|
|
||
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 in charge 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 forty-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)
|
Expert 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
endeavor 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, and
|
|
(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 (5 of 1908) shall apply subject to the modification
that every reference therein to the plaintiff and the defendant shall be
construed as reference to a complainant or the opposite party, as the case
may be.
|
|
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 percent 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 in charge 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.
|
Transfer of cases. - On the
application of the complainant or of its own motion, the State Commission
may, at any stage of the proceeding, transfer any complaint pending before
the District Forum to another District Forum within the State if the interest
of justice so requires.
|
|
17B.
|
Circuit Benches.-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 there under 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:
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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.
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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:
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19A.
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Hearing of
Appeal -
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:
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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:
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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.
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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.
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20.
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Composition of
the National Commission:-
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(1)
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The National Commission shall consist of—
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(a)
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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;
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Provided that no appointment under this
clause shall be made except after consultation with the Chief Justice of
India;
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(b)
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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:—
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(i)
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be not less than thirty-five years of age;
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(ii)
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possess a bachelor's degree from a recognised university; and
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(iii)
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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:
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Provided that not more than fifty per cent of the members shall be
from amongst the persons having a judicial background.
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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:
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(a)
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has been convicted and
sentenced to imprisonment for an offence which, in the opinion of the Central
Government, involves moral turpitude; or
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(b)
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(c)
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(d)
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has been removed or
dismissed from the service of the Government or a body corporate owned or
controlled by the Government; or
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(e)
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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
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(f)
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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:—
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(a)
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a person who is a Judge of the Supreme
Court, to be nominated by the Chief Justice of India —Chairman;
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(b)
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the Secretary in the Department of
Legal Affairs in the Government of India —Member;
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(c)
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Secretary of the Department dealing with consumer affairs in the
Government of India —Member.
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(1A)(i)
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The jurisdiction, powers and authority of the National Commission may
be exercised by Benches thereof.
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(ii)
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A Bench may be constituted by the President with one or more members
as the President may deem fit.
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(iii)
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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.
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(2)
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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.
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(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:
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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:
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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) :
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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.
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(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.
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21.
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Jurisdiction
of the National Commission:-
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Subject to the other provisions of this
Act, the National Commission shall have jurisdiction—
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(a)
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to entertain—
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(i)
|
complaints where the value of the goods
or services and compensation, if any, claimed exceeds rupees one crore; and
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(ii)
|
appeals against the orders of any State
Commission; and
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(b)
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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.
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22.
|
Power of and procedure applicable to the
National Commission:-
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(1)
|
The provisions
of sections 12, 13 and 14 and the rules made there under 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.
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(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.
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22A.
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Power to set
aside ex parte orders. - 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.
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22B.
|
Transfer of
cases -
On the application of the complainant or of its
own motion, the National Commission may, at any stage of the proceeding, in
the interest of justice, transfer any complaint pending before the District
Forum of one State to a District Forum of another State or before one State
Commission to another State Commission.
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22C.
|
Circuit
Benches -
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.
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22D.
|
Vacancy in the
Office of the President - 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:
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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.
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23.
|
Appeal:- —
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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:
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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.
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||
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.
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24.
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Finality of Orders:-
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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.
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24A.
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Limitation period:-
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(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.
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(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:
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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.
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||
24B.
|
Administrative Control:-
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|
(1)
|
The National Commission shall have
administrative control over all the State Commissions in the following
matters, namely:—
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|
(i)
|
calling for periodical return regarding
the institution, disposal pendency of cases;
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(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;
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(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.
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|
(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).
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25.
|
Enforcement of
orders of the District 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.
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(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.
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(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.
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|
26.
|
Dismissal of frivolous or vexatious
complaints:-
|
|
Where a complaint instituted before the
District Forum, the State Commission or as the case may be, the National
Commission, 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
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||
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:
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|
(2)
|
Notwithstanding
anything contained in the Code of Criminal Procedure, 1973, (2 of 1974), 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 (2 of 1974).
|
|
(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.
|
Appeal against
order passed under section 27:-
|
|
(1)
|
Notwithstanding
anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), 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.
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