Three Tier Redressal Mechanism Under Consumer Protection Act, 2019 - An Analysis
Author: LawSphereX
Category: Consumer Law
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THREE TIER REDRESSAL MECHANISM UNDER
CONSUMER PROTECTION ACT, 2019 - AN
ANALYSIS
Rakhi, LLM, Faculty of Law, University of Delhi, Delhi, India
ABSTRACT
The major legislative reforms as seen in the Indian society, aimed at the empowerment of the consumers by providing a slick grievance redressal mechanism. The Consumer Protection Act, 2019 represents the fruitful efforts of the legislature towards the protection of consumers. This paper examines the three-tier structure namely, District Commission, State Commission and National Commission, in details. Emphasizing on the effect of the shift of the philosophy from caveat emptor to caveat venditor. The study first covers a detailed account of the constitution, jurisdiction, appeal, limitation, powers, and procedural nuances of each commission. It then outlines the efficiency of the system by analysing the various legal provisions and its implications through judicial interpretations.
Ultimately, the paper culminates the statute’s capabilities uphold consumer rights through timely, transparent, and accountable adjudication, thereby reinforcing consumer trust in the legal framework. Keywords: consumer, consumer protection, consumer grievance redressal, jurisdiction of consumer commission.
I. Introduction
With the evolution of the concept of “Consumerism” in the 1986 Act, a reform in the Indian Society was seen. “Consumers are regarded as the kings of the market” by John Wanamaker and each one of us are somehow consumers. Hence, it is of utmost significance to give them adequate protection from unscrupulous, restrictive and unfair trade practices of manufacturers, sellers and service providers. Consumers, the dormant and most exploited section of the market, are always exposed to the risk of unsafe and spurious products, misleading advertisements, overpricing and black marketing etc. they tend to become the prey of the competition in the market. Consequently, the law has bestowed few rights in the hands of the consumers as adopted by UN General Assembly1 and stipulated under Section 2 clause 9 of the Consumer Protection Act, 2019. These are:
1. Right to be safe.
2. Right to be informed.
3. Right to access to variety of goods.
4. Right to be heard.
5. Right to seek redressal.
Can the market afford to ignore the consumer’s interest? In Indian markets, we have seen a visible shift from “Caveat Emptor” (liability on the buyer) to “Caveat Venditor” (liability on the seller), reassuring the liabilities of the seller towards their consumer. To powerfully enforce the above stated rights of the consumers, the law should have an effective redressal mechanism. Redressal mechanism plays a pivotal part in the enforcement of such rights. With the introduction of dynamic era of technology, the transactions among the buyer and the seller have become tremendously complicated and further the scope of consumer protection is widened. To suit such conditions a new enactment of Consumer Protection Act,
1 UN General Assembly guidelines for Consumer Protection, 2015
2019 was brought up with special emphasis on the speedy and effective redressal of disputes.
The act answers the question of consumer protection with a three-tier redressal approach. II.
MATERIAL AND METHODS
The present study is entirely doctrinal in nature relying on some primary as well as secondary data. The methods used are deductive. The research paper is descriptive which aims to describe the theme in details. This descriptive research paper uses quantitative approach to systematically study and analyse the available data related to redressal mechanism for consumers in India. III. Three Tier Mechanism: Overview Chapter IV prescribes for the establishment of three tier quasi-judicial bodies in hierarchal manner. These the District Consumer Dispute Redressal Commission (District commission), State Consumer Disputes Redressal Commission (State Commission) and National Consumer Disputes Redressal Commission (National Commission).
The act has empowered the commissions to resolve the disputes of the consumers related to unfair and restrictive trade practices, defective goods and deficient services etc.
A. ESTABLISHMENT AND CONSTITUTION
DISTRICT DISPUTE REDRESSAL COMMISSION The State government is empowered to establish District Commission for each district of the State by virtue of section 28 of the Act. Considering the size of the population, it may establish more than one District Commission for a single district. A District Forum consists of a President and two other members. (section 28 clause 2). State Government may provide officers and other employees under the supervision of the President for the discharge of functions of the commission (section 33). In the event when the office of President and any member of District Commission is vacant, the State Government may direct any other District Commission to exercise jurisdiction and discharge the functions of the former Commission (section 32).
Further, the Central government has the power to formulate rules regarding qualification, method of recruitment, procedure for appointment term of office, resignation and removal (section 29). Consequently, the Central Government has formulated various rules as follows: • Qualifications for appointment of President and member of District Commission2. — A person will be eligible to be appointed as President if he/ she is a working or retired or qualified to be District Court Judge. The members are qualified if they are not less than 35 years of age and possesses a bachelor’s degree from the university recognised in India. The members must be the persons of ability, integrity and standing.
They must have special knowledge and professional experience of not less than fifteen years in the fields of consumer affairs, law, public affairs, administration, economics, commerce, industry, 2 Rule 4 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 finance, management, engineering, technology, public health or medicine. There is also a provision for the appointment of at least one woman member in the Commission. • Disqualification for appointment of President or member of State Commission and District Commission3.
–– This rule provides for various conditions which if exists leads to the disqualification for appointment of a person as a member or President in the State Commission and District Commission these are-- (1) person must not be convicted and sentenced to imprisonment for any offence which involves moral turpitude; or (2) person must not be adjudged to be insolvent by any competent court; or (3) He must not be of unsound mind or so declared by a competent court; or (4) Must not be removed or dismissed from the service of the State Government or Central Government or a body corporate owned or controlled by such Government; or (5) possess, in the opinion of the State Government, any financial or other interest as is likely to prejudicially affect his functions as the President or a member.
3 Rule 5 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020
Procedure of appointment4. — The State Government appoints the president and members of the District as well as State Commission, on the recommendations of the Selection Committee. The Selection Committee has also been constituted under this Rule. • Resignation by President or Member of State Commission or District Commission5. — The President or any member may resign his office at any time by writing under his hand addressed to the State Government. However, the President or members are not allowed to vacate the office until the expiry of three months from the date of receipt of such notice of resignation or until a person is appointed as a successor or until the expiry of his term in the office, whichever is earlier. He may relinquish the office sooner than the above-mentioned limit if the State government has permitted in that behalf.
• Removal of President or Member of State Commission or District Commission from office.
6— There are few conditions under which the State government shall remove the Presidents and the members from the office (a) has been declared as an insolvent by the competent court; or 4 Rule 6 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 5 Rule 7 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 6 Rule 8 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020
(b) has been convicted of an offence involving moral turpitude; or (c) has become physically or mentally incapable of acting as such member; or (d) has acquired such financial or other interest as is likely to affect prejudicially his functions as a member; or (e) has so abused his position as to render his continuance in office prejudicial to public interest: However, following the principles of Natural Justice, the President or members must be informed of the charges against him in the due course of time and given an opportunity of being heard in respect of those charges before the removal on grounds specified under clauses (c) to (e). • Term of office of President or Member7.
— The President and every member of the State Commission and the District Commission holds the office for a term of four years or up to the age of sixty-five years, whichever is earlier They are also eligible for reappointment for another term of four years subject to the age limit of sixty-five years, and such reappointment is made on the basis of the recommendation of the Selection Committee. STATE DISPUTE REDRESSAL COMMISSION State Commission is established by the State Government to function at the State Capital level. It may also have other regional benches.
The Commission consists of one President and four other members (section 42), whose qualification for appointment, method of recruitment, 7 Rule 10 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 procedure of appointment, term of office, resignation and removal are again notified by the Central Government through rules (Section 43). The State Government may also provide officers and other employees to the State Commission fort the discharge of its functions (Section 46). • Qualifications for appointment of President and members of the State Commission8.
— A person must be a working or a retired judge of any High Court for appointment as President; (1) Qualification for appointment as member • A person must be forty years of age to be appointed as a member not be qualified for appointment as a member.
He must also possess-- o an experience of at least ten years as presiding officer of a district court or of any tribunal at equivalent level or combined service as such in the district court and tribunal: Provided that not more than fifty percent of such members shall be appointed; or o a bachelor’s degree from a recognised university and is a person of ability, integrity and standing, and has special knowledge and professional experience of not less than twenty years in consumer affairs, law, public affairs, administration, economics, commerce, industry, finance, management, engineering, technology, public health or medicine: • There is also a provision for engagement of at least one 8 Rule 3 of The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 women member.
NOTE: Rule 5 to 10, as discussed above, are same for District Commission and State Commission. NATIONAL DISPUTE REDRESSAL COMMISSION The National Commission, which functions at the National Capital Region, is established by the Central Government (Section 53). It consists of President and four members (Section 54). The Central Government may make rules for qualifications, appointment, term of office, salaries and allowances, resignation, removal and other terms and conditions of service of the President and members of the National Commission. The members cannot hold office for more than five years and are eligible for the reappointment. The age of president shall not exceed 70 years and of members shall not exceed 67 years (section 55).
The Central government may also provide other officers and employees under the supervision of president for the discharge of functions of National Commission (section 57). If the office of the President is vacant then the duties of his office shall be performed by the senior- most member of the Commission (Section 63). • Section 64 states that any action or decision made by the District, State or National Commission cannot be invalidated only because there was vacancy among its members. B. JURISDICTION: PECUNIARY AND TERRITORIAL i. DISTRICT COMMISSION • The District Forum has the power to entertain complaints where the value of goods and services, paid as consideration, do not exceed fifty lakhs9 (Section 34 clause 1) • The complaint must be instituted in the District Commission within the local limits of whose jurisdiction (section 34 clause 2)
9 As notified by central government under Consumer Protection Rules, 2021
o the opposite party actually or voluntarily resides, carries on business, or personally works for gains o Complainant resides or personally works for gains o Where cause of action arises, wholly or in part. ii. STATE COMMISSION State Commission exercise original, supervisory as well as appellate jurisdiction. Complaints with pecuniary limit which exceeds fifty lakhs but does not exceed two crores10 (as consideration) are filed before the state commission. All the appeals from the District Forum also lie before the State Commission. The state commission is also empowered to pass appropriate orders in any consumer dispute pending before district commission in case the latter fails to exercise its jurisdiction or acted illegally.
(section 47) The complaint must be instituted in the State Commission within the local limits of whose jurisdiction (section 47 clause 4) o the opposite party actually or voluntarily resides, carries on business, or personally works for gains o Complainant resides or personally works for gains o Where cause of action arises. iii. NATIONAL COMMISSION • National commission have the jurisdiction to entertain the complaints in which the value of goods and services, paid as consideration, exceeds rupees two crores. 11
10 As notified by central government under Consumer Protection Rules, 2021
11 As notified by central government under Consumer Protection Rules, 2021
It has the appellate jurisdiction to entertain the appeals against the orders of any state commission or central authority. • It may also call for records or pass an appropriate order in any dispute pending before state commission in case their if defect in the jurisdiction of the state commission. (Section 58) Ireo Grace Realtech Pvt. Ltd. Vs Abhishek Khanna & Others12 In this case the conflict between the application of Real Estate (Regulation and Development) Act, 2016 and Consumer Protection Act, 2019 was resolved by the Hon’ble Supreme Court. The court held that in view of section 100 of the Consumer Protection Act, 2019 and section
88 of Real Estate (Regulation and Development) Act, 2016 both the acts are consistent and in
addition to each other. Section 79 of the Real Estate (Regulation and Development Act, 2016 only bar the civil proceeding and it do not bar the jurisdiction of consumer commissions. Accounts Officer, Jharkhand State Electricity Board v. Anwar Ali13 The court clarified that there is no specific provision that bars the jurisdiction of consumer commissions in spite of the setting up of the special courts. In this case, special courts were set up under the Electricity Act, 2003. The Supreme Court held that the jurisdiction of the consumer commission cannot be curtailed in the absence of any specific provision. C. PROCEDURE District Commission follows the procedure as stipulated under Sections 35, 36, 3, 38 and 39.
By the virtue of Sections 49 and 59, the same procedure with necessary modifications is applicable for the disposal of cases by the State Commission and National commission respectively. The State and National Commission also has power to declare any term of unfair contract as null and void. • Every complaint shall be heard on the basis of affidavit and documentary
12 Civil Appeal No. 5785 of 2019 (Supreme Court)
13 2008 SCC Online NCDRC 24.
evidence on record. (Section 38 clause 6) • The commission may by order require any electronic service provider to provide information, document or record. (section 38 clause 4) • The Commission, after showing the sufficient cause, may allow the appearance of parties through video conferencing. • The complaint must be decided within a period of 3 months from the receipt of notice to opposite party where complaint does not require any analysis or test of goods or within a period of 5 months if requires analysis or tests. If the complaint is disposed of after the prescribed period then the commission shall record reasons in writing (section 38 clause 7) • Adjournments shall be granted by the commission only if the sufficient cause if shown. • The commission may also pass interim orders as just and proper in the circumstances of the case.
(section 38 clause 8) • The commission exercises the same powers as that of the civil courts in the matters relating to: (section 38 clause 9) o the summoning and enforcing the attendance of any defendant or witness and examining the witness on oath; o requiring the discovery and production of any document or other material object as evidence; o receiving of evidence on affidavits; o the requisitioning of the report of the concerned analysis or test from the appropriate laboratory or from any other relevant source; o issuing of commissions for the examination of any witness, or document; and o any other matter which may be prescribed by the Central Government. • During the proceeding, if the bench conducting the proceedings differ on any point, they may refer such point to other members for obtaining opinion. The decision of the majority shall be the order.
Other members must give their opinion within one month from the date of reference. (section 39 clause 3, section 47 clause 3, section 58 clause 3) Procedure (Section 38) Complaint filed by consumer (who buys or uses goods, who hires or avails services, central government, state government, central authority, any consumer organisation) either offline or electronically. (Section 35) Complaint is conducted by President and at least one member of the Commission (Section 36) Time limit of 21 days to decide on the admissibility of complaint. Admit the complaint by an order (if not admitted within 21 days the complaint is deemed admitted. ) Reject the complaint after giving opportunity of being heard.
The commission will refer the copy of complaint to the opposite party within 21 days The opposite party is required to give his version within 30 days (extendable for another
15 days) from the date of receiving of copy of complaint.
If opposite party denies or rejects the allegations and demand for test of goods to If opposite party accepts the allegation the commission shall pass the appropriate orders. determine defect. The commission shall obtain the sample of goods from the complainant seal and authenticate it and sent it to the laboratory directing for test or analysis of the sample. The laboratory must report back within 45 days. (fees to be deposited by the complainant) v In case of services the commission shall pass the order on the basis of evidences provided or decide on merits. v It may also pass an ex parte order where party fails to represent its case. M/s Daddy’s Builders Pvt. Ltd.
& Another Vs Manisha Bhargava and Another 14 The Hon’ble Supreme Court held that the period of 30 days or such extended period (at most up to 15 days) for the filing of the reply by opposite party is mandatory and cannot be condoned further. However, the period of 30 days must be counted from the date of the receipt of notice along with a copy of the complaint, and not merely from the date of receipt of notice without the copy of complaint. Manohar Infrastructure and Constructions Private Ltd Vs Sanjeev Kumar Sharma & Ors. 15 Supreme Court commenting upon the powers of the National Commission held that the Commission has the power to impose any condition in the stay proceedings. It may also pass an order with the condition to pay the entire amount so directed by the State Commission.
Such power vested with the national Commission is not inconsistent with the mandatory provision of pre-deposition of 50% of determined amount by state commission under the Act. Emaar MGF Land Ltd. & Anr. v. Balvinder Singh16 On emphasising upon the giving of reasons for any order the commission passes to ensure the principles of Natural Justice are followed the Apex Court said that “it cannot appreciate this system of adjudicating appeals whereby an appeal is dismissed without giving reasons and reasons are not given for such a long period of time. The Court said this is not the way the Commissions are required to function. These Commissions have been set up with a view to give quick relief to the parties and if reasons are not given for years on end then the whole purpose of setting up such Commissions is thwarted. ”
14 Petition for Special Leave to Appeal (Civil) No. 1240 of 2021
15 LL 2021 SC 714]
16 MANU/SF/0084/2017
D. NATURE OF RELIEF (SECTION 39) Consumer forums offer a variety of legal remedies that can be sought by aggrieved consumers. These remedies aim to restore the rights of consumers and hold service providers or manufacturers accountable. The available remedies include:
1. REFUND OF THE AMOUNT
When a consumer pays for a goods and services it is inherent that the goods and services must not be defective or deficient. If the goods or services are not as promised, the consumer has the right to claim the refund of the entire amount that he has paid as consideration. The remedy is useful in cases where the products are defective, practices of the seller are restrictive or unfair or substandard services etc.
2. REPLACEMENT OF DEFECTIVE GOODS
In the instances where the consumer does not seek for refund of the consideration amount for defective goods or deficient services because they need the product, they may seek the replacement of the goods with a new item. For example, if a consumer buys an air conditioner in the summer season, and it is found to have manufacturing defects, the commission may order the manufacturer to replace the product, if the repairing is not possible. This particular remedy is aimed to ensure that consumers are not left with defective or faulty product.
3. REPAIR DEFECTIVE GOODS OR DEFICIENT SERVICES
Where the nature of the product is such that the replacement is not possible or is unnecessary, then consumer the seller to repair the defective product or fulfil the deficient services. This remedy is attracted in cases where the products are expensive. This remedy is generally granted when the product is still under the warranty and defect can be fixed.
4. MONETARY COMPENSATION
Where the consumer suffers mental distress, emotional agony and financial loss or any other injury due to the defects in the products or deficiency in the services, he may seek the compensation. The compensation may be awarded as reimbursement for the loss or inconvenience or injury caused. For instance, if consumer suffers medical injury due to a defective product then he may claim the damages for medical compensation, physical or emotional injury caused or for loss of income.
5. PUNITIVE DAMAGES
Sometimes the conduct of the manufacturer or service providers is highly arbitrary towards the consumer. In such circumstances, the commission may award excessive damages to create deterrent effect on the negligent and fraudulent manufacturers or consumer providers. The remedy is aimed to restrict the unethical practices in the market.
6. CEASE OR DESIST ORDER
Where businesses are engaged in harmful practices such as unfair trade practices, misleading advertisements, or selling of dangerous products, then they may be asked to discontinue such practices. This remedy is aimed not only to give relief to the complaint but also to give security to consumers at large. This remedy ensures that consumers do not get trapped into the deceptive market practices of the big business houses.
7. SPECIFIC PERFORMANCE
In few cases, where the consumer does not seek the refund or replacement of the product. Instead, they may want the specific performance of a contract. This remedy is specifically pertinent in situations where the goods or services have distinctive or incomparable qualities. For example, if a consumer has paid for a custom-made or personalised item that are not delivered or is defective, the consumer can seek the specific performance of the contract, compelling the seller to fulfil their end of the bargain.
8. COMPENSATION FOR MENTAL AGONY
In cases where the defective product or service has caused mental distress or anguish, consumers can seek compensation for the mental suffering endured. This remedy is common in cases of substandard services, delay in service delivery, or defective products that cause inconvenience. For instance, a delayed airline flight or substandard hospital services can lead to emotional distress, which may entitle the consumer to compensation for the mental anguish caused.
9. PUBLIC DISCLOSURE OF DEFECTIVE GOODS ND SERVICES
This remedy is no doubt deterrent in effect but is a necessary one in the interest of consumers. In some cases, the Commission may order the business houses to disclosure the particular product’s defects or a company’s fraudulent practices publicly. This aims of this remedy is to inform and protect the complainant and other consumers from being trapped by the same faulty product or service provider. A public notice can also be issued to inform the consumers of particular issues with products, services, or businesses. To make the consumers selfaware in the market.
10. CORRECTIVE ADVERTISEMMENT
Such order is passed to neutralise the effect of misleading advertisement at the cost of the opposite party responsible for issuing such misleading advertisement. Kranti Associates Pvt. Ltd. and Anr. v. Sh. Masood Ahmed Khan and Ors17 Again, in this case the Supreme Court highlighted the significance of reasons and also that giving of reasons cannot be a mere formality. It must show some real nexus between the evidences, documents and records which are considered in the particular
17 (2010) 9 SCC 496
case and the conclusions ultimately reached after appreciating the materials on record. The commission is under obligation to record reasons in support of its conclusions to cater the wider principles of Justice. E. APPEALS The first appeal against the orders of the District commission are preferred before the State Commission within 45 days from the date of order on the grounds either of facts or law. If in the order of the district commission any person is directed to pay any amount, the appeal shall not be entertained by the State Commission unless the appellant deposits the 50% of the amount (pre-deposition clause). (section 41) Appeals against the orders of State Commission lies before the National Commission. it must be filed before 30 days. The appellant has to deposit 50% of the amount directed under the order of the state commission (pre-deposition clause).
If this is the second appeal from an order passed in appeal by state commission then the case must involve a substantial question of law. (section 51) Any appeal made before the state commission or the national commission must be heard expeditiously and dispose of in 90 days. If the appeal is disposed of after 90 days then reasons must be recorded in writing. No adjournments shall ordinarily be granted unless a sufficient cause exists. (section 52) The appeal against the order of the national commission lies before the Supreme court within
30 days from the date of the order of the national commission. (section 67)
Cicily Kallarackal V/S Vehicle Factory18 This ruling by the Apex Court is significant as it provides a wider autonomy to the commissions by restricting writs in the High Courts under Article 226 of the Constitution of India, against the orders of the commissions. It categorically stated that where a law provides a proper channel for appeal, the parties are not permitted to bypass such statutory remedy and instead approach the High Court directly.
18 (2012) 8 SCC 524
The Supreme Court even directed the High Court to handle each and every writ with caution. It also directed to circulate the order to all high courts. Ambience Infrastructure Pvt. Ltd. v. Ambience Island Apartment Owners19 The issue before the Supreme Court was that Whether an appeal against Order of National Commission passed in Execution Proceedings is maintainable or not? The Court relying upon section 23 of the Consumer Protection Act, 1986 (now section 52 of the Consumer Protection Act, 2019) held that the stated provision allows the appeal against the order of national Commission where the value of goods and services exceeds the threshold prescribed. However, the execution proceedings are separate and independent from the original proceedings as observed in the case of Karnataka Housing Board v. K. A. Nagamani20.
Thus, the court held that the appeal under section 23 against an order which has been passed in the course of execution proceedings is not maintainable. F. LIMITATION PERIOD The limitation period for filing of complaint before the District Commission, State Commission and the National Commission is 2 years from the date of when the cause of action arises. However, commissions may condone the delay and record reasons for such condonation if they are satisfied that sufficient cause for such delay exists. The Union Of India v. Md. Jasiruddin Talukdar on 3 June. 441 Decision21: The Guwahati High Court explicitly cleared that section 5 of the Limitation Act for condonation of delay is not applicable under the Consumer Protection Act. It stated that the legislature has provided the provision for condoning the delay in filing appeal in the Act itself. G. POWERS
1) Quasi- Judicial Bodies (section 38 clause 9 and 10)
The commissions are vested with the same powers as that of the civil
19 2020 SCC OnLine SC 1051
20 (2019) 6 SCC 424
21 2010 SCC OnLine Gua 67
court for the purposes of summoning and attendance of witnesses, discovery and production of evidences, receiving evidences on affidavit, requisitioning report from laboratory, examinations of witness etc. The commission also assumes the character of criminal court if someone gives any false evidence or fabricates with the evidences.
2) Power to withdraw cases from lower court and try itself (section 47
clause 1 sub clause b) If the lower commission fails to exercise its jurisdiction, exercises jurisdiction which is not vested in it or exercises jurisdiction illegally, the superior commission may call for records or pass an appropriate order in the dispute pending before such junior commission.
3) Power of Review (section 40, 50 and 60)
Generally, all the three Commissions are empowered to review any of the orders passed by them, in case when there is an error visible on the face of the record, they could review either Suo moto or on an application made by any of the parties within thirty days of such order Rajeev Hitendra Pathak ab dots. Vs. Achyut Kashinath Karekar and ors22 The main question which arises for consideration before the full bench of the Honourable Supreme Court is “whether the District Consumer Forums and the State Commissions have the power to set aside their own ex prate orders or in other words have the power to recall or review their own orders?” It was held by the Court that section 22 and 22A (refer to section 40, 50,
60 and 61 of the CPA, 2019) of the Consumer Protection Act, 1986 deals
with the power of review of the district commission and the state commission. The state and district commission are not empowered to set aside ex parte order under such provisions. Power of review not
22 (2011) 9 SCC 541
given by statute cannot be exercised. By virtue of section 22 (section 60 of CPA, 2019) and 22A (Section 61 of CPA, 2019) only National Commission has the power to set aside its ex parte orders.
5) Power to set aside ex parte orders (section 61)
Only the National Commission has the power to set aside an ex parte order on the application of the parties. Such powers are not vested with the District and State Commission.
6) Power to call an Expert (section 66)
The National Commission or the State Commission has the power to engage any individual, organisation or an expert to assist the proceeding in the larger interest of consumers.
7) Power to transfer cases (section 62)
The National Commission, at any stage of the proceedings, has power to transfer the case pending before the District or the State Commission to the District Commission of another state or before another state Commission.
8) Finality and enforcement of orders (section 68, 71 and 72)
It is expressly declared under section 68 that every orders of the Commissions are final. The District, State and National Commissions also have to power to enforce its orders according to the provisions of order XXI of the code of civil procedure, 1908. Non-compliance of the orders of the commissions is an offence under section 772 of the Act which is punishable with imprisonment for a term which shall not be less than one month, but which may extend to three years, or with fine, which shall not be less than twenty-five thousand rupees, but which may extend to one lakh rupees, or with both.
9) Executive powers (section 70)
The National commission have the administrative control over all the State Commissions. Similarly, State Commissions have the administrative control over all the District Commissions in the State to monitor the functioning and performance of the Commissions for the better protection of the interest of consumers. IV.
CONCLUSION
This comprehensive channel as provided in the Consumer Protection act, 2019, for dispute resolution not only seems efficient in the statute books but is indeed a fruitful step. The statute keeps a check over the bodies by providing them to state reasons for each and every action they perform, ensuring transparency and accountability within the system. The time limit as imposed at every stage of the procedure has given a wide berth for the enforcement of consumer rights. Justice in such a field where the innocent consumers has to face the powerful sellers or manufactures was no doubt a herculean task. But the present system of grievance redressal with the provision for mediation, which is the desire of ideal justice system, is a milestone for the protection of consumers in the markets.
REFERENCES
o Consumer protection Act, 2019 o Consumer Protection (Jurisdiction of District Commission, State Commission and National Commission) Rules, 2021. o The Consumer Protection (qualification for appointment, method of recruitment, procedure of appointment, term of office, resignation and removal of the President and members of State Commission and District Commission) Rules, 2020 o Dr. R. K. Bagia, “Consumer Protection Laws” Book 2018 o Patil, Ashok R. , “Landmark Judgments on Consumer Law and Practice 2008- 2020” (1905). Books. 18. o UN General Assembly guidelines for Consumer Protection in resolution 70/186 of 22 December (revised). (https://unctad. org/system/files/officialdocument/ditccplpmisc2016d1_en. pdf ) o Dr. B Sravanthi, “The Redressal Mechanism under the Consumer Protection Act, 2019- A Study” IJRAW vol. 1 issue 16 2022. o Shivani Antil, COPRA, (https://www. scribd.
com/document/436226152/COPRA-2019 )