New amendments in consumer protection acts have been implemented by the Government of India to drive the laws more effective. The Consumer Protection Act 1986 used to ignore 70% of the businesses offering low-quality services but the new act enables the district forum to consider complaints about services that value under ₹ 10,000,000.
If laws remain stagnant then it will be a herculean task to catch up with the growth of the Indian economy by maintaining proper service ethics. The amendments in the consumer protection acts make the law more purposeful and focused. Let’s shed light on the special features of the new amendments in the consumer protection acts.
The highlights of the new amendments in consumer protection Acts
From consumer protection act amendments this article only focuses on the case study of the key changes that have been executed and boosted to create a positive impact on the consumers.
- Service liability: To understand the gravity of this amendment you can take examples from daily activities. If a pressure cooker explodes due to quality issues, then it is the manufacturer who is to be blamed and compensate. According to the new consumer protection act amendment 2019 if the consumer is harmed due to the explosion the business will pay for the damages and injury.
- Unfair contracts: The old consumer protection act 1986 didn’t clarify the solutions of some unreasonable contracts that featured unprofitable demands for the But according to the new features of consumer protection act, 2019 the cases related to unjust contracts should be highlighted before the National Commission or the State Commission.
- Unjust trade policies: As per the old amendment in consumer protection act, 1986 the businesses were neither interested in keeping the personal details of the consumers private nor allowing a legal bill in respect of the purchase. However, new amendments in consumer protection acts have ordered the manufacturers to issue a cash memo or money receipt for the sold items. Further, the new act has commanded the businesses to keep consumer data a secret.
- Introduction of inferior goods as best: Sometimes businesses introduce products to the market that are made with inferior raw material. They address the spurious items as the best quality goods. This is not acceptable. As per the new amendments in consumer protection acts, this is a punishable offense to introduce products that falsely appear to be of inferior quality. Furthermore, the penalty will be executed to every retailer, seller, and manufacturer who promotes the sale of that good. The punishment as per the consumer protection act, 2019 enforcement date is from 7 years imprisonment to life imprisonment with fine.
- Deceptive advertising: Consumer protection act, 2019 in force has come up with an amazing solution to the misleading advertisements. In order to fuel the business profit, the companies aim to present advertisements conveying an inappropriate message. In such cases, the authority is empowered to fine up to fifty lakhs from the business owners.
The highlighted points above are covering the key aspects of consumer protection rules, 2019. Now it is time to shed light on the major areas where amendments in the consumer protection acts have created an impact.
The powerful impact of amendments on consumer protection acts
In the beginning one has to agree with the fact that new consumer protection acts in force by the government have both positive and negative impacts; however, the positive ones are stronger undoubtedly. When concentrating on the negative impacts, the status of homebuyers has to be highlighted.
As per the consumer protection act, 2019 notes the jurisdiction of NCDRC (National Consumer Disputes Redressal Commission) has changed. According to the new law, only the homebuyers who have invested more than 10 crores are allowed to file a case addressing the Commission. Homebuyers who have invested up to 1 crore can file cases addressing the district commission. And the homebuyers with an investment between 10 crores to 1 crore can go to the State Commission.
Before the enactment of the consumer protection amendment act 2019 all the real estate agents used to file cases directly to the NCDRC. But now the homebuyers with the small investment will have to undergo several steps of pecuniary jurisdiction process which may delay justice. However, expert lawyers may put some light to any solution on a broader aspect.
Considering the positive impacts of amendments in consumer protection acts several points can be marked to mention. The businesses are now more conscious than before to offer only the best quality material to the consumers. In case a customer gets injured due to the malfunctioning of any product then a case can be filed against the business claiming the compensation for both damage and injury. This will not only deduct the company fund but will also hamper the image.
Furthermore, due to the enforcement of the consumer protection act, 2019 pdf the companies are sincerely keeping a track of the purchase and offering a valid cash memo to the purchaser. The customer details remain a secret as per the order of the new amendment act.
In earlier days, there was no clarified answer in the consumer protection act, 1986 summary regarding the deceitful advertisements. People used to get affected by misleading advertisements to a great extent. But after the execution of the amendments in consumer protection acts companies pay attention to come up with valuable advertisements that display only the accurate product description and services. Now the consumers are guided rightly to purchase the appropriate product.
In the end, it is to mention that the citizens have to analyze the laws on a wider aspect. The laws may sting you for a time being, but in the future, it will introduce a new horizon to uplift the Indian economy. The laws are executed after several discussions with eminent personalities and experts of the Indian constitution. Hence the citizens must accept the amendments in consumer protection acts. However, the Indians are always free to convey their complications to the Government.