CONSUMER PROTECTION ACT 2019

The consumer protection act 2019 is the new amendment of the consumer protection act 1986. There are several changes and more in favor of the consumer. Add consumer-friendly services like e-filing of dispute and raising the pecuniary jurisdiction of district consumer courts to Rs 1 crore. The consumer protection act 2019 covers many new grounds and revise the consumer protection agenda to keep pace with the melodramatic changes that have taken place in the last three periods.

Important modifications introduced in the consumer protection act 2019-

1.    Spreading the latitude of the law to include online platform and direct sellers

2.     Establish the new consumer protection authority i.e. the central consumer protection authority.

3.    Newly codified laws.

These consumer-friendly requirements will go a long way in making the dispute perseverance process more reachable. 
 

Different between the old act and a new act-

The consumer protection act 2019 has not only increased the pecuniary limits of the commissions but has also introduced the changes that determining the pecuniary jurisdiction of the commission. Under the old act, the pecuniary jurisdiction was determined by the value of goods and services as well as compensation claimed whereas as per new act the pecuniary jurisdiction is determined by the value of goods and services paid as consideration.

Important changes in the new Consumer Protection Act 2019-

1.    The Central Consumer Protection Authority- under the old act of the consumer protection there is no prescribe authority or institution to prevent unfair trade practices and violation of the consumer rights whereas under the consumer protection act 2019 there is the establishment of the central regulatory body known as the central consumer protection authority to regulate and promote the right of the consumer and unfair trade practices. The central authority has the power to file a complaint under this act. These powers will allow the central authority to take action to prevent the rights of the consumers.

2.    Applicability to the product service provider, electronic service provider, and seconders- under the old act the aggrieved consumer could file the complaint against the manufacturer or trader of the purchased goods (which includes seller, distributor or packer of goods) and the service providers. Whereas the new act introduces two new definitions i.e. first one is the product service provider (one who services the purchases product/good) and the second one is the electronic service provider (one who provide technology or procedure to allow a product seller to involve in advertising or selling goods or services to a consumer).

3.    Jurisdiction- The act eliminates applied and logistical challenges, which prior discouraged the consumer from commencing actions, by deliberating jurisdiction where the complainant be located in and personally work for gain.

4.    Distended scope to include unfair contracts and product liability- The act makes liable to consumers to raise the claim relating to unfair trade practices and violation of consumer rights. 
 

It includes two main issues-

          •    Unfair contracts- In unfair contract, these terms are included-

           i.    Claim for disproportionate security deposits

           ii.   Negation to receive early repayment of debts  

           iii.    Inconsistent penalty

           iv.    Unilateral termination

           v.    Imposing unreasonable charges which give consumer disappointment.

           •    Product liability- The act imposes liability on manufacturer, seller, and product service provider for any harm caused due to defective products manufacture or sell by them or services provided by them.

5.    Exhausted scope for unfair trade practice- The act expands the scope of unfair trade practices that include violation of privacy.

Additional, a refusal to withdraw defective goods and deficient services and refusal of the consideration paid for such goods or services within a reasonable time period.

6.    Immediate resolution of Disputes- The central consumer protection authority empowered to take immediate action regarding unfair trade practices and violation of consumer rights. They have a right to file a complaint before the consumer dispute redressal commission at the district, state and national level and take step toward unfair trade practices. 

Conclusion:

The consumer protection act 2019 is a much-needed act for consumer welfare. To protect the consumer from being cheated and manipulated there is a need for this act. Establishment of the central body i.e. the central consumer protection authority is one of the important implementation done by the statutory body. The new act comes with various changes in providing consumer relief towards the hassle process of complaining. Consumer satisfaction is very important for the growth of the society as well as the country. 

Author:

eStartIndia Team