Consumer Protection Bill 2018: From compensation for faulty items to levying fines; all you need to know

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Published: December 21, 2018 10:25:03 AM

Lok Sabha on Thursday passed Consumer Protection Bill, 2018 which enforces customer rights and provides for redressal of complaints regarding deficiencies in goods and services.

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Lok Sabha on Thursday passed Consumer Protection Bill, 2018 which enforces customer rights and provides for redressal of complaints regarding deficiencies in goods and services. The Bill which would replace the 1986 Act allows consumers to recall faulty products, seek compensation for defective products or deficiency in services.

Key provisions of the Consumer Protection Bill, 2018

1) The bill proposes setting up of the Consumer Disputes Redressal Commission and forums at the District, State and National levels for adjudicating consumer complaints.

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2)It will have the power to set up a Central Consumer Protection Authority to promote, protect and enforce consumer rights as a class.

3) In case a customer suffering from an injury using a faulty product or deficiency in service, product liability may be claimed against the manufacturer, the seller, or the service provider.

4)The Bill also defines unfair and restrictive trade practices.

5)The complaints can be filed electronically with Consumer Disputes Redressal Commission from where the complainant resides or works.

“These Commissions will be set up at district, state and national level, with pecuniary jurisdiction up to Rs one crore, Rs one crore to Rs 10 crore, and above Rs 10 crore, respectively. In case of unfair contracts, the state commissions will hear complaints where the value is up to Rs 10 crore, and national commissions will hear complaints above that value. These commissions can declare unfair terms of such contracts to be null and void,” noted the Bill.

The commissions will attempt to dispose of a complaint within three months, it added.

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