Consumers not to be Deceived by Misleading Advertisements: Union Cabinet Passes Consumer Protection Bill, 2017

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Union Cabinet approved the Consumer Protection Bill 2017 which aims to give strength to consumer protection measures and set up mechanism to deal with misleading advertisement given by companies.

The Bill will replace current Consumer Protection Act, 1986 and it is likely to incorporate the revised United Nations guidelines on consumer protection.

The Bill was originally drafted in 2015 and tabled in the Lok Sabha to repeal the 30 year old Consumer Protection Act, 1986.

A Parliamentary Committed had also proposed its recommendations.

The Cabinet approved fresh Consumer Protection Bill, 2017 after withdrawal of 2015 Bill as it has incorporated several fresh amendment in this Bill.

The Bill seeks to enlarge the scope of existing law by incorporating stringent provisions and penalties for default in consumer services.

Major amendments of the Consumer Protection Bill, 2017 are as under:-

  1. The Bill will replace the Consumer Protection Act, 1986.
  2. The Bill sets penalty up to life Imprisonment and default in manufacturing goods, storing and adulteration of foods etc.
  3. The Bill seeks to establish Central Consumer Protection Authority (CCPA) for faster redressal of consumer complaints.
  4. The bill has stringent provisions for misleading advertisements and e-commerce trade.
  5. The amendment has provisions for mediation as an Alternative Dispute Resolution.
  6. The bill will enable the consumer to lodge complaint anywhere.
  7. The Bill provides for 3 years ban and imprisonment as penalty on misleading advertisements by celebrities.
  8. The consumer can also make a claim for product liability against the manufacturer in case of any injury due to adulterous food.

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