Page 39 - DCOM404_CORPORATE_LEGAL_FRAMEWORK

Corporate Legal Framework Sukhpreet Kaur, Lovely Professional University

Notes Unit 2: The Consumer Protection Act

CONTENTS

Objectives
Introduction
2.1 Important Terms
2.2 Rights of Consumers
2.3 Nature and Scope of Remedies available to Consumers
2.4 Appeal
2.5 Summary
2.6 Keywords
2.7 Self Assessment
2.8 Review Questions
2.9 Further Readings

Objectives

After studying this unit, you will be able to:
Explain important terms related to consumer
Discuss rights of consumers

Describe remedies available for consumer
Introduction

In the earlier unit, you came to know about the law of contacts. In this unit, you will study about
the Consumer Protection Act.
The Consumer Protection Act, 1986 was born. It is described as a unique legislation of its kind
ever enacted in India to offer protection to the consumers. The Act is claimed to have been
designed after an in-depth study of consumer protection laws and arrangements in UK, the USA,
Australia and New Zealand. The main objective of this Act is to provide better protection to the
consumers. Unlike other laws, which are punitive or preventive in nature the provisions of this
Act are compensatory in nature. The Act intends to provide simple, speedy and inexpensive
redressal to the consumers’ grievances.

2.1 Important Terms

The Preamble to the Act spells out its objects in the following words: “An Act to provide for
better protection of the interests of consumers and for that purpose to make provision for the
establishment of consumer councils and other authorities for the settlement of consumers’
disputes and for matters connected therewith.”
Thus, the objects of the Consumer Protection Act are:
1. To provide for better protection of interests of consumers.
2. In order to meet the aforesaid objective, to provide for the establishment of consumer
councils and other authorities

34 LOVELY PROFESSIONAL UNIVERSITY