The Indian consumer is being shortchanged, despite best intentions. The Consumer Protection Bill, 2018, introduced in Parliament in the last Winter Session, incorporates some of the best international practices for protection of consumer interests.

Yet it is being thwarted at every step. The Bill was introduced in Lok Sabha on &nbsp;January 5, 2018, to replace the Consumer Protection Act, 1986. Three years before that, the Consumer Protection Bill, 2015, was introduced in Lok Sabha on August 10, 2015, and was referred to the Standing Committee on Food, Consumer Affairs and Public Distribution on August 25, 2015, for examination.

The Standing Committee (2015-16), with JC Divakar Reddy as chairperson, recommended this Bill with some modifications, after consultation with various stakeholders.

The Consumer Protection Bill, 2015 was withdrawn and replaced with the Consumer Protection Bill, 2018, which takes care of most of the suggestions of the Standing Committee.

Considering that this Bill was introduced on January 5, 2018, the last day of the Winter Session of Parliament, one could have reasonably expected it to be passed in the Budget Session.

But this session turned out to be a total waste. According to one media report, productivity in both Houses of Parliament had dropped to less than 10 per cent of the average. Other reports, which appeared after the Budget Session ended on April 6, said it was the least productive in the last 18 years!

Lok Sabha lost 127 hours and 45 minutes due to disruptions while Rajya Sabha wasted 121 hours. In the limited working time, five bills could be passed as against the planned 40. Obviously, lawmakers found no time for this consumer-friendly initiative, which should have received priority attention.

Nevertheless, exactly 32 years ago, lawmakers gave us the Consumer Protection Act, 1986. It was a landmark legislation. Consumers were made to believe that as and when their consumer rights were violated, they could approach the consumer forum for speedy justice.

Many of them did go to the consumer forum. As per latest statistics displayed on the website of National Consumer Disputes Redressal Commission (NCDRC), nearly 50 lakh consumer cases have been filed in district forums, state commissions and the National Commission set up across the country under the Act. It also shows an impressive disposal of over 91 per cent. But it is difficult to overlook the fact that over 4.3 lakh cases are still pending.

A closer look tells a different story. Ideally, each complaint is supposed to be disposed off within 90 days of receipt of the notice by the opposite party, but the harsh reality is that barely 10 per cent cases are decided within this mandated period.

Another problem is the predominance of lawyers in consumer forums. Consumer forums were meant to provide speedy justice in simple ways. Instead, they started behaving like courts.

When consumers found it difficult to find their way through this maze, they started relying on lawyers. The opposite party, in any case hired a battery of lawyers to defend their case. They often go in appeal on flimsy grounds.

One study by the Consumer Unity and Trust Society (CUTS) shows that only 20 per cent consumers in India know about the Consumer Protection Act and that 93 per cent respondents of the survey have never actually made a formal complaint. Out of the 7 per cent who had, only a minuscule 0.3 per cent have ever approached a consumer fora.

But this is not to belittle the role of consumer forums in safeguarding rights. There have been some landmark cases. For example, in the path-breaking case of Indian Medical Association vs VP Shantha, 1996, the Supreme Court had held that a doctor can be made liable under the Consumer Protection Act 1986 for deficiency of service.

In another landmark case, US-based doctor Kunal Saha’s wife had died in 1998 due to medical negligence in Kolkata. The West Bengal Medical Council had given a clean chit to the doctors. However, after fighting for 12 years, the National Commission ordered compensation of Rs 1.73 crore in 2011, which was further increased to around Rs 6 crore by the Supreme Court. Such cases, however, have been far and few between.

Nonetheless, the 2018 Bill has some far-reaching provisions. For example, misleading ads, one of the greatest banes of modern society. It is a matter of grave concern that advertisements regarding magical cures for life-threatening diseases, weight-reduction etc., continue duping consumers in India without any check.

The Standing Committee of Parliament recommended that stringent provisions be made in the bill to tackle misleading advertisements, as well as to fix liability on endorsers/celebrities.

As per the 2018 bill, the Central Consumer Protection Authority may, after investigation, direct the concerned trader, manufacturer, endorser, advertiser or publisher of the misleading advertisement to discontinue such advertisement or to modify the same.

The authority may also impose a penalty extending to Rs 10 lakh, and a further penalty of up to Rs 50 lakh for every subsequent contravention. In addition, a misleading advertisement shall attract a sentence of imprisonment of up to two years, and a further term of up to five years for every subsequent contravention.

Interestingly, the bill imposes an obligation on celebrity endorsers of any product or service to verify the veracity of the claims regarding the product or service before endorsing the same, failing which the authority may prohibit the endorser of false or misleading advertisement, imposing a ban for a period extending to one year and a further prohibition of up to three years for every subsequent contravention. Non-compliance with the orders of the authority shall be punishable with fine or imprisonment or both. It is time Parliament enacted a law on this very progressive bill. 
&nbsp;

(This article was originally published on DNA. Read the <a href="https://www.dnaindia.com/analysis/column-where-buyer-is-not-the-king-2681058">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

The Indian consumer is being shortchanged, despite best intentions. The Consumer Protection Bill, 2018, introduced in Parliament in the last Winter Session, incorporates some of the best international practices for protection of consumer interests.

The Indian consumer is being shortchanged, despite best intentions. The Consumer Protection Bill, 2018, introduced in Parliament in the last Winter Session, incorporates some of the best international practices for protection of consumer interests. Yet it is being thwarted at every step. The Bill was introduced in Lok Sabha on January 5, 2018, to replace the Consumer Protection Act, 1986. Three years before that, the Consumer Protection Bill, 2015, was introduced in Lok Sabha on August 10, 2015, and was referred to the Standing Committee on Food, Consumer Affairs and Public Distribution on August 25, 2015, for examination. The Standing Committee (2015-16), with JC Divakar Reddy as chairperson, recommended this Bill with some modifications, after consultation with various stakeholders. The Consumer Protection Bill, 2015 was withdrawn and replaced with the Consumer Protection Bill, 2018, which takes care of most of the suggestions of the Standing Committee. Considering that this Bill was introduced on January 5, 2018, the last day of the Winter Session of Parliament, one could have reasonably expected it to be passed in the Budget Session. But this session turned out to be a total waste. According to one media report, productivity in both Houses of Parliament had dropped to less than 10 per cent of the average. Other reports, which appeared after the Budget Session ended on April 6, said it was the least productive in the last 18 years! Lok Sabha lost 127 hours and 45 minutes due to disruptions while Rajya Sabha wasted 121 hours. In the limited working time, five bills could be passed as against the planned 40. Obviously, lawmakers found no time for this consumer-friendly initiative, which should have received priority attention. Nevertheless, exactly 32 years ago, lawmakers gave us the Consumer Protection Act, 1986. It was a landmark legislation. Consumers were made to believe that as and when their consumer rights were violated, they could approach the consumer forum for speedy justice. Many of them did go to the consumer forum. As per latest statistics displayed on the website of National Consumer Disputes Redressal Commission (NCDRC), nearly 50 lakh consumer cases have been filed in district forums, state commissions and the National Commission set up across the country under the Act. It also shows an impressive disposal of over 91 per cent. But it is difficult to overlook the fact that over 4.3 lakh cases are still pending. A closer look tells a different story. Ideally, each complaint is supposed to be disposed off within 90 days of receipt of the notice by the opposite party, but the harsh reality is that barely 10 per cent cases are decided within this mandated period. Another problem is the predominance of lawyers in consumer forums. Consumer forums were meant to provide speedy justice in simple ways. Instead, they started behaving like courts. When consumers found it difficult to find their way through this maze, they started relying on lawyers. The opposite party, in any case hired a battery of lawyers to defend their case. They often go in appeal on flimsy grounds. One study by the Consumer Unity and Trust Society (CUTS) shows that only 20 per cent consumers in India know about the Consumer Protection Act and that 93 per cent respondents of the survey have never actually made a formal complaint. Out of the 7 per cent who had, only a minuscule 0.3 per cent have ever approached a consumer fora. But this is not to belittle the role of consumer forums in safeguarding rights. There have been some landmark cases. For example, in the path-breaking case of Indian Medical Association vs VP Shantha, 1996, the Supreme Court had held that a doctor can be made liable under the Consumer Protection Act 1986 for deficiency of service. In another landmark case, US-based doctor Kunal Saha’s wife had died in 1998 due to medical negligence in Kolkata. The West Bengal Medical Council had given a clean chit to the doctors. However, after fighting for 12 years, the National Commission ordered compensation of Rs 1.73 crore in 2011, which was further increased to around Rs 6 crore by the Supreme Court. Such cases, however, have been far and few between. Nonetheless, the 2018 Bill has some far-reaching provisions. For example, misleading ads, one of the greatest banes of modern society. It is a matter of grave concern that advertisements regarding magical cures for life-threatening diseases, weight-reduction etc., continue duping consumers in India without any check. The Standing Committee of Parliament recommended that stringent provisions be made in the bill to tackle misleading advertisements, as well as to fix liability on endorsers/celebrities. As per the 2018 bill, the Central Consumer Protection Authority may, after investigation, direct the concerned trader, manufacturer, endorser, advertiser or publisher of the misleading advertisement to discontinue such advertisement or to modify the same. The authority may also impose a penalty extending to Rs 10 lakh, and a further penalty of up to Rs 50 lakh for every subsequent contravention. In addition, a misleading advertisement shall attract a sentence of imprisonment of up to two years, and a further term of up to five years for every subsequent contravention. Interestingly, the bill imposes an obligation on celebrity endorsers of any product or service to verify the veracity of the claims regarding the product or service before endorsing the same, failing which the authority may prohibit the endorser of false or misleading advertisement, imposing a ban for a period extending to one year and a further prohibition of up to three years for every subsequent contravention. Non-compliance with the orders of the authority shall be punishable with fine or imprisonment or both. It is time Parliament enacted a law on this very progressive bill. (This article was originally published on DNA. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Consumer Protection Bill 2018 must be passed immediately to protect consumer rights

A new &#39;consumer protection&#39;&nbsp;act is in the making and the <a href="http://www.wionews.com/south-asia/gst-how-much-will-household-goods-cost-17468">&#39;consumer empowerment&#39;</a>&nbsp;will be a major part of it and guidelines on &#39;misleading&nbsp;ads&#39;&nbsp;will be made stricter, said Prime Minister Narendra Modi. Modi was speaking at the inauguration of International Conference on Consumer Protection for&nbsp;East, South &amp; South-East Countries in New Delhi.

Government&#39;s priority to <a href="http://www.wionews.com/videos/gst-roll-out-how-does-it-affect-you-4024">consumer protection is in line with our resolve of &#39;New India&#39;</a>&nbsp;and we&#39;ll change it to consumer prosperity on our way ahead, PM added.

Consumer protection in an inseparable part of governance. Our Vedas have an extensive mention of consumer protection, PM Modi said.

Defending the GST, the prime minister said that GST was giving the country a new business culture. &quot;Consumers will be the biggest beneficiary of the new indirect tax regime,&#39;&#39; said Modi.

GST will boost competition among the companies, which will decrease prices of goods, in turn, benefiting poor and the middle-class consumers, Modi said.&nbsp;

What can be described as an ambitious project, the PM said that the government was working to make sure housing for all by 2022.&nbsp;

According to a PIB release, this is the first time an international conference on consumer protection is being organised by India for countries of the region which account for a majority of the global consumers and share common challenges and experiences. 22 countries from East, South and South-East Asia are participating in the international conference.

The Union Minister of Consumer Affairs, Food &amp; Public Distribution, Ram Vilas Paswan and Secretary-General, UNCTAD also addressed the participants. Besides the delegates, the inaugural session was attended by the dignitaries from the Centre and States including ministers, heads of consumer commissions, heads of regulatory authorities and senior officials.

The Conference will have six working sessions on the subjects of the United Nations guidelines for consumer protection and implementation, stakeholder participation in consumer protection, protection of online consumers, stakeholders participation, fostering consumer Inclusion in financial services, protection of vulnerable groups of consumers and consumer empowerment through education. Experts from different countries and India will be presenting their papers and views on the occasion.

&nbsp;The Conference will provide a platform to discuss and deliberate upon different aspects of consumer protection in the backdrop of revised UNGCP, aimed at shared learning and will explore a way forward for enhanced regional cooperation on the subject.

GST will boost competition among the companies, which will decrease prices of goods, in turn, benefiting poor and the middle-class consumers, Modi said.

A new 'consumer protection' act is in the making and the 'consumer empowerment' will be a major part of it and guidelines on 'misleading ads' will be made stricter, said Prime Minister Narendra Modi. Modi was speaking at the inauguration of International Conference on Consumer Protection for East, South & South-East Countries in New Delhi. Government's priority to consumer protection is in line with our resolve of 'New India' and we'll change it to consumer prosperity on our way ahead, PM added. Consumer protection in an inseparable part of governance. Our Vedas have an extensive mention of consumer protection, PM Modi said. Defending the GST, the prime minister said that GST was giving the country a new business culture. "Consumers will be the biggest beneficiary of the new indirect tax regime,'' said Modi. GST will boost competition among the companies, which will decrease prices of goods, in turn, benefiting poor and the middle-class consumers, Modi said. What can be described as an ambitious project, the PM said that the government was working to make sure housing for all by 2022. According to a PIB release, this is the first time an international conference on consumer protection is being organised by India for countries of the region which account for a majority of the global consumers and share common challenges and experiences. 22 countries from East, South and South-East Asia are participating in the international conference. The Union Minister of Consumer Affairs, Food & Public Distribution, Ram Vilas Paswan and Secretary-General, UNCTAD also addressed the participants. Besides the delegates, the inaugural session was attended by the dignitaries from the Centre and States including ministers, heads of consumer commissions, heads of regulatory authorities and senior officials. The Conference will have six working sessions on the subjects of the United Nations guidelines for consumer protection and implementation, stakeholder participation in consumer protection, protection of online consumers, stakeholders participation, fostering consumer Inclusion in financial services, protection of vulnerable groups of consumers and consumer empowerment through education. Experts from different countries and India will be presenting their papers and views on the occasion. The Conference will provide a platform to discuss and deliberate upon different aspects of consumer protection in the backdrop of revised UNGCP, aimed at shared learning and will explore a way forward for enhanced regional cooperation on the subject.

Consumer protection government's priority, in line with our resolve of 'New India': Modi

consumer-protection-act

Consumer Protection Act, News on Consumer Protection Act, stories on Consumer Protection Act, articles on Consumer Protection Act, Consumer Protection Act stories at Wion, Consumer Protection Act news, Consumer Protection Act latest news

consumer protection-act

Consumer Protection Bill 2018 must be passed immediately to protect consumer rights

Consumer protection government's priority, in line with our resolve of 'New India': Modi