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The
Consumer Protection Act, 20191
(Consumer Protection Act, 2019)

[Act 35 of 2019 as amended up to Act 32 of 2023 and updated as of 18th

September 2023]
[9th August, 2019]

CONTENTS

CHAPTER I

PRELIMINARY

1. Short title, extent, commencement and application

2. Definitions

CHAPTER II

CONSUMER PROTECTION COUNCILS

3. Central Consumer Protection Council

CCPC
4. Procedure for meetings of Central Council

5. Objects of Central Council

6. State Consumer Protection Councils SCPC

7. Objects of State Council

8. District Consumer Protection Council DCPC

9. Objects of District Council

CHAPTER III

CENTRAL CONSUMER PROTECTION AUTHORITY

10. Establishment of Central Consumer Protection Authority

11. Qualifications, method of recruitment, etc., of Chief

Commissioner and Commissioners

12. Vacancy, etc., not to invalidate proceedings of Central

Authority
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13. Appointment of officers, experts, professionals and other

employees of Central Authority

14. Procedure of Central Authority

15. Investigation Wing

16. Power of District Collector

17. Complaints to authorities

18. Powers and functions of Central Authority

19. Power of Central Authority to refer matter for investigation or

to other Regulator

20. Power of Central Authority to recall goods, etc

21. Power of Central Authority to issue directions and penalties

against false or misleading advertisements

22. Search and seizure

23. Designation of any statutory authority or body to function as

Central Authority

24. Appeal

25. Grants by Central Government

26. Accounts and audit

27. Furnishing of annual reports, etc

CHAPTER IV

CONSUMER DISPUTES REDRESSAL COMMISSION

28. Establishment of District Consumer Disputes Redressal

Commission

29. Qualifications, etc., of President and members of District

Commission

30. Salaries, allowances and other terms and conditions of service

of President and members of District Commission

31. Transitional provision

32. Vacancy in office of member of District Commission

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33. Officers and other employees of District Commission

34. Jurisdiction of District Commission

35. Manner in which complaint shall be made

36. Proceedings before District Commission

37. Reference to mediation

37-A. Settlement through mediation

37-B. Recording settlement and passing of order

38. Procedure on admission of complaint

39. Findings of District Commission

40. Review by District Commission in certain cases

41. Appeal against order of District Commission

42. Establishment of State Consumer Disputes Redressal

Commission

43. Qualifications, etc., of President and members of State

Commission

44. Salaries, allowances and other terms and conditions of service

of President and members of State Commission

45. Transitional provision

46. Officers and employees of State Commission

47. Jurisdiction of State Commission

48. Transfer of cases

49. Procedure applicable to State Commission

50. Review by State Commission in certain cases

51. Appeal to National Commission

52. Hearing of appeal

53. Establishment of National Consumer Disputes Redressal

Commission

54. Composition of National Commission

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55. Qualifications, etc., of President and members of National

Commission

56. Transitional provision

57. Other officers and employees of National Commission

58. Jurisdiction of National Commission

59. Procedure applicable to National Commission

60. Review by National Commission in certain cases

61. Power to set aside ex parte orders

62. Transfer of cases

63. Vacancy in office of President of National Commission

64. Vacancies or defects in appointment not to invalidate orders

65. Service of notice, etc

66. Experts to assist National Commission or State Commission

67. Appeal against order of National Commission

68. Finality of orders

69. Limitation period

70. Administrative control

71. Enforcement of orders of District Commission, State

Commission and National Commission

72. Penalty for non-compliance of order

73. Appeal against order passed under Section 72

CHAPTER V

74. Establishment of consumer mediation cell [Omitted]

75. Empanelment of mediators [Omitted]

76. Nomination of mediators from panel [Omitted]

77. Duty of mediator to disclose certain facts [Omitted]

78. Replacement of mediator in certain cases [Omitted]

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79. Procedure for mediation [Omitted]

80. Settlement through mediation [Omitted]

81. Recording settlement and passing of order [Omitted]

CHAPTER VI

PRODUCT LIABILITY

82. Application of Chapter

83. Product liability action

84. Liability of product manufacturer

85. Liability of product service provider

86. Liability of product sellers

87. Exceptions to product liability action

CHAPTER VII

OFFENCES AND PENALTIES

88. Penalty for non-compliance of direction of Central Authority

89. Punishment for false or misleading advertisement

90. Punishment for manufacturing for sale or storing, selling or

distributing or importing products containing adulterant

91. Punishment for manufacturing for sale or for storing or selling

or distributing or importing spurious goods

92. Cognizance of offence by court

93. Vexatious search

CHAPTER VIII

MISCELLANEOUS

94. Measures to prevent unfair trade practices in e-commerce,

direct selling, etc

95. Presidents, members, Chief Commissioner, Commissioner and

certain officers to be public servants

96. Compounding of offences

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97. Manner of crediting penalty

98. Protection of action taken in good faith

99. Power to give directions by Central Government

100. Act not in derogation of any other law

101. Power of Central Government to make rules

102. Power of State Government to make rules

103. Power of National Commission to make regulations

104. Power of Central Authority to make regulations

105. Rules and regulations to be laid before each House of

Parliament

106. Power to remove difficulties

107. Repeal and savings

———

Consumer Protection Act, 2019

[Act 35 of 2019 as amended up to Act 32 of 2023] [9th August,
2019]
An Act to provide for protection of the interests of consumers and for
the said purpose, to establish authorities for timely and effective
administration and settlement of consumers' disputes and for matters
connected therewith or incidental thereto
Be it enacted by Parliament in the Seventieth Year of the Republic of
India as follows—
Statement of Objects and Reasons.—The Consumer Protection
Act, 1986 (68 of 1986) was enacted to provide for better protection of
the interests of consumers and for the purpose of making provision for
establishment of consumer protection councils and other authorities for
the settlement of consumer disputes, etc. Although, the working of the
consumer dispute redressal agencies has served the purpose to a
considerable extent under the said Act, the disposal of cases has not
been fast due to various constraints. Several shortcomings have been
noticed while administering the various provisions of the said Act.
2. Consumer markets for goods and services have undergone drastic
transformation since the enactment of the Consumer Protection Act in
1986. The modern market place contains a plethora of products and
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services. The emergence of global supply chains, rise in international

trade and the rapid development of e-commerce have led to new
delivery systems for goods and services and have provided new options
and opportunities for consumers. Equally, this has rendered the
consumer vulnerable to new forms of unfair trade and unethical
business practices. Misleading advertisements, tele-marketing, multi-
level marketing, direct selling and e-commerce pose new challenges to
consumer protection and will require appropriate and swift executive
interventions to prevent consumer detriment. Therefore, it has become
inevitable to amend the Act to address the myriad and constantly
emerging vulnerabilities of the consumers. In view of this, it is
proposed to repeal and reenact the Act.
3. Accordingly, a Bill, namely, the Consumer Protection Bill, 2018,
was introduced in Lok Sabha on the 5th January, 2018 and was passed
by that House on the 20th December, 2018. While the Bill was pending
consideration in Rajya Sabha, the Sixteenth Lok Sabha was dissolved
and the Bill got lapsed. Hence, the present Bill, namely, the Consumer
Protection Bill, 2019.
4. The proposed Bill provides for the establishment of an executive
agency to be known as the Central Consumer Protection Authority
(CCPA) to promote, protect and enforce the rights of consumers; make
interventions when necessary to prevent consumer detriment arising
from unfair trade practices and to initiate class action including
enforcing recall, refund and return of products, etc. This fills an
institutional void in the regulatory regime extant. Currently, the task of
prevention of or acting against unfair trade practices is not vested in
any authority. This has beenprovided for in a manner that the role
envisaged for the CCPA complements that of the sector regulators and
duplication, overlap or potential conflict is avoided.
5. The Bill also envisages provisions for product liability action on
account of harm caused to consumers due to a defective product or by
deficiency in services. Further, provision of "Mediation" as an Alternate
Dispute Resolution Mechanism has also been provided.
6. The Bill provides for several provisions aimed at simplifying the
consumer dispute adjudication process of the Consumer Disputes
Redressal Agencies, inter alia, relating to enhancing the pecuniary
jurisdiction of the Consumer Disputes Redressal Agencies; increasing
minimum number of Members in the State Consumer Disputes
Redressal Commissions and provisions for consumers to file complaints
electronically, etc.
7. The Bill seeks to achieve the above objectives.
Chapter I
PRELIMINARY
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1. Short title, extent, commencement and application.—(1) This Act

may be called the Consumer Protection Act, 2019.
(2) It extends to the whole of India except the State of Jammu and
Kashmir* .
(3) It shall come into force on such date as the Central Government
may, by notification, appoint and different dates may be appointed for
different States and for different provisions of this Act and any
reference in any such provision to the commencement of this Act shall
be construed as a reference to the coming into force of that provision.
(4) Save as otherwise expressly provided by the Central
Government, by notification, this Act shall apply to all goods and
services.
2. Definitions.—In this Act, unless the context otherwise requires,—
(1) “advertisement” means any audio or visual publicity,
representation, endorsement or pronouncement made by
means of light, sound, smoke, gas, print, electronic media,
internet or website and includes any notice, circular, label,
wrapper, invoice or such other documents;
“Clause (1) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(2) “appropriate laboratory” means a laboratory or an
organisation—
(i) recognised by the Central Government; or
(ii) recognised by a State Government, subject to such
guidelines as may be issued by the Central Government in
this behalf; or
(iii) established by or under any law for the time being in force,
which is maintained, financed or aided by the Central
Government or a State Government for carrying out analysis
or test of any goods with a view to determining whether
such goods suffer from any defect;
“Clause (2) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(3) “branch office” means—
(i) any office or place of work described as a branch by the
establishment; or
(ii) any establishment carrying on either the same or
substantially the same activity carried on by the head office
of the establishment;
“Clause (3) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(4) “Central Authority” means the Central Consumer Protection
Authority established under Section 10;
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“Clause (4) enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
(5) “complainant” means—
(i) a consumer; or
(ii) any voluntary consumer association registered under any
law for the time being in force; or
(iii) the Central Government or any State Government; or
(iv) the Central Authority; or
(v) one or more consumers, where there are numerous
consumers having the same interest; or
(vi) in case of death of a consumer, his legal heir or legal
representative; or
(vii) in case of a consumer being a minor, his parent or legal
guardian;
“Clause (5) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(6) “complaint” means any allegation in writing, made by a
complainant for obtaining any relief provided by or under this
Act, that—
(i) an unfair contract or unfair trade practice or a restrictive
trade practice has been adopted by any trader or service
provider;
(ii) the goods bought by him or agreed to be bought by him
suffer from one or more defects;
(iii) the services hired or availed of or agreed to be hired or
availed of by him suffer from any deficiency;
(iv) a trader or a service provider, as the case may be, has
charged for the goods or for the services mentioned in the
complaint, a price in excess of the price—
(a) fixed by or under any law for the time being in force; or
(b) displayed on the goods or any package containing such
goods; or
(c) displayed on the price list exhibited by him by or under
any law for the time being in force; or
(d) agreed between the parties;
(v) the goods, which are hazardous to life and safety when
used, are being offered for sale to the public—
(a) in contravention of standards relating to safety of such
goods as required to be complied with, by or under any
law for the time being in force;
(b) where the trader knows that the goods so offered are
unsafe to the public;
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(vi) the services which are hazardous or likely to be hazardous

to life and safety of the public when used, are being offered
by a person who provides any service and who knows it to
be injurious to life and safety;
(vii) a claim for product liability action lies against the product
manufacturer, product seller or product service provider, as
the case may be;
“Clause (6) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(7) “consumer” means any person who—
(i) buys any goods for a consideration which has been paid or
promised or partly paid and partly promised, or under any
system of deferred payment and includes any user of such
goods other than the person who buys such goods for
consideration paid or promised or partly paid or partly
promised, or under any system of deferred payment, when
such use is made with the approval of such person, but does
not include a person who obtains such goods for resale or for
any commercial purpose; or
(ii) hires or avails of any service for a consideration which has
been paid or promised or partly paid and partly promised, or
under any system of deferred payment and includes any
beneficiary of such service other than the person who hires
or avails of the services for consideration paid or promised,
or partly paid and partly promised, or under any system of
deferred payment, when such services are availed of with
the approval of the first mentioned person, but does not
include a person who avails of such service for any
commercial purpose.
Explanation.—For the purposes of this clause,—
(a) the expression “commercial purpose” does not include use
by a person of goods bought and used by him exclusively for
the purpose of earning his livelihood, by means of self-
employment;
(b) the expressions “buys any goods” and “hires or avails any
services” includes offline or online transactions through
electronic means or by teleshopping or direct selling or multi
-level marketing;
“Clause (7) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
► “Consumer” — Meaning and scope of the expression.—The word
“consumer” is a comprehensive expression. It extends from a person who buys
any commodity to consume either as eatable or otherwise from a shop, business
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house, corporation, store, fair price shop to use of private or public services. The
1986 Act opts for no less wider definition. It is in two parts. The first deals with
goods and the other with services. Both parts first declare the meaning of goods
and services by use of wide expressions. Their ambit is further enlarged by use of
inclusive clause. For instance, it is not only purchaser of goods or hirer of
services but even those who use the goods or who are beneficiaries of services
with approval of the person who purchased the goods or who hired services are
included in it, Lucknow Development Authority v. M.K. Gupta, (1994) 1 SCC 243.
(8) “consumer dispute” means a dispute where the person against
whom a complaint has been made, denies or disputes the
allegations contained in the complaint;
“Clause (8) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(9) “consumer rights” includes,—
(i) the right to be protected against the marketing of goods,
products or services which are hazardous to life and
property;
(ii) the right to be informed about the quality, quantity,
potency, purity, standard and price of goods, products or
services, as the case may be, so as to protect the consumer
against unfair trade practices;
(iii) the right to be assured, wherever possible, access to a
variety of goods, products or services at competitive prices;
(iv) the right to be heard and to be assured that consumer's
interests will receive due consideration at appropriate fora;
(v) the right to seek redressal against unfair trade practice or
restrictive trade practices or unscrupulous exploitation of
consumers; and
(vi) the right to consumer awareness;
“Clause (9) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
(10) “defect” means any fault, imperfection or shortcoming in the
quality, quantity, potency, purity or standard which is required
to be maintained by or under any law for the time being in
force or under any contract, express or implied or as is claimed
by the trader in any manner whatsoever in relation to any
goods or product and the expression “defective” shall be
construed accordingly;
“Clause (10) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(11) “deficiency” means any fault, imperfection, shortcoming or
inadequacy in the quality, nature and manner of performance
which is required to be maintained by or under any law for the
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time being in force or has been undertaken to be performed by

a person in pursuance of a contract or otherwise in relation to
any service and includes—
(i) any act of negligence or omission or commission by such
person which causes loss or injury to the consumer; and
(ii) deliberate withholding of relevant information by such
person to the consumer;
“Clause (11) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(12) “design”, in relation to a product, means the intended or
known physical and material characteristics of such product
and includes any intended or known formulation or content of
such product and the usual result of the intended
manufacturing or other process used to produce such product;
“Clause (12) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(13) “direct selling” means marketing, distribution and sale of
goods or provision of services through a network of sellers,
other than through a permanent retail location;
“Clause (13) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(14) “Director-General” means the Director-General appointed
under sub-section (2) of Section 15;
“Clause (14) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(15) “District Commission” means a District Consumer Disputes
Redressal Commission established under sub-section (1) of
Section 28;
“Clause (15) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(16) “e-commerce” means buying or selling of goods or services
including digital products over digital or electronic network;
“Clause (16) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(17) “electronic service provider” means a person who provides
technologies or processes to enable a product seller to engage
in advertising or selling goods or services to a consumer and
includes any online market place or online auction sites;
“Clause (17) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(18) “endorsement”, in relation to an advertisement, means—
(i) any message, verbal statement, demonstration; or
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(ii) depiction of the name, signature, likeness or other

identifiable personal characteristics of an individual; or
(iii) depiction of the name or seal of any institution or
organisation, which makes the consumer to believe that it
reflects the opinion, finding or experience of the person
making such endorsement;
“Clause (18) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(19) “establishment” includes an advertising agency, commission
agent, manufacturing, trading or any other commercial agency
which carries on any business, trade or profession or any work
in connection with or incidental or ancillary to any commercial
activity, trade or profession, or such other class or classes of
persons including public utility entities in the manner as may
be prescribed;
“Clause (19) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(20) “express warranty” means any material statement,
affirmation of fact, promise or description relating to a product
or service warranting that it conforms to such material
statement, affirmation, promise or description and includes any
sample or model of a product warranting that the whole of such
product conforms to such sample or model;
“Clause (20) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(21) “goods” means every kind of movable property and includes
“food” as defined in clause (j) of sub-section (1) of Section 3 of
the Food Safety and Standards Act, 2006 (34 of 2006);
“Clause (21) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(22) “harm”, in relation to a product liability, includes—
(i) damage to any property, other than the product itself;
(ii) personal injury, illness or death;
(iii) mental agony or emotional distress attendant to personal
injury or illness or damage to property; or
(iv) any loss of consortium or services or other loss resulting
from a harm referred to in sub-clause (i) or sub-clause (ii) or
sub-clause (iii),
but shall not include any harm caused to a product itself or any
damage to the property on account of breach of warranty
conditions or any commercial or economic loss, including any
direct, incidental or consequential loss relating thereto;
“Clause (22) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
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2351(E), dt. 15-7-2020.”

(23) “injury” means any harm whatever illegally caused to any
person, in body, mind or property;
“Clause (23) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(24) “manufacturer” means a person who—
(i) makes any goods or parts thereof; or
(ii) assembles any goods or parts thereof made by others; or
(iii) puts or causes to be put his own mark on any goods made
by any other person;
“Clause (24) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(25) 2 [* * *]
“Clause (25) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(26) 3 [* * *]
“Clause (26) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(27) “member” includes the President and a member of the
National Commission or a State Commission or a District
Commission, as the case may be;
“Clause (27) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(28) “misleading advertisement” in relation to any product or
service, means an advertisement, which—
(i) falsely describes such product or service; or
(ii) gives a false guarantee to, or is likely to mislead the
consumers as to the nature, substance, quantity or quality
of such product or service; or
(iii) conveys an express or implied representation which, if
made by the manufacturer or seller or service provider
thereof, would constitute an unfair trade practice; or
(iv) deliberately conceals important information;
“Clause (28) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(29) “National Commission” means the National Consumer
Disputes Redressal Commission established under sub-section
(1) of Section 53;
“Clause (29) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(30) “notification” means a notification published in the Official
Gazette and the term “notify” shall be construed accordingly;
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“Clause (30) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.

2351(E), dt. 15-7-2020.”
(31) “person” includes—
(i) an individual;
(ii) a firm whether registered or not;
(iii) a Hindu undivided family;
(iv) a co-operative society;
(v) an association of persons whether registered under the
Societies Registration Act, 1860 (21 of 1860) or not;
(vi) any corporation, company or a body of individuals whether
incorporated or not;
(vii) any artificial juridical person, not falling within any of the
preceding sub-clauses;
“Clause (31) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(32) “prescribed” means prescribed by rules made by the Central
Government, or, as the case may be, the State Government;
“Clause (32) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(33) “product” means any article or goods or substance or raw
material or any extended cycle of such product, which may be
in gaseous, liquid, or solid state possessing intrinsic value
which is capable of delivery either as wholly assembled or as a
component part and is produced for introduction to trade or
commerce, but does not include human tissues, blood, blood
products and organs;
“Clause (33) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(34) “product liability” means the responsibility of a product
manufacturer or product seller, of any product or service, to
compensate for any harm caused to a consumer by such
defective product manufactured or sold or by deficiency in
services relating thereto;
“Clause (34) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(35) “product liability action” means a complaint filed by a person
before a District Commission or State Commission or National
Commission, as the case may be, for claiming compensation for
the harm caused to him;
“Clause (35) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(36) “product manufacturer” means a person who—
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(i) makes any product or parts thereof; or

(ii) assembles parts thereof made by others; or
(iii) puts or causes to be put his own mark on any products
made by any other person; or
(iv) makes a product and sells, distributes, leases, installs,
prepares, packages, labels, markets, repairs, maintains such
product or is otherwise involved in placing such product for
commercial purpose; or
(v) designs, produces, fabricates, constructs or re-
manufactures any product before its sale; or
(vi) being a product seller of a product, is also a manufacturer
of such product;
“Clause (36) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(37) “product seller”, in relation to a product, means a person
who, in the course of business, imports, sells, distributes,
leases, installs, prepares, packages, labels, markets, repairs,
maintains, or otherwise is involved in placing such product for
commercial purpose and includes—
(i) a manufacturer who is also a product seller; or
(ii) a service provider,
but does not include—
(a) a seller of immovable property, unless such person is
engaged in the sale of constructed house or in the
construction of homes or flats;
(b) a provider of professional services in any transaction in
which, the sale or use of a product is only incidental
thereto, but furnishing of opinion, skill or services being
the essence of such transaction;
(c) a person who—
(I) acts only in a financial capacity with respect to the
sale of the product;
(II) is not a manufacturer, wholesaler, distributor,
retailer, direct seller or an electronic service provider;
(III) leases a product, without having a reasonable
opportunity to inspect and discover defects in the
product, under a lease arrangement in which the
selection, possession, maintenance, and operation of
the product are controlled by a person other than the
lessor;
“Clause (37) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
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(38) “product service provider”, in relation to a product, means a

person who provides any service in respect of such product;
“Clause (38) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(39) “regulations” means the regulations made by the National
Commission, or as the case may be, the Central Authority;
“Clause (39) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(40) “Regulator” means a body or any authority established under
any other law for the time being in force;
“Clause (40) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(41) “restrictive trade practice” means a trade practice which
tends to bring about manipulation of price or its conditions of
delivery or to affect flow of supplies in the market relating to
goods or services in such a manner as to impose on the
consumers unjustified costs or restrictions and shall include—
(i) delay beyond the period agreed to by a trader in supply of
such goods or in providing the services which has led or is
likely to lead to rise in the price;
(ii) any trade practice which requires a consumer to buy, hire
or avail of any goods or, as the case may be, services as
condition precedent for buying, hiring or availing of other
goods or services;
“Clause (41) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(42) “service” means service of any description which is made
available to potential users and includes, but not limited to, the
provision of facilities in connection with banking, financing,
insurance, transport, processing, supply of electrical or other
energy, telecom, boarding or lodging or both, housing
construction, entertainment, amusement or the purveying of
news or other information, but does not include the rendering
of any service free of charge or under a contract of personal
service;
“Clause (42) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(43) “spurious goods” means such goods which are falsely
claimed to be genuine;
“Clause (43) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(44) “State Commission” means a State Consumer Disputes
Redressal Commission established under sub-section (1) of
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Section 42;
“Clause (44) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(45) “trader”, in relation to any goods, means a person who sells
or distributes any goods for sale and includes the manufacturer
thereof, and where such goods are sold or distributed in
package form, includes the packer thereof;
“Clause (45) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(46) “unfair contract” means a contract between a manufacturer
or trader or service provider on one hand, and a consumer on
the other, having such terms which cause significant change in
the rights of such consumer, including the following, namely—
(i) requiring manifestly excessive security deposits to be given
by a consumer for the performance of contractual
obligations; or
(ii) imposing any penalty on the consumer, for the breach of
contract thereof which is wholly disproportionate to the loss
occurred due to such breach to the other party to the
contract; or
(iii) refusing to accept early repayment of debts on payment of
applicable penalty; or
(iv) entitling a party to the contract to terminate such contract
unilaterally, without reasonable cause; or
(v) permitting or has the effect of permitting one party to
assign the contract to the detriment of the other party who
is a consumer, without his consent; or
(vi) imposing on the consumer any unreasonable charge,
obligation or condition which puts such consumer to
disadvantage;
“Clause (46) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
(47) “unfair trade practice” means a trade practice which, for the
purpose of promoting the sale, use or supply of any goods or
for the provision of any service, adopts any unfair method or
unfair or deceptive practice including any of the following
practices, namely—
(i) making any statement, whether orally or in writing or by
visible representation including by means of electronic
record, which—
(a) falsely represents that the goods are of a particular
standard, quality, quantity, grade, composition, style or
model;
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(b) falsely represents that the services are of a particular

standard, quality or grade;
(c) falsely represents any re-built, second-hand, renovated,
reconditioned or old goods as new goods;
(d) represents that the goods or services have sponsorship,
approval, performance, characteristics, accessories, uses
or benefits which such goods or services do not have;
(e) represents that the seller or the supplier has a
sponsorship or approval or affiliation which such seller or
supplier does not have;
(f) makes a false or misleading representation concerning
the need for, or the usefulness of, any goods or services;
(g) gives to the public any warranty or guarantee of the
performance, efficacy or length of life of a product or of
any goods that is not based on an adequate or proper test
thereof:
Provided that where a defence is raised to the effect that
such warranty or guarantee is based on adequate or
proper test, the burden of proof of such defence shall lie
on the person raising such defence;
(h) makes to the public a representation in a form that
purports to be—
(A) a warranty or guarantee of a product or of any goods
or services; or
(B) a promise to replace, maintain or repair an article or
any part thereof or to repeat or continue a service until
it has achieved a specified result,
if such purported warranty or guarantee or promise is
materially misleading or if there is no reasonable prospect
that such warranty, guarantee or promise will be carried
out;
(i) materially misleads the public concerning the price at
which a product or like products or goods or services,
have been or are, ordinarily sold or provided, and, for this
purpose, a representation as to price shall be deemed to
refer to the price at which the product or goods or
services has or have been sold by sellers or provided by
suppliers generally in the relevant market unless it is
clearly specified to be the price at which the product has
been sold or services have been provided by the person
by whom or on whose behalf the representation is made;
(j) gives false or misleading facts disparaging the goods,
services or trade of another person.
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Explanation.—For the purposes of this sub-clause, a

statement that is,—
(A) expressed on an article offered or displayed for sale,
or on its wrapper or container; or
(B) expressed on anything attached to, inserted in, or
accompanying, an article offered or displayed for sale,
or on anything on which the article is mounted for
display or sale; or
(C) contained in or on anything that is sold, sent,
delivered, transmitted or in any other manner
whatsoever made available to a member of the public,
shall be deemed to be a statement made to the public
by, and only by, the person who had caused the
statement to be so expressed, made or contained;
(ii) permitting the publication of any advertisement, whether in
any newspaper or otherwise, including by way of electronic
record, for the sale or supply at a bargain price of goods or
services that are not intended to be offered for sale or
supply at the bargain price, or for a period that is, and in
quantities that are, reasonable, having regard to the nature
of the market in which the business is carried on, the nature
and size of business, and the nature of the advertisement.
Explanation.—For the purpose of this sub-clause, “bargain
price” means,—
(A) a price that is stated in any advertisement to be a
bargain price, by reference to an ordinary price or
otherwise; or
(B) a price that a person who reads, hears or sees the
advertisement, would reasonably understand to be a
bargain price having regard to the prices at which the
product advertised or like products are ordinarily sold;
(iii) permitting—
(a) the offering of gifts, prizes or other items with the
intention of not providing them as offered or creating
impression that something is being given or offered free
of charge when it is fully or partly covered by the amount
charged, in the transaction as a whole;
(b) the conduct of any contest, lottery, game of chance or
skill, for the purpose of promoting, directly or indirectly,
the sale, use or supply of any product or any business
interest, except such contest, lottery, game of chance or
skill as may be prescribed;
(c) withholding from the participants of any scheme offering
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gifts, prizes or other items free of charge on its closure,

the information about final results of the scheme.
Explanation.—For the purpose of this sub-clause, the
participants of a scheme shall be deemed to have been
informed of the final results of the scheme where such
results are within a reasonable time published,
prominently in the same newspaper in which the scheme
was originally advertised;
(iv) permitting the sale or supply of goods intended to be used,
or are of a kind likely to be used by consumers, knowing or
having reason to believe that the goods do not comply with
the standards prescribed by the competent authority
relating to performance, composition, contents, design,
constructions, finishing or packaging as are necessary to
prevent or reduce the risk of injury to the person using the
goods;
(v) permitting the hoarding or destruction of goods, or refusal
to sell the goods or to make them available for sale or to
provide any service, if such hoarding or destruction or
refusal raises or tends to raise or is intended to raise, the
cost of those or other similar goods or services;
(vi) manufacturing of spurious goods or offering such goods for
sale or adopting deceptive practices in the provision of
services;
(vii) not issuing bill or cash memo or receipt for the goods sold
or services rendered in such manner as may be prescribed;
(viii) refusing, after selling goods or rendering services, to take
back or withdraw defective goods or to withdraw or
discontinue deficient services and to refund the
consideration thereof, if paid, within the period stipulated in
the bill or cash memo or receipt or in the absence of such
stipulation, within a period of thirty days;
(ix) disclosing to other person any personal information given
in confidence by the consumer unless such disclosure is
made in accordance with the provisions of any law for the
time being in force.
“Clause (47) enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
Chapter II
CONSUMER PROTECTION COUNCILS
3. Central Consumer Protection Council.—(1) The Central
Government shall, by notification, establish with effect from such date
as it may specify in that notification, the Central Consumer Protection
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Council to be known as the Central Council.

(2) The Central Council shall be an advisory council and consist of
the following members, namely—
(a) the Minister-in-charge of the Department of Consumer Affairs
in the Central Government, who shall be the Chairperson; and
(b) such number of other official or non-official members
representing such interests as may be prescribed.
“Section 3 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
4. Procedure for meetings of Central Council.—(1) The Central
Council shall meet as and when necessary, but at least one meeting of
the Council shall be held every year.
(2) The Central Council shall meet at such time and place as the
Chairperson may think fit and shall observe such procedure in regard to
the transaction of its business as may be prescribed.
“Section 4 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
5. Objects of Central Council.—The objects of the Central Council
shall be to render advice on promotion and protection of the consumers'
rights under this Act.
“Section 5 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
6. State Consumer Protection Councils.—(1) Every State Government
shall, by notification, establish with effect from such date as it may
specify in such notification, a State Consumer Protection Council for
such State to be known as the State Council.
(2) The State Council shall be an advisory council and consist of the
following members, namely—
(a) the Minister-in-charge of Consumer Affairs in the State
Government who shall be the Chairperson;
(b) such number of other official or non-official members
representing such interests as may be prescribed;
(c) such number of other official or non-official members, not
exceeding ten, as may be nominated by the Central
Government.
(3) The State Council shall meet as and when necessary but not less
than two meetings shall be held every year.
(4) The State Council shall meet at such time and place as the
Chairperson may think fit and shall observe such procedure in regard to
the transaction of its business, as may be prescribed.
“Section 6 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
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7. Objects of State Council.—The objects of every State Council shall

be to render advice on promotion and protection of consumer rights
under this Act within the State.
“Section 7 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
8. District Consumer Protection Council.—(1) The State Government
shall, by notification, establish for every District with effect from such
date as it may specify in such notification, a District Consumer
Protection Council to be known as the District Council.
(2) The District Council shall be an advisory council and consist of
the following members, namely—
(a) the Collector of the district (by whatever name called), who
shall be the Chairperson; and
(b) such number of other official and non-official members
representing such interests as may be prescribed.
(3) The District Council shall meet as and when necessary but not
less than two meetings shall be held every year.
(4) The District Council shall meet at such time and place within the
district as the Chairperson may think fit and shall observe such
procedure in regard to the transaction of its business as may be
prescribed.
“Section 8 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
9. Objects of District Council.—The objects of every District Council
shall be to render advice on promotion and protection of consumer
rights under this Act within the district.
“Section 9 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
Chapter III
CENTRAL CONSUMER PROTECTION AUTHORITY
10. Establishment of Central Consumer Protection Authority.—(1)
The Central Government shall, by notification, establish with effect from
such date as it may specify in that notification, a Central Consumer
Protection Authority to be known as the Central Authority to regulate
matters relating to violation of rights of consumers, unfair trade
practices and false or misleading advertisements which are prejudicial
to the interests of public and consumers and to promote, protect and
enforce the rights of consumers as a class.
(2) The Central Authority shall consist of a Chief Commissioner and
such number of other Commissioners as may be prescribed, to be
appointed by the Central Government to exercise the powers and
discharge the functions under this Act.
(3) The headquarters of the Central Authority shall be at such place
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in the National Capital Region of Delhi, and it shall have regional and
other offices in any other place in India as the Central Government may
decide.
“Section 10 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
NOTIFICATIONS
Noti. No. S.O. 2422(E), dated 23-7-2020.—In exercise of the
powers conferred by Section 10 of the Consumer Protection Act,
2019 (35 of 2019) and with effect from the 24th day of July, 2020, the
Central Government hereby establishes the Central Consumer
Protection Authority as a body corporate by the said name having
perpetual succession and a common seal, with power, subject to the
provisions of the Act and the rules and regulations made thereunder, to
acquire, hold and dispose of property, both movable and immovable,
and to contract, and shall, by the said name, sue or be sued.
2. The Central Authority shall have its headquarter at New Delhi.
11. Qualifications, method of recruitment, etc., of Chief
Commissioner and Commissioners.—The Central Government may, by
notification, make rules to provide for the qualifications for
appointment, method of recruitment, procedure for appointment, term
of office, salaries and allowances, resignation, removal and other terms
and conditions of the service of the Chief Commissioner and
Commissioners of the Central Authority.
“Section 11 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
12. Vacancy, etc., not to invalidate proceedings of Central Authority.
—No act or proceeding of the Central Authority shall be invalid merely
by reason of—
(a) any vacancy in, or any defect in the constitution of, the
Central Authority; or
(b) any defect in the appointment of a person acting as the Chief
Commissioner or as a Commissioner; or
(c) any irregularity in the procedure of the Central Authority not
affecting the merits of the case.
“Section 12 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
13. Appointment of officers, experts, professionals and other
employees of Central Authority.—(1) The Central Government shall
provide the Central Authority such number of officers and other
employees as it considers necessary for the efficient performance of its
functions under this Act.
(2) The salaries and allowances payable to, and the other terms and
conditions of service of, the officers and other employees of the Central
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Authority appointed under this Act shall be such as may be prescribed.

(3) The Central Authority may engage, in accordance with the
procedure specified by regulations, such number of experts and
professionals of integrity and ability, who have special knowledge and
experience in the areas of consumer rights and welfare, consumer
policy, law, medicine, food safety, health, engineering, product safety,
commerce, economics, public affairs or administration, as it deems
necessary to assist it in the discharge of its functions under this Act.
“Section 13 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
14. Procedure of Central Authority.—(1) The Central Authority shall
regulate the procedure for transaction of its business and allocation of
its business amongst the Chief Commissioner and Commissioners as
may be specified by regulations.
(2) The Chief Commissioner shall have the powers of general
superintendence, direction and control in respect of all administrative
matters of the Central Authority:
Provided that the Chief Commissioner may delegate such of his
powers relating to administrative matters of the Central Authority, as
he may think fit, to any Commissioner (including Commissioner of a
regional office) or any other officer of the Central Authority.
“Section 14 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
15. Investigation Wing.—(1) The Central Authority shall have an
Investigation Wing headed by a Director-General for the purpose of
conducting inquiry or investigation under this Act as may be directed
by the Central Authority.
(2) The Central Government may appoint a Director-General and
such number of Additional Director-General, Director, Joint Director,
Deputy Director and Assistant Director, from amongst persons who
have experience in investigation and possess such qualifications, in
such manner, as may be prescribed.
(3) Every Additional Director-General, Director, Joint Director,
Deputy Director and Assistant Director shall exercise his powers, and
discharge his functions, subject to the general control, supervision and
direction of the Director-General.
(4) The Director-General may delegate all or any of his powers to the
Additional Director-General or Director, Joint Director or Deputy Director
or Assistant Director, as the case may be, while conducting inquiries or
investigations under this Act.
(5) The inquiries or the investigations made by the Director-General
shall be submitted to the Central Authority in such form, in such
manner and within such time, as may be specified by regulations.
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“Section 15 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421

(E), dt. 23-7-2020.”
16. Power of District Collector.—The District Collector (by whatever
name called) may, on a complaint or on a reference made to him by the
Central Authority or the Commissioner of a regional office, inquire into
or investigate complaints regarding violation of rights of consumers as
a class, on matters relating to violations of consumer rights, unfair
trade practices and false or misleading advertisements, within his
jurisdiction and submit his report to the Central Authority or to the
Commissioner of a regional office, as the case may be.
“Section 16 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
17. Complaints to authorities.—A complaint relating to violation of
consumer rights or unfair trade practices or false or misleading
advertisements which are prejudicial to the interests of consumers as a
class, may be forwarded either in writing or in electronic mode, to any
one of the authorities, namely, the District Collector or the
Commissioner of regional office or the Central Authority.
“Section 17 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
18. Powers and functions of Central Authority.—(1) The Central
Authority shall—
(a) protect, promote and enforce the rights of consumers as a
class, and prevent violation of consumers rights under this Act;
(b) prevent unfair trade practices and ensure that no person
engages himself in unfair trade practices;
(c) ensure that no false or misleading advertisement is made of
any goods or services which contravenes the provisions of this
Act or the rules or regulations made thereunder;
(d) ensure that no person takes part in the publication of any
advertisement which is false or misleading.
(2) Without prejudice to the generality of the provisions contained in
sub-section (1), the Central Authority may, for any of the purposes
aforesaid,—
(a) inquire or cause an inquiry or investigation to be made into
violations of consumer rights or unfair trade practices, either
suo motu or on a complaint received or on the directions from
the Central Government;
(b) file complaints before the District Commission, the State
Commission or the National Commission, as the case may be,
under this Act;
(c) intervene in any proceedings before the District Commission or
the State Commission or the National Commission, as the case
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may be, in respect of any allegation of violation of consumer

rights or unfair trade practices;
(d) review the matters relating to, and the factors inhibiting
enjoyment of, consumer rights, including safeguards provided
for the protection of consumers under any other law for the
time being in force and recommend appropriate remedial
measures for their effective implementation;
(e) recommend adoption of international covenants and best
international practices on consumer rights to ensure effective
enforcement of consumer rights;
(f) undertake and promote research in the field of consumer
rights;
(g) spread and promote awareness on consumer rights;
(h) encourage non-Governmental organisations and other
institutions working in the field of consumer rights to co-
operate and work with consumer protection agencies;
(i) mandate the use of unique and universal goods identifiers in
such goods, as may be necessary, to prevent unfair trade
practices and to protect consumers' interest;
(j) issue safety notices to alert consumers against dangerous or
hazardous or unsafe goods or services;
(k) advise the Ministries and Departments of the Central and
State Governments on consumer welfare measures;
(l) issue necessary guidelines to prevent unfair trade practices
and protect consumers' interest.
“Section 18 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
19. Power of Central Authority to refer matter for investigation or to
other Regulator.—(1) The Central Authority may, after receiving any
information or complaint or directions from the Central Government or
of its own motion, conduct or cause to be conducted a preliminary
inquiry as to whether there exists a prima facie case of violation of
consumer rights or any unfair trade practice or any false or misleading
advertisement, by any person, which is prejudicial to the public interest
or to the interests of consumers and if it is satisfied that there exists a
prima facie case, it shall cause investigation to be made by the Director
-General or by the District Collector.
(2) Where, after preliminary inquiry, the Central Authority is of the
opinion that the matter is to be dealt with by a Regulator established
under any other law for the time being in force, it may refer such
matter to the concerned Regulator along with its report.
(3) For the purposes of investigation under sub-section (1), the
Central Authority, the Director-General or the District Collector may call
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upon a person referred to in sub-section (1) and also direct him to

produce any document or record in his possession.
“Section 19 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
20. Power of Central Authority to recall goods, etc.—Where the
Central Authority is satisfied on the basis of investigation that there is
sufficient evidence to show violation of consumer rights or unfair trade
practice by a person, it may pass such order as may be necessary,
including—
(a) recalling of goods or withdrawal of services which are
dangerous, hazardous or unsafe;
(b) reimbursement of the prices of goods or services so recalled to
purchasers of such goods or services; and
(c) discontinuation of practices which are unfair and prejudicial to
consumers' interest:
Provided that the Central Authority shall give the person an
opportunity of being heard before passing an order under this section.
“Section 20 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
21. Power of Central Authority to issue directions and penalties
against false or misleading advertisements.—(1) Where the Central
Authority is satisfied after investigation that any advertisement is false
or misleading and is prejudicial to the interest of any consumer or is in
contravention of consumer rights, it may, by order, issue directions to
the concerned trader or manufacturer or endorser or advertiser or
publisher, as the case may be, to discontinue such advertisement or to
modify the same in such manner and within such time as may be
specified in that order.
(2) Notwithstanding the order passed under sub-section (1), if the
Central Authority is of the opinion that it is necessary to impose a
penalty in respect of such false or misleading advertisement, by a
manufacturer or an endorser, it may, by order, impose on manufacturer
or endorser a penalty which may extend to ten lakh rupees:
Provided that the Central Authority may, for every subsequent
contravention by a manufacturer or endorser, impose a penalty, which
may extend to fifty lakh rupees.
(3) Notwithstanding any order under sub-sections (1) and (2),
where the Central Authority deems it necessary, it may, by order,
prohibit the endorser of a false or misleading advertisement from
making endorsement of any product or service for a period which may
extend to one year:
Provided that the Central Authority may, for every subsequent
contravention, prohibit such endorser from making endorsement in
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respect of any product or service for a period which may extend to

three years.
(4) Where the Central Authority is satisfied after investigation that
any person is found to publish, or is a party to the publication of, a
misleading advertisement, it may impose on such person a penalty
which may extend to ten lakh rupees.
(5) No endorser shall be liable to a penalty under sub-sections (2)
and (3) if he has exercised due diligence to verify the veracity of the
claims made in the advertisement regarding the product or service
being endorsed by him.
(6) No person shall be liable to such penalty if he proves that he had
published or arranged for the publication of such advertisement in the
ordinary course of his business:
Provided that no such defence shall be available to such person if he
had previous knowledge of the order passed by the Central Authority
for withdrawal or modification of such advertisement.
(7) While determining the penalty under this section, regard shall be
had to the following, namely—
(a) the population and the area impacted or affected by such
offence;
(b) the frequency and duration of such offence;
(c) the vulnerability of the class of persons likely to be adversely
affected by such offence; and
(d) the gross revenue from the sales effected by virtue of such
offence.
(8) The Central Authority shall give the person an opportunity of
being heard before an order under this section is passed.
“Section 21 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
22. Search and seizure.—(1) For the purpose of conducting an
investigation after preliminary inquiry under sub-section (1) of Section
19, the Director-General or any other officer authorised by him in this
behalf, or the District Collector, as the case may be, may, if he has any
reason to believe that any person has violated any consumer rights or
committed unfair trade practice or causes any false or misleading
advertisement to be made, shall,—
(a) enter at any reasonable time into any such premises and
search for any document or record or article or any other form
of evidence and seize such document, record, article or such
evidence;
(b) make a note or an inventory of such record or article; or
(c) require any person to produce any record, register or other
document or article.
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(2) The provisions of the Code of Criminal Procedure, 1973 (2 of

1974), relating to search and seizure shall apply, as far as may be, for
search and seizure under this Act.
(3) Every document, record or article seized under clause (a) of sub-
section (1) or produced under clause (c) of that sub-section shall be
returned to the person, from whom they were seized or who produced
the same, within a period of twenty days of the date of such seizure or
production, as the case may be, after copies thereof or extracts
therefrom certified by that person, in such manner as may be
prescribed, have been taken.
(4) Where any article seized under sub-section (1) are subject to
speedy or natural decay, the Director-General or such other officer may
dispose of the article in such manner as may be prescribed.
(5) In the case of articles other than the articles referred to in sub-
section (4), provisions contained in clause (c) of sub-section (2) of
Section 38 shall mutatis mutandis apply in relation to analysis or tests.
“Section 22 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
23. Designation of any statutory authority or body to function as
Central Authority.—The Central Government may, if it considers
necessary, by notification, designate any statutory authority or body to
exercise the powers and perform the functions of the Central Authority
referred to in Section 10.
“Section 23 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
24. Appeal.—A person aggrieved by any order passed by the Central
Authority under Sections 20 and 21 may file an appeal to the National
Commission within a period of thirty days from the date of receipt of
such order.
“Section 24 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
25. Grants by Central Government.—The Central Government may,
after due appropriation made by Parliament by law in this behalf, make
to the Central Authority grants of such sums of money as that
Government may think fit for being utilised for the purposes of this Act.
“Section 25 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
26. Accounts and audit.—(1) The Central Authority shall maintain
proper accounts and other relevant records and prepare an annual
statement of accounts in such form and manner as may be prescribed
in consultation with the Comptroller and Auditor-General of India.
(2) The accounts of the Central Authority shall be audited by the
Comptroller and Auditor-General of India at such intervals as may be
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specified by him and any expenditure incurred in connection with such

audit shall be payable by the Central Authority to the Comptroller and
Auditor-General of India.
(3) The Comptroller and Auditor-General of India or any other person
appointed by him in connection with the audit of the accounts of the
Central Authority shall have the same rights, privileges and authority in
connection with such audit as the Comptroller and Auditor-General of
India generally has, in connection with the audit of the Government
accounts and, in particular, shall have the right to demand the
production of books, accounts, connected vouchers and other
documents and papers and to inspect any of the offices of the Central
Authority.
(4) The accounts of the Central Authority as certified by the
Comptroller and Auditor-General of India or any other person appointed
by him in this behalf together with the audit report thereon shall be
forwarded annually to the Central Government which shall cause the
same to be laid before each House of Parliament.
“Section 26 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
27. Furnishing of annual reports, etc.—(1) The Central Authority
shall prepare once in every year, in such form, manner and at such
time as may be prescribed, an annual report giving full account of its
activities during the previous year and such other reports and returns,
as may be directed, and copies of such report and returns shall be
forwarded to the Central Government.
(2) A copy of the annual report received under sub-section (1) shall
be laid, as soon as may be after it is received, before each House of
Parliament.
“Section 27 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
Chapter IV
CONSUMER DISPUTES REDRESSAL COMMISSION
28. Establishment of District Consumer Disputes Redressal
Commission.—(1) The State Government shall, by notification,
establish a District Consumer Disputes Redressal Commission, to be
known as the District Commission, in each district of the State:
Provided that the State Government may, if it deems fit, establish
more than one District Commission in a district.
(2) Each District Commission shall consist of—
(a) a President; and
(b) not less than two and not more than such number of members
as may be prescribed, in consultation with the Central
Government.
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“Section 28 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
29. Qualifications, etc., of President and members of District
Commission.—The Central Government may, by notification, make rules
to provide for the qualifications, method of recruitment, procedure for
appointment, term of office, resignation and removal of the President
and members of the District Commission.
“Section 29 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
30. Salaries, allowances and other terms and conditions of service of
President and members of District Commission.—The State Government
may, by notification, make rules to provide for salaries and allowances
and other terms and conditions of service of the President, and
members of the District Commission.
“Section 30 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
31. Transitional provision.—Any person appointed as President or, as
the case may be, a member of the District Commission immediately
before the commencement of this Act shall hold office as such as
President or, as the case may be, as member till the completion of his
term for which he has been appointed.
“Section 31 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
32. Vacancy in office of member of District Commission.—If, at any
time, there is a vacancy in the office of the President or member of a
District Commission, the State Government may, by notification,
direct—
(a) any other District Commission specified in that notification to
exercise the jurisdiction in respect of that district also; or
(b) the President or a member of any other District Commission
specified in that notification to exercise the powers and
discharge the functions of the President or member of that
District Commission also.
“Section 32 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
33. Officers and other employees of District Commission.—(1) The
State Government shall provide the District Commission with such
officers and other employees as may be required to assist the District
Commission in the discharge of its functions.
(2) The officers and other employees of the District Commission shall
discharge their functions under the general superintendence of the
President of the District Commission.
(3) The salaries and allowances payable to, and the other terms and
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conditions of service of, the officers and other employees of the District
Commission shall be such as may be prescribed.
“Section 33 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
34. Jurisdiction of District Commission.—(1) Subject to the other
provisions of this Act, the District Commission shall have jurisdiction to
entertain complaints where the value of the goods or services paid as
consideration does not exceed one crore rupees:
Provided that where the Central Government deems it necessary so
to do, it may prescribe such other value, as it deems fit.
(2) A complaint shall be instituted in a District Commission within
the local limits of whose jurisdiction,—
(a) the opposite party or each of the opposite parties, where there
are more than one, at the time of the institution of the
complaint, ordinarily resides or carries on business or has a
branch office or personally works for gain; or
(b) any of the opposite parties, where there are more than one, at
the time of the institution of the complaint, actually and
voluntarily resides, or carries on business or has a branch
office, or personally works for gain, provided that in such case
the permission of the District Commission is given; or
(c) the cause of action, wholly or in part, arises; or (d) the
complainant resides or personally works for gain.
(3) The District Commission shall ordinarily function in the district
headquarters and may perform its functions at such other place in the
district, as the State Government may, in consultation with the State
Commission, notify in the Official Gazette from time to time.
“Section 34 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
35. Manner in which complaint shall be made.—(1) A complaint, in
relation to any goods sold or delivered or agreed to be sold or delivered
or any service provided or agreed to be provided, may be filed with a
District Commission by—
(a) the consumer,—
(i) to whom such goods are sold or delivered or agreed to be
sold or delivered or such service is provided or agreed to be
provided; or
(ii) who alleges unfair trade practice in respect of such goods or
service;
(b) any recognised consumer association, whether the consumer
to whom such goods are sold or delivered or agreed to be sold
or delivered or such service is provided or agreed to be
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provided, or who alleges unfair trade practice in respect of such

goods or service, is a member of such association or not;
(c) one or more consumers, where there are numerous consumers
having the same interest, with the permission of the District
Commission, on behalf of, or for the benefit of, all consumers
so interested; or
(d) the Central Government, the Central Authority or the State
Government, as the case may be:
Provided that the complaint under this sub-section may be filed
electronically in such manner as may be prescribed.
Explanation.—For the purposes of this sub-section, "recognised
consumer association" means any voluntary consumer association
registered under any law for the time being in force.
(2) Every complaint filed under sub-section (1) shall be
accompanied with such fee and payable in such manner, including
electronic form, as may be prescribed.
“Section 35 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
► Complaint on behalf of or for the benefit of, all consumers under
Section 35(1)(c) — When permissible.—Invocation of Section 35(1)(c), by
some of the purchasers/complainants against the builder of residential complex
i.e. complaint in a representative capacity is not permissible, in the absence of
sameness of interest between all purchasers of apartments. Sine qua non for
invoking Section 35(1)(c) is that all consumers on whose behalf or for whose
benefit the provision is invoked, should have the same interest. Further, it is
necessary to include in such consumer complaint under Section 35(1)(c),
sufficient averments that show sameness of interest. Sameness of interest vis-à-
vis sameness of cause of action, distinguished, Brigade Enterprises Ltd. v. Anil
Kumar Virmani, (2022) 4 SCC 138.
36. Proceedings before District Commission.—(1) Every proceeding
before the District Commission shall be conducted by the President of
that Commission and atleast one member thereof, sitting together:
Provided that where a member, for any reason, is unable to conduct
a proceeding till it is completed, the President and the other member
shall continue the proceeding from the stage at which it was last heard
by the previous member.
(2) On receipt of a complaint made under Section 35, the District
Commission may, by order, admit the complaint for being proceeded
with or reject the same:
Provided that a complaint shall not be rejected under this section
unless an opportunity of being heard has been given to the
complainant:
Provided further that the admissibility of the complaint shall
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ordinarily be decided within twenty one days from the date on which
the complaint was filed.
(3) Where the District Commission does not decide the issue of
admissibility of the complaint within the period so specified, it shall be
deemed to have been admitted.
“Section 36 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
[37. Reference to mediation.—The District Commission or State
4

Commission or the National Commission, as the case may be, shall

either on an application by the parties at any stage of proceedings refer
the disputes for settlement by mediation under the Mediation Act,
2023.
37-A. Settlement through mediation.—(1) Pursuant to mediation, if
an agreement is reached between the parties with respect to all of the
issues involved in the consumer dispute or with respect to only some of
the issues, the terms of such agreement shall be reduced to writing
accordingly, and signed by the parties to such dispute or their
authorised representatives.
(2) The mediator shall prepare a settlement report of the settlement
and forward the signed agreement along with such report to the
concerned Commission.
(3) Where no agreement is reached between the parties within the
specified time or the mediator is of the opinion that settlement is not
possible, he shall prepare his report accordingly and submit the same
to the concerned Commission.
37-B. Recording settlement and passing of order.—(1) The District
Commission or the State Commission or the National Commission, as
the case may be, shall, within seven days of the receipt of the
settlement report, pass suitable order recording such settlement of
consumer dispute and dispose of the matter accordingly.
(2) Where the consumer dispute is settled only in part, the District
Commission or the State Commission or the National Commission, as
the case may be, shall record settlement of the issues which have been
so settled and continue to hear other issues involved in such consumer
dispute.
(3) Where the consumer dispute could not be settled by mediation,
the District Commission or the State Commission or the National
Commission, as the case may be, shall continue to hear all the issues
involved in such consumer dispute.]
38. Procedure on admission of complaint.—(1) The District
Commission shall, on admission of a complaint, 5 [* * *] proceed with
such complaint.
(2) Where the complaint relates to any goods, the District
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Commission shall,—
(a) refer a copy of the admitted complaint, within twenty one
days from the date of its admission to the opposite party
mentioned in the complaint directing him to give his version of
the case within a period of thirty days or such extended period
not exceeding fifteen days as may be granted by it;
(b) if the opposite party on receipt of a complaint referred to him
under clause (a) denies or disputes the allegations contained in
the complaint, or omits or fails to take any action to represent
his case within the time given by the District Commission,
proceed to settle the consumer dispute in the manner specified
in clauses (c) to (g);
(c) if the complaint alleges a defect in the goods which cannot be
determined without proper analysis or test of the goods, obtain
a sample of the goods from the complainant, seal it and
authenticate it in the manner as may be prescribed and refer
the sample so sealed to the appropriate laboratory along with a
direction that such laboratory to make an analysis or test,
whichever may be necessary, with a view to finding out
whether such goods suffer from any defect alleged in the
complaint or from any other defect and to report its findings
thereon to the District Commission within a period of forty five
days of the receipt of the reference or within such extended
period as may be granted by it;
(d) before any sample of the goods is referred to any appropriate
laboratory under clause (c), require the complainant to deposit
to the credit of the Commission such fees as may be specified,
for payment to the appropriate laboratory for carrying out the
necessary analysis or test in relation to the goods in question;
(e) remit the amount deposited to its credit under clause (d) to
the appropriate laboratory to enable it to carry out the analysis
or test mentioned in clause (c) and on receipt of the report
from the appropriate laboratory, it shall forward a copy of the
report along with such remarks as it may feel appropriate to
the opposite party;
(f) if any of the parties disputes the correctness of the findings of
the appropriate laboratory, or disputes the correctness of the
methods of analysis or test adopted by the appropriate
laboratory, require the opposite party or the complainant to
submit in writing his objections with regard to the report made
by the appropriate laboratory;
(g) give a reasonable opportunity to the complainant as well as
the opposite party of being heard as to the correctness or
otherwise of the report made by the appropriate laboratory and
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also as to the objection made in relation thereto under clause

(f) and issue an appropriate order under Section 39.
(3) The District Commission shall, if the complaint admitted by it
under sub-section (2) of Section 36 relates to goods in respect of which
the procedure specified in sub-section (2) cannot be followed, or if the
complaint relates to any services,—
(a) refer a copy of such complaint to the opposite party directing
him to give his version of the case within a period of thirty days
or such extended period not exceeding fifteen days as may be
granted by the District Commission;
(b) if the opposite party, on receipt of a copy of the complaint,
referred to him under clause (a) denies or disputes the
allegations contained in the complaint, or omits or fails to take
any action to represent his case within the time given by the
District Commission, it shall proceed to settle the consumer
dispute—
(i) on the basis of evidence brought to its notice by the
complainant and the opposite party, if the opposite party
denies or disputes the allegations contained in the
complaint, or
(ii) ex parte on the basis of evidence brought to its notice by
the complainant, where the opposite party omits or fails to
take any action to represent his case within the time given
by the Commission;
(c) decide the complaint on merits if the complainant fails to
appear on the date of hearing.
(4) For the purposes of sub-sections (2) and (3), the District
Commission may, by order, require an electronic service provider to
provide such information, documents or records, as may be specified in
that order.
(5) No proceedings complying with the procedure laid down in 6 [sub-
sections (2) and (3)] shall be called in question in any court on the
ground that the principles of natural justice have not been complied
with.
(6) Every complaint shall be heard by the District Commission on the
basis of affidavit and documentary evidence placed on record:
Provided that where an application is made for hearing or for
examination of parties in person or through video conferencing, the
District Commission may, on sufficient cause being shown, and after
recording its reasons in writing, allow the same.
(7) Every complaint shall be disposed of as expeditiously as possible
and endeavour shall be made to decide the complaint within a period of
three months from the date of receipt of notice by opposite party where
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the complaint does not require analysis or testing of commodities and

within five months if it requires analysis or testing of commodities:
Provided that no adjournment shall ordinarily be granted by the
District Commission unless sufficient cause is shown and the reasons
for grant of adjournment have been recorded in writing by the
Commission:
Provided further that the District Commission shall make such orders
as to the costs occasioned by the adjournment as may be specified by
regulations:
Provided also that in the event of a complaint being disposed of after
the period so specified, the District Commission shall record in writing,
the reasons for the same at the time of disposing of the said complaint.
(8) Where during the pendency of any proceeding before the District
Commission, if it appears necessary, it may pass such interim order as
is just and proper in the facts and circumstances of the case.
(9) For the purposes of this section, the District Commission shall
have the same powers as are vested in a civil court under the Code of
Civil Procedure, 1908 (5 of 1908) while trying a suit in respect of the
following matters, namely—
(a) the summoning and enforcing the attendance of any
defendant or witness and examining the witness on oath;
(b) requiring the discovery and production of any document or
other material object as evidence;
(c) receiving of evidence on affidavits;
(d) the requisitioning of the report of the concerned analysis or
test from the appropriate laboratory or from any other relevant
source;
(e) issuing of commissions for the examination of any witness, or
document; and
(f) any other matter which may be prescribed by the Central
Government.
(10) Every proceeding before the District Commission shall be
deemed to be a judicial proceeding within the meaning of Sections 193
and 228 of the Indian Penal Code (45 of 1860), and the District
Commission shall be deemed to be a criminal court for the purposes of
Section 195 and Chapter XXVI of the Code of Criminal Procedure, 1973
(2 of 1974).
(11) Where the complainant is a consumer referred to in sub-clause
(v) of clause (5) of Section 2, the provisions of Order I Rule 8 of the
First Schedule to the Code of Civil Procedure, 1908 (5 of 1908) shall
apply subject to the modification that every reference therein to a suit
or decree shall be construed as a reference to a complaint or the order
of the District Commission thereon.
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(12) In the event of death of a complainant who is a consumer or of

the opposite party against whom the complaint has been filed, the
provisions of Order XXII of the First Schedule to the Code of Civil
Procedure, 1908 (5 of 1908) shall apply subject to the modification that
every reference therein to the plaintiff and the defendant shall be
construed as reference to a complainant or the opposite party, as the
case may be.
“Section 38 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
39. Findings of District Commission.—(1) Where the District
Commission is satisfied that the goods complained against suffer from
any of the defects specified in the complaint or that any of the
allegations contained in the complaint about the services or any unfair
trade practices, or claims for compensation under product liability are
proved, it shall issue an order to the opposite party directing him to do
one or more of the following, namely—
(a) to remove the defect pointed out by the appropriate laboratory
from the goods in question;
(b) to replace the goods with new goods of similar description
which shall be free from any defect;
(c) to return to the complainant the price, or, as the case may be,
the charges paid by the complainant along with such interest
on such price or charges as may be decided;
(d) to pay such amount as may be awarded by it as compensation
to the consumer for any loss or injury suffered by the consumer
due to the negligence of the opposite party:
Provided that the District Commission shall have the power to
grant punitive damages in such circumstances as it deems fit;
(e) to pay such amount as may be awarded by it as compensation
in a product liability action under Chapter VI;
(f) to remove the defects in goods or deficiencies in the services
in question;
(g) to discontinue the unfair trade practice or restrictive trade
practice and not to repeat them;
(h) not to offer the hazardous or unsafe goods for sale;
(i) to withdraw the hazardous goods from being offered for sale;
(j) to cease manufacture of hazardous goods and to desist from
offering services which are hazardous in nature;
(k) to pay such sum as may be determined by it, if it is of the
opinion that loss or injury has been suffered by a large number
of consumers who are not identifiable conveniently:
Provided that the minimum amount of sum so payable shall not
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be less than twenty-five per cent of the value of such defective

goods sold or service provided, as the case may be, to such
consumers;
(l) to issue corrective advertisement to neutralise the effect of
misleading advertisement at the cost of the opposite party
responsible for issuing such misleading advertisement;
(m) to provide for adequate costs to parties; and
(n) to cease and desist from issuing any misleading
advertisement.
(2) Any amount obtained under sub-section (1) shall be credited to
such fund and utilised in such manner as may be prescribed.
(3) In any proceeding conducted by the President and a member
and if they differ on any point or points, they shall state the point or
points on which they differ and refer the same to another member for
hearing on such point or points and the opinion of the majority shall be
the order of the District Commission:
Provided that the other member shall give his opinion on such point
or points referred to him within a period of one month from the date of
such reference.
(4) Every order made by the District Commission under sub-section
(1) shall be signed by the President and the member who conducted
the proceeding:
Provided that where the order is made as per majority opinion under
sub-section (3), such order shall also be signed by the other member.
“Section 39 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
40. Review by District Commission in certain cases.—The District
Commission shall have the power to review any of the order passed by
it if there is an error apparent on the face of the record, either of its
own motion or on an application made by any of the parties within
thirty days of such order.
“Section 40 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
41. Appeal against order of District Commission.—Any person
aggrieved by an order made by the District Commission may prefer an
appeal against such order to the State Commission on the grounds of
facts or law within a period of forty five days from the date of the order,
in such form and manner, as may be prescribed:
Provided that the State Commission may entertain an appeal after
the expiry of the said period of forty five days, if it is satisfied that
there was sufficient cause for not filing it within that period:
Provided further that no appeal by a person, who is required to pay
any amount in terms of an order of the District Commission, shall be
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entertained by the State Commission unless the appellant has

deposited fifty per cent of that amount in the manner as may be
prescribed.
7
[* * *]
“Section 41 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
42. Establishment of State Consumer Disputes Redressal
Commission.—(1) The State Government shall, by notification,
establish a State Consumer Disputes Redressal Commission, to be
known as the State Commission, in the State.
(2) The State Commission shall ordinarily function at the State
capital and perform its functions at such other places as the State
Government may in consultation with the State Commission notify in
the Official Gazette:
Provided that the State Government may, by notification, establish
regional benches of the State Commission, at such places, as it deems
fit.
(3) Each State Commission shall consist of—
(a) a President; and
(b) not less than four or not more than such number of members
as may be prescribed in consultation with the Central
Government.
“Section 42 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
43. Qualifications, etc., of President and members of State
Commission.—The Central Government may, by notification, make rules
to provide for the qualification for appointment, method of recruitment,
procedure of appointment, term of office, resignation and removal of
the President and members of the State Commission.
“Section 43 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
44. Salaries, allowances and other terms and conditions of service of
President and members of State Commission.—The State Government
may, by notification, make rules to provide for salaries and allowances
and other terms and conditions of service of the President and
members of the State Commission.
“Section 44 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
45. Transitional provision.—Any person appointed as President or, as
the case may be, a member of the State Commission immediately
before the commencement of this Act shall hold office as such, as
President or member, as the case may be, till the completion of his
term.
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“Section 45 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
46. Officers and employees of State Commission.—(1) The State
Government shall determine the nature and categories of the officers
and other employees required to assist the State Commission in the
discharge of its functions and provide the Commission with such
officers and other employees as it may think fit.
(2) The officers and other employees of the State Commission shall
discharge their functions under the general superintendence of the
President.
(3) The salaries and allowances payable to and the other terms and
conditions of service of, the officers and other employees of the State
Commission shall be such as may be prescribed.
“Section 46 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
47. Jurisdiction of State Commission.—(1) Subject to the other
provisions of this Act, the State Commission shall have jurisdiction—
(a) to entertain—
(i) complaints where the value of the goods or services paid as
consideration, exceeds rupees one crore, but does not
exceed rupees ten crore:
Provided that where the Central Government deems it
necessary so to do, it may prescribe such other value, as it
deems fit;
(ii) complaints against unfair contracts, where the value of
goods or services paid as consideration does not exceed ten
crore rupees;
(iii) appeals against the orders of any District Commission
within the State; 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 District Commission within the State, where it appears
to the State Commission that such District Commission has
exercised a jurisdiction not vested in it by law, or has failed to
exercise a jurisdiction so vested or has acted in exercise of its
jurisdiction illegally or with material irregularity.
(2) The jurisdiction, powers and authority of the State Commission
may be exercised by Benches thereof, and a Bench may be constituted
by the President with one or more members as the President may deem
fit:
Provided that the senior-most member shall preside over the Bench.
(3) Where the members of a Bench differ in opinion on any point,
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the points shall be decided according to the opinion of the majority, if

there is a majority, but if the members are equally divided, they shall
state the point or points on which they differ, and make a reference to
the President who shall either hear the point or points himself or refer
the case for hearing on such point or points by one or more of the other
members and such point or points shall be decided according to the
opinion of the majority of the members who have heard the case,
including those who first heard it:
Provided that the President or the other members, as the case may
be, shall give opinion on the point or points so referred within a period
of one month from the date of such reference.
(4) A complaint shall be instituted in a State Commission within the
limits of whose jurisdiction,—
(a) the opposite party or each of the opposite parties, where there
are more than one, at the time of the institution of the
complaint, ordinarily resides or carries on business or has a
branch office or personally works for gain; or
(b) any of the opposite parties, where there are more than one, at
the time of the institution of the complaint, actually and
voluntarily resides, or carries on business or has a branch office
or personally works for gain, provided in such case, the
permission of the State Commission is given; or
(c) the cause of action, wholly or in part, arises; or
(d) the complainant resides or personally works for gain.
“Section 47 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
► Unfair contract or unfair terms of contract.—Powers of Consumer Fora
in respect of unfair contract or unfair terms of contract, under the 2019 Act,
explained in detail. The intendment of these provisions in the 2019 Act could be
seen as implied even under the 1986 Act, Texco Marketing (P) Ltd. v. TATA AIG
General Insurance Co. Ltd., (2023) 1 SCC 428.
48. Transfer of cases.—On the application of the complainant or of its
own motion, the State Commission may, at any stage of the
proceeding, transfer any complaint pending before a District
Commission to another District Commission within the State if the
interest of justice so requires.
“Section 48 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
49. Procedure applicable to State Commission.—(1) The provisions
relating to complaints under Sections 35, 36, 37, 38 and 39 shall, with
such modifications as may be necessary, be applicable to the disposal
of complaints by the State Commission.
(2) Without prejudice to the provisions of sub-section (1), the State
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Commission may also declare any terms of contract, which is unfair to

any consumer, to be null and void.
“Section 49 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
50. Review by State Commission in certain cases.—The State
Commission shall have the power to review any of the order passed by
it if there is an error apparent on the face of the record, either of its
own motion or on an application made by any of the parties within
thirty days of such order.
“Section 50 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
51. Appeal to National Commission.—(1) Any person aggrieved by
an order made by the State Commission in exercise of its powers
conferred by sub-clause (i) or (ii) of clause (a) of sub-section (1) of
Section 47 may prefer an appeal against such order to the National
Commission within a period of thirty days from the date of the order in
such form and manner as may be prescribed:
Provided that the National Commission shall not entertain the appeal
after the expiry of the said period of thirty days unless it is satisfied
that there was sufficient cause for not filing it within that period:
Provided further that no appeal by a person, who is required to pay
any amount in terms of an order of the State Commission, shall be
entertained by the National Commission unless the appellant has
deposited fifty per cent of that amount in the manner as may be
prescribed.
(2) Save as otherwise expressly provided under this Act or by any
other law for the time being in force, an appeal shall lie to the National
Commission from any order passed in appeal by any State Commission,
if the National Commission is satisfied that the case involves a
substantial question of law.
(3) In an appeal involving a question of law, the memorandum of
appeal shall precisely state the substantial question of law involved in
the appeal.
(4) Where the National Commission is satisfied that a substantial
question of law is involved in any case, it shall formulate that question
and hear the appeal on that question:
Provided that nothing in this sub-section shall be deemed to take
away or abridge the power of the National Commission to hear, for
reasons to be recorded in writing, the appeal on any other substantial
question of law, if it is satisfied that the case involves such question of
law.
(5) An appeal may lie to the National Commission under this section
from an order passed ex parte by the State Commission.
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“Section 51 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
► Appeal to National Commission.—Predeposit of 50% of amount as
ordered by State Commission under second proviso to Section 51 is mandatory
for entertainment of an appeal by National Commission. The object of the said pre
-deposit condition is to avoid frivolous appeals, Manohar Infrastructure &
Constructions (P) Ltd. v. Sanjeev Kumar Sharma, (2022) 8 SCC 474.
52. Hearing of appeal.—An appeal filed before the State Commission
or the National Commission, as the case may be, shall be heard as
expeditiously as possible and every endeavour shall be made to dispose
of the appeal within a period of ninety days from the date of its
admission:
Provided that no adjournment shall ordinarily be granted by the
State Commission or the National Commission, as the case may be,
unless sufficient cause is shown and the reasons for grant of
adjournment have been recorded in writing by such Commission:
Provided further that the State Commission or the National
Commission, as the case may be, shall make such orders as to the
costs occasioned by the adjournment, as may be specified by
regulations:
Provided also that in the event of an appeal being disposed of after
the period so specified, the State Commission or the National
Commission, as the case may be, shall record in writing the reasons for
the same at the time of disposing of the said appeal.
“Section 52 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
53. Establishment of National Consumer Disputes Redressal
Commission.—(1) The Central Government shall, by notification,
establish a National Consumer Disputes Redressal Commission, to be
known as the National Commission.
(2) The National Commission shall ordinarily function at the National
Capital Region and perform its functions at such other places as the
Central Government may in consultation with the National Commission
notify in the Official Gazette:
Provided that the Central Government may, by notification, establish
regional Benches of the National Commission, at such places, as it
deems fit.
“Section 53 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
NOTIFICATIONS
Noti. No. S.O. 106(E), dated 11-1-2021.—In exercise of the
powers conferred by sub-section (1) of Section 53 of the Consumer
Protection Act, 2019 (35 of 2019), the Central Government hereby
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establishes a National Consumer Disputes Redressal Commission to be

known as the National Commission.
2. The President and every other member of the National
Commission appointed immediately before the commencement of the
Consumer Protection Act, 2019 shall continue to hold office as the
President and Member of the National Commission as provided in
Section 56 of the said Act.
54. Composition of National Commission.—The National Commission
shall consist of—
(a) a President; and
(b) not less than four and not more than such number of
members as may be prescribed.
“Section 54 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
55. Qualifications, etc., of President and members of National
Commission.—(1) The Central Government may, by notification, make
rules to provide 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:
Provided that the President and members of the National
Commission shall hold office for such term as specified in the rules
made by the Central Government but not exceeding five years from the
date on which he enters upon his office and shall be eligible for re-
appointment:
Provided further that no President or members shall hold office as
such after he has attained such age as specified in the rules made by
the Central Government which shall not exceed,—
(a) in the case of the President, the age of seventy years;
(b) in the case of any other member, the age of sixty seven years.
[(1-A) Notwithstanding anything contained in sub-section (1), the
8

qualifications, appointment, term of office, salaries and allowances,

resignation, removal and the other terms and conditions of service of
the President and other members of the National Commission
appointed after the commencement of the Tribunal Reforms Act, 2021,
shall be governed by the provisions of the said Act.]
(2) Neither the salary and allowances nor the other terms and
conditions of service of President and members of the National
Commission shall be varied to his disadvantage after his appointment.
“Section 55 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
56. Transitional provision.—The President and every other member
appointed immediately before the commencement of Section 177 of the
Finance Act, 2017 (7 of 2017) shall continue to be governed by the
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provisions of the Consumer Protection Act, 1986 (68 of 1986) and the
rules made thereunder as if this Act had not come into force.
“Section 56 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
57. Other officers and employees of National Commission.—(1) The
Central Government shall provide, in consultation with the President of
the National Commission, such number of officers and other employees
to assist the National Commission in the discharge of its functions as it
may think fit.
(2) The officers and other employees of the National Commission
shall discharge their functions under the general superintendence of the
President of the National Commission.
(3) The salaries and allowances payable to, and the other terms and
conditions of service of, the officers and other employees of the
National Commission shall be such as may be prescribed.
“Section 57 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
58. Jurisdiction of National Commission.—(1) Subject to the other
provisions of this Act, the National Commission shall have jurisdiction—
(a) to entertain—
(i) complaints where the value of the goods or services paid as
consideration exceeds rupees ten crore:
Provided that where the Central Government deems it
necessary so to do, it may prescribe such other value, as it
deems fit;
(ii) complaints against unfair contracts, where the value of
goods or services paid as consideration exceeds ten crore
rupees;
(iii) appeals against the orders of any State Commission;
(iv) appeals against the orders of the Central Authority; and
“Clause (a) (iv) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(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 where it appears to the National
Commission that such State Commission has exercised a
jurisdiction not vested in it by law, or has failed to exercise a
jurisdiction so vested, or has acted in the exercise of its
jurisdiction illegally or with material irregularity.
(2) The jurisdiction, powers and authority of the National
Commission may be exercised by Benches thereof and a Bench may be
constituted by the President with one or more members as he may
deem fit:
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Provided that the senior-most member of the Bench shall preside

over the Bench.
(3) Where the members of a Bench differ in opinion on any point,
the points shall be decided according to the opinion of the majority, if
there is a majority, but if the members are equally divided, they shall
state the point or points on which they differ, and make a reference to
the President who shall either hear the point or points himself or refer
the case for hearing on such point or points by one or more of the other
members and such point or points shall be decided according to the
opinion of the majority of the members who have heard the case,
including those who first heard it:
Provided that the President or the other member, as the case may
be, shall give opinion on the point or points so referred within a period
of two months from the date of such reference.
“Section 58 except Clause (1) (a) (iv), enforced w.e.f. 20-7-
2020 vide Noti. No. S.O. 2351(E), dt. 15-7-2020.”
59. Procedure applicable to National Commission.—(1) The
provisions relating to complaints under Sections 35, 36, 37, 38 and 39
shall, with such modifications as may be considered necessary, be
applicable to the disposal of complaints by the National Commission.
(2) Without prejudice to sub-section (1), the National Commission
may also declare any terms of contract, which is unfair to any consumer
to be null and void.
“Section 59 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
60. Review by National Commission in certain cases.—The National
Commission shall have the power to review any of the order passed by
it if there is an error apparent on the face of the record, either of its
own motion or on an application made by any of the parties within
thirty days of such order.
“Section 60 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
61. Power to set aside ex parte orders.—Where an order is passed by
the National Commission ex parte, the aggrieved party may make an
application to the Commission for setting aside such order.
“Section 61 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
62. Transfer of cases.—On the application of the complainant or of its
own motion, the National Commission may, at any stage of the
proceeding, in the interest of justice, transfer any complaint pending
before the District Commission of one State to a District Commission of
another State or before one State Commission to another State
Commission.
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“Section 62 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
63. Vacancy in office of President of National Commission.—When
the office of President of the National Commission is vacant or a person
occupying such office is, by reason of absence or otherwise, unable to
perform the duties of his office, these shall be performed by the senior-
most member of the National Commission:
Provided that where a retired Judge of a High Court or a person who
has been a Judicial Member is a member of the National Commission,
such member or where the number of such members is more than one,
the senior-most person amongst such members, shall preside over the
National Commission in the absence of President of that Commission.
“Section 63 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
64. Vacancies or defects in appointment not to invalidate orders.—No
act or proceeding of the District Commission, the State Commission or
the National Commission shall be invalid by reason only of the
existence of any vacancy amongst its members or any defect in the
constitution thereof.
“Section 64 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
65. Service of notice, etc.—(1) All notices, required by this Act to be
served, shall be served by delivering or transmitting a copy thereof by
registered post acknowledgment due addressed to opposite party
against whom complaint is made or to the complainant by speed post
or by such courier service, approved by the District Commission, the
State Commission or the National Commission, as the case may be, or
by any other mode of transmission of documents including electronic
means.
(2) Without prejudice to the provisions contained in sub-section (1),
the notice required by this Act may be served on an electronic service
provider at the address provided by it on the electronic platform from
where it provides its services as such and for this purpose, the
electronic service provider shall designate a nodal officer to accept and
process such notices.
(3) When an acknowledgment or any other receipt purporting to be
signed by the opposite party or his agent or, as the case may be, by
the complainant is received by the District Commission, the State
Commission or the National Commission, as the case may be, or postal
article containing the notice is received back by such District
Commission, State Commission or the National Commission, with an
endorsement purporting to have been made by a postal employee or by
any person authorised by the courier service to the effect that the
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opposite party or his agent or complainant had refused to take delivery

of the postal article containing the notice or had refused to accept the
notice by any other means specified in sub-section (1) when tendered
or transmitted to him, the District Commission or the State Commission
or the National Commission, as the case may be, shall declare that the
notice has been duly served on the opposite party or to the
complainant, as the case may be:
Provided that where the notice was properly addressed, pre-paid and
duly sent by registered post acknowledgment due, a declaration
referred to in this sub-section shall be made notwithstanding the fact
that the acknowledgment has been lost or misplaced, or for any other
reason, has not been received by the District Commission, the State
Commission or the National Commission, as the case may be, within
thirty days from the date of issue of notice.
(4) All notices required to be served on an opposite party or to
complainant, as the case may be, shall be deemed to be sufficiently
served, if addressed in the case of the opposite party, to the place
where business or profession is carried on, and in case of the
complainant, the place where such person actually and voluntarily
resides.
“Section 65 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
66. Experts to assist National Commission or State Commission.—
Where the National Commission or the State Commission, as the case
may be, on an application by a complainant or otherwise, is of the
opinion that it involves the larger interest of consumers, it may direct
any individual or organisation or expert to assist the National
Commission or the State Commission, as the case may be.
“Section 66 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
67. Appeal against order of National Commission.—Any person,
aggrieved by an order made by the National Commission in exercise of
its powers conferred by sub-clause (i) or (ii) of clause (a) of sub-section
(1) of Section 58, may prefer an appeal against such order to the
Supreme Court within a period of thirty days from the date of the
order:
Provided that the Supreme Court may entertain an appeal after the
expiry of the said period of thirty days if it is satisfied that there was
sufficient cause for not filing it within that period:
Provided further that no appeal by a person who is required to pay
any amount in terms of an order of the National Commission shall be
entertained by the Supreme Court unless that person has deposited
fifty per cent of that amount in the manner as may be prescribed.
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“Section 67 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
68. Finality of orders.—Every order of a District Commission or the
State Commission or the National Commission, as the case may be,
shall, if no appeal has been preferred against such order under the
provisions of this Act, be final.
“Section 68 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
69. Limitation period.—(1) The District Commission, the State
Commission or the National Commission shall not admit a complaint
unless it is filed within two years from the date on which the cause of
action has arisen.
(2) Notwithstanding anything contained in sub-section (1), a
complaint may be entertained after the period specified in sub-section
(1), if the complainant satisfies the District Commission, the State
Commission or the National Commission, as the case may be, that he
had sufficient cause for not filing the complaint within such period:
Provided that no such complaint shall be entertained unless the
District Commission or the State Commission or the National
Commission, as the case may be, records its reasons for condoning
such delay.
“Section 69 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
70. Administrative control.—(1) The National Commission shall have
the authority to lay down such adequate standards in consultation with
the Central Government from time to time, for better protection of the
interests of consumers and for that purpose, shall have administrative
control over all the State Commissions in the following matters,
namely—
(a) monitoring performance of the State Commissions in terms of
their disposal by calling for periodical returns regarding the
institution, disposal and pendency of cases;
(b) investigating into any allegations against the President and
members of a State Commission and submitting inquiry report
to the State Government concerned along with copy endorsed
to the Central Government for necessary action;
(c) issuance of instructions regarding adoption of uniform
procedure in the hearing of matters, prior service of copies of
documents produced by one party to the opposite parties,
furnishing of english translation of judgments written in any
language, speedy grant of copies of documents;
(d) overseeing the functioning of the State Commission or the
District Commission either by way of inspection or by any other
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means, as the National Commission may like to order from

time to time, to ensure that the objects and purposes of the
Act are best served and the standards set by the National
Commission are implemented without interfering with their
quasi-judicial freedom.
(2) There shall be a monitoring cell to be constituted by the
President of the National Commission to oversee the functioning of the
State Commissions from the administrative point of view.
(3) The State Commission shall have administrative control over all
the District Commissions within its jurisdiction in all matters referred to
in sub-section (1).
(4) The National Commission and the State Commissions shall
furnish to the Central Government periodically or as and when required,
any information including the pendency of cases in such form and
manner as may be prescribed.
(5) The State Commission shall furnish, periodically or as and when
required to the State Government any information including pendency
of cases in such form and manner as may be prescribed.
“Section 70 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
71. Enforcement of orders of District Commission, State Commission
and National Commission.—Every order made by a District Commission,
State Commission or the National Commission shall be enforced by it in
the same manner as if it were a decree made by a Court in a suit before
it and the provisions of Order XXI of the First Schedule to the Code of
Civil Procedure, 1908 (5 of 1908) shall, as far as may be, applicable,
subject to the modification that every reference therein to the decree
shall be construed as reference to the order made under this Act.
“Section 71 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
72. Penalty for non-compliance of order.—(1) Whoever fails to
comply with any order made by the District Commission or the State
Commission or the National Commission, as the case may be, shall be
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.
(2) Notwithstanding anything contained in the Code of Criminal
Procedure, 1973 (2 of 1974), the District Commission, the State
Commission or the National Commission, as the case may be, shall
have the power of a Judicial Magistrate of first class for the trial of
offences under sub-section (1), and on conferment of such powers, the
District Commission or the State Commission or the National
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Commission, as the case may be, shall be deemed to be a Judicial

Magistrate of first class for the purposes of the Code of Criminal
Procedure, 1973 (2 of 1974).
(3) Save as otherwise provided, the offences under sub-section (1)
shall be tried summarily by the District Commission or the State
Commission or the National Commission, as the case may be.
“Section 72 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
73. Appeal against order passed under Section 72.—(1)
Notwithstanding anything contained in the Code of Criminal Procedure,
1973 (2 of 1974), where an order is passed under sub-section (1) of
Section 72, an appeal shall lie, both on facts and on law from—
(a) the order made by the District Commission to the State
Commission;
(b) the order made by the State Commission to the National
Commission; and
(c) the order made by the National Commission to the Supreme
Court.
(2) Except as provided in sub-section (1), no appeal shall lie before
any court, from any order of a District Commission or a State
Commission or the National Commission, as the case may be.
(3) Every appeal under this section shall be preferred within a period
of thirty days from the date of order of a District Commission or a State
Commission or the National Commission, as the case may be:
Provided that the State Commission or the National Commission or
the Supreme Court, as the case may be, may entertain an appeal after
the expiry of the said period of thirty days, if it is satisfied that the
appellant had sufficient cause for not preferring the appeal within the
said period of thirty days.
“Section 73 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
Chapter V
9
[* * *]
74. Establishment of consumer mediation cell.—10 [* * *]
75. Empanelment of mediators.—11 [* * *]
76. Nomination of mediators from panel.—12 [* * *]
77. Duty of mediator to disclose certain facts.—13 [* * *]
78. Replacement of mediator in certain cases.—14 [* * *]
79. Procedure for mediation.—15 [* * *]
80. Settlement through mediation.—16 [* * *]
81. Recording settlement and passing of order.—17 [* * *]
Chapter VI
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PRODUCT LIABILITY
82. Application of Chapter.—This Chapter shall apply to every claim
for compensation under a product liability action by a complainant for
any harm caused by a defective product manufactured by a product
manufacturer or serviced by a product service provider or sold by a
product seller.
“Section 82 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
83. Product liability action.—A product liability action may be
brought by a complainant against a product manufacturer or a product
service provider or a product seller, as the case may be, for any harm
caused to him on account of a defective product.
“Section 83 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
84. Liability of product manufacturer.—(1) A product manufacturer
shall be liable in a product liability action, if—
(a) the product contains a manufacturing defect; or
(b) the product is defective in design; or
(c) there is a deviation from manufacturing specifications; or
(d) the product does not conform to the express warranty; or
(e) the product fails to contain adequate instructions of correct
usage to prevent any harm or any warning regarding improper
or incorrect usage.
(2) A product manufacturer shall be liable in a product liability action
even if he proves that he was not negligent or fraudulent in making the
express warranty of a product.
“Section 84 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
85. Liability of product service provider.—A product service provider
shall be liable in a product liability action, if—
(a) the service provided by him was faulty or imperfect or
deficient or inadequate in quality, nature or manner of
performance which is required to be provided by or under any
law for the time being in force, or pursuant to any contract or
otherwise; or
(b) there was an act of omission or commission or negligence or
conscious withholding any information which caused harm; or
(c) the service provider did not issue adequate instructions or
warnings to prevent any harm; or
(d) the service did not conform to express warranty or the terms
and conditions of the contract.
“Section 85 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
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(E), dt. 15-7-2020.”

86. Liability of product sellers.—A product seller who is not a product
manufacturer shall be liable in a product liability action, if—
(a) he has exercised substantial control over the designing,
testing, manufacturing, packaging or labelling of a product that
caused harm; or
(b) he has altered or modified the product and such alteration or
modification was the substantial factor in causing the harm; or
(c) he has made an express warranty of a product independent of
any express warranty made by a manufacturer and such
product failed to conform to the express warranty made by the
product seller which caused the harm; or
(d) the product has been sold by him and the identity of product
manufacturer of such product is not known, or if known, the
service of notice or process or warrant cannot be effected on
him or he is not subject to the law which is in force in India or
the order, if any, passed or to be passed cannot be enforced
against him; or
(e) he failed to exercise reasonable care in assembling, inspecting
or maintaining such product or he did not pass on the warnings
or instructions of the product manufacturer regarding the
dangers involved or proper usage of the product while selling
such product and such failure was the proximate cause of the
harm.
“Section 86 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
87. Exceptions to product liability action.—(1) A product liability
action cannot be brought against the product seller if, at the time of
harm, the product was misused, altered, or modified.
(2) In any product liability action based on the failure to provide
adequate warnings or instructions, the product manufacturer shall not
be liable, if—
(a) the product was purchased by an employer for use at the
workplace and the product manufacturer had provided
warnings or instructions to such employer;
(b) the product was sold as a component or material to be used in
another product and necessary warnings or instructions were
given by the product manufacturer to the purchaser of such
component or material, but the harm was caused to the
complainant by use of the end product in which such
component or material was used;
(c) the product was one which was legally meant to be used or
dispensed only by or under the supervision of an expert or a
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class of experts and the product manufacturer had employed

reasonable means to give the warnings or instructions for
usage of such product to such expert or class of experts; or
(d) the complainant, while using such product, was under the
influence of alcohol or any prescription drug which had not
been prescribed by a medical practitioner.
(3) A product manufacturer shall not be liable for failure to instruct
or warn about a danger which is obvious or commonly known to the
user or consumer of such product or which, such user or consumer,
ought to have known, taking into account the characteristics of such
product.
“Section 87 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
Chapter VII
OFFENCES AND PENALTIES
88. Penalty for non-compliance of direction of Central Authority.—
Whoever, fails to comply with any direction of the Central Authority
under Sections 20 and 21, shall be punished with imprisonment for a
term which may extend to six months or with fine which may extend to
twenty lakh rupees, or with both.
“Section 88 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
89. Punishment for false or misleading advertisement.—Any
manufacturer or service provider who causes a false or misleading
advertisement to be made which is prejudicial to the interest of
consumers shall be punished with imprisonment for a term which may
extend to two years and with fine which may extend to ten lakh rupees;
and for every subsequent offence, be punished with imprisonment for a
term which may extend to five years and with fine which may extend to
fifty lakh rupees.
“Section 89 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
90. Punishment for manufacturing for sale or storing, selling or
distributing or importing products containing adulterant.—(1) Whoever,
by himself or by any other person on his behalf, manufactures for sale
or stores or sells or distributes or imports any product containing an
adulterant shall be punished, if such act—
(a) does not result in any injury to the consumer, with
imprisonment for a term which may extend to six months and
with fine which may extend to one lakh rupees;
(b) causing injury not amounting to grievous hurt to the
consumer, with imprisonment for a term which may extend to
one year and with fine which may extend to three lakh rupees;
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(c) causing injury resulting in grievous hurt to the consumer, with

imprisonment for a term which may extend to seven years and
with fine which may extend to five lakh rupees; and
(d) results in the death of a consumer, with imprisonment for a
term which shall not be less than seven years, but which may
extend to imprisonment for life and with fine which shall not be
less than ten lakh rupees.
(2) The offences under clauses (c) and (d) of sub-section (1) shall
be cognizable and non-bailable.
(3) Notwithstanding the punishment under sub-section (1), the
court may, in case of first conviction, suspend any licence issued to the
person referred to in that sub-section, under any law for the time being
in force, for a period up to two years, and in case of second or
subsequent conviction, cancel the licence.
Explanation.—For the purposes of this section,—
(a) “adulterant” means any material including extraneous matter
which is employed or used for making a product unsafe;
(b) “grievous hurt” shall have the same meaning as assigned to it
in Section 320 of the Indian Penal Code (45 of 1860).
“Section 90 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
91. Punishment for manufacturing for sale or for storing or selling or
distributing or importing spurious goods.—(1) Whoever, by himself or
by any other person on his behalf, manufactures for sale or stores or
sells or distributes or imports any spurious goods shall be punished, if
such act—
(a) causing injury not amounting to grievous hurt to the
consumer, with imprisonment for a term which may extend to
one year and with fine which may extend to three lakh rupees;
(b) causing injury resulting in grievous hurt to the consumer, with
imprisonment for a term which may extend to seven years and
with fine which may extend to five lakh rupees;
(c) results in the death of a consumer, with imprisonment for a
term which shall not be less than seven years, but may extend
to imprisonment for life and with fine which shall not be less
than ten lakh rupees.
(2) The offences under clauses (b) and (c) of sub-section (1) shall
be cognizable and non-bailable.
(3) Notwithstanding the punishment under sub-section (1), the
court may, in case of first conviction, suspend any licence issued to the
person referred to in that sub-section, under any law for the time being
in force, for a period up to two years, and in case of second or
subsequent conviction, cancel the licence.
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“Section 91 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351

(E), dt. 15-7-2020.”
92. Cognizance of offence by court.—No cognizance shall be taken by
a competent court of any offence under Sections 88 and 89 except on a
complaint filed by the Central Authority or any officer authorised by it
in this behalf.
“Section 92 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
93. Vexatious search.—The Director-General or any other officer,
exercising powers under Section 22, who knows that there are no
reasonable grounds for so doing, and yet—
(a) searches, or causes to be searched any premises; or
(b) seizes any record, register or other document or article,
shall, for every such offence, be punished with imprisonment for a term
which may extend to one year, or with fine which may extend to ten
thousand rupees or with both.
“Section 93 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
Chapter VIII
MISCELLANEOUS
94. Measures to prevent unfair trade practices in e-commerce, direct
selling, etc.—For the purposes of preventing unfair trade practices in e-
commerce, direct selling and also to protect the interest and rights of
consumers, the Central Government may take such measures in the
manner as may be prescribed.
“Section 94 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
95. Presidents, members, Chief Commissioner, Commissioner and
certain officers to be public servants.—The Presidents and members of
the District Commission, the State Commission and the National
Commission, and officers and other employees thereof, the Chief
Commissioner and the Commissioner of the Central Authority, the
Director-General, the Additional Director-General, the Director, the Joint
Director, the Deputy Director and the Assistant Director and all other
officers and employees of the Central Authority and other persons
performing any duty under this Act, while acting or purporting to act in
pursuance of any of the provisions of this Act, shall be deemed to be
public servants within the meaning of Section 21 of the Indian Penal
Code (45 of 1860).
“Section 95 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
96. Compounding of offences.—(1) Any offence punishable under
Sections 88 and 89, may, either before or after the institution of the
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prosecution, be compounded, on payment of such amount as may be

prescribed:
Provided that no compounding of such offence shall be made without
the leave of the court before which a complaint has been filed under
Section 92:
Provided further that such sum shall not, in any case, exceed the
maximum amount of the fine, which may be imposed under this Act for
the offence so compounded.
(2) The Central Authority or any officer as may be specially
authorised by him in this behalf, may compound offences under sub-
section (1).
(3) Nothing in sub-section (1) shall apply to person who commits
the same or similar offence, within a period of three years from the date
on which the first offence, committed by him, was compounded.
Explanation.—For the purposes of this sub-section, any second or
subsequent offence committed after the expiry of a period of three
years from the date on which the offence was previously compounded,
shall be deemed to be a first offence.
(4) Where an offence has been compounded under sub-section (1),
no proceeding or further proceeding, as the case may be, shall be taken
against the offender in respect of the offence so compounded.
(5) The acceptance of the sum of money for compounding an offence
in accordance with sub-section (1) by the Central Authority or an officer
of the Central Authority empowered in this behalf shall be deemed to
amount to an acquittal within the meaning of the Code of Criminal
Procedure, 1973 (2 of 1974).
“Section 96 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
97. Manner of crediting penalty.—The penalty collected under
Section 21 and the amount collected under Section 96 shall be credited
to such fund as may be prescribed.
“Section 97 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
98. Protection of action taken in good faith.—No suit, prosecution or
other legal proceeding shall lie against the Presidents and members of
the District Commission, the State Commission and the National
Commission, the Chief Commissioner, the Commissioner, any officer or
employee and other person performing any duty under this Act, for any
act which is in good faith done or intended to be done in pursuance of
this Act or under any rule or order made thereunder.
“Section 98 enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
99. Power to give directions by Central Government.—(1) Without
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prejudice to the foregoing provisions of this Act, the Central Authority,

shall, in exercise of its powers or the performance of its functions under
this Act, be bound by such directions on questions of policy, as the
Central Government may give in writing to it from time to time:
Provided that the Central Authority shall, as far as practicable, be
given an opportunity to express its views before any direction is given
under this sub-section.
(2) The decision of the Central Government whether a question is
one of policy or not shall be final.
“Section 99 enforced w.e.f. 24-7-2020 vide Noti. No. S.O. 2421
(E), dt. 23-7-2020.”
100. Act not in derogation of any other law.—The provisions of this
Act shall be in addition to and not in derogation of the provisions of any
other law for the time being in force.
“Section 100 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
101. Power of Central Government to make rules.—(1) The Central
Government may, by notification, make rules for carrying out any of the
provisions contained in this Act.
(2) Without prejudice to the generality of the foregoing power, such
rules may provide for,—
(a) the other class or classes of persons including public utility
entities under clause (19) of Section 2;
(b) the contest, lottery, game of chance or skill which are to be
exempted under item (b) of sub-clause (iii) of clause (47) of
Section 2;
(c) the manner of issuing bill or cash memo or receipt for goods
sold or services rendered under sub-clause (vii) of clause (47)
of Section 2;
(d) the number of other official or non-official members of the
Central Council under clause (b) of sub-section (2) of Section
3;
(e) the time and place of meeting of Central Council and the
procedure for the transaction of its business under sub-section
(2) of Section 4;
(f) the number of Commissioners in the Central Authority under
sub-section (2) of Section 10;
“Clause (2) (f) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(g) the qualifications for appointment, method of recruitment,
procedure of appointment, term of office, salaries and
allowances, resignation, removal and other terms and
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conditions of service of the Chief Commissioner and other

Commissioners of the Central Authority under Section 11;
“Clause (2) (g) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(h) the salaries and allowances payable to, and the other terms
and conditions of service of, the officers and other employees of
the Central Authority under sub-section (2) of Section 13;
“Clause (2) (h) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(i) the qualifications for appointment of Director-General,
Additional Director-General, Director, Joint Director, Deputy
Director and Assistant Director and the manner of appointment
under sub-section (2) of Section 15;
“Clause (2) (i) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(j) the manner of taking copies or extracts of document, record or
article seized or produced before returning to the person under
sub-section (3) of Section 22;
“Clause (2) (j) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(k) the officer and the manner of disposing of articles which are
subject to speedy or natural decay under sub-section (4) of
Section 22;
“Clause (2) (k) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(l) the form and manner for preparing annual statement of
accounts by the Central Authority in consultation with the
Comptroller and Auditor-General of India under sub-section (1)
of Section 26;
“Clause (2) (l) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(m) the form in which, and the time within which, an annual
report, other reports and returns may be prepared by the
Central Authority under sub-section (1) of Section 27;
“Clause (2) (m) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(n) the qualifications for appointment, method of recruitment,
procedure for appointment, term of office, resignation and
removal of President and members of the District Commission
under Section 29;
(o) the other value of goods and services in respect of which the
District Commission shall have jurisdiction to entertain
complaints under proviso to sub-section (1) of Section 34;
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(p) the manner of electronically filing complaint under the proviso

to sub-section (1) of Section 35;
(q) the fee, electronic form and the manner of payment of fee for
filing complaint under sub-section (2) of Section 35;
(r) 18 [* * *]
(s) the manner of authentication of goods sampled in case of the
National Commission under clause (c) of sub-section (2) of
Section 38;
(t) any other matter which may be prescribed under clause (f) of
sub-section (9) of Section 38;
(u) the fund where the amount obtained may be credited and the
manner of utilisation of such amount under sub-section (2) of
Section 39;
(v) the form and the manner in which appeal may be preferred to
the State Commission under Section 41;
(w) the qualifications for appointment, method of recruitment,
procedure for appointment, term of office, resignation and
removal of the President and members of the State
Commission under Section 43;
(x) the other value of goods and services in respect of which the
State Commission shall have jurisdiction under the proviso to
sub-clause (i) of clause (a) of sub-section (1) of Section 47;
(y) the form and manner of filing appeal to the National
Commission, and the manner of depositing fifty per cent of the
amount before filing appeal, under sub-section (1) of Section
51;
(z) the number of members of the National Commission under
clause (b) of Section 54;
(za) the 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 under sub-section (1) of Section 55;
(zb) the salaries and allowances payable to, and other terms and
conditions of service of, the officers and other employees of the
National Commission under sub-section (3) of Section 57;
(zc) the other value of goods and services in respect of which the
National Commission shall have jurisdiction under the proviso
to sub-clause (i) of clause (a) of sub-section (1) of Section 58;
(zd) the manner of depositing fifty per cent of the amount under
the second proviso to Section 67;
(ze) the form in which the National Commission and the State
Commission shall furnish information to the Central
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Government under sub-section (4) of Section 70;

(zf) 19
[* * *]
(zg) the measures to be taken by the Central Government to
prevent unfair trade practices in e-commerce, direct selling
under Section 94;
“Clause (2) (zg) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(zh) the amount for compounding offences under sub-section (1)
of Section 96;
“Clause (2) (zh) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(zi) the fund to which the penalty and amount collected shall be
credited under Section 97; and
“Clause (2) (zi) enforced w.e.f. 24-7-2020 vide Noti. No. S.O.
2421(E), dt. 23-7-2020.”
(zj) any other matter which is to be, or may be, prescribed, or in
respect of which provisions are to be, or may be, made by
rules.
“Section 101 except Clauses (2) (f) to (m) and clauses (zg),
(zh) and (zi) enforced w.e.f. 20-7-2020 vide Noti. No. S.O. 2351
(E), dt. 15-7-2020.”
102. Power of State Government to make rules.—(1) The State
Governments may, by notification, make rules for carrying out the
provisions of this Act:
Provided that the Central Government may, frame model rules in
respect of all or any of the matters with respect to which the State
Government may make rules under this section, and where any such
model rules have been framed in respect of any such matter, they shall
apply to the State until the rules in respect of that matter is made by
the State Government and while making any such rules, so far as is
practicable, they shall conform to such model rules.
(2) In particular, and without prejudice to the generality of the
foregoing power, such rules may provide for all or any of the following
matters, namely—
(a) the other class or classes of persons including public utility
entities under clause (19) of Section 2;
(b) the contest, lottery, game of chance or skill which are to be
exempted under item (b) of sub-clause (iii) of clause (47) of
Section 2;
(c) the number of other official or non-official members of the
State Council under clause (b) of sub-section (2) of Section 6;
(d) the time and place of meeting of the State Council and the
procedure for the transaction of its business under sub-section
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(4) of Section 6;
(e) the number of other official and non-official members of
District Council under clause (b) of sub-section (2) of Section
8;
(f) the time and place of meeting of the District Council and
procedure for the transaction of its business under sub-section
(4) of Section 8;
(g) the number of members of the District Commission under
clause (b) of sub-section (2) of Section 28;
(h) the salaries and allowances payable to, and other terms and
conditions of service of, the President and members of the
District Commission under Section 30;
(i) the salaries and allowances payable to, and other terms and
conditions of service of, the officers and other employees of the
District Commission under sub-section (3) of Section 33;
(j) the manner of authentication of goods sampled by the State
Commission and the District Commission under clause (c) of
sub-section (2) of Section 38;
(k) the manner of depositing fifty per cent of the amount before
filing appeal under second proviso to Section 41;
(l) the number of members of the State Commission under sub-
section (3) of Section 42;
(m) the salaries and allowances payable to, and other terms and
conditions of service of, the President and members of the
State Commission under Section 44;
(n) the salaries and allowances payable to, and other terms and
conditions of service of, the officers and other employees of the
State Commission under sub-section (3) of Section 46;
(o) the form in which the State Commission shall furnish
information to the State Government under sub-section (5) of
Section 70;
(p) 20 [* * *]
(q) any other matter which is to be, or may be prescribed, or in
respect of which provisions are to be, or may be, made by
rules.
“Section 102 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
103. Power of National Commission to make regulations.—(1) The
National Commission may, with the previous approval of the Central
Government, by notification, make regulations not inconsistent with
this Act to provide for all matters for which provision is necessary or
expedient for the purpose of giving effect to the provisions of this Act.
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(2) In particular, and without prejudice to the generality of the

foregoing power, such regulations may make provisions for—
(a) the costs for adjournment to be imposed by the District
Commission under the second proviso to sub-section (7) of
Section 38;
(b) the costs for adjournment to be imposed by the State
Commission or the National Commission, as the case may be,
under the second proviso to Section 52;
(c) 21
[* * *]
(d) 22
[* * *]
(e) 23 [* * *]
(f) 24
[* * *]
(g) 25
[* * *]
(h) 26
[* * *]
(i) such other matter for which provision is to be, or may be,
made by regulation.
“Section 103 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
104. Power of Central Authority to make regulations.—(1) The
Central Authority may, with the previous approval of the Central
Government, by notification, make regulations not inconsistent with
this Act, for the purpose of giving effect to the provisions of this Act.
(2) In particular, and without prejudice to the generality of the
foregoing power, such regulations may provide for all or any of the
following matters, namely—
(a) the procedure for engaging experts and professionals and the
number of such experts and professionals under sub-section
(3) of Section 13;
(b) the procedure for transaction of business and the allocation of
business of the Chief Commissioner and Commissioner under
sub-section (1) of Section 14;
(c) the form, manner and time within which, inquiries or
investigation made by the Director-General shall be submitted
to the Central Authority under sub-section (5) of Section 15;
and
(d) such other matter for which provision is to be, or may be,
made by regulation.
“Section 104 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
105. Rules and regulations to be laid before each House of
Parliament.—(1) Every rule and every regulation made under this Act
shall be laid, as soon as may be after it is made, before each House of
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Parliament, while it is in session, for a total period of thirty days which

may be comprised in one session or in two or more successive sessions,
and if, before the expiry of the session immediately following the
session or the successive sessions aforesaid, both Houses agree in
making any modification in the rule or regulation or both Houses agree
that the rule or regulation shall thereafter have effect only in such
modified form or be of no effect, as the case may be; so, however, that
any such modification or annulment shall be without prejudice to the
validity of anything previously done under that rule or regulation.
(2) Every rule made by a State Government under this Act shall be
laid as soon as may be after it is made, before the State Legislature.
“Section 105 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
106. Power to remove difficulties.—If any difficulty arises in giving
effect to the provisions of this Act, the Central Government may, by
order in the Official Gazette, make such provisions not inconsistent with
the provisions of this Act as appear to it to be necessary or expedient
for removing the difficulty:
Provided that no such order shall be made after the expiry of a
period of two years from the commencement of this Act.
“Section 106 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
107. Repeal and savings.—(1) The Consumer Protection Act, 1986
(68 of 1986) is hereby repealed.
(2) Notwithstanding such repeal, anything done or any action taken
or purported to have been done or taken under the Act hereby repealed
shall, in so far as it is not inconsistent with the provisions of this Act,
be deemed to have been done or taken under the corresponding
provisions of this Act.
(3) The mention of particular matters in sub-section (2) shall not be
held to prejudice or affect the general application of Section 6 of the
General Clauses Act, 1897 (10 of 1897) with regard to the effect of
repeal.
“Section 107 enforced w.e.f. 20-7-2020 vide Noti. No. S.O.
2351(E), dt. 15-7-2020.”
► Pecuniary Jurisdiction.—Repeal of 1986 Act/Enhancement of pecuniary
jurisdiction of Consumer Forums by virtue of new enactment i.e. 2019 Act does
not affect pending proceedings. Proceedings instituted before the commencement
of the 2019 Act, held, shall continue before the Consumer Forums corresponding
to those under the 1986 Act, Neena Aneja v. Jai Prakash Associates Ltd., (2022)
2 SCC 161.
———
1. Received the assent of the President on August 9, 2019 and published in the Gazette of
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India, Extra., Part II, Section 1, dated 9th August, 2019, pp. 1-40, No. 54

* Now applicable to the Union Territory of Jammu and Kashmir and the Union Territory of
Ladakh. [Vide S.O. 3912(E), dated 30-10-2019 (w.e.f. 30-10-2019)]

2.
Omitted by Act 32 of 2023, S. 65 and Sch. X(a) (w.e.f. the date to be notified). Prior to
omission it read as:
‘(25) “mediation” means the process by which a mediator mediates the consumer
disputes;’

3.
Omitted by Act 32 of 2023, S. 65 and Sch. X(a) (w.e.f. the date to be notified). Prior to
omission it read as:
‘(26) “mediator” means a mediator referred to in Section 75;’

4. Subs. for Section 37 by Act 32 of 2023, S. 65 and Sch. X(b) (w.e.f. the date to be
notified). Prior to substitution it read as:
“37. Reference to mediation.—(1) At the first hearing of the complaint after its
admission, or at any later stage, if it appears to the District Commission that there exists
elements of a settlement which may be acceptable to the parties, except in such cases
as may be prescribed, it may direct the parties to give in writing, within five days,
consent to have their dispute settled by mediation in accordance with the provisions of
Chapter V.
(2) Where the parties agree for settlement by mediation and give their consent in
writing, the District Commission shall, within five days of receipt of such consent, refer
the matter for mediation, and in such case, the provisions of Chapter V, relating to
mediation, shall apply.”

5. The words “or in respect of cases referred for mediation on failure of settlement by
mediation,” omitted by Act 32 of 2023, S. 65 and Sch. X(c ) (w.e.f. the date to be notified).

6. Corrected by Corrigendum, dt. 24-4-2020 [Vide Gaz. Sl. No. 27, Pt. II, Section 1, dt. 24-4-
2020, p. 1].

7. Omitted by Act 32 of 2023, S. 65 and Sch. X(d) (w.e.f. the date to be notified). Prior to
omission it read as:
“Provided also that no appeal shall lie from any order passed under sub-section (1) of
Section 81 by the District Commission pursuant to a settlement by mediation under
Section 80.”

8.
Ins. by Act 33 of 2021, S. 30 (w.r.e.f. 4-4-2021).

9. Chapter V — MEDIATION containing Sections 74 to 81 omitted by Act 32 of 2023, S. 65

and Sch. X(e) (w.e.f. the date to be notified).

10. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“74. Establishment of consumer mediation cell.—(1) The State Government shall
establish, by notification, a consumer mediation cell to be attached to each of the
District Commissions and the State Commissions of that State.
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(2) The Central Government shall establish, by notification, a consumer mediation cell to
be attached to the National Commission and each of the regional Benches.
(3) A consumer mediation cell shall consist of such persons as may be prescribed.
(4) Every consumer mediation cell shall maintain—

(a) a list of empanelled mediators;

(b) a list of cases handled by the cell;

(c ) record of proceeding; and

(d) any other information as may be specified by regulations.”

(5) Every consumer mediation cell shall submit a quarterly report to the District
Commission, State Commission or the National Commission to which it is attached, in the
manner specified by regulations.”

11. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“75. Empanelment of mediators.—(1) For the purpose of mediation, the National
Commission or the State Commission or the District Commission, as the case may be, shall
prepare a panel of the mediators to be maintained by the consumer mediation cell
attached to it, on the recommendation of a selection committee consisting of the
President and a member of that Commission.
(2) The qualifications and experience required for empanelment as mediator, the
procedure for empanelment, the manner of training empanelled mediators, the fee payable
to empanelled mediator, the terms and conditions for empanelment, the code of conduct
for empanelled mediators, the grounds on which, and the manner in which, empanelled
mediators shall be removed or empanelment shall be cancelled and other matters relating
thereto, shall be such as may be specified by regulations.
(3) The panel of mediators prepared under sub-section (1) shall be valid for a period of
five years, and the empanelled mediators shall be eligible to be considered for re-
empanelment for another term, subject to such conditions as may be specified by
regulations.”

12. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“76. Nomination of mediators from panel.—The District Commission, the State
Commission or the National Commission shall, while nominating any person from the panel
of mediators referred to in Section 75, consider his suitability for resolving the consumer
dispute involved.”

13. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“77. Duty of mediator to disclose certain facts.—It shall be the duty of the mediator to
disclose—

(a) any personal, professional or financial interest in the outcome of the consumer
dispute;
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(b) the circumstances which may give rise to a justifiable doubt as to his independence or
impartiality; and

(c ) such other facts as may be specified by regulations.”

14. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“78. Replacement of mediator in certain cases.—Where the District Commission or the
State Commission or the National Commission, as the case may be, is satisfied, on the
information furnished by the mediator or on the information received from any other
person including parties to the complaint and after hearing the mediator, it shall replace
such mediator by another mediator.”

15.
Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“79. Procedure for mediation.—(1) The mediation shall be held in the consumer
mediation cell attached to the District Commission, the State Commission or the National
Commission, as the case may be.
(2) Where a consumer dispute is referred for mediation by the District Commission or the
State Commission or the National Commission, as the case may be, the mediator
nominated by such Commission shall have regard to the rights and obligations of the
parties, the usages of trade, if any, the circumstances giving rise to the consumer
dispute and such other relevant factors, as he may deem necessary and shall be guided
by the principles of natural justice while carrying out mediation.
(3) The mediator so nominated shall conduct mediation within such time and in such
manner as may be specified by regulations.”

16. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“80. Settlement through mediation.—(1) Pursuant to mediation, if an agreement is
reached between the parties with respect to all of the issues involved in the consumer
dispute or with respect to only some of the issues, the terms of such agreement shall be
reduced to writing accordingly, and signed by the parties to such dispute or their
authorised representatives.
(2) The mediator shall prepare a settlement report of the settlement and forward the
signed agreement along with such report to the concerned Commission.
(3) Where no agreement is reached between the parties within the specified time or the
mediator is of the opinion that settlement is not possible, he shall prepare his report
accordingly and submit the same to the concerned Commission.”

17. Omitted by Act 32 of 2023, S. 65 and Sch. X(e) (w.e.f. the date to be notified). Prior to
omission it read as:
“81. Recording settlement and passing of order.—(1) The District Commission or the
State Commission or the National Commission, as the case may be, shall, within seven
days of the receipt of the settlement report, pass suitable order recording such
settlement of consumer dispute and dispose of the matter accordingly.
(2) Where the consumer dispute is settled only in part, the District Commission or the
State Commission or the National Commission, as the case may be, shall record
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settlement of the issues which have been so settled and continue to hear other issues
involved in such consumer dispute.
(3) Where the consumer dispute could not be settled by mediation, the District
Commission or the State Commission or the National Commission, as the case may be,
shall continue to hear all the issues involved in such consumer dispute.”

18. Omitted by Act 32 of 2023, S. 65 and Sch. X(f)(i) (w.e.f. the date to be notified). Prior to
omission it read as:
“(r) the cases which may not be referred for settlement by mediation under sub-section
(1) of Section 37;”

19. Omitted by Act 32 of 2023, S. 65 and Sch. X(f)(ii) (w.e.f. the date to be notified). Prior to
omission it read as:
“(zf) the persons in the consumer mediation cell under sub-section (3) of Section 74;”

20. Omitted by Act 32 of 2023, S. 65 and Sch. X(g) (w.e.f. the date to be notified). Prior to
omission it read as:
“(p) the persons in the consumer mediation cell under sub-section (3) of Section 74;”

21.
Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
omission it read as:
“(c ) the maintenance of any other information by the consumer mediation cell under sub
-section (4) of Section 74;”

22. Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
omission it read as:
“(d) the manner of submission of quarterly report by consumer mediation cell to the
District Commission, the State Commission or the National Commission under sub-section
(5) of Section 74;”

23. Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
omission it read as:
“(e) the qualifications and experience required for empanelment as mediator, the
procedure for empanelment, the manner of training empanelled mediators, the fee payable
to empanelled mediator, the terms and conditions for empanelment, the code of conduct
for empanelled mediators, the grounds on which, and the manner in which, empanelled
mediators shall be removed or empanelment shall be cancelled and the other matters
relating thereto under sub-section (2) of Section 75;”

24. Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
omission it read as:
“(f) the conditions for re-empanelment of mediators for another term under sub-section
(3) of Section 75;”

25. Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
omission it read as:
“(g) the other facts to be disclosed by mediators under clause (c ) of Section 77;”

26.
Omitted by Act 32 of 2023, S. 65 and Sch. X(h) (w.e.f. the date to be notified). Prior to
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omission it read as:

“(h) the time within which, and the manner in which, mediation may be conducted under
sub-section (3) of Section 79; and”

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