cs executive CONSUMER PROTECTION ACT study notes material

Posted on 04-05-2016        By ADMIN

cs executive CONSUMER PROTECTION ACT study notes material “ Introduction ” Under “ Sale of Goods Act ”, the governing principle is “ Caveat Emptor ”, i.e. “ Buyer Beware ”. Buyer is supposed to take care before buying goods. He is supposed to be knowledgeable and well informed. This was true till the middle age, when both buyer and seller were on “ equal footing ”. The industrial revolution brought in the concept of standardization and mass production and over the years, the types of goods and the nature of services available grew manifold. The doctrine of “ Caveat Emptor ” had been replaced by the new principle “ Consumer Sovereignty ”. But, with tremendous increase in world population, the growing markets were unable to meet the rising demand which naturally created a gap between the general demand and supply levels in the market. This to some extent has watered down the concept of “ Consumer Sovereignty ”. On the other hand, the expanding markets necessitated the introduction of various “ intermediaries ” between the producer and the ultimate consumers. Unfair and deceptive practices such as selling of defective or substandard goods, charging exorbitant prices, negligence as to safety standards etc. became rampant. It therefore, became, necessary to evolve statutory measures, even in developed countries, to make producers and traders more accountable to consumers. The need to ensure the basic rights to health, safety etc. of consumers has long been recognized the world over and various general legislations were enacted in India and abroad in that direction. In India, the general enactments other than the Law of Torts which ultimately aimed at protection of consumers interests are Indian Contract Act, 1872, The Sale of Goods Act, 1930, The Drugs and Cosmetics Act, 1940, The Prevention of Food Adulteration Act, 1954, The Essential Commodities Act, 1955, etc. The contravention of the provisions of these legislations attracted civil liability. However, the time and the cost involved in the civil litigation is “ disproportionate ” to the compensation claimed and granted to an individual consumer. Therefore, it became necessary to evolve laws - directed at protecting the consumers and at the same time providing for remedies which are simpler, more accessible, quicker and less expensive. This paved the way for enactment of “ The Consumer Protection Act, 1986

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