The Consumer Protection
(Amendment) Act, 2002 will come into force on March 15, 2003
coinciding with the World Consumer Rights Day. Enacted originally
in 1986, the Consumer Protection Act was amended in 1991 and
1993 to make it more consumer friendly. The amended Act contains
ample provisions for large public interest making it more effective
and purposeful. The provisions of the Act aim at facilitating
quicker disposal of complaints, enhancing the capability of
redressal agencies, strengthening them with more powers, streamlining
the procedures and widening the scope of the Act to make it
more functional and effective.
Services used for
commercial purposes are excluded from the preview of consumer
courts enabling them to concentrate on providing relief to individual
consumers.
A number of provisions
have been included for quicker disposal of complaints by consumer
courts. The Act provides for creation of benches and appointment
of additional members in the National Commission and State Commission
and holding of circuit benches. Time frame has been prescribed
for admission of complaints, issue of notices and disposal of
complaints. Pecuniary limits of cases to be handled by consumer
courts at different levels have been revised whereby the limit
for District Forum has been raised from Rs. Five lakhs to Rs.
20 lakhs, State Commission from Rs. 20 lakhs to Rs one crore
and National Commission from above Rs. 20 lakhs to above Rs.
one crore.
Procedure for selection
of Members of the State Commission and President and Members
of District Forum has been streamlined to facilitate uninterrupted
selection and filling up of the vacancies promptly whenever
the need arises by making the sitting judge of the High Court
to preside over the Selection Committee when State Commission
President is absent. Provision has also been made to empower
the senior most member to perform as President in the absence
of the regular president of the National Commission, State Commission
and District Forum for the smooth functioning of these forums.
In order to make
Consumer Courts more capable, minimum qualifications have been
prescribed for members. Provision for reappointment for President
and members has also been incorporated in the Act. For widening
the scope of the Act, sale of spurious goods/services is included
in unfair trade practice besides widening the concept of unsafe
goods and extending it to services. Provision is made for making
complaints against service providers indulging in unfair/restrictive
trade practice, in the amended Act.
The Act further
provides for consumer courts to have powers of First Class Judicial
Magistrate to punish those not obeying the orders of the court.
Compensation amount ordered by the court can now be recovered
through certificate case as arrears of land revenue. According
to the Act, consumer courts can issue interim orders giving
the complainant immediate relief in deserving cases.
In order to streamline
the procedure, the amended Act provides for legal heir being
substituted if complainant/opposite party dies
The Act provides
for establishing a Consumer Protection Council at district level
and also make it a necessary requirement for Government to establish
District, State and Central level Councils. Besides, provision
has been made to enable nomination of upto 10 official or non-official
members to the State Councils by the Central Government.
The Consumer Protection
Act, 2002 is expected to greatly facilitate the working of the
consumer disputes redressal agencies in the country and help
in achieving speedy settlement of consumer disputes and strengthen
consumer movement at grass root level.
