Consumer Protection Act Section 86 — Liability of product sellers
CHAPTER VI PRODUCT LIABILITY
Civil
Summary
A product seller who is not the manufacturer can be held liable in a product liability action under any of the following circumstances.
Under clause (a), the seller is liable if they had substantial control over the designing, testing, manufacturing, packaging, or labelling of the product that caused the harm.
Under clause (b), the seller is liable if they altered or modified the product, and that alteration or modification was a substantial factor in causing the harm.
Under clause (c), the seller is liable if they made their own express warranty about the product, separate from any warranty made by the manufacturer, and the product failed to meet that warranty, which caused the harm.
Under clause (d), the seller is liable if they sold the product and the manufacturer's identity is unknown, or if the manufacturer is known but legal notice or process cannot be served on them, or the manufacturer is not subject to Indian law, or any court order against the manufacturer cannot be enforced.
Under clause (e), the seller is liable if they failed to exercise reasonable care in assembling, inspecting, or maintaining the product, or if they did not pass on the manufacturer's warnings or instructions about dangers or proper usage when selling the product, and that failure was the direct cause of the harm.
Official Text
A product seller who is not a product manufacturer shall be liable in a product liability action, if—
(a) he has exercised substantial control over the designing, testing, manufacturing, packaging or labelling of a product that caused harm; or
(b) he has altered or modified the product and such alteration or modification was the substantial factor in causing the harm; or
(c) he has made an express warranty of a product independent of any express warranty made by a manufacturer and such product failed to conform to the express warranty made by the product seller which caused the harm; or
(d) the product has been sold by him and the identity of product manufacturer of such product is not known, or if known, the service of notice or process or warrant cannot be effected on him or he is not subject to the law which is in force in India or the order, if any, passed or to be passed cannot be enforced against him; or
(e) he failed to exercise reasonable care in assembling, inspecting or maintaining such product or he did not pass on the warnings or instructions of the product manufacturer regarding the dangers involved or proper usage of the product while selling such product and such failure was the proximate cause of the harm.