Which of the following is true ?
A consumer court setup under the Consumer Protection Act, does not have the power to punish for its contempt.
Under the Consumer Protection Act, 1986 the District Forum, State Commission and National Commission are quasi-judicial bodies. The Act gave them some powers of a civil court (summoning, evidence, discovery) and, under Section 27, the power to punish a trader or complainant who fails to comply with their orders (imprisonment of one month to three years and/or fine of ₹2,000 to ₹10,000). It did not give them a general power to punish for contempt of themselves, which belongs to the Supreme Court and High Courts (Articles 129 and 215, Contempt of Courts Act, 1971). So the statement on contempt is true.
Professional services are not outside the Act: in Indian Medical Association v. V.P. Shantha (1995) the Supreme Court held that paid medical services are a "service" under Section 2(1)(o), so doctors, hospitals and other paid professionals can be sued for deficiency in service.
On misleading advertising, the fora can order the trader to discontinue the unfair trade practice and not to repeat it and, after the 2002 amendment (Section 14(1)(hc)), to issue a corrective advertisement that neutralises the misleading one. No provision compels an admission of guilt as such, so the statement on confession is arguable; the official key treats the contempt statement as the clearly correct one, since the absence of contempt power is settled law.
Since a statement is true, "none of the above" fails.
Hence, A consumer court setup under the Consumer Protection Act, does not have the power to punish for its contempt.
Similar Questions
Which of the following refers to a situation in which the merger of companies results in over 25% of the market in the hands of the merged companies ?
The time limit for filing a complaints before the District forum under the Consumer Protection Act, 1986 is
Indicate the true statement :
The Competition Act, 2002, seeks to regulate
Which of the legislation(s) do (does) not form part of the legal environment of business in India ?
Match the items/terms given in List-I with those given in and List-II.
List – I List – II (a) BIS (i) Print Media (b) CERC (ii) Minimum support price for agricultural products. (c) CACP (iii) Quality of manufactured products. (d) PCI (iv) Comparative product testing. Indicate the correct answer :
Codes :
(a) (b) (c) (d)
Match the items of List – I with List – II :
List – I List – II a. Industries Development Regulation Act i. 1947 b. Import and Export Control Act ii. 1948 c. Foreign Exchange Management Act iii. 1951 d. Factories Act iv. 1999 Identify the correct combination :
Codes :
a b c d
Which of the following is an example of an issue for which an agreement has not been made between two or more countries ?
Statement-I : Legal agreements between two countries govern how both the countries tax earnings.
Statement-II : International Law may determine how and whether companies can operate in a certain locale.
Codes :
Important Questions from Legal Environment
- A sudden shift from import tariffs to free trade may induce short term unemployment in
Given below are two statements, one labelled as Assertion (A) and the other labeled as Reason (R). Read the statements and choose the correct answer using the code given below.
Assertion (A): Consumers need to be given legal protection against certain trade practices and business methods.
Reason (R): Protection as per market forces and 'Caveat Emptor' is not enough as perfectly competitive market is an economist's dream and consumer sovereignty is a myth.
According to FEMA, foreign exchange does NOT include
1. Deposits payable in any foreign currency
2. Bills of exchange drawn in Indian currency but payable in any foreign currency
3. Traveller's cheques drawn by institutions outside India but payable in Indian currency
4. Drafts drawn by banks outside India and payable in foreign currency
Which of the following laws does not affect business organizations?
Which of the following sections of Companies Act, 2013 facilitates amalgamation, absorption and reconstruction of companies?
1. 319
2. 320
3. 410
4. 502
