New bill regarding consumerprotection act
mahendrakumar
(Querist) 18 December 2011
This query is : Resolved
it is heard that govt has proposed some changes and new bill is being introduced.
does anyone knows regarding the details of amendment?
Has the bill already passed?
what are the chan ges and effective dates?
prabhakar singh
(Expert) 18 December 2011
Consumer Protection (Amendment) Bill 2010
Bill amplifies the provisions of the Act, facilitates quicker disposal of consumer complaints and rationalizes the qualifications and procedure of selection of President and members of the consumer fora.
If a shopkeeper doesn’t give you a bill for your purchase, you may soon be able to take him to court. At the same time, anything and everything you buy can be challenged legally if it is found to be of poor quality. A product need not be “hazardous” at the beginning to be “unsafe” later. Most importantly, consumers will be able to receive extra money from consumer fora in case of protracted litigation.
The Bill proposes to make a shopkeeper not issuing cash memo or bills for goods sold as guilty under the law. The possession of bill makes a consumer a “bonafide” customer and its absence robs him of a stronger footing in courts if he challenges a sale. It will henceforth be dubbed an “unfair trade practice”.
The most consequential change may be the widening of the definition of “defect” and “deficiency”.
The definition of “unfair trade practice” is to be expanded to include the unforeseen modus operandi of traders as offences. It will allow the law to not specify every unfair practice in the law.
A key change relates to safeguarding the consumers who are fleeced by the sellers through various contracts or conditions which place them in “unequal bargaining capacity”.
A contract or a condition will be “unconstitutional and illegal” if it is between two parties of unequal bargaining capacities, one-sided and unfair to the weaker party. Such a contract is said to be offending spirit of the Constitution.
The amendments also seek to bring transparency in consumer courts with regard to selection of presiding officers, filing of cases and discharge of justice. Consumers will be able to file “cases online” in what is an attempt to empower them. A key proposal says that presidents or members in consumer fora should be barred from pleading before them. This includes those who either held office in these fora or wielded administrative control there. It is an attempt to stop any unfair clout to be pedalled in the courts.
The Act by proposed amendment seeks to empower consumer courts to award “interest” to compensate consumers who suffer from prolonged court battles.
State commissions are to be given more power to be able to renew their own orders if they notice factual mistakes in the records. The powers of judicial magistrate first class will be more explicit under the amended Act.
Has the bill already passed?perhaps not!
mahendrakumar
(Querist) 19 December 2011
thanks prabhakarji.
" a contract or condition will be unconstituitional and illegal:if it is between two parties of unequal bargaining capacities,one sided and unfair to the weaker party,this part is the most significant one,I feel.
Raj Kumar Makkad
(Expert) 19 December 2011
This bill was introduced on 27th Aug 2010 before Rajya Sabha by a member there and it is still pending and has not been passed. I provide hereunder the entire version as available for your consideration and knowledge:
AS INTRODUCED IN THE RAJYA SABHA
ON THE 27TH AUGUST, 2010
2
STATEMENT OF OBJECTS AND REASONS
Generally, it has been observed that the people in rural areas get cheated more than
the people in urban or semi-urban areas.
Therefore the need to give protection to the consumers should not be restricted to
District levels only. Although, at present, it is not practical to establish tehsil or taluka
forums, yet, a day may come where governments will be compelled to establish forums,
below district levels.
If taking justice to the door-steps of the people is the motive of those who govern,
then justice conceptualized under the Consumer Protection Act, 1986, must also be the part
of that motive.
It is necessary that, the District Forums, at least hold their sittings in place in tehsil/
taluka from time to time.
Hence this Bill.
SHANTARAM LAXMAN NAIK
3
MEMORANDUM OF DELEGATED LEGISLATION
The proposed amendment envisages framing of Rules by the State Government to
carry out the objectives of the proposed provisions. The rules will relate to the matter of
details only.
The delegation of legislative power is of normal character.
4
ANNEXURE
EXTRACTS FROM THE CONSUMER PROTECTION ACT, 1986
(68 OF 1986)
* * *
14(3) Subject to the foregoing provisions, the procedure relating to the conduct of
the meetings of the District Forum, its sittings and other matters shall be such as may be
prescribed by the State Government.
* * *
GMGIPMRND—4349RS(S3)—27-08-2010.
RAJYA SABHA
————
A
BILL
further to amend the Consumer Protection Act, 1986.
————
(Shri Shantaram Laxman Naik, M.P.)
Guest
(Expert) 19 December 2011
Thanks to the experts for updation.
M V Gupta
(Expert) 19 December 2011
I feel that the bill does not strengthen the powers of the Fora der Section 25. the Fora should be conferred with powers to attach the property and bring them to sale as the DRTsare having. The complainants should not be driven to go the Collector to enforce the Orders passed by the Fora.
Guest
(Expert) 20 December 2011
I endorse the views of Shri M V Gupta.
