[Answered] Discuss the need and significance of Consumer Protection Bill. How it will ensure justice to consumers?

The Consumer Protection Act, 1986 enforces rights of consumers, and provides for redressal of complaints at the district, state and national. Over the years, there have been challenges in the implementation of the Act.

Issues in consumer protection act 1986:

1. A high number of consumers are unaware of their rights under the 1986 Act due to ambiguities and complexities in the act.
2. While the disposal rate of consumer cases is high, the time taken for their disposal is very long. It took 12 months on an average to resolve a consumer case.
3. Act does not address consumer contracts between a consumer and manufacturer that contain unfair terms. In this context, the Law Commission of India had recommended that a separate law should be enacted in relation to unfair contract terms.

Key features of the Consumer Protection Bill, 2019:

1. Consumer definition: A person who buys any good or a service is considered as a consumer. A person who obtains a good for resale or a good or service for commercial purpose is not a consumer under it.  It covers transactions through all modes including offline, and online through electronic means, teleshopping, multi-level marketing or direct selling.
2. Rights of consumers: Bill have defined 6 consumer rights, including the right to:
   • be protected against marketing of goods and services which are hazardous to life and property;
   • be informed of the quality, quantity, purity, standard and price of goods or services;
   • be assured of access to a variety of goods or services at competitive prices;
   • seek redressal against unfair or restrictive trade practices.
3. Central Consumer Protection Authority: The central government will set up a Central Consumer Protection Authority (CCPA) to promote, protect and enforce the rights of consumers. It will regulate matters related to violation of consumer rights, unfair trade practices, and misleading advertisements. CCPA will:
   • inquire into violations of consumer rights,
   • passing orders to recall goods or withdraw services that are hazardous, reimbursement of the price paid, and discontinuation of the unfair trade practices,
   • issue directions to the concerned trader/manufacturer/ advertiser/publisher to either discontinue a false or misleading advertisement, or modify it;
   • impose penalties, and
   • issue safety notices to consumers against unsafe goods and services.
4. Penalties for misleading advertisement: The CCPA may impose a penalty on a manufacturer for a false or misleading advertisement.
5. Consumer Disputes Redressal Commission: Consumer Disputes Redressal Commissions (CDRCs) will be set up at the district, state, and national levels.  A consumer can file a complaint with CDRCs. 
6. Product liability: Product liability means the liability of a product manufacturer, service provider or seller to compensate a consumer for any harm or injury caused by a defective good or deficient service. To claim compensation, a consumer has to prove any one of the conditions for defect or deficiency, as given in the Bill.

Importance of the Consumer Protection Bill, 2019

1. It seeks to enhance the protection of consumers’ interests and timely settlement of their grievances.
2. Through Central Consumer Protection Authority (CCPA) it empower citizens to seek redressal at appropriate level.
3. It promote rights of consumers through punishment against misleading advertisements and adulteration of products.
4. Product liability provision to deter manufacturers and service providers from delivering defective products or deficient services will ensure safety and health of indian citizens.
5. It include redressal of complaints for online bought goods too.

Consumer protection Bill seeks to give consumers more power and justice by targeting not only consumer dissatisfaction but also misleading advertisements. This seek to further timely action consumer rights through appropriate mechanisms.