ACKNOWLEDGEMENT

I would like to express my special thanks to my teacher Dharitri Rath as

well as our principal Alka Mohanty who gave me the golden opportunity to
do this wonderful project on the topic ‘Consumer Rights and Consumer
Movement in India’.
This project helped me a lot in gaining adequate knowledge about the
topic. I have completed this project after proper analysis and research and I
came to know about so many new things.
I am really thankful to all my friends, co-partners and guide, who have
devoted their precious time in completing my project. Secondly, i would also
like to thank my parents or guardians who helped me a lot in finishing this
project within the prescribed time.
I am making this project not only for marks but also to increase my
knowledge and intellect development.
Thanks again to all who helped me.
 CERTIFICATE

This is to certify that the project work

‘Consumer Rights and Consumer Movement in
India’ is the bonafide work of
who carried out the work under my supervision

_____________________
Name and Signature of
Teacher/Supervisor
 CONTENTS

S.No. Particulars

1 Who is the consumer?

2 Malpractices in the marketplace

3 Need for protecting the consumers

4 Consumer Movement

5 Ways to protect consumers

6 Problems with consumer movement

7 Consumer Rights
Who is a Consumer?
Any individual who buys a product or personal use is called a Consumer. service
for his Consumers are the decision makers who decide which product they want
to buy, why they buy and from which store they will make their purchases.
Consumers buy products after being influenced by advertising and marketing.
Every time someone goes to a store and buys a shirt, toy, beverage or anything
else, they make a decision as a consumer. Consumers participate in the market
place by purchasing final goods and services as per their requirements.
However, consumers are exploited in the market place because they do not insist
on their rights. Thus, being a consumer it is our responsibility to speak out and
inform manufacturers and government about our needs and wants and to
complain or inform business along with other people about discontentment with a
product or service in an honest way. There should be fair and not engage in any
kind of malpractice responsibility of being an ethical consumer and be which
makes all consumers pay.
Malpractices in the MarketPlace
Being consumers when we buy any product or service from the marketplace, we
expect a certain value for money, i.e., right quality, right quantity, right prices,
information about the product, etc. However, in the present day, we end up being
harassed and cheated by sellers and manufacturers very often. There are many
ways by which consumers are exploited such as in att ad of ce pa fo be T Selling
at higher prices. Adulteration in food products. Sub-standard products where
quality of products is far below the required standard. False claims by some
manufacturers in the market place through attractive representations and
advertisements about their products in the media which usually mislead the
ignorant consumers. e.g. They claim that using their particular oil will cure
baldness, or using a company's fairness cream for a specific period will make
one fair, etc, are all typical examples of exaggerated, misleading advertisements.

–There is another common malpractice in the market. e.g. in many cases, though
the product will have a warranty or will be under Annual Maintenance Contract
(AMC), when a problem arises, the consumer is asked to pay for certain parts or
is refused to get maintenance work without paying.
–Creating artificial scarcity through hoarding and black marketing.
–Indulging in unfair trade practices like weighing less than required.
This often happens because of lack of knowledge or ignorance among the
customers for the whole variety of goods and services that they buy. Usually
most of the consumers do not bother to check the details regarding the date of
manufacture, the date of expiry and the MRP. They buy only because of
attractive advertisements and thus, get exploited by the hands of such dealers or
manufacturers.
Need for Protecting the Consumers
There is a need for protecting the consumers from the malpractices exercised by
the manufacturers or sellers in the marketplace. It is essential especially in the
developing countries like India where most of the consumers just go and buy
products on being attracted by the flashy representations or advertisements.
Most of the consumers act as a herd of sheep that just follow one person who
they may like.
E.g.if some consumers follow a particular celebrity and who is acting in an
advertisement of a particular product like fairness cream, so some followers
would blindly buy that product having a belief that it would prove to be a quality
product.
Thus, to eliminate such practices it is needed to make consumers aware about
their rights.
Consumer Movement

In India, The Consumer Movement acts as a social force originated

with the necessity of protecting and promoting the interests of
consumers against immoral and unfair trade practices. Rampant food
shortages, hoarding, black marketing, adulteration of food and edible
oil gave birth to the Consumer Movement in an organized form in the
1960s. Until the 1970s, consumer organizations were largely engaged
in writing articles and organizing exhibitions.

Ways to Protect Consumers

Many ways have been taken by the government to protect consumers.
Some of these ways are as follows:
1. Consumer Forums: The Consumer Movement in India has led
to the formation of various organizations locally known as
Consumer Forums or Consumer Protection Councils. They guide
consumers on how to file cases in the Consumer Court. Many
times, they also represent individual consumers in the Consumer
Courts. These voluntary organizations also receive financial
support from the government for creating awareness among
 people.

2. Consumer Protection Act, 1986 As a result of all efforts since

the 1960s, the Consumer Movement succeeded in bringing
pressure on businesses and firms, as well as the government to
improve business conduct, which earlier was against the
interests of consumers at large. In this regard, a major step
taken in 1986 by the Indian Government, was the enactment of
the Consumer Protection Act, 1986, popularly known as COPRA.
This act was enforced after the formation of Consumers
International. Consumer Protection Act (COPRA), 1986 is an act
of Parliament enacted 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 connected matters.
3. Three-tier System
Under Consumer Protection Act (COPRA), a three-tier Quasi judicial
machinery at the district, state and national levels has been set-up for
redressal of consumer disputes. The district level court deals with the
cases involving claims upto 20 lakhs, the state level courts between
20 lakhs and 1 crore and the national level court deals with cases
involving claims exceeding 1 crore. If a case is dismissed in district
level court, the consumer can also appeal in the state and then in
national level court
Problems with Consumer Movement
The consumer redressal process is difficult, expensive and time
consuming.
Existing laws are not very clear on the issue of compensation to
consumers.
Law enforcement in the unorganized sector is weak. Court
proceedings for consumer redressal are long.
Most of the traders do not issue cash memos. Rules and regulations
for market functioning are not followed.
Consumer Rights
The right to have information about the quality, potency, quantity,
purity, price and standard of goods or services is known as Consumer
Rights. It is very essential for the consumers to know their rights.
These rights enable consumers to file their complaint in Consumer
Court if they find violation of their rights. The rights of consumers are
given below
1. Rights to be Protected/Right to Safety Right to be Protected / Right to
Safety Consumers, have the Right to be Protected against the marketing of
goods and delivery of services that are hazardous to their life and property.
Producers and service providers need to strictly follow the required safety
rules and regulations. There are many goods (like pressure cooker's safety
valves, electrical equipment, geysers, iron, etc.) which require special
attention to safety. If it is defective, it can cause a serious accident. So, in
this case manufacturers are required to ensure that safety and quality of
products and services are to be maintained.
2. The Right to be Informed Government has made it mandatory to mention
all ingredients and safety features, date of manufacture, price, quantity,
expiry date, direction for use, etc, on the pack of a product. This
information is given because it helps the consumer in making an informed
buying decision. If the product proves to be defective in any way, the
consumer can complain and ask for compensation or replacement. The
manufacturers have to display this information because consumers have
 the Right to be Informed about the particular goods and services they
purchased.
3. Use of RTI for Consumers In October 2005, the Government of India
enacted a law popularly known as RTI (Right to Information) Act, which
ensures all the information about the functioning of government
departments to its citizens. It ensures accountability and transparency of
working of public authority. This act is applicable to all the states and union
territories except the State of Jammu and Kashmir. The reason behind this
is that, the State of Jammu and Kashmir has its individual act which is
known as Jammu and Kashmir Right to Information Act, 2009. As per the
RTI Act, any person citizen can request from the public authority, which is
then required to furnish the required information within 30 days or
expeditiously.
4. Right to Choose: Any consumer who receives a service in whatever
capacity, regardless of age, gender and nature of service, has the Right to
Choose whether to continue to receive the service or not. The consumer
has a right to choose a good or a service and decide to continue with it like
the services of the cable operator or to buy the toothpaste without the
toothbrush even if the shopkeeper insists on buying both. As per this right,
no consumer in India can be trapped in the monopoly of a product in the
market. In other words, no consumer can be forced to choose a particular
product to consume as no market is allowed to be dominated by a single
producer. Thus, each and every consumer has the right to choose
according to his/her will across a range of options provided to him. This
right can be better exercised in a competitive market where a variety of
goods are available at competitive prices.
5. Right to Seek Redressal: Consumers have the Right to Seek Redressal
against unfair trade practices and exploitation. It means if any damage is
done to a consumer, he has the right to get compensation depending on
the degree of damage. Thus, it is needed to provide an easy and effective
public system by which this can be done. As the markets are globalizing,
the direct link between the manufacturer and the final user getting distant,
post purchase grievances have to be heard through a strong redressal
system. For this, consumer disputes redressal agencies (popularly known
as Consumer Forums of Consumer Courts) are set up under the Act at
District, State and National level to provide simple and inexpensive quick
redressal against consumer complaints.
6. Right to Represent This right enables consumers to represent in
Consumer Courts. Many Consumers do not know how to file a complaint in
Consumer Courts. After considering this, the Consumer Movement in India
established various organizations under the name of Consumer Forums or
Consumer Protection Councils which guide consumers on how to file their
complaints/cases in the Consumer Court. These organizations also help
the consumers to represent in the Consumer Courts, where they get
compensation depending on the degree of their damage.
7. Right to Consumer Education This means every consumer should be
aware about the rights that have been provided to him/her so that he/she
could save himself/herself from being exploited at the marketplace.
Consumer education might refer to formal education through college and
school curriculums. Consumer awareness campaigns run by
non-governmental and governmental organizations are also a past of
consumer education. Ignorance of consumers is the root cause of their
exploitation. Thus, consumers should know their rights and must exercise
them.
THE ODISHA CONSUMER
PROTECTION ACT 1986
CONSUMER RIGHTS STATEMENT
A. RIGHT TO INFORMATION
B. RIGHT TO STANDARD PERFORMANCE
C. RIGHT TO SEEK REDRESSAL
D. RIGHT TO CONSUMER EDUCATION
A. RIGHT TO INFORMATION
i. Entry into consumer's premises
Consumer have a right to be informed prior to the entry into their premises by the licensee for
any prescribed purpose.
ii. Notice of outages
The licensee shall provide not less than twenty fourhours notice prior to an outage exceeding
thirty minutes scheduled for the purpose of testing or any other purpose connected with the
efficient working of the system.
iii. Information prior to the disconnection and procedure of reconnection
The licensee must follow the Regulation on Consumers' Rights to Information (OERC)
Consumer Right to Information and Standards of Performance ) Regulations, 1998 ]. The
consumer shall be provided with prescribed minimum period of notice before disconnection.
Before disconnecting the service, the licensee's employee performing the disconnection must
inform an adult residing in the premises. If the proof of full payment is produced to the
satisfaction of licensee's employee deputed for disconnection, he shall not disconnect it.The
licensee is exempted from the notice requirements of the above Regulation only in cases
where consumer's installation poses a danger to the health or safety of the consumers or
licensee's employees or the public. The licensee will restore service promptly when the cause of
the disconnection has been removed by the consumers.
iv. Intimation for Reclassification of Consumers
In case the licensee intends to reclassify any consumer in terms of the Orissa Electricity
Regulatory Commission Distribution (Conditions of Supply) Code, 1998 or otherwise it has to
notify the consumer accordingly and has to specifically inform, if a fresh agreement needs to be
executed in consequence of such reclassification.
The notice shall state that the licensee may disconnect the supply of power if the consumer does
not take the required steps as prescribed under Orissa Electricity Regulatory Commission
Distribution (Conditions of Supply) Code, 1998.
v. Notice Procedure
All notice for disconnection shall be in writing. Notice for scheduled outages may be through
publication in newspaper/public address system/electronic media/telephone. Service of notice to
individual consumers shall be governed be Regulation 112 of the Orissa Electricity Regulatory
Commission Distribution ( Conditions of Supply ) Code, 1998.
vi. Tariff
Consumers have a right to obtain copy of Tariff schedule on payment of charges. A copy of the
said schedule shall be prominently displayed in all offices of the licensee dealing with the
commercial aspects.B. RIGHT TO STANDARD PERFORMANCE
(i) The Licensee is required to maintain minimum standard of performance in
case of :
• restoration of power supply
• quality of power supply
• period of scheduled outages
• complaint on meter
• application for new connection
• complaint on consumer bills
• In the manner prescribed in the Part II of OERC ( Consumer Right to Information and
Standards of Performance ) Regulations, 1998.
C. RIGHT TO SEEK REDRESSAL
(i) Complaint Handling Procedure
The licensee has to follow consistently its own "Complaint Handling Procedure" approved by the
Commission for proper and effective redressal of consumer grievances.
D. RIGHT TO CONSUMER EDUCATION
The licensee shall make a copy of "Consumer Rights Statement", "Code of practice on Payment
of Bills", "Complaint Handling Procedure", "Copy of the Tariff Schedule" ( both in English and
Oriya language) as revised from time to time, available for inspection by members of the public
during normal working hours at his Head Office, Divisional Offices, Sub-Divisional and Section
Offices.
The licensee shall provide a copy of "Consumer Rights Statement", "Code of practice on
Payment of Bills", "Complaint Handling Procedure", "Copy of the Tariff Schedule" ( both in
English and Oriya language) as revised from time to time to any person who requests it on
payment of reasonable charge and to each new consumer free of charge.
The licensee shall display a copy of "Consumer Rights Statement" ( both in English and Oriya
language) in a conspicuous place of each Bill Collection Centre.
The licensee shall publish the "Consumer Rights Statement" in Oriya language at least in one
Oriya daily newspaper and in English language in one English daily newspaper having wide
circulation in the licensee's area of supply.