The Consumer Protection Act, 1986

After including the amendments made vide the Consumer Protection (Amendment)
Act, 2002 [62 of 2002] which was passed by Rajya Sabha on 11.4.2002, Lok Sabha on
30.7.2002{with some amendments} and again by Rajya Sabha on 22.11.2002 and the
President of India gave assent on 17. 12.2002 and the notification was issue on
[Link] provisions of the Act are being brought into force w.e.f. 15.3.2003.
Amendments are shown in bold & italic form The Consumer Protection Act, 1986
(68 of 1986)

CHAPTER I - PRELIMINARY
CHAPTER II - CONSUMER PROTECTION COUNCILS
CHAPTER III - CONSUMER DISPUTES REDRESSAL AGENCIES
CHAPTER IV - MISCELLANEOUS
CHAPTER I - PRELIMINARY
(After including the amendments made vide the Consumer Protection (Amendment) Act,
2002 [62 of 2002] which was passed by Rajya Sabha on 11.4.2002, Lok Sabha on
30.7.2002{with some amendments} and again by Rajya Sabha on 22.11.2002 and the
President of India gave assent on  17. 12.2002 and the notification was issue on
[Link] provisions of the Act are being brought into force w.e.f. 15.3.2003.
Amendments are shown in bold & italic form
 
The Consumer Protection Act, 1986
( 68 of 1986)
24th December; 1986
           
An Act to provide for better protection of the interests of consumers and for that purpose
to make provision for the establishment of consumer councils and other authorities for the
settlement of consumers' disputes and for matters connected therewith.
 
BE it enacted by Parliament in the Thirty-seventh Year of the Republic of India as
follows:—
 
PRELIMINARY
CONSUMER PROTECTION COUNCILS
CONSUMER DISPUTES REDRESSAL AGENCIES
MISCELLANEOUS
 
CHAPTER I
 PRELIMINARY
1. Short title, extent, commencement and application.—(1 ) This Act may be called
the Consumer Protection Act, 1986.
(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.
 (4) Save as otherwise expressly provided by the Central Government by notification, this
Act shall apply to all goods and services.
 
2. Definitions.—(1 ) In this Act, unless the context otherwise requires,—
(a) 'appropriate laboratory' means a laboratory or organisation—
(i.)  recognised by the Central Government;
 (ii.) recognised by a State Government, subject to such guidelines as may be prescribed
by the Central Government in this behalf; or
 (iii)  any such laboratory or organisation 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;
 (aa) 'branch office' means—
(i)  any establishment described as a branch by the opposite party;  or
(ii)  any establishment carrying on either the same or substantially the same activity as
that carried on by the head office of the establishment;
(b) 'complainant' means—
(i)  a consumer; or
(ii) any voluntary consumer association registered under the Companies Act, 1956 (1of
1956)or under any other law for the time being in force; or
 (iii) the Central Government or any State Government,
 (iv) one or more consumers, where there are numerous consumers having the same
interest;
 (v)  in case of death of a consumer, his legal heir or representative;
 
who or which makes a complaint;
 
(c) 'complaint' means any allegation in writing made by a complainant that—
 
(i) an 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
deficiency in any respect;
 
(iv) a trader or service provider, as the case may be,  has charged for the goods or for
the service mentioned in the complaint a price in excess of the price –
 
(a)fixed by or under any law for the time being in force
 
(b)displayed on the goods or any package containing such goods ;
 
(c) displayed on the price list exhibited by him by or under any law for the time being in
force;
 
(d) agreed between the parties;
 
(v) goods which will be hazardous to life and safety when used or being offered for sale
to the public,--
 
(A)  in contravention of any 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)  if the trader could have known with due diligence that the goods so offered are
unsafe to the public;
(vi)  services which are hazardous or likely to be hazardous to life and safety of the
public when used, are being offered by the service provider which such person could
have known with due diligence to be injurious to life and safety;”;
(d) '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 services 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 services 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 services for any
commercial purposes;
Explanation.—For the purposes of this clause, “commercial purpose” does not include
use by a person of goods bought and used by him and services availed by him exclusively
for the purposes of earning his livelihood by means of self-employment;
 
(e) 'consumer dispute' means a dispute where the person against whom a complaint has
been made, denies or disputes the allegations contained in the complaint.
 
(f) '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 under any contract, express or implied or as is claimed by the trader in any
manner whatsoever in relation to any goods;
 
(g) '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;
 
(h)  'District Forum'  means  a  Consumer  Disputes  Redressal Forum established under
clause (a) of section 9;
 
(i.) 'goods' means goods as defined in the Sale of Goods Act, 1930;
(j) “manufacturer” means a person who—
(i) makes or manufactures any goods or part thereof; or
(ii) does not make or manufacture any goods but assembles parts thereof made or
manufactured by others; or
(iii) puts or causes to be put his own mark on any goods made or manufactured by any
other manufacturer;
 
Explanation.—Where a manufacturer despatches any goods or part thereof to any branch
office maintained by him, such branch office shall not be deemed to be the manufacturer
even though the parts so despatched to it are assembled at such branch office and are sold
or distributed from such branch office; 
 
(jj) 'member' includes the President and a member of the National Commission or a State
Commission or a District Forum, as the case may be;
(k) 'National Commission' means the National Consumer Disputes Redressal Commission
established under clause (c) of section 9;
( l ) 'notification' means a notification published in the Official Gazette;
(m) 'person' includes,—
(i) a firm whether registered or not;
(ii) a Hindu undivided family;
(iii) a co-operative society;
(iv) every other association of persons whether registered under the Societies R(21 of
1860) or not;
(n) 'prescribed' means prescribed by rules made by the State Government, or as the case
may be, by the Central Government under this Act;
(nn) “regulation” means the regulations made by the National Commission under this
Act;
(nnn) “restrictive trade practice” means a trade practice which tends to bring about
manipulation of price or 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—
(a) 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;
(b) 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 to buying, hiring or availing of other
goods or services;
(o) '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, board 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;
 
(oo) “spurious goods and services” mean such goods and services which are claimed to
be genuine but they are actually not so;
 
(p) 'State Commission' means a Consumer Disputes Redressal Commission established in
a State under clause (b) of section 9;
(q) '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;
(r) '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;
—
(1) the practice of making any statement, whether orally or in writing or by visible
representation which,—
(i)  falsely represents that the goods are of a particular standard, quality, quantity, grade,
composition, style or model;
(ii)  falsely represents that the services are of a particular standard, quality or grade;
(iii) falsely represents any re-built, second-hand, renovated, reconditioned or old goods as
new goods;
(iv)  represents that the goods or services have sponsorship, approval, performance,
characteristics, accessories, uses or benefits which such goods or services do not have;
(v)  represents that the seller or the supplier has a sponsorship or approval or affiliation
which such seller or supplier does not have;
(vi) makes a false or misleading representation concerning the need for, or the usefulness
of, any goods or services;
(vii) 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;
(viii)makes to the public a representation in a form that purports to be—
(i)  a warranty or guarantee of a product or of any goods or services; or
(ii)  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;
(ix) 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;
(x) gives false or misleading facts disparaging the goods, services or trade of another
person.
 
Explanation.—For the purposes of clause (1), 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;
(2) permits the publication of any advertisement whether in any newspaper or otherwise,
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 clause (2), 'bargaining 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;
 
(3) permits—
(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;
 
(3A) withholding  from the participants of any scheme offering gifts, prizes or other
items free of charge, on its closure the information about final results of the scheme.
Explanation.—For the purposes 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 newspapers in which
the scheme was originally advertised;
(4) permits 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 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;
(5) permits the hoarding or destruction of goods, or refuses 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.
(6) manufacture of spurious goods or offering such goods for sale or adopts  deceptive
practices in the provision of services.
(2) Any reference in this Act to any other Act or provision thereof which is not in force in
any area to which this Act applies shall be construed to have a reference to the
corresponding Act or provision thereof in force in such area. 
3. 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.

CHAPTER II - CONSUMER PROTECTION COUNCILS

CHAPTER II
 
CONSUMER PROTECTION COUNCILS
 
4. The Central Consumer Protection Council.—(1) The Central Government shall, by
notification, establish with effect from such date as it may specify in such notification, a
Council to be known as the Central Consumer Protection Council (hereinafter referred to
as the Central Council).
 
(2) The Central Council shall consist of the following members, namely:—
(a) the Minister in charge of the consumer affairs in the Central Government, who shall
be its Chairman, and
(b) such number of other official or non-official members representing such interests as
may be prescribed.
 
5. Procedure for meetings of the 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 Chairman may think fit
and shall observe such procedure in regard to the transaction of its business as may be
prescribed.
 
6. Objects of the Central Council.—The objects of the Central Council shall be to
promote and protect the rights of the consumers such as,—
 
(a) the right to be protected against the marketing of goods and services which are
hazardous to life and property;
(b) the right to be informed about the quality, quantity, potency, purity, standard and price
of goods or services, as the case may be so as to protect the consumer against unfair trade
practices;
(c) the right to be assured, wherever possible, access to a variety of goods and services at
competitive prices;
(d) the right to be heard and to be assured that consumer's interests will receive due
consideration at appropriate forums;
(e) the right to seek redressal against unfair trade practices or restrictive trade practices or
unscrupulous exploitation of consumers; and
(f) the right to consumer education.
 
7. The State Consumer Protection Councils.--( l ) The State Government shall, by
notification, establish with effect from such date as it may specify in such notification, a
Council to be known as the Consumer Protection Council for..................... (hereinafter
referred to as the State Council).
 
(2) The State Council shall consist of the following members, namely:—
(a) the Minister incharge of consumer affairs in the State Government who shall be its
Chairman;
(b) such number of other official or non-official members representing such interests as
may be prescribed by the State Government.
(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 Chairman may think fit and
shall observe such procedure in regard to the transaction of its business as may be
prescribed by the State Government.
 
8. Objects of the State Council.—The objects of every State Council shall be to promote
and protect within the State the rights of the consumers laid down in clauses (a) to (f) of
section 6.
 
8A. (1) The State Government shall establish for every district, by notification, a
council to be known as the District Consumer Protection Council with effect from such
date as it may specify in such notification.
(2) The District Consumer Protection Council (hereinafter referred to as the District
Council) shall consist of the following members, namely:—
(a) the Collector of the district (by whatever name called), who shall be its Chairman;
and
(b) such number of other official and non-official members representing such interests
as may be prescribed by the State Government.
(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
Chairman may think fit and shall observe such procedure in regard to the transaction
of its business as may be prescribed by the State Government.
 
8B. The objects of every District Council shall be to promote and protect within the
district the rights of the consumers laid down in clauses (a) to (f) of section 6.

CHAPTER III - CONSUMER DISPUTES REDRESSAL AGENCIES

CHAPTER III
 
CONSUMER DISPUTES REDRESSAL AGENCIES
 
9. Establishment of Consumer Disputes Redressal Agencies. There shall be established
for the purposes of this Act, the following agencies, namely:—
(a) a Consumer Disputes Redressal Forum to be known as the 'District Forum' established
by the State Government in each district of the State by notification:
 
      Provided that the State Government may, if it deems fit, establish more than one
District Forum in a district.
(b) a Consumer Disputes Redressal Commission to be known as the 'State Commission'
established by the State Government in the State by notification; and
(c) a National Consumer Disputes Redressal Commission established by the Central
Government by notification.
 
10. Composition of the District Forum.—(1) Each District Forum shall consist of,—
 
(a)    a person who is, or  has been, or is qualified to be a District Judge, who shall be its
President;
 
(b) two other members, one of whom shall be a woman, who shall have the following
qualifications, namely:—
(i)  be not less than thirty-five years of age,
(ii)  possess a bachelor's degree from a recognised university,
(iii)  be persons of ability, integrity and standing, and have adequate knowledge and
experience of at least ten years in dealing with problems relating to economics, law,
commerce, accountancy, industry, public affairs or administration:
Provided that a person shall be disqualified for appointment as a member if he—
(a)  has been convicted and sentenced to imprisonment for an offence which, in the
opinion of the state Government involves moral turpitude; or
(b)  is an undischarged insolvent; or
(c)  is of unsound mind and stands so declared by a competent court; or
(d)  has been removed or dismissed from the service of the Government or a body
corporate owned or controlled by the Government; or
(e)  has, in the opinion of the state Government, such financial or other interest as is
likely to affect prejudicially the discharge by him of his functions as a member; or
(f)  has such other disqualifications as may be prescribed by the State Government;
    (1A) Every appointment under sub-section (I) shall be made by the State Government
on the recommendation of a selection committee consisting of the following, namely:—
(i)   the President of the State Commission                    —Chairman.
(ii)  Secretary, Law Department of the State                  —Member.
(iii) Secretary incharge of the Department dealing with
      consumer affairs in the State                                   —Member.
Provided that where the President of the State Commission is, by reason of absence or
otherwise, unable to act as Chairman of the Selection Committee, the State
Government may refer the matter to the Chief Justice of the High Court for
nominating a sitting Judge of that High Court to act as Chairman.
 
    (2) Every member of the District Forum shall hold office for a term of five years or
up to the age of sixty-five years, whichever is earlier:
Provided that a member shall be eligible for re-appointment for another term of five
years or up to the age of sixty-five years, whichever is earlier, subject to the condition
that he fulfills the qualifications and other conditions for appointment mentioned in
clause (b) of sub-section (1) and such re-appointment is also made on the basis of the
recommendation of the Selection Committee:
  Provided further that a member may resign his office in writing under his hand
addressed to the State Government and on such resignation being accepted, his office
shall become vacant and may be filled by appointment of a person possessing any of
the qualifications mentioned in sub-section (1) in relation to the category of the
member who is required to be appointed under the provisions of sub-section (1A) in
place of the person who has resigned:
 
      Provided also that a person appointed as the President or as a member, before the
commencement of the Consumer Protection (Amendment) Act, 2002, shall continue to
hold such office as President or member, as the case may be, till the completion of his
term.
 
   (3) The salary or honorarium and other allowances payable to, and the other terms and
conditions of service of the members of the District Forum shall be such as may be
prescribed by the State Government.
 
       Provided that the appointment of a member on whole-time basis shall be made by
the State Government on the recommendation of the President of the State Commission
taking into consideration such factors as may be prescribed including the work load of
the District Forum.
 
      11. Jurisdiction of the District Forum.—(1) Subject to the other provisions of this
Act, the District Forum shall have jurisdiction to entertain complaints where the value of
the goods or services and the compensation, if any, claimed ''does not exceed rupees
twenty  lakhs.
 
    (2) A complaint shall be instituted in a District Forum 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, actually and voluntarily 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 either the
permission of the District Forum is given, or the opposite parties who do not reside, or
carry on business or have a branch office, or personally work for gain, as the case may be,
acquiesce in such institution; or
(c) the cause of action, wholly or in part, arises.
 
      12. 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 Forum by –
(a)   the consumer to whom such goods are sold or delivered or agreed to be sold or
delivered or such service provided or agreed to be provided;
(b)    any recognised consumer association whether the consumer to whom the goods
sold or delivered or agreed to be sold or delivered or service provided or agreed to be
provided 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 Forum, on behalf of, or for the benefit of,
all consumers so interested; or
(d)  the Central Government or the State  Government, as the case may be,  either in
its individual capacity or as a representative of interests of the consumers in general.
 
                (2) Every complaint filed under sub-section (1) shall be accompanied with
such amount of fee and payable in such manner as may be prescribed.
 
                (3)         On receipt of a complaint made under sub-section (1),  the District
Forum may, by order, allow the complaint to be proceeded with or rejected:
 
                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 ordinarily be
decided within twenty-one days from the date on which the complaint was received.
 
(4)          Where a complaint is allowed to be proceeded  with under sub-section (3), the
District Forum may proceed with the complaint in the manner provided under this Act:
               
Provided that where a complaint has been admitted by the District Forum, it shall not
be transferred to any other court or tribunal or any authority set up by or under any
other law for the time being in force.
 
Explanation.-  For the purpose of this section “recognised consumer association”
means any voluntary consumer  association registered under the Companies Act, 1956
or any other law for the time being in force”.
 
 
         13. Procedure on admission of complaint.—(1) The District Forum shall, on
admission  of a complaint, if it relates to any goods,—
(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 the District Forum;
(b) where 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 Forum, the District
Forum shall proceed to settle the consumer dispute in the manner specified in clauses (c)
to (g);
(c) where the complaint alleges a defect in the goods which cannot be determined without
proper analysis or test of the goods, the District Forum shall obtain a sample of the goods
from the complainant, seal it and authenticate it in the manner prescribed and refer the
sample so sealed to the appropriate laboratory along with a direction that such laboratory
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 Forum within a period of fifty-five days of the
receipt of the reference or within such extended period as may be granted by the District
Forum;
(d)  before any sample of the goods is referred to any appropriate laboratory under clause
(c), the District Forum may require the complainant to deposit to the credit of the Forum
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) the District Forum shall 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, the District Forum shall
forward a copy of the report along with such remarks as the District Forum 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, the District Forum shall require the opposite party or the
complainant to submit in writing his objections in regard to the report made by the
appropriate laboratory;
(g) the District Forum shall thereafter 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 also as to the objection made in relation thereto
under clause (/) and issue an appropriate order under section 14.
 
     (2) the District Forum shall, if the complaint admitted  by it under section 12 relates
to goods in respect of which the procedure specified in sub-section (1) 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 Forum;
(b) where 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 Forum, the
District Forum shall proceed to settle the consumer dispute,—
(i) on the basis of evidence brought to its notice by the complainant and the opposite
party, where 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 Forum.
(c) where the complainant fails to appear on the date of hearing before the District
Forum, the District Forum may either dismiss the complaint for default or decide it on
merits.
 
    (3) No proceedings complying with the procedure laid down in subsections (1 ) and (2)
shall be called in question in any court on the ground that the principles of natural justice
have not been complied with.
 
  (3A) Every complaint shall be heard 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 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 be ordinarily granted by the District Forum unless
sufficient cause is shown and the reasons for grant of adjournment have been recorded
in writing by the Forum:
Provided further that the District Forum shall make such orders as to the costs
occasioned by the adjournment as may be provided in the regulations made under this
Act.
Provided also that in the event of a complaint  being disposed of after the period so
specified, the District Forum shall record in writing, the reasons for the same at the
time of disposing of the said complaint.
     
          (3B) Where during the pendency of any proceeding before the District Forum, it
appears to it necessary, it may pass such interim order as is just and proper in the facts
and circumstances of the case.
 
    (4) For the purposes of this section, the District Forum shall have the same powers as
are vested in a civil court under Code of Civil Procedure, 1908 while trying a suit in
respect of the following matters, namely:—
(i) the summoning and enforcing the attendance of any defendant or witness and
examining the witness on oath;
(ii) the discovery and production of any document or other material object producible as
evidence;
(iii) the reception of evidence on affidavits;
(iv) the requisitioning of the report of the concerned analysis or test from the appropriate
laboratory or from any other relevant source;
(v) issuing  of any commission for the examination of any witness, an
(vi) any other matter which may be prescribed.
 
    (5) Every proceeding before the District Forum shall be deemed to be a judicial
proceeding within the meaning of sections 193 and 228 of the Indian Code (45 of 1860),
and the District Forum shall be deemed to be a civil court for the purposes of section 195,
and Chapter XXVI of the Code of Criminal Procedure, 1973 (2 of 1974).
 
   (6)  Where the complainant is a consumer referred to in sub-clause (iv) of clause (b) of
sub-section (1) of section 2, the provisions of rule 8 of Order I 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 Forum thereon.
 
    (7) 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 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.
 
14. Finding of the District Forum.—(1) If, after the proceeding conducted under section
13, the District Forum 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 are proved, it shall issue an order to the opposite party
directing him to do one or more of the following things, 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;
(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 Forum shall have the power to grant punitive damages in
such circumstances as it deems fit;
(e) to remove the defects in goods or deficiencies in the services in question;
(f) to discontinue the unfair trade practice or the restrictive trade practice or not to repeat
it;
(g) not to offer the hazardous goods for sale;
(h) to withdraw the hazardous goods from being offered for sale;
(ha) to cease manufacture of hazardous goods and to desist from offering services
which are hazardous in nature;
(hb) 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 be less than five per
cent. of the value of such defective goods sold or service provided, as the case may be,
to such consumers:
Provided further that the amount so obtained shall be credited in favour of such person
and utilized in such manner as may be prescribed;
(hc) to issue corrective advertisement to neutralize the effect of misleading
advertisement at the cost of the opposite party responsible for issuing such misleading
advertisement;
(i) to provide for adequate costs to parties.
 
    (2) Every proceeding referred to in sub-section (1) shall be conducted by the President
of the District Forum and at least 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.
 
(2A) Every order made by the District Forum under sub-section (1) shall be signed by its
President and the member or members who conducted the proceeding:
 
            Provided that where the proceeding is conducted by the President and one member
and they differ on any point or points, they shall state the point or points on which they
differ and refer the same to the other member for hearing on such point or points and the
opinion of the majority shall be the order of the District Forum.
 
    (3) Subject to the foregoing provisions, the procedure relating to the conduct of the
meetings of the District Forum, its sittings and other matters shall be such as may be
prescribed by the State Government.
 
   15. Appeal.—Any person aggrieved by an order made by the District Forum may prefer
an appeal against such order to the State 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 State Commission 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 finding 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 Forum, shall be entertained by the State Commission
unless the appellant has deposited in the prescribed manner fifty per cent. of that
amount or twenty-five thousand rupees, whichever is less:
 
   16. Composition of the State Commission.—(1) Each State Commission shall consist
of—
 
(a) a person who is or has been a Judge of a High Court, appointed by the State
Government, who shall be its President:
 
     Provided that no appointment under this clause shall be made except after consultation
with the Chief Justice of the High Court;
(b)   not less than two, and not more than such number of members, as may be
prescribed, and one of whom shall be a woman, who shall have the following
qualifications, namely:—
  (i) be not less than thirty-five years of age;
  (ii) possess a bachelor's degree from a recognised university; and
  (iii) be persons of ability, integrity and standing, and have adequate knowledge and
experience of at least ten years in dealing with problems relating to economics, law,
commerce, accountancy, industry, public affairs or administration:
  Provided that not more than fifty per cent. of the members shall be from amongst
persons having a judicial background.
  Explanation.—For the purposes of this clause, the expression 'persons having judicial
background'' shall mean persons having knowledge and experience for at least a
period of ten years as a presiding officer at the district level court or any tribunal at
equivalent level:
  Provided further that a person shall be disqualified for appointment as a member if he
—
  (a) has been convicted and sentenced to imprisonment for an offence which, in the
opinion of the State Government, involves moral turpitude; or
  (b) is an undischarged insolvent; or
  (c) is of unsound mind and stands so declared by a competent
court; or
  (d) has been removed or dismissed from the service of the Government or a body
corporate owned or controlled by the Government; or
  (e) has, in the opinion of the State Government, such financial or other interest, as is
likely to affect prejudicially the discharge by him of his functions as a member; or
  (f) has such other disqualifications as may be prescribed by the State Government.
(1A) Every appointment under sub-section (1) shall be made by the State Government
on the recommendation of a Selection Committee consisting of the following members,
namely:—
  (i) President of the State Commission........... Chairman;
  (ii) Secretary of the Law Department of the State Member;
  (iii) Secretary incharge of the Department dealing
     with Consumer Affairs in the State............... Member:
  Provided that where the President of the State Commission is, by reason of absence or
otherwise, unable to act as Chairman of the Selection Committee, the State
Government may refer the matter to the Chief Justice of the High Court for
nominating a sitting Judge of that High Court to act as Chairman.
  (1B) (i) The jurisdiction, powers and authority of the State Commission may be
exercised by Benches thereof.
(ii) A Bench may be constituted by the President with one or more members as the
President may deem fit.
  (iii) If 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 or 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.
    (2) The salary or honorarium and other allowances payable to, and the other terms and
conditions of service of, the members of the State Commission shall be such as may be
prescribed by the State Government.
Provided that the appointment of a member on whole-time basis shall be made by the
State Government on the recommendation of the President of the State Commission
taking into consideration such factors as may be prescribed including the work load of
the State Commission.
(3) Every member of the State Commission shall hold office  for a term of five years or
up to the age of sixty-seven years, whichever is earlier:
  Provided that a member shall be eligible for re-appointment for another term of five
years or up to the age of sixty-seven years, whichever is earlier, subject to the condition
that he fulfills the qualifications and other conditions for appointment mentioned in
clause (b) of sub-section (1) and such re-appointment is made on the basis of the
recommendation of the Selection Committee:
  Provided further that a person appointed as a President of the State Commission shall
also be eligible for re-appointment in the manner provided in clause (a) of sub-section
(1) of this section:
  Provided also that a member may resign his office in writing under his hand
addressed to the State Government and on such resignation being accepted, his office
shall become vacant and may be filled by appointment of a person possessing any of
the qualifications mentioned in sub-section (1) in relation to the category of the
member who is required to be appointed under the provisions of sub-section (1A) in
place of the person who has resigned.
  (4) Notwithstanding anything contained in sub-section (3), a person appointed as the
President or as a member, before the commencement of the Consumer Protection
(Amendment) Act, 2002, shall continue to hold such office as President or member, as
the case may be, till the completion of his term.
 
    17. Jurisdiction of the 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 and compensation, if any,
claimed exceeds rupees twenty lakhs but does not exceed rupees one crore; and
(ii)  appeals against the orders of any District Forum 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 Forum within the State, where it
appears to the State Commission that such District Forum 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) 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, actually and voluntarily 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 either the
permission of the State Commission is given or the opposite parties who do not reside
or carry on business or have a branch office or personally work for gain, as the case
may be, acquiesce in such institution; or
  (c) the cause of action, wholly or in part, arises.
 
17A. 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 the District
Forum to another District Forum within the State if the interest of justice so requires.
        17B. The State Commission shall ordinarily function in the State Capital but may
perform its functions at such other place as the State Government may, in consultation
with the State Commission, notify in the Official Gazette, from time to time.
 
   18. Procedure applicable to State Commissions.—The provisions of Sections 12, 13
and 14 and the rules made thereunder for the disposal of complaints by the District Forum
shall, with such modifications as may be necessary, be applicable to the disposal of
disputes by the State Commission.
 
    ( 18A. Omitted )
 
    l9. Appeals.—Any person aggrieved by an order made by the State Commission in
exercise of its powers conferred by sub-clause (i) of clause (a) of section 17 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 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 State Commission, shall be entertained by the National
Commission unless the appellant has deposited in the prescribed manner fifty per cent.
of the amount or rupees thirty-five thousand, whichever is less:
 
19A. An appeal filed before the State Commission or the National Commission shall be
heard as expeditiously as possible and an endeavour shall be made to finally dispose of
the appeal within a period of ninety days from the date of its admission:
Provided that no adjournment shall be ordinarily 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 provided in the regulations made under this Act.
 
       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.
 
20. Composition of the National Commission.—(1) The National Commission shall
consist of—
(a) a person who is or has been a Judge of the Supreme Court, to be appointed by the
Central Government, who shall be its President;
 
Provided that no appointment under this clause shall be made except after consultation
with the Chief Justice of India;
 
(b) not less than four, and not more than such number of members, as may be
prescribed, and one of whom shall be a woman, who shall have the following
qualifications, namely:—
(i) be not less than thirty-five years of age;
(ii) possess a bachelor's degree from a recognised university; and
(iii) be persons of ability, integrity and standing and have adequate knowledge and
experience of at least ten years in dealing with problems relating to economics, law,
commerce, accountancy, industry, public affairs or administration:
Provided that not more than fifty per cent. of the members shall be from amongst the
persons having a judicial background.
Explanation.—For the purposes of this clause, the expression 'persons having judicial
background'' shall mean persons having knowledge and experience for at least a
period of ten years as a presiding officer at the district level court or any tribunal at
equivalent level:
Provided further that a person shall be disqualified for appointment if he—
(a) has been convicted and sentenced to imprisonment for an offence which, in the
opinion of the Central Government, involves moral turpitude; or
(b) is an undischarged insolvent; or
(c) is of unsound mind and stands so declared by a competent court; or
(d) has been removed or dismissed from the service of the Government or a body
corporate owned or controlled by the Government; or
(e) has in the opinion of the Central Government such financial or other interest as is
likely to affect prejudicially the discharge by him of his functions as a member; or
(f) has such other disqualifications as may be prescribed by the Central Government :
Provided also that every appointment under this clause shall be made by the Central
Government on the recommendation of a selection committee consisting of the
following, namely:—
  (a)            a person who is a Judge of the Supreme Court,                  — Chairman;
                     to be nominated by the Chief Justice of India
  (b)            the Secretary in the Department  of Legal Affairs             — Member;
                      in the Government of India
  (c)            Secretary of the Department dealing with consumer          — Member.;
       affairs in the Government of India
 
(1A)  (i) The jurisdiction, powers and authority of the National Commission may be
exercised by Benches thereof.
(ii) A Bench may be constituted by the President with one or more members as the
President may deem fit.
(iii) if 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 or 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.
 
    (2) The salary or honorarium and other allowances payable to and the other terms and
conditions of service  of the members of the National Commission shall be such as may
be prescribed by the Central Government.
 
(3) Every member of the National Commission shall hold office for a term of five years
or up to the age of seventy years, whichever is earlier:
Provided that a member shall be eligible for re-appointment for another term of five
years or up to the age of seventy years, whichever is earlier, subject to the condition
that he fulfills the qualifications and other conditions for appointment mentioned in
clause (b) of sub-section (1) and such re-appointment is made on the basis of the
recommendation of the Selection Committee:
Provided further that a person appointed as a President of the National Commission
shall also be eligible for re-appointment in the manner provided in clause (a) of sub-
section (1) :
Provided also that a member may resign his office in writing under his hand addressed
to the Central Government and on such resignation being accepted, his office shall
become vacant and may be filled by appointment of a person possessing any of the
qualifications mentioned in sub-section (1) in relation to the category of the member
who is required to be appointed under the provisions of sub-section (1A) in place of the
person who has resigned.
 
(4) Notwithstanding anything contained in sub-section (3), a person appointed as a
President or as a member before the commencement of the Consumer Protection
(Amendment) Act, 2002 shall continue to hold such office as President or member, as
the case may be, till the completion of his term.
 
    21. Jurisdiction of the National Commission.—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 and compensation, if any, claimed
exceeds rupees one crore; and
(ii) appeals against the orders of any State Commission; and
 
(b)  to call for the records and pass appropriate orders in any consumer dispute which is
pending before or has been decided by any State Commission 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.
 
    22. Power of and procedure applicable to the National Commission.—(1) The
provisions of sections 12, 13 and 14 and the rules made thereunder for the disposal of
complaints by the District Forum shall, with such modifications as may be considered
necessary by the Commission, be applicable to the disposal of disputes by the National
Commission.
 
(2) Without prejudice to the provisions contained in sub-section (1), the National
Commission shall have the power to review any order made by it, when there is an
error apparent on the face of record.
 
22A. Where an order is passed by the National Commission ex parte against the
opposite party or a complainant, as the case may be, the aggrieved party may apply to
the Commission to set aside the said order in the interest of justice.
22B. 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 Forum of one State to a District Forum of
another State or before one State Commission to another State Commission.
22C. The National Commission shall ordinarily function at New Delhi and perform its
functions at such other place as the Central Government may, in consultation with the
National Commission,  notify in the Official Gazette, from time to time.
22D. When the office of President of a District Forum, State Commission, or of the
National Commission, as the case may be, 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 District Forum, the State
Commission or of the National Commission, as the case may be:
       Provided that where a retired Judge of a High Court is a member of the National
Commission, such member or where the number of such members is more than one,
the senior-most person among such members, shall preside over the National
Commission in the absence of President of that Commission.
 
   23. Appeal.—Any person, aggrieved by an order made by the National Commission in
exercise of its powers conferred by sub-clause (i) of clause (a) of section 21, may prefer
an appeal against such order of 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 in the prescribed manner fifty per cent. of that amount or rupees
fifty thousand, whichever is less.
 
    24. Finality of orders.—Every order of a District Forum, the State Commission or the
National Commission shall, if no appeal has been preferred against such order under the
provisions of this Act, be final.
 
    24A. Limitation period.-- (l) The District Forum, 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 (l), if the complainant satisfies the
District Forum, 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 National
Commission, the State Commission or the District Forum, as the case may be, records its
reasons for condoning such delay.
 
      24B. Administrative control.—(1) The National Commission shall have
administrative control over all the State Commissions in the following matters, namely:—
(i) calling for periodical return regarding the institution, disposal pendency of cases;
(ii) 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;
(iii) generally overseeing the functioning of the State Commissions or the District Fora to
ensure that the objects and purposes of the Act are best served without in any way
interfering with their quasi-judicial freedom.
 
    (2) The State Commission shall have administrative control over all the District Fora
within its jurisdiction in all matters referred to in sub-section (1 ).
 
    25. Enforcement of orders by the Forum, the State Commission or the National
Commission.—(1) Where an interim order made under this Act, is not complied with
the District Forum or the State Commission or the National Commission, as the case
may be, may order the property of the person, not complying with such order to be
attached.
(2) No attachment made under sub-section (1) shall remain in force for more than
three months at the end of which, if the non-compliance continues, the property
attached may be sold and out of the proceeds thereof, the District Forum or the State
Commission or the National Commission may award such damages as it thinks fit to
the complainant and shall pay the balance, if any, to the party entitled thereto.
(3) Where any amount is due from any person under an order made by a
District Forum, State Commission or the National Commission, as the case may be,
the person entitled to the amount may make an application to the District Forum, the
State Commission or the National Commission, as the case may be, and such District
Forum or the State Commission or the National Commission may issue a certificate for
the said amount to the Collector of the district (by whatever name called) and the
Collector shall proceed to recover the amount in the same manner as arrears of land
revenue.
 
    26. Dismissal of frivolous or vexatious complaints.—Where a complaint instituted
before the District Forum, the State Commission or the National Commission, as the case
may be, is found to be frivolous or vexatious, it shall, for reasons to be recorded in
writing, dismiss the complaint and make an order that the complainant shall pay to the
opposite party such cost, not exceeding ten thousand rupees, as may be specified in the
order
 
   27. Penalties.—(1) Where a trader or a person against whom a complaint is made or the
complainant fails or omits to comply with any order made by the District Forum, the State
Commission or the National Commission, as the case may be, such trader or person or
complainant 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 two thousands rupees but which may extend to ten thousand rupees, or with both:
 
(2) Notwithstanding anything contained in the Code of Criminal Procedure, 1973, the
District Forum or the State Commission or the National Commission, as the case may
be, shall have the power of a Judicial Magistrate of the first class for the trial of
offences under this Act, and on such conferment of powers, the District Forum or the
State Commission or the National Commission, as the case may be, on whom the
powers are so conferred, shall be deemed to be a Judicial Magistrate of the first class
for the purpose of the Code of Criminal Procedure, 1973.
 
      (3) All offences under this Act may be tried summarily by the District Forum or the
State Commission or the National Commission, as the case may be.
 
 
27A. (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973,
an appeal under section 27, both on facts and on law, shall lie from -  
 
(a)               the order made by the District  Forum 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 aforesaid, no appeal shall lie to any court from any order of a
District Forum or a State Commission or the National Commission.
 
     (3)     Every appeal under this section shall be preferred within a period of thirty
days from the date of an order of a District Forum or a State Commission or, as the
case may be, the National Commission :
 
                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 period of thirty days.
CHAPTER IV - MISCELLANEOUS
CHAPTER IV
 
 MISCELLANEOUS
 
28.  Protection of action taken in good faith.—No suit, prosecution or other legal
proceedings shall lie against the members of the District Forum, the State Commission or
the National Commission or any officer or person acting under the direction of the
District Forum, the State Commission or the National Commission for executing any
order made by it or in respect of anything which is in good faith done or intended to be
done by such member, officer or person under this Act or under any rule or order made
thereunder.
 
28A. (1) All notices required by this Act to be served shall be served in the manner
hereinafter mentioned in sub-section (2).
(2) The service of notices may be made 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 as are
approved by the District Forum, the State Commission or the National Commission, as
the case may be, or by any other means of transmission of documents (including  FAX
message).
(3) When an acknowledgment or any other receipt purporting to be signed by the
opposite party or his agent or by the complainant is received by the District Forum, the
State Commission or the National Commission, as the case may be, or postal article
containing the notice is received back by such District Forum, State Commission or the
National Commission, with an endorsement purporting to have been made by a postal
employee or by any person authorized by the courier service to the effect that the
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 (2) when tendered or transmitted to him, the District Forum or
the State Commission or the National Commission, as the case may be, shall declare
that the notice had been duly served on the opposite party or to the complainant :
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 mislaid, or
for any other reason, has not been received by the District Forum, 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 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 and in case of complainant, the place
where such person actually and voluntarily resides.
 
29. Power to remove difficulties.—(l) 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
 
(2) Every order made under this section shall, as soon as may be after it is made be laid
before each House of Parliament
 
(3) If any difficulty arises in giving effect to the provisions of the Consumer Protection
(Amendment) Act, 2002, the Central Government may, by order, do anything not
inconsistent with such provisions for the purpose of removing the difficulty:
Provided that no such order shall be made after the expiry of a period of two years
from the commencement of the Consumer Protection (Amendment) Act, 2002.
(4) Every order made under sub-section (3) shall be laid before each House of
Parliament.
 
29A. Vacancies or defects in appointment not to invalidate orders.—No act or
proceeding of the District Forum, the State Commission or the National Commission
shall be invalid by reason only of the existence of any vacancy amongst its member or
any defect in the constitution thereof.
30. Power to make rules.-- (1) The Central Government may, by notification, make
rules for carrying out the provisions contained in clause (a) of sub-section (1) of
section 2, clause (b) of sub-section (2) of section 4, sub-section (2) of section 5, sub-
section (2) of section 12, clause (vi) of sub-section (4) of section 13, clause (hb) of sub-
section (1) of section 14, section 19, clause (b) of sub-section (1) and sub-section (2) of
section 20, section 22 and section 23 of this Act.
(2) The State Government may, by notification, make rules for carrying out the provisions
contained in clause (b) of sub-section (2) and sub-section (4) of section 7, clause (b) of
sub-section (2) and sub-section (4) of section 8A, clause (b) of sub-section (1) and sub-
section (3) of section 10, clause (c) of sub-section (1) of section 13 clause (hb) of sub-
section (1) and sub-section (3) of section 14, section 15 and clause (b) of sub-section (1)
and  sub-section (2) of section 16 of this Act.
30A. (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.
(2) In particular and without prejudice to the generality of the foregoing power, such
regulations may make provisions for the cost of adjournment of any proceeding before
the District Forum, the State Commission or the National Commission, as the case may
be, which a party may be ordered to pay.
 
31. Laying of rules.-- (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 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 should not be made, 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.

THE CONSUMER PROTECTION RULES, 1987

In exercise of the powers conferred by sub-section (1) of section 30 of the

Consumer Protection Act, 1986 (68 of 1986), Central Government hereby makes
the following rules, namely:--

1. Short title, extent and commencement--(1) These rules may be called

the Consumer Protection Rules, 1987.

(1)   They shall come into force on the date of their publication in the
Official Gazette.

2. Definitions--In these rules, unless the context otherwise requires--

(a)                "Act" means the Consumer Protection Act, 1986 (68 of 1986);

(b)                "agent" means a person duly authorised by a party to present any
complaint, appeal or reply on its behalf before the National
Commission;

(c)                "appellant" means a party which makes an appeal against the order
of the State Commission;
 (d)                "chairman" means a chairman of the Central Consumer Protection
Council established under sub-section (1) of the section 4 of the Act;

(e) "memorandum" means any memorandum of appeal filed by the

              
appellant;

(f)                  "opposite party" means a person who answers complaint or claim;

(g)                "president" means the President of the National Commission

(h)                "respondent" means the person who answers any memorandum of
appeal;

(i)                  "section" means section of the Act;

(j)                  "state" includes Union territories also;

(k)                words and expressions used in the rules and not defined but defined
in the Act shall have the meanings respectively assigned to them in
the Act.

[2A. State Governments to recognise a laboratory as an appropriate

laboratory--(1) For the purpose of obtaining recognition as an appropriate
laboratory, the applicant shall send application, in triplicate, in the proforma
prescribed by the Bureau of Indian Standards with the relevant details to the
Department concerned with the consumer protection work in the State Government.

(2) The State Government on receiving the application from the applicant,
shall forward its two copies to the Bureau of Indian Standards to assess the
suitability of the laboratory from the standards prescribed by them (Bureau of
Indian Standards). The fee charged by the Bureau of Indian Standards, for this
purpose, shall be paid by the applicant.

(3) The State Government on receiving the recommendations and approval

of the Bureau of Indian Standards, shall notify that laboratory as an "appropriate
laboratory" for the purpose of Consumer Protection Act, 1986 for a period of three
years.]

3. The Constitution of the Central Consumer Protection Council and

the Working Groups--(1) The Central Government shall, by notification in the
Official Gazette constitute the Central Consumer Protection Council (herein after
referred to as the Central Council) which shall consist of [the following members,
not exceeding 150, namely:--]

(a) [the Minister in-charge of Consumer Affairs in the Central

              
Government]who shall be the Chairman of the Central council;

(b)                the Minister of State (where he is not holding independent charge)
or Deputy Minister [in charge of Consumer Affairs in the Central
Government] who shall be the Vice-Chairman of the Central
Council;

(c)                the [***] Minister in charge of Consumer Affairs in States;

(d)                eight Members of Parliament--five from the Lok Sabha and three
from the Rajya Sabha;
 [(e) the Secretary of the National Commissioner for Scheduled Castes
and Scheduled
Tribes]

(f) representatives of the Central Government Departments and

autonomous organisations concerned with consumer interests--not
exceeding twenty;

(a)    representatives of the Consumer Organisations or consumers--not

less than thirty-five;

(b)   representatives of women--not less than ten;

(c)    representatives of farmers, trade and industries--not exceeding

twenty;

(j) persons capable of representing consumer interest not specified

above--not exceeding fifteen;

(d)   the [Secretary in-charge of Consumer Affairs in the Central

Government] shall be the member-secretary of the Central Council.

(2) The term of the Council shall be three years.

(3) Any member may, by writing under his hand to the Chairman of the
Central Council, resign from the Council. The vacancies, so caused or otherwise,
shall be filled from the same category by the Central Government and such person
shall hold office so long as the member whose place he fills would have been
entitled to hold office, if the vacancy had not occurred.

[(4) For the purpose of monitoring the implementation of the

recommendations of the Centre Council and to suggest the working of the Council,
the Central Government may constitute from amongst the members of the Council,
a Standing Working Group shall consist of not exceeding 30 members and shall
meet as and when considered necessary by the Central Government.]

4. Procedure of the Central Council--Under sub-section (2) of section 5,

the Central Council shall observe the following procedure in regard to the
transaction of its business,--

(1) The meeting of the Central Council shall be presided over by the
Chairman. In the absence of the Chairman, the Vice-Chairman shall preside over
the meeting of the Central Council. In the absence of the Chairman and the Vice-
Chairman shall preside over the meeting of the Central Council. In the absence of
the Chairman and the Vice-Chairman, the Central Council shall elect a member to
preside over that meeting of the Council.

(2) Each meeting of the Central Council shall be called by giving, not less
than ten days from the date of issue, notice in writing to every member.

(3) Every notice of a meeting of the Central Council shall specify the place
and the day and hour of the meeting and shall contain statement of business to be
transacted thereat.

(4) No proceedings of the Central Council shall be invalid merely by

reasons of existence of any vacancy in or any defect in the constitution of the
Council.

(5) For the purpose of performing its functions under the Act, the Central
Council may constitute from amongst its members, such working groups as it may
deem necessary and every working group so constituted shall perform such
functions as are assigned to it by the Central Council. The findings of such working
groups shall be placed before the Central Council for its consideration.

[(6) The non-official members shall be entitled to first class or second Air-
Conditioned by all trains (including Rajdhani Express) to and fro Railway fare or
actual mode of travel whichever is less. Outstation non-official members shall be
entitled to a daily allowance of one hundred rupees per day for attending the
meetings of the Central Council or any working group. Local non-official
members shall be paid actual conveyance, hire charges subject to a ceiling of
Rs.75.00 per day irrespective of the classification of the city. Members of
Parliament shall be entitled to travelling and daily allowances at such rates as are
admissible to such members]

(7) The resolution passed by the Central Council shall be recommendatory

in nature.

5. Place of the National Commission--The office of the National

Commission shall be located in the Union Territory of Delhi.

6. Working days and office hours of the National Commission--The

working days and office hours of the National Commission shall be the same as that
of the Central Government.

7. Seal and emblem--The official seal and emblem of the National

Commission shall be such as the Central Government may specify.

8. Sitting of the National Commission--The sitting of the National

Commission as and when necessary, shall be convened by the President.

9. Staff of the National Commission--The Central Government shall

appoint such staff as may be necessary to assist the National Commission in its day
to day work and to perform such other functions as are provided under the Act and
these rules or assigned to it by the President. The salary payable to such staff shall
be defrayed out of the Consolidated Fund of India.

10. Additional powers of the National Commission, State Commission and

District Forum--(1) The National Commission, the State Commission and the
District Forum shall have power to require dany person--

(a)                to produce before, and allow to be examined and kept by an officer
of the National Commission, the State Commission or the District
Forum, as the case may be, specified in this behalf, such books,
accounts, documents or commodities in the custody or under the
control of the person so required as may be specified or described in
the requisition, if the examination of such books, accounts,
documents or commodities are required for the purpose of this Act;

(b)                to furnish to an officer so specified, such information as may be

required for the purpose of this Act.

(2)(a) Where during any proceedings under this Act, the National
Commission, the State Commission or the District Forum, as the case may be, has
any ground to believe that any book, paper, commodity or document which may be
required to be produced in such proceedings, are being or may be, destroyed,
mutilated, altered, falsified or secreted it may, by written order, authorise any
officer to exercise the power of entry and search of any premises. Such authorised
officer may also seize such books, papers, documents or commodities as are
required for the purpose of this Act.

Provided that such seizure shall be communicated to the National

Commission, the State Commission or the District Forum, as the case may be, as
soon as it is made or within a period not exceeding 72 hours of making such seizure
after specifying the reasons in writing for making such seizure.

(b) The National Commission, the State Commission or the District

Forum, as the case may be, on examination of such seized documents or
commodities, as the case may be, may order the retention thereof or may return it to
the party concerned.

11. Salaries, honorarium and other allowances of the President and

Members of the National Commission--[(1) The President of the National
Commission shall be entitled to salary, allowances and other perquisites as are
available to a sitting Judge of the Supreme Court and other members, if sitting on
whole-time basis, shall receive a consolidated honorarium of [(1) ten thousand
rupees] per month or if sitting on part-time basis, a consolidated honorarium of
[five hundred rupees] per day of sitting].

(2) The President and the members shall be entitled to travelling and daily
allowances on official tours at the same rates as are admissible to group 'A' Officers
of the Central Government.

(2A) The President and the members of the National Commission shall be
entitled to conveyance allowance of one hundred fifty rupees per day of its sitting
or a sum of one thousand and five hundred rupees per month, as may be opted by
them.]

(3) The honorarium or the salary, as the case may be, and other allowances
shall be defrayed out of the Consolidated Fund of India.

12. Terms and conditions of service of the President and members of

the National Commission--(1) Before appointment, the President and a member of
the National Commission shall have to take an undertaking that he does not and will
not have any such financial or other interest as is likely to affect prejudicially his
functions as such member.

[(2) Every member of the National Commission shall hold office for a term
of five years or up to the age of seventy years, whichever is earlier and shall not be
eligible for re-appointment.]

(3) Notwithstanding anything contained in sub-rule (2) the President or a

member may,--

(a)                by writing under his hand and addressed to the Central Government
resign his office at any time.

(b)                be removed from his office in accordance with the provisions of
rule 13.
 (4) The terms and conditions of service of the President and the
members shall not be varied to their disadvantage during their tenure of
office.

(5) A casual vacancy caused by resignation or removal of the President

or any member of the National Commission under sub-rule (3) or otherwise
shall be filled by fresh appointment.

[(6) When the President of the National Commission is unable to

discharge the functions owing to absence, illness or any other cause, the
senior most member of the National Commission with judicial background,
if authorised so to do by the President in writing, shall discharge the
functions of the President until the day on which the President resumes the
charge of his functions.]

(7) The President or any member ceasing to hold office as such shall not
hold any appointment in or be connected with the management or
administrations of an organisation which have been the subject of any
proceeding under the Act during his tenure for a period of 5 years from the
date on which he ceases to hold such office].

13. Removal of President or members from office in certain

circumstances--(1) The Central Government may remove from office, the
President or any member, who, --

(a)                 has been adjudged as an insolvent; or

(b)                has been convicted of an offence which, in the opinion of

the Central Government, involves moral turpitude; or

(c)                 has become physically or mentally incapable of acting as

the President or the member; or

(d)                has acquired such financial or other interest as is likely to

affect prejudicially his functions as the President or a
member; or

(e)                 has so abused his position as to render his continuance in

office prejudicial to the public interest [or]

(f) remain absent in three consecutive sittings except for

                
reasons beyond his control.]

(2) Notwithstanding anything contained in sub-rule (1), the president or any

member shall not be removed from his office on the grounds specified in [clauses
(d), (e) and (f)]of that sub-rule except on an inquiry held by Central Government in
accordance with such procedure as it may specify in this behalf and finds the
President or a member to be guilty of such ground.

14. Procedure to be followed by the National Commission--(1) A

complaint containing the following particulars shall be presented by the
complainant in person or by his agent to the National Commission or be sent by
registered post, addressed to the National Commission :--

(a)                the name, description and the address of the complainant;

(b)                the name, description and address of the opposite party or parties,
 as the case may be, so far as they can be ascertained;

(c)                the facts relating to the complaint and when and where it arose;

(d)                documents in support of the allegations contained in the complaint;

(e)                the relief which the complainant claims.

(2) The National Commission shall, in disposal of any complaint before it,
as far as possible, follow the procedures laid down in sub-sections (1) and (2) of
section 13 in relation to the complaint received by the District Forum.

(3) On the date of hearing or any other date to which hearing could be
adjourned, it shall be obligatory on the parties or their agents to appear before the
National Commission. Where the complainant or his agent fails to appear before
the National Commission on such days, the National Commission may in its
discretion either dismiss the complaint for default or decide it on merits. Where the
opposite party or its agent fails to appear on the date of hearing the National
Commission may decide the complaint ex-parte.

(4) The National Commission may, on such terms as it deems fit and at any
stage of the proceedings, adjourn the hearing of the complaint but the complaint
shall be decided as far as possible within a period of three months from the date of
notice received by opposite party where complaint does not require analysis or
testing of commodities and within five months if it requires analysis or testing of
commodities.

(5) If after the proceedings conducted under sub-rule (3), the National
Commission is satisfied with the allegations contained in the complaint, it shall
issue orders to the opposite party or parties, as the case may be, directing him or
them to take one or more of the things as mentioned in sub-section (`1) of section
14. The National Commission shall also have the power to direct that any order
passed by it, where no appeal has been preferred under section 2 or where the order
of the National Commission has been affirmed by the Supreme Court under that
section, be published in the Official Gazette or through any other media and no
legal proceedings shall lie against the National Commission or any media for such
publication.

15. Procedure for hearing the appeal--(1) Memorandum shall be

presented by the appellant or his agent to the National Commission in person or be
sent by registered post addressed to the Commission.

(2) Every memorandum filed under sub-rule (1) shall be in legible

handwriting preferable typed and shall set forth concisely under distinct heads, the
grounds of appeal without any argument or narrative and such grounds shall be
numbered consecutively.

(3) Each memorandum shall be accompanied by a certified copy of the

order of the State Commission appealed against and such of the documents as may
be required to support grounds of objection mentioned in the memorandum.

(4) When the appeal is presented after the expiry of the period of
limitation as specified in the Act, the memorandum shall be accompanied by an
application supported by an affidavit setting forth the facts on which the appellant
relies to satisfy the National Commission that he has sufficient cause for not
preferring the appeal within the period of limitation.

(5) The appellant shall submit six copies of the memorandum to the
Commission for official purpose.

(6) On the date of hearing or on any other day to which hearing may be
adjourned, it shall be obligatory for the parties or their agents to appear before the
National Commission. If appellant or his agent fails to appear on such date, the
National Commission may in its discretion either dismiss the appeal or decide ex-
parte on merits. If the respondent or his agent fails to appear on such date, the
National Commission shall proceed ex-parte and shall decide the appeal on merits
of the case.

(7) The appellant shall not, except by leave of the National Commission,
urge or be heard in support of any ground of objection not set forth in the
memorandum but the National Commission, in deciding the appeal, may not
confine to the grounds of objection set forth in the memorandum:

Provided that the Commission shall not rest its decision on any other ground
other than those specified in the memorandum unless the party who may be affected
thereby, has been given, an opportunity of being heard by the National
Commission.

(8) The National Commission, on such terms as it may think fit and at
any stage, adjourn the hearing of the appeal, but not more than one adjournment
shall ordinarily be given and the appeal should be decided as far as possible, within
90 days from the first date of hearing.

(9)                The order of the National Commission shall be communicated to

the parties concerned free of cost].

[15A. Sitting of the National Commission and signing of orders -- (1)

Every proceeding of the National Commission shall be conducted by the President
[or the senior most member authorised under rule 12] and at least two members
thereof sitting together:

Provided that where the member or members for any reason are unable to
conduct the proceeding till it is completed, the President [or the senior most
member authorised under rule 12]shall conduct such proceeding de novo.

(2) Every order made by the National Commission shall be signed by the
President [or the senior most member authorised under rule 12] and at least two
members who conducted the proceeding and if there is any difference of opinion
among themselves, the opinion of majority shall be the order of the National
Commission:

Provided that where the proceeding is conducted by the President [or the
senior most member authorised under rule 12] and three members thereof and they
differ on any point or points, they shall state the point or points on which they differ
and refer the same to the other member for hearing on such point and such point or
points shall be decided accordingly to the opinion of the majority of the National
Commission.]

The Delhi Consumer Protection Rules, 1987

(as amended from time to time)
 [ made under Section 30(2) of the Consumer Protection Act,
1986 ]

Government of National Capital Territory of Delhi

Department of Food, Supplies and Consumer Affair

TO BE PUBLISHED IN DELHI GAZETTE)

(PART-IV EXTRA ORDINARY)
DELHI ADMINISTRATION : DELHI
(DEPARTMENT OF FOOD SUPPLIES AND CONSUMER AFFAIRS)

Delhi, dated September 29, 1987

NOTIFICATION

No.F.50(131)/86-F&S/CA: In exercise of the powers conferred by sub-

section (2) of section 30 of the Consumer protection Act, 1986 (68 of
1986), read with the Government of India, Ministry of Food and Civil
Supplies, New Delhi Notification S.O. No. 469 (E) dated the 15th May,
1987, the Administrator of the Union Territory of Delhi, hereby makes the
following rules, namely:-

1. Short title and commencement

(1) These rules may be called the Delhi Consumer Protection Rules,
1987.

(2) They shall come into force on the date of their publication in the
Official gazette.

2. Definitions:- In these rules, unless the context otherwise requires:

(a) “Act” means the Consumer Protection Act, 1986 (68 of 1986):

(b) “Administration” means the administration of the Union Territory of

Delhi:

(c) “Administrator” means the Administrator of the Union territory of

Delhi, appointed by the President under Article 239 of the Constitution,

(d) “Agents” means a person duly authorised by a party to present any

complaint or appeal or reply on its behalf before the State Commission or
District Forum,

(e) “Appellant” means a party which makes an appeal against the order of
the District Forum,
(f) “Memorandum” means any memorandum of appeal filed by the
appellant,

(g) “opposite party” means a person who answers complaint or claim:

(h) “President” means the President of the State Commission or District

Forum as the case may be”

(i) “Respondent” means the person who answers any memorandum of

appeal:

(j) “State” means the Union Territory of Delhi”

(k) “State Commission” means the Delhi State commission constituted

under clause (b) of section 9:

(l) “words and expression used in the rules and not defined, but defined in
the Act, shall have the meaning respectively assigned to them in the Act.

3. “Salaries and other allowances and terms and conditions of the

President and Members of the District Forum”-

(1) (a) The President of the District Forum shall receive the salary,
allowances and other perquisites as are admissible to a sitting Judge of
the District Court, if appointed on whole time basis, or an honorarium of
two hundred rupees per day, if appointed on part time basis.
.
Note:-When a retired District Judge is appointed as President of the
District Forum, his salary, allowances and other perquisites, shall be
subject to the Rules governing the payment of pension to such retired
District Judge.

(b) A Member of the District Forum, when appointed an whole time basis,
shall receive a consolidated honorarium of nine thousand rupees** per
month, and, if appointed on part time basis, a consolidated honorarium of
four hundred rupees** per day of sitting.

** Provided that the honorarium payable to a part time member in any

calender month shall not exceed the honorarium payable to a whole- time
member.

** [ Inserted vide notification No. F.50(42)/97-F&S/CA/276 dated 25TH

May 1999]

(2) (i) The President and the Members of the District forum shall be
entitled to such Travelling Allowance and daily allowances on official tour
as are admissible to Group-A officers of the Administration.

(ii) For the purpose of attending the sittings of the District forum, a
Member shall be entitled to actual conveyance charges subject to a ceiling
of one hundred and fifty rupees per day of sitting.
@ (2 A) The President and members of the District Forum shall be entitled
to such leave as is admissible to Group-‘A’ officers of the Administration,
if appointed on whole-time basis.

(3) The salary, honorarium and other allowances shall be defrayed out of
the Consolidated Fund of India.

(4) Before appointment, the President and Members of the District Forum
shall have to take an undertaking that he does not and will not have any
such financial or other interests as is likely to affect prejudicially his
functions as the President or a member, as the case may be.

@ [Inserted vide notification No. F.50(131)/86-F&S/CA dated 23.10.89.]

(5) In addition to provisions of Section 10(2), the Administrator may

remove from the office, the President and Member of a District Forum,
who:-

(a) has been adjudged an insolvent, or

(b) has been convicted of an offence which, in the opinion of the
Administrator, involves moral turpitude, or
(c) has become physically or mentally incapable of action as such
president or member, as the case may be, or
(d) has acquired such financial or other interests as is likely to effect
prejudicially his functions as the President or a Member, as the case may
be, or
(e) has so abused his position as to render his continuance in office
prejudicial to the public interest.

Provided that the President or Member shall not be removed from his
office on the grounds specified in caluses (d) and (e) of sub-rule (5)
except on an inquiry held by the Administrator in accordance with such
procedure as he may specify in this behalf and if the President or Member
is found guilty of such grounds in the inquiry.

(6) The terms and conditions of the service of the President and the
members of the District Forum shall not be varied to their disadvantage
during their tenure of office.

(7) Where any vacancy occurs in the office of the president of the District
forum, the senior most (in order of appointment) Member of District
Forum, holding office for the time being, shall discharge the functions of
the President until a person appointed to fill such vacancy assumes the
office of the President of the District Forum.

(8) When the President of the District Forum is unable to discharge the
functions owing to absence, illness or any other cause, the senior-most
(in order of appointment) Member of the district Forum shall discharge
the functions of the President until the day on which the President
resumes the charge of his functions.

(9) The President or any Member ceasing to hold office as such shall not
hold any appointment in or be connected with the management or
administration of an organization which has been the subject of any
proceedings under the Act during his tenure for a period of five years
from the date on which he ceases to hold such office.

4. Place of sitting and other matters relating to District Forum:-

(1) the office of the District Forum shall be located at such place in the
Union Territory of Delhi as may be spectified by the Administrator in this
behalf. Where two or more District Forums are constituted for Delhi, the
Administrator may, by general or special order, regulate the distribution
of business among them.

(2) The working days and the office hours of the District Forum shall be
as specified by the Administrator from time to time.

(3) The official seal and emblem of the District Forum shall be such as the
Administrator may specify.

(4) Sitting of the District Forum, as and when necessary shall be

convened by the President. When the President and/or a member attends
office work on a day other than sitting of the Forum for official work in
connection with the working of District Forum, the President /Member
shall be deemed to have had sitting for that day for the purpose of
drawing honorarium provided the President of the District Forum certifies
that such attendance of the member(s) or himself was in public interest.

(5) No act or proceedings of the District forum shall be invalid by reasons

only of the existence of any vacancy among its members or any defect in
its constitution.

(6) The administrator shall appoint such staff, as may be necessary to

assist the District forum in its day to day work and perform such other
functions as are provided under these rules, or assigned to it by the
President. The salary payable to such staff shall be defrayed out of the
consolidated Fund of India.

(7) Where the opposite party admits the allegation made by the
complaint, the District Forum shall decide the complaint on the basis of
the merit of the case and documents present before it .

(8) If during the proceedings conducted under section 13, the District
Forum fixes/a date of hearing of the parties, it shall be obligatory on the
complainant and opposite party or its authorised agent to appear before
the District Forum on such date of hearing or any other date to which
hearing could be adjourned. Where the complainant or his authorised
agent fails to appear before the District forum on such day, the District
Forum may, in its descretion, either dismiss the complaint for default or
decide it on merit. Where the opposite party or its authorised agent fails
to appear on the day of hearing, the District Forum may decide the
complaint ex-parte.

(9) While proceedings under sub-rule(8), the District Forum may, on such
terms as it may think fit and at any state adjourn the hearing of the
complaint but not more than one adjournment shall ordinarily be given
and the complaint should be decided, as far as possible, within 90 days
from the date of notice received by the opposite party, where the
complaint does not require analysis or testing of the goods, and within
150 days, where it requires analysis or testing of goods.

(10) Orders of the District Forum shall be signed and dated by the
Members of the District Forum constituting the Bench and shall be
communicated to the parties free of charge.

5. Procedure to be adopted by the District Forum for analysis and

testing of the goods:-

(1) Under Section 13(1)(c), if considered necessary, the District Forum

may direct the complainant to provide more than one sample of the goods
in clean containers with stopper properly fixed on them.

(2) On receiving the samples of such goods, the District Forum shall seal
it and fix labels on the containers carrying fallowing information:

(i) Name and address of the appropriate laboratory to which sample will
be sent for analysis and test.
(ii) Name and address of the District Forum.
(iii) Case Number
(iv) Name and description of the goods/articles.
(v) Seal of the District forum.

(3) The sample will be sent to the appropriate laboratory by the District
forum for sending the report within 45 days or within such extended time
as may be granted by the District Forum, after specifying the nature of
the defect alleged and date of submission of the report.

6. Salary and other allowances and terms and conditions of the

President and members of the State Commission.

* * (1) (a) The President of the State commission shall receive the
Salary, allowances and other perquisites, as are admissible to a sitting
Judge of the high Court, if appointed on whole time basis, or an
honorarium of three hundred and fifty rupees per day, if appointed on
part time basis.

* * [ Substituted vide notification No.F.50(30/90-F&S/CA dated 03.09.91]

@ Note:- When a person who has retired as a Judge of a High Court is

appointed as the President of the State Commission on a whole-time basis
his pay and allowances shall be subject to the rules governing the
payment of pension to him, and notwithstanding anything contained in
this rule he shall be entitled to other perquisites as are available to a
sitting Judge of a High Court in accordance with the High Court Judges
(Conditions of Service) Act 1954 as amended from time to time.

@ [ Substituted vide notification No.F.50(7)/(99)/F&S/CA/1864 dated

03.02.2000]
(b) A Member of the State Commission, when appointed on whole time
basis, shall receive a consolidated honorarium of ten thousand rupees per
month, and, if appointed on part time basis, a consolidated honorarium of
five hundred rupees per day of sitting.

Provided that the honorarium payable to a part time Member in any

calender month shall not exceed the honorarium payable to a whole time
Member.
[ Substituted vide notification No.F.50(42)/(97)/F&S/CA/276 dated
25.5.99]

(2) (a) the President and Member of the State Commission shall be
entitled to such Traveling Allowances and daily allowance on official tour
as are admissible to Group-A officers of the Administration.

(b) for the purpose of attending the sitting of the State Commission, a
member shall be entitled to actual conveyance charges subject to a
ceiling of one hundred and fifty rupees per day of sitting.

(2 A) the President and members of the State Commission shall be

entitled to such leave as is admissible to Group-‘A’ officers of the
Administration, if appointed on whole time basis.

(3) The Salary, honorarium and other allowances shall be defrayed out of
the Consolidated fund of India.

(4) The President and the Members of the State commission shall hold
office for such period not exceeding five years, as may be specified by the
Administrator in the Notification and shall not be eligible for renomination.

Provided that President or a Member may-

(a) by writing under his hand and addressed to the Administrator resign
his office any time:
(b) be removed from his office in accordance with the provisions of sub-
rule (5).

(5) The Administrator may remove from office, President or a Member of

the State Commission, who

(a) has been adjudged on insolvent, or

(b) has been convicted of an offence which, in the opinion of the
Administrator, involves moral turpitude; or
(c) has become physically or mentally incapable of acting as such
President or Member, as the case may be; or
(d) has acquired such financial or other interest as is likely to affect
prejudicially his functions as President or a Member, as the case may be ;
or
(e) has so abused his position as to render his continuance in office
prejudicial to the public interest.
Provided that the president or a Member shall not be removed from his
office on the grounds specified in clauses (d) and (e) of sub-rule (5),
except on an inquiry held by the Administrator in accordance with such
procedure as he may specify in this behalf and if the President or the
Member is found guilty of such grounds in the inquiry.

(6) Before appointment, President and a Member of the State Commission

shall have to take an undertaking that he does not and will not have any
such financial or other interests as is likely to affect prejudicially his
functions as such President or Member.

(7) the terms and conditions of the service of the President and the
Members of the State Commission shall not be varied to their
disadvantage during their tenure of office.

(8) Every vacancy caused by resignation and removal of the President or

any other Member of the State Commission under sub rule (4) or
otherwise shall be filed by fresh appointment.

(9) Where any such vacancy occurs in the office of the President of the
State Commission, the senior most (in order of appointment) Members
holding office for the time being, shall discharge the functions of the
President, until a person appointed to fill such vacancy assumes the office
of the President of the State commission.

(10) When the President of the State Commission is unable to discharge

the functions owing to absence, illness or any other cause, the senior
most (in order of appointment) Member of the State commission shall
discharge the functions of the President until the day on which the
President resumes the charge of his functions.

(11) The President or any Member ceasing to hold office as such shall not
hold any appointment in or be connected with the management or
administration of an organization which has been the subject of any
proceeding under the Act during his tenure for a period of five years from
the date on which he ceases to hold such office.

7. Place of sitting and other Matters relating to State Commission

(1) Office of the State commission shall be located at such place in the
Union Territory of Delhi, as may be specified by the Administrator in this
behalf.

(2) The working days and the office hours of the State Commission shall
be as specified by the Administrator from time to time.

(3) The official seal and emblem of the State Commission shall be as the
Administrator may specify.

(4) Sitting of the State Commission, as and when necessary, shall be

convened by the President

Explanation:- when the President and/or a Member attends office work on

a day other than sitting of commission for official work in connection with
the working of State Commission, the President/Member shall be deemed
to have had sitting for that day for the purpose of drawing honorarium
provided the president of the State Commission certifies that such
attendance of Member(s) or himself was in public interest.

(5) No act or proceedings of the State Commission shall be invalid by

reasons only of the existence of any vacancy among its Members or any
defect in its constitution.

(6) The Administrator shall appoint such staff, as may be necessary, to

assist the State Commission in its work and perform such other functions
as are provided under these rules or assigned to it by the President. The
salary payable to such staff shall be defrayed out of the consolidated Fund
of India.

(7) Where the opposite party admits the allegation made by the
complainant, the State commission shall decide the complaint on the
basis of the merit of the case and documents present before it.

(8) If during the proceedings conducted under Section 13, the State
Commission fixes a date for hearing of the parties, it shall be obligatory
on the complainant and opposite party or his authorised agent to appear
before the State Commission on such date of hearing or any other date to
which hearing could be adjourned. Where the complainant or his
authorised agent fails to appear before the State Commission on such
day, the State Commission may, in its discretion, either dismiss the
complaint for default or decide it on merits. Where the opposite party or
its authorised agent fails to appear on the day of hearing, the State
commission may decide the complaint ex-parte.

(9) While proceedings under sub-rule(8) the State Commission may, on

such terms as it may think fit and at any stage/adjourn the hearing of the
complaint, but not more that one adjournment shall ordinarily be given
and the complaint shall be decided as far as possible, within 90 days from
the date of notice received by the opposite parties, where complaint does
not require analysis or testing of the goods and within 150 days, if it
requires analysis or testing of the goods.

(10) orders of the State Commission shall be signed and dated by the
Members of the State Commission constituting the Bench and shall be
communicated to the parties free of charge.

8. Precedure for hearing appeal :

(1) Memorandum shall be presented by the appellant or his authorised

agent to the State Commission in person of sent by registered post
addressed to the Commission.

(2) Every memorandum filed under sub-rule (1) shall be in legible

handwriting preferably typed and shall set forth concisely under distinct
heads, the grounds of appeal without any argument or narrative and such
grounds shall be numbered consecutively.
(3) Each memorandum shall be accompanied by the certified copy of the
order of the District Forum appealed against and such of the documents,
as may be required to support grounds of objection mentioned in the
memorandum.

(4) When the appeal is presented after the expiry of period of limitation
as specified in the Act, memorandum shall be accompanied by an
application supported by an affidavit setting forth on the fact on which
appellant relies to satisfy the State Commission that he has sufficient
cause for not preferring the appeal within the period of limitation.

(5) The appellant shall submit four copies of the memorandum to the
State Commission for official purposes.

(6) On the date of hearing or any other day to which hearing may be
adjourned, it shall be obligatory for the parties or their authorised agents
to a appear before the State Commission. If appellant or his authorised
agent fails to appear on such date the State Commission may, in its
discretion, either dismiss the appeal or decide it on the merit of the case.
If respondent or his authorised agent fails to appear on such date, the
State Commission shall proceed ex-parte and shall decide the appeal ex-
parte on merits of the case.

(7) The appellant shall not, except by leave of the State commission, urge
or be heard in support of any ground of objection not set forth in the
memorandum but the State Commission in deciding the appeal, need not
confine to the grounds of objection set forth in the memorandum or taken
by leave of the State Commission under this rule.

Provided that the Commission shall not rest its decision on any other
grounds unless the party who may be affected thereby, has been given,
at least the opportunity of being heard by the State Commission.

(8) State Commission may on such terms as it may think fit and at any
stage, adjourn the hearing of appeal but not more than one adjournment
shall ordinarily be given and the appeal shall be decided, as far as
possible, within 90 days from the first date of hearing.

(9) order of the State Commission on appeal shall be signed and dated by
the Members of the State Commission constituting the bench and shall be
communicated to the parties free of charge.

By order and in the name of the Administrator of the Union territory of

Delhi

Sd/-
( NARENDRA PRASAD )
SECRETARY
FOOD, SUPPLIES AND CONSUMER AFFAIRS
DELHI ADMINISTRATION : DELHI
 1.29
BUREAU OF INDIAN STANDARDS
(RECOGNITION OF CONSUMERS’
ASSOCIATIONS) RULES, 1991 1

GSR 619(E) DATED 9-10-1991

In exercise of the powers conferred by section 37 of the Bureau of Indian Standards Act, 1986 (63 of 1986), the Central Government her
Short title and commencement.
1. (1) These rules may be called the Bureau of Indian
of Consumers Associations) Rules, 1991.
(2) They shall come into force on the date of their publication in the Official Gazette.
Definitions.
2. In these rules, unless the context otherwise requires —
(a) “Act” means the Bureau of Indian Standards Act, 1986 ( 63 of 1986);
(b) “Form” means a Form appended to the Schedule to these rules;
(c) “Ministry” means the Ministry of Civil Supplies, Consumer Affairs and Public Distribution; and
(d) “Principal Officer” in relation to a consumer association means any individual who is specifically authorised in writing or by
association in that behalf.
Application for recognition of consumers’ association.
3. (1) Every consumers’ association which is desirous of
a registered Consumers’ Association —
(a) shall have not less than fifty consumers as its members; and
(b) shall make an application for such recognition in triplicate to the Bureau of Indian Standards in Form I.
(2) Every application made under sub-rule (1) shall be accompanied by a bank draft of rupees one thousand.
(3) On receipt of an application made under sub-rule (1), the Bureau of Indian Standards shall note thereon the date of its receipt and sha
1. Published in the Gazette of India (Extra), Pt. II section 3(i),
pp. 3-4.
(4) The Bureau of Indian Standards may, before issue of a certificate of recognition, require the applicant to furnish, within such period
tion as may be considered necessary within a period of 30 days of a receipt of that letter by the applicant.
(5) On receipt of an application and such other additional information as may be sought under sub-rule (4), the Bureau of Indian S
documents to the Ministry of Civil Supplies. Government of India with its recommendations for their consideration.
(6) On receipt of the recommendations of the Bureau under sub-rule (5), the Ministry shall consider those recommendations and after sa
be recognised, may recognise the association in this behalf.
(7) The certificate of recognition to be issued by the Ministry under sub-rule (6) shall be in Form II.
(8) Where a certificate of recognition issued under these rules is lost, destroyed or mutilated, a duplicate may be issued on an applica
rupees one hundred.
Payment of fees.
4. The fees payable under those rules shall be paid in the fo
in favour of the Bureau of Indian Standards, New Delhi.
Refusal to grant certificate of recognition to consumers’ association.
5. Where a certificate of recognition of a consumers’
refused, the applicant shall be informed of the reasons for such refusal by the Bureau.
Copies of certificate of recognition to be furnished to certain authorities.
6. Every consumers’ association which has been recognised
consumers’ association under these rules shall furnish a copy of the certificate of recognition issued to it while filing a complaint un
Verification of application.
7. Every application made under these rules shall be duly
Principal Officer.
SCHEDULE
FORM I
[See sub-rule (1) of rule 3]

Form of application to be submitted to the Bureau of Indian Standards for recognition of consumers’ association.
(to be submitted in triplicate)
(1) Name of the Consumers’ Association:
(2) Address:
(a) Registered Office:
 (b) For correspondence:
(c) Branches:

(3)If registered under any other law the Act under which registered and date of registration (certified copy of the certificate of registratio
(4) Total number of members of the association (as on date of application):
(5) Objects of the association (certified copy of Memorandum of Association to be enclosed along with copy of the rules an
Association):
(6) Names, addresses and occupations of persons on the Board of Directors, Governing body, Council/Committee (by whatever name
management of the affairs of the association is entrusted:
(7) Number of employees:
(a) Whole-time:
(b) Part-time:
(8) Year-wise details of the work done by the association during the last three years in the filed of protection of consumers’ interest:
(9) Copies of published annual report and audited accounts of the association of the last three years:
(10) Details of Laboratory organisation, if any, owned, run or operated by the association for purposes of protection of consumer’s inte
 
Place :............ Signature :....................................
Date :............. Name & designation :..............
VERIFICATION
I, ........ do hereby solemnly state that what is stated in terms 1 to 11 above is true to the best of my knowledge and behalf.
 
Place :............ Signature :....................................
Date :............. Name & designation :..............
 
FORM II
[See sub-rule (7) of rule 3]
CERTIFICATE OF RECOGNITION
(Government of India)
Ministry of Civil Supplies, consumer affairs and Public distribution
Certified that the consumers’ Association whose particulars are given below has this day been recognised as a “registered Consumers’
Indian Standards Act, 1986 (63 of 1986).
Particulars
(1) Name of the Consumers’ Association:
(2) Address:
(3) Name of persons on the governing board/body/council to whom management of the Association is entrusted:
(4) Number of members:
(5) Registration Number:
Signature :.........................................
Date :...................................................
File No :..............................................
Seal of the Ministry of Civil Supplies,
Consumer Affairs and Public Distribution