The Consumer Protection Act 2019 was notified on August 9th 2019. However, it came into effect from July 20th 2020. 

While retaining certain old provisions, the New Act has certain new provisions that tightens the existing rules to further safeguard consumer rights and create exhaustive consumer protection law. 

New provisions under Consumer Protection Act 2019 

• Inclusion of E- commerce, Direct selling 
• Establishment of Central Consumer Protection Authority (CCPA)
• Strict Norms for Misleading Advertisement
• Strict Norms for product liability
• Changes in the Pecuniary Jurisdiction 
• Greater ease to dispute resolution
• Addition in the clause of “Unfair Trade Practice”:
• Unfair Contract
• Alternate Dispute Resolution through mediation 

A person who buys any goods or services for a consideration, which has been paid or promised or partly paid and partly promised, or under any system of deferred payment also includes the user with approval of such goods or beneficiary of services. 

As per Consumer Protection Act 2019, the expression “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. 

A person who obtains; 

• goods free of charge 
• who avails services free of charge 
• who obtains goods for resale or for any commercial purposes 
• who avails services for any commercial purposes 
• who avails services under contract of service 

As per the provisions of the Act, commercial purpose does not include use by a person of goods bought and used by him exclusively for the purposes of earning his livelihood by means of self-employment.

Consumer is having the following six consumer rights under the Act 

• Right to Safety 
• Right to be Informed
• Right to Choose 
• Right to be heard 
• Right to seek Redressal
• Right to Consumer Awareness

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;

a consumer; or
any voluntary consumer association registered under any law for the time being in force; or
the Central Government or any State Government; or
the Central Authority; or
one or more consumers, where there are numerous consumers having the same interest; oin case of death of a consumer, his legal heir or legal representative; or
in case of a consumer being a minor, his parent or legal guardian;

No.

These are quasi-judicial bodies established under the Act to provide simple, speedy and inexpensive redressal to the grievances of the consumers. These have been established at three levels: District, State and National known as:

• District Consumer Disputes Redressal Commission or District Commission
• State Consumer Disputes Redressal Commission or State Commission
• National Consumer Disputes Redressal Commission or National Commission.

A complaint shall be instituted in a District Commission within the local limits of whose jurisdiction the: 

• Place of business or residence of opposite parties, or
• Place of business or residence of complainant, or
• where the cause of action, wholly or in part, arises

“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 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;

Manufacturers, advertising agencies, celebrity endorsers and publishers can be made liable.

E commerce under CP Act 2019 means buying or selling of goods or services Including digital products over digital or electronic network.

“e-commerce entity” means any person who owns, operates or manages digital or electronic facility or platform for electronic commerce, but does not include a seller offering his goods or services for sale on a marketplace e-commerce entity;

The New Act provides power to Central Government to establish Central Consumer Protection Authority (CCPA) 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 Consumer and to promote, protect and enforce the rights of Consumer as a Class.

The Central Authority shall consist of a Chief Commissioner and such number of other Commissioner to be appointed by the Central Government. 

Yes, the Central Authority shall have an Investigation Wing headed by a Director General for the purpose of conducting inquiry or investigation.

The Central Authority shall protect, promote and enforce the rights of the consumers as a class, and prevent violation of Consumers Rights under the Act. 

Yes, the Central Authority may inquire or cause an inquiry or investigation to be made into violations of Consumer Rights, either Suo motu or on a complaint received or on the directions from the Central Government.

Yes, the Central Authority can file complaints before the District Commission, the State Commission or the National Commission as the case may be.

A person aggrieved by any order passed by the Central Authority may file an appeal to the National Commission within a period of thirty days from the date of receipt of such order.

It 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; 

It 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; 

No, damage of the product itself cannot be the base for product liability compensation.

Manufacturer or a product service provider or a product seller

The complaint shall be filed within two years from the date on which the cause of action has arisen. This would mean two years from the day the deficiency in service or defect in goods has arisen/detected. This is also known as the limitation period for filing the complaint. 

Every complaint filed before District Commission/ State Commission/ National Commission shall be accompanied by a fee as specified, in the form of crossed Demand Draft drawn on a nationalized bank or through a crossed Indian Postal Order drawn in favour of the Registrar of the State Commission and payable at the respective place where the State Commission or the National Commission is situated. The concerned District Commission shall deposit the amount so received.