Legal Aspects of Corporate Business Submitted to, Dr. Daksha p. HOD OF DEPARTMENT OF COMMERCE SAURASTRA UNIVERSITY, RAJKOT

Consumer Protection Act 1968 SUBMITTED BY, Name :- Aljabina A Mansuri Roll No. :- 29 Sem :- 2 Saurastra University, Rajkot

Contents Introduction to CPA Meaning and Definition of Consumer Consumer Protection Laws in India Object of Consumer Protection Act 1986 Right of Consumer Need for consumer Protection act 1986 Complaints of Consumer Protection Consumer Protection Council Consumer Protection Forum Case study Conclusion

Consumer Protection Act, 1986 Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India. It make provision of the establishment of consumer councils and other authorities for the settlement of consumer’s disputes and for matters connected therewith also. Citation:- Act No. 68 of 1986 Enacted by :- Parliament of India Date commenced :- 24 December 1986

Meaning of consumer The consumer Protection Act defines a consumer as a person who buys goods or services for his/her use. Any user who uses the goods and services with the permission of the person who purchased the good or service is also defined as a consumer. The Act covers all goods and service including banking, ecommerce, telecom, insurance, electricity, transportation in the private and public sector.

Definition of consumer As par the consumer protection act 1986 the consumer define as under Buyer 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 partly paid or partly promised, or under any system of deferred payment.

Consumer Protection Laws in India Lok Sabha on 9th December, 1986 and Rajya Sabha on 10th December, 1986 and Assented by the president of the India on 24th December, 1986 and was Published in the Gazette of the India on 26th December, 1986. This act was enacted in the 37th year of the Republic of the India and was amended from time to time in the following years i.e., 1991, 1993 and 2002.

Objectives of CPA, 1986 To Protection of Right. Marketing of goods and services. Quality of goods. Price of the goods and services. To Protection of consumer Interest. To set up the council at the center and state level. To protect and give the speedy / simple redressal.

Rights of consumer Right to Safety Right to be Informed Right to Choose Right to be Heard Right to Consumer Education Right to Basic Needs Right to Seek Redressal

Right of Consumer Right to Safety :- To be protected against the marketing of goods or the provision of services that are risky to health and life. Right to Information:- The right to be informed about the quality, quantity, potency, purity, standard and price of goods or services. Right to choice:- This right every consumer has the right to choose the goods or services of his or her likings. The supplier not force the customer to buy a particular brand only. Right to be Heard :- This right the consumer has the right to represent him or to be heard or right to advocate his interest. Consumer has any complaint against the product or services then he has the right to be heard.

Count…… Right to Consumer Education:- This right it is the right of consumer to acquire the knowledge and skills to be informed to customers. It is easier for literate consumers to know their rights and take action. Right to Basic Needs:- Which guarantee survival, adequate food, clothing, shelter, health care, education and sanitation. Right to seek redressal:- This right the consumer has the right to get compensation redressal against unfair trade practices or any other exploitation. This right assures justice to consumer against exploitation.

Need for consumer Protection act 1986 Social Responsibility:- With this principle, it is the duty of producers and traders to provide right quality and quantity of goods at fair prices to the consumers. Increasing Awareness :- There are many consumer organisations and associations who are making efforts to build consumer awareness, taking up their up their cases at various levels and helping them to enforce their right. Consumer Satisfaction:- The businessmen should take every step to serve the interests of consumers by providing them quality goods and services at reasonable price.

Count…. Principle of Social Justice:- With this principle, it is expected from the manufacturers, traders and service providers to refrain from malpractices and take care of consumers interest. Principle of Trusteeship:- Resources are supplied by the society. They are merely the trustees of the resources and, therefore, they should use such resources effectively for the benefit of the society, which includes the consumers. Survival and Growth of Business:- The business has to serve consumer interests for their own survival and growth. On account of globalisation and increased competition, any business organisation.

Complaints of Consumer Protection As par the consumer protection act 1986 the consumer Complaints as under:- (A) The goods bought by him or agreed to be bought by him suffer from one or more defects, (B) Goods which will be risky life and safety when used are being offered for sale to the public, (C) An Unfair trade practice, or service provider; (D) Goods having defects (E) Service having deficiency (F) Excess price charged (G) Risky goods (H) Risky service

Consumer Protection Council Central Council State Council District Council

1.Central Consumer Protection Council Constitution: The Central Government by notification may form a council, knows as central consumer protection council. Composition:- It shall have 150 members namely: The Central Minister is chairman of central council. 8 MPs ( 5 from Lok Sabha and 3 from Rajiya Sabha.) The Commissioner for SC and ST. 20 Representative of the central government departments with consumer interest. 20 representative of the consumer. 10 representative of women. 20 representative of farmers, trade and industries. 15 members capable of representing consumer right. The Secretary of civil supplies shall be also the secretary of the central council.

Meeting & Object of Central Council Meeting of the Central Council. The council shall meet at least once in every year. The place and time of meeting may be decided by the Chairman. Objects:- The right against marketing of risky goods and services. The right against unfair trade practices. The right to get various goods and services at competitive prices. The right to be redressed against unfair trade practices.

2. State consumer protection Council Constitution:- The state Government may also set up by notification a council known as state consumer protection council. Composition:- It will have the state minister in charge of consumer affairs as the chairman and members nominated by the state government. Meeting:- It shall meet at least two time in every year. The time and place of the meeting is decide by the chairman. Objects:- The object of the state council is to promote and protect the consumer rights within the state.

3. District consumer protection Council Constriction:- The District may also establishment in every district of a council to be known as the district council. Composition:- It shall consist of the Collector of the district & other official and non-official members representing such may be state government. Meeting :- It shall meet at two meeting in every year. The time and place of the meeting is decided by chairman. Objects:- The objects of the District consumer protection council shall to promote and protect the consumer rights.

Consumer Forum A District Forum A State Forum A National Forum

One at District Level Forum Constitution:- It is set up by the State Government one at each district. Composition :- It shall have a president and 2 members, 1 of whom must be a woman. Appointment:- The 3 persons who appointed by state government on the recommendation of a selection committee, for 5 years with limit of 65 years. Jurisdiction:- This forum will have jurisdiction when the amount of compensation claimed is up to Rs. 20 lakhs. Who shall give complaint :- Complaint Regarding the Goods Complaint Regarding the Services.

One at State Level Forum Constitution:- It is set up by the state government by notification. Composition :- It shall have a president and 2 members 1 whom must be a woman. Appointment :- They are appointed by the state government on the recommendation of the selection committee of 3 person. Jurisdiction:- The jurisdiction of the state commission is limited to the extent of compensation value of above Rs. 5 Lakhs and up to Rs. 1 crore Power:- It has the powers of a civil court. Appeal:- The aggrieved party can appeal against the order of the state forum within 30 days from the date of the order in the national forum.

One at National Level Forum Constitution:- It is set up by the central Government by notification. Composition:- It shall have a president and 4 members, one of whom must be a woman. Appointment:- The president is appointed in consultation with the chief Justice of India and the other members are appointed by the recommendation of a selection committee is 1 chairman and 2 members. Place of office:- The office of this forum must be in the state of Delhi. Jurisdiction:- Its jurisdiction is limited to the extent of compensation value of above Rs. 1 crore and appeals against the orders of any state forum.

Count… Appeal :- Any person aggrieved by the order of National commission, may appeal against such order in the supreme court within 30 days from the date of the order. The actions taken in good Faith:- (A) Power to remove difficulties. (B) Power to make Rules.

Case Study of Consumer Protection The Complainant was using Vodafone prepaid number for 4 years. 18 months back he protect his number from Vodafone to Airtel connection. Thereafter, Airtel disconnected his number without any information on 16 / 11 / 2013. He made a complaint to the company’s customer care who informed him that the number is not registered with Airtel. He has been using this number for last 1 and half year but company told they have no records.

Interesting In Case Lately there are too many complaints against all Telecom operators that disconnection without any valid reason are effected for pre-paid consumers even after continuous usage of the connection by the consumer. At every step subscribers face hurdles namely. 1. Suddenly they lose connectivity, so no communication. 2. Registering complaints with customer care is almost impossible as he is not recognized as a subscriber. 3. For a pre-paid customer it is almost impossible to prove that he is a subscriber for the given service provider.

Conclusion Consumer protection act provide for better protection of the interest of consumer and for that purpose to make provision for the establishment of the consumer councils and other authorities for settlement on consumers disputes and for matters connected there with.

Thank you