Lok Sabha passes Consumer Protection Bill 2019

New Delhi: The Lok Sabha on Monday passed the Consumer Protection Bill 2019 that aims to protect the interests of consumers by establishing authorities for timely and effective administration and settlement of consumers’ dispute.

Moving the Bill, Minister of State for Consumer Affairs, Food and Public Distribution, Raosaheb Patil Danve said the Bill aims to simplify a number of rules. With the passage of the Bill, consumers will be able to get speedy justice.

Under the Bill, there is provision for central government to set up a Central Consumer Protection Authority (CCPA) to promote, protect and enforce the rights of consumers and will be empowered to investigate, recall, refund and impose penalties.

It will regulate matters related to violation of consumer rights, unfair trade practices, and misleading advertisements.

There is also a provision for class action law suit for ensuring that rights of consumers are not infringed upon. The authority will have power to impose a penalty on a manufacturer or an endorser of up to 10 lakh rupees and imprisonment for up to two years for a false or misleading advertisement.

The Bill also has provisions for product liability action that will hold manufacturer or product service provider or product seller responsible to compensate for injury or damage caused by defective product or deficiency in services.

The Bill will now go to Rajya Sabha for passage.