Consumer Protection Act Section 39 — Findings of District Commission

CHAPTER IV CONSUMER DISPUTER REDRESSAL COMMISSION

Civil

Summary

Sub-section (1) explains what happens when the District Commission is satisfied that the goods have the defects mentioned in the complaint, or that the allegations about services, unfair trade practices, or product liability claims are proved. In such a case, it must issue an order directing the opposite party to do one or more of the following things.

Under clause (a), the opposite party may be directed to remove the defect from the goods, as pointed out by the appropriate laboratory. Under clause (b), the opposite party may be directed to replace the goods with new goods of similar description that are free from any defect.

Under clause (c), the opposite party may be directed to return to the complainant the price or charges paid, along with interest on that amount as decided by the Commission. Under clause (d), the opposite party may be directed to pay compensation to the consumer for any loss or injury suffered due to the negligence of the opposite party, and the Commission also has the power to grant punitive damages in circumstances it deems fit.

Under clause (e), the opposite party may be directed to pay compensation in a product liability action under Chapter VI. Under clause (f), the opposite party may be directed to remove the defects in goods or deficiencies in the services in question.

Under clause (g), the opposite party may be directed to discontinue the unfair trade practice or restrictive trade practice and not to repeat them. Under clause (h), the opposite party may be directed not to offer hazardous or unsafe goods for sale.

Under clause (i), the opposite party may be directed to withdraw hazardous goods from being offered for sale. Under clause (j), the opposite party may be directed to cease manufacture of hazardous goods and to desist from offering services that are hazardous in nature.

Under clause (k), the opposite party may be directed to pay a sum determined by the Commission if it thinks that loss or injury has been suffered by a large number of consumers who cannot be conveniently identified, and the minimum amount payable shall not be less than twenty-five per cent of the value of such defective goods sold or services provided to those consumers.

Under clause (l), the opposite party may be directed to issue a corrective advertisement to neutralise the effect of a misleading advertisement, at the cost of the party responsible for issuing it. Under clause (m), the opposite party may be directed to provide for adequate costs to parties. Under clause (n), the opposite party may be directed to cease and desist from issuing any misleading advertisement.

Sub-section (2) states that any amount obtained under sub-section (1) shall be credited to such fund and utilised in such manner as may be prescribed.

Sub-section (3) deals with proceedings conducted by the President and a member. If they differ on any point or points, they shall state the points on which they differ and refer the same to another member for hearing on those points, and the opinion of the majority shall be the order of the District Commission. The other member shall give his opinion on the referred points within a period of one month from the date of such reference.

Sub-section (4) states that every order made by the District Commission under sub-section (1) shall be signed by the President and the member who conducted the proceeding. However, where the order is made as per majority opinion under sub-section (3), such order shall also be signed by the other member.

Official Text

(1) Where the District Commission is satisfied that the goods complained against suffer from any of the defects specified in the complaint or that any of the allegations contained in the complaint about the services or any unfair trade practices, or claims for compensation under product liability are proved, it shall issue an order to the opposite party directing him to do one or more of the following, namely:—

(a) to remove the defect pointed out by the appropriate laboratory from the goods in question;

(b) to replace the goods with new goods of similar description which shall be free from any defect;

(c) to return to the complainant the price, or, as the case may be, the charges paid by the complainant along with such interest on such price or charges as may be decided;

(d) to pay such amount as may be awarded by it as compensation to the consumer for any loss or injury suffered by the consumer due to the negligence of the opposite party:

Provided that the District Commission shall have the power to grant punitive damages in such circumstances as it deems fit;

(e) to pay such amount as may be awarded by it as compensation in a product liability action under Chapter VI;

(f) to remove the defects in goods or deficiencies in the services in question;

(g) to discontinue the unfair trade practice or restrictive trade practice and not to repeat them;

(h) not to offer the hazardous or unsafe goods for sale;

(i) to withdraw the hazardous goods from being offered for sale;

(j) to cease manufacture of hazardous goods and to desist from offering services which are hazardous in nature;

(k) to pay such sum as may be determined by it, if it is of the opinion that loss or injury has been suffered by a large number of consumers who are not identifiable conveniently:

Provided that the minimum amount of sum so payable shall not be less than twenty-five per cent. of the value of such defective goods sold or service provided, as the case may be, to such consumers;

(l) to issue corrective advertisement to neutralise the effect of misleading advertisement at the cost of the opposite party responsible for issuing such misleading advertisement;

(m) to provide for adequate costs to parties; and

(n) to cease and desist from issuing any misleading advertisement.

(2) Any amount obtained under sub-section (1) shall be credited to such fund and utilised in such manner as may be prescribed.

(3) In any proceeding conducted by the President and a member and if they differ on any point or points, they shall state the point or points on which they differ and refer the same to another member for hearing on such point or points and the opinion of the majority shall be the order of the District Commission:

Provided that the other member shall give his opinion on such point or points referred to him within a period of one month from the date of such reference.

(4) Every order made by the District Commission under sub-section (1) shall be signed by the President and the member who conducted the proceeding:

Provided that where the order is made as per majority opinion under sub-section (3), such order shall also be signed by the other member.