Consumer Rights

1)Why are rules and regulations required in the market place? Illustrate with
examples.

Ans. Consumers are exploited in a number of ways in the market. Individual

consumers often find themselves difficult to protect their interests.
Therefore,rules and regulations are required to protect the interest of consumer.

• Sometimes traders indulge in unfair trade practices such as under-weight

and under measurement,adulteration,hoarding etc.

• Whenever a complaint regarding goods or service is made,the seller tries

to shift all the responsibility on the buyer.

• Certain rules and regulations are required for the markets to work in a
fair manner.

2) What factors gave birth to the consumer movement in India? Trace its
evolution.

Ans. a) Consumer movement arose out of dissatisfaction of the consumers as

many unfairpractices were being indulged in by the seller.

• There was no legal system available to consumers to protect them from

exploitation.

• Food shortage,hoarding,black marketing and adulteration of food were

another factor.

• Consumer movement originated with the necessity of protecting and

promoting the interest of consumers against unfair trade practices.

3) Explain the need for consumer consciousness by giving two examples?

Ans. (a) In the example of Reji,a healthy boy who was operated for the removal of
tonsils was given improper anesthesia which made him crippled for life.His father
filed complaint against the hospital for medical negligence and got justice.

Amritha, an engineering graduate who attended a job interview and submitted all
her certificates,did not get any news of the result.She filed an application using
RTI act and got her call letter for appointment.

4) Mention few factors which cause exploitation of consumers?

Ans a) Limited information:In absence of information about different aspects of

the products, name,price,quality,compositions,conditions,conditions of
use,terms of purchase,etc.the consumers are liable to make a wrong choice
and lose money.

• Limited supplies:limited supplies are a result,usually,of lower production

of goods as compared with the demand.This gives rise to a tendency of
hoarding and price escalation.

• Limited competition:when only one producer or a group of producers

controls the production and supply of a product,and is in position to
restrict the availability of supplies,there is a possibility of manipulation in
prices and availability

• Low literacy:illiteracy is one of the major drawbacks that lead to

exploitation of consumers.The level of consumer consciousness in our
country is generally low.The level of literacy directly affects the level of
awareness about products and the market.

• Ignorance of consumer rights and duties:most of the consumers do not

know as to what their rights and duties are.In case of any complaint,they
don’t know where they have to go to. They lack consumer education.

• Ill effects of advertisement: most of the customers are so much

attracted by the advertisement of different articles that they do not
try to verify the quality of different goods.They buy with a lightning
speed and often repent afterwards.
5) What is the rationale behind the enactment of Consumer Protection Act
1986?

Ans (a) When the government withdrew itself from production activities and
allowed the private sector to take over,it was felt that there is greater
need to enforce discipline and regulation in the market.Ensuring the
safety of foods is an important aspect of creating awareness and
promoting consumer welfare.

• This called for a strong legal measure.It was done by the enactment of
Consumer Protection Act in 1986.The act wants to achieve the following:

• To ensure that the manufacturers and sellers observe uniformity

and transparency in prices,stocks and quality of their goods.

• To promote consumer awareness about possible malpractices

• To provide the consumers the tools to combat the malpractices

• To redress their grievances in a speedy,inexpensive and simple

manner

6) Describe some of your duties as consumers?

Ans a) While purchasing the goods, consumers should look at the quality of the
products as well as on the guarantee of the products and services. Wherever
possible,they also have to insist for the warrantee card. They should
preferably purchase quality marked products such as ISI,agmark,etc.

b) Wherever possible consumers should ask for the items purchased.

c) Consumers should form consumer awareness organisations,which can be

given representation in various committees formed by the government and
other bodies in matters relating to consumers

d) Consumers must make complaint for their genuine grievances. Even if the
value of goods involved in their complaint is small,its impact on the society as
a whole will be large.The consumers can also take the help of consumer
organizations in seeking redressal of their grievances.
 • Consumers must know their rights and must exercise them.

• The consumers should organize themselves and seek collective action

these duties required to compel the manufacturers and traders to
perform in a transparent manner and prevent the exploitation of the
consumers.

7) What legal measures are taken by the government to empower the

consumers in India?

Ans: In order to protect the interests of the consumers,the governmentadopted

Legislative measures which include enactment of a specific law called the Consumer
Protection Act (COPRA) on 24 December 1986.

• The act provides for the establishment of consumer disputes redressal

agencies at district,state and national levels for the protection and promotion
of consumers interests and to redress their grievances in a speedy,simple
and inexpensive manner at the national level,national consumer commission,at
the state level state consumer commission and at the district level –the
district forum.

• The act has led to setting up of separate Department Consumer Affairs in

central and state government,which focus exclusively on the rights of the
consumers as enshrined in the act.

• These courts look in the grievances and complaints of the consumers against
traders and manufacturers and provide the necessary relief and
compensation.

• It was found that the disposal of cases has not been fast enough.The
government has therefore,attempted to strengthen the act and remove some
of its bottlenecks and shortcomings through amendments of the act carried
out in 1991 and 1993.

• In October 2005, the Right to Information Act was passed.

8) Mention some of the rights of the consumer?

Ans a) Right to safety: The consumers have the right to be protected against
marketing of goods and services, which are hazardous to life and property.

b) Right to be informed: This includes providing correct information about

quality,quantity,potency,purity,standard and price of goods.

c) Right to choose: It provides assurance of access to variety of goods and

services at competitive price. In case of single supplier,the consumer has
the right to be assured of satisfactory quality and service at a fair price.

d) Right to represent: Under this Act, the consumers’ interestsare given due
consideration at appropriate forums relating to consumer welfare.

e) Right to seek redressal: The consumers are entitled to seek redressal

against unfair trade practices or exploitation of consumers and seek fair
settlement of the genuine grievances.

f) Right to consumer education: This includes imparting knowledge about

goods and issuesrelating to consumer welfare to the customers.

9) By what measure can the consumer express their solidarity?

Ans a) Consumers express their solidarity by forming consumer groups to look

into malpractices and other forms of exploitation of consumers.

b) By forming consumer forums or councils which guide consumers to file

cases in the consumer court,represent the consumers in the court and
creating awareness in the people.

10) Critically examine the progress of consumer movement in Indian?

Ans a) Consumer movement in India has made progress in terms of number of

organized groups and their activities

b) The consumer redressal process is becoming inefficient, expensive and

time consuming. Many a times,consumers are required to engage lawyers.
These cases require time for filing and attending the court proceeding.
 c) In most purchases,cash memos are not issued and hence evidence is not
easy to gather. Moreover most purchases in the market are small retail
sales.

d) The existing laws also are not very clear on the issue of compensation to
consumers injured by defective products.

e) After 20 years of the enactment of COPRA, consumer awareness in India

is spreading but slowly.Besides this, the enforcement of laws that protect
workers,especially in the unorganized sectors is weak.Similarly rules and
regulations for working of markets are often not followed.

11) What is the need for consumer forum or consumer protection council?

Ans a) They guide the consumer on how to file cases in the consumer court.

b) On many occasions they represent the individual consumers in the

consumer courts.

c) They receive financial support from government for creating awareness

among the people.

12) Write a short note on RTI.

Ans a) In Oct 2005, the government of India enacted a law known as RTI which
ensures its citizens all the information about the function of government
depts.

b) Main objectives is to empower the citizen, provide the transparent and

accountability in the working of government and control competition

c) It comply the right of the consumer to be informed and to seek remedy

through courts.

d) It helps the consumers to choose the best products and use it

effectively.
13) If the standardization ensures quality of a commodity, why are many
goods available in the market without ISI or Agmark certification?

Ans. Many goods are available in the market without ISI or Agmark certification
because: a) Enforcement of rules and regulations are not strong.

b) Procedure involved in getting redressal is very complex.

c) In order to earn profit, the producer would like to sell low quality
goods.

14. Explain the jurisdiction of consumer courts.

Ans.The most important feature the Consumer Protection Act, 1986 is that the
provision for setting up of a three-tier system popularly known as Consumer Courts
at national, state and district levels.

• At the national level, such courts are called National Consumer Commission
which functions in Delhi andis the apex court under the act, and it settles
claims exceeding ₹1crore. It also gives a hearing and judgement to the
appeal filed by any consumer against judgement given at state level.

• At the state level, such courts are called State Consumer Commission which
functions in the capital of each state. It settles claims ranging from ₹ 20
lakhs to ₹1 crore and also gives a hearing and judgement to the appeal filed
by any consumer against judgement given at district level.

• At the district level, it is called District Forum and it settles claims up to

₹20 lakh.

15. Write short notes on:

• Consumers International- In 1985, United Nations adopted the UN

Guidelines for consumer protection. This was a tool for nations to adopt
measures to protect consumers and for consumer advocacy groups to press
their governments to do so. At the international level, Consumers
International has become an umbrella body to over 220 member
organisations from over 115 countries.
 • ISI, Agmark and Hallmark certification- These logos and certification help
consumers get assured of quality while purchasing the goods and services.
The organisations that monitor and issue these certificates allow producers
to use their logos provided they follow certain quality standards. The
products like LPG cylinders, gold jewellery, spices, food colours and
additives, cement, packaged drinking water, home appliances must be
certified by these organisations.

16. “For some products like LPG cylinders, food colours and additives,
cement, packaged drinking water, it is mandatory on the part of the
producers to get goods certified by the government organization”.

a) Why is it mandatory to get the above products certified by the

government?

b) What values have you learnt from the above passage?

Ans a) It is mandatory to get the above products certified by the government

because they can affect the health and safety of the consumers.

b) The values are: i) do not be passive customers. Check the seals and read
what is written on the label of the bottle. (ii) Concern for consumers and
fairness in dealing.