When we make a purchase with our hard-earned money, we expect the best products and services. But what if you are not getting the expected quality? In that situation, do you have any legal options to opt for? Can you sue the shopkeeper for selling a low-quality product or can you sue a company for bad service?
Yes, of course, you can. Consumer Protection Act of 2019 protects you as a consumer against any kind of exploitation and entitles you to several consumer rights. And when these rights are violated, you can approach appropriate forums at District, State or National level. But how to file a consumer complaint in India? What is the fee for filing a consumer case in India? Is there a limit on the price of a good or service when filing a consumer complaint?
Let’s find out in this detailed article about the process to file a consumer case or complaint.
For What Issues You Can File A Consumer Complaint?
Before proceeding to take legal action, make yourself aware of the circumstances where you can file a consumer complaint. There are billions of consumers in the country who make offline as well as online purchases. The probability of fraud and customer exploitation is high during online shopping. Last year, e-commerce giants Flipkart and Amazon were in the headlines for delivering the wrong items. These headlines include Amazon sent dog food instead of an Apple laptop, Flipkart delivered soap after he ordered a laptop, a man ordered a drone from Meesho but got potatoes and there were many other incidents reported in the year 2022.
So are these customers allowed to file a complaint against these big brands? Yes, surely they have. Here are the circumstances or cases in which you can file a consumer complaint in India.
- Defective products: If a consumer receives a product that is defective or not working properly, they can file a complaint.
- Unfair trade practices: If a business engages in deceptive or unfair trade practices, such as false advertising, a consumer can file a complaint.
- Overcharging: If a business charges more than the MRP (Maximum Retail Price) for a product, a consumer can file a complaint.
- Poor quality of service: If a consumer receives poor quality service, they can file a complaint.
- Non-disclosure of information: If a business does not provide accurate information about the product or service, a consumer can file a complaint.
- Unsatisfactory after-sales service: If a consumer receives unsatisfactory after-sales service, they can file a complaint.
- Misleading advertisements: If a business engages in misleading advertising, a consumer can file a complaint.
- Non-compliance with safety standards: If a business does not comply with safety standards for its products or services, a consumer can file a complaint.
- Delay in delivery: If a consumer does not receive the product or service within the stipulated time frame, they can file a complaint.
- Refusal to return or replace a defective product: If a business refuses to accept a return or replace a defective product, a consumer can file a complaint.
Who Can File A Complaint In Consumer Court Under Consumer Protection Act?
Who is considered a consumer under Consumer Protection Act, 2019? Can a minor file a consumer complaint? Consumer Protection Act defines a consumer and also elaborates on who is not a consumer. A consumer complaint can be filed by
- A consumer,
- Any voluntary consumer association registered under any law for the time being in force,
- Central Government or any State Government,
- Central Authority,
- One or more consumers, where there are numerous consumers having the same interest,
- In case of the death of a consumer, his legal heir or legal representative, or
- In case of a consumer being a minor, his parent or legal guardian.
Who Is A Consumer Under Consumer Protection Act, 2019?
According to Section 2(7) of the 2019 Act, a CONSUMER means any person
(i) buys 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 other than the person who buys such goods for consideration paid or promised or partly paid 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 service 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 service other than the person who hires or avails of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred payment, when such services are availed of with the approval of the first-mentioned person, but does not include a person who avails of such service for any commercial purpose.
Who Is Not A Consumer?
Any person who obtains the goods for ‘resale’ or commercial purposes’ is not a consumer – The term ‘for resale’ implies that the goods are brought for the purpose of selling them, and the expression ‘for commercial purpose’ is intended to cover cases other than those of resale of goods. When goods are bought to resell or commercially exploit them, such buyer or user is not a consumer under the Act.
What Type Of Relief And Compensation Are Available To The Consumer According To Consumer Protection Act?
- Rectification of any defects found in the goods.
- Substitution of the goods.
- Reimbursement of the amount paid.
- Rectification of any shortcomings or flaws in the service provided.
- Provision of compensation for any loss or harm incurred.
- Cessation and prohibition of unfair trade practices.
- Removal of dangerous goods from sale.
- Discontinuation of manufacturing of hazardous goods and refrain from providing hazardous services.
- Issuance of corrective advertisements to counteract the impact of false or misleading ads.
- Provision of reasonable costs to all parties involved.
Legal Procedure To File A Consumer Complaint In India?
In order to avoid exploitation and financial as well as mental exploitation, Consumer Protection Act has been put into place to curb unfair trade practices. Right after the independence, constant efforts are made to safeguard the customers against any kind of exploitation. The Indian Standards Institution(Certification Marks) Act 1952, The Prevention of Food Adulteration Act 1954, The Standards of Weights and Measures Act 1976, and The Trade and Merchandise Marks Act 1958 were there for this purpose. But the legal processes under these laws were not suitable for every aggrieved customer who wants to file a civil suit.
To make the process easier for the redressal of customer grievances, Consumer Protection Act 1986 was legislated. The Act described a consumer who can file a consumer case for the violation of consumer rights. It defined a “consumer” as any person who buys goods or avails any service for consideration and does not include any user but does not include a person who obtains such goods for resale or for any commercial purpose.
The 2019 amendment added more to the definition and included the buying of goods and availing of services through all the modes of transactions, including offline, online, telephonic,direct-selling, or multi-level marketing. The process of establishment of quasi-judiciary machinery which will redress the grievances is mentioned in the 1986 legislation.
Here is the complete process to file a consumer complaint in India which you all should be aware of.
1. Legal Notice
The very first thing you need to do during a consumer conflict case is to send a legal notice. Before filing a formal complaint, you can send a legal notice to the business or accused party in connection to the deficiency in service or unfair trade practice. You can sue someone if they are selling faulty goods. The legal notice is served to ensure an option for the accused party to accept its mistake(if any) and either refund the money or provide the deserving compensation for the unjustified loss.
2. Wait For Response
After you’ve sent a legal notice, wait for a few days for the response from the other party. In case the accused party doesn’t respond to the notice within 30 days or refuses to take action as per the conditions mentioned, the aggrieved party has the right to seek redressal in the appropriate consumer commission or court.
3. Draft Consumer Complaint
As discussed above, the next step is to file a formal consumer complaint. The aggrieved party can get the complaint drafted by an experienced consumer law lawyer to avoid any consequences. Though it is not mandatory to hire a consumer lawyer. You can file the case yourself under Consumer Protection Act.
4. Finding Appropriate Jurisdiction To File Complaint
In the next step, you have to find the right jurisdiction where you can file the complaint. In order to make processes more easier and accessible, Consumer Protection Act 2019 replaced the 1986 Act. There are two ways a jurisdiction can be selected to file a consumer case in a forum.
District Consumer Disputes Redressal Commission
Territorial jurisdiction
Under Section 34 (2) of Consumer Protection Act, 2019,
A complaint shall be instituted in a District Commission within the local limits of whose jurisdiction,–
(a) the opposite party or each of the opposite parties, where there is more than one, at the time of the institution of the complaint, ordinarily resides or carries on business or has a branch office or personally works for gain; or
(b) any of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides, or carries on business or has a branch office, or personally works for gain, provided that in such case the permission of the District Commission is given; or
(c) the cause of action, wholly or in part, arises; or
(d) the complainant resides or personally works for gain.
(3) The District Commission shall ordinarily function in the district headquarters and may perform its functions at such other place in the district, as the State Government may, in consultation with the State Commission, notify in the Official Gazette from time to time.
Pecuniary jurisdiction
As per Section 34 (1) of the Consumer Protection Act, 2019, Subject to the other provisions of this Act, the District Commission shall have jurisdiction to entertain complaints where the value of the goods or services paid as consideration does not exceed one crore rupees. The limit was Rs 20,00,000 earlier.
State Consumer Disputes Redressal Commission
Territorial Jurisdiction
Section 47 of Consumer Protection Act, 2019
Jurisdiction of State Commission.- (1) Subject to the other provisions of this Act, the State Commission shall have jurisdiction—
(a) to entertain—
(i) complaints where the value of the goods or services paid as consideration, exceeds rupees one crore, but does not exceed rupees ten crores:
Provided that where the Central Government deems it necessary so to do, it may prescribe such other value, as it deems fit;
(ii) complaints against unfair contracts, where the value of goods or services paid as consideration does not exceed ten crore rupees;
(iii) appeals against the orders of any District Commission within the State; and
(b) to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any District Commission within the State, where it appears to the State Commission that such District Commission has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested or has acted in exercise of its jurisdiction illegally or with material irregularity.
(2) The jurisdiction, powers and authority of the State Commission may be exercised by Benches thereof, and a Bench may be constituted by the President with one or more members as the President may deem fit:
Provided that the senior-most member shall preside over the Bench.
(3) Where the members of a Bench differ in opinion on any point, the points shall be decided according to the opinion of the majority, if there is a majority, but if the members are equally divided, they shall state the point or points on which they differ, and make a reference to the President who shall either hear the point or points himself or refer the case for hearing on such point or points by one or more of the other members and such point or points shall be decided according to the opinion of the majority of the members who have heard the case, including those who first heard it:
Provided that the President or the other members, as the case may be, shall give an opinion on the point or points so referred within a period of one month from the date of such reference.
(4) A complaint shall be instituted in a State Commission within the limits of whose jurisdiction,–
(a) the opposite party or each of the opposite parties, where there are more than one, at the time of the institution of the complaint, ordinarily resides or carries on business or has a branch office or personally works for gain; or
(b) any of the opposite parties, where there are more than one, at the time of the institution of the complaint, actually and voluntarily resides, or carries on business or has a branch office or personally works for gain, provided in such case, the permission of the State Commission is given; or
(c) the cause of action, wholly or in part, arises; or
(d) the complainant resides or personally works for gain.
Pecuniary Jurisdiction
Under Section 47(1) of the Consumer Protection Act, 2019, the consumer can file a consumer complaint about consumer dispute and unfair contracts to the State Consumer Disputes Redressal Commission where the value of the goods or service paid as compensation between one crore but does not exceed rupees ten crores. The pecuniary jurisdiction has been increased from Rs 100,00,000 to Rs 10,00,00,000.
National Consumer Disputes Redressal Commission
Territorial Jurisdiction
Section 58 Of The Consumer Protection Act, 2019
Jurisdiction of National Commission.- (1) Subject to the other provisions of this Act, the National Commission shall have jurisdiction-
(a) to entertain—
(i) Complaints where the value of the goods or services paid as consideration exceeds rupees ten crore:
Provided that where the Central Government deems it necessary so to do, it may prescribe such other value, as it deems fit;
(ii) Complaints against unfair contracts, where the value of goods or services paid as consideration exceeds ten crore rupees;
(iii) Appeals against the orders of any State Commission;
(iv) Appeals against the orders of the Central Authority; and
(b) to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any State Commission where it appears to the National Commission that such State Commission has exercised a jurisdiction not vested in it by law, or has failed to exercise a jurisdiction so vested, or has acted in the exercise of its jurisdiction illegally or with material irregularity.
(2) The jurisdiction, powers and authority of the National Commission may be exercised by Benches thereof and a Bench may be constituted by the President with one or more members as he may deem fit:
Provided that the senior-most member of the Bench shall preside over the Bench.
(3) Where the members of a Bench differ in opinion on any point, the points shall be decided according to the opinion of the majority, if there is a majority, but if the members are equally divided, they shall state the point or points on which they differ, and make a reference to the President who shall either hear the point or points himself or refer the case for hearing on such point or points by one or more of the other members and such point or points shall be decided according to the opinion of the majority of the members who have heard the case, including those who first heard it: Provided that the President or the other member, as the case may be, shall give opinion on the point or points so referred within a period of two months from the date of such reference.
Pecuniary Jurisdiction
In the Consumer Protection Act of 2019, the pecuniary jurisdiction to file consumer complaint in National Consumer Dispute Redressal Commission has been increased from Rs.10,00,00,000 to above Rs.10,00,00,000 under Section 58 of the Consumer Protection Act.
What Is Alternate Dispute Resolution?
The Consumer Protection Act of 2019 provides for three modes of alternative dispute resolution (ADR) mechanisms to settle consumer disputes outside of court. These include:
Mediation: It is a process where a neutral third-party mediator helps the parties involved in the dispute reach an amicable settlement by facilitating communication and negotiations between them. Mediation is a voluntary process, and the mediator does not have the power to make a binding decision.
Conciliation: is a process where a conciliator, who is also a neutral third party, assists the parties in resolving the dispute. However, unlike mediation, the conciliator can propose a solution to the parties, which they can accept or reject. The parties may agree to a settlement, which is then binding on both parties.
Arbitration: It is another form of ADR, where the parties involved in the dispute agree to appoint an arbitrator or a panel of arbitrators to adjudicate the dispute. The arbitrator or panel of arbitrators will then make a binding decision, which is enforceable in court. The decision of the arbitrator or panel of arbitrators is final and binding on the parties.
Under the Consumer Protection Act of 2019, ADR mechanisms are voluntary and can only be initiated by the parties themselves. In addition, ADR mechanisms can only be used if the dispute is related to a transaction between a consumer and a seller, service provider, or manufacturer. ADR mechanisms are not available for disputes involving product liability claims or disputes related to the violation of consumer rights.
Composition Of District Consumer Disputes Redressal Commission
As per Section 28 (2) of the Consumer Protection Act, each District Commission shall consist of—
(a) a President, who has qualified or has been qualified to be a district judge.
(b) not less than two and not more than such number of members as may be prescribed, in consultation with the Central Government. One of the members should be a woman.
Establishment Of State Consumer Disputes Redressal Commission
As per Section 42(3) of the Consumer Protection Act 2019, each State Commission shall consist of—
(a) a President who has been a High Court judge and is designated by the state government. The appointment is made after consultation with the Chief Justice of India.
(b) not less than four or not more than such number of members as may be prescribed in consultation with the Central Government. One of the members should be a woman. These appointments should be made only after the consultation with a selection committee comprising of:
- President of the state commission,
- Secretary of the law department of the State,
- Secretary in charge of the department dealing with consumer affairs in the respective state.
Composition Of National Consumer Disputes Redressal Commission
As per Section 54 of the Consumer Protection Act of 2019, the National Commission shall consist of—
(a) a President who is a judge or has been a judge of the Supreme court.
(b) not less than four and not more than such number of members as may be prescribed. One of those members should be a woman. These appointments are made by the Central govt over selection committee recommendations which comprises of
- A person who is a judge of the Supreme Court to be nominated by the chief justice of India.
- The secretary in the Department of legal affairs in the government of India.
- Secretary of the Department dealing with consumer affairs in the Government of India.
5. Limitation Period To File A Consumer Complaint In India
Under Section 69 of the Consumer Protection Act, 2019,
(1) The District Commission, the State Commission or the National Commission shall not admit a complaint unless it is filed within two years from the date on which the cause of action has arisen.
(2) Notwithstanding anything contained in sub-section (1), a complaint may be entertained after the period specified in sub-section (1), if the complainant satisfies the District Commission, the State Commission or the National Commission, as the case may be, that he had sufficient cause for not filing the complaint within such period: Provided that no such complaint shall be entertained unless the District Commission or the State Commission or the National Commission, as the case may be, records its reasons for condoning such delay.
However, a District, State or National Consumer Forum can take a complaint after 2 years also if they are satisfied with the complainant’s reasons behind the delay.
6. Payment Of Court Fee
After drafting the complaint and selecting the appropriate jurisdiction, pay the court fee which differs from person to person and jurisdiction to jurisdiction.
Fee For District Consumer Disputes Redressal Commission
- When the total value of goods or services is up to Rs 1 lakh, the complainants who are below the poverty line and are Antodaya Anna Yojana Card holders don’t have to pay court fees.
- For the same limit, the complainants who don’t have an Antodaya Anna Yojana Card have to pay Rs 100.
- If the value of goods or services is above Rs 1 lakh and up to Rs 5 lakh, the complainant has to pay Rs 200 as a court fee.
- When the value of goods or services is above Rs 5 lakh and up to Rs 10 lakh, the aggrieved party has to pay Rs 400.
- When the value of goods or services is above Rs 10 lakh and up to Rs 20 lakh, the complainant has to pay Rs 500.
Fee For State Consumer Disputes Redressal Commission
- If the value of goods or services is above Rs 20 lakh and upto Rs 50 lakh, the complainant has to pay Rs 2000.
- When the value of goods or services is above Rs 50 lakh and upto Rs 1 crore, the applicable fee is Rs 4000.
Fee For National Consumer Disputes Redressal Commission
If the value of goods and services is above Rs 1 crore, the applicable fee is Rs 4000.
7. What Are The Documents Required To File A Consumer Complaint In India?
When it comes to the content that needs to be included in the complaint, these are the required documents that you need to have.
- Name, description and address of the complainant(s) and the Opposite Party or parties.
- Cause of Action, the approximate date, time and venue.
- Relevant facts relating to the cause of action.
- The Relief or Remedy claimed by the complainant in accordance with the facts of the case.
- Signature and Verification by the complainant or his authorized agent.
Additional Documents To Make Your Consumer Complaint Stronger
- A copy of the bill, receipt of delivery, packaging of a product, and a record of online booking of the goods bought.
- Warranty/Guarantee certificates.
- A copy of the written complaint and notice sent to the manufacturer/seller.
Besides all of these details, there are other things that need to be included in the complaint which includes
- The complainant should specify the compensation amount and can also seek a refund, damages, litigation expenditure and other expenses.
- The complaint should also mention the statement of jurisdiction explaining why the case falls under a particular jurisdiction.
- A verification affidavit should be attached to the complaint to state that the claims and facts in it are true and correct.
- When filing a complaint in District or State Consumer Disputes Redressal Commission, it should be filed in three sets and if you are filing the complaint in National Consumer Disputes Redressal Commission, it needs to be filed in four sets.
How To File A Consumer Complaint Online?
Department of Consumer Affairs has made the consumer complaint filing process more accessible and easy by introducing the online portal where a complainant can register a consumer complaint online and don’t have to run around.
Step 1: Visit the official website of the National Consumer Helpline (NCH)
The first step is to visit the official website of the National Consumer Helpline (NCH) at https://consumerhelpline.gov.in/. The NCH is a government-run initiative that provides support and guidance to consumers in India.
Step 2: Click On “File A Complaint” Option
Once you are on the NCH website, click on the “File a Complaint” option. This will take you to a page where you will be required to provide some basic information about yourself and the complaint.
Step 3: Register Or Login
If you are a new user, you will need to register on the NCH website by providing your name, email address, and phone number. If you are already registered, simply login using your registered email address and password.
Step 4: Fill In The Complaint Form
Once you have logged in, you will be required to fill in a complaint form. This form will ask for details such as the name and address of the company against whom you wish to file a complaint, a description of the complaint, and any supporting documents that you may have.
Step 5: Submit The Complaint
Once you have filled in all the necessary details, click on the “Submit” button to file your complaint. You will receive a reference number for your complaint, which you should keep safe for future reference.
Step 6: Follow-Up On Your Complaint
After you have submitted your complaint, the NCH will forward it to the appropriate authority for further action. You can track the status of your complaint by logging in to your account on the NCH website. You can also contact the NCH helpline at 1800-11-4000 for any further assistance.
In conclusion, filing a consumer complaint online in India is a relatively easy process that can be done through the official website of the National Consumer Helpline. By following the steps outlined above, you can file your complaint and seek redressal for any consumer grievances that you may have.
Conclusion
If you are an entrepreneur, it is always advised to make sure that you make a customer and not just a sale. Because if you are offering bad products or services, this ix`s not just going to cost you your profits but can also land you in legal trouble. Hopefully, this article covered everything you need to know about the process of how to file a consumer complaint in India. If there is still something that we missed, feel free to mention the same in the comment section.
FAQs Related To Consumer Complaint Filing Process in India
Is There A Contact Number Where You Can Register A Consumer Complaint?
You can call on 1800-11-4000 or 1915 to register your customer grievance. You can also SMS on 8800001915 to register your complaint.
What Are The 6 Basic Rights Of Consumers In India?
- Right to safety
- Right to be informed
- Right to choose
- Right to be heard
- Right to seek redressal
- Right to consumer education
Do I Require A Lawyer To File A Consumer Complaint?
It is not mandatory to hire a lawyer to file a consumer complaint in India. You can fight your own case if you believe that you can do it better. But it is wise to let a professional handle your matter. Because there are several important documents and details that you need to keep in mind while making a consumer complaint.
Types Of Consumer Redressal Forums in India
There are three types of consumer redressal forums which you can approach to seek justice in case of exploitation or fraud.
- District Consumer Dispute Redressal Mechanism
- State Consumer Dispute Redressal Mechanism
- National Consumer Dispute Redressal Mechanism
This article is written by Varsha. You can reach out to the author via email at bnbvarsha@gmail.com.
