Consumer Protection Law — India

Consumer Protection Act 2019 (CPA 2019)

Replaced the Consumer Protection Act 1986. Came into force 20 July 2020. Introduces e-commerce, product liability, mediation, and Central Consumer Protection Authority (CCPA).

Who is a "Consumer"?

A person who:

1.Buys goods for personal use (not for resale/commercial use)

2.Hires services for personal use (not for commercial purpose)

3.Beneficiary of goods/services bought by someone else

Not a consumer: Someone who buys goods for resale or for commercial manufacturing purposes.

Three-Tier Redressal Structure

NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION (NCDRC)
  — New Delhi
  — Pecuniary: complaints where value > ₹2 crore
  — Appeals from State Commission
        ↓
STATE CONSUMER DISPUTES REDRESSAL COMMISSION (SCDRC)
  — State level (each State has one)
  — Pecuniary: ₹1 crore to ₹2 crore
  — Appeals from District Commission
        ↓
DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION (DCDRC)
  — District level
  — Pecuniary: up to ₹1 crore
  — First forum for most consumer complaints

Appeal chain: District → State → National → Supreme Court (on questions of law)

What Can You Complain About?

•Defective goods — manufacturing defect, deterioration, impurity

•Deficient services — shortcoming, inadequacy, fault in services promised

•Unfair trade practices — false representation, misleading ads, fake discounts

•Restrictive trade practices — practices that manipulate prices/supply

•Overcharging — charging above MRP or agreed price

•E-commerce violations — fake reviews, non-delivery, fraud sellers

Product Liability (New in CPA 2019)

If a product causes harm, three parties can be held liable:

1.Product Manufacturer — defective design, inadequate instructions

2.Product Service Provider — incorrect repair/maintenance

3.Product Seller — sold knowingly defective product, altered product

Even if manufacturer is not at fault, seller can be liable if they exercised substantial control over product design.

CCPA — Central Consumer Protection Authority

New body created by CPA 2019:

•Powers: investigate, recall products, cancel licences, impose penalties

•Can take suo motu cognizance

•Chief Commissioner + Commissioners appointed by Centre

•Can issue safety notices, stop unfair trade practices

How to File a Consumer Complaint

Step 1: Send written notice to seller/service provider (try to resolve)

Step 2: If unresolved, file complaint with appropriate Commission

Step 3: Complaint must include: complainant details, opposite party details, facts, relief sought, supporting documents

Step 4: File within 2 years of cause of action (limitation period)

Online filing: e-DAAKHIL portal (edaakhil.nic.in)

E-Commerce Seller Obligations (New)

E-commerce platforms must:

•Display seller details, country of origin, price breakup

•Acknowledge complaints within 48 hours, resolve within 1 month

•Not manipulate prices or suppress reviews

•Provide return/refund policy clearly

Reliefs Available to Consumer

•Repair/Replace defective goods

•Refund of price paid

•Compensation for loss/injury suffered

•Removal of deficiency in service

•Punitive damages in appropriate cases

•Discontinuation of unfair trade practice

•Adequate costs to the complainant

Key Time Limits

Stage	Time Limit

|-------|-----------|

File complaint	Within 2 years of cause of action
Admission/rejection	Within 21 days of filing
Response from opposite party	30 days
Mediation attempt	5 days from referral
Final order	Ideally within 3–5 months

Practice Questions

Q1. A person buys a mixer-grinder from an e-commerce site. It stops working in 20 days. What can they do?

A: File a consumer complaint for defective goods under CPA 2019. First send legal notice, then file at District Consumer Commission (if value ≤ ₹1 crore). Relief: replacement or refund + compensation.

Q2. Can a company be a "consumer" under CPA 2019?

A: A company buying goods/services exclusively for personal use (not commercial) can qualify. But if the purchase is for commercial purpose, they are NOT a consumer.

Q3. What is the pecuniary jurisdiction of the State Commission?

A: ₹1 crore to ₹2 crore. Below ₹1 crore → District Commission. Above ₹2 crore → NCDRC.

Consumer Protection — Overview