Consumer Rights: 10th CBSE Economics

Question: Name the act under which the consumer courts have been established. What is the importance of these courts?

Answer: Consumers courts have been established under the Consumer Protection Act, 1986.

Most important feature of the Consumer Protection Act is the provision of a three-tier system, popularly known as the Consumer Courts.

1. These courts look into the grievances and complaints of the consumers against the traders and manufacturers, and provide the necessary relief and compensation.
2. These courts are required to dispose off each complaint within three months.
3. These courts reduce the burden on other courts like the High Court, District Court and the Supreme Court.

Question: Explain the limitations of the consumer redressal process in India.
Or
How is the consumer redressal process becoming cumbersome, expensive and time-consuming? Give four reasons.
Or
State any three problems faced during the consumer redressal process in India.

Answer:

1. The consumer redressal process is cumbersome, expansive and time-consuming.
2. Many a times, consumers are required to engage lawyers. These cases require time for filing and attending the court proceedings, etc.
3. In most purchases, cash memos are not issued, hence evidence is not easy to gather.
4. Most purchases in the market are small retail sales. The existing laws also are not very clear on the issue of compensation to the consumers created by defective products.
5. The enforcement of laws that protect workers, especially in the unorganized sectors is weak. Similarly, rules and regulations for working of markets are often not followed.

Question: What is standardization? Name any two agencies responsible for the standardization of products in India.

Answer: Under the standardization of products, the government lays minimum standard for the products. It develops food standards, guidelines and codes of practice for production, distribution and selling. For maintaining the minimum standard, the government has created various institutions.

1. Through standardization of products, the government tries to protect the consumers from lack of quality and the varying standards of goods.
2. The Government of India has established two agencies to check the quality and standard of goods.
   (i) Bureau of Indian Standards: The Bureau of Indian Standards has the responsibility of laying down the standards for industrial and consumer goods on a scientific basis, and certifying the goods that meet the standards and the prescribed quality.
   (ii) Agmark: It is implemented under the Agricultural Produce Act, 1937, as amended in 1986. This scheme is run by the Directorate of Marketing and Intelligency (DMI) in the Ministry of Agriculture, Government of India. Products, such as honey, and spices carry such marks.

Question: “Consumer movements can be effective only with the active involvement of the consumers.” Support this statement with two arguments.
Or
“Consumer awareness is essential to avoid exploitation in the marketplace.” Support the statement.

Answer:

1. The consumers should realize their role importance.
2. It requires a voluntary effort and struggle involving the participation of one and all.
3. Consumers must know their rights while purchasing goods and services.
4. They should look at the quality of products and date of expiry etc.
5. They should ask for cash memo and warranty card for the items purchased.
6. Consumer must be aware of their duties.

Question: Describe the two features each of consumer’s ‘right to safety’ and ‘right to represent’.

Answer: Right to safety:

1. While using many goods and services, we as consumers, have the right to be protected against the marketing of goods and delivery of services that are hazardous to life and property.
2. Producers need to strictly follow the required safety rules and regulations.
3. There are many goods and services that we purchase, require special attention to safety.

Right to represent:

1. Under COPRA, a three-tier quasi-judicial machinery at the district, state and national levels was set up for redressal of consumer disputes.
2. If a case is dismissed  in district level court, the consumer can also appeal in state and then in National level courts.

Question: How is a consumer benefit-ted by the right to be informed?
Or
Explain consumers right to be informed with example.

Answer:

1. Information about goods like, cars, geysers to medicines and food products safeguard the consumer against exploitation.
2. Consumer can complain and ask compensation in case of wrong information or promises.
3. It makes the manufacturer responsible about what he is manufacturing.
4. The Right also covers access to information from governments.
5. This keeps us informed about progress of any work and makes the government departments answerable.
6. It also helps to get the files to move faster and the work may be done faster.

Question: Why are rules and regulations required in the marketplace? Illustrate with a few examples.

Answer: Rules and regulations are required in the marketplace to protect consumers. Sellers often abdicate responsibility for a low-quality product, cheat in weighing out goods, add extra charges over the retail price, and sell adulterated / defective goods. Hence, rules and regulations are needed to protect the scattered buyers from powerful and fewer producers who monopolize markets. For example, a grocery shop owner might sell expired products, and then blame the customer for not checking the date of expiry before buying the items.