Impact of the Consumer Protection Act and Other Laws on Consumer Rights

Introduction

The Consumer Protection Act is a law in favor of consumers, But the Act doesn’t seek to protect every consumer within its literal meaning. This Act only protects the person who fits in the definition of the consumer given in the Act itself. The Consumer Protection Act, of 1986 was enacted to provide simpler and quicker access to the redressal of consumer grievances. The Act for the first time introduced the concept of ‘consumer’ and conferred express additional rights on them. This Act establishes an authority known as “Central Consumer Protection Authority.” The Central Consumer Protection Authority (CCPA) aims to promote, investigations into violations of consumer rights and institute complaints/ prosecution, order recalls of unsafe goods and services, order discontinuation of unfair trade practices and misleading advertisements, and impose penalties on manufacturers/ endorsers/ publishers of misleading advertisements.[1]

Rights of Consumers under the Consumer Protection Act

The attribute of the Consumer Protection Act focuses on providing consumers more power to fight against unfair means used against them and providing transparency between consumers and sellers. The Central Consumer Protection Authority (CCPA) under the Department of Consumer Affairs has notified ‘Guidelines for prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022’ on 10th June 2022 with an objective to curb misleading advertisements and protect the consumers, who may be exploited or affected by such advertisements. The guidelines seek to ensure that consumers should not be fooled by unsubstantiated claims, exaggerated promises, misinformation, and false claims. Such advertisements violate various rights of consumers such as the right to be informed, the right to choose and the right to be safeguarded against potentially unsafe products and services.[2]

There are 6 consumer rights as mentioned in the Consumer Protection Act of 1986.

1.????Right to Safety-

Right to safety under consumer protection means the right to be protected against the marketing and selling of goods and services which are hazardous to life and property. This act is applicable to all the domains related to healthcare and food processing. When there is a violation of the right then there occur medical malpractice lawsuits in the country. Every year it is estimated that thousands or millions of citizens of India are killed or seriously injured by immoral practices by doctors, hospitals, pharmacies, and the automobile industry. The right requires all such products of critical nature to life and property to be carefully tested and validated before being marketed to the consumer.

2.????Right to Information-

The Right to Information is defined as the right to be informed about the quality, quantity, potency, purity, standard and price of goods or services to protect the consumer against unfair trade practices. The consumer ought to be informed about the price of the product and have access to other information related to the product.

3.????Right to Choose-

Right to choose means the right of the consumer to have access to a variety of goods and services at a competitive price. The existence of cartels, oligopolies, and monopolies proves to be unhealthy for the market and harmful to consumers. So a competitive market where many sellers sell similar products must be established to ensure that there won’t be any injustice and unfair means in the market which will affect the rights of consumers.

4.????Right to Seek Redressal-

The definition of Right to Seek Redressal is defined as ‘The Right to Seek Redressal against unfair trade practices or restrictive trade practices or unscrupulous exploitation of consumers’ according to the Consumer Protection Act. If a consumer feels exploited then they can approach to consumer court. This is a forum where it hears the complaint and provides justice to the party.

5.????Right to be Heard-

This right helps to empower the consumers for putting forward their complaints and raise their voices against unfair trade practices. This right gives him/her due respect that his/her complaint will be duly heard. The right empowers consumers to fearlessly voice their concerns and seek justice in case they are exploited.[3]

6.????Right to Consumer Education-

This right makes sure that the consumers in the country have informational programs and materials which are easily accessible and would enable them to make purchasing decisions that are better than before. The education provided in schools ,colleges and even by the government through their campaigns aim is to that consumers must be aware of their rights and must have access to enough information before purchasing. Such information makes them aware of the default in the product.[4]

Case Laws on Consumer Rights

1)???In Laxmiben Laxmichand Shah v. Sakerben Kanji Chandan and others 2001 CTJ 401 (Supreme Court) (CP), the Supreme Court held that the tenant entering into lease agreement with the landlord cannot be considered as consumer under Section 2(1)(d) of the Act. Where there was no provision in the lease agreement in respect of cleaning, repairing and maintaining the building, the rent paid by tenant is not the consideration for availing these services and therefore, no question of deficiency in service.

2)???In the case of Alex J. Rebello v. Vice Chancellor, Banglore University and others, 2003 CTJ 575 (CP) (NCDRC) the National Commission has held that the University in conducting examination, evaluating answer sheets and publishing the result was not performing any service for consideration and a candidate who appeared for the examination cannot be regarded as a consumer.[5]

3)???In the case of Horlicks Ltd. V. Zydus Wellness Products Ltd. (2020), both parties are manufacturers of nutritional drinks, however, Zydus advertised a television commercial trivialising the products of Horlicks Ltd. The commercial was being telecasted in various languages including English, Tamil and Bengali. Therefore, the Delhi High Court relied on various judgments on misleading advertisements, disparagement and law governing the publication of advertisements on television and held that the advertisement is disparaging as it does not provide any concrete proof regarding the quality of the product. Further, electronic media leaves an impression on the minds of the viewers thus, these types of advertisements would not only be detrimental to the consumers but also the complainant would suffer irreparable damage.[6]

Conclusion

Consumer protection in India is not a post-modern thought, its roots can be found in Manu Smriti. Manu smriti lays out permission for sellers how to sell products to consumers. It also specifies penalties for sellers who perform unethical activities.[7] But the consumer was not aware of their rights as compared to the Modern age. Consumer awareness is important to educate consumers about their rights which will remove illiteracy and eventually it will enhance the status of consumers and protect them from exploitation. The Consumer Protection Act fills up the lacuna which was hampering the rights of customers.

Written by- Akanksha Redij

[1] Commentary on Consumer Protection Act, Available at https://ncdrc.nic.in/bare_acts/1_1_2.html#:~:text=The%20Consumer%20Protection%20Act%2C%201986,express%20additional%20rights%20on%20him

[2] Centre issues ‘Guidelines on Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022’, Available at https://pib.gov.in/PressReleasePage.aspx?PRID=1832906

[3] Rights of Consumers, available at- https://www.toppr.com/guides/economics/consumer-rights/rights-of-consumers/

[4] Consumer Rights in India, Consumer Online Foundation, available at - https://www.jagograhakjago.com/consumer-rights/

[5] Consumer Protection – Law and Practise Section II, Available at- https://iritm.indianrailways.gov.in/instt/uploads/files/1436167821091-Notes%20on%20Consumer%20Protection%20Law.pdf

[6] Consumer Protection Act, 2019, available at- https://blog.ipleaders.in/consumer-protection-act-2019-2/

[7] Consumer laws in India, available at- https://www.legalserviceindia.com/laws/consumer_laws.htm

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