Question

‘Most consumers are unaware of their rights and responsibilities and do not know the various legislative provisions that have been made to protect them.’

1. Which law was formed to protect consumers? And when was it implemented?  (2)
2. Give two implications and four features of this law.  (3)

Answer 1

a. Consumer Protection Act (CPA) and it was implemented in 1986.

b. Two implications of CPA:

1. It gives the consumer the right to complain to an authority about his/her grievances and seek speedy redressal.
2. The consumer can claim compensation for any loss or injury suffered on account of the negligence of the manufacturer.

Four features of CPA:

1. Simple procedure
2. Speedy redressal
3. Inexpensive redressal
4. It applies to all goods and services
5. Strict penalties for misleading advertisements