Consumer Dispute Redressal Agencies

2021 AUG 12

Preliminary   > Polity   >   Institutions/Bodies   >   Statutory Bodies

Why in news?

  • The Supreme Court on 11th August 2021 directed all State Governments and Union Territories to fill up the vacancies in the State Consumer Dispute Redressal Commissions within 8 weeks of the order
  • A similar order was also issued to Centre Government to fill up the vacancies in the National Consumer Dispute Redressal Commission.

About Consumer Dispute Redressal Agencies:

  • The Consumers Protection Act, 1986 enacted by Parliament, protects the interests of consumers in India.
  • It makes provisions for the establishment of Consumer Councils and other authorities for the settlement of consumers’ disputes and matters connected therewith.
  • Under the Act Consumer Dispute Redressal Agencies have been established at three different levels:
    • At the district level:
      • District Consumer Disputes Redressal Forum (DCDRF), which is also known as ‘District Forum’.
      • It is established by the concerned State Government in each District of the State.
      • The State Government may establish more than one District Forum in a district
    • At the State level
      • State Consumer Disputes Redressal Commission (SCDRC), which is also known as ‘State Commission’.
      • It is established by the State Government concerned in the State
    • At the National level
      • ‘National Consumer Disputes Redressal Commission (NCDRC) has been established by the Central Government.
      • It is also known as ‘National Commission’
  • Every court can take a complaint only upto a certain value.
  • For example the District Forum can take a complaint of upto 20 1akhs.
  • State Consumer disputes Redressal Commission decides cases exceeding rupees twenty lakhs but not exceeding rupees one crore.

About National Consumer Disputes Redressal Commission:

  • The National Consumer Disputes Redressal Commission (NCDRC) is a quasi-judicial commission, which was set up in 1988 under the Consumer Protection Act of 1986.
  • The commission is headed by a sitting or retired judge of the Supreme Court
  • It was established to provide inexpensive, speedy and summary redressal of consumer disputes.

Provisions of the act:

  • Section 21 of the Consumer Protection Act, 1986:
    • It provides that National Consumer shall have jurisdiction to entertain a complaint valued more than one crore and also have Appellate and Revisional jurisdiction from the orders of State Commissions or the District fora as the case may be
  • Section 23 of Consumer Protection Act, 1986
    • It provides that any person aggrieved by an order of NCDRC, may prefer an Appeal against such order to Supreme Court of India within a period of 30 days.

PRELIMS QUESTION

With reference to ‘Consumers Protection Act’, consider the following statements:

1. Appeals against the order of National Consumer Disputes Redressal Commission lies with the High Court

2. The Act mandates the Centre Government to establish State Consumer Disputes Redressal Commission in each state

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer