Consumer Protection Act, 1986

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Consumer Protection Act, 1986
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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 therewith.
Citation Act No. 68 of 1986
Enacted by Parliament of India
Date commenced 24 December 1986

Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986 to protect 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.

Consumer Protection Council[edit]

Consumer Protection Councils are established at the national, state and district level to increase consumer awareness.[1]

Central Consumer Protection Council[edit]

It is established by the Central Government which consists of the following members:

  • The Minister of Consumer Affairs, – Chairman, and
  • Such number of other official or non-official members representing such interests as may be prescribed.

State Consumer Protection Council[edit]

It is established by the State Government which consists of the following members:

  • The Minister in charge of consumer affairs in the State Government – Chairman.
  • Such number of other official or non-official members representing such interests as may be prescribed by the State Government.
  • such number of other official or non-official members, not exceeding ten, as may be nominated by the Central Government.

The State Council is required to meet as and when necessary but not less than two meetings every year.

Consumer Disputes Redressal Agencies[edit]

Main article: Consumer Court
  • District Consumer Disputes Redressal Forum (DCDRF): Also known as the "District Forum" established by the State Government in each district of the State. The State Government may establish more than one District Forum in a district. It is a district level court that deals with cases valuing up to INR2 million (US$34,000).[1]
  • State Consumer Disputes Redressal Commission (SCDRC): Also known as the "State Commission" established by the State Government in the State. It is a state level court that takes up cases valuing less than INR10 million (US$170,000)[1]
  • National Consumer Disputes Redressal Commission (NCDRC): Established by the Central Government. It is a national level court that works for the whole country and deals with amount more than INR10 million (US$170,000).[1]

Objectives[edit]

Objectives of Central Council[edit]

The objectives of the Central Council is to promote and protect the rights of the consumers such as:-

  1. the right to be protected against the marketing of goods and services which are hazardous to life and property.
  2. the right to be informed about the quality, quantity, potency, purity, standard and price of goods or services, as the case may be so as to protect the consumer against unfair trade practices.
  3. the right to be assured, wherever possible, access to a variety of goods and services at competitive prices.
  4. the right to be heard and to be assured that consumer's interests will receive due consideration at appropriate forums.
  5. the right to seek redressal against unfair trade practices or restrictive trade practices or unscrupulous exploitation of con­sumers; and
  6. the right to consumer education.
  7. the right against consumer exploitation.

Objectives of State Council[edit]

The objects of every State Council shall be to promote and protect within the State the rights of the consumers laid down in clauses 1 to 7 in central council objectives.

Jurisdiction[edit]

Jurisdiction of District Forum[edit]

  1. Subject to the other provisions of this Act, the District Forum shall have jurisdiction to entertain complaints where the value of the goods or services and the compensation, if any, claimed does not exceed rupees twenty lakhs.
  2. A complaint shall be instituted in a District Forum within the local 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 District Forum 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.

Jurisdiction of state commission[edit]

  1. Subject to the other provisions of this Act, the State Commission shall have jurisdiction:-
a) – to entertain
i) – 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 (R10 million); and
ii) – appeals against the orders of any District Forum within the State; and
b) – to call for the records and pass appropriate orders in any con­sumer dispute which is pending before or has been decided by any District Forum within the State, where it appears to the State Commission that such District Forum has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested or has acted in exercise of its jurisdiction illegally or with material irregularity.

Jurisdiction of National Commission[edit]

a) - Subject to the other provisions of this Act, the National Commission shall have jurisdiction—

i) complaints where the value of the goods or services and compensation, if any, claimed exceeds rupees ten million; and
ii) appeals against the orders of any State Commission

b) – to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any State Commission where it appears to the National Commission that such State Commission has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested, or has acted in the exercise of its jurisdiction illegally or with material irregularity.

  1. The District Forum, the State Commis­sion or the National Commission shall not admit a complaint unless it is filed within two years from the date on which the cause of action has arisen.
  2. Notwithstanding anything contained in sub-section (1), a complaint may be entertained after the period specified in sub-section (1), if the complainant satisfies the District Forum, the State Commission or the National Commission, as the case may be, that he had sufficient cause for not filing the complaint within such period:

Provided that no such complaint shall be entertained unless the National Commission, the State Commission or the District Forum, as the case may be, records its reasons for condoning such delay.


Further an appeal lies in Supreme court of india against national commission decisions.

See also[edit]

References[edit]

  1. ^ a b c d "CONSUMER PROTECTION AND NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION". NCDRC. Archived from the original on 21 July 2011. Retrieved 18 December 2012. 

External links[edit]