Consumer Rights in India

Consumer Rights in India: History, Types, Importance & Examples

Consumer rights in India ensure that buyers are treated fairly, get quality products, and are protected from exploitation. Every person who buys goods or services is a consumer. Consumer rights protect people from fraudulent practices, substandard goods, and unethical business activities. Consumer rights in India denote the legal and ethical provisions so developed for helping consumers decide judiciously, complain about unfair trade practices, and obtain effective redressal for the injury suffered when defective products or services cause harm to them.

The Indian consumer rights law framework has been developed with various laws and policies strengthening consumer protection. The government has undertaken many initiatives to make the public aware of their rights. One such day is National Consumer Rights Day, which India celebrates every year on December 24.These rights allow consumers to ask for quality, safety, and transparency in a transaction. The Consumer Protection Act is the foundation for this very purpose. Knowing the number of consumer rights that exist in India and their importance can help an individual make a better choice when buying goods and services.

Consumer Rights in India: Historical Background

Consumer protection laws have been in existence since time immemorial in one form or another. Ancient India, for instance, had traders who were guided by ethics in doing business, anchored on moral values and religious tenets. However, as commerce increased and industrialization became more advanced, there was a greater need for structured legal provisions to protect consumers from exploitation.

Indian laws in the British regime were mainly oriented towards the enforcement and regulation of contracts and businesses. After gaining independence, a host of new enactments were introduced concerning trade, prices, and quality control. However, this early machinery did not afford all-around protection to consumers. Realizing that the rights of consumers needed better security, the Consumer Protection Act came into existence in 1986 and thus marked a milestone in the history of consumer rights in India.

Amendments and new regulations have only added strength to consumer rights over the years. 

The Consumer Protection Act of 2019 replaced the Act of 1986. It brought about stricter provisions and online mechanisms for dispute resolution besides penalties for misleading advertisements. And so, as consumer rights were gaining precedence, this is the well-documented history of India’s commitment towards fair and transparent marketplaces.

What are Consumer Rights?

Consumer Rights can be defined as legal and moral rights that secure consumers from adverse trading practices at the hands of business entities. Some of those rights are the rights of safety, the right to information rights, and rights of redressal. Through such rights, individuals learn the way toward decision-making or are empowered to achieve proper treatment by not getting themselves exploited in life.

In India, the rights of the consumer are statutorily provided so that companies engage themselves in ethically transparent work. The statute has its act to govern their protection. In contrast, Consumer Rights Day is also noted in India with respect to the people who bring a voice against fake actions and assure people of quality commodities and services. This type of safety for consumers prohibits businesses from acting with malpractice.

Consumer’s rights to get redressal for defective goods sold to him or poor service delivered to the customer. Thus, these rights further motivate and enforce businesses toward ethical practices with healthy marketplace growth.

Types of Consumer Rights

Consumer rights are classified into the following eight key types. Rights are given above against malpractices regarding purchasing goods and services to the purchaser.They save consumers from the exploitation of vendors and ensure consumers get a just and fair trade environment. With the rights of the buyer, he will obtain quality products and information and will be treated rightly by the vendor. Knowing about these rights lets consumers make suitable decisions and have legal recourse. Consumer Rights in India

1. Right to Safety

Consumers have the Right to be protected from hazardous goods and services that can harm their health or safety. This includes food, medicines, electrical appliances, and other products that may pose risks. The Right is essential because unsafe products can cause serious injuries or health complications. Manufacturers must follow safety guidelines and ensure that their products meet prescribed standards. The regulatory bodies, like the Bureau of Indian Standards (BIS) and the Food Safety and Standards Authority of India (FSSAI), ensure compliance with safety norms. Consumers have to check standard certification marks on a product, which include ISI, FSSAI, or AGMARK, before purchasing for its safety.

2. Right to Information

The sellers are liable to give complete information regarding the commodity, such as price, constituents, use, and hazard. Misleading advertisements or concealing information violates this Right. Proper labelling of products protects consumers from ending up with something they do not want to buy. The Right to information also extends to services, thus ensuring that consumers know the terms and conditions before signing a contract. Business entities must not entice consumers using false claims on a product that may fail to meet expectations. The Consumer Protection Act  imposes harsh punishments on firms involved in deceptive advertising. Consumers must always read product labels, service agreements, and warranties in advance to prevent any future wrangles.

3. Right to Choose

Consumers are free to choose any product or service. No business firm can compel its customers to purchase specific goods or services through exploitative practices. Monopolies and other anti-competitive practices violate this Right and, thus, restrict consumer choices and fair competition in the market. Competition in the market ensures that businesses improve quality, pricing, and customer service to attract buyers. Governments regulate the market so as not to let businesses indulge in unfair trade practices that deny a consumer choice. The existence of various brands in the market offering the same item is helpful to consumers. Thus, consumers may compare the price, features, and reviews pertaining to that specific product before purchase. Consumers have the Right to choose, not to get forced into any specific sale.

4. Right to Be Heard

Every consumer has a right to make complaints and look for solutions to grievances. Complaints are entertained through consumer forums and helplines. Such rights will allow businesses to immediately hear consumers’ problems and take steps towards their solution. Companies need a well-formatted grievance redressal mechanism to settle grievances promptly. Any problem arising with a product or service needs to be immediately reported by a consumer to the selling or manufacturing authority. If the issue is not resolved, they may approach consumer courts or file complaints with regulatory authorities. Consumer helplines and portals like the National Consumer Helpline (NCH) help consumers get their grievances addressed efficiently.

5. Right to Redressal

The rights to compensation or replacement are exercised when a consumer suffers harm through defective goods or poor services. Such cases are dealt with in consumer courts. Consumer courts will safeguard consumers against helplessness by taking faulty or substandard products to the company and demanding appropriate redress if the business fails to accept responsibility for defective products. Redressal can be either in the form of a refund re, placement, or penalties against the enterprise. E-filing of complaints under the Consumer Protection Act 2019 has eased out the procedure by making it consumer-friendly and fast. The consumers should maintain transaction records, including vouchers and warranties. It would also help in bringing the correct cause of action during redressal.

6. Right to Consumer Education

Education to the consumer regarding rights and responsibilities must be made in such a manner so that consumers take an informed decision. For the same, government and NGOs hold awareness programs. Laxity about their rights leads to consumer exploitation; thus, education forms a fundamental tool of consumer protection. Awareness to consumers regarding consumer rights must be given at the school, college level and in public campaigns.The Indian government celebrates National Consumer Rights Day to raise consumer education awareness. Awareness campaigns utilize television, social media, and newspapers to alert people about fraud prevention and responsible consumption. Consumers should be updated on their rights by frequently accessing government portals and consumer helpline resources.

7. Right to a Healthy Environment

The consumers have the Right to live and work in a healthy and clean environment. The businesses must abide by the norms of environmental safety. This Right ensures that the industries do not indulge in any activities that may pollute the air, water, or land and affect the health of people. Governments make environmental laws and regulations for the conservation of natural resources and reduction of pollution caused by industrial and commercial processes. Businesses are heavily penalized and taken to court if they violate environmental safety norms. The consumers also need to support products that are environmentally friendly and reduce their wasteful footprints in the environment. In this respect, consumerism involves the promotion of biodegradable packaging, energy-efficient products, and green business practices.

8. Right to Fair and Just Treatment

Treat all the consumers equally without any discrimination and ensure that firms are always transparent about their operations to achieve fair trade. No consumer, in terms of financial capabilities, gender, or origin, must be discriminated on in any purchase of good or services.Companies should have price policies that do not distinguish among certain consumer groups. Ethical business practice includes fair terms of service contracts and no hidden charges, with customers being able to access customer support. The government has enacted several laws to control exploitative practices such as price manipulation and contract terms. Consumers must always report unfair business practices and support ethical companies so that fairness prevails in the marketplace.

Importance of Consumer Rights

Consumers’ rights play a vital role in making the marketplace equitable, fair, and ethical. In this context, without rights, the buyers would be prone to false advertisement, fraud, and low-quality products. These rights maintain accountability in businesses and provoke them toward quality goods and services.

  • Consumer rights and protection in India have to be implemented due to the prevalence of unfair trade practices. Most businesses would look forward to making a profit by cheating consumers. False advertising, deceptive pricing, and counterfeit products are seen everywhere. The areas of problems that consumers face range from consumer rights, so defined rights help consumers challenge such practices.
  • Empowering the consumer has also been considered necessary. Consumer awareness of the rights can mean better purchasing decision-making. Now, they may compare products. They may investigate the claims or promises of an organization. Consequently, they only get to choose among reliable brands. An aware consumer market generates competition for industries to produce with quality and honesty.
  • Consumer rights also boost economic growth. An efficient market encourages heavy investment, induces innovation, and creates competition; once the consumers are freed from the threat of exploitation, they react constructively to the economy with improved demand and supply.

National Consumer Rights Day in India

National Consumer Rights Day is celebrated in India every year on December 24. It is the date on which the Consumer Protection Act of 1986 was enforced. This act is considered landmark legislation under Indian consumer law. It has aimed to make the people more aware of consumer rights and keep a vigilant eye on purchases.

Consumer organizations, government bodies, and educational institutions arrange seminars, workshops, and campaigns on this day. The objective of these programs is to inform consumers about their rights and legal remedies in case of disputes.

The government has also advanced consumer protection. The revised Consumer Protection Act 2019 imposes more significant penalties on violations, addresses grievances on the internet, and creates consumer protection councils at three levels-district, state, and national. Consumer Rights Day also reminds India of consumer empowerment.

Advantages of Consumer Rights in India

Implementation of consumer rights in India, along with examples, shows that it benefits consumers many times in practical life situations. Some important ones are listed here:

  • Fraud Protection: Customers can be treated for committing fraud; a fraudster will have to go to court for his fault.
  • Quality Commodities: There exists liability against trading companies or outlets for ensuring the safety and quality features of traded goods.
  • Litigations over Complaints: Consumer Courts try to reach an expeditious decision regarding the disputes arising from customer complaints.
  • Unfair Price: No business can levy excess prices or employ deceptive prices.
  • Promotes Ethical Trade: Companies have open policies for the protection of consumer confidence.

Enshrined rights lead towards a healthier economy as they ensure ethical business practices in return.

Consumer Protection Act

The primary law for consumer rights in India is the Consumer Protection Act. It has provided legal instruments that consumers may use to protest unfair trade practices and seek redressal. Some of the key changes included in the amendment of 2019 are the following:

  • E-commerce Regulations: Online platforms will have to exercise fair practices, and customer grievances will be attended to.
  • Product Liability: Sellers and manufacturers are liable for defects in products that cause injury.

Consumer Dispute Redressal Commissions: Such forums address complaints at the district, state, and national levels. This law is very crucial for the protection of consumer rights in India.

Examples of Consumer Rights in India

Consumer rights in India protect the buyer from all types of unfair trade practices, fraud, and defective products. Examples of numerous real-life experiences facilitate the process of explaining how these rights function and how consumers can use them to redress their grievances. Below are examples of all eight consumer rights in India and their practical usage.

1. Right to Safety 

A consumer purchases an electric iron from a well-known brand. After a few days, while working, it caught fire as some defect in manufacturing overheated it. The accident might have left him seriously injured or even caused property loss.

How Does the Right to Safety Work?

  • The consumer can file a complaint against the manufacturer who sold the dangerous product to him.
  • If the product does not meet BIS safety standards, the company can be penalized.
  • The company must replace the iron or return the money to the customer.
  • The government can also recall the product from the market if many customers encounter similar problems.

2. Right to Information 

A customer buys a fruit juice pack claiming “100% natural.” Then she found some artificial preservatives and added sugar to the list of ingredients that didn’t correspond with the advertisement made by the brand.

Utilization of Right to Information:

  • The customer may complain to FSSAI about false labelling.
  • The company can be forced to re-design its label for that product and must bear penalties due to false advertising.
  • Consumers can seek a refund in case false claims mislead them.
  • This Right allows companies to ensure transparent and honest advertisements for products.

3. Right to Choose

A consumer applies for an internet connection. The service provider states that in order to continue using the internet, they have to enrol themselves in landline services as they are mandatory.

The Right to Choose Ensures This:

  • The consumer can turn down the undesirable service and submit a complaint about the service provider to the TRAI for fraudulent trade practices.
  • Businesses can’t compel customers to purchase unused products or services.
  • The firm may be brought to court over violating the consumer’s rights.

4. Right to Be Heard 

A consumer purchases a new smartphone, but in one week, it begins malfunctioning. The retailer does not appreciate the situation and disregards this complaint.

How does the Right to Be Heard play out?

  • The consumer can directly approach any consumer forum or utilize the National Consumer Helpline-NCH to redress the complaint.
  • If the retailer doesn’t address the issue, the consumer may initiate legal action through a Consumer Dispute Redressal Commission.
  • Companies should have the proper grievance redressal mechanism, and they should listen to consumer grievances.

5. Right to Redressal 

The patient undergoes surgery in a private hospital, but a complication arises during surgery due to the negligence of a doctor, and the hospital also denies the causation of injury.

How Does The Right to Redressal Come into the Play?

  • The consumer court can permit the patient to file a case against the private hospital.
  • The hospital may have to compensate the patient for medical expenses and suffering.
  • The Consumer Protection Act of 2019 recognizes medical negligence as a consumer rights violation.
  • If multiple patients face similar issues, the hospital may face legal action from medical authorities.

6. Right to Consumer Education 

A consumer has seen a small grocery shop offering expired food stuff at discounted prices. They complained to other shoppers and made others aware of hazards associated with eating expired foodstuff.

How Does the Right of Consumer Education Apply?

  • Campaigning, advertising and school education regarding consumer rights are provided
  • India’s government keeps National Consumer Rights Day.
  • Informed consumers can check product expiry dates and avoid health risks.

7. Right to Healthy Environment 

A factory releases harmful chemicals into a nearby river, polluting the water supply for residents. People in the area start experiencing health problems due to contaminated water.

How does the Right to a Healthy Environment Apply?

  • Consumers can report the factory to the Pollution Control Board for violating environmental safety norms.
  • The company will be fined and compelled to desist from the harmful practices.
  • This Right prevents businesses from compromising public health and environmental safety.

8. Right to Fair and Just Treatment 

A bank offers a low-interest personal loan. After the approval, the customer is charged undisclosed fees that were not disclosed initially.

How does the Right to Fair and Just Treatment Apply?

  • The consumer has the Right to lodge a complaint with the RBI against unfair practices by the bank.
  • The hidden charges will have to be repaid, and the terms have to be revised by the bank.
  • It saves consumers from exploitation in their financial transactions. It gives full transparency.

Consumer Rights in India FAQs

1. What are consumer rights?

Consumer rights in India have safeguarded consumer rights against fair trade practices and ensured a level playing field. They include safety, information, choice, redressal, education, a healthy environment, and fair treatment.

2. How many are consumer rights in India?

There are eight consumer rights in India, whereby consumers are protected in all fields of product safety, informed decisions, fair price, and grievance redressal.

3. What are Consumer rights and their protection in India?

Consumer rights prevent exploitation, ensure the quality of products, bring about fair and honest trade practises, punish businesses, hold them responsible or accountable and do not allow fraudulently and faultily manufactured/produced things to reach their consumers.

4. When is National Consumers Rights Day – India

Consumer Rights Day celebrated on December 24, marks the incorporation of the ‘Consumer Protection Act, of 1986’.

5. What are some examples of consumer rights in India?

Examples include the Right to refund for defective goods, penalty for false advertisement, medical negligence compensation, and action against misleading labels given to a product.