Tuesday 21 April 2020

ACS - 01

3rd Part 

Q.  Discuss the inter-relationship between ecology, environment, and consumer.    20
A.  Twentieth-century saw developments in all spheres of human activity. Scientific and industrial progress changed and altered lifestyles and consumption habits of consumers in radical ways. Man's relationship with his environment had been undergoing changes to the detriment of the latter. Some of the causes were, burgeoning populations, & economic strategies that controlled manipulated and exploited the environment for short terms immediate profit of a limited number of people. This process has dislocated the indigenous communities which had evolved time tested survival strategies to live in harmony with the environment.
         All of these have put unprecedented pressure on the natural resources in the environment as well as other life forms in the eco-system. In the earlier decades of the 20th century, as the urbanization expanded and cities grew, the market place also underwent drastic changes. The man grew away from his natural environment & cut down forests and mountains, changed the course of rivers, built massive dams & dumped a huge amount of toxic & bio-degradable wastes all over the planet. The market grew, expanded and brought the fruits of nature to the consumer's doorstep. All of these involved processing, packaging, storage and transportation which altered production and consumption patterns.
           Enormous development in the industry has placed heavy demands on the world's natural resources. Activities like mining and power generation caused serious damage to the environment. Every year millions of tones of chemicals are being produced to be used in various industries including plastics, fertilizers, and pharmaceuticals. Disposal of plastics creates serious environmental problems. They are not bio-degradable and add to the solid waste disposal problem.
          Over the past two decades, world consumption of chemical fertilizers has doubled from 69 million tones in 1970 to about 146 million tonnes in 1990. Total sales of pesticides have increased from $ US 7,700 million in 1977 to $ US 25,000 million in 1992. Fertilizers are easily washed away by drainage water. Nitrates and phosphates, when washed away into rivers and seas, cause dense algal growth that harms fish and other aquatic life. The contamination of groundwater is a major problem in many European countries and the United States. In the case of pesticides, 90% of it did not reach the target pests but they contaminated land, water, and air.
          Thus, the environmental impact of industries on land, water, and air is extremely harmful. These industries release harmful gases, solid wastes and numerous other effluents, some of which are highly toxic.
          Some of the major environmental problems are  -
Ozone Depletion
Ozone is a protective layer in the atmosphere that prevents the harmful ultra-violet rays of the sun from reaching the earth. Due to the use of some ozone-depleting chemicals in industries mainly Chloro-fluoro-carbons (CFC), the Ozone started depleting. A large
hole over the Ozone layer in Antarctica was detected in 1982.
Global Climate Change
Global warming or Green House Effect is defined as the increase in the average temperature of the world due to the increasing level of carbon dioxide gas in the atmosphere. The level of CO2 is steadily increasing due to various human activities especially due to industries and the burning of fossil fuels. If the current level of CO2 emitted into the atmosphere remains the same, then the earth's global mean temperature would rise by about 1°C by 2025 AD. Green House effect would raise the sea levels by about 20 cms by the year 2050 and 65 cms by the year 2100. This would spell trouble for millions of people in low-lying coastal areas and low lying islands such as the Maldives would disappear.

Deforestation
The issue of deforestation and its consequences is visible in the local environment. It is the root cause of many natural disasters like increased floods and droughts, silting of rivers and estuaries, destruction of fish breeding areas and marine habitats. Deforestation is a threat to the survival of millions of people worldwide whose livelihood is sustained by forests.
Loss of Bio-diversity
Most of the developing countries have lost more than 50% of their original habitat and the tropical forests. These forests support well over half the planet's species that covers about 6% of the global land area. As these forests are undergoing relentless deforestation due to economic and population pressures, there is a threat to the survival of these species.

                                       
Q.  Explain the following terms:      20
(b) Consumer Empowerment
(c) Consumer Advocacy
(d) Consumer International
A.  Consumer Empowerment - 10.3.3 The main objective of the manufacturer is to increase the sale of goods and services to reap maximum profits possible and it doesn’t include consumer satisfaction. The providers of goods and services whose major aim is to maximize their profits, often do so at the cost of the consumer either by over-pricing or selling defective or substandard goods or by providing the services which are not up to expectation but are deficient in some respect or the other.
      Consumer empowerment implies strengthening the consumers, both individually and collectively so that they can assert themselves, protect their rights against the exploitation and malpractices. They can demand the redressal of their grievances relating to defects in goods and deficiency in services. The various components of consumer empowerment are as follows:-
- Empowering through the establishment of Rights
- Empowering through responsible action
- Empowering through consumer education by developing the skills
- Empowering through capacity building and developing skills of consumers both individually and collectively.
- Empowering through the enactment of laws
- Empowering through networking and organizational effort.
- Empowering through a voluntary effort by trade and industry.

Q.  Discuss in detail the various consumer rights provided under the consumer protection act.   20
Q.  Discuss in detail the scope, meaning, and importance of the Consumer Rights provided under the Consumer Protection Act, 1986.                       20
A.  The Consumer Protection Act enshrines six rights of the consumers. These are the Right to Safety, Information, Choice, Be Heard, Redressal and Consumer Education.     
1)  Right to Safety
The Right to Safety means the right to be protected against the marketing of goods and services which are hazardous to life and property. What is required here is that the purchased goods (or services) should meet the appropriate safety standards. The right to Safety is not limited to the quality of the product just at the time of purchase. The products should fulfill the long term interests of consumers in terms of safety needs. Therefore it is necessary that before purchasing, consumers should insist on the quality of the products as well as on the guarantee of the products and services. But this does not mean that without a guarantee a consumer does not have the right to safety.
2)  Right to be Informed
This Right means that the consumer has the right to be informed about the quality, quantity, potency, purity, standard and price of goods or services, as the case may be, so as to protect the consumer against unfair trade practices. In other words, the consumer can insist on getting all the information about the product or service before making a choice or a decision. The manufacturer or trader is duty-bound to give this information. This right encourages the consumer to act wisely and responsibly and warns him/her from falling prey to high-pressure selling techniques.
3)  Right to Choose
This Right states that a consumer has a right to buy a product of his/her choice and get satisfaction out of a number of products available in terms of quality and price of goods. A shopkeeper cannot force or impress upon a customer to buy a particular brand or a type of product. In case a particular product is manufactured by only one producer, that is a monopoly product, then this Right means an assurance of satisfactory quality and service at a fair price. This also includes the Right to basic goods and services.
4)  Right to be Heard
The Right to be heard means that consumers' interests will receive due consideration at appropriate forums. It also includes the Right to be represented in various forums formed to consider the consumer's welfare.
        For exercising this right, both the State and the voluntary organizations are supposed to provide necessary forums. The social accountability of producers also demands to provide such forums in the shape of grievance redressal or customer service departments or wings. By enacting the Consumer Protection Act, the Government of India has created Consumer Forums at district, state and national levels to hear the complaints of consumers. The consumers themselves have started forming non-political and non-commercial consumer organizations which can be given representation in various committees formed by the Government and other bodies in matters relating to consumers.
5)  Right to Seek Redressal
The Right to seek redressal means the consumer has the right to seek redressal against unfair trade practices or unscrupulous exploitation of consumers. It also includes the Right to fair settlement of the genuine grievances of the consumer. It also involves the right to receive compensation for faulty goods or services. Redressal implies hearing of complaints and reaching a settlement in a manner that is acceptable to both the consumer as well as the seller. Consumers must make a complaint only for their genuine grievances. Many a time their complaint maybe for a small value but its impact on the society as a whole may be very large. The consumers can also take the help of consumer organizations in seeking redressal of their grievances.
6)  Right to Consumer Education
This Right encourages the consumers to acquire the knowledge and skill to be an informed consumer throughout life. As we know, that ignorance of consumers particularly the rural consumers of their Rights is mainly responsible for their exploitation at the market place. So, consumers should be aware of their rights and must exercise them willingly. However, it is only possible if there is the availability of information at various levels and through various means. The Consumer Protection Act itself provides the Right to consumer education. Therefore it becomes the duty of the government to impart consumer education to the masses. Creating awareness among consumers is also part of their education. This will help a consumer in protecting themselves against fraudulent, deceitful and grossly misleading information, advertising, labeling or other practices. Consumer education also brings alertness and the ability to question about price and quality of goods.

Q.  Role of Consumer Organisations                               5
A.  The role of the consumer organization is to strengthen the consumer movement by organizing campaigns and advocacy programs on various consumer issues. Consumer organizations can bring out the appropriate publications, such as manuals and magazines, pamphlets and leaflets in local languages. It can highlight various aspects of consumer protection in different areas, with reference to the law, rules, regulations, and procedures. It can educate consumers regarding rights and responsibilities.
         They can also organize workshops, seminars and training programs not only on consumer-related topics but also in building up the capacities and developing skills of individual consumers. This will enable them to take a more effective part in the consumer movement. They can help, guide and train individual consumers so that they can represent their grievances and disputes before various Consumer Disputes Redressal forums. The organizations can also join hands with the people in launching boycott programs besides filing Public Interest Litigation on important consumer issues. They can interact effectively as consumer groups with trade and industry to ensure a better deal for consumers by evolving appropriate codes of conduct and business ethics.

Q.  Explain the constitutional provisions that not only empowers the citizens in general but also empowers them as consumers. 10
A.  The Indian state has been enjoined by the constitution to take care of the citizens as consumers. Some of the provisions of the Constitution of India are -
- Article 21 states that no person shall be deprived of his life or personal liberty except according to the procedure established by law (the fundamental right to live).
- Article 32 gives every citizen the right to approach the Supreme Court to enforce his or her fundamental rights (the right to enforce fundamental rights).
- Article 47 directs the state to raise the level of nutrition and the standard of living and improve public health (of the citizen).
Directive Principle of State Policy(earlier)
While Articles 21 and 32 are Fundamental Rights, Article 47 comes under the Directive Principle of State Policy.
- Article 226 stipulates that the High Court can issue the writ on any matter connected with Fundamental Rights.
All the above Constitutional provisions not only empower the citizens in general terms but also empowers them as consumers. The next important consumer protection measure that empowers consumers substantially is the Consumer Protection Act which was enacted in India in 1986.


Q.  Discuss the salient features of the Consumer Protection Act,1986.            20
A.  The Consumer Protection Act,1986 has provisions like-
a)  Provisions for the establishment of Consumers Disputes Redressal Forums at three levels - District, State, and National.
b)  Clear & broader definitions of the consumer-related provisions in the legislation.
c)  Empowering the consumers by encouraging them to exercise his/her rights as a consumer. This means making them conscious of the Rights and encourage them to be assertive about the protection of the Rights.
d)  Consumer Education 
e)  Suggestion of appropriate remedies for Consumer grievances
g)  In terms of geographical application, it applies to the whole of India except the State of Jammu and Kashmir.
h)  It applies to all goods and services except those goods that are notified by the Central Government.
f)  The Act aims to provide better and all-round protection to consumers.
I)  It provides better protection to consumers against different types of exploitation such as defective goods, unsatisfactory (or deficient) services and unfair trade practices.
The Consumer Protection Act,1986 gives 6 rights to consumers. Earlier answer given

Q.  Who is the consumer under the consumer protection act 1986.         5  
A.  According to the Consumer protection act 1986, Consumer means any person, who :
i) buy any goods for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any user of such goods for consideration paid or promised or partly promised, or under any system of deferred payment when such use is made with the approval of such person but does not include a person who obtains such goods for resale or for any commercial purpose; or
ii)  hires or avails of any services for a consideration which has been paid or promised or partly paid and partly promised or under any system of deferred payment and includes any beneficiary of such services other than the person who hires or avails of the services for consideration paid or promised or partly paid or partly promised, or under any system deferred payment when such
services are availed of with the approval of the first-mentioned person;

Q.  Explain the meaning of Consumer Rights. Discuss in detail the Consumer Rights enshrined in the Consumer Protection Act, 1986.                    20
A.  Consumer Rights mean that all consumers have the right to obtain goods and services of reasonable quality at fair prices. In legal terms, it means the imposition of duties on the sellers, manufacturers, and providers of services for faulty goods or deficiency in services. Therefore violation of these rights and duties may entail legal action or punishment. The Consumer Protection Act, for the first time, enumerates the Consumer Rights as Legal Rights. Rights already given

Q.  Describe the three-tier consumer grievance Redressal machinery provided under the Consumer Protection Act, 1986.10
A.  For enforcement of the rights of the consumers, the CPA Act has created special consumer Courts. The Act provides for a three-tier consumer grievance redressal machinery with the District Forums at the base, the State Commission at the middle level and the National Commission at the apex level. The State and national level bodies also function as appellate authorities. Any verdict given by the National Commission can be challenged in the Supreme Court. The cost of goods or services and compensation asked for is the criterion for filing the complaint with the above Redressal Fora. The Redressal Fora constitute quasi-judicial machinery to provide speedy and simple justice to consumers.
     No court fee or any other charge is to be paid in respect of any complaint or petition of appeal or revision, however high be the value of its subject matter. Thus, the Act provides a simple, speedy and inexpensive redressal of consumer grievances relating to defective goods. The complainant has to write the grievances on the simplest form and furnish the name and address of the opposite party against whom the complaint is made. It may even be in the form of a letter to the concerned Redressal Forum and no formalities of any type would be insisted upon. Appearance may be either by the complainant himself in person or by an agent duly authorized by him. It is not obligatory to engage any advocate. Thus, it is a far more convenient law for consumers.
Setting up of a three-tier Consumer Disputes Redressal agency has the following components:-
i)  District Consumer Disputes Redressal Forum-for claims up to Rs. 5 Lakhsthe District Forum is established by the State Government in each district by notification. If the State Government is of the view then it can establish more than one District Forum in a district.
ii)  State Consumer Disputes Redressal Consumer - 10; claims from Rs. 5 to Rs. 20 Lakhs. The State Commission established by the State Government by notification in the Official Gazette.
iii)  National Consumer Disputes Redressal Consumer - for claims above Rs. 20 Lakhs. National Consumer Disputes Redressal Commission established by the Central Government by notification.
The District Forums have original jurisdiction while the State and National Consumers have original, appellate and revisional jurisdictions.

Q.  Remedies provided under the Consumer Protection Act, 1986.
A.  Setting up of Central and State Consumer Protection Councils with the object of perfecting the rights of the consumer, such as
a)  the right to be protected against the marketing of goods and services which are hazardous to life and property
b)  the right to be informed about the quality, quantity, potency, standard and price of goods or services as the cay may be, so as to protect the consumer against unfair trade practices
c)  the right to be assured, whenever in trouble, access to a variety of goods and services at competitive prices
d)  the right to be heard and to be assured that consumers interests will receive due consideration at appropriate forums
e)  the right to seek re&essal against unfair trade practices or restrictive trade practices or unscrupulous exploitation of consumers
f)  the right to consumer education.
Setting up of a three-tier Consumer Disputes Redressal agency with the following components:-
i)  District Consumer Disputes Redressal Forum-for claims up to Rs. 5 Lakhs
ii)  State Consumer Disputes Redressal Consumer - 10; claims from Rs. 5 to Rs. 20 Lakhs
iii)  National Consumer Disputes Redressal Consumer for claims above Rs.20 Lakhs
The District Forums have original jurisdiction while the State & National Consumers have original, appellate and revisional jurisdictions.

Q.  What does green consumerism mean to describe its importance.  10
A.  'Green Consumer' means a consumer who takes care of the environment, conservation of resources and prevention of pollution while consuming goods. The rise of 'Green Consumerism', consumer education is orienting societies to consume products & services based on an ethical and environmental conscience. Producers and their products are no longer merely judged on quality, durability, performance, price and after-sales services. More & more consumers now evaluate products and producers based on three additional criteria; i.e., Ethics, Ecology, and Equity. This implies the following:
a)  Is the production ethical? Does the concerned company engage in business practices that take advantage of lenient legal, social and environmental regulations in Third World host countries? This is as compared with the strict regulations existing in the company's home country. Does the company engage in malpractices like bribery and corruption?
b) Is the production ecological-friendly? Is the production process in harmony with the environment?
C) IS the production equitable? Is it fair to the traditions and economics of local communities and vulnerable Third World societies?
Ecological or 'green' issues are particularly important in today’s environment and the consumers use their power of not buying products that are likely to:
(a)  cause significant damage to the environment due to excessive exploitation of natural resources,
(b)  consume a huge amount of energy during the manufacture, use or disposal of goods
 (c)  cause unnecessary waste either because of over packaging or because of unduly short product life,
(d)  use material that is derived from endangered species or from threatened environments
(e) involve the unnecessary use of animals or cruelty to animals, whether it is for toxicity testing or for other purposes and
(f) adversely affect communities, particularly in the Third World.
A green or ecological consumer enquires about the product's quality, its long term impact not on his pocket alone, but on the environment and on distant parts of the world.

Q.  Why is there a need for Consumer Protection?  Explain.  10
Q   Need for consumer protection laws                         5
A.  Today fleecing of customers by sellers has become widespread in the market. In today’s market economy the consumer has no power to order and purchase what he desires. He dreams of a buyers market, but everywhere he comes across only a seller's market. Business firms spend huge amounts of money on advertising their products and services. Most of these advertisements are vague and highly exaggerated with no provable claims. They are factually incorrect and mislead the customers. Take it or leave it" is the sellers' attitude towards the consumers. False or misleading advertisements or representations, fixing, bargain prices, faulty weights, and measures, mislabeling, adulteration, the offering of gifts, prizes, contents, non-compliance of product safety standards and hoarding of goods to create artificial scarcity are some of the problems faced by the consumers. Under these conditions, consumer protection has become a necessity.
Consumer protection means policies and actions, usually involving intervention by the government that was designed to ensure that all consumers obtain goods and services of reasonable quality at fair prices. Consumer protection covers all goods and services and it is directed against unscrupulous sellers or uncaring civil servants. It is against the information regarding price and quality that may be false, biased or incomplete. It also includes the protection required from the laws, regulations and regulatory agencies which favour producers rather than consumers. To protect the consumers, govt enacted certain laws. These laws give a number of rights to consumers. More importantly, these rights are not merely social codes but most of these now have legal sanctions behind them. In other words, these rights are enforceable laws. In legal terms, it means the imposition of duties on the sellers, manufacturers, and providers of services for faulty goods or deficiency in services. Therefore violation of these rights and duties may entail legal action or punishment.
        Consumer protection is a necessity in modern times. For long the traders and manufacturers have been disregarding the interests of consumers in respect of quality, price, and availability.

Q.  Define the terms 'Misbranded' and 'Adulterated' under the Consumer Protection Act, 1986.                                                10
A.  "Misbranded": An food item shall be deemed as misbranded:
a)  if it is an imitation of or is a substitute for, or resembles another food item under the same name which deceives the consumer. If it is not clearly labeled that would indicate its true character.
b)  if it is falsely stated to be the product of any place or country;
C)  if it is sold by a name which belongs to another article of food;
d)  if it is so coloured, flavoured or coated, powdered or polished that conceals  the fact that the article is damaged or if the article is made to appear better or of greater value than it really is:
e)  if false claims are made for it upon the labels or otherwise;
f)  If the contents of packaged goods are not conspicuously and correctly stated on the outside as per the provisions of the act;
g)  if the package containing the product or the label on the packaged goods bears the name of a fictitious individual or company as the manufacturer or producer of the article;
h)  if it is represented as the product for special dietary uses, then its label must bear such information concerning its vitamin, mineral or other dietary properties in order to sufficiently inform the purchaser as to its value for such uses;
i)  if it contains any artificial flavouring, artificial colouring or chemical preservative,
without a declaratory label stating this fact, then it is in contravention of the requirements of this Act or rules and can be deemed as misbranded.
J)  if the label is not according to the requirements or provisions of the PFA Act or rules made thereunder;

"Adulterated"--an article of food shall be deemed to be adulterated:
a)  if the article sold by a vendor is not of the nature, substance or quality as demanded by the purchaser or is not of the nature, substance or quality which it claims or is represented to be;
b)  if the article contains any other substance which affects the quality, or if the article is so processed that it affects, damages or changes the nature, substance or quality thereof;
c)  if any inferior or cheaper substance has been substituted wholly or in part for the article that affects the nature, substance or quality of the article ;
d)  if any constituent of the article has been abstracted either wholly or in part that affects the nature, substance or quality of the article.
e)  if the article has been prepared, packed or kept under unhygienic conditions whereby it has become contaminated or injurious to health; 
f)  if the article consists wholly or in part of any filthy, putrid, rotten, decomposed or , diseased animal or vegetable substance or is insect infested or is otherwise unfit for human consumption;
(g)  if the article is obtained from a diseased animal.

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