Consumer Protection

Consumers are said to be the king in a free market economy, The earlier approach of Caveat Emptor which means ‘Let the buyer beware’ has now changed to Caveat Venditor which means ‘Let the seller beware’. This means that a consumer might be exposed to risk due to unsafe products, misleading advertisements etc. Thus, there is a need for providing adequate protection to consumers against such practices of the sellers.

What is consumer protection?

Consumer protection refers to ‘the protection of physical, economic and other interest of the consumers from exploitation by the business community’. The consumers are being protected by restricting the mall practices through legislature and other measures.

Importance of consumer protection

1. Consumer Ignorance

There is a widespread ignorance of consumers about their rights and reliefs available to them, it becomes necessary to educate them about it to achieve consumer awareness.

2. Unorganized consumers

Consumers need to be organized in the form of consumer organizations which would take care of their interest. In India, there are many consumer organizations which are working in this direction, adequate protection is required to be given to consumers till these organizations become powerful enough to protect and promote the interest of consumers.

3. Widespread exploitation of consumers

Consumers might be exploited by unscrupulous, exploitative and unfair trade practices like defective and unsafe products’ adulteration, false and misleading advertising, hoarding, black marketing etc.

From the point of view of business community

1. Long term interest of business

Modern business realizes that it is in their long term interest to satisfy their customers. Satisfied customers not only lead to repeat sales but also provide good feedback to prospective customers and thus helps in increasing the customer base of business.

2. Business uses society resources

Business organizations use resources which belong to the society. Thus, they have the responsibility to supply such products and render such services which are in public interest and would not damage public conscience in them.

3. Social responsibility

A business has social responsibilities towards various interest groups. Business organizations make money by selling goods and providing services to consumers. So it is important to look after the society to protect their business.

4. Moral justification

It is the moral duty of any business to take care of consumers’ interest and avoid any form of their exploitative action. Thus, a business must avoid unfair trade practices towards consumers at their interest.

5. Government intervention

A business engaging in any form of exploitative trade practices would invite government action. This can damage the company’s image and reputation. Thus, it is advisable that business companies voluntarily follow such practices where a consumer’s needs and interest will well be taken care of.

Legal protection to consumers

The Consumer Protection Act -1986

The Indian Contract Act -1872

The Sale of Goods Act -1930

The Essential Commodities Act -1955

The Agricultural Produce Grading and Marketing Act -1937

The Prevention of Food Adulteration Act -1954

The Standards of Weights and Measures Act -1954

The Trademark Act -1999

The Competition Act -2002

The Bureau of Indian Standards Act -1986

Consumer rights

1. Right to safety

2. Right to be informed

3. Right to choose

4. Right to be heard

5. Right to seek redressal

6. Right to consumer education

Who can file a complaint?

1.Any consumer can file a complaint on his own or her own and does not require the services of advocate or professionals.

2.Any registered consumer association. The central government or any state government.

3.One or more consumers on behalf of numerous consumers having the same interest.

4.A complaint under sec-2(B) of the consumer protection act 1986.

Consumers are the base of working of a company so it is nearly very important to maintain their protection in every possible way in its scope of working.