forth in the appeal
memo, but the commission, in deciding the appeal, need not confine to the
---------------------- grounds of objection taken by leave of the commission.
----------------------  The commission shall not rest its decision on any other grounds unless the
party who may be affected thereby, has been given atleast one opportunity
---------------------- of being heard by it. Complete address of the parties and advocates should
be given.
----------------------
 If there is a delay in filing appeal within thirty days, a separate application
---------------------- for condonation of delay should be filed explaining the cause of delay along

78 Consumer Protection Act, 2019

 with affidavit should be presented with the memorandum of appeal. Notes
 Prescribed amount of deposit to be paid at the time of filing appeal.
----------------------

----------------------
Check your Progress 1
----------------------
State True or False. ----------------------
1. Appeal not filed with the certified copy of the order of the District
----------------------
Commission is not proper in the eyes of law and is liable to be
dismissed. ----------------------
2. The State Commission and the National Commission can entertain ----------------------
appeal even if it is satisfied that there was sufficient cause for not
filing it within the prescribed period of 30 days. ----------------------
----------------------

Activity 1 ----------------------

----------------------
Identify with the help of Internet more cases on condonation of delay.
----------------------

5.4 APPEAL TO NATIONAL COMMISSION ----------------------

APPEAL TO NATIONAL COMMISSION ONLY WHEN THERE IS A ----------------------

SUBSTANTIAL QUESTION OF LAW IS INVOLVED IN THE MATTER.
----------------------
Section of 51(2) of the New Act provides that Save as otherwise expressly
provided under this Act or by any other law for the time being in force, an ----------------------
appeal shall lie to the National Commission from any order passed in appeal ----------------------
by any State Commission, if the National Commission is satisfied that the case
involves a substantial question of law. ----------------------
Whereas, it is pertinent to note that this provision was not contained in ----------------------
the Old Act.
Appeal may be entertained beyond thirty days. ----------------------

The National Commission may entertain an appeal after the expiry of the ----------------------
said period of thirty days if it is satisfied that there was sufficient cause for not
----------------------
filing it within that period.
It is also required that the order so pronounced was signed by the members ----------------------
constituting to the parties free of charge. Therefore mere pronouncement of an
----------------------
order in the open court will not be enough but under the scheme of the rules, a
copy of the said order has also to be communicated to the parties affected by ----------------------
the said order so that the party adversely affected therefrom may have a fair and
reasonable opportunity of knowing the text, reasons and contents thereof so as ----------------------
to formulate grounds of attack before the appellate body or higher commission.
----------------------

Appeals 79
 Notes An appeal to the National Commission can lie only against the order made
by the State Commission in exercise of power under its original jurisdiction. It
---------------------- means the provisions exist only for single appeal. The appeal from the orders
of District Commission shall lie only to the State Commission and there cannot
---------------------- be second appeal to the National Commission. By providing single appeal, it
---------------------- is intended to save the consumer from unnecessary harassment by the opposite
party.
---------------------- Appeal to the National Commission after Period of Limitation
---------------------- The National Commission may entertain an appeal after the expiry of the
period of thirty days if it is satisfied that there was sufficient cause for not filling it
---------------------- within that period. The words ‘sufficient cause’ and ‘satisfied’ used in the proviso
---------------------- are in pari materia with the words used in sec 5 of the Limitation Act 1963.
Affidavit
----------------------
Where there is a delay in filing appeal within 30 days, then an application
---------------------- has to be preferred requesting the court to condone the delay and explaining the
cause for the delay. Such application has to be filed along with an affidavit. It
---------------------- can be seen that same requirements are to be fulfilled for filing appeal before
---------------------- the National Commission as are required for filing appeal before the State
Commission.
---------------------- An appeal filed before the State Commission or the National Commission
---------------------- shall be heard as expeditiously as possible and an endeavour shall be made to
finally dispose off the appeal within a period of ninety days from the date of its
---------------------- admission. The order of National Commission shall be communicated to the
parties concerned free of cost.
----------------------
The Procedure for Hearing appeal before National Commission
----------------------
The procedure for presenting and hearing of appeal before the National
---------------------- Commission is the same as presenting and hearing of appeal before the State
Commission. Before the National Commission, six copies of the memorandum
---------------------- of appeal are required to be submitted for official purpose. The procedure for
filing appeal before the State Commission is already stated.
----------------------
The appellant commissions under the Consumer Protection Act should
---------------------- not insist on the presence of the appellant nor an authorized representative of
his at the time of hearing. The appeal needs to be decided on the basis of records
----------------------
available before it. Too technical view in dismissing the appeal on the ground
---------------------- that the appellant was not present at the time when the appeal was taken up for
hearing is not valid (I(1994)CPJ207(NC)).
----------------------
As already mentioned, the hearing of appeal has to be completed in a time
---------------------- bound manner. An appeal filed before the State Commission or the National
Commission shall be heard as expeditiously as possible and an endeavour shall
---------------------- be made to finally dispose off the appeal within a period of ninety days from the
date of its admission.
----------------------

----------------------

80 Consumer Protection Act, 2019

 It further stated that in the event of an appeal being disposed off after Notes
the period so specified, the State Commission or the National Commission,
as the case may be, shall record in writing the reasons for the same at the time ----------------------
of disposing of the said appeal. This proviso is aimed at speedy disposal and a
complete transparency in the proceedings. ----------------------

Adjournment ----------------------
1) No adjournment shall be ordinarily granted by the State Commission or the ----------------------
National Commission as the case may be unless sufficient cause is shown
and the reasons for grant of adjournment have been recorded in writing by ----------------------
such commission.
----------------------
2) The State Commission or the National Commission as the case may be can
impose such costs occasioned by the adjournment as may be provided in ----------------------
the regulations made under this Act.
----------------------
It is settled position of law that in an appeal, the parties cannot urge new
facts. From the pleadings of the respondents before the State Commission, it is ----------------------
found that the respondent pleaded that the property damaged was not covered ----------------------
under the insurance policy but this plea was given by National Commission and
a plea was taken up in grounds of appeal that the terms and conditions of the ----------------------
insurance policy were violated by the applicant by using used kiln furniture,
which on new ground was accepted by the National Commission and in such ----------------------
circumstances it has been held by the Supreme Court of India that the order of ----------------------
the National Commission is not sustainable in law because in the appeal the
parties cannot urge new facts. (Modern Insulators Ltd. Vs. Oriental Insurance ----------------------
Co. Ltd. (AIR 2000 SC 1014))
----------------------
Where the appeal was dismissed on merits without hearing the counsel
and the application to recall that order was also dismissed, it is held that the ----------------------
order cannot be restored. (Indian Oil Corporation Vs. Lakshmi Shankar.
----------------------
(Narayan 2001 NC1 (sc) 517).
----------------------
If the appeal is dismissed without considering it on merit, the order of
dismissal is liable to be set aside and the matter be remitted for decision on ----------------------
merits.
----------------------
(R. Sugumar Vs. Romiel Samuel 2001 NC|SC 566)
Power to set aside ex-parte orders ----------------------
The National Commission can set aside ex-parte order (i) on the ----------------------
application filed by the party aggrieved and (ii) if the National Commission is
of the opinion that the said order is liable to be set aside in the interest of justice. ----------------------

The inferences can be drawn as follows: ----------------------

1) Right to appeal is a statutory right. Every appeal whether before the State ----------------------
Commission or the National Commission has to be decided and disposed
off as expeditiously as possible within a period of ninety days. ----------------------

----------------------

Appeals 81
 Notes 2) No adjournment to be ordinarily granted. Costs can be imposed while
adjourning the case. This provision will protect the consumer from being
---------------------- harassed by the delay tactics of the respondent.
---------------------- 3) The appeal has to be decided on merits and a reasoned decision (speaking
order) has to be passed.
----------------------
4) Every appeal has to be filed within 30 days from the date of knowledge of
---------------------- the order.
5) Delay in filing appeal can be condoned if sufficient cause is shown and the
----------------------
consumer commission is satisfied about the same.
---------------------- 6) The State Commission and the National Commission can grant interim relief
---------------------- and interim stay pending the final disposal of the appeal.
This provision is aimed at encouraging only genuine appeals to be filed
---------------------- before the consumer commission.
---------------------- 7) Ex-parte orders can be set aside by the National Commission on the
application preferred by the aggrieved party.
----------------------
8) The act provides for only single appeal.
----------------------

---------------------- Check your Progress 2

---------------------- Fill in the blanks.

---------------------- 1. Right to appeal is a __________ right.

---------------------- 2. The period of limitation for filing appeal under Section 19 of

the Consumer Protection Act shall be computed from the date of
---------------------- ___________ of the order of the State Commission to the party
adversely affected.
----------------------
3. If the appeal is dismissed without considering it on merit, the order of
---------------------- dismissal is liable to be _______.
----------------------
---------------------- Activity 2
----------------------
Find few newspaper articles related to National Commission on Consumer
---------------------- Dispute Resolution.
----------------------
5.5 APPEAL TO THE SUPREME COURT
----------------------
1) Any person who is 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.

----------------------

82 Consumer Protection Act, 2019

2) Any appeal which is preferred after the expiry of thirty days may be Notes
entertained by the Supreme Court if it is satisfied that there was sufficient
cause for not filing it within that period. ----------------------
3) No appeal by a person who is required to pay any amount in terms of an ----------------------
order of the National Commission shall be entertained by the Supreme Court
unless that person has deposited in the prescribed manner fifty percent of ----------------------
that amount or Rupees Fifty Thousand, whichever is less.
----------------------
Procedure for hearing appeal before the Supreme Court
----------------------
The procedure is the same as applicable to the National Commission. At
least seven copies of the appeal are to be presented. ----------------------

Check your Progress 3 ----------------------

----------------------
Multiple Choice Single Response.
----------------------
1. Any person who is aggrieved by an order made by the National
Commission may prefer an appeal against such order to the Supreme ----------------------
Court within a period of____________ from the date of the order.
----------------------
i. one month
----------------------
ii. 30 days
iii. 21 days ----------------------
2. No appeal by a person who is required to pay any amount in terms ----------------------
of an order of the National Commission shall be entertained by the
Supreme Court unless that person has deposited in the prescribed ----------------------
manner ___________. ----------------------
i. Fifty per cent of that amount
----------------------
ii. Rs 50,000
----------------------
iii. Fifty per cent of that amount or Rs 50,000, whichever is less
----------------------
----------------------
Summary
----------------------
●● From the perusal of the provisions of the Consumer Protection Act 2019,
it can be seen that an endeavour has been made at every step of the ----------------------
proceedings for speedy disposal of the proceedings. The most discouraging
----------------------
and frustrating element present in our legal setup of inordinate delays
at every stage of proceedings has to a large extent discouraged the ----------------------
aggrieved, the sufferer from going to the court of law for justice. The
right to appeal is a statutory right. All the provisions and procedure for ----------------------
hearing and disposal of appeal has to be done as expediously as possible.
----------------------
The commissions are not to grant adjournments. The appeal has to be
heard and decided on merits of the case. ----------------------

Appeals 83
 Notes Keywords
----------------------
●● Aggrieved Person: A person who has suffered a legal grievance, the
---------------------- person whose rights are adversely affected by a judgment, decree or order.
●● Appeal: It is the right of entering a superior court and invoking its aid and
---------------------- interposition to redress the error of the court below.
---------------------- ●● Appellant: The person who files the appeal.
---------------------- ●● Respondent: The person against whom appeal is filed.
●● Pleadings: Plaint or written statement containing in a concise form, the
---------------------- material facts on which the party pleading relies for his claim or defence.
----------------------
Self-Assessment Questions
----------------------
1. State the period of limitation for filing appeal before the State Commission.
----------------------
2. What amount is required to be deposited at the time of filing appeal before
---------------------- the National Commission?
---------------------- 3. Can the National Commission set aside ex-parte orders?
4. When can the delay be condoned for filing appeal?
----------------------
5. What is the maximum period laid down under the act for disposing off
---------------------- appeal by State Commission and National Commission?
---------------------- 6. Explain briefly the procedure for filing appeal.
---------------------- 7. When can appeal be preferred to Supreme Court?

---------------------- Answers to Check your Progress

---------------------- Check your Progress 1
---------------------- State True or False.
---------------------- 1. True
2. False
----------------------
Check your Progress 2
----------------------
Fill in the blanks.
---------------------- 1. Right to appeal is a statutory right.
---------------------- 2. The period of limitation for filing appeal under Section 19 of the Consumer
Protection Act shall be computed from the date of communication of the
----------------------
order of the State Commission to the party adversely affected.
---------------------- 3. If the appeal is dismissed without considering it on merit, the order of
dismissal is liable to be set aside.
----------------------

----------------------

84 Consumer Protection Act, 2019

Check your Progress 3 Notes
Multiple Choice Single Response.
----------------------
1. Any person who is aggrieved by an order made by the National Commission
may prefer an appeal against such order to the Supreme Court within a ----------------------
period of ________ from the date of the order.
----------------------
ii. 30 days
----------------------
2. No appeal by a person who is required to pay any amount in terms
of an order of the National Commission shall be entertained by the ----------------------
Supreme Court unless that person has deposited in the prescribed manner
___________. ----------------------
iii. Fifty per cent of that amount or Rs. 50,000, whichever is less ----------------------

----------------------
Suggested Reading
----------------------
1. Bare Act, Consumer Protection Act, 2019
----------------------
2. Consumer Protection Law and Practice by Taxmann, Taxmann
Publications ----------------------
3. Consumer Protection Act, 2019 with rules By Taxmann ----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

Appeals 85
 Notes

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86 Consumer Protection Act, 2019

Enforcement of Orders and other relevant Provisions
UNIT

6
Structure:

6.1 Introduction
6.2 Finality of Orders
6.3 Enforcement of Orders
6.4 Dismissal of Frivolous and Vexatious Complaints
6.5 Penalties and Miscellaneous Provisions
6.6 Appeal against Order passed
6.7 Protection of Action taken in Good Faith
Summary
Keywords
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Enforcement of Orders and other relevant Provisions 87

 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Discuss the provisions as to finality and enforcement of orders
----------------------
• Specify the limitation period for filing complaints
---------------------- • Enumerate the provisions pertaining to false and frivolous complaints
---------------------- • State the provisions regarding the penalties

----------------------

---------------------- 6.1 INTRODUCTION

---------------------- The Consumer Protection Act, 2019 has created a hierarchy of bodies
under the Act with the power to hear complaints and appeals at every stage. The
---------------------- aggrieved party can file appeal to the State Commission against the decision of
the District Commission, and to the National Commission against the decision
----------------------
of the State Commission and before the Supreme Court against the decision
---------------------- of the State Commission and before the National Commission. All the orders
passed by the Consumer Commission would be meaningless and merely paper
---------------------- orders if there was no provision in the Consumer Protection Act, 2019 for the
effective implementation and enforcement of such orders.
----------------------
Let us now consider the effect of an order against which no appeal is
---------------------- preferred, and also about the enforceability of the orders.
----------------------
6.2 FINALITY OF ORDERS
----------------------
If no appeal has been preferred against the order of the District Commission,
---------------------- State Commission or the National Commission, then such an order under the
provisions of this Act shall be final.
----------------------
The purpose is to give finality to the orders where none of the litigating
---------------------- party has moved up the hierarchy for preferring appeal. Once the order passed
by the District Commission, State Commission or National Commission is
----------------------
under the Act, the order shall be final and cannot be challenged by a substantive
---------------------- suit or any other litigation in any court.

---------------------- 6.3 ENFORCEMENT OF ORDERS

----------------------
Section 71 of the New Act confers power of execution as provided Under
---------------------- Order XXI, The Code of Civil Procedure, 1908 with such limitation as provided
in the section.
----------------------
Every order made by a District Commission, State Commission or the
---------------------- National Commission shall be enforced by it in the same manner as if it were
a decree made by a Court in a suit before it and the provisions of Order XXI of
---------------------- the First Schedule to the Code of Civil Procedure, 1908 shall, as far as may be,

88 Consumer Protection Act, 2019

applicable, subject to the modification that every reference therein to the decree Notes
shall be construed as reference to the order made under this Act. [Section 71 of
the New Act] ----------------------
This clause thus emphasizes that all interim orders passed by the consumer ----------------------
redressal commission shall be complied with. If there is a failure to comply
any such interim order passed by the forum/commission then the property of ----------------------
the person not complying with such order may be attached. The attachment of
----------------------
property means to take away the power of alienation of the person concerned
and also to give notice to the person concerned and also to give notice to the ----------------------
general public not to purchase or deal with the property attached. The consumer
protection act is silent on the issue as to which property can be attached and ----------------------
which cannot be attached and what would be the manner of attachment.
----------------------
Properties such as necessary wearing apparel, cooking vessels, beddings,
tools of artisans, implements of husbandry, pensions and gratuities, etc. are ----------------------
the properties which cannot be attached. All movable and immovable property
----------------------
belonging to the person who has failed to comply with the order may be attached.
The relevant section lays down that No attachment made shall remain in ----------------------
force for more than three months at the end of which, if the non-compliance
----------------------
continues, the property attached may be sold, out of the proceeds thereof,
National Commission may award such damages as it thinks fit to the complainant ----------------------
and shall pay the balance if any to the party entitled thereof.
----------------------
The attachment order passed by the commissions is to remain in force for
three months. Thus sufficient time is given to the party to comply with the orders ----------------------
of the commissions. It is only after the period of 90 days that the property attached
may be sold if the non-compliance still continues. From the sale proceeds of the ----------------------
attached property, the District Commission or the State Commission or the National ----------------------
Commission may award damages as may be appropriate to the complainant and
the balance money if any left to the party entitled to. Thus sufficient time is made ----------------------
available to comply with the interim order passed by the National Commission,
State Commission or the District Commission. ----------------------

It is stated that where any amount is due from any person under an order ----------------------
made by a District Commission, State Commission or the National Commission,
as the case may be, the person entitled to the amount may make an application ----------------------
to the District Commission, State Commission or the National Commission and ----------------------
then the commission may issue a certificate for the said amount to the collector
of the district (by whatever name called) and the collector shall proceed to ----------------------
recover amount in the same manner as arrears of land revenue.
----------------------
This provision declares that if any amount is due under any order
of the Consumer fora then the said amount can be recovered by the person ----------------------
who is entitled to such an amount by making an application to the consumer
commission and on receiving such an application, the consumer commission ----------------------
may issue a certificate for the said amount to the collector. The collector shall ----------------------
proceed to recover the amount in the same way as arrears of the land revenue.
----------------------

Enforcement of Orders and other relevant Provisions 89

 Notes
Check your Progress 1
----------------------

---------------------- State True or False.

1. Where an interim order passed by the Consumer Commission is not
---------------------- complied with, it has power to attach the property of such person.
---------------------- 2. Attachment of property shall remain in force for three months.
Thereafter, it will be sold if non-compliance continues.
----------------------

----------------------

---------------------- Activity 1
----------------------
Enlist the other laws in which the Court/Commission has been given
---------------------- power to attach property.

----------------------
6.4 DISMISSAL OF FRIVOLOUS AND VEXATIOUS COMPLAINTS
----------------------
Consumer Protection Act declares that all frivolous or vexatious
---------------------- complaints filed before the District Commission, State Commission or the
National Commission shall be dismissed. The consumer redressal commission
----------------------
shall for reasons to be recorded in writing, dismiss the complaint and make an
---------------------- order thereby calling upon the complainant to pay to the opposite party such
cost, not exceeding ten thousand rupees or imprisonment as may be specified in
---------------------- the order.
---------------------- The consumer protection act should be used as a tool to secure justice to
the consumer and not as a weapon of harassment or malicious and frivolous
---------------------- litigation.
---------------------- The National Commission in Suresh Narayanlal Vs Managing Director,
Bihar State Financial Corporation and others (1994) IIICPJ 3(NCDRC) found
---------------------- that the complainant was a chronic defaulter and had failed/avoided to discharge
---------------------- his liabilities to the corporation, held that the complaint was frivolous and
vexatious and awarded sum of Rs. 10,000 as cost to the opposite party.
---------------------- (R.S. Metals Pvt. Ltd. Vs New India Assurance Co. Ltd. I (1993) CPJ I 3(NC))
---------------------- In National Insurance Co. Ltd Vs Surinder Lal Arora (1993) III CPR 482
(NCDRC) the complaint had suppressed material facts of his ailment in the
----------------------
proposal form while taking medi-claim policy. The National Commission while
---------------------- allowing appeal ordered that the complainant in this case pay a sum of Rs. 5000
as cost to insurance company and observed:
----------------------
There is a widespread tendency to lodge false medi-claims against the
---------------------- Insurance companies before the consumer commissions, especially because
no court fees are payable for processing their complaints before the consumer
----------------------

90 Consumer Protection Act, 2019

commissions. It is essential that such a tendency is firmly curbed and abuse of Notes
the consumer protection act is discouraged.
----------------------
If in a complaint under the Consumer Protection Act, the issue involved
is legal issue, the complaint cannot be said to be frivolous, then the complaint ----------------------
cannot be dismissed.
----------------------
In Rajendra & Bros. Vs. Bank of India (1991) ICPR 450 (Orissa CDRC)) the
Orissa State Commission found that the complaint was filed after receiving the ----------------------
amount with interest from the opposite party and the complainant was ingeniously
making an endeavour to have illegal gain by coercion. The commission held ----------------------
that the claim of the complainant was frivolous and was vexatious and therefore
----------------------
dismissed the complaint.
----------------------
Check your Progress 2
----------------------
Multiple Choice Single Response. ----------------------
1. On filing of frivolous or vexatious complaints, the Consumer ----------------------
Redressal Commission has power to:
i. Dismiss the complaint ----------------------

ii. Impose penalty ----------------------

iii. Dismiss the complaint and impose penalty ----------------------
2. Suppression of material facts regarding ailments while taking
----------------------
mediclaim policy by complainant would make the complaint against
insurance company frivolous and vexatious. This was held in ----------------------
i. Suresh Narayanlal Vs Managing Director, Bihar State Financial ----------------------
Corporation and others
ii. National Insurance Co. Ltd Vs Surinder Lal Arora ----------------------

iii. R.S. Metals Pvt. Ltd. Vs New India Assurance Co. Ltd. ----------------------

----------------------

Activity 2 ----------------------

----------------------
Identify and analyze the Frivolous Consumer Cases in recent past in State
Commission and National Commission in India. ----------------------

----------------------
6.5 PENALTIES AND MISCELLANEOUS PROVISIONS
----------------------
Whoever, fails to comply with any direction of the Central Authority
----------------------
under sections 20 and 21, shall be punished with imprisonment for a term which
may extend to six months or with fine which may extend to twenty lakh rupees, ----------------------
or with both.
----------------------

Enforcement of Orders and other relevant Provisions 91

 Notes Any manufacturer or service provider who causes a false or misleading
advertisement to be made which is prejudicial to the interest of consumers
---------------------- shall be punished with imprisonment for a term which may extend to two years
and with fine which may extend to ten lakh rupees; and for every subsequent
---------------------- offence, be punished with imprisonment for a term which may extend to five
---------------------- years and with fine which may extend to fifty lakh rupees.
1. Whoever, by himself or by any other person on his behalf, manufactures
----------------------
for sale or stores or sells or distributes or imports any product containing
---------------------- an adulterant shall be punished, if such act— (a) does not result in any
injury to the consumer, with imprisonment for a term which may extend to
---------------------- six months and with fine which may extend to one lakh rupees; (b) causing
injury not amounting to grievous hurt to the consumer, with imprisonment
----------------------
for a term which may extend to one year and with fine which may extend
---------------------- to three lakh rupees; (c) causing injury resulting in grievous hurt to the
consumer, with imprisonment for a term which may extend to seven years
---------------------- and with fine which may extend to five lakh rupees; and (d) results in the
death of a consumer, with imprisonment for a term which shall not be less
----------------------
than seven years, but which may extend to imprisonment for life and with
---------------------- fine which shall not be less than ten lakh rupees.
2. The offences under clauses (c) and (d) of sub-section (1) shall be
----------------------
cognizable and non-bailable.
---------------------- 3. Notwithstanding the punishment under sub-section (1), the court may, in
case of first conviction, suspend any licence issued to the person referred
----------------------
to in that sub-section, under any law for the time being in force, for a
---------------------- period up to two years, and in case of second or subsequent conviction,
cancel the licence. Explanation.—For the purposes of this section,— (a)
---------------------- “adulterant” means any material including extraneous matter which is
employed or used for making a product unsafe; (b) “grievous hurt” shall
----------------------
have the same meaning as assigned to it in section 320 of the Indian Penal
---------------------- Code.

---------------------- 1. Whoever, by himself or by any other person on his behalf, manufactures

for sale or stores or sells or distributes or imports any spurious goods
---------------------- shall be punished, if such act— (a) causing injury not amounting to
grievous hurt to the consumer, with imprisonment for a term which may
---------------------- extend to one year and with fine which may extend to three lakh rupees;
---------------------- Penalty for noncompliance of direction of Central Authority. Punishment
for false or misleading advertisement. Punishment for manufacturing for
---------------------- sale or storing, selling or distributing or importing products containing
adulterant. Punishment for manufacturing for sale or for storing or selling
---------------------- or distributing or importing spurious goods. 45 of 1860. (b) causing injury
---------------------- resulting in grievous hurt to the consumer, with imprisonment for a term
which may extend to seven years and with fine which may extend to five
---------------------- lakh rupees; (c) results in the death of a consumer, with imprisonment
for a term which shall not be less than seven years, but may extend to
----------------------

92 Consumer Protection Act, 2019

 imprisonment for life and with fine which shall not be less than ten lakh Notes
rupees.
----------------------
2. The offences under clauses (b) and (c) of sub-section (1) shall be
cognizable and non-bailable. ----------------------
3. Notwithstanding the punishment under sub-section (1), the court may, in
----------------------
case of first conviction, suspend any licence issued to the person referred
to in that sub-section, under any law for the time being in force, for a ----------------------
period up to two years, and in case of second or subsequent conviction,
cancel the licence. ----------------------
No cognizance shall be taken by a competent court of any offence under ----------------------
sections 88 and 89 except on a complaint filed by the Central Authority or
any officer authorised by it in this behalf. ----------------------
The Director General or any other officer, exercising powers under section ----------------------
22, who knows that there are no reasonable grounds for so doing, and
yet— (a) searches, or causes to be searched any premises; or (b) seizes ----------------------
any record, register or other document or article, shall, for every such ----------------------
offence, be punished with imprisonment for a term which may extend to
one year, or with fine which may extend to ten thousand rupees or with ----------------------
both.
----------------------
Check your Progress 2 ----------------------

State True or False. ----------------------

1. To attract penalty failure or omission to comply with the order of ----------------------

Consumer Commission is necessary.
----------------------

----------------------
Activity 2
----------------------

As per the Consumer Protection Act, 2019, find the maximum amount ----------------------
that can be imposed as a penalty.
----------------------

6.6 APPEAL AGAINST ORDER PASSED ----------------------

73 ----------------------
1. Notwithstanding anything contained in the Code of Criminal Procedure, ----------------------
1973, where an order is passed under sub-section (1) of section 72, an
appeal shall lie, both on facts and on law from— ----------------------

(a) the order made by the District Commission to the State Commission; ----------------------
(b) the order made by the State Commission to the National Commission; ----------------------
and
----------------------

Enforcement of Orders and other relevant Provisions 93

 Notes (c) the order made by the National Commission to the Supreme Court.
2. Except as provided in sub-section (1), no appeal shall lie before any court,
----------------------
from any order of a District Commission or a State Commission or the
---------------------- National Commission, as the case may be.
3. Every appeal under this section shall be preferred within a period of
----------------------
thirty days from the date of order of a District Commission or a State
---------------------- Commission or the National Commission, as the case may be:
Provided that the State Commission or the National Commission or the
----------------------
Supreme Court, as the case may be, may entertain an appeal after the
---------------------- expiry of the said period of thirty days, if it is satisfied that the appellant
had sufficient cause for not preferring the appeal within the said period of
---------------------- thirty days.
----------------------
Check your Progress 4
----------------------

---------------------- Multiple Choice Single Response.

1. The time limit for filing appeal under Section 73(1) is within _____
---------------------- days from the date of the order passed.
---------------------- i. 30 days
ii. 21 days
---------------------- iii. 90 days
---------------------- 2. Any party aggrieved by the order passed under Section 72 may prefer
an appeal both on ______.
----------------------
i. Facts
---------------------- ii. Law
iii. Both facts and law
----------------------

---------------------- 6.7 PROTECTION OF ACTION TAKEN IN GOOD FAITH

----------------------
Section 98 of the Consumer Protection Act, 2019 states as follows:
---------------------- No suit, prosecution or other legal proceedings shall lie against the
---------------------- members of the District Commission, the State Commission or the National
Commission or any officer or person acting under the direction of the District
---------------------- Commission, the State Commission or the National Commission for executing
any order made by it or in respect of anything which is in good faith done or
---------------------- intended to be done by such member, officer or person under this Act or under
---------------------- any rule or order made thereunder.
Scope
----------------------
The purpose of this section appears to be to afford the opportunity to the
---------------------- members of the Consumer Disputes Redressal Commission and the officers
to act in good faith without any fear of the prosecution in discharge of their
---------------------- functions or in performing their duties under the Act.

94 Consumer Protection Act, 2019

Doctrine of Immunity Notes
The Consumer Protection Act recognizes the doctrine of immunity vis-à-
----------------------
vis the members and officers of the Consumer Disputes Redresssal Commission.
The immunity is provided to the members and officers of the District ----------------------
Commission, State Commission and the National Commission with respect of
----------------------
the following acts done by them namely -
i) for executing any order made by it in good faith under this act or any rule ----------------------
or order made thereunder;
----------------------
ii) for anything which is done in good faith under this Act or under any rule or
order made thereunder; or ----------------------
iii) for anything intended to be done under this Act or any rule or order made ----------------------
thereunder.
----------------------
The doctrine of immunity can be invoked only when the act is done in
good faith and under this act or any rule or order made thereunder. ----------------------
Act done in Good Faith ----------------------
Section 98 protects the actions only if they are done in ‘good faith’. What
----------------------
we mean by the expression ‘good faith’?
The Consumer Protection Act 2019, does not define the term good faith. ----------------------
The Indian Penal Code, 1860 under section 52 defines the expression ‘good ----------------------
faith’ as follows:
----------------------
“Nothing is said to be done or believed in ‘good faith’ which is done or
believed without due care and attention.” ----------------------
The General Clauses Act 1897, under section 3(22) defines as ‘a thing ----------------------
shall be deemed to be done in good faith’ where it is done honestly.
----------------------
Therefore it can be seen that all those Acts which are done in good faith
are protected under the statute. ----------------------
(M/s Almighty Construction and others Vs M/s Gurupushya Amrut Co-
----------------------
operative Housing Society Ltd. & other (Decided by the National Commission
New Delhi on 10/12/2001)) ----------------------
In this case there was a complaint for deficiency service. Inspite of ----------------------
six notices to the opposite party, they did not appear in the matter and the
hearing of complaint was proceeded ex-parte. Rs. 5,60,000/- was awarded to ----------------------
the complainant under various heads. Since no appeal was filed against the
said order, it had become final. As the opposite party did not pay, execution ----------------------
proceedings were initiated for non-compliance of ex-parte order. Non bailable ----------------------
warrants were issued against the opposite party under sec 27 of the Consumer
Protection Act. The State Commission further directed the appellants to jointly ----------------------
and severally deposit Rs.1 lakh with the State Commission within two weeks
from the date of the order date 24/10/2001 and the warrants issued against ----------------------
them were suspended till 21/11/2001. Instead of complying with the just order ----------------------

Enforcement of Orders and other relevant Provisions 95

 Notes of the State Commission, the opposite party filed appeal before the National
Commission. The National Commission held that there is no infirmity in the
---------------------- impugned order of the State Commission and hence dismissed the appeal.
---------------------- Service of Notice
65. (1) All notices, required by this Act to be served, shall be served by delivering
----------------------
or transmitting a copy thereof by registered post acknowledgment due
---------------------- addressed to opposite party against whom complaint is made or to the
complainant by speed post or by such courier service, approved by the
---------------------- District Commission, the State Commission or the National Commission,
as the case may be, or by any other mode of transmission of documents
----------------------
including electronic means.
---------------------- 2. Without prejudice to the provisions contained in sub-section (1), the notice
required by this Act may be served on an electronic service provider at the
----------------------
address provided by it on the electronic platform from where it provides
---------------------- its services as such and for this purpose, the electronic service provider
shall designate a nodal officer to accept and process such notices.
----------------------
3. When an acknowledgment or any other receipt purporting to be signed by
---------------------- the opposite party or his agent or, as the case may be, by the complainant
is received by the District Commission, the State Commission or the
---------------------- National Commission, as the case may be, or postal article containing the
---------------------- notice is received back by such District Commission, State Commission
or the National Commission, with an endorsement purporting to have been
---------------------- made by a postal employee or by any person authorised by the courier
service to the effect that the opposite party or his agent or complainant
---------------------- had refused to take delivery of the postal article containing the notice
---------------------- or had refused to accept the notice by any other means specified in sub-
section (1) when tendered or transmitted to him, the District Commission
---------------------- or the State Commission or the National Commission, as the case may be,
shall declare that the notice has been duly served on the opposite party or
---------------------- to the complainant, as the case may be:
---------------------- Provided that where the notice was properly addressed, pre-paid and
duly sent by registered post acknowledgment due, a declaration referred
---------------------- to in this sub-section shall be made notwithstanding the fact that the
---------------------- acknowledgment has been lost or misplaced, or for any other reason, has
not been received by the District Commission, the State Commission or
---------------------- the National Commission, as the case may be, within thirty days from the
date of issue of notice.
----------------------
4. All notices required to be served on an opposite party or to complainant,
---------------------- as the case may be, shall be deemed to be sufficiently served, if addressed
in the case of the opposite party, to the place where business or profession
---------------------- is carried on, and in case of the complainant, the place where such person
---------------------- actually and voluntarily resides.

----------------------

96 Consumer Protection Act, 2019

 Notes
Activity 4
----------------------
Find out under which other legislations, acts done in Good Faith are ----------------------
protected and why?
----------------------

Summary ----------------------

●● If the orders passed by the Consumer Disputes Redressal Commission are ----------------------
not final, the rights of the consumers will have no meaning. Therefore all ----------------------
orders passed by the Consumer Commission shall be final if the order is
not appealed against. Again the court assists those who are vigilant and ----------------------
conscious of their rights. Therefore a complaint has to be filed within
2 years from the date of cause of action. If there is a delay in filing the ----------------------
complaint, the same may be condoned if sufficient cause is shown. ----------------------
The State Commission and the National Commission are empowered
to exercise administrative control over District Commission and State ----------------------
Commission respectively. This ensures proper maintenance of record
and speedy disposal of prescribed number of cases. All cases which are ----------------------
false, frivolous and vexatious are liable to be dismissed and costs can be ----------------------
imposed for misusing the provisions of the Act. To enforce its orders, the
Consumer Commission can attach the property and satisfy the claim out ----------------------
of the sale proceeds.
----------------------
Keywords ----------------------
●● Good Faith: A thing shall be deemed to be done in ‘good faith’ where it ----------------------
is in fact done honestly, whether it is done negligently or not.
----------------------
●● Suo motto: Of its own motion, on his own.
●● Penalty: i) it means recovery of an amount as a penal measure in ----------------------
civil proceedings.
----------------------
ii) a punishment inflicted by a law for its violation in
criminal proceedings. ----------------------
●● Sine qua non: An indispensable requisite. ----------------------

----------------------
Self-Assessment Questions
----------------------
1. State the provisions regarding penalties under the Act.
----------------------
2. Why is ‘anything done in good faith’ by the presiding officers in the course
of their duties protected? ----------------------
3. If penalty is imposed, can you prefer appeal?
----------------------
4. How are the notices to be served under COPRA, 2019?
----------------------

Enforcement of Orders and other relevant Provisions 97

 Notes 5. Write a short note on ‘the terms and conditions of service of the President
and members of the National Commission.’
----------------------

----------------------
Answers to Check your Progress

---------------------- Check your Progress 1

State True or False.
----------------------
1. False
----------------------
2. True
---------------------- Check your Progress 2
---------------------- Multiple Choice Single Response.

---------------------- 1. On filing of frivolous or vexatious complaints, the Consumer Redressal

Commission has power to:
---------------------- iii. Dismiss the complaint and impose penalty
---------------------- 2. Suppression of material facts regarding ailments while taking mediclaim
policy by complainant would make the complaint against insurance
----------------------
company frivolous and vexatious. This was held in
---------------------- ii. National Insurance Co. Ltd Vs Surinder Lal Arora
---------------------- Check your Progress 3

---------------------- State True or False.

1. True
----------------------
Check your Progress 4
----------------------
Multiple Choice Single Response.
---------------------- 1. The time limit for filing appeal is within _____ days from the date of the
order passed.
----------------------
i. 30 days
----------------------
2. Any party aggrieved by the order passed may prefer an appeal both on
---------------------- ______.
---------------------- iii. Both facts and law

----------------------
Suggested Reading
----------------------
1. http://consumeraffairs.nic.in/consumer/?q=node/6
---------------------- 2. http://articles.timesofindia.indiatimes.com/keyword/consumer-court
---------------------- 3. Bare Act, Consumer Protection Act, 2019
4. Consumer Protection Law and Practice by Taxmann, Taxmann
---------------------- Publications
---------------------- 5. Consumer Protection Act, 2019 with rules By Taxmann

98 Consumer Protection Act, 2019

Forms
UNIT

7
Structure:

7.1 Introduction
7.2 Notices and their Model Forms
7.3 Complaints and their Model Forms
7.4 Affidavit and its Model Forms
7.5 Application for Condonation of Delay
7.6 Appeal
7.7 Application for Execution of Order
7.8 Format of Application under COPRA 2019
7.9 Format of Application for Production of Documents
7.10 Format of Application for Seizure of Documents
7.11 Format of Application to file Complaint as ‘Class Action’
7.12 Model Form of Application seeking Permission to engage Advocate
Summary
Self-Assessment Questions
Answers to Check your Progress
Suggested Reading

Forms 99
 Notes
Objectives
----------------------
After going through this unit, you will be able to:
----------------------
• Discuss the process of drafting of complaints, appeals, applications,
---------------------- etc. under Consumer Protection Act
---------------------- • Classify notices, complaints, affidavits, etc. based on certain models

---------------------- 7.1 INTRODUCTION

----------------------
It is necessary to know as to how to draft complaints, applications, appeals,
---------------------- reply to the complaint, affidavits, etc. From unit 1 to unit 6 we have dealt with
the introduction to the Consumer Protection Act, 2019, the definitions regarding
---------------------- consumer, goods, the applicability of the Act, the corum of the Consumer
Courts. It is now necessary to know as to how to draft complaints, applications,
----------------------
appeals, reply to the complaint, affidavits, etc.
---------------------- Various model forms are provided which makes it very simple to draft the
complaint, notice appeal, etc.
----------------------
A simple format needs to be followed. The language should be simple &
---------------------- facts should be stated in concise and in a chronological order. All the supporting
documents have to be listed out in specific manner and attached as originals with
----------------------
the Application Form. The courts place reliance only on original documents
---------------------- & in certain cases on attested copies. It is important to have all the original
documents in the possession and custody of the consumer as far as possible.
---------------------- All the receipts have to be demanded from the shopkeeper while making any
purchases.
----------------------
The complaint should be in such a form that the Consumer Commission
---------------------- is able to comprehend the facts, contentions, allegations and grievance suffered
---------------------- by the complainant & provide relief which the consumer desires from the
Commission. Every complaint has to be accompanied by an affidavit. In this
---------------------- unit, various model forms are given of the Notices, Complaint, Affidavit,
Delay Condonation Application, Appeal, Execution Application and other
---------------------- Miscellaneous Applications.
---------------------- Let us now consider the various model forms.
----------------------
7.2 NOTICES AND THEIR MODEL FORMS
----------------------
It is not mandatory under the Consumer Protection Act, 2019 to serve
---------------------- any notice on the opposite party before filing the complaint. Thus there is no
prescribed form of notice under the act.
----------------------
However, it is advisable to serve notice before approaching the Consumer
---------------------- Disputes Redressal Commission as it will give an opportunity to the parties to
settle the issues if possible amicably. It serves also as a warning to the opposite
---------------------- party.

100 Consumer Protection Act, 2019

 The notice can be served by the party himself or through his advocate. Notes
The notice should state the transaction, what were the lapses committed by the
opposite party, how the complainant has suffered. The claim of compensation, ----------------------
etc. should be worked out meticulously & precisely and should be stated in the
notice. Notice should also state & give reasonable time to the opposite party to ----------------------
comply with the demands made in the notice. The notice preferably should be ----------------------
sent by Registered Post, acknowledgement due. The postal receipt will help in
proving the fact of services of notice. ----------------------
Notice Reply ----------------------
Every notice received should be replied as promptly as possible. Again ----------------------
notice reply has no prescribed form. Law of evidence raises a presumption
that whatever is not denied is presumed to have been admitted. Therefore ----------------------
whenever any notice is received, all the allegations, averments which are false
----------------------
& fabricated should be generally and specifically denied. The party replying
must also consider ways & means of amicable settlement. ----------------------
While denying any facts or figures, reference should be made to relevant ----------------------
documents, correspondence, etc. based on which the facts are denied. Notice
reply will serve as a basis of written statement/reply to the complaint. Finally, ----------------------
Notice Reply like Notice should also be sent by RPAD.
----------------------
Format of Notice
----------------------
MODEL FORM OF NOTICE (1)
----------------------
To,
----------------------
Name of the Company
----------------------
Address
----------------------

----------------------

----------------------
Kind attention: (Name of the person)
----------------------
Dear Sir/Madam,
----------------------
I ______S/o _______ residing at__________ do hereby call upon you to comply
the following things through this notice. ----------------------

1) That on ______ date, I purchased mixer-grinder of ________make from ----------------------

your showroom at Rs._______/-. You are the manufacturer of the same.
----------------------
2) After purchasing the mixer-grinder as per the instructions I tried to operate ----------------------
the same, it did not work. So accordingly, I informed you about the same.
----------------------

----------------------

Forms 101
 Notes 3) On ______date you had sent Mr.________ from your showroom to inspect
the mixer-grinder and the said Mr.______ informed that the motor of the
---------------------- mixer is defective.
---------------------- 4) The said Mr.________ also informed you about the same over the phone in
our presence.
----------------------

---------------------- 5) That your representative Mr.______ after discussing the matter with
Mr.______ whose designation is manager informed and assured me that
---------------------- they will replace this mixer-grinder in two days time.

---------------------- 6) On ______ date, ______date and _____ date I spoke of your representative
Mr.______ and Mr._______ (Manager) regarding the defective mixer-
----------------------
grinder and its replacement. I was promised that in another four days time
---------------------- the mixer-grinder will be replaced but none of you have turned up to do the
same. The said defective mixer-grinder is lying at my residence.
----------------------
7) Now you have started disconnecting my phone calls. Therefore I am left
---------------------- with no alternative but to send you this notice.
---------------------- 8) I therefore call upon you through this notice
----------------------
i) to replace the mixer-grinder with identical one and without any latent
---------------------- or patent defects within 8 days from the date of receipt of notice.

---------------------- ii) pay Rs. _____ to me as compensation for the harassment and
inconvenience due to carelessness and negligence on your part.
----------------------
9) If you fail to comply with the above then I will be constrained to initiate
---------------------- legal action against you as may be deemed fit.
----------------------

---------------------- Thanking you, Yours faithfully,

----------------------
Place
----------------------
Date
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

102 Consumer Protection Act, 2019

 Model Form of Notice (2) Notes
To, ----------------------
Name of the Company ----------------------

Address ----------------------

----------------------

----------------------

----------------------
Kind attention: (Name of In-charge person)
----------------------
Dear Sir/Madam,
----------------------
1) My daughter had placed with you an order for 1 medium size Margaretta
Pizza on_____ date. The price of the Pizza along with taxes was Rs._______ ----------------------

2) That your delivery boy delivered the Pizza and an amount of Rs._______ ----------------------
was paid to him.
----------------------
3) When my daughter sat to eat the Pizza she found a dead cockroach in the
----------------------
Pizza. She showed me the same. She was completely shocked and vomited.
----------------------
4) I phoned you and spoke to Mr.________ and informed him about the same.
----------------------
5) Mr. ________offered to send a fresh pizza and apologized for the same. But
I informed him that my daughter after eating a small portion of that pizza & ----------------------
on finding a dead cockroach in it has vomited & is feeling nauseatic so I do
----------------------
not want any fresh pizza I only want the price to be refunded of the pizza.
----------------------
6) Mr. _________ refused to refund the price to the pizza. My daughter could
not eat properly for almost two days due to all this. Such a high degree of ----------------------
negligence & breach of quality & hygiene standards is not expected from
a reputed company like yours. ----------------------

7) Through this notice I therefore call upon you to ----------------------

----------------------
i) Pay the amount of Rs. ________ i.e. the price of the Pizza along with
taxes. ----------------------
ii) Pay an amount of Rs. ________ towards compensation for the ----------------------
negligence & serving unhygienic Pizza & all the health problems faced
& harassment caused due to all this. ----------------------

----------------------

----------------------

----------------------

Forms 103
 Notes Within eight days from the date of receipt of this notice

---------------------- 8) Failing which I will be compelled to initiate legal action against you before
the District Commission at _________ entirely at your risk as to the cost &
---------------------- consequences of the same.
----------------------
Thanking You,
----------------------
Place
----------------------

---------------------- Date

---------------------- Yours Faithfully

---------------------- Sd____________

---------------------- Model Form of Notice (3)

---------------------- To,
---------------------- Name & Address
---------------------- of Opposite Party/Parties
----------------------

----------------------
Sub:
----------------------
Dear Sir/Madam
----------------------
This is to inform you & bring to your kind notice following facts:
----------------------
(Now state the facts in chronological order in consecutive para)
----------------------
1) That I purchased a car of model _________ from your showroom at
----------------------
______________.
----------------------
2) The said car has both latent & patent defects as follows
----------------------
a)
----------------------
b)
----------------------
c)
----------------------
d)
----------------------
3) Your engineer also has agreed on ______ date & issued a handwritten note
----------------------
promising to look into the matter. But you have not bothered to carry out
---------------------- any repairs so far.

104 Consumer Protection Act, 2019

4) I have paid the price of the car as Rs. ___________/- Notes
5) You are guilty of selling defective car & also of deficiency in service as you ----------------------
failed to _______________ these things.
----------------------
6) Due to negligence on your part, I have suffered loss & injury to the tune of
Rs. _________ which you are liable to compensate together with interest ----------------------
at the rate of ______% from the date of purchase of this car till today. ----------------------
7) If you fail to pay the compensation amount of Rs________ at ______% per ----------------------
annum and also to rectify & remove the defects in car/replace the car, I shall
be constrained to initiate legal proceedings against you before the Consumer ----------------------
Commission entirely at your own risk as to costs & consequences of any
action, please note. ----------------------

----------------------
----------------------
Place
----------------------
Date Signature
----------------------

----------------------

7.3 COMPLAINTS AND THEIR MODEL FORMS ----------------------

BEFORE THE HON’BLE STATE COMMISSION AT ________________ ----------------------

Complaint No_______/_________ ----------------------

----------------------
Full Name -

Age - Complainant

Occ -
} ----------------------

----------------------

----------------------
R/at -
----------------------
Vs
----------------------

}
Full Name & Description Opponent
----------------------

----------------------
Complaint for_______ ----------------------

----------------------

----------------------

----------------------

Forms 105
 Notes The complainant above named respectfully submits as under.
1) Introduction
----------------------
In this para who the complainant & respondent/opposite party are should
---------------------- be explained.
---------------------- 2) Narration of facts

---------------------- In the second para, start narrating the facts in chronological order. When
the facts are numerous, introduce the basic facts in this para.
---------------------- 3) Continuation of the facts
---------------------- For e.g. In para 2, state what goods were purchased & in this para state the
defects in the goods, delay in delivery, deficiency in service, etc.
----------------------
4) Rectification
----------------------
Elaborate what communication; correspondence has taken place between
---------------------- the parties to resolve the issue between the parties. Particulars of notices if
any exchanged between the parties.
----------------------
5) State the response of opposite party to the defect/deficiency which were
---------------------- pointed out by the complainant.

---------------------- 6) Other details if any

7) Evidence
----------------------
In this para, the complainant should give details of the evidence, which
---------------------- he/she is adducing before the form; agreement, Purchase Order, Tickets,
Receipts, Invoice, details of medical treatment, Discharge card, etc. may be
----------------------
applicable. Any other reference on any medical texts, diagnosis, etc. These
---------------------- documents should be annexed with the complaint & attested as ‘True Copy’.
8) Details of his suffering/losses & how he wants to be compensated & what
----------------------
reliefs he wants & why he has come before the Commission.
---------------------- 9) Jurisdiction
---------------------- In the para regarding jurisdiction, the complainant should explain how the
District Commission, State Commission or the National Commission has
---------------------- jurisdiction (pecuniary & territorial) to entertain, try & decide the complaint
---------------------- in question.
10) Limitation & Cause of Action
----------------------
The complainant should state in this para as to when did the cause of action
---------------------- arise for filing the complaint & that how the present complaint is well within
the period of limitation.
----------------------

----------------------

----------------------

----------------------

106 Consumer Protection Act, 2019

11) Prayer Clause Notes
Detail of the reliefs which the complainant wants the Commission to grant
----------------------
in his favour.
Date ----------------------

Place sd- ----------------------

Complainant ----------------------

----------------------
An affidavit in support is filed herewith.
----------------------
Verification
----------------------
I_______________________ Age_______ Occ________ R/at___________
the complainant above named do hereby solemnly verify that the contents of ----------------------
my above complaint are true & correct to the best of my knowledge, belief &
----------------------
information verified by me on this _________ day of _________ at _________
----------------------

----------------------
Sd,
----------------------
Complainant
----------------------

7.4 AFFIDAVIT AND ITS MODEL FORMS ----------------------

Affidavit means a solemn declaration or a statement made on oath. Generally, ----------------------

all evidence of the parties before the Consumer Commission are recorded with
----------------------
the help of affidavits as the hearing is done with the help of affidavits before the
Forum/Commission is summary in nature. ----------------------
When the complaint, reply, application, etc. are supported by an affidavit, it gives ----------------------
an added strength to the truth & veracity of averments made in the complaint.
----------------------
It is relevant to note provisions of Civil Procedure Code, 1908. Order XIX, which
deals with affidavits. ----------------------

----------------------
(1) Power to order any point to be proved by affidavit -
----------------------
Any court may at any time, for sufficient reason, order that any particular
fact or facts may be proved by affidavit, or that the affidavit of any witness ----------------------
may be read at the hearing or such conditions as the court thinks reasonable.
----------------------
Provided that where it appears to the court that either party bonafide desires
the production of a witness for cross examination & that such witness can ----------------------
be produced, an order shall not be made authorizing the evidence of such ----------------------
witness to be given by affidavit.
----------------------

Forms 107
 Notes (2) Power to order attendance of deponent for cross-examination
a) Upon any application, evidence may be given by affidavit but the
----------------------
court may, at the instance of either party, order the attendance for cross
---------------------- examination of the deponent.
b) Such attendance shall be in court unless the deponent is exempted from
----------------------
personal appearance in the court or the court otherwise directs.
---------------------- c) Matters to which affidavit shall be confined -
---------------------- i) Affidavit shall be confined to such facts as the deponent is able to
his own knowledge to prove, except on interlocutory applications
---------------------- on which statements of his belief may be admitted provided that
---------------------- the grounds thereof are stated.
ii) The costs of every affidavit, which shall unnecessarily set forth
---------------------- matters of hearsay or argumentative matter, or copies of extracts
---------------------- from documents, shall (unless the court otherwise directs) be paid
by the party filing the same.
---------------------- When the complainant files an affidavit in support of his complaint, the opposite
---------------------- party in reply can file counter affidavit. When an affidavit is prepared for the
purposes of filing it in the court of law, then it is exempt from stamp duty.
----------------------

----------------------
Format of Affidavit
----------------------
(Filed in support of the complaint)
----------------------
BEFORE THE HON’BLE DISTRICT COMMISSION
----------------------

---------------------- STATE COMMISSION

---------------------- NATIONALCOMMISSION

----------------------
---------------------- Complaint No ______/20___

}
----------------------

---------------------- Full Name & description Complainant

----------------------

}
Vs
----------------------
Full Name & description Opposite Party
----------------------

----------------------

----------------------

108 Consumer Protection Act, 2019

 Affidavit Notes
I, Name ____________ Age ______ Occupation ___________ Residing/at ----------------------
___________, the above named deponent do hereby state on solemn affirmation
and declare as under: ----------------------

i) That I am complainant in the above titled case. I am thoroughly conversant ----------------------

with the facts and circumstances of the present case and am competent to ----------------------
swear this affidavit.
----------------------
ii) That the facts contained in my accompanying complaint, the contents of
which have not been repeated herein for the sake of brevity may be read as ----------------------
an integral part of this affidavit.
----------------------
iii) The facts of the said mentioned complaint are true & correct to the best of
----------------------
my knowledge, belief & information.
----------------------
I hereby verify & declare that whatever is stated hereinabove is true & correct to
the best of my knowledge, belief & information and nothing material has been ----------------------
concealed therein. Verified this ______ day of ____ 20_______ at ________
----------------------
I know the
----------------------
Affiant Affiant
----------------------

----------------------
7.5 APPLICATION FOR CONDONATION OF DELAY
----------------------
BEFORE THE HON’BLE ___________________ AT _____________
----------------------
Complaint No.______/20_____
----------------------

Full Name & description 

} Complainant
----------------------

----------------------

}
Vs
----------------------
Full Name & description Opposite
----------------------
Party
----------------------

----------------------

----------------------

----------------------

----------------------

----------------------

Forms 109
 Notes Application for Condonation of delay

---------------------- The applicant/appellant most respectfully states as under:

---------------------- (1) That the appellant has filed the accompanying appeal against the respondent
on various grounds. This applicant/appellant craves leave of this appellate
---------------------- authority to read the appeal memo as part & parcel of this application.
---------------------- (2) That the appellant humbly submits that the Hon’ble District Commission
passed the order on ________ date and the certified copies of the Judgment &
---------------------- order were applied on _________ date & the same were ready on _________
---------------------- date. Thus there is a delay of 22 days in filing this appeal (In the second
para explain how many delays are there.)
----------------------
(3) The appellant/applicant submits that the day on which the certified copies
---------------------- were ready, this appellants mother suffered severe heart attack and had to
undergo angioplasty at ___________ Hospital and therefore from ________
---------------------- date to _______ date this appellant was busy attending his mother. That
---------------------- on ________ dates while this appellant’s mother was still hospitalized, his
elder son by name ________ age-22 years met with a serious accident and
---------------------- suffered multiple fractures. The appellant/applicant was in a state of shock
& thereafter was busy attending his son & mother & arranging funds for the
---------------------- two major surgeries of his son. Thus this applicant/appellant was prevented
---------------------- for bonafide reasons from filing the present appeal. (In para 3 explain the
cause of the delay)
----------------------
(4) That the applicant/appellant states that he has a good case on merits &
---------------------- is seriously aggrieved by the impugned order passed by the Hon’ble
Commission. If the delay of 22 days in filing this appeal is not condoned,
---------------------- grave injustice will be caused to this appellant/applicant.
---------------------- (5) That the applicant/appellant submits that no hardship, inconvenience will
---------------------- be caused to the opposite party if delay as prayed for is condoned.

---------------------- (6) That the applicant/appellant submits that along with this application the
appellant has produced all the relevant documents, medical certificates, etc.
---------------------- evidencing the fact of hospitalization and accidents.
---------------------- (7) That the applicant therefore had sufficient cause for not filing the present
complaint within limitation as stated above and there are just & sufficient
----------------------
grounds justifying and warranting the condonation of delay and deciding
---------------------- the present case on merits.

---------------------- (8) Therefore in view of the aforesaid facts and circumstances, this applicant/
appellant most humbly prays as under:
----------------------
i) Condone the delay of 22 days in filing the present appeal and admit
----------------------
the same.
----------------------

110 Consumer Protection Act, 2019

 ii) Pass any other just & equitable order as deemed fit in the interest of Notes
justice.
----------------------

----------------------
Place
----------------------
Date
----------------------
sd
----------------------
Appellant ----------------------
An affidavit in support is filed herewith. ----------------------

----------------------
7.6 APPEAL
----------------------
As already stated in the previous units, any party aggrieved by the decision of
the Consumer Commission can move up the hierarchy to set aside the impugned ----------------------
order by filing appeal.
----------------------
Appeal has to be preferred within 30 days from the date of knowledge of the
----------------------
order. Every appeal has to be accompanied by the certified copy of the Judgment
& order passed by the lower Redressal Commission. The District Commission ----------------------
has no appellate powers. So appeal can be filed before the State Commission,
National Commission or the Hon’ble Supreme Court of India. ----------------------

Format of Appeal ----------------------

----------------------
BEFORE THE HON’BLE Consumer Dispute
----------------------
Redressal Commission at _________ (Appellate Jurisdiction)
----------------------
Appeal No. _________/20_____
----------------------

}
----------------------
Full Name & description Appellant
----------------------

Vs ----------------------

}
----------------------
Full Name & description Respondent ----------------------

----------------------

----------------------

----------------------

Forms 111
 Notes Appeal against the Judgment & order passed by ____on____

---------------------- The appellant above named begs to state most respectfully as under

---------------------- 1) Being aggrieved & dissatisfied by the judgment & order passed by the
_________ on ________ the present appellant has preferred this appeal.
----------------------
2) This para should state the brief facts of the case and the order passed by the
---------------------- District Commission/State Commission, as the case may be.
----------------------
3) That the impugned order date _______ passed by the Consumer Fora is
---------------------- liable to be set aside/modified/quashed, inter alia on the following grounds.

---------------------- a) ________

---------------------- b) ________
---------------------- c) ________ etc.
---------------------- (Here enumerate the reasons based on facts & law as to why the impugned
---------------------- order is bad/incorrect.)

---------------------- 4) That the appellant has not preferred any other appeal against the impugned
order.
----------------------
5) In this para, state that the appeal is within the period of limitation.
----------------------
The impugned order was passed on ______ date, the appellant applied for
---------------------- certified copies on _______ date, the same were made available on ________
---------------------- date. Hence the present appeal is being filed within the period of limitation.

---------------------- 6) This para should give the details of the amount deposited at the time of filing
the appeal as is required by the Act.
----------------------
7) This para should state the prayer made to the Appellate Consumer Fora. It
---------------------- is therefore, most respectfully prayed that this Hon’ble Commission may
---------------------- kindly be pleased to allow the appeal/set aside/modify/quash the order
date______ passed by the District Commission/State Commission.
----------------------
Place
----------------------
Date Appellant
----------------------
An affidavit in support is filed herewith. (The format of affidavit is same as in
---------------------- the case of complaint)
----------------------

----------------------

----------------------

112 Consumer Protection Act, 2019

7.7 APPLICATION FOR EXECUTION OF ORDER Notes
Format of application for execution of the orders of the Forum/Commission ----------------------

BEFORE THE HON’BLE _______________AT _______________ ----------------------

}
Complaint No. ______/20______ ----------------------

Complainant ----------------------

----------------------

}
Vs
----------------------
Opposite Party/Opponent
----------------------

----------------------
Application for execution of the orders
----------------------
This application on behalf of the complainant is as follows:
----------------------
1) That the complainant submits that in the aforementioned complaint the
Hon’ble Forum/Commission was pleased to allow the complaint & as per ----------------------
the final order passed by the Forum/Commission the opposite party was ----------------------
directed to pay Rs. ___________ within a period of ________ days.
----------------------
2) That no appeal has been preferred by the opposite party to the knowledge
of this complainant. ----------------------

3) That the complainant submits that the opposite party has failed & neglected ----------------------
to comply with the order & direction of this Hon’ble Forum/Commission.
Hence this application for execution of the said order. ----------------------

4) That the opposite party has both movable & immovable property situated at ----------------------
_________. The detailed description of the property is annexed herewith. ----------------------
5) That it would be just, necessary & proper and in the interest of justice to ----------------------
attach the said properties of the opposite party & be sold for realization of
the amount due & payable to this complainant. ----------------------

6) It is therefore most humbly prayed ----------------------

i) Attach the properties of the opposite party & the same may please be ----------------------
sold & the amount so received may please be paid to this complainant
----------------------
i.e. Rs. __________ at the rate of ______% interest from _______ date
----------------------
ii) Pass any other just & equitable order as deemed fit in the interest of
justice. ----------------------
Place ----------------------

Date Appellant ----------------------

Forms 113
 Notes 7.8 FORMAT OF APPLICATION UNDER SECTION 27 OF
THE ACT
----------------------
BEFORE THE HON’BLE _________________ AT _____________
----------------------
Complaint No. ______/20______
----------------------

}
----------------------

---------------------- Full Name & description Complainant

---------------------- Vs

----------------------

----------------------
Full Name & description
} Opposite Party

---------------------- Application under section 72 of the Consumer Protection Act

---------------------- This application on behalf of the complainant is as under:
---------------------- 1) The complainant states that the Hon’ble Forum/Commission vide its orders
---------------------- dated _______ passed in the aforementioned Complaint No. was pleased to
allow the complaint of this complainant.
----------------------
2) That as per the orders passed by this Hon’ble Forum/Commission the
---------------------- opposite party was pleased to ________ within a period of ______ days.

---------------------- 3) That the opponents have acted in gross violation of the said orders of this
Hon’ble Forum/Commission as they have neither complied with the orders
---------------------- nor taken any steps even in this regard.
---------------------- 4) The complainant submits that the respondent’s opponents have committed
an offence under section 72 of the Act.
----------------------
5) In view of the aforementioned facts & circumstances, the complainant most
---------------------- respectfully prays as follows
---------------------- i) The respondents/opponents be summoned & tried for having committed
---------------------- the aforesaid offence, under section 72 of the Act & be punished
accordingly.
----------------------
ii) Pass any other just & equitable order as deemed fit in the interest of
---------------------- justice.

---------------------- Place

---------------------- Date

----------------------  Complainant

---------------------- An affidavit in support is filed herewith.

114 Consumer Protection Act, 2019

7.9 FORMAT OF APPLICATION FOR PRODUCTION OF Notes
DOCUMENTS
----------------------
BEFORE THE HON’BLE ________________ AT __________
----------------------
Complaint No. ______/20______
----------------------

}
----------------------
Full Name & description  Complainant ----------------------

----------------------
Vs
----------------------

}
Full Name & description Respondent/ ----------------------
----------------------
Opposite Party
----------------------

----------------------
Application under of Consumer Protection Act, 2019,
----------------------
This application on behalf of the complainant is as follows:
----------------------
1) That the complainant has filed complaint against the opposite party for
various reliefs. The complainant craves leave of this Hon’ble Forum/ ----------------------
Commission to read the contents of the complaint as part and parcel of this ----------------------
application.
----------------------
2) That the complainant in para 4 of his complaint has referred to the following
documents i) ____________ ii) ____________iii) ___________. The said ----------------------
documents are very important, relevant and crucial to decide the complaint
----------------------
on merits. The original documents are in the possession & custody of the
opposite party. ----------------------
3) It is therefore most humbly prayed that the Hon’ble Forum/Commission ----------------------
may please direct the Opposite Party to
----------------------
a) Produce the documents i)______ii)______ & iii)________
----------------------
b) Pass any other order as deemed fit in the interest of justice.
----------------------
Place
----------------------
Dated ----------------------
 Applicant ----------------------

----------------------

Forms 115
 Notes 7.10 FORMAT OF APPLICATION FOR SEIZURE OF
DOCUMENTS
----------------------
BEFORE THE HON’BLE__________ AT ___________
----------------------
Complaint No. ______/20______
----------------------

----------------------

----------------------
Full Name & description Complainant

Vs }
}
---------------------- Full Name & description

---------------------- Respondent/
Opposite Party
----------------------
Application under of Consumer Protection Act, 2019,
----------------------

---------------------- The Applicant/Complainant submits as under:

---------------------- 1) That the present applicant have filed a detailed complaint & the same may
please be read as part and parcel of this application.
----------------------
2) That the documents referred to in para 5 of the complaint are vital & relevant
---------------------- to consider & decide the merits of the case before the Forum/Commission.
---------------------- 3) That the applicant apprehends that the opposite party may destroy, alter,
---------------------- falsify, mutilate or tamper with the said documents and if the opposite party
succeeds in his design the very purpose of filing this application & complaint
---------------------- will be frustrated. The said documents are at __________ place.

---------------------- 4) It is therefore most humbly prayed that Forum/Commission may kindly be

pleased to pass an order authorizing a competent officer to
----------------------
a) enter upon the premises of the opposite party at ________ and effect
----------------------
search for the aforesaid documents.
----------------------
b) seize the documents, books, paper, etc. as set out above.
----------------------
Place
----------------------
Date Complainant
----------------------
An Affidavit in support is filed herewith.
----------------------
(Note - On similar lines the opposite party can also move application, so also
----------------------
application can be made for seizure of commodities.)
----------------------

----------------------

116 Consumer Protection Act, 2019

7.11 FORMAT OF APPLICATION TO FILE COMPLAINT Notes
AS ‘CLASS ACTION’ ----------------------
The Consumer Protection Act in order to avoid multiplicity of proceedings & ----------------------
to save time & energy of the presiding officers & to save the time, energy &
money of the consumers permits class action. The cause of action & nature of ----------------------
relief when are identical, the consumer can file single complaint on behalf of
various consumers. ----------------------

BEFORE THE HON’BLE ________________ AT ______________ ----------------------

Complaint No. ______/20______ ----------------------
1)

}
----------------------
2)
3) Complainants ----------------------
4) ----------------------
5) Etc
----------------------
Full Name & description

}
----------------------
Vs
----------------------
Full Name & description Opposite Party
----------------------
Application under section 2 of Consumer Protection Act, 2019 read with
Rule 8 sub rule (1) (a) of the code of Civil Procedure Code, 1908 ----------------------
The Complainants/Applicants humbly submit as follows: ----------------------
1) That the ten complainants herein have filed the complaint along with this
application & crave leave of this Hon’ble Forum/Commission to read - - - - - - - - - - - - - - - - - - - - - -
the contents of the complaint as integral part of this application to avoid - - - - - - - - - - - - - - - - - - - - - -
repetition & for the sake of brevity.
2) That the applicants submit that the applicants have suffered due to defect/ - - - - - - - - - - - - - - - - - - - - - -
deficiency in services/__________of the opposite party. That all the
----------------------
complainants/applicants have the identical cause of action, grievances &
seek identical reliefs. So also the evidence is the same which they desire to - - - - - - - - - - - - - - - - - - - - - -
adduce before the Forum/Commission.
3) That the applicants submit that in view of the aforesaid facts it will be - - - - - - - - - - - - - - - - - - - - - -
convenient, just & fair to allow these complainants to file a single complaint - - - - - - - - - - - - - - - - - - - - - -
which will also avoid multiplicity of proceedings.
4) It therefore humbly prayed as follows ----------------------
i) Allow the applicants to file a single complaint in the interest of justice. - - - - - - - - - - - - - - - - - - - - - -
ii) Any other order as deemed fit may be passed.
----------------------
Place -
Date - - - - - - - - - - - - - - - - - - - - - - -
Complainants
1 to 10 - - - - - - - - - - - - - - - - - - - - - -

Forms 117
 Notes 7.12 MODEL FORM OF APPLICATION SEEKING
PERMISSION TO ENGAGE ADVOCATE
----------------------
BEFORE THE HON’BLE ______________ AT __________________
----------------------
Complaint No.______/20_____
----------------------

}
----------------------

---------------------- Complainant

---------------------- Vs

----------------------

----------------------
Application to engage Advocate
} Opponent/Opposite
Party

----------------------

---------------------- This application on behalf of the complainant is as follows:

---------------------- 1) That the complainant has filed the accompanying complaint for deficiency
in services & various reliefs. The complainant urges the Hon’ble _________
---------------------- to read the contents of the complaint as part & parcel of this application.
---------------------- 2) The complainant submits that he is not educated & works as labourers. The
complaint filed by the complainant involves important questions of fact &
----------------------
law & this complainant cannot put up his case without the aid & assistance
---------------------- of an advocate.

---------------------- 3) The complainant submits that no hardship or inconvenience will be caused

to the opposite party if the complainant is allowed to engage advocate in
---------------------- the matter.
----------------------
4) It is therefore most humbly prayed that the complainant may please be
---------------------- allowed to engage advocate in the aforementioned case in the interest of
Justice.
----------------------
Place
----------------------
Date
----------------------
Complainant
----------------------

----------------------

----------------------

----------------------

----------------------

118 Consumer Protection Act, 2019

The object of Consumer Protection Act has been to make it user friendly and as Notes
far as possible to avoid legal technicalities & complexities so that an ordinary
consumer can file complaint before the consumer fora without any assistance ----------------------
from a lawyer. However, in the interest of justice and where the consumer desires
to engage a lawyer, consumer courts have granted the permission. ----------------------

----------------------
Check your Progress 1 ----------------------

Multiple Choice Single Response. ----------------------

1. To serve any notice to the opposite party before filing a complaint ----------------------
under Consumer Protection Act is
----------------------
i. Mandatory
ii. Optional ----------------------

iii. Not advisable ----------------------

2. Notice can be served ----------------------
i. Party himself
----------------------
ii. Advocate
----------------------
iii. All of the above
----------------------

----------------------
Activity 1
----------------------
1. Visit any consumer court in your area and find out how certified
----------------------
copies are made ready.
2. Draft a complaint for medical negligence. ----------------------
3. Mr X purchased a mobile phone from the showroom of the mobile ----------------------
company. The mobile phone stopped working with a week. He was
promised a replacement but never got one. Draft a notice to be sent ----------------------
to the Company.
----------------------

Summary ----------------------

●● From the facts, try and find out with which consumer fora the pecuniary ----------------------
& territorial Jurisdiction lies, for e.g. if the claim of compensation ----------------------
is less than 20 lakhs, the complaint has to be filed before the District
Commission. Again for the purposes of territorial Jurisdiction, it needs ----------------------
to be ascertained where the opposite party works or resides & where the
cause of action has arisen. Is the complaint within the period of limitation, ----------------------
otherwise the complaint is likely to be filed before a Forum/Commission ----------------------
which has no jurisdiction & therefore it would be bad in law.
----------------------

Forms 119
 Notes ●● The prayer clause also should be drafted carefully. So that the consumer
can get all the reliefs to which he is entitled under the facts & under the
---------------------- law.
----------------------
Self-Assessment Questions
----------------------
1. Draft a complaint wherein the goods supplied by the seller are defective
---------------------- goods.
---------------------- 2. Draft a complaint for deficiency in service.
---------------------- 3. Draft the written statement/reply to complaint for deficiency in service.
----------------------
4. Can a lawyer represent the case of the consumer?
----------------------
5. Draft an Affidavit in support of the compliant for defect in goods.
----------------------

---------------------- Answers to Check your Progress

---------------------- Check your Progress 1

---------------------- Multiple Choice Single Response.

1. To serve any notice to the opposite party before filing a complaint under
----------------------
Consumer Protection Act is
---------------------- ii. Optional
---------------------- 2. Notice can be served

---------------------- iii. All of the above

---------------------- Suggested Reading

----------------------
1. admis.hp.nic.in/ehimapurti/pdfs/cmpleng.pdf
---------------------- 2. Bare Act, Consumer Protection Act, 2019
---------------------- 3. Consumer Protection Law and Practice by Taxmann, Taxmann
Publications
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4. Consumer Protection Act, 2019 with rules By Taxmann
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120 Consumer Protection Act, 2019