Consumer Protection Act, 2019 with solutions Attempt Free MCQ Test - UPSC

1. Right to Safety: Protection against hazardous goods
This is correctly matched. The Right to Safety ensures that consumers are protected against the marketing of goods and services which are hazardous to life and property.

2. Right to Choose: Right to seek redressal against unfair trade practices
This is incorrectly matched. The Right to Choose refers to the consumer's right to access a variety of goods and services at competitive prices and not be forced into purchasing a particular product or service.

3. Right to Be Informed: Complete information about the product
This is correctly matched. The Right to Be Informed means that consumers have the right to be informed about the quality, quantity, potency, purity, standard, and price of goods to protect them against unfair trade practices.

4. Right to Consumer Education: Right to have consumer education
This is correctly matched. The Right to Consumer Education means that consumers have the right to acquire the knowledge and skills to be informed consumers throughout their life.

Hence, only pairs 1, 3, and 4 are correctly matched, while pair 2 is not. So, the correct answer is Option B: Only two pairs.

The Central Consumer Protection Authority (CCPA) under the Consumer Protection Act 2019 is primarily established to regulate matters related to the violation of consumer rights, unfair trade practices, and misleading advertisements. It aims to ensure consumer protection by investigating violations, taking actions against unfair practices, recalling products, ordering reimbursements, cancelling licenses, imposing penalties, and even filing class-action suits when necessary. By having a wide range of powers, the CCPA plays a crucial role in safeguarding consumer interests.

Statement-I correctly highlights the establishment of CDRCs under the Consumer Protection Act, 2019 at different administrative levels to handle consumer complaints. Statement-II complements this by detailing the types of complaints CDRCs can address, showcasing a logical flow from the establishment of CDRCs to their jurisdictional scope. Therefore, both statements are factually accurate, with Statement-II providing a deeper understanding of the role and responsibilities of CDRCs, making Option A the correct answer choice.

The correct answer is D. While Statement-II accurately describes the powers and functions of the Central Consumer Protection Authority (CCPA) under the new Consumer Protection Act, 2019, Statement-I contains incorrect information. The new act came into force on 20th July 2020, not specifically to replace the Consumer Protection Act, 1986, but to strengthen consumer rights and redressal mechanisms.

- Statement 1: Correct. The Consumer Protection Act, 2019 indeed allows consumers to seek a hearing through video conferencing, which is intended to save both time and money for consumers.

- Statement 2: Incorrect. The Central Consumer Protection Council (CCPC) under the Consumer Protection Act, 2019 is headed by the Union Minister of Consumer Affairs, Food and Public Distribution, not the Union Minister of Law and Justice.

- Statement 3: Correct. The Consumer Protection Act, 2019 includes provisions for holding celebrities accountable for false and misleading advertisements of the products they endorse.

Thus, the correct answer is Option C.

1. Correct. The Consumer Protection Act, 2019 indeed establishes Consumer Dispute Redressal Commissions (CDRCs) at the district, state, and national levels for addressing consumer complaints and disputes.
2. Incorrect. Complaints against an unfair contract can only be filed at the State and National levels, not at the district level.
3. Incorrect. Appeals from the State Consumer Disputes Redressal Commissions are heard by the National CDRC, not directly by the Supreme Court. The final appeal lies before the Supreme Court but not directly from the State level.
Thus, only the first statement is correct, making Option A the correct answer.

1. Right to file complaint anywhere - Correct. This is a new right under the Consumer Protection Act, 2019.

2. Right to seek compensation under product liability - Correct. This is also a new right under the Consumer Protection Act, 2019.

3. State's power to frame rules - Incorrect. Critics argue that the Consumer Protection Act, 2019 has taken away the state's power to frame rules.

4. Establishment of Central Consumer Protection Authority (CCPA) - Correct. The establishment of CCPA is a new provision under the Consumer Protection Act, 2019.

Hence, three pairs are correctly matched.

The Consumer Protection Act, 2019, brings attention to imposing penalties for misleading advertisements, including potentially suspending any license issued to a person for up to two years for the first conviction. This provision aims to deter false or misleading advertising practices. It is essential to ensure that advertisements are truthful and do not deceive consumers.

1. Consumer Dispute Redressal Commissions (CDRCs) - Set up at the district, state, and national levels.
This is correctly matched. CDRCs are indeed established at these three levels.

2. Penalties for Misleading Advertisements - Only applicable to manufacturers.
This is incorrectly matched. The penalties for misleading advertisements are applicable not only to manufacturers but also to endorsers and publishers/advertisers as per the Consumer Protection Act, 2019.

3. Alternate Dispute Resolution Mechanism of Mediation - No appeal against settlement.
This is correctly matched. Settlements reached through mediation cannot be appealed.

4. Punishment for Manufacture or Sale of Adulterated/Spurious Goods - Suspension of license for first conviction.
This is correctly matched. For the first conviction, a competent court may suspend the license issued to the person for up to two years.

Explanation:
- The first pair accurately describes the levels at which CDRCs are set up.
- The second pair is incorrect because penalties for misleading advertisements apply to manufacturers, endorsers, and publishers/advertisers.
- The third pair correctly states that no appeal is allowed against settlements reached through mediation.
- The fourth pair correctly describes the punishment for the first conviction related to adulterated/spurious goods.
Thus, three pairs are correctly matched.

Statement 1 is correct. The Consumer Protection Act, 2019 did indeed introduce the Central Consumer Protection Authority (CCPA) to promote, protect, and enforce the rights of consumers.

Statement 2 is correct. The CCPA has been granted wide-ranging powers including ordering the recall of unsafe products, imposing penalties for misleading advertisements, and taking suo-moto actions.

Statement 3 is incorrect. The Consumer Protection Act, 2019 covers transactions through all modes, including online transactions, making it inclusive of the digital marketplace.

Therefore, the correct answer is Option B: 1 and 2 Only.