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To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.
The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.
Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.
The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.
Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.
Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.
Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.
The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.
The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.
Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?
  • a)
    Yes, the director general has special powers to do so.
  • b)
    Yes, under the new law the CCPA can take suo moto action.
  • c)
    No, the CCPA could not take suo moto action in this case.
  • d)
    Both (A) and (B)
Correct answer is option 'C'. Can you explain this answer?
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To address the new set of challenges faced by consumers in the digita...
Suo moto action can be taken in cases where the complaint affects more than one consumer. However in this case, the complaint affects only one individual therefore no suo moto action can be taken by the CCPA.
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To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCP

To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCP

To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCP

To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCP

Directions: Read the passage carefully and answer the questions given beside.It has been repeatedly held that the PMLA (Prevention of Money Laundering Act) is a sui generis legislation, enacted to tackle money laundering through white-collar crimes. According to Section 3 of the PMLA, the act of projecting or claiming proceeds of crime to be untainted property constitutes the offense of money laundering. Under the Schedule to the PMLA, a number of offenses under the Indian Penal Code and other special statutes have been included, which serve as the basis for the offense of money laundering. In other words, the existence of predicate offense is sine qua non to charge someone with money laundering. It is crucial to note that the investigation and prosecution of the predicate offense are done typically by the Central Bureau of Investigation (CBI) or the State Police.Section 50 of the PMLA provides powers of a civil court to the ED authorities for summoning persons suspected of money laundering and recording statements. However, the Supreme Court held that ED authorities are not police officers. It observed in Vijay Madanlal Choudhary v. Union of India (2022) that “the process envisaged by Section 50 of the PMLA is in the nature of an inquiry against the proceeds of crime and is not ‘investigation’ in strict sense of the term for initiating prosecution.” There are other dissimilarities between ED authorities and the police. While the police are required to register a First Information Report (FIR) for a cognizable offense before conducting an investigation, ED authorities begin with search procedures and undertake their investigation for the purpose of gathering materials and tracing the ‘proceeds of crime’ by issuing summons. Any statement made by an accused to the police is inadmissible as evidence in court, whereas a statement made to an ED authority is admissible. A copy of the FIR is accessible to the accused, whereas the Enforcement Case Information Report is seldom available.While the police investigating the predicate offense are empowered to arrest and seek custody of the accused, the ED is meant to focus on recovering the proceeds of crime in order to redistribute the same to victims. It is not clear whether the ED has managed to do this. Per contra, the Proceeds of Crime Act, 2002, the analogous legislation in the U.K., almost entirely concentrates on the confiscation of assets through dedicated civil proceedings. Unfortunately, of late, much of the ED’s powers have been discharged in effecting pretrial arrests, which used to be the prerogative of the police investigating the predicate offence. In the past, the CBI was used to impart fear among political opponents. In the process, the agency received the condemnation of various courts and earned the nickname “caged parrot”. Whether the ED will go down the same path or reorient its approach will entirely depend on the intervention of the country’s constitutional courts.Q.Which of the following is not the appropriate cause-and-effect relationship in the passages context?

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To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer?
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To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? for CLAT 2024 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CLAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer?.
Solutions for To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.
Here you can find the meaning of To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer?, a detailed solution for To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice To address the new set of challenges faced by consumers in the digital age, the Consumer Protection Bill, 2019 was passed by Parliament on 6th August 2019 and received the President’s assent on 9th August 2019 replacing Consumer Protection Act, 1986 that did not cover ecommerce transactions.The definition of 'consumer' is widened to include any person who buys goods, through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.Revised pecuniary limits have been fixed. District forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000, the State Commission - between INR 10,000,000 and INR 100,000,000, and the National Commission – more than INR 100,000,000.The consumer now has flexibility to file complaints with the jurisdictional consumer forum located at the place of residence or work of the consumer, unlike the current practice of filing it at the place of purchase or where the seller has its registered office address. Enabling provisions introduced for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.Establishment of a regulatory authority - Central Consumer Protection Authority (CCPA), with wide powers of enforcement, including an investigation wing, headed by a Director-General, which may conduct inquiry or investigation into consumer law violations. It has wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than 1 individual.Product liability now includes the product manufacturer, service provider and seller, for any claim for compensation. Product seller includes a person involved in placing the product for a commercial purpose and would include e-commerce platforms as well. There are increased liability risks for manufacturers as compared to service providers and sellers, considering that manufacturers will be liable even where he proves that he was not negligent or fraudulent in making the express warranty of a product.Unfair Trade Practices now also include sharing of personal information given by the consumer in confidence, unless such disclosure is made in accordance with the provisions of any other law.The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to 2 years for the same. Fine for subsequent offence may extend to INR 5,000,000 and imprisonment up to 5 years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product/service for upto 1 year.The New Act provides for mediation as an Alternate Dispute Resolution mechanism, making the process of dispute adjudication simpler and quicker. This will help with the speedier resolution of disputes and reduce pressure on consumer courts, who already have numerous cases pending before them.Q. Ganesh ordered a N95 mask from zipkart.com however he received a KN95 by mistake. Director general of the CCPA had the knowledge of this incident and initiated a suo moto action against the company. Can such an action be taken by the CCPA?a)Yes, the director general has special powers to do so.b)Yes, under the new law the CCPA can take suo moto action.c)No, the CCPA could not take suo moto action in this case.d)Both (A) and (B)Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CLAT tests.
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