Consumer Protection - Class 12 Commerce Business Studies - Extra Questions

What are the measures taken by the Government of Tamil Nadu to protect consumers?

Measures taken by the Government of Tamil Nadu to protect the consumers are:
$$1$$. Establishment of citizen consumer clubs in every educational institution.
$$2$$. Providing consumer education to rural masses through women self-help groups/ Panchayat level federations and through Residents Welfare Associations in Urban Areas.
$$3$$. Generating awareness through sectoral workshops/seminars. Publication and distribution of monthly magazine. Under the caption, "Tamilnadu Nugarvor Kavasam".
$$4$$ Propagating consumer awareness message through Radio/Television Media and short video films.
$$5$$. With the motive of developing citizen as "Valuable consumer" various consumer organization are serving together with Government of Tamil Nadu in providing consumer education to general public.


Why is consumer protection required?

It is necessary to protect the rights of the consumers by the force of law. A consumer is always  on the receiving end and it is necessary to protect their rights as against the unfair trade practices of the Co. from which they avail services.
Most Consumers buy goods and services after being lured by the advertisements done by the Companies. These advertisements exaggerates the contents and quality of the product or services. 
Therefore, in order to protect the legitimate rights of the consumers consumer protection laws are required.


Name the quarterly journal published by Government of India on consumer awareness.

Upbhokta jagran


Bhuvan saw an advertisement in the newspaper regarding a steam iron and ordered for the purchase of the same to shopkeeper. What will be his responsibilities as a consumer so that he should not be exploited by the shopkeeper? 
Write any four such responsibilities.

Following are the responsibility of Bhuvan- (any four)

  • The Responsibility to be aware of the quality and safety of goods and services before purchasing.
  • The Responsibility to gather all the information and facts available about a product or service as well as to keep abreast of changes and innovations in the marketplace.
  • The Responsibility to Think Independently and make choices about well considered needs and wants.
  • The Responsibility to Speak Out, to inform manufacturers and governments of needs and wants.
  • The Responsibility to Complain and inform business and other consumers of dissatisfaction with a product or service in a fair and honest manner.
  • The Responsibility to be an Ethical Consumer and to be fair by not engaging in dishonest practices which cost all consumers money.
  • The Responsibility to Respect the Environment and avoid waste, littering and contribution to pollution.


What can serve as a proof of purchase made for filing a complaint against defective good? 

Cash memo


What is the need for consumer protection?

Consumer protection is needed because of following:

1. We need physical protection of the consumer, for example protection against products that are unsafe or dangerous to his health and welfare.

2. Consumer want protection against deceptive and unfair trade and market practices.

3. Consumers protection is needed against all types of pollution so that they can enjoy a healthy environment-free from water, air and food pollution.

4. Consumer protection is also needed against the abuse of monopolistic and restrictive trade practices. Protection delayed is protection denied.





Joseph had got a confirmed ticket of Jet Airways. The flight was later canceled on account of the technical problem. Is it a deficiency in service?        
What relief can Joseph seek in this regard?

Cancellation of flight on account of technical problem is not deficiency in service as it is due to unavoidable circumstances. However, Joseph can ought to be allowed refund of the fare but no compensation can be granted on account of any loss suffered by Joseph (if any) because of the said cancellation.


Name the institute which issues eco-mark.

Ecomark. Eco mark is a certification mark issued by the Bureau of Indian Standards (the national standards organization of India) to products conforming to a set of standards aimed at the least impact on the ecosystem. The marking scheme was started in 1991. This is not a mandatory quality mark but is advisory.


Explain the importance of consumer protection from the point of view of a business.

An analysis of marketing management has made it clear that consumer is a king pin in the market. The producer should produce goods keeping in mind the requirements of consumers and satisfy the consumer but it is observed that this obligation is neglected by some businessmen and they are involved in the unfair practices such as supply of substandard quality, adulteration etc. So there is need for consumer protection. Hence consumer protection means protecting the interest of consumer. Consumer protection is very wide. It includes rights, responsibilities and various remedies available to consumers. It is not only beneficial for consumer but it is equally important for businessmen also.
 Consumer protection provides following benefits to businessmen:
1. Long Term Interest of Business:
After the liberalisation and globalisation the level of competition has increased so much that not only internal but business has to face international competition. In the race of competition the businessmen can win and capture a big share in the market only when they are able to satisfy its customers by designing the products keeping in mind the requirements of customers. The businessmen who ignore the interest and satisfaction of customers lose their goodwill and clients. So it is in interest of business itself to keep its customers satisfied.
2. Businessman Uses Society’s Resources:
Businessmen use the resources of society. They earn profit by supplying goods and services to the members of society so it must do something for society. Businessmen are merely trustee of resources; they must use these resources for the benefits of consumers.
3. Social Responsibilities:
A businessman has social obligations towards various groups and customer is one of the important groups. It is responsibility of businessmen to provide quality goods at reasonable price. Consumer protection guides businessmen to provide social responsibilities.
4. Moral/Ethical Justification:
Traditionally ethics was part of profession only, but today ethics is playing very important role in business also. The ethics or a moral value practiced by the businessmen adds glory to businessmen. In today’s environment business without ethical value is not more than a criminal activity and no civil society can tolerate and allow the existence of unethical business.
5. Government Intervention:
If businessmen want to avoid intervention of government then they should not involve in unfair trade practices. Government intervention may spoil the image of business. Businessmen should voluntarily involve in the activities which protect the interest of consumer.
6. Consumer is the Purpose of Business:
The basic purpose of business is to create more and more customers and retain them and businessmen can create more customers only by satisfying the customers and protecting the interest of consumer. The customer is the foundation of business.


What are the responsibilities of a consumer?

Various efforts have been made by government and non-government organisations to protect the interest of consumer but exploitation of consumer will stop only when consumer himself will come forward to safeguard his own interest. Consumers have to bear some responsibilities which are given below:
1. Consumer must Exercise his Right:
Under Consumer Protection Act the consumer is granted various rights such as right to safety, right to choose, right to be heard etc. but these rights will be useful only when consumer exercises these rights. The consumer must select the product according to his preferences, he must file a complaint if he is not satisfied with the quality of product, he must be aware of his rights and exercise them whenever required.
2. Cautious Consumer:
The consumer should not blindly believe on the words of seller. He must insist on getting full information on the quality, quantity, utility, price etc. of the goods or services.
3. Filing Complaints for the Redressal of Genuine Grievances:
Most of the time consumer ignores the loss he suffers on purchase of defective good or service but this attitude of not filing complaint encourages the corrupt businessmen to supply low standard or defective goods and services.The consumer must file a complaint even for a small loss. This awareness among consumers will make the sellers more conscious to supply quality product. Whenever consumer is filing a complaint it must be genuine. The consumer should not exaggerate the loss or defects of goods.
4. Consumer must be Quality-Conscious:
The problems of supply of substandard goods, adulterated products and duplicate products can be solved only when consumer himself stops compromising the quality of product. While purchasing the goods or services consumer must look for quality marks such as ISI mark, Agmark, ISO, Wool Mark, etc.
5. Do not be carried away by Advertisements:
The advertisements often exaggerate the qualities or features of product or service. The consumer must compare the actual use of product with the use shown in advertisement and whenever there is any discrepancy or difference it must be brought to the notice of sponsor of advertisement and insist to stop showing exaggerated qualities.
6. Insist on Cash Memo:
To file a complaint the consumer needs the evidence of purchase, and cash memo is the evidence or proof that consumer has paid for the goods or service. A seller is bound to give a cash memo even if buyer does not ask for it. To file a complaint and get compensation the consumer must ask for cash memo.
7. Form consumer societies which could play an active part in educating consumers and safeguarding their interest.
8. Respect the environment; avoid waste littering and contribution to pollution.
9. Discourage black marketing, hoarding and choose only legal goods and services.
10. Be aware of variety of goods and services available in market.


What kind of cases can be filed in a State Commission?

Subject to the other provisions of this Act, the State Commission shall have jurisdiction-
  •  Pecuniary Jurisdiction
Complaints where the value of the goods or services and compensation, if any, claimed exceeds rupees twenty lakhs but does not exceed rupees one crore, then it comes under the pecuniary jurisdiction of State Commission. It may be noted that prior to amendment the pecuniary jurisdiction of state commission was upto 20 lakhs. By the Consumer Protection (Amendment) Act, 2002, the jurisdiction of the State Commission has been increased to Rs. 1 Crore. The change is likely to be beneficial to the consumer. It will reduce the number of complaints to the National Commission.
  •  Territorial Jurisdiction
A complaint shall be instituted in a State Commission within the limits of whose jurisdiction:
(a) the opposite party or each of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides or carries on business or has a branch office or personally works for gain; or
(b) any of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides, or carries on business or has a branch office or personally works for gain, provided that in such case either the permission of the State Commission is given or the opposite parties who do not reside or carry on business or have a branch office or personally work for gain, as the case may be, acquiesce in such institution; or
(c) the cause of action, wholly or in part, arises.
  •  Appellate Jurisdiction (Section 15)
Section 15 of the Act gives the right to prefer an appeal to the state commission within a period of thirty days from the date of order of the District Forum to any person who has been aggrieved by the order. The time limit may be extended by the state commission on showing sufficient cause. The person making an appeal should deposit 50% of the decreed amount or Rs.25000/- whichever is less. This requirement has been introduced by the Consumer Protection (Amendment) Act, 2002.



Explain the role of consumer organisations and NGOs in protecting and promoting consumers' interests.

Functions performed by consumer organizations and non-government organizations are as follows:
(1) Accelerating Consumer Awareness/Educating Consumers:
The first priority of a consumer organisation is to accelerate consumer awareness towards their rights. To accomplish this task following efforts are made:
(i) To publish brochures, journals and monographs.
(ii) To arrange conferences, seminars and workshops.
(iii) To educate consumers to help themselves.
(iv) To provide special education to women about consumerism.
(v) To encourage to follow desirable consumption standards.
(2) Collecting Data on Different Products and testing them:
These organisations collect samples of different products from time to time and test them. After that the results of the tests are declared to public. In this way, these organisations provide prior information to consumers about the authenticity of product and protect them. Apart from this, these organisations also work in conducting investigation/ research on consumer’s problems.
(3) Filing Suit on Behalf of Consumers:
Whenever a consumer fails to raise his voice of protest regarding his complaints, these consumers’ organisations come to his rescue and file a case in the court. By rendering this service to the consumers, the consumers get a feeling that they are not alone in their struggle. They also run voluntary complaint centres for the guidance of consumers.
(4) Organising Protests against Adulteration etc.:
The consumers’ organisations play a significant role in eliminating the evils of adulteration, hoarding, black- marketing, and under-weight selling. Whenever there is an unnecessary rise in the prices of certain things, the consumers’ organisation raise a voice of protest against it. Consumer organisations prepare films and cassettes related to adulteration in food products, ill effects of medicines and Acts related to consumer protection. Many a times exhibitions are arranged to bring awareness among the consumers against spurious and adulterated products. Nowadays consumer organisations are playing a major role in encouraging consumers to raise their voice against faulty and inferior products.
(5) Helping Educational Institutions:
These organisations tell the educational institutions the way to prepare courses of study keeping in view the interests of the consumers. They stress the fact that a special article on consumers’ interest should always be added to the courses on general study.
(6) Promoting Network of Consumer Associations:
Consumer organisations are trying to grow their numbers. They want to cover all the regions of the country so that consumers of all the regions are benefited by their services. Their effort is to form a federation at the apex level and then through the medium of the federation reach state and district level.
(7) Extending Support to Government:
Consumer organisations by informing the government agencies about adulteration, artificial scarcity, inferior quality products and other such evils help the government. This in turn helps the government to conduct proceedings in time.

In this way we find that the consumers’ organisations play a significant role in providing protection to the consumers.


Who can file a complaint in a consumer court?

A dissatisfied consumer can file a complaint directly with the national commission or appeal against decisions of the state commission within a month from the date of the order. The courtfee is Rs 5,000 and the demand draft should be in the name of The Registrar, National Consumer Disputes Redressal Commission.


Explain the need of consumer protection.

Under the modem philosophy of marketing, consumer is supposed to be the king and business is expected to provide maximum possible satisfaction to consumers. But in reality, consumers are often exploited. In a country like India there is shortage of many products. A few firms enjoy monopoly powers in the market place. A large majority of consumers are ignorant and illiterate and do not know their rights. They are poor and there is lack of unity among them. Due to all these reasons, consumers are often deprived of their rights. They are often exploited through misleading advertisements, poor quality goods, fractional weights and measures, overcharging, etc.

Consumer Protection is necessary due to the following reasons:
1. It gets materials, manpower, machinery and other resources from society. Therefore, it is obliged to supply the right products at reasonable prices to the public.
2. It is the moral responsibility of business to protect and promote the interests of consumers.
3. The basic function of business is to satisfy the needs and expectations of consumers. It is through consumer satisfaction that business can earn profits and continue operations in the long run.
4. The Government of India is committed to the welfare of general public by encouraging fair trade practices.
5. Education and information through newspapers, radio and television has made people conscious of their rights as consumers.


Give three points showing the importance of consumer protection.

Consumer protection is very wide. It includes rights, responsibilities and various remedies available to consumers. It is not only beneficial for consumer but it is equally important for businessmen also.

1. Consumer Ignorance:
Consumer protection provides information to the ignorant customers regarding rights and remedies available to them. It spreads awareness so that consumer can know about the various redressal agencies where they can approach to protect their interests.

2. Unorganized Consumers:
In developing countries like India, consumers are not organised. There are very few consumer organisations which are working to protect the interests of consumers. Consumer’s protection encourages establishment of more consumer organisations. Consumer protection provides power and rights to these organisations as these organisations can file case behalf of customers.

3. Widespread Exploitation of Consumers:
Although nowadays consumer is the king pin of market but then also there is lot of exploitation of consumers as businessmen use various unfair trade practices to cheat and exploit consumers. Consumer protection provides safeguard to consumers from such exploitation.


Explain the role of press in consumer protection?

Media in all its form, print or electronic, is a mirror of the times and society we live in. It connects us to the world and the world to us. Media plays a very useful role in setting up good or amicable relations between traders and buyers. It has become a silent opinion maker and hence, it is working on a larger plane than any other institution.
So, it is important that media should work in a judicious manner.
Some suggestions for what should be the role of media for consumer protection and welfare against various exploiting elements are as follows
(i) An independent and free media is necessary in a democracy as it ensures the accountability of the government.
(ii) The media should play its role in empowering the consumers through consumer education and also highlighting various unfair trade practices resorted to by the traders and service providers.
(iii) There has to be a check on misleading
advertisements, however, the media has to self regulate itself.
(iv)The print media should have regular columns which should contain the various decisions of the consumer courts.
(v) The Departments of Journalism and Mass Communication in various Universities may include Consumer Protection and Consumer Welfare in their syllabus for under graduate and post graduate courses.
(vi)In order to disseminate information about consumer rights by organising various campaigns on this, the new media can serve as an effective platform.
In the current past, media has undertaken the job of consumer education and fighting against exploitation of consumers.


List any three consumer organisations in India.

Consumer organisation of india-
(a)- Voluntary Organization in Interest of Consumer Education(VOICE)
(b)- Consumer Care Society
(c)- Citizen consumer and Civic Action Group (CAG)


Explain any three responsibilities of a consumer.

Consumers have to bear some responsibilities which are given below: 

1. Consumer must Exercise his Right:
Under Consumer Protection Act the consumer is granted various rights such as right to safety, right to choose, right to be heard etc. but these rights will be useful only when consumer exercises these rights. The consumer must select the product according to his preferences, he must file a complaint if he is not satisfied with the quality of product, he must be aware of his rights and exercise them whenever required.

2. Cautious Consumer:
The consumer should not blindly believe on the words of seller. He must insist on getting full information on the quality, quantity, utility, price etc. of the goods or services.

3. Filing Complaints about the Redressal of Genuine Grievances:
Most of the time consumer ignores the loss he suffers on purchase of defective good or service but this attitude of not filing complaint encourages the corrupt businessmen to supply low standard or defective goods and services.


What are various ways in which the objective of consumer protection can be achieved? Explain the role of consumer organisations and NGOs in this regard.

Functions performed by consumer organizations and non-government organizations are as follows:
(1) Accelerating Consumer Awareness/Educating Consumers:
The first priority of a consumer organisation is to accelerate consumer awareness towards their rights. To accomplish this task following efforts are made:
(i) To publish brochures, journals and monographs.
(ii) To arrange conferences, seminars and workshops.
(iii) To educate consumers to help themselves.
(iv) To provide special education to women about consumerism.
(v) To encourage to follow desirable consumption standards.
(2) Collecting Data on Different Products and testing them:
These organisations collect samples of different products from time to time and test them. After that the results of the tests are declared to public. In this way, these organisations provide prior information to consumers about the authenticity of product and protect them. Apart from this, these organisations also work in conducting investigation/ research on consumer’s problems.
(3) Filing Suit on Behalf of Consumers:
Whenever a consumer fails to raise his voice of protest regarding his complaints, these consumers’ organisations come to his rescue and file a case in the court. By rendering this service to the consumers, the consumers get a feeling that they are not alone in their struggle. They also run voluntary complaint centres for the guidance of consumers.
(4) Organising Protests against Adulteration etc.:
The consumers’ organisations play a significant role in eliminating the evils of adulteration, hoarding, black- marketing, and under-weight selling. Whenever there is an unnecessary rise in the prices of certain things, the consumers’ organisation raise a voice of protest against it. Consumer organisations prepare films and cassettes related to adulteration in food products, ill effects of medicines and Acts related to consumer protection. Many a times exhibitions are arranged to bring awareness among the consumers against spurious and adulterated products. Nowadays consumer organisations are playing a major role in encouraging consumers to raise their voice against faulty and inferior products.
(5) Helping Educational Institutions:
These organisations tell the educational institutions the way to prepare courses of study keeping in view the interests of the consumers. They stress the fact that a special article on consumers’ interest should always be added to the courses on general study.
(6) Promoting Network of Consumer Associations:
Consumer organisations are trying to grow their numbers. They want to cover all the regions of the country so that consumers of all the regions are benefited by their services. Their effort is to form a federation at the apex level and then through the medium of the federation reach state and district level.
(7) Extending Support to Government:
Consumer organisations by informing the government agencies about adulteration, artificial scarcity, inferior quality products and other such evils help the government. This in turn helps the government to conduct proceedings in time.

In this way we find that the consumers’ organisations play a significant role in providing protection to the consumers.


Explain briefly the meaning of 'consumer' with reference to Consumer Protection Act 1986.

As per consumer protection act 1986, A Consumer is a person who purchases a product or avails a service for a consideration, either for his personal use or to earn his livelihood by means of self-employment. The consideration may be:
Paid  Promised  Partly paid and partly promised. It also includes a beneficiary of such goods/services when such use is made with the approval of such person.


Which type of complaints can be lodged by the consumer?

In a Consumer Forum, different types of complaints can be registered online. The complaints can be of any types ranging from false bank charges, defective products, online shopping,defective services, fraudulent services etc. Bhonko is one such leading platform where consumers can post complaints most effectively. Consumers get valuable feedback's from several leading experts.


What are various ways in which the objective of consumer protection can be achieved? 
Explain the role of consumer organisations and NGOs in this regard.

There are various ways in which the objective of consumer protection can be achieved -
 (1)-Self Regulation by Business Socially responsible firms follow ethical standards and practices in dealing with their customers. Many firms have set up their customer service and grievance cells to redress the problems and grievances of their consumers.
 (2)- Business Associations The associations of trade, commerce and business like Federation of Indian Chambers of Commerce of India (FICCI) and Conference of Indian Industries (CII) have laid down their code of conduct which lays down for their members the guidelines in their dealings with the customers. 
(3) Consumer Awareness A consumer, who is well informed about his rights and the reliefs, would be in a position to raise his voice against any unfair trade practices or exploitation 
(4) Consumer Organisations Consumer organisations plays an important protecting role in educating consumers about their rights and them. These organisations can force business firms to avoid malpractices and exploitation of consumers.

Functions performed by consumer organizations and non-government organizations are as follows:
(1) Accelerating Consumer Awareness/Educating Consumers.
The first priority of a consumer organisation is to accelerate consumer awareness towards their rights. To accomplish this task following efforts are made:

(i) To publish brochures, journals, and monographs.

(ii) To arrange conferences, seminars, and workshops.
(2) Collecting Data on Different Products and testing them:
These organisations collect samples of different products from time to time and test them. After that, the results of the tests are declared to the public. In this way, these organisations provide prior information to consumers about the authenticity of product and protect them. Apart from this, these organisations also work in conducting investigation/ research on consumer’s problems.
(3) Filing Suit on Behalf of Consumers:

Whenever a consumer fails to raise his voice of protest regarding his complaints, these consumers’ organisations come to his rescue and file a case in the court. By rendering this service to the consumers, the consumers get a feeling that they are not alone in their struggle. They also run voluntary complaint centers for the guidance of consumers.

(4) Organising Protests against Adulteration etc.:

The consumers’ organisations play a significant role in eliminating the evils of adulteration, hoarding, black- marketing, and under-weight selling. Whenever there is an unnecessary rise in the prices of certain things, the consumers’ organisation raise a voice of protest against it.
(5) Helping Educational Institutions:

These organisations tell the educational institutions the way to prepare courses of study keeping in view the interests of the consumers. They stress the fact that a special article on consumers’ interest should always be added to the courses on a general study.

(6) Promoting Network of Consumer Associations:

Consumer organisations are trying to grow their numbers. They want to cover all the regions of the country so that consumers of all the regions are benefited by their services. Their effort is to form a federation at the apex level and then through the medium of the federation reach state and district level.

(7) Extending Support to Government:

Consumer organisations by informing the government agencies about adulteration, artificial scarcity, inferior quality products, and other such evils help the government. This, in turn, helps the government to conduct proceedings in time.



Why is consumer protection required in India?

    Following are the reasons for establishing consumer protection in India-
    An “unfair trade practice” means a trade practice, which, for the purpose of promoting any sale, use or
    supply of any goods or services, adopts an unfair method, or unfair or deceptive practice. Some of these practices
    include:
    1. False Representation
    •  When goods and services are not of stated standard, quality or grade;
    •  When the second hand, renovated goods are sold as new ones;
    •  When the seller does not have the required sponsorship, approval, affiliation;
    •  When goods and service do not have the claimed use, usefulness or benefit;
    •  When products/services do not have the claimed warranty/guarantee;
    2. When the price of a product or service is misleading.
    3. False and Misleading Advertisement for selling at a Bargain price.
    4. Offering gifts, prizes, etc. to lure customers with no intention of providing them.
    5. Selling goods which do not fall within the safety standards set up by a competent authority.
    6. Hoarding or destroying goods with the intention of raising the cost of these or similar goods manufactured in
    greater number so as to manipulate higher prices.
    7. Manufacturing or offering spurious goods or adopting deceptive practices in the provision of services.


    Explain in brief the following rights:
    (a) Right to representation
    (b) Right to information
    (c) Right to make a choice

    (a) Right to representation- effective representatives can describe what their constituency does (not just what they themselves do), how they do it, when they do it and why. They can either see how their constituency’s knowledge and experience relates to that of the others at the table or they can work towards an understanding of those relativities and relationships. 

    (b) Right to be Informed Every consumer has a right to be informed about the ingredients, date of manufacturing, expiry date, quantity, directions for use, etc (to be put on the label of product).

    (c) Right to be Informed The consumer has a right to have complete information about the product, he intends to buy including its ingredients, date of manufacture, price, quality, quantity, directions for use, etc


    List the various reliefs available to consumer on his complaints.

    In India, the Consumer Protection Act was enacted in 1986 to give speedy, inexpensive and accessible redressal machinery for the benefit of the Consumers. A three tier system of Consumer Disputes Redressal machinery has been established for the purpose of this Act.

    • District Forum in every district.
    • State Commission in each state.
    • National Commission at New Delhi.

    District Forum has pecuniary jurisdiction upto Rs 5 lakhs. State Commission has Original jurisdiction above Rs 5 lakhs upto Rs 20 lakhs and Appellate jurisdiction. National Commission has Original jurisdiction above 20 lakhs and Appellate jurisdiction.


    Explain the responsibilities of consumers.

    Responsibilities of a consumer are as follows:

    • The Responsibility to be aware of the quality and safety of goods and services before purchasing.

    • The Responsibility to gather all the information and facts available about a product or service as well as to keep abreast of changes and innovations in the marketplace.

    • The Responsibility to Think Independently and make choices about well-considered needs and wants.

    • The Responsibility to Speak Out, to inform manufacturers and governments of needs and wants.

    • The Responsibility to Complain and inform business and other consumers of dissatisfaction with a product or service in a fair and honest manner.

    • The Responsibility to be an Ethical Consumer and to be fair by not engaging in dishonest practices which cost all consumers money.

    • The Responsibility to Respect the Environment and avoid waste, littering and contribution to pollution.


    Explain ways and means of consumer protection.

    Main means of consumer protection are as under 
    1. Self Regulation by Business: Every firm insists to have a strong consumer base which means that more and still more people should buy their products. This is possible only when the consumers are fully satisfied with the products of the firm. Many firms have set up their customer service and grievance cells to redress the problems and grievances of their consumers.
    2 Business Associations: Business associations prepare a code of conduct for businessmen It is laid down in the code of conduct as to how businessmen are expected to behave with the consumers. For example, the Federation of Indian Chambers of Commerce and Industries (FICCI) and the Confederation of Indian Industries (CII) have proposed their code of conduct which governs the attitude of their members towards consumers. 
    3. Consumer Awareness: As an important means of consumer protection, consumer should protect himself. He should be alert in the matter of his rights. Alert consumer alone can demand his rights from the sellers. Thus, the consumer himself must know his rights and raise voice against unfair practices of the sellers. 
    4 Consumer Organisations: Consumer organizations play an important role in educating consumers about their rights and providing protection to them. These organizations can force business firms to avoid malpractices and exploitation of consumers. 
    5. Government: Interests of the consumers are protected by the government by enacting various legislations. Consumer Protection Act 1986 is an important legislation by the government to provide protection to the affected consumer. This Act provides for a three tier machinery.


    What are the salient features of consumer protection act?

    Salient features of the consumer protection act are as follows:

    • Coverage of Items:
    This Act is applicable on all the products and services, until or unless any product or service is especially debarred out of the scope of this Act by the Central Government.

    • Coverage of Sectors:
    This Act is applicable to all areas whether private, public, or cooperative.

    • Compensatory Nature of Provisions:
    Many Acts have been passed for the help of consumers. Consumers enjoy the benefits of these Acts but if a consumer wishes the Consumer Protection Act can provide extra help. As a result, the nature of provisions of this Act is compensating for the loss or providing extra help. The consumer is totally free to enjoy the benefits provided in the Act.

    • Group of Consumer’s Rights:
    This Act provides many rights to consumers. These rights are related to safety, information, choice, representation, redressal, education, etc.

    • Effective Safeguards:
    This Act provides safety to consumers regarding defective products, dissatisfactory services, and unfair trade practices. So under the purview of this Act, there is a provision to ban all those activities which can cause a risk for the consumer.

    • Three-tier Grievances Redressal Machinery:
    Consumer courts have been established so that consumers can enjoy their rights. This Act presents Three-tier Grievances Redressal Machinery:
    (i) At District Level-District Forum
    (ii) At State Level -State Commission
    (iii) At National Level – National Commission.


    Explain the rights of consumer.

    The main rights of consumers are as follows:

    1. Right to safety:
    Consumers have the right to be protected against the marketing of goods which are hazardous to life and health. Food additives and colours, dangerous toys, flammable fabrics, unsafe appliances are examples of such goods. Consumers are entitled to healthy and safe products.

    2. Right to information:
    It means the right to be informed about the quality, quantity, potency, purity, standard and the price of goods so as to protect the consumers against unfair trade practices.

    3. Right to choose:
    Consumers must have access to a variety of goods at competitive prices. Free competition and wide variety enable consumers to choose the best goods.

    4. Right to be heard:
    Consumers need to be assured that their interests will receive due consideration at appropriate forums.

    5. Right to education:
    Consumers have the right to be made aware of their rights and remedies available to them for redressal of their grievances.

    6. Right to redressal:
    Standing machinery must be provided for quick and satisfactory redressal of consumer grievances against unfair trade practices and exploitation by unscrupulous elements.

    7. Right to healthy environment:
    Consumers have the right to live in a pollution free environment. This is necessary to enhance the quality of human life.


    Explain the role of consumer organisations or NGOs in consumer protection.

    Functions performed by consumer organizations and non-government organizations are as follows:
    (1) Accelerating Consumer Awareness/Educating Consumers:
    The first priority of a consumer organisation is to accelerate consumer awareness towards their rights. To accomplish this task following efforts are made:
    (i) To publish brochures, journals and monographs.
    (ii) To arrange conferences, seminars and workshops.
    (iii) To educate consumers to help themselves.
    (iv) To provide special education to women about consumerism.
    (v) To encourage to follow desirable consumption standards.
    (2) Collecting Data on Different Products and testing them:
    These organisations collect samples of different products from time to time and test them. After that the results of the tests are declared to public. In this way, these organisations provide prior information to consumers about the authenticity of product and protect them. Apart from this, these organisations also work in conducting investigation/ research on consumer’s problems.
    (3) Filing Suit on Behalf of Consumers:
    Whenever a consumer fails to raise his voice of protest regarding his complaints, these consumers’ organisations come to his rescue and file a case in the court. By rendering this service to the consumers, the consumers get a feeling that they are not alone in their struggle. They also run voluntary complaint centres for the guidance of consumers.
    (4) Organising Protests against Adulteration etc.:
    The consumers’ organisations play a significant role in eliminating the evils of adulteration, hoarding, black- marketing, and under-weight selling. Whenever there is an unnecessary rise in the prices of certain things, the consumers’ organisation raise a voice of protest against it. Consumer organisations prepare films and cassettes related to adulteration in food products, ill effects of medicines and Acts related to consumer protection. Many a times exhibitions are arranged to bring awareness among the consumers against spurious and adulterated products. Nowadays consumer organisations are playing a major role in encouraging consumers to raise their voice against faulty and inferior products.
    (5) Helping Educational Institutions:
    These organisations tell the educational institutions the way to prepare courses of study keeping in view the interests of the consumers. They stress the fact that a special article on consumers’ interest should always be added to the courses on general study.
    (6) Promoting Network of Consumer Associations:
    Consumer organisations are trying to grow their numbers. They want to cover all the regions of the country so that consumers of all the regions are benefited by their services. Their effort is to form a federation at the apex level and then through the medium of the federation reach state and district level.
    (7) Extending Support to Government:
    Consumer organisations by informing the government agencies about adulteration, artificial scarcity, inferior quality products and other such evils help the government. This in turn helps the government to conduct proceedings in time.

    In this way we find that the consumers’ organisations play a significant role in providing protection to the consumers.


    What types of judicial machinery is available to deal with consumer grievances and disputes?

    Judicial machinery at the district, state and national levels was set up under the COPRA for the redressal of consumer disputes.
    A three-tier system of Consumer Disputes Redressal machinery has been established for the purpose of this Act.

    • District Forum in every district.
    • State Commission in each state.
    • National Commission at New Delhi.


    What are the remedies available to consumers under the Consumer Protection Act 1986?

    Under this Act, the remedies available to consumers are as follows:
    (a) Removal of Defects;
    (b) Replacement of Goods;
    (c) Refund of Price;
    (d) Award of Compensation;
    (e) Removal of Deficiency in Service;
    (f) Discontinuance of Unfair/Restrictive Trade Practice;
    (g) Stopping the Sale of Hazardous Goods.


    Who is a Consumer?

    Any individual who purchases products or services for his personal use and not for manufacturing or resale is called a consumer. A consumer is one who is the decision-maker whether or not to buy an item at the store or someone who is influenced by advertisement and marketing. Every time someone goes to a store and buys a shirt, toy, beverage, or anything else, they make a decision as a consumer. Consumer refers to any person who purchases some goods for a consideration that has been either paid or promised to pay or partly paid and partly promised.
    According to the Act, a consumer’s definition is who:
    • buys goods or hires any service
    • uses the goods or hires any service with the approval of any buyer or service provider
    • uses goods and services to earn a livelihood by self-employment.


    Mention when as a consumer you are not in a position to resolve your grievance under Consumer Protection Act.

    As a consumer we are not in position to resolve our grievances when consumer have not fulfilled the responsibilities of consumer. When consumer lacks in performing his own liability then no seller will be responsible for any wrong choice made by the seller.


    Explain all the rights of consumers.

    The following are the rights available to consumers:
    • Right to safety- means the right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs but also fulfill long-term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI, AGMARK, etc
    • Right to choose means the right to be assured, wherever possible of access to a variety of goods and services at a competitive price. In the case of monopolies, it means the right to be assured of satisfactory quality and service at a fair price. It also includes the right to basic goods and services. This is because the unrestricted right of the minority to choose can mean a denial for the majority of its fair share. This right can be better exercised in a competitive market where a variety of goods are available at competitive prices
    • Right to be informed means the right to be informed about the quality, quantity, potency, purity, standard, and price of goods so as to protect the consumer against unfair trade practices. Consumers should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high-pressure selling techniques.
    • Right to consumer education means the right to acquire the knowledge and skill to be an informed consumer throughout life. Ignorance of consumers, particularly of rural consumers, is mainly responsible for their exploitation. They should know their rights and must exercise them. Only then real consumer protection can be achieved with success.
    • Right to be heard means that consumers' interests will receive due consideration at appropriate forums. It also includes the right to be represented in various forums formed to consider the consumer's welfare. The Consumers should form non-political and non-commercial consumer organizations which can be given representation in various committees formed by the Government and other bodies in matters relating to consumers.
    • Right to Seek redressal means the right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers. It also includes the right to fair settlement of the genuine grievances of the consumer. Consumers must make complaints about their genuine grievances. Many times their complaint may be of small value but its impact on society as a whole may be very large. They can also take the help of consumer organizations in seeking redressal of their grievances.


    Amita filed a case against 'Mahindra Ltd.' in the 'National Commission'. But she was not satisfied with the orders of the 'National Commission'. Name the authority where she can appeal against the decisions of the 'National Commission'.

    Where the aggrieved party was not satisfied with the order of the National Commission, can be taken to the Supreme Court of India.
    Hence, Amita can appeal in Supreme court against the decision of National Commission.


    Ahmed wants to buy an iron. As an aware customer, how can he be sure about the quality of iron?

    Ahmed should buy an ISI mark iron.
    The ISI mark is a mark owned by Bureau of Indian Standards (BIS) which was previously called Indian Standards Institution. The product certification scheme operated by BIS uses this ISI mark.


    Explain any three ways and means of consumer protection available in India.

    The main means of consumer protection are as under: 
    1. Self Regulation by Business: Every firm insists to have a strong consumer base which means that more and still more people should buy their products. This is possible only when the consumers are fully satisfied with the products of the firm. Many firms have set up their customer service and grievance cells to redress the problems and grievances of their consumers.
    2 Business Associations: Business associations prepare a code of conduct for businessmen It is laid down in the code of conduct as to how businessmen are expected to behave with the consumers. For example, the Federation of Indian Chambers of Commerce and Industries (FICCI) and the Confederation of Indian Industries (CII) have proposed their code of conduct which governs the attitude of their members towards consumers. 
    3. Consumer Awareness: As an important means of consumer protection, consumers should protect themselves. He should be alert in the matter of his rights. Alert consumers alone can demand their rights from the sellers. Thus, the consumer himself must know his rights and raise his voice against unfair practices of the sellers. 


    Explain briefly the ways and means of consumer protection.

    In India large numbers of consumers are living below poverty line and large number are illiterate and unaware of their rights so consumer protection movement cannot be the same as followed by developed countries.
    In India it has to be a social movement wherein people of all walks of life have to play their role. Following are some ways and means of consumer protection followed in India:

    1. Self Regulations by Business:
    Large business houses have realised that they can prosper and grow for a long period of time only by giving due importance to consumers. Socially responsible firms follow quality standards and have started customer grievances cell to attend the complaints of consumers.

    2. Business Associations:
    Various business associations such as Federation of Indian Chamber of Commerce and Industry (FICCI) and Confederation of Indian Industry (CII) have framed a set of code of conducts which lay down guidelines for dealing with customers.

    3. Consumer Awareness:
    It is not easy to exploit an educated and well aware consumer. Consumer must be well aware about his rights, responsibilities and relief available to him under consumer protection act.

    4. Consumer Organisations:
    Consumer organisations play an important role in educating consumers regarding their rights, duties. These organisations also help consumer to get relief in case of exploitation.

    5. Government:
    Government of India has framed a set of laws and legislation to protect the interests of consumers and the most important act framed by Govt, is Consumer Protection Act 1986. This act has provided three tier redressal agencies, i. e., District Forum, National Commission and State Commission.


    Why is consumer protections necessary?

    In order to maximise profits, many businessmen exploit consumers by supplying poor qual­ity goods at higher prices. They adopt unfair trade practices such as adulteration, boarding, black-marketing, etc.

    As a result consumers do not get value for their money. Big business houses use their power for private gain and to the detriment of consumers. Consumers are exposed to physical, environmental and other hazards.
    They need to be protected from spurious, duplicate and adulterated products, pollution of air, water and noise, and misleading advertising.

    Consumers need protection due to the following reasons:

    1. Illiteracy and ignorance:
    Consumers in India are mostly illiterate and ignorant. They do not understand their rights. A system is required to protect them from unscrupulous businessmen.

    2. Unorganised consumers:
    In India consumers are widely dispersed and are not united. They are at the mercy of businessmen. On the other hand, producers and traders are organised and powerful.

    3. Spurious goods:
    There is increasing supply of duplicate products. It is very difficult for an ordinary consumer to distinguish between a genuine product and its imitation. He pays the price for the original but gets a substandard product. It is necessary to protect consumers from such exploitation.

    4. Deceptive advertising:
    Some businessmen give misleading information about quality, safety and utility of products. Consumers are misled by false advertisement and do not know the real quality of advertised goods. A mechanism is needed to prevent misleading advertisements.

    5. Malpractices of businessmen:
    Fraudulent, unethical and monopolistic trade practices on the part of businessmen lead to exploitation of consumers. Consumers often get defective, inferior and substandard goods and poor service.
    Certain measures are required to protect the consumers against such malpractices. Greedy businessmen indulge in adulteration, boarding, black-marketing and other illegal practices.

    6. Freedom of enterprise:
    Businessmen must ensure satisfaction of consumers. In the long run survival and growth of business is not possible without the support and goodwill of consum­ers. If business does not protect consumer's interests. Government intervention and regulatory measures will grow to curb unfair trade practices.


    Amrit filed a case against 'Volvo Ltd' in the 'State Commission'. But he was not satisfied with the orders of the 'State Commission'. Name the authority to which he can appeal against the decisions of 'State Commission'.

    If Amrit is not satisfied with the decision made by 'state commission' he can file a petition in national commission against the decision of state commission. 


    Explain any three responsibilities of the consumer to safeguard his interest.

    Various efforts have been made by government and non-government organizations to protect the interest of consumers but exploitation of consumers will stop only when the consumer himself will come forward to safeguard his own interest. Consumers have to bear some responsibilities which are given below: (any three)

    1. Consumer must Exercise his Right:
    Under Consumer Protection Act the consumer is granted various rights such as the right to safety, right to choose, right to be heard, etc. but these rights will be useful only when the consumer exercises these rights. The consumer must select the product according to his preferences, he must file a complaint if he is not satisfied with the quality of the product, he must be aware of his rights and exercise them whenever required.

    2. Cautious Consumer:
    The consumer should not blindly believe in the words of the seller. He must insist on getting full information on the quality, quantity, utility, price, etc. of the goods or services.

    3. Filing Complaints about the Redressal of Genuine Grievances:
    Most of the time consumer ignores the loss he suffers on the purchase of defective goods or services but this attitude of not filing complaints encourages the corrupt businessmen to supply low standard or defective goods and services.

    4. Consumer must be Quality-Conscious:
    The problems of supply of substandard goods, adulterated products, and duplicate products can be solved only when the consumer himself stops compromising the quality of the product. While purchasing the goods or services consumers must look for quality marks such as ISI mark, Agmark, ISO, Wool Mark, etc.

    5. Do not be carried away by Advertisements:
    The advertisements often exaggerate the qualities or features of a product or service. The consumer must compare the actual use of the product with the use shown in the advertisement and whenever there is any discrepancy or difference it must be brought to the notice of the sponsor of the advertisement and insist to stop showing exaggerated qualities.


    Rita wants to buy a packet of juice. As an aware customer, how can she be sure about the quality of juice she plans to buy?

    A person can check for FPO mark/standardisation mark which is granted to the processed food products which satisfy the specification and quality control requirements. Secondly, he/she can also check expiry date and storage condition of the juice packet.


    Which Act of consumer protection provides safety to consumers against deficient services?

    Right to consumer education
    Means the right to acquire the knowledge and skill to be an informed consumer throughout life. Ignorance of consumers, particularly of rural consumers, is mainly responsible for their exploitation. They should know their rights and must exercise them. Only then real consumer protection can be achieved with success.


    Which Act of Consumer Protection provides for the formation of Consumer Protection Councils' in every district and the State of the country?

    Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India. It makes provision for the establishment of consumer councils and other authorities for the settlement of consumers' disputes and for matters connected therewith also.The act was passed in Assembly in October 1986.


    Name any two Non-governmental Organisations (NGOs) which are working in India to protect and promote the consumer interests.

    Following are the important consumer organizations and NGOs:
    (i) Consumer Coordination Council, Delhi.
    (ii) Common Cause, Delhi.


    Why consumer protection is important for consumers? 
    Give any one reason.

    Consumer protection is important because consumers in any modern market economy often experience information asymmetry and a significant imbalance of bargaining power as compared to producers and sellers of products and services.

    In competitive markets, producers and sellers must gain new sales, new clientele by satisfying consumer needs through increasing the range of choices available, since if consumers dislike the offerings of one producer/seller, they might turn to others. This is because the availability of substitutable goods at acceptable prices in competitive markets enables consumers to shift purchases, which pushes each producer/seller to try to meet consumer preferences.

    However, producers/sellers may not always act competitively and very often would resort to unfair means, for example offering low-quality products at lower prices or misleading the consumers to believe that the products offered are of good quality. As a result, consumer interests are affected. Not only consumers do not receive a fair value for their money, their health and safety could also be adversely affected by the unsafe or defective products and services.


    As a responsible consumer, how will you ensure about the quality of a 'juice packet' purchased by you?

    A person can check for FPO mark/standardisation mark which is granted to the processed food products which satisfy the specification and quality control requirements. Secondly, he/she can also check expiry date and storage condition of the juice packet.


    Which cases can be filed in the National Commission under Consumer Protection Act, 1986?

    Those cases which have a claim of more than one crore rupees can be filed in the National Comission under Consumer Protection Act, 1986. Those consumers who are not satisfied with the decision made by state commission can file a review case in National Commission under Consumer Protection Act, 1986.


    Why consumer protection is important for a businessman? 
    Give any one reason.

    Importance of Consumer Protection from Businessmen’s point of View:
    Businessmen cannot survive for a long time by ignoring the interest of consumer. They have to give due importance to consumer if they want to prosper in competitive market. Consumer protection provides following benefits to businessmen: ( any one )

    1. Long Term Interest of Business:
    After the liberalisation and globalisation the level of competition has increased so much that not only internal but business has to face international competition. In the race of competition the businessmen can win and capture a big share in the market only when they are able to satisfy its customers by designing the products keeping in mind the requirements of customers.

    2. Businessman Uses Society’s Resources:
    Businessmen use the resources of society. They earn profit by supplying goods and services to the members of society so it must do something for society. Businessmen are merely trustee of resources; they must use these resources for the benefits of consumers.

    3. Social Responsibilities:
    A businessman has social obligations towards various groups and customer is one of the important groups. It is responsibility of businessmen to provide quality goods at reasonable price. Consumer protection guides businessmen to provide social responsibilities.

    4. Moral/Ethical Justification:
    Traditionally ethics was part of profession only, but today ethics is playing very important role in business also. The ethics or a moral value practiced by the businessmen adds glory to businessmen. In today’s environment business without ethical value is not more than a criminal activity and no civil society can tolerate and allow the existence of unethical business.

    5. Government Intervention:
    If businessmen want to avoid intervention of government then they should not involve in unfair trade practices. Government intervention may spoil the image of business. Businessmen should voluntarily involve in the activities which protect the interest of consumer.

    6. Consumer is the Purpose of Business:
    The basic purpose of business is to create more and more customers and retain them and businessmen can create more customers only by satisfying the customers and protecting the interest of consumer. The customer is the foundation of business.


    Which kind of cases can be filed in the State Commission under the Consumer Protection Act, 1986?

    Those cases which have a claim of rupees 20 to rupees 1 crore can be filed in the State Commission under Consumer Protection Act, 1986. Those consumers who are not satisfied with the decision made by Rural commission can file a review case in State Commission under Consumer Protection Act, 1986 and in National commission too.


    Why should a consumer look for ISI mark on electrical goods?

     The consumer should look for ISI mark on electrical goods because it gives an assurance that the product meets quality certifications.


    Who can file a complaint on behalf of a deceased woman?

    In Chanda Devi Daga vs Manju K Humatani, the Supreme Court has upheld a high court judgment that allowed legal heirs of the complainant to prosecute the petition before the high court.
    Hence legal heirs of a deceased women can file a case or complaint on behalf of deceased women.


    Name any two parties who can file a complaint under the Consumer Protection Act, 1986 on behalf of the consumer.

    A complaint under Consumer Protection Act, 1986 can be made by: (Any two)
    (i) Any consumer.
    (ii) Any registered consumers’ association.
    (iii) The Central Government or any State Government.
    (iv) One or more consumers, on behalf of numerous consumers having the same interest.
    (v)A legal heir or representative of a deceased consumer.


    When can a consumer get more than one relief for a complaint?

    In case of the genuineness of the complaint, the court can issue one or more directions to the opposite party.

    • To remove a defect in goods or services.
    • To refund the price. 
    • To replace the defective good with a new one.
    • To pay a reasonable amount of compensation for any loss or injury suffered.
    • To pay punitive damages.
    • To discontinue the unfair/restrictive trade practices.
    • Not to offer hazardous goods for sale.
    • To withdraw hazardous goods from sale.
    • To cease the manufacture of hazardous goods.
    • To pay any amount (not less than 5% of the value of defective good or service in question), to be credited to Consumer Welfare Fund.
    • To issue corrective advertisement, in place of misleading advertisement.
    • To pay adequate costs to the appropriate party.


    Give any one responsibility of a consumer in addition to obtaining a cash receipt while purchasing a washing machine.

    Consumer should buy only ISI certified washing machine as it provides quality assurance.


    Under three tier machinery where can a legal heir or representative of a deceased consumer file a complaint when the compensation claimed is Rs. 25 lakhs?

    For compensation claims above 20 lakhs, a consumer has to approach the state commission and file the complaint. In this case, the legal heir of deceased consumer can file a complaint in state commission as a compenstion claim of 25 lakhs.


    State any six responsibilities of a consumer which should be kept in mind while purchasing the goods?

    Responsibilities of consumer- (any six)

    (1) Consumer must Exercise his Rights:

    Consumers have many rights with regard to the goods and services. They must be aware of their rights while buying. These rights are: right to safety, right to be informed, right to representation, right to seek redressal, right to consumer education, etc.

    (2) Cautious Consumer/Do not buys Blindly:

    Consumers should make full use of their reason while buying things. They should not take the seller’s words as the final truth. In other words, while buying consumer must get information regarding the quality, quantity, price, utility, etc. of goods and services.

    (3) Filing Complaint for the Redressal of Genuine Grievances:

    It is the responsibility of the consumers to approach the officer concerned in case there is some complaint about the goods purchased. A late complaint may find that the period of guarantee/ warrantee has lapsed. Sometimes, consumers ignore the deception of businessmen. This tendency encourages corrupt business practices.

    (4) Consumer must be Quality Conscious/Do Not compromise on Quality:

    Consumers should never compromise on the quality of the goods. Therefore, they should not buy inferior stuff out of greed for cheaper prices. If the consumers behave like this, there cannot be any protection for them from any quarter.

    (5) Advertisements Often Exaggerate /Beware of False Advertisement:

    The sellers inform the consumers about their things through the medium of advertisement. The sellers exaggerate the quality of their goods through advertisement. Therefore, it is the responsibility of the consumers to recognise the truth of the advertisement.

    (6) Do Not Forget to Get Receipt and Guarantee/Warranty Card:

    One should always get a receipt or bill for the things purchased. In case a guarantee/warranty card is also offered by the seller, it should also be taken.


    (7) Do Not Buy in Hurry:

    The first important responsibility of the consumers is that they should not buy in hurry. It means that the consumers should make an estimate of the things they want to buy well in time.


    Explain any three points of importance of consumer protection from the point of view of consumers?

    The importance of consumer protection from consumer's point of view can be understood from the following points:

    (a) Consumer's Ignorance: In the light of widespread ignorance of consumers about their rights and reliefs available to them, it becomes necessary to educate them about the same so as to achieve consumer awareness.

    (b) Unorganised Consumers: In India, consumers are not organised. Though we do have consumer organisation working in this direction, adequate consumer protection is required to provide power and rights to these organisations to protect and promote the interests of consumers.

    (c) Widespread Exploitation of the Consumers: Unaware, ignorant consumers might be exploited by unscrupulous/ exploitative and unfair trade practices like defective goods, adulteration, false and misleading advertising etc. Consumer protection provides safeguard to the consumers from such exploitation.


    Pragya bought an iron of a reputed brand for Rs 1,500 but it caused an electric shock while it was being used. Pragya wants to exercise her 'Right'. Identify the 'Right' under which she can be protected.

    Pragya can exercise the following rights: 
    a) Right to Safety: Pragya has the right to be protected against goods and services which are hazardous to life and health.
    b) Right to be Heard: Pragya has the right to file a complaint and to be heard. Usually reputed companies have their own consumer service and grievance cell where she can say her complaints and have the right to be heard 
    c) Right to seek Redressal: Pragya has a right to get relief in this case as the product falls short of her expectations The Consumer Protection Act provides a number of reliefs to the consumers including replacement of the product removal of defect in the product.


    Give any one responsibility of a consumer in addition to obtaining a cash-memo while purchasing an edible oil?

    The consumer should buy only AGMARk labelled oil as it signify the quality of that particular oil.


    What is the composition of state commission under the provisions of Consumer Protection Act 1986?

    Each State Commission shall consist of –

    (a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President :

    Provided that no appointment under this clause shall be made except after consultation with the Chief Justice of the High Court;

    (b) two other members, who shall be persons of ability, integrity and standing and have adequate knowledge or experience of, or have shown capacity in dealing with problems relating to economics, law, commerce, accountancy, industry, public affairs or administration, one of whom shall be a woman :

    Provided that every appointment made under this clause shall be made by the State Government on the recommendation of a selection committee consisting of the following, namely :-

    (i) President of the State Commission - Chairman,

    (ii) Secretary of the Law Department of the State - Member,

    (iii) Secretary, incharge of Department dealing with consumer affairs in the State - Member.

    (2) The salary or honorarium and other allowances payable to, and the other terms and conditions of service of the members of the State Commission shall be such as may be prescribed by the State Government.

    (3) Every member of the State Commission shall hold office for a term of five years or up to the age of sixty-seven years, whichever is earlier and shall not be eligible for re-appointment.

    (4) Notwithstanding anything contained in sub-section (3), a person appointed as a President or as a member before the commencement of the Consumer Protection (Amendment) Act, 1993, shall continue to hold such office as President or member, as the case may be, till the completion ] of his term.


    State what is to be informed to the consumer under 'Right to be informed'.

    The right to be informed means the right to be informed about the quality, quantity, potency, purity, standard, and price of goods so as to protect the consumer against unfair trade practices. Consumers should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high-pressure selling techniques.


    Explain any three points of importance of consumer protection from the point of view of business.

    Importance of 'Consumer Protection' from the point of view of business:

    (a) Long-term interest of business: Long-term interest of a business lies in the satisfaction of its customers that leads to repeat sales and attracts other customers.

    (b) Business uses society's resources: As a business uses social resources, it is bound to serve the society by using its resources through adoption of fair trade practices which ensures consumer protection.

    (c) Social responsibility: Since consumers are a part of society, consumer protection is the part of its social responsibility to fulfill its social objective.

    (d) Moral justification: Business ethics advocates adoption of moral principles in conducting business affairs. Then a business is required to adopt consumer protection as its moral duty.

    (e) Government Intervention: To avoid government intervention in the business activities due to malpractices, a business should take government intervention as the first priority of protection.


    Explain any three points of importance of consumer protection from the point of view of the business.

    Importance of 'Consumer Protection' from the point of view of business:

    (a) Long-term interest of business: Long-term interest of a business lies in the satisfaction of its customers that leads to repeat sales and attracts other customers.

    (b) Business uses society's resources: As a business uses social resources, it is bound to serve the society by using its resources through adoption of fair trade practices which ensures consumer protection.

    (c) Social responsibility: Since consumers are a part of society, consumer protection is the part of its social responsibility to fulfill its social objective.

    (d) Moral justification: Business ethics advocates adoption of moral principles in conducting business affairs. Then a business is required to adopt consumer protection as its moral duty.

    (e) Government Intervention: To avoid government intervention in the business activities due to malpractices, a business should take government intervention as the first priority of protection.


    State any three points of importance of Consumer Protection for business?

    Importance of 'Consumer Protection' from the point of view of business:

    (a) Long-term interest of business: Long-term interest of a business lies in the satisfaction of its customers that leads to repeat sales and attracts other customers.

    (b) Business uses society's resources: As a business uses social resources, it is bound to serve the society by using its resources through adoption of fair trade practices which ensures consumer protection.

    (c) Social responsibility: Since consumers are a part of society, consumer protection is the part of its social responsibility to fulfill its social objective.

    (d) Moral justification: Business ethics advocates adoption of moral principles in conducting business affairs. Then a business is required to adopt consumer protection as its moral duty.

    (e) Government Intervention: To avoid government intervention in the business activities due to malpractices, a business should take government intervention as the first priority of protection.


    State any three points of importance of consumer protection for the consumers.

    The importance of consumer protection from consumer's point of view can be understood from the following points:

    (a) Consumer's Ignorance: In the light of widespread ignorance of consumers about their rights and reliefs available to them, it becomes necessary to educate them about the same so as to achieve consumer awareness.

    (b) Unorganised Consumers: In India, consumers are not organised. Though we do have consumer organisation working in this direction, adequate consumer protection is required to provide power and rights to these organisations to protect and promote the interests of consumers.

    (c) Widespread Exploitation of the Consumers: Unaware, ignorant consumers might be exploited by unscrupulous/ exploitative and unfair trade practices like defective goods, adulteration, false and misleading advertising etc. Consumer protection provides safeguard to the consumers from such exploitation.


    State any three reliefs available to a consumer if the consumer court is satisfied about the genuineness of the complaint?

    If the Consumer Court is satisfied with the genuineness of the complaint, it can issue one or more of the following directions to the aggrieved party as reliefs: ( any three )

    (i) To remove the defect in goods or the deficiency in service.

    (ii) To replace the defective product with a new one, free from any defect.

    (iii) To refund the price paid for the product.

    (iv) To pay punitive damages in appropriate circumstances.

    (v) To pay adequate costs to the appropriate party.


    State any three responsibilities of a consumer?

    Responsibilities of consumer-

    (1) Consumer must Exercise his Rights:

    Consumers have many rights with regard to the goods and services. They must be aware of their rights while buying. These rights are: right to safety, right to be informed, right to representation, right to seek redressal, right to consumer education, etc.

    (2) Cautious Consumer/Do not buys Blindly:

    Consumers should make full use of their reason while buying things. They should not take the seller’s words as the final truth. In other words, while buying consumer must get information regarding the quality, quantity, price, utility, etc. of goods and services.

    (3) Filing Complaint for the Redressal of Genuine Grievances:

    It is the responsibility of the consumers to approach the officer concerned in case there is some complaint about the goods purchased. A late complaint may find that the period of guarantee/ warrantee has lapsed. Sometimes, consumers ignore the deception of businessmen. This tendency encourages corrupt business practices.


    State the main points of three tier redressal machinery available for consumer grievance under the Consumer Protection Act.

    Redressal machinery available for consumer grievance under the Consumer Protection Act.
    • Examining, enforcing as well as summoning the witness on oath;
    • Discovering and producing any material evidence;
    • Receiving evidence on affidavit;
    • Requesting for a report or test analysis from the concerned authorities and laboratories;
    • Issuing commission for examining the witness;
    • Enforcing any other powers prescribed by the Central or State Government.


    State any six reliefs available to a consumer when the Consumer Court is satisfied with the genuineness of the complaint?

     Reliefs available to consumers-
    (i) To replace
    (ii) To refund the price paid for the product.
    (iii) To pay a reasonable amount of compensation for any loss or injury/sickness suffered by consumer due to the negligence of the manufacturer.
    (iv) To pay punitive damages in appropriate circumstances.
    (v)To withdraw the adulterated product from sale.
    (vi)To cease manufacture.


    State any three functions of consumer organisations?

    Functions performed by consumer organizations and non-government organizations are as follows:
    (1) Accelerating Consumer Awareness/Educating Consumers
    (2) Collecting Data on Different Products and testing them.
    (3) Filing Suit on Behalf of Consumers
    (4) Organising Protests against Adulteration etc.
    (5) Helping Educational Institutions


    Explain the following rights of a consumer:-
    (i) Right to choose  (ii) Right to be informed.

    (i)- Right to choose
    Means right to be assured, wherever possible of access to variety of goods and services at competitive price. In case of monopolies, it means right to be assured of satisfactory quality and service at a fair price. It also includes right to basic goods and services. This is because unrestricted right of the minority to choose can mean a denial for the majority of its fair share. This right can be better exercised in a competitive market where a variety of goods are available at competitive prices
    (ii)- Right to be informed
    Means right to be informed about the quality, quantity, potency, purity, standard and price of goods so as to protect the consumer against unfair trade practices. Consumer should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high pressure selling techniques.


    Explain any four rights available to a consumer under the Consumer Protection Act 1986.


    Following are the rights available to the consumer- (any four)
    Right to safety
    Means right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs but also fulfill long-term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI, AGMARK, etc

    Right to choose
    Means right to be assured, wherever possible of access to a variety of goods and services at a competitive price. In the case of monopolies, it means right to be assured of satisfactory quality and service at a fair price. It also includes right to basic goods and services. This is because an unrestricted right of the minority to choose can mean a denial for the majority of its fair share. This right can be better exercised in a competitive market where a variety of goods are available at competitive prices

    Right to be informed
    Means right to be informed about the quality, quantity, potency, purity, standard and price of goods so as to protect the consumer against unfair trade practices. A consumer should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high pressure selling techniques.

    Right to consumer education
    Means the right to acquire the knowledge and skill to be an informed consumer throughout life. Ignorance of consumers, particularly of rural consumers, is mainly responsible for their exploitation. They should know their rights and must exercise them. Only then real consumer protection can be achieved with success.

    Right to be heard
    Means that consumer's interests will receive due consideration at appropriate forums. It also includes right to be represented in various forums formed to consider the consumer's welfare. Consumers should form non-political and non-commercial consumer organizations which can be given representation in various committees formed by the Government and other bodies in matters relating to consumers.

    Right to Seek redressal
    Means right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers. It also includes right to a fair settlement of the genuine grievances of the consumer. Consumers must make a complaint for their genuine grievances. Many times their complaint may be of small value but its impact on society as a whole may be very large. They can also take the help of consumer organisations in seeking redressal of their grievances.


    Explain the following rights of a consumer:-
    (i) Right to be heard; (ii) Right to seek redressal

    (i) Right to be heard
    Means that consumer's interests will receive due consideration at appropriate forums. It also includes right to be represented in various forums formed to consider the consumer's welfare. The Consumers should form non-political and non-commercial consumer organizations which can be given representation in various committees formed by the Government and other bodies in matters relating to consumers.
    (ii) Right to Seek redressal
    Means right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers. It also includes right to fair settlement of the genuine grievances of the consumer. Consumers must make complaint for their genuine grievances.Many a times their complaint may be of small value but its impact on the society as a whole may be very large. They can also take the help of consumer organisations in seeking redressal of their grievances.


    Define consumer protection. Explain any three points of importance of consumer protection from the point of view of business.

    consumer protection efforts grew out of this business definition of consumerism. Simply put, consumers are people. They are people who buy things. Consumer protection, therefore, refers to laws and other forms of government regulation designed to protect the rights of consumers. The Federal Trade Commission, or FTC, serves as our nation's consumer protection agency and administers many different consumer protection laws, like the Telemarketing Sales Rule and the Equal Credit Opportunity Act.
    Consumer protection is based on consumer rights or the idea that consumers have an inherent right to basic health and safety.

    Importance of Consumer Protection from Businessmen’s point of View: (any three)

    1. Long-Term Interest of Business:
    After the liberalisation and globalisation the level of competition has increased so much that not only internal but business has to face international competition. In the race of competition, the businessmen can win and capture a big share in the market only when they are able to satisfy its customers by designing the products keeping in mind the requirements of customers.

    2. Businessman Uses Society’s Resources:
    Businessmen use the resources of society. They earn a profit by supplying goods and services to the members of society so it must do something for society. Businessmen are merely trustee of resources; they must use these resources for the benefits of consumers.

    3. Social Responsibilities:
    A businessman has social obligations towards various groups and customer is one of the important groups. It is a responsibility of businessmen to provide quality goods at a reasonable price. Consumer protection guides businessmen to provide social responsibilities.

    4. Moral/Ethical Justification:
    Traditionally ethics was part of profession only, but today ethics is playing a very important role in business also. The ethics or a moral value practiced by the businessmen adds glory to businessmen. In today’s environment business without ethical value is not more than a criminal activity and no civil society can tolerate and allow the existence of an unethical business.

    5. Government Intervention:
    If businessmen want to avoid the intervention of government then they should not involve in unfair trade practices. Government intervention may spoil the image of a business. Businessmen should voluntarily involve in the activities which protect the interest of the consumer. 



    Explain the following rights of a consumer as provided under Consumer Protection Act 1986:-
    (a) Right to be informed  (b) Right to seek redressal.

    (a) Right to be informed
    Means right to be informed about the quality, quantity, potency, purity, standard and price of goods so as to protect the consumer against unfair trade practices. Consumer should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high pressure selling techniques.
    (b) Right to Seek redressal
    Means right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers. It also includes right to fair settlement of the genuine grievances of the consumer. Consumers must make complaint for their genuine grievances.Many a times their complaint may be of small value but its impact on the society as a whole may be very large. They can also take the help of consumer organisations in seeking redressal of their grievances.


    Explain the following rights of a consumer:-
    (i) Right to safety  (ii) Right to consumer education

    (i) Right to safety
    Means right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs, but also fulfil long term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI,AGMARK, etc
    (ii) Right to consumer education
    Means the right to acquire the knowledge and skill to be an informed consumer throughout life. Ignorance of consumers, particularly of rural consumers, is mainly responsible for their exploitation. They should know their rights and must exercise them. Only then real consumer protection can be achieved with success.


    Define consumer protection and state any three points of importance of consumer protection from the point of view of business.

     consumer protection efforts grew out of this business definition of consumerism. Simply put, consumers are people. They are people who buy things. Consumer protection, therefore, refers to laws and other forms of government regulation designed to protect the rights of consumers. The Federal Trade Commission, or FTC, serves as our nation's consumer protection agency and administers many different consumer protection laws, like the Telemarketing Sales Rule and the Equal Credit Opportunity Act.
    Consumer protection is based on consumer rights or the idea that consumers have an inherent right to basic health and safety.

    Importance of Consumer Protection from Businessmen’s point of View: (any three)

    1. Long-Term Interest of Business:
    After the liberalisation and globalisation the level of competition has increased so much that not only internal but business has to face international competition. In the race of competition, the businessmen can win and capture a big share in the market only when they are able to satisfy its customers by designing the products keeping in mind the requirements of customers.

    2. Businessman Uses Society’s Resources:
    Businessmen use the resources of society. They earn a profit by supplying goods and services to the members of society so it must do something for society. Businessmen are merely trustee of resources; they must use these resources for the benefits of consumers.

    3. Social Responsibilities:
    A businessman has social obligations towards various groups and customer is one of the important groups. It is a responsibility of businessmen to provide quality goods at a reasonable price. Consumer protection guides businessmen to provide social responsibilities.

    4. Moral/Ethical Justification:
    Traditionally ethics was part of profession only, but today ethics is playing a very important role in business also. The ethics or a moral value practiced by the businessmen adds glory to businessmen. In today’s environment business without ethical value is not more than a criminal activity and no civil society can tolerate and allow the existence of an unethical business.

    5. Government Intervention:
    If businessmen want to avoid the intervention of government then they should not involve in unfair trade practices. Government intervention may spoil the image of a business. Businessmen should voluntarily involve in the activities which protect the interest of the consumer. 




    Explain the following 'Rights of Consumers': (i) Right to Safety,  (ii) Right to Choose

    (i) Right to safety
    Means right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs, but also fulfil long term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI , AGMARK, etc

    (ii) Right to choose
    Means right to be assured, wherever possible of access to variety of goods and services at competitive price. In case of monopolies, it means right to be assured of satisfactory quality and service at a fair price. It also includes right to basic goods and services. This is because unrestricted right of the minority to choose can mean a denial for the majority of its fair share. This right can be better exercised in a competitive market where a variety of goods are available at competitive prices


    What precautions should a consumer take while buying a product or service?

    Following thing should be kept in mind before buying a product -
    • Value and money, whether the following product is worth of that particular value or not
    • Quality standards - he should check all those standards fixed by govt which are given to only those product who full fill the norms set out by tyhe government.
    • Consumer should check the MRP of the product.
    • He should be able to make understand the seller about his expectations from goods.
    • He should always obtain a bill for the purchase made by him.


    What is meant by Consumer Protection? State any three points of importance of Consumer Protection from the consumers point of view.

    consumer protection efforts grew out of this business definition of consumerism. Simply put, consumers are people. They are people who buy things. Consumer protection, therefore, refers to laws and other forms of government regulation designed to protect the rights of consumers. The Federal Trade Commission, or FTC, serves as our nation's consumer protection agency and administers many different consumer protection laws, like the Telemarketing Sales Rule and the Equal Credit Opportunity Act.
    Consumer protection is based on consumer rights or the idea that consumers have an inherent right to basic health and safety.
    The importance of consumer protection from consumer's point of view can be understood from the following points:

    (a) Consumer's Ignorance: In the light of widespread ignorance of consumers about their rights and reliefs available to them, it becomes necessary to educate them about the same so as to achieve consumer awareness.

    (b) Unorganised Consumers: In India, consumers are not organised. Though we do have consumer organisation working in this direction, adequate consumer protection is required to provide power and rights to these organisations to protect and promote the interests of consumers.

    (c) Widespread Exploitation of the Consumers: Unaware, ignorant consumers might be exploited by unscrupulous/ exploitative and unfair trade practices like defective goods, adulteration, false and misleading advertising etc. Consumer protection provides safeguard to consumers from such exploitation.



    Explain any four points of importance of 'consumer protection' from the point of view of business.

    Importance of Consumer Protection from Businessmen’s point of View: (any four)

    1. Long-Term Interest of Business:
    After the liberalisation and globalisation the level of competition has increased so much that not only internal but business has to face international competition. In the race of competition, the businessmen can win and capture a big share in the market only when they are able to satisfy its customers by designing the products keeping in mind the requirements of customers.

    2. Businessman Uses Society’s Resources:
    Businessmen use the resources of society. They earn a profit by supplying goods and services to the members of society so it must do something for society. Businessmen are merely trustee of resources; they must use these resources for the benefits of consumers.

    3. Social Responsibilities:
    A businessman has social obligations towards various groups and customer is one of the important groups. It is a responsibility of businessmen to provide quality goods at a reasonable price. Consumer protection guides businessmen to provide social responsibilities.

    4. Moral/Ethical Justification:
    Traditionally ethics was part of profession only, but today ethics is playing a very important role in business also. The ethics or a moral value practiced by the businessmen adds glory to businessmen. In today’s environment business without ethical value is not more than a criminal activity and no civil society can tolerate and allow the existence of an unethical business.

    5. Government Intervention:
    If businessmen want to avoid the intervention of government then they should not involve in unfair trade practices. Government intervention may spoil the image of a business. Businessmen should voluntarily involve in the activities which protect the interest of the consumer. 


    Prabhakar purchased an ISI mark electric iron from 'Bharat Electricals'. While using he found that it was not working properly. He approached the seller and complained for the same. The seller satisfies Prabhakar refused to replace and Bharat Electricals decided to file a complaint in the consumer court. Can 'Bharat Electricals' do this? Why? 
    Also explain 'who is a consumer' as per Consumer Protection Act 1986.

    Bharat Electricals cannot file a complaint. This is because Bharat Electricals is not a consumer as per Consumer Protection Act, 1986 because they bought the goods for resale or for commercial purpose. Under the Consumer Protection Act, a consumer is defined as:
    (i) A person who buys goods for consideration which has been paid promised, or partly paid and partly promised or under any scheme of deferred payment. It includes any user of such goods, when such use is made with the approval of the buyer but does not include a person who obtains goods for resale or any commercial purpose.
    (ii) Any person who hires or avails any service for consideration which has been paid or promised or partly paid and partly promised or under any system of deferred payment. It includes any beneficiary of services when such services are availed of with the approval of the person concerned but does not include a person who avails of such services for any commercial purpose.


    Reena purchased one litre of pure Desi Ghee from a shopkeeper. After using it she had a doubt it is adulterated. She sent it for a laboratory test which confirmed that the Ghee is adulterated. State any six reliefs available to Reena, if she complains and the consumer court is satisfied about the genuineness of the complaint.

     Reliefs available to Reena are:
    (i) To replace the adulterated ghee.
    (ii) To refund the price paid for the product.
    (iii) To pay a reasonable amount of compensation for any loss or injury/sickness suffered by her due to the negligence of the manufacturer.
    (iv) To pay punitive damages in appropriate circumstances.
    (v)To withdraw the adulterated ghee from sale.
    (vi)To cease manufacture of adulterated ghee.


    Explain the following rights of a consumer to safeguard his interests:
    (i) Right to be informed
    (ii) Right to consumer education
    (iii) Right to safety

    (i) Right to be informed- 
    Means right to be informed about the quality, quantity, potency, purity, standard and price of goods so as to protect the consumer against unfair trade practices. Consumer should insist on getting all the information about the product or service before making a choice or a decision. This will enable him to act wisely and responsibly and also enable him to desist from falling prey to high pressure selling techniques.

    (ii) Right to consumer- 
    Means the right to acquire the knowledge and skill to be an informed consumer throughout life. Ignorance of consumers, particularly of rural consumers, is mainly responsible for their exploitation. They should know their rights and must exercise them. Only then real consumer protection can be achieved with success. education

    (iii) Right to safety- Means right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs, but also fulfil long term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI,AGMARK, etc


    State any six functions of consumer organisations and NGOs for protecting and promoting the interests of consumers.

    Consumer organisations and NGOs are established or formed to protect and promote the consumer interest. They perform following functions:
    Role of NGOs/Consumer organisations :  (any six)
    (i) Creating awareness about consumer rights by organising training programmes, seminars and workshops.
    (ii) Imparting knowledge about consumer problems, legal reporting and reliefs available by publishing periodicals and publications.
    (iii) Carrying out comparative testing of consumer products in accredited laboratories and publishing the results for the general benefit.
    (iv) Encourage consumers to take action against any unfair or unscrupulous activity of the seller.
    (v) Providing consumers legal assistance by providing aid, advice, • etc to seek legal remedy.
    (vi) Filing complaints in appropriate courts on behalf of consumers. 
    (vii) Taking initiative for filing cases in the interest of general public.


    'Alfa Ltd.' was dealing in renewable energy. To get the business, the team leader and his team to travel to different states to give presentation to their clients. As per the policy of the company, the leader used to travel by air, whereas his team travelled by road/train. It was not only time consuming but also at time forced female team members to travel alone.
    As a result, the subordinates were not acting in a desired manner to achieve organisational goals. The CEO came to know about it He called the team leader, discussed the matter with him and decided to change the travel policy of the company. It was decided that all the members including the leader would travel together in future and would usefully utilise the travelling time in discussion with the subordinates about presentation to be given to the clients. This made a positive impact and every member of the team started acting in a manner as desired by the team leader. Slate the features of the element of the function of management used by the CEO.

    The element of function of management used by the CEO is Wofivatiod. This is because as per the travel policy of the company subordinates were not acting in a desired manner to achieve organisational goals. An employee does not act in a desired manner when he feels demotivated. But a change in travel policy had a positive impact on employees and they start acting in a manner desired by the leader which is possible only with the help of motivation. 
    The following points highlight the features of motivation. 
    1. Is an inherent feeling: Motivation is a feeling that is inherent to an employee. For instance, needs, desires, wants and ambitions are internal to individuals and directly influence their behaviour to work in a certain manner. 
    2. Leads to goal-oriented behaviour Motivation influences the behaviour of the employees and induces them to work efficiently towards the achievement of the goals of the organisation. 
    3. Can be both positive and negative Positive motivations can take the form of rewards, incentives or promotions. On the other hand, negative motivation can be in the form of warning or demotion. The kind of motivations to be followed depends on the needs and attitudes of the employee. 
    4. Is a complicated process: Human behaviour is complex. An organisation comprises numerous individuals who have different desires, expectations and attitudes. This implies that motivation also varies from one individual to another, making the process highly complicated. 


    Anita purchased a book from 'Satish Book Stores'. While reading the book she found that ten pages were missing. She approached the seller of the book and complained about the missing pages. The seller promised that if the publisher was ready to change the book he would change the same. After a week the seller informed Anita that the publisher had refused to change the book.
    Where can Anita file a complaining against the seller of book?
     Give reason in support of your answer. Also, explain who is a 'consumer'.

    Anita can file a complaint against the book seller in the District Forum. District Forums are set-up in each district by the concerned State Government. In District Forum, those complaints can be filed in which the value of goods and services in question along with compensation claim does not exceed Rs 20 lakh.
    Under Consumer Protection Act, 1986, a consumer may be defined as a person, who buys any product or hires/avails of any service for consideration, which has been paid or promised, or partly paid and partly promised, or under any system of deferred payment.


    State any six reliefs available to a consumer under the consumer protection Act,1986.

    Following are some of the reliefs available to a consumers under the Consumer Protection Act, in case the forum passes an order in favour of the aggrieved consumer.
    (i) Repair of defective goods or elimination of the deficiency in service
    (ii)Replacement of the defective good with a new one
    (iii)Refunding the amount that was paid by the consumer for the good or the service
    (iv)Payment of compensation in cash for loss or injury suffered 
    (v)Payment of punitive damages
    (vi)Removal of misleading advertisement and issue of correct advertisement thereafter


    Manuj bought a packet of chips from a local shopkeeper and found that the ingredients given on the label were not legible. He complained about it to the company. The company sent a written apology stating that they will make sure that existing packets are withdrawn from the market and new packets with legible labels are soon made available. State the consumer right which Manuj exercised. 

    Manjul exercised Right to be informed.
    Explanation: In this scenario, Manjul could not see the ingredients used in chips as they were not legible. Since, a consumer has the right to be completely informed regarding the quality, quantity, price, ingredients, weights, etc., of goods as services, he exercised this right.


    State any three functions performed by non-governmental organisations for consumer protection.

    The functions performed by Non- Governmental Organisations(NG0s) for consumer protection are as follows.
     i) Consumer Education: The NGOS and consumer organisations organise various training programmes and workshops to educate the consumer about their rights and responsibilities.
    ii) Publishing Journals: In addition to the training programmes and seminars they also spread awareness through journals and periodicals. These journals and other publications provide knowledge about various consumer problems, legal remedies available and other such mailers. 
    iii) Testing Quality& the Products: They carry out the quality tests for various products in laboratories and publish the results. Such results help the consumers in making informed choices. 


    Explain the following Rights of consumers:
    (i)Rights to consumer education
    (ii)Right to choose

    Following are the rights of a consumer:
    (i)Rights to consumer education:A consumer has the right to be aware of and be educated his rights and the available remedies in case of exploitation. Many government and non-government organisations work actively in this regard.
    (ii)Right to choose: A consumer has the right to choose from a variety of goods and services at competitive prices as per his wishes.That is, the consumer has the right to have access to a variety of produces at fair and competitive prices.Thus, the retailer or the supplier should offer a variety of products in terms of quality,brand,price etc.


    Ashima purchased a bottle of tomato-sauce from the local grocery shop. The information provided on the bottle was not clear. She fell sick on consuming it She filed a case in the District Forum under Consumer Protection Act and got the relief.
    (a) Identify the important aspect neglected by the marketer in the above case.
    (b) Explain briefly the functions of the aspect identified in (a) above.

    (a) The aspect neglected by-the marketer in the above case is 'Labelling.'
    (b) The following points highlight the functions of labelling. 

    i) Description of use and contents: The main function performed by labelling is to provide the description about the product regarding its use, application, cautions, content etc. For example, on the bottle of a shampoo, the contents are written, along with the cautions such as keep away from children below the age of $$10$$. Similarly, on food products such as maggie cuppa mania, a picture of noodles is there describing its appearance. Along with this, the ingredients and procedure of making it is also stated. 
    ii) Identification and Differentiation: A label helps in easy identification of the product It helps the consumers to differentiate their favourable products from other products. For example, in a potato chip product a man eating potato chips is imprinted for identification. A label also provides other valuable information such as name or address of the manufacture, net weight, maximum retail price, batch number, etc. 
    iii) Standardising and Grading: A label also helps in setting grades for a product This helps the marketers to classify the product in different categories based on certain specific quality or features. For example, a brand of face-cream comes in different categories such as oily skin, dry skin and normal skin. 
    iv) Promotes the Production: An attractive label helps the marketers in promoting the product as well. It helps in attracting more customers towards the product For example, for maggie noodles, the label says "Taste bhi, Health bhi". Herein, label plays an important role in highlighting the product and promoting its sale. 
    v) information Required for Law. Label also provides and mentions the information which are required to be mentioned as per the law. For example, on a packet of tobacco $$11$$ is written 'chewing tobacco is injurious to health.


    Mention the redressal agencies under the Consumer Protection Act.

    The Consumer Protection Act provides for the setting up of three-tier enforcement machinery at the District, State, and National levels. They are referred to as the District Forum, State Commission, and the National Commission.


    Match the following
    List-I:List II

     List I  List II
     Right to choose Variety of goods
     Right to be informed Unfair trade practices
     Right to Safety Hazardous to life
     Right to consumer education Obtaining knowledge


    Give the constitution of the District Consumer Disputes Redressal Forum under the Consumer Protection Act, $$1986$$.

    Consumer Protection Act is an act of the Parliament of India enacted in 1986 to protect the interests of consumers in India. It consists of a President and 2 other members appointed by the State Government.



    'RO Youth Club' organised a visit of its members to an Old Age Home to inculcate the habit of social work among them. The visit revealed that the living conditions of the inmates of the Old Age Home were not hygienic. So, the RO Youth Club members decided to clean the premises. During their cleanliness drive, they realised that the Old Age Home also required pest control. But some of the inmates of the Old Age Home were reluctant for it because they believed that the pest control may create health problems for them. RO Youth Club, therefore, decided to provide ethical, safe and odourless pest control. They showed to the inmates of the Old Age Home a pamphlet of the proposed pest 'control product which promised easy, inexpensive and long-lasting pest control. The inmates happily agreed and the pest control was carried out. The effect of the pest control started wearing off after a fortnight. RO Youth Club contacted the pest control company which kept on postponing their visit. After waiting for a month, RO Youth Club field a case in the consumer court. 
    The consumer court was satisfied about the genuineness of the complaint and issued necessary directions to the pest control company
    (a) State any six directions that might have been issued by the court.
    (b) Identify any two values that are being communicated by RO Youth Club to the society.

    (a) The court may direct to 
    (i) Repair the defective goods or remove the deficiency in service. 
    (ii) Replacement of the defective good with a new one. 
    (iii) Refund the price that was paid by the consumer for the good or service. 
    (iv) Payment of compensation in cash for the loss or injury suffered. 
    (v) Removal of misleading advertisement and issue of a correct advertisement henceforth. 
    (vi) Payment of an appropriate amount (not less than 5% of the good in question) to be credited to the Consumer Welfare Fund. 

    (b) Values involved 
    (i) Promoting cleanliness and hygiene 
    (ii) Fulfilling social responsibility 


    Explain briefly any two rights which Sumit could have exercised had he fulfilled his responsibility identified in part(a).

    Consumer rights should be informed and known to the customer. Sumit could have exercised the following rights:
    (1) Rights to information : The customer should be informed about all the terms and conditions that are held by the company at the time of sale, so that the customer doesnt void any conditions without its knowledge.
    (2) Right to seek Redressal: The consumer has the right to seek redressal or refund or repairing of the product which is faulty or does not fulfill the expectations of the customer.


    State the protective functions of Securities and Exchange Board of India.

    The protective functions of SEBI are:
    (i)Controlling insider trading and imposing penalties for such practices.
    (ii) Undertaking steps for investor protection.
    (iii) Promotion of fair practices and code of conduct in securities market.


    Explain briefly any two points of importance of consumer protection from the point of view of a business.

    Business needs consumers as much as consumer needs business, therefore businesses should work towards fulfilling and protecting consumer interests. 
    (1) The long term interest of business:
    This can be achieved by creating and maintaining the customer value in the market by fulfilling customer's needs and expectation leading to customer satisfaction. A satisfied customer will always turn to the organization whenever the need arises.
    (2) Government intervention: The protection of consumer rights is a campaign upheld  by the government to provide the customers best service and products available and to protect them from malpractices in the market. Th organization has to protect the consumers as dwnying it can lead to governmant intervention and legal actions.


    State the responsibility which Sumit had to fulfil as an aware consumer to get the services of the company.

    The company can deny to provide services if the terms and conditions of after sale services are voided by the customer. Sumit should have taken the responsibility of  dealing with the product only by the company official personnel. Not following this voids the contract between the customer and the comapny .


    Distinguish between the following.
    District forum and State commission.

    District Forum:-

    1]Establishment: District Forum is set up by the State Government.
    2]Jurisdiction: It is jurisdiction extends to the whole of the district.
    3]President: A person who is or has been or is qualified to be District Judge may be its President.
    4]Number: There can be more than one District Forum in a District.
    5]Money: It can entertain complaints claiming not exceeding Rs. 20 lakh.
    6]Control: The State Commission has administrative control over all District Forum within the State.

    State Commission:-

    1]Establishment: State Commission is set up by the State Government.
    2]Jurisdiction: Its jurisdiction extends to the whole of the State.
    3]President: A person who is or has been a Judge of High Court may be its President.
    4]Number: There can be only one State Commission in a State.
    5]Money: It can entertain complaints claiming more than Rs. 20lakh but not exceeding rupees one crore.
    6]Control: The National Commission has administrative control over all State Commission in the country.


    Write only a word or a phrase or a phrase or a term which can substitute the following statement.
    A consumer dispute redressal agency that handles claims of more than Rs. $$1$$ (one) crore.

    The National commission is the consumer redressal agency that handles claims of more than ₹1 crore. It consists of a president and four members one of whom shall be a woman which are appointed by Central Government. On receiving the complaint, it informs the party against whom complaint is filed and sends the goods for testing if required and then gives judgment. If aggrieved party is not satisfied with the judgment then they can file a complaint in Supreme Court within 30 days.



    Explain the following Principles of management, as advocated by Henry Fayol:
    Unity of command

    According to Unity of command, an employee should receive orders from one boss only because if he is receiving orders from more than one boss then he will get confused and ultimately the work will be not done.


    Select the proper option from the options given below and rewrite the sentence:
    Government has established__________ to settle consumers' disputes by compromise.

    A Lok Adalat can take up civil cases and compoundable criminal cases and settle consumers disputes by compromise.


    State with reason, whether the following statement is True or False:
    Consumer Protection Act is not a blessing for the consumers.

    Consumer Protection Act, 1986. An Act to provide for better protection of the interests of consumers and for that purpose to make provision for the establishment of consumer councils and other authorities for the settlement of consumers' disputes and for matters connected there with Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India.
    Consumer Protection Act. The Consumer Protection Act 1987 is designed to protect consumers and give them rights when buying goods and services, eg manufacturers are legally obliged to put certain information on products, such as health and safety messages on cigarettes.


    Answer the following question:
    State the rights of consumers.

    Consumer Rights

    There are six broad consumer rights defined as per the Consumer Protection Act, 1986. These are:

    Right to Safety

    The Consumer Protection Act defines this right as a protection against goods and services that are ‘hazardous to life and property’. This particularly applies to medicines, pharmaceuticals, foodstuffs, and automobiles. The right requires all such products of critical nature to life and property to be carefully tested and validated before being marketed to the consumer.

    Right to Information

    This right mentions the need for consumers to be informed about the quality and quantity of goods being sold. They must be informed about the price of the product and have access to other information specific to the product that they wish to consume.

    Right to Choose

    The consumer must have the right to choose between different products at competitive prices. Thus, the concept of a competitive market where many sellers sell similar products must be established to ensure that the consumer can actually choose what to consume and in what quantity. This is to avoid monopoly in the market.

    Right to Seek Redressal

    When a consumer feels exploited, he/she has the right to approach a consumer court to file a complaint. A consumer court is a forum that hears the complaint and provides justice to the party that has been hurt. Thus, if the consumer feels he/she has been exploited, they can approach the court using this right.

    Right to be Heard

    The purpose of this right is to ensure that the consumer gets due recognition in consumer courts or redressal forums. Basically, when a consumer feels exploited, he has the right to approach a consumer court to voice his complaint. This right gives him/her due respect that his/her complaint will be duly heard. The right empowers consumers to fearlessly voice their concerns and seek justice in case they are exploited.

    Right to Consumer Education

    Consumers must be aware of their rights and must have access to enough information while making consumption decisions. Such information can help them to choose what to purchase, how much to purchase and at what price. Many consumers in India are not even aware that they are protected by the Act. Unless they know, they cannot seek justice when they are actually hurt or exploited.

    Consumer Forums

    Consumer forums or consumer protection councils are organizations that help represent consumer interests. They guide consumers in the process of filing complaints in the court when they are exploited and also help in spreading consumer protection awareness.

    A consumer court is where the cases are actually presented and heard. It follows a three-tier quasi-judicial system. District courts deal with cases up to 20 lakhs. A state-level court deals with cases between 20 lakhs and 1 crore, while a national consumer court deals with claims that exceed the value of 1 crore.



    Write a word or a phrase or term which can substitute the following statement:
    A consumer dispute redressal agency that handles claims upto rupees twenty lakhs.

    Section 9 of the Consumer Protection Act provides three-tier dispute redressal agencies. A 'National Consumer Dispute RedressalCommission' established by Central Government by the notification. This Court is known as “National Commission”.
    And this Court is known as “State Commission”.
    Who can file a complaint in a consumer court. Under the Consumer Protection Act, 1986, the following can file a complaint: 
    (i) A consumer. 
    (ii) Any voluntary consumer association registered under the Companies Act, 1956 or any other law.


    Name the three consumer grievance agencies.

    (i) District forum  (ii) State commission
    (iii) National commission


    Name any two consumer rights.

    (i) Right to safety
    (ii) Right to choice


    Which consumer right gives the business firm freedom to set up their own consumer services and grievance cell.

    Right to be heard



    Sandeep purchased a Diesel Car for Rs. 7 lacs from an Automobile Co, and found that engine is defective. Despite many complaints the defect was not rectified. Suggest to him the appropriate authority where he can file the complaint under Consumer Protection Act.

    District forum


    Name the employees' organisation protecting their rights.

    All employees are protected by the Employment Rights Act, 1996. It protects the employees against suffering any harm due to any reasonable actions taken on health and safety grounds. This act is applicable to all employees regardless of their length of service.


    State with reasons, whether the following statement is True or False:
    The Consumer Protection Act was passed in the interest of the sellers.

    The consumer protection act was passed in the interest of the sellers” is false  as the Consumer protection act was established and passed with the clear intention of aiding the consumers in safeguarding their rights. 
    This act aimed at preventing consumer exploitation by educating the consumers of their rights and making provisions against exploiting practices adopted by sellers.


    Write short note on the following:
    Rights of Consumers.

    consumer rights are 

    (1) Right to safety: protection from hazardous goods. 
      A consumer has the right to safety against such goods and services as are hazardous to his health, life, and property. 

    (2) Right to be informed: the availability of information required for weighing alternatives, and protection from false and misleading claims in advertising and labeling practices.



    Can a consumer file a complaint in consumer court without having the cash memo?

    No, without cash memo he cannot file the complaint. Cash memo is the proof of transaction.


    Explain any two points of responsibilities of a consumer.

    (i) Consumer must exercise his rights
    (ii) Insisting on cash memo


    'RO Youth Club' organised a visit of its members to an Old Age Home to inculcate the habit of social work among them. The visit revealed that the living conditions of the inmates of the Old Age Home were not hygienic. So, the RO Youth Club members decided to clean the premises. During their cleanliness drive, they realised that the Old Age Home also required pest control. But some of the inmates of the Old Age Home were reluctant for it because they believed that the pest control may create health problems for them. RO Youth Club, therefore, decided to provide ethical , safe and odourless pest control. They showed to the inmates of the Old Age Home a pamphlet of the proposed pest control product which promised easy, inexpensive and long-lasting pest control. The inmates happily agreed and the pest control was carried out. The effect of the pest control started wearing off after a fortnight. RO Youth Club contracted the pest control company which kept on postponing their visit. After waiting for a month, RO Youth Club filed a case in the consumer court.
    The consumer court was satisfied about the genuineness of the complaint and issued necessary directions to the pest control company..
     (a) State any six directions that might have been issued by the court.
    (b) Identify any two values that are being communicated by RO Youth Club to the society.

    Answer:
    (a) Six directions which might have been issued by the court:
    i. To provide the pest control service again
    ii. Removing the deficiency in the pest control service
    iii. Refunding the cost of pest control
    iv. Removing any misleading advertisements and passing orders for issuing a correct advertisement
    v. Crediting an appropriate amount to the Consumer Welfare Fund
    vi. To discontinue exploitative practice and not to repeat the same in future
    (b) Values communicated by RO Youth Club to society are
    (i) Fulfilling social responsibility as RO Youth Club visited an Old Age Home so that they can do some social work
    (ii) Providing hygienic and clean environment as the club decided to clean the premises.


    State any two reliefs that the Consumer court can grant to consumers in case of genuine complaints in each of the following situations:-
    (i) Divya was charged more than the printed maximum retail price (MRP) for a bottle of water.
    (ii) Clara was sold a car with a defective engine.
    (iii) Antony suffered injury while using newly bought defective electric heater.

    (i) Reliefs that the consumer court can grant to the customers are:
    (a) To refund the price paid
    (b) To pay punitive damages
    (c) To discontinue the unfair/restrictive trade practice and not to repeat the same in future
    (d) To pay any amount (not less than 5% of the value of the bottle of water) to be credited to the Consumer Welfare Fund or any other organisation/person, to be utilised in the prescribed manner.
    (e) To pay adequate costs to the appropriate party

    (ii) Reliefs that the Consumer court can grant to the customers are:
    (a) To Remove the defect in engine
    (b) To replace the defective engine with a new one, free from any defect
    (c) To refund the price paid
    (d) To pay punitive damages
    (e) To pay any amount (not less than 5% of the value of the defective engine) to be credited to the Consumer Welfare Fund or any other organisation/person to be utilised in the prescribed manner
    (f) To pay adequate costs to the appropriate party

    (iii) Reliefs that the Consumer court can grant to the customers are:
    (a) To remove the defect in electrical heater
    (b) To replace the defective electrical heater with a new one, free from any defect 
    (c) To refund the price paid
    (d) To pay reasonable amount of compensation for any loss or injury suffered by the consumer due to negligence of the opposite party
    (e) To pay punitive damages
    (f) To discontinue the unfair/restrictive trade practice and not to repeat the same in future
    (g) Not to offer hazardous goods like defective electrical heater for sale
    (h) To withdraw hazardous goods like defective electrical heater from sale
    (i) To cease manufacture of hazardous goods like defective electrical heater
    (j) To pay any amount (not less than 5% of the value of the defective engine) to be credited to the Consumer Welfare Fund or any other organisation/person to be utilised in the prescribed manner
    (k) to pay adequate costs to the appropriate party


    Give names of two consumer organisations.

    (i) Consumer Guidance Society of India
    (ii) All India Consumer Protection Organization


    "Bhuvan, who was a vegetarian went to a snack bar for having French fries and later found out that it had nonvegetarian content. Neither the advertisement nor the packing of the product displaced that the product has nonvegetarian content. Will Bhuvam be able to claim compensation. which right of the consumer is violated".

    Bhuvan will be able to claim the compensation as the seller has violated the right to information according to this right


    Suggest any two remedies available under Consumer Protection Act

    (i) Removal of defects from goods.
    (ii) Replacement of goods


    Rajiv, a consumer purchased medicines without noticing the date of expiry. He also did not obtain the cash memo. Do you think he will be able to protect himself by the loss caused due to expired medicine? Give reasons to support your answer.

    Rajiv will not be able to protect himself by the loss caused to expired medicine because Rajiv did not fulfil his responsibility on following grounds:
    (i) He did not go through the packing instructions mentioned on the label of the packet
    (ii) He did not obtain the cash memo from the seller. Cash memo is a proof of purchase and it is must for filing any complaint.


    Aman, a degree holder in Entrepreneurship came to know about Piplantri Village located in Rajasthan, where in 2006 an initiative was started, in which 111 trees are planted every time a girl child is born.
    To keep termites away from the trees the villagers have planted 2.5 million. Aloe Vera plants around the trees. This has turned the village into an oasis, as the planting of trees led to higher water levels.
    Aman decided to visit the village to start a business unit, for the processing and marketing of Aloe Vera into juices, gels and other products.
    However, on visiting village Aman found that the villagers were suffering exploitation at the hands of local merchants who were engaged in unscruplous, exploitative trade practices like hoarding and black marketing of food product sand also selling unsafe, adulterated products to the villagers
    After looking at their plight instead of a business organisation he decided to set up an organisation for the protection and promotion of the consumer interest of the villagers. 
    State the functions that the organisation established by Aman will be performing (Any six points).
     

    Functions of an NGO / Consumer organisation :-
    (i) Educating the villagers/general public about consumer rights by organizing training programs, seminars and workshops
    (ii) Publishing periodicals and other publications to impart knowledge about consumer problems, reliefs available and other matters of interest.
    (iii) Carrying out comparative testing of consumer products in accredited laboratories to test relative qualities of competing brands and publishing the test results for the benefit of consumers
    (iv) Encouraging consumers to strongly protest and take an action against exploitative and unfair trade practices of sellers
    (v) Providing legal assistance to consumers by way of providing aid, legal advice, etc in seeking legal remedy
    (vi) Filing complaints in consumer courts on behalf of consumers
    (vi) Taking an initiative in filing cases in consumer courts in the interest of the villagers/general public not for an individual.


    Himesh after completing his graduation started working with a multinational company in Delhi. But due to till health of his parents he had to go back to his village. There he noticed that the villagers were literate but ignorant about their rights. Many vegetable vendors were using stones as weights to sell their vegetables. Some shopkeepers were selling food items without having 'FPO mark'. Villagers did not find anything wrong with these practices. So to create a awareness among villagers Himesh decided to publish a weekly Journal 'Jan Jagriti'. State the 'Right' which Himesh has exercised by doing so.

    Right to consumer education


    'Grahak Shakti', an NGO organized a workshop to discuss various issues relating to consumers. During the discussion, one of the members drew attention towards the exploitation of consumers due to defective and unsafe products, adulteration, black marketing, hoarding etc. To this another member argued that consumers themselves are responsible as they do not raise collective voice against the exploitation. The Chairperson of the organisation was of the opinion that it was also the duty of the businessman to take care of the interests of various stakeholders. Business organisations earn money by selling goods and services to consumers. So the interests of the stakeholders have to be well take care of.
    State three points that highlights the need for consumer protection as discussed in 'Grahak Shakti's workshop.

    (i) Widespread exploitation of consumers
    (ii) Unorganized consumers
    (iii) Social responsibility


    Sirajuddin purchased a car for Rs.15 lacs from an automobile company and found that its airbags were defective. After many complaints with the company that went unheard, he filed a case in the District Forum. He was not satisfied with the order of the District Forum. He then appealed before the State Commission and on being dissatisfied with the orders of State Commission, he appealed before the National Commission. Sirajuddin was not satisfied with the order of National Commission.
    Suggest him the highest authority where he could appeal against the decision of the National Commission.

    He cannot appeal to any other highers authority as only those matters which have been directly filed in the National Commission and where the value of goods and services in question along with the compensation claimed exceed Rs. 1 crore, are appealable before Supreme Court.


    On the occasion of 'Dhan Teras' Mr. Aakash went to market for purchasing utensils. He bought pressure cooker from a shop. The shop was overcooked on the festival, so he did not obtain the cash- memo for the purchase and did not check its certification. Next day, his wife used the cooker, which burst and his wife suffered injuries.
    (i) Identify and explain the Consumer liabilities which have not been discharged by Mr. Aakash
    (ii) Mention the values which have been ignored by the seller as well as of Mr. Aakash.

    (i) Insist on cash memo
    (ii) Cautious Consumer, concern for quality


    Rama, who was a vegetarian, went to a bakery and bought a vanilla cake. On reaching home. She found that it had non-vegetarian content. Neither the advertisement nor the packaging of the product displayed that the product had non-vegetarian content. Will Raman be able to claim compensation? Which right is violated here?

    Yes, right to information


    A farmer purchased seeds worth Rs. 20,000 from 'Bharat Fertilizers" for agricultural purposes. The seeds were very costly as they were of the hybrid variety. After 6 months he noticed that the agricultural produced was not upto expected standard. He reported this matter to the seller, but he refused to accept the liability. 
    Mention the redressal agency in which he can file a complaint.

    District forum


    On securing 95% marks in class XII, Ram's father gifted him a gold chain. But after 2 months, Ram noticed that the gold chain was losing the shine. He checked the mark on chain and found that it was not a proper hallmark (BIS). He lodged a complaint in the district forum, which rejected it. Not satisfied by the decision of district forum, he was very much disturbed and after 45 days, he decided to appeal further. 
    Can Ram appeal against the decision of the district forum? Give reasons in support of your answer. Explain feature of district forum.

    District forum


    Tanya purchased some household goods from a 'General Store'. On reaching home, she found that one face cream (Rs. 250) had not been billed. She became happy that, she got it without paying for. After checking the expiry date and other details, she started using it. Her face burnt due to the use of cream.
    (i) Where should Tanya file the complaint for the cream? Justify.
    (ii) Which values have been violated here?

    (i) She cannot file as no cash memo
    (ii) Value of honesty


    Mukul purchased a house for Rupees 30 lakhs from a housing company and found it being defective. Despite many complaints the defect was not rectified. He filed a complaint in the state commission but was not satisfied with the order. Where can be appeal and in how many days.

    National Commission within 30 days of passing of the order of State Commission


    Sonu purchased a medicine from 'Alpha Medical Stores' for his wife had stomach pain. But even after giving the medicine, wife's condition did improve and she had to be admitted to a nearby hospital for treatment. Doctors on examination found that the medicines given to Sonu's wife were spurious. Sonu complained about this to 'Alpha Medical Store'. As result Alfa medical decided to file a complaint against the manufacturer in the consumer court. Can Alpha Medical Store lodge the complaint? 
    Give reason.

    No. Alpha Medical Store is retailer and retailer is not a consumer. Only consumer can file a complaint


    Naresh purchased a 'BMW' car for Rs.50,00,000 on instalments. He found that the engine of the car was defective. Despite many complaints to 'BMW Motors', the defect was not rectified. He filed a complaint in state commission but was not satisfied with its order. 
    Where can he appeal and within how many days?

    National Commission within 30 days


    Neha's elder brother purchased "I-phone 6-Apple" mobile phone for S. 65,000 without cash memo from one of his friend-an authorised dealer with a guarantee that the mobile phone will be replaced with a new one if any of its parts become defective within 1 year from the date of purchase. Within 1 month, the mobile stopped working. When Neha's brother approached his friend for replacement of mobile, he refused. Name the redressal agency under the consumer protection act where Neha's elder brother can file the complaint.

    He cannot file a complaint as he did not take cash memo


    Name the Consumer Court where the complaint will be filed by the consumer.

    (i) District forum (ii) State Commission (iii) National Commission


    Name two Indian mass media programmes/ TV commercials based on consumer awareness.

    (i) Apne adhikar
    (ii) Jago grahak


    The earlier approach of Caveat Emptor which means, "let the buyer beware" has now been changed to what?

    It is changed to 'let the seller beware'


    Name the quality certification mark used in case of fruit products.

    FPO


    To publish a magazine under the title Upbhokta Jagran is the example of which consumer right?

    Right to consumer education


    Anita purchased a book from 'Satish Book Stores'. While reading the book she found that ten pages were missing. She approached the seller of the book and complained about the missing pages. The seller promised that if the publisher was ready to change the book he would change the same. After a week the seller informed Anita that the publisher had refused to change the book.
    Where can Anita file a complaint against the seller of book? 
    Give reason in support of your answer. Also explain who is a consumer.

    (1) district forum
    (2) Define consumer


    On Sorika's birthday her mother gave her a pair of gold ear-rings. After one month Sonika observed that the ear-rings are losing their shine. She checked the mark on the ear-rings and found that it was not a proper Hallmark and her mother had been cheated by the shopkeeper. So, she fined a complaint in the district forum which rejected it. Not satisfied by the decision of district forum, she was very much disturbed and after two months decided to appeal further.
    Can Sonika appeal against the decision of the district forum? 
    Give reason in support of your answer.

    No, Sonika cannot appeal now as the appeal has to be filed within 30 days of passing of the order by the District Forum.


    Name the products to which the following quality certification marks are associated.
    1044697_7f487f3cbeb141b7aa01845454e8015b.PNG

    (i) food product  (ii) electronic  (iii) agricultural product  (iv) wollen garment  (v) gold  (vi) Eco mark


    What are two major activities of Bureau of India Standard Act?

    (i) Formulation of the quality standard of goods
    (ii) Certification of goods


    'Sehaj bought Teak wood furniture for his drawing room from "Akshay Decors" of Kirti Nagar, Delhi for Rs. 4 lakhs. At the time of purchase the firm assured Sehaj about the best quality of the said furniture and gave 2 years warranty starting  that if anything goes wrong, the firm shall replace it with a new one or refund the purchase amount. But the dining table and chairs started developing cracks at various places and the polish' became very dull within 30 days of purchase. Sehaj reported the matters to the firm and requested a number of times to replace the furniture. The firm neither paid attention to these requests nor replaced the furniture.
    (i) Identify the consumer rights which have been violated by the furniture manufacturer. 
    (ii) Where can Sehaj lodge complaint for this?
    (iii) Mention the value (2) which have been violated by the firm.

    (i) Right to be Heard and Right to Seek Redressal
    (ii) District forum
    (iii) Supply of quality product and honesty


    The owner of a restaurant is charging Rs.30 for a bottle of water to the customer. Whereas the MRP of the bottle is Rs.One of the consumers objected to it but the owner did not agree and continued with that malpractice.
    (i) What are the possible reasons that other consumers are not agreeing
    (ii) Which right of the consumer can remove this ignorance of the consumer?

    (i) the other consumers may not be aware of their rights
    (ii) Right to consumer education can help to spread awareness to consumers.


    Explain the redressal mechanism available to consumers under the Consumer Protection Act, 1986.

    Consumers play a key role in maintaining the economy of India. Each and every person constitutes a consumer because each one of us is engaged in some form of exchange of goods or services through money as a medium. Gradually, there arise many kinds of disputes among the consumers as well as consumers and the sellers. In this context, it has to be stated that there lies a need for a statute which regulates the friction between the consumers and the sellers. For this purpose, Consumer Protection Act was enacted in the year 1986 to look after the various rights and duties of the consumers during the time of purchasing a product and even after that. The Act plays an important role in the fields where there arises an incidence of exchange of goods or services between two persons where money acts as a medium. The Act also provides certain guidelines as to what measures must be complied with during the time of such exchange, what are the various rights available to both the buyer and seller etc. It also provides certain provisions regarding the need and formulation of various ‘Consumer Redressal Centres’ both at the central as well as states level.The Act lays down certain provisions regarding the definition of consumer, various consumer protection councils, and provisions in connection with various consumer redressal agencies in India as well as other miscellaneous provisions. Among this, provisions relating to consumer redressal agencies demand a lot of attention in the present Indian scenario. Many people are still not aware that there are such agencies working in favor of consumers in every district. Due to this reason, many of them are not getting proper solutions for their problems as consumers. Chapter III of the Act provides for the implementation of redressal agencies. Section 9 of the Act provides for ‘establishment of consumer dispute redressal agencies’ which include:

    -A District zforum established by the State Government in each district of the State by its notification.
    -A State Commission established by the State Government in each state by its notification and
    -A National Commission established by Central Government by notification [1]
     Consumer-Rights

    • District Forum
    Each District Forum shall consist of a person who is or has been qualified as a District judge, as the President. There must be two other persons who are not less than thirty-five years of age and also possesses a degree from a recognized university. The persons must have adequate knowledge in the field of economics, commerce, industry, public affairs, and administration. The district forum must have the jurisdiction to entertain such complaints where the value of goods or services and the compensation, does not exceed Rs. twenty lakhs. The need for district forums for consumer redressal is that majority of the people who face any consumer rights violation are unable to file a complaint in a state or national forum because such f have to look at matters concerning various other district forums which result in a large number of pending cases. District forums are also enabled with a faster way of dispensing consumer redressal as the amount of claim is pretty less than that of State/National redressal forums which enables normal people to seek a solution for their problems.

    • State Commission
    Each State Commission shall consist of a person who is or has been a judge of High Court as its president. The Commission also consists of not less than two members, who are above thirty-five years of age and also possesses a degree from a recognized university. The persons must have adequate knowledge in the field of economics, commerce, industry, public affairs, and administration. The Act also states that not less than fifty percent of the members shall be from amongst the persons having a judicial background. The State Commission has a jurisdiction to entertain cases where the value of goods or services or the compensation claimed, if any, exceeds the number of Rs. twenty lakhs but does not exceed Rs. one crore. It also entertains appeals against any District Forum within the state and also looks after any pending disputes or cases decided by any of the District forums in which the forums have exercised a jurisdiction not vested in them by the law, or has been exercised illegally or with any material irregularity.

    • National Commission
    The National Commission shall consist of a person, who is or has been a judge of the Supreme Court, to be appointed by the Central Government, shall be the President, provided that no appointment shall be made except after the consultation with the Chief Justice of India. The commission shall consist of not less than four members of its executive committee who shall not be less than thirty-five years of age and must be graduates from a recognized university. They must also be specialized in the areas of commerce, economics, and administration. The jurisdiction of the commission shall extend to any case where the compensation amount might exceed Rs. one crore and the Commission shall also entertain appeals against State Commissions. The Commission also has the power to check any pending disputes or cases decided by any of the State Commissions where the State Commission has exercised a jurisdiction not vested in it by law or it has been exercised illegally or with any material irregularity.

    -Power of redressal forums
    There are various powers for all of the redressal forums with regards to its jurisdiction. Some of them include:
    1.Examining, enforcing as well as summoning the witness on oath;
    2.Discovering and producing any material evidence;
    3.Receiving evidence on affidavit;
    4.Requesting for report or test analysis from the concerned authorities and laboratories;
    5.Issuing commission for examining the witness;
    6.Enforcing any other powers prescribed by the Central or State Government.
     
    Limitation period
    The District, State or National Forum for consumer grievance redressal will not entertain a case which is filed two years after the occurrence of the case unless the party/parties can condone themselves regarding the reasons behind the delay of filing within the specified period. Such a provision was formulated to increase the accuracy of the function of such forums and also for delivering fast redressal solutions to the parties.[1]

    Conclusion
    From various landmark judgments by the Supreme Court in connection with cases affecting consumer rights, it will be clear that there is an increase in the number of cases involving consumer protection when compared to the past. It indicates that people are now aware of their various rights as consumers. The Act not only covers the rights of the consumers but also provides certain duties for them too. It has been stated that it is the duty of a consumer to ask clearly about various characteristics and features of the product which he/she wishes to buy. The Act does not entertain certain malicious acts such as black marketing and selling a good above the prescribed rate of MRP. The doctrine of ‘caveat venditor’ (let the seller beware) has been changed into ‘caveat emptor’ (let the purchaser beware) so that the purchaser will also be aware of various features, merits and demerits of the good as well as protection of their rights themselves. There is still an emerging need of various other redressal machineries in this field due to the increased number of pending cases as well as for implementing alternative means in the field of consumer protection. The Act may be amended in such a way that it includes certain dispute redressal mechanisms like ‘Alternative Disputes Resolution’ as a core function of the said redressal agencies dealing with consumer rights.


    Enumerate the various acts passed by the government of India which helps in protection of consumer interest.

    The Indian legal framework consists of a number of regulations that provide protection to consumers. Some of these regulations are as under:
    (i) The Consumer Protection Act, 1986
    The Act provides safeguards to consumers against defective goods, deficient services, unfair trade practices, etc.
    (ii) The Contract Act, 1982
    The Act lays down the conditions in which the promises made by parties to a contract will be binding on each other.
    (iii) The Sale of Goods Act, 1930
    The Act provides some safeguards and reliefs to the buyers of the goods in case, the goods purchased do not comply with express or implied conditions or warranties.
    (iv) The Essential Commodities Act, 1955
    The Act aims at controlling, I (reduction, supply, distribution, and price of essential commodities.
    (v) The Agricultural Produce Act, 1937
    The Act prescribes grade standards for agricultural commodities and livestock products.
    (vi) The Prevention of Food Adulteration Act, 1954
    The Act aims to check the adulteration of foods articles and ensure their purity, so as to prevent public health.
    (vii)The Standards of Weights and Measures Act, 1976
    It provides protection to consumers against the malpractice of underweight or under-measure.
    (viii) The Trade Marks Act, 1999
    The Act prevents the use of fraudulent marks on products and thus provides protection to the consumers against such products.
    (ix) The Competition Act, 2002
    The Act provides protection to the consumers in case of practices adopted by business firms that hamper competition in the market.
    (x) The Bureau of Indian Standard Act, 1986
    The bureau has two major activities: formulation of quality standards for goods and their certification through the BIS certification scheme. The bureau has also set up a grievance cell, where consumers can make a complaint about the quality of products carrying the ISI mark.


    Explain the 'Right to Safety'.

    Right to Safety
    According to the Consumer Protection Act 1986, the consumer right is referred to as ‘right to be protected against marketing of goods and services which are hazardous to life and property’. It is applicable to specific areas like healthcare, pharmaceuticals and food processing, this right is spread across the domain having a serious effect on the health of the consumer for their well being viz. Automobiles, Housing, Domestic Appliances, Travel etc. When there is a violation of the right then there occur medical malpractice lawsuits in the country. It is estimated every year that thousands or millions of citizens of India are killed or seriously injured by immoral practices by doctors, hospitals, pharmacies, and the automobile industry. Still, the government of India, known for its callousness, does not succeed in acknowledging this fact or making a feeble effort for maintaining statistics of the mishaps.


    Radha found a worm crawling out of newly opened tetra pack of a juice manufactured by a reputed company, Zest Ltd., She went back to the shopkeeper from whom the pack was purchased who directed her to call up the customer care centre. When all her efforts failed, she went to a consumer activist group to seek help. The group decided to help Radha and take measures to impose restrictions on the sale of the firm's products of the particular batch and urge customers to refrain from buying the products of the company, Zest Ltd lost its image in the market. The CEO gives the responsibility of bringing back the lost image of the company to a Manager.
    (a) Identify the concept of Marketing Management which will help the Manager getting the firm out of the above crisis.
    (b) Also explain the role of above-identified concept by stating any two points.

    (A) Public Relations
    (B) Role of public relations can be discussed with respect to the functions which the department performs:
    (i) Press relations
    (ii) Product publicity
    (iii) Corporate communication (iv) Lobbying
    (v) Counselling


    Explain following rights of consumer:-
    (a) Right to safety (b) Right to consumer education.

    (i) Right to Safety: A consumer has a right to be protected against goods and services which are hazardous to life and health. For instance, electrical appliances which are manufactured with sub-standard products that do not conform to the safety norms might cause serious injury. Thus, consumers are educated that they should use electrical appliances which are ISI marked, as this would be an assurance of such products meeting quality specifications.
    (ii) Right to Consumer Education: The consumer has a right to acquire knowledge and to be a well-informed consumer throughout life. Many consumer organizations and some businesses are actively educating consumers. He should be aware of his rights and the reliefs available to him in case of a product or service falls short of his expectations.


    Give one relief available to a consumer who suffers due to the consumption of an expired date medicine.

    Consumer can claim any reasonable amount of compensation for any sickness or injury suffered by using that particular product after expired date.


    Describe briefly the features of state commission.

    State Commission consists of a president and one of the member has to be a woman. A working or retired judge of High Court can be the President.
    The President is appointed by the State Government after consultation with the Chief Justice of the High Court.
    In 1986, it had jurisdiction to entertain complaints when the value of goods or services exceeds Rs 20 lakhs to 1 crore.


    Himanshu purchased a new car from 'Galaxy motors' for Rs 25 lakhs. he was offered free insurance for the first years and three free servicing to be availed after the card had covered 5,000 km, and 15000 km respectively. When Himanshu took the car for the first free servicing , he was told that the car was not new and first services had already been available on this car. He felt cheated and filled a complaint in the state commission. Being not satisfied with the decision of the state commission, after two months he decided to file an appeal against it.
    Can Himanshu appeal against the decision of the state commission? GIve reason in support of your answer

    No, Himanshu cannot file a case against the decision of the state commission. This is because an appeal can be filled against the decision of the state commission only within 30 days of passing of the judgement. In the given situation, Himanshu decided to file an appeal after two months (60 days). Thus , now appeal cannot be filed by him.


    Enumerate the various acts passed by the government of India which help in protection of consumers' interests.

    Government of India has provided various laws and legislations to protect the interest of consumer and some of these regulations are:
    1. The Consumer Protection Act 1986:
    Enactment of Consumer protection Act 1986 was one of the most important steps taken to protect the interest of consumer. The provision of act came into force from July 1, 1987. The main features of this Act are:
    (i) This act has provided various rights and responsibilities to consumers.
    (ii) It provides safeguard to customers against defective goods, deficient’s, services, unfair trade practices and other forms of their exploitation.
    (iii)The act has provided three tier redressal agencies where consumer can file complaints.
    These are District forum, State Commission and National Commission.
    2. The Contract Act 1982:
    This Act is formed to bind people on their promises made in a contract. The Act also provides remedies available to parties in case of breach of contract.
    3. The Sale of Goods Act 1930:
    This act provides safeguard and relief to customers in case goods are not complying with the expressed conditions and warranty.
    4. The Essential Commodities Act 1955:
    This act is formed to control production, supply and distribution of essential commodities. It checks inflation and ensures smooth and equal supply of these goods. It also checks black marketing, hoarding.
    5. The Agricultural Produce (Grading and Marking) Act 1937:
    This act is formed to assure quality of agricultural products. This Act provides grade standards for agricultural commodities. The quality mark which is supplied by this act is “AGMARK.” This mark is given only when goods are produced by following minimum standards.
    6. The Prevention of Food Adulteration Act 1954:
    This Act is formed to check Adulteration of food articles and ensure their purity so that the health of general public can be maintained.
    7. The Standard of Weights and Measures Act 1976:
    This Act provides protection to consumers against malpractices of underweight, under measure. The provision of this Act is applicable on those goods which are sold or distributed by weight and measure.
    8. The Trade Mark Act 1999:
    This Act prevents the use of fraudulent marks on products. This act is introduced in place of trade and merchandise mark act 1958.
    9. The Competition Act 2002:
    This Act is related to monopolies and restrictive trade practices Act 1969. This Act is formed to encourage healthy competition and protect consumers from companies which hamper competition.
    10. The Bureau of Indian Standard Act 1986:
    This Act is formed to provide special marks to products which fulfill some minimum quality standards. The common mark issued under this Act is ISI mark. This act has set up a grievance cell where consumer can make a complaint about a product which is not up to a quality mark and are having ISI mark.


    Answer the following question in $$15$$ to $$20$$ sentences.
    State any five features of district forum.

    Features of District Forum:
    1. Composition of District Forum: -A District Forum has to consist of:
    a. A person who is or has been or is qualified to be a District Judge, to be nominated by the State Government, to be its President.
    b. Two other persons of eminence, in the field of education, trade, or commerce one of whom shall be woman.
    2. Term of Office: -Members of the District Forum hold office for a term of 5 years or upto the age of 65 years whichever is earlier and are not eligible for re-appointment. In other words, the maximum period of membership of the forum is 5 years.
    3. Salary: -The State Government drafts rules regarding salary or honorarium and other allowances payable to members and also the terms and conditions of their service.
    4. Jurisdiction of District Forum: -As per the latest amendments, the District Forum has the jurisdiction to entertain complaints, where the value of goods or services and the compensation, if any, claimed does not exceed Rupees five Lakh.
    5. Number: -There are a number of District Forums in Maharashtra eg, In Mumbai, Pune, Ahmednagar, Aurangabad, Nagpur, Nasik, Ratnagiri, Satara, Sholapur, Sangli etc.
    In Mumbai, the District Forum has 3 offices, at Dadar, Worli and C.S.T.



    Explain any four points of importance of 'Consumer protection' from the point of view of business.

    Consumer protection plays an important role for businesses in the following ways:
    (i) Long-term interest of business: It is in the long-term interest of business to satisfy their customers.     Satisfied customers not only leads to repeated sales, but also helps in increasing the customer base.
    (ii) Social responsibility: It is the social responsibility of every business to take care of the interest and protection of its consumers.
    (iii) Moral justification: It is the moral duty of any business to take care of consumer’s interest and avoid any form of their exploitation.
    (iv) Government intervention: A business engaged in any form of exploitation would invite government intervention or action.


    Answer the following question in $$15$$ to $$20$$ sentences.
    Write in brief the importance of consumer protection.

    Importance of Consumer Protection
    I. Importance from Consumer Point of View 
    Consumer Ignorance: Consumer when seeing it from their point of view then we have gathered some aspects to it. Of which, Consumer Ignorance needs to be taken care of they should know how to exercise their rights and how to seek reliefs.

    Unorganised Consumer: We need a Consumer Organisation which can unify the consumers and help them seek relief with their consumer issues.

    Widespread Exploitation of Consumer: Consumer is been exploited through the ways of adulteration, false practice, fake weights, incomplete information on packaged products, Misleading Advertisements. For instance, there are many products that claim to make you fair or reduce your weight but when you use the products it does not provide what is promised.

    II. Importance from Business Point of View
    Do business really need to consider consumer protection, is there a way which can benefit them as well? Let us have a look at some of the points which provide us with some insight :

    Long-Term Interest of Business: If one wants to increase their customer base in long-term then they need to make a satisfied customer. A satisfied customer with their word of mouth would make more customer and increase the consumer base. 

    Business uses society’s Resources: Business should not hamper consumer confidence as most of the resources taken from the society. In turn, business keeps in mind public interest and provide products accordingly.

    Social Responsibility: Business have responsibilities towards the consumer, government bodies and society and they should work in a way which should be beneficial to them and the business as in return it will flourish their business.

    Moral Justice: Business has a moral duty to the society and consumer and they should take steps which should not hamper the society or consumer. They should prevent any sort of exploitation like adulteration, unfair practices, defective product, fair price and weight.

    Government Intervention: To avoid the situation of government intervention in the business which could be a hectic task. For that business should design their trade practice in such a way which would be in the interest of the consumer.


    Answer the following question in $$2$$ or $$3$$ sentences.
    Mention any two needs of consumer protection.


    Consumer protection is needed because of following:

    1. We need physical protection of the consumer, for example protection against products that are unsafe or dangerous to his health and welfare.

    2. Consumer want protection against deceptive and unfair trade and market practices.

    3. Consumers protection is needed against all types of pollution so that they can enjoy a healthy environment-free from water, air and food pollution.

    4. Consumer protection is also needed against the abuse of monopolistic and restrictive trade practices. Protection delayed is protection denied.




    Answer the following question in $$2$$ or $$3$$ sentences.
    Write any two Rights of consumers.


    Consumer Rights :- 
    • Right to safety
    Means right to be protected against the marketing of goods and services, which are hazardous to life and property. The purchased goods and services availed of should not only meet their immediate needs, but also fulfil long term interests. Before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. They should preferably purchase quality marked products such as ISI,AGMARK, etc

    • Right to choose
    Means right to be assured, wherever possible of access to variety of goods and services at competitive price. In case of monopolies, it means right to be assured of satisfactory quality and service at a fair price. It also includes right to basic goods and services. This is because unrestricted right of the minority to choose can mean a denial for the majority of its fair share. This right can be better exercised in a competitive market where a variety of goods are available at competitive prices


    Answer the following question in a sentence or a word.
    When was Consumer Protection Act enacted?

    Consumer Protection Act, 1986. The Consumer Protection Act, 1986 (COPRA) is an Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India.


    Answer the following question in $$2$$ or $$3$$ sentences.
    Write any two differences between District consumer forum and State Consumer Commission.

    District Forum:-

    1]Establishment: District Forum is set up by the State Government.
    2]Jurisdiction: It is jurisdiction extends to the whole of the district.
    3]President: A person who is or has been or is qualified to be District Judge may be its President.

    State Commission:-

    1]Establishment: State Commission is set up by the State Government.
    2]Jurisdiction: Its jurisdiction extends to the whole of the State.
    3]President: A person who is or has been a Judge of High Court may be its President.



    Answer the following question in a word or a sentence.
    Who can file a complaint in consumer court?

    A dissatisfied consumer can file a complaint directly with the national commission or appeal against decisions of the state commission within a month from the date of the order. The court fee is Rs 5,000 and the demand draft should be in the name of The Registrar, National Consumer Disputes Redressal Commission.


    Answer the following question in a sentence or a word.
    When is consumer rights day observed?


    World Consumer Rights Day was inspired by President John F Kennedy, who sent a special message to the US Congress on 15th March 1962, in which he formally addressed the issue of consumer rights. He was the first world leader to do so. The consumer movement first marked that date in 1983 and now uses the day every year to mobilise action on important issues and campaigns.

    Objective
    World Consumer Rights Day is an annual international event that signifies celebration and solidarity in the international consumer movement, demanding that, consumer rights are to be respected and protected. The event also gives a chance to protest against the market abuses and social injustices which undermine those rights


    What is meant by a 'consumer'? as per the provisions of Consumer Protection Act, 1986? 

    Consumer Protection Act, 1986 has defined consumer as:
    (a) In Case of Use of Goods- Any person who buys any goods for consideration, which has been paid or promised, or partly paid and partly promised, or under any scheme of deferred payment. It includes user of such goods, when such use is made with the approval of the buyer, but does not include a person who obtains goods for resale or any commercial purpose.
    (b) In Case of Use of Services- Any person who hires or avails of any service for a consideration, which has been paid or promised or under any scheme of deferred payment. It includes any beneficiary of services when such services are availed with the approval of the person concerned but does not include a person who avails such service for any commercial purpose.


    Suman bought a box of cheese of a reputed brand from a local shopkeeper. On opening the box she found a piece of stone in the cheese. She reported the matter to the shopkeeper who forwarded her complaint to the concerned company. Within a week the representative of the company visited Suman's residence with an apology and as a replacement offered her a new cheese pack with four other varieties of cheese as compensation for the inconvenience to her.
    State the consumer right which Suman exercised. 

    The consumer right exercised by Suman in the above case is ‘Right to seek Redressal’.
    The Right to Redressal means, 'the right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers'. With the help of the Consumer Protection Act, consumer courts are incorporated for consumers to seek redressal against unfair trade practices or exploitation.


    State any eight reliefs available to the consumer, if the court is satisfied
    about the genuineness of the complaint.

    In case of genuineness of the complaint, the court can issue one or more directions to the opposite party.

    ·        To remove defect in goods or services.

    ·        To refund the price.

    ·        To replace the defective good with a new one.

    ·        To pay a reasonable amount of compensation for any loss or injury suffered.

    ·        To pay punitive damages.

    ·        To discontinue the unfair/restrictive trade practices.

    ·        Not to offer hazardous goods for sale.

                              To withdraw hazardous goods from sale.



    Answer the following question in $$10$$ to $$12$$ sentences.
    State any four consumer responsibilities.

    Consumer responsibilities include the following

    1. Be honest with the information you provide.
    Always give full and accurate information when you are filling in any bank documents. Do not give false details or leave out important information.

    2. Carefully read all information provided by your bank.
    When you submit your application, you should receive full details on the obligations for your service or product. Make sure you have access to the details of your obligations, that you understand them and that you can comply with them.

    3. Ask questions.
    It is important to ask questions to bank employees about anything that is unclear or a condition that you are unsure about. The staff will answer any questions in a professional manner to help you in your decision making.

    4. Know how to make a complaint.
    You can be proactive in using this service and knowing how to escalate your issue to higher levels, if appropriate. Your bank will provide you with details on how to complain and the timeframe for their response.

    5. Use the product or service in line with the terms and conditions
    Do not use the product or service, except in accordance with the terms and conditions associated with them, and after making sure of your complete understanding.


    Write a word/ Phase /term which can substitute the following statements:
    The right of a consumer which allows him to express his views

    Right to be heard. 
     It means that consumer's interests will receive due consideration at appropriate forums. It allows a consumer to file a complaint and assures that his/her grievances will be heard.  


    Define a Consumer according to the provisions of the Consumer
    Protection Act, 1986.

    1.      Section 2(d) of the Consumer Protection Act says that consum­er means any person who—

      (i) buys 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 promised or partly paid or partly promised, or under any system of deferred payment when such use is made with the approv­al of such person, but does not include a person who obtains such goods for resale or for any commercial purpose; or

      (ii) hires or avails of any services 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 beneficiary of such services other than the person who hires or avails of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred pay­ment, when such services are availed of with the approval of the first mentioned person.


    Who can file a complaint under Consumer Protection Act?

    Following persons can file the complaint-
    (i) Any consumer can file a complaint on his/her own and does not need the services of advocate/professionals,
    (ii) Any registered consumers association,
    (iii) The Central Government or any State Government,
    (iv) One or more consumers, on behalf of numerous consumers having the same interest, and
    (v) A legal heir or representative of a deceased consumer.


    Write short notes on the following.
    Importance of consumer protection.

    The importance of consumer protection can be understood from the following points:
    1. Consumer ignorance: A consumer is ignorant and thus he should know how to exercise his rights and seek relief.
    2. Unorganized consumer: As the consumers are unorganized there is a need for a consumer organization that can unify them.
    3. Exploitation of consumers: Consumers are exploited by way of adulteration, fake information and weights, misleading advertisement, etc. Thus, they need to be protected.


    Class 12 Commerce Business Studies Extra Questions