Test: Consumer Protection Act- 2 - B Com MCQ

According to the Consumer Protection Act, the District Forum has jurisdiction to entertain complaints where the value of goods/services and compensation claimed is less than Rs. 20 lakhs. The District Forum is the first tier in the redressal machinery under the Act and is established in each district of the State by the State Government. It consists of a President, who is or has been a District Judge, and two other members who have the necessary qualifications and experience. The District Forum also has the power to pass orders against traders indulging in unfair trade practices or sale of defective goods or deficient services, as long as the turnover of goods or value of services does not exceed Rs. 20 lakhs.

According to the Consumer Protection Act, a complaint can be filed with the District Forum by the consumer to whom goods/services are sold or delivered or agreed to be sold or delivered, any recognized consumer association (whether the consumer is a member or not), or one or more consumers having the same interest with the permission of the District Forum. This provision ensures that consumers have multiple avenues to seek redressal for their grievances.

The Consumer Protection Act specifies that a complaint must be filed with the District Forum within two years from the date on which the cause of action has arisen. However, if the complainant can provide sufficient cause for not filing the complaint within two years, the District Forum may condone the delay and entertain the complaint. It is important for consumers to be aware of this limitation period and file their complaints within the specified time frame to ensure their rights are protected.

The State Commission has the jurisdiction to entertain appeals against the orders of any District Forum within the State. It is the second tier in the redressal machinery under the Consumer Protection Act and is established by the State Government. The State Commission consists of a President, who is or has been a judge of a High Court, and two other members who have the necessary qualifications and experience. In addition to entertaining appeals, the State Commission also has the power to call for records and pass appropriate orders in consumer disputes if it finds that the District Forum has acted illegally or with material irregularity.

The President of the State Consumer Disputes Redressal Commission is appointed by the State Government in consultation with the Chief Justice of the High Court. This ensures that the President has the necessary qualifications and experience to effectively adjudicate consumer disputes. The State Commission plays a crucial role in providing redressal to consumers and maintaining fairness in consumer transactions.

According to the Consumer Protection Act, failure or omission by a trader or any person against whom a complaint is made, or the complainant, to comply with any order of the State Commission or National Commission is punishable. The penalty for such failure or omission is imprisonment for a term which shall not be less than one month but which may extend to 3 years, or with a fine of not less than Rs. 2,000 but which may extend to Rs. 10,000, or with both. The severity of the penalty depends on the nature and seriousness of the non-compliance.

The National Commission has the jurisdiction to entertain complaints where the value of goods/services and compensation claimed exceeds Rs. 1 crore. It is the highest tier in the redressal machinery under the Consumer Protection Act and is established by the Central Government. The National Commission consists of a President, who is or has been a judge of the Supreme Court, and four other members with the necessary qualifications and experience. In addition to entertaining complaints, the National Commission can also hear appeals against the orders of any State Commission and take appropriate action if it finds any irregularities in the exercise of jurisdiction by the State Commission.

The District Forum, State Commission, and National Commission have the powers of a civil court under the Code of Civil Procedure while trying consumer disputes. This includes the power to summon and enforce attendance of any defendant or witness, examine witnesses on oath, receive evidence on affidavits, requisition reports from appropriate laboratories, issue commissions for examination of witnesses, and any other matter prescribed. These powers enable the redressal agencies to effectively adjudicate consumer disputes and ensure a fair resolution.

The District Forum, State Commission, and National Commission have the authority to grant various remedies to provide relief to the aggrieved consumer. These remedies include the removal of defects in goods, replacement of goods with new ones, return of the price or charges paid by the complainant, payment of compensation for any loss or injury suffered by the consumer due to negligence of the opposite party, discontinuation of unfair or restrictive trade practices, withdrawal of hazardous goods from sale, and provision of adequate costs to parties. The redressal agencies aim to restore the consumer's rights and ensure fair compensation for any harm caused.

The National Commission has the power to enforce its orders as if they were a decree or order made by a court. If the National Commission is unable to execute its orders, it can send the order to the court for execution as if it were a court decree or order. This enables the National Commission to ensure compliance with its orders and the effective implementation of consumer protection measures. The enforcement of orders is crucial in providing relief to consumers and holding the opposite party accountable for their actions.