The Union Cabinet has approved Consumer Protection Bill, 2015 in order deal with the growing concern over the safety of consumer products and services. The new bill seeks to replace Consumer Protection Act, 1986 in order to deal with consumer protection and safety. The main objective of the bill is to simplify the consumer dispute resolution process along with enhancing the pecuniary jurisdiction of the consumer grievance redressal agencies.

Points to Note

Establishment of Central Consumer Protection Authority (CCPA)

The Bill seeks to establish CCPA as an apex regulatory authority with more powers to protect and enforce the rights of consumers.

It will have powers to recall products and initiate action suit against defaulting companies including e-tailers for refunds and return of products.

Product liability

If product or services causes personal injury, death or damage to property, CCPA will have powers to take action against defaulting manufacturers or service providers.

Speedy disposal of court cases

In this regard, provision related to ‘mediation’ has been proposed which will act as an alternative dispute resolution mechanism. However, mediation will be under the aegis of consumer courts.

Stringent penalty

In certain cases, the Bill adds stringent penalty provisions including life imprisonment.

Establishment of circuit bench

For speedy disposal of complaints consumers can file complaints electronically circuit bench along with traditional mechanism of filing complaints in consumer courts that have jurisdiction over the place of residence.

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