Consumer Protection Act, 1986

Consumer Protection Act, 1986
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.
Citation	Act No. 68 of 1986
Enacted by	Parliament of India
Date commenced	24 December 1986
Status: In force

Consumer Protection Act, 1986 is an Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India. It makes provision for the establishment of consumer councils and other authorities for the settlement of consumers' disputes and for matters connected therewith also.

This statute is regarded as the Magna Carta in the field of consumer protection for checking the unfair trade practices and ‘defect in goods’ and ‘deficiencies in services’ as far as India is concerned. It led to the establishment of a widespread network of consumer forums and appellate courts all over India. It has significantly impacted how businesses approach consumer complaints and empowered consumers to a great extent.

Consumer Protection Councils are established at the national, state and district level to increase consumer awareness.

The Central Govt. shall by notification establish with effect from such date as it may specify in such notification a Council to be known as the Central Consumer Protection Council

The objectives of the Central Council is to promote and protect the rights of the consumers such as:-

The objective of every State Council shall be to promote and protect within the State the rights of the consumers laid down in clauses 1 to 6 in central council objectives.

Consumer courts do not have jusridiction over matters where services or goods were bought for a commercial purpose.

Subject to the other provisions of this Act, the State Commission shall have jurisdiction:-

The National Commission has jurisdiction—

(a) to entertain—

(i) complaints where the value of the goods or services and compensation, if any, claimed exceeds rupees one crore; and

(ii) appeals against the orders of any State Commission; and

(b) to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any State Commission. However, the Supreme Court of India has held that the jurisdiction of National Commission under Revision Jurisdiction is very limited and can only be exercised when State Commission exceeds its jurisdiction, fails to exercise its jurisdiction or there is material illegality in the order passed by State Commission.

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