Class 12 Business Studies - Chapter Consumer Protection NCERT Solutions | Explain the redressal mechanism availabl
Explain the redressal mechanism available to consumers under the Consumer Protection Act, 1986.
For the redressal of consumer grievances, the Consumer Protection Act, 1986 provides for setting up of a three-tier machinery at the district, state and the national levels. These agencies are:
1. District Forum or District Consumer Dispute Redressal Forum
- The State Governments are required to establish District Forums in each district.
- Each District Forum consists of a chairman and two members appointed by the State Government, one of whom should be a woman.
- A District Forum can receive consumer complaints, where the value of goods or services and the compensation claimed is not more than ₹20 lakh.
- The complaint can be filed by a consumer to whom goods are sold or services rendered, or any recognised consumer association.
- On receiving the complaint, the District Forum shall refer the complaint to the opposite party concerned and send the sample of goods for testing in a laboratory. The opposite party is the seller, manufacturer or any organisation against whom the complaint has been filed.
- The district Forum, after being satisfied that the goods are defective or there is some unfair trade practice, can issue an order to the opposite party directing him to either resolve the issue or replace the goods, or return the price paid , or pay compensation to the consumer for loss or injury, etc.
2. State Commission or State Consumers Disputes Redressal Commission
- State Commission is set-up by the State government and its jurisdiction Is restricted to the boundaries of the state concerned.
- The State Commission shall consist of a President, who is or has been a judge of a High Court and two other members, one of whom is a woman. All the three shall be appointed by the State Government.
- Only those complaints can be filed, where the value of goods or services and compensation claimed is more than ₹ 20 lakh but not more than ₹ 100 lakh. The appeals against the orders of any District Forum can also be filed before the State Commission, within 30 days of passing of the order.
- The State Commission, after being satisfied that the goods were defective, can issue an order directing the opposite party to either remove the defect or replace the goods or return the price paid or pay compensation to the consumer for loss or injury etc.
3. National Commission or National Consumer Disputes Redressal Commission
- The National Commission is set-up by the central Government.
- It shall consist of a President, who is or has been a judge of the Supreme Court and four other members appointed by the Central Government one of whom shall be a woman.
- All complaints pertaining to those goods or services and compensation whose value is more than ₹ 100 lakh can be filed. Appeals against the order of any State Commission can also be filed before the National Commission, within 30 days of passing of the order.
- The National Commission has the power to issue orders for recall of defective or unsafe products for replacement or removal of deficiency in service. It can make the manufacturer comply with safety provisions and pay compensation for loss or injury caused.
- An order passed by the National Commission is appealable before the Supreme Court.
More Questions From Class 12 Business Studies - Chapter Consumer Protection
- Q:-
Mrs. Mathur sent a jacket to a laundry shop in January 2018. The jacket was purchased at a price of ₹4,500. She had previously sent the jacket for dry cleaning with Shine Dry Cleaners and the jacket was cleaned well. However, she noticed that her jacket had white discoloration marks when she collected the jacket this time. On informing the dry cleaner, Mrs. Mathur received a letter confirming that discolouration indeed appeared after the jacket was dry cleaned. She contacted the dry cleaner multiple times and requested for compensation for discoloured jacket but to no avail.
Upon Consumer court’s intervention, Shine Dry Cleaners agreed to compensate ₹2,500 to Mrs. Mathur for the discoloured jacket.
a. Which right was exercised by Mrs. Mathur at the first instance.
b. Name and explain the right which helped Mrs. Mathur to avail the compensation.
c. State which consumer responsibility has been fulfilled by Mrs. Mathur in the above case.
d. State any other two responsibilities to be assumed by the consumers. - Q:-
Under which consumer right does a business firm set up consumer grievance cell?
- Q:-
FSSAI (Food Safety and Standards Authority of India) has made a proposal for hotels and other food outlets to declare the kind of oil/fat used in cooking each of the food items on their menus. Name and explain the Consumer Right being reinforced by this proposal.
- Q:-
Name the component of product mix that helps the consumer to exercise the right to information.
- Q:-
Who can file a complaint in a consumer court?
- Q:-
Which quality certification mark is used for agricultural products?
- Q:-
Enumerate the various Acts passed by the Government of India which help in protection of consumers’ interests.
- Q:-
State any two relief available to consumers under CPA.
- Q:-
Explain the importance of consumer protection from the point of view of a business.
- Q:-
What are various ways in which the objective of consumer protection can be achieved?
Popular Questions of Class 12 Business Studies
- Q:-
How does planning provide direction?
- Q:-
What is meant by staffing?
- Q:-
Identify the network of social relationships which arises spontaneously due to interaction at work.
- Q:-
What is informal communication?
- Q:-
State the meaning of controlling.
- Q:-
What is meant by capital structure?v
- Q:-
What is meant by management?
- Q:-
What is a Treasury Bill?
- Q:-
State any two advantages of branding to marketers of goods and services?
- Q:-
What makes principles of management flexible?
Recently Viewed Questions of Class 12 Business Studies
- Q:-
Describe the steps involved in developing a marketing strategy.
- Q:-
What is meant by ‘grapevine communication’?
- Q:-
Discuss the elements of delegation.
- Q:-
Explain the elements of communication in directing.
- Q:-
Aval Ltd. is engaged in the business of export of canvas goods and bags. In the past, the performance of the company had been upto the expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialised machinery. For this, the Finance Manager Prabhu prepared a financial blueprint of the organisation’s future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at right time. He also collected the relevant data about the profit estimates in the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find out alternative sources from outside.
a. Identify the financial concept discussed in the above paragraph. Also, state the objectives to be achieved by the use of financial concept so identified. ( Financial Planning).
b. ‘There is no restriction on payment of dividend by a company’. Comment. ( Legal & Contractual Constraints)
- Q:-
Explain the term ‘Trading on Equity’.
- Q:-
Sunrises Ltd. dealing in readymade garments, is planning to expand its business operations in order to cater to international market. For this purpose the company needs additional ₹ 80,00,000 for replacing machines with modern machinery of higher production capacity. The company wishes to raise the required funds by issuing debentures. The debt can be issued at an estimated cost of 10%. The EBIT for the previous year of the company was ₹ 8,00,000 and total capital investment was ₹ 1,00,00,000. Suggest whether issue of debenture would be considered a rational decision by the company. Give reason to justify your answer. (Ans. No, Cost of Debt (10%) is more than ROI which is 8%).
- Q:-
State two important steps in the organizing process.
- Q:-
What is meant by business environment?
- Q:-
Define market segmentation.
- All Chapters Of Class 12 Business Studies
- All Subjects Of Class 12