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Question

If you have faced any product related problem and you want to file a case to claim a compensation of Rs. 1 crore, which redressal agency would you approach ?

The correct answer is
State Commission

Understanding Consumer Redressal Agencies and Jurisdictions

When facing a product-related problem, the choice of the correct consumer redressal agency depends on the value of the compensation you are seeking. India's Consumer Protection Act establishes a three-tier quasi-judicial mechanism to handle consumer disputes.

Determining the Correct Agency for a Rs. 1 Crore Claim

The question asks where to file a case for a compensation claim of Rs. 1 crore. Let's review the pecuniary jurisdictions defined under the Consumer Protection Act, 2019:

  • District Commission: Handles complaints where the value of goods or services paid as consideration does not exceed Rs. 50 lakh (fifty lakh rupees).
  • State Commission: Handles complaints where the value of goods or services paid as consideration exceeds Rs. 50 lakh (fifty lakh rupees) but does not exceed Rs. 2 crore (two crore rupees).
  • National Commission: Handles complaints where the value of goods or services paid as consideration exceeds Rs. 2 crore (two crore rupees).
  • Gram Panchayat: This is a local self-governing body and is not a designated consumer redressal agency for filing claims of this nature.

Applying the Jurisdiction Rule

In this specific scenario, the compensation claim is for Rs. 1 crore.

  • Rs. 1 crore is greater than Rs. 50 lakh. Therefore, the District Commission is not the appropriate forum.
  • Rs. 1 crore falls within the range of more than Rs. 50 lakh and up to Rs. 2 crore.

Based on these limits, the State Commission is the correct agency to approach for a compensation claim of Rs. 1 crore.

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Important Questions from Consumer Protection - Teaching

  1. Which of the following is not a forum of Consumer Dispute Redressal System?
  2. Which of the following solutions are to be adopted when manufacturers repackage existing products into attractive looking and novel shapes of packs, and advertise the product to be in a new pack ?
    (i) Consumer awareness needs to be increased
    (ii) All practices leading to deceptive packaging to be endorsed
    (iii) Strong legislation
    (iv) Reliable buying guides to be published
    (v) Consuming products in any form from manufacturers
    Choose the correct answer from the code given below :
    Code :
  3. Which of the following are included in the list of voluntary consumer organizations ?
    I. PIL
    II. CGSI
    III. VOICE
    IV. CUTS

    Codes :
  4. Match the items in List – I with List – II
     

    List – IList – II
    I. CPAA. 1969
    II. MRTPB. 1986
    III. The Agricultural Produce ActC. 1955
    IV. The Essential Commodities ActD. 1937
     E. 1980
  5. What are the rights of consumers which are to be protected and promoted by Consumer Councils under the Consumer Protection Act ? Answer by using codes below :
    (a) Protection against marketing of goods and services which are hazardous to life and property.
    (b) Information about quality, quantity and price of goods and services.
    (c) Access to a variety of goods and services at competitive prices.
    (d) Consumer education.
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