TYPES OF CONSUMER REDRESSAL

MACHINERIES AND FORUMS

Submitted To :

Ms. Mamta Sharma

AMITY SCHOOL OF INSURANCE, BANKING

AND ACTUARIAL SCIENCES

Submitted To :

Apurva Jha (I&B)

Sujit Kumar Bhowmick (I&B)

Rahul Gupta (I&FP)

Rishebh Clement (I&FP)

Meaning of Consumer An individual who buys products

or services for personal use and not for manufacture or resale. A consumer is someone who can make the decision whether or not to purchase an item at the store, and someone who can be influenced by marketing and advertisements. Any time someone goes to a store and purchases a toy, shirt, beverage, or anything else, they are making

that decision as a consumer.

Consumer Redressal Machineries and Forums

For enforcement of the rights of the consumers, the Act has created special consumer Courts. As Act provides for a three-tier consumer grievance redressalmachinery with the District Forums at the base, the Slate Commission at the middle level and the National Commission at the apex level. The State and national level bodies also function as appellate authorities. Any verdict given by the National Commission can be challenged in the Supreme Court.

Three-Tier Grievance Redressal Machinery & Forums

The District Forum

State Commission

National Commission

Making a Complaint

DISTRICT CONSUMER REDRESSAL FORUM

• Pecuniary Jurisdiction: Value of goods or services and compensation, if any, claimed < Rs 20 lakhs [Section 11].

• Composition: Its President shall be a person who is, has been, or is qualified to be a District Judge appointed by State Government. Two other members, one of whom shall be a woman, who shall be not less than thirty-five years of age, possess a bachelor’s degree from a recognized university and shall be persons of ability, integrity and standing, and have adequate knowledge and experience of at least ten years in dealing with problems relating to economic, law, commerce, accountancy, industry, public affairs or administration [Section 10].

• Term of office: For 5 years or up to age of 65 years whichever is earlier. A member shall be eligible or reappointment for another terms of five years within the specified age limit [Section 10(2)].

STATE CONSUMER REDRESSAL COMMISSION

• Pecuniary Jurisdiction: Value of goods or services and the compensation, if any, claimed > Rs 20 lakhs but < Rs 1 crore [Section 17].

• Composition: Its President shall be a person who is or has been a Judge of High Court appointed by the State Government. Two other members, one of whom shall be a woman, who shall be not less than thirty-five years of age, possess a bachelor’s degree from a recognized university and shall be persons of ability, integrity and standing, and have adequate knowledge and experience of at least ten years in dealing with problems relating to economic, law, commerce, accountancy, industry, public affairs or administration [Section 16].

• Term of office: For 5 years or up to age of 67 years whichever is earlier. A member shall be eligible or reappointment for another terms of five years within the specified age limit [Section 16(3)].

• Circuit Benches: The State Commission shall ordinarily function in the State Capital but may perform its functions at such other place as the State Government may in consultation with the State Commission notify from time to time [Section 17B)].

NATIONAL CONSUMER REDRESSAL COMMISSION

Pecuniary Jurisdiction: Value of goods or services and the

compensation, if any, claimed > Rs 1 crore [Section 21].

Composition: (a) Its President shall be a person who is or has been

a Judge of Supreme Court appointed by the Central Government.

(b) Not less than 4 and not more than such number of members and

at least one them shall be a woman, who shall have qualifications,

namely:

i. be not less than 35 years of age,

ii. possess a bachelor’s degree from a recognized university and

iii. be persons of ability, integrity and standing, and have adequate

knowledge and experience of at least ten years in dealing with

problems relating to economic, law, commerce, accountancy,

industry, public affairs or administration [Section 20].

CONTINUED…

Term of office: Every member shall hold office for a term of 5 years or up to age of 70 years whichever is earlier. A member shall be eligible for reappointment for another terms of five years within the specified age limit [Section 20(3)].

Circuit Benches: The National Commission shall ordinarily function at New Delhi but may perform its functions at such other place as the Central Government may in consultation with the National Commission notify from time to time [Section 22C].

PROCEDURE FOR FILING THE APPEALS

• Appeal against order passed by the • District Forum State Commission • State Commission National Commission • National Commission Supreme Court• Within a period of 30 days from the date of an order. An appeal

may be entertained after expiry of period provide Forum/Commission concerned is satisfied with cause of delay.

• Procedure for filing an appeal is the same as that of complaint, except that the application should be accompanied by the orders of the District Forum or the State Commission or the National Commission, as the case may be. The reasons for filing the appeal should be clearly specified.

FEE FOR FILING AN APPEAL

• An appeal before State Commission 50 % of the amount to be paid to thecomplainant in accordance with order of a District Forum or Rs 25,000.00,whichever is less [Provision to Section 15].

• An appeal before National Commission 50 % of the amount to be paid tothe complainant in accordance with order of a State Commission or Rs35,000.00, whichever is less [Provision to Section 19]. The amount shall beremitted in the form of Demand Draft drawn on a national bank in favour ofthe Registrar, National Commission payable at Delhi [Rule 14-A].

• An appeal before the Supreme Court can only be filed after the appellant hasdeposited fifty per cent of the amount that he is required to pay to thecomplainant in accordance with order of a District Forum or Rs 50,000.00,whichever is less [Provision to Section 23]. The amount shall be remitted in theform of Demand Draft drawn on a national bank in favour of the Registrar,Supreme Court payable at Delhi [Rule 16].

HEARING OF APPEAL

• An appeal filed before the State Commission or the National Commissionshall be heard as expeditiously as possible and an endeavor shall be made tofinally dispose of the appeal within a period of 90 days from the date of itsadmission .

• Provided that no adjournment shall be ordinarily granted by the StateCommission or the National Commission, as the case may be, unlesssufficient cause is shown and the reasons for grant of adjournment havebeen recorded in writing by such Commission.

• Provided Further that the State Commission or the National Commission, asthe case may be, shall make such orders as to the costs occasioned by theadjournment as maybe provided in the regulations made under this Act.

• Provided Also that in the event of an appeal being disposed of after theperiod so specified, the State Commission or, the National Commission, asthe case may be, shall record in writing the reasons for the same at the timeof disposing of the said appeal.

TIME SCHEDULE FOR DISPOSAL OF COMPLAINTS/APPEALS

• Every complaint decided within 3 months fromthe date of receipt of notice by opposite party, wherethere is no requirement for testing of sample etc. Inthe event of such a requirement, the prescribed timeis 5 months.

• Appeals disposed of within a period of 90 days.

• The Forum shall make such orders as to the costoccasioned by the adjournment

• If a complaint/appeal is disposed of after thespecified period, then the Forum/Commission shallrecord in writing reasons for the delay.

WHO CAN FILE A COMPLAINT ?

A complaint in relation to any goods or services may be filled by-– A consumer or– Any voluntary consumer association registered under the

Companies Act, 1956 (1of 1956)or under any other law for the time being in force or

– The Central Government or any State Government; or– One or more consumers, where there are numerous

consumers having the same interest or– In case of death of a consumer, his legal heir or

representative.

NOTE :- A power of attorney holder cannot file a complaint under the Act.

Information Required for a Complaint

– Name and full address of complainant

– Name and full address of opposite

party

– Description of goods and services

– Quality and quantity

– Price

– Date & proof of purchase

– Nature of deception

– Type of redressal requested

LIMITATION PERIOD FOR FILING A COMPLAINT

• District Forum or State Commission or the NationalCommission within 2 years from the date on which the causeof action has arisen. The Forum/Commission concerned canoverlook the delay for recorded reasons [Section 24A].

• Appeals are require to be filed within 30 days from the dateof receipt of the court's order.

• It may be noted that these time frames are not absolutelimitations. If the Consumer Forum is satisfied that therewas sufficient cause for not filing the complaint within theprescribed period, it can entertain a complaint beyondlimitation time. However the Forum must record the reasonsfor condensation of delay.

GRIEVANCE REDRESSAL SYSTEM

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