The Supreme Court has come down heavily on the Principal Bench of the National Green Tribunal for hearing cases pertaining to the western zone, even after the Apex Court directed that the same would be heard by the Tribunal’s Western Zone Bench at Pune.

The Bench of Justice B.R. Gavai and Justice Aravind Kumar observed on Monday that despite there being a specific mandamus by this court that all matters pertaining to the western zone would be heard by the Pune bench, the NGT Principal Bench was allegedly continuing to hear cases, in which it had taken suo motu cognisance.

Calling it a ‘serious’ issue, the Apex Court said that it has consistently held that tribunals were even subordinate to the High Courts, when it came to territorial jurisdiction.

The Tribunal had moved the Apex Court against the Bombay High Court, which quashed administrative notices by the Registrar General of NGT transferring cases from the western zone bench at Pune to special benches at the principal seat in the national capital. 

The Full bench of the High Court, besides quashing the notices as ‘illegal’, ruled that the constitution of the special bench in New Delhi was ‘illegal’, and that only the members of the western zone could hear matters pertaining to the western zonal bench, including matters arising from Goa and Maharashtra. 

Senior Advocate Arvind P. Datar, representing the NGT before the Apex Court, apprised the Bench that the order against which they had preferred an appeal would have pan-India ramifications since the notices had been quashed in their entirety. 

He said the decision would affect the transfer of cases from other zonal benches to Delhi, and not just transfers from the western zone. 

The top court of the country, while issuing notice on the special leave petition, also stayed the operative portion of the High Court order, holding in abeyance its order to quash and set aside all impugned notices issued by the registrar general of the tribunal.

It further noted that since two members – one judicial and one expert member were available at the western zone bench, all matters arising out of the region, including from the states of Goa and Maharashtra, would have to be dealt with by the Bench at Pune. 

The National Green Tribunal Bar Association (Western Zone) had moved the Apex Court, alleging that the the Supreme Court order of October 2022 had been violated by the principal bench of the tribunal.

Advocate Ninand Laud, representing the bar association, apprised the Apex Court that the NGT’s principal bench had continued to list and hear suo motu matters arising out of the western zone, despite the Apex Court enjoining them from doing so. 

The Counsel further said that after this court’s order, the Principal Bench has now come up with exceptions to this. 

First, it said the matters which were suo motu being heard by the NGT, need not be heard in Pune. Second, any matter which was pending before this court’s order, would also continue being heard in Delhi.

Datar contended that the principal bench had only been hearing cases in which it had taken suo motu cognisance, and in which the proceedings had been pending before it prior to the October 2022 directive. 

The top court of the country then observed that whatever has been filed before the Pune Bench before the October, 2022 directive, should be heard by the Pune bench.

The New Act talk about consumer concerns come up from the digitization of the trade environment… The Consumer Protection Act, 2019 (hereinafter known as “New Act”) was passed by the Parliament on 06.08.2019 and obtained the assent of the President on 09.08.2019. The Act, inter alia, provides for the safety of the pursuits of consumers, the establishment of a central shopper safety authority, a mechanism to settle shopper disputes and specifically regulates product legal responsibility and deceptive ads. The New Act has changed the three decades’ old Consumer Protection Act of 1986. The New Act has been introduced for effective administration and well-timed disposal of consumer grievances and complaints. On 15.07.2020, the Central Government issued a notification by which it appointed 20.07.2020 as the date on which the new Consumer Protection Act, 2019 has now come into power. The next provisions have come into power with impact from 20.07.2020:

• Section 2 (Definition Section) [Except Clauses (4), (13), (14), (16), (40)]

• Sections 3 to 9 (Both inclusive)

• Sections 28 to 73 (both inclusive) [Except sub-clause (iv) of clause (a) of sub-section (1) of section 58.]

• Sections 74 to 81 (both inclusive)

• Sections 82 to 87 (both inclusive)

• Sections 90 and 91 • Sections 95, 98, 100

• Section 101 [Except Clauses (f) to (m) and clauses (zg), (zh) and (zi) of sub-section 2]

• Sections 102, 103, 105, 106, 107 [Except Sections 94, 96, 97, 99, 104]

1. KEY HIGHLIGHTS:

• Widened the definition of ‘consumer’: The definition now contains any one that buys any items, whether or not by means of offline or on-line transactions, digital means, teleshopping, direct promoting or multi-level advertising and marketing. The sooner Act didn’t particularly embrace E-Commerce transactions, and this lacuna has been addressed by the New Act.

• Enhancement of Territorial Jurisdiction [Section 34(2)]: The Consumer Protection Act, 2019 now provides an added advantage to consumers by offering for filing of complaints the place the Complainant resides or personally works for beneficial properties as against the 1986 Act which solely supplies for filing of complaints the place the Opposite Get together resides or carries on business or the place the reason for action arose. This may help in removing the difficulties confronted by the shoppers in searching for redressal of their grievances against companies who could not have a workplace or branch of their state.

1.1 ENHANCEMENT OF PECUNIARY JURISDICTION:

• Revised economic limits have been fixed under the New Act. Therefore, the District Forum can now hold consumer complaints where the value of products or services paid doesn’t exceed Rs. 1 Crore.

• The State Commission can entertain disputes the place such worth exceeds Rs. 1 Crore however doesn’t exceed Rs. 10 Crores.

• The National Commission can exercise jurisdiction the place such worth exceeds Rs. 10 Crores.

1.2 ALTERNATE DISPUTE RESOLUTION:

• The 2019 Act accommodates intercession as an Alternate Dispute Resolution instrument, making the cycle of contest arbitration easier and quicker. This can help with the speedier goal of questions and cut back weight on shopper courts, which as of now have many conditions forthcoming sooner than them.

• According to the 2019 Act, the Consumer Forum will allude the issue to intervention (according to Section 37(1) on the composed assent of each the gatherings inside 5 days). For this reason, the 2019 Act furthermore supplies for the organization of a customer intercession cell by the individual State Governments in each District Forum and State Fee notwithstanding inside the National Commission by the Central Government.

1.3 E-FILING OF COMPLAINTS:

• The New Act likewise contains empowering arrangements for purchasers to document grumblings electronically and for tuning in to and additionally analyzing parties through video-conferencing. That is the motivation behind giving cycle straightforwardness and bother free and badgering for the purchasers (stipulation to Section 35(1)).

• The electronic filing of complaints will likely be efficient from such date and for such category of cases as could also be notified by the President of the National Commission (Rule 8 of CP Rules).

1.4 PRODUCT LIABILITY & PENAL CONSEQUENCES:

• There was no different enactment overseeing ‘item obligation’ in India, however it was tended to beneath CPA 1986, if occasions were incorporated inside the ambit of ‘customer’. Inclusion of “Item Legal duty” as a different part in CPA 2019 and another floor for recording a grumbling has been one of the most critical increases to the New Act.

• The New Act has launched the idea of product legal responsibility and brings inside its scope, the product manufacturer, product service provider and product seller, for any claim for compensation.

• The term ‘product seller’ is defined to include a person who’s involved in placing the product for an industrial function and as such would come with e-commerce platforms as nicely.

• There are increased liability risks for producers as compared to product service providers and product sellers, considering that below the New Act manufacturers will likely be liable in product legal responsibility action even the place he proves that he was not negligent.

• Exceptions have been provided below the New Act from legal responsibility claims, such as, that the product seller is not going to be liable the place the product has been misused, altered or modified.

1.5 EXPANDING GROUNDS OF FILING COMPLAINT:

• While the provisions of the Consumer Protection Act, 1986 prescribed six (6) main grounds to file Complaints, the New Act has elevated the rely to seven (7), and likewise considerably modified one of many present grounds to file Complaints as provided below Part 2(c)(i) of CPA 1986. The 2 key modifications are:

• Introduction of Unfair Contracts as a ground.

• Expansion of Unfair Trade Practices (Section 2(47) explanation).

• The New Act introduces a specific broad definition of Unfair Trade Practices, which includes refusal to issue invoice, refusal to take again faulty items, sharing of personal info given by the consumer in confidence, until such disclosure is made in accordance with the provisions of any other law.

• Endorsers’ Legal responsibility: The New Act puts the legitimate obligation on individuals/superstars who embrace makers since there have been various cases already the spot beneath the effect of VIPs supporting sure product/suppliers, customers have fallen prey to unjustifiable business rehearses. In such a case, it transforms into the legitimate duty of the endorser to take the responsibility to affirm the honesty of the cases made inside the business to stop lawful obligation claims.

2. COMPARATIVE ANALYSIS OF CONSUMER PROTECTION ACT, 1986 AND CONSUMER PROTECTION ACT, 2019:

3. ISSUES WITH THE CONSUMER PROTECTION ACT, 2019:

• Possibility of a conflict between the ‘to be set up CCPA’ and the predominant Consumer Forums in conditions of a definite class of customers or a subject which can be taken up by each the our bodies. There must be an endorsed chain of command or making of independent class as an approach to avoid such a fight. Extra, Part 99 of the New Act coordinates the CCPA to carry on with regards to the directions of the Central Authorities in this way banishing its self-sufficiency.

• In case of product legal responsibility, it may be anticipated that there could also be frivolous claims solely on the premise of discrepancy in designs, even when it ends in no precise injury to the buyer or is completed as a way to enhance performance.

• Part 2(47) on Unfair Commerce Practices pre-determines the existence of a faulty product or poor service. Individually, even when withdrawn or discontinued, Firms might nonetheless be held liable below ‘product legal responsibility’ or for ‘deficiency of providers’.

• In case of deceptive ads the place even the endorsers could also be held liable, the New Act has supplied merely one strait-jacketed punishment for various lessons of endorsers which can fluctuate when it comes to remunerations in addition to social attain.

• The New Act doesn’t empower the Consumer Redressal Commissions to issue either interim injunctions or “stop and desist” Orders.

• Under the New Act, exclusively these suppliers are incorporated for which specific expense is made, taking after telephone, electrical energy, banking, etc. Consequently, the docs, notwithstanding medical clinics along with these the spot treatment is given at no expense looking like specialists clinics, don’t come inside the ambit of the Act. The New Act doesn’t unequivocally determine medical care inside the record of suppliers recorded inside the meaning of ‘administration’.

• Moreover, the necessary civil providers, resembling sanitation, water provide, and so forth., supplied by the State or the native authorities should not coated by the New Act;

• It is typically muddled whether issues right now forthcoming sooner than the Consumer Commissions will continue or in the event that they’re bound to get moved because of the difference in their monetary wards. This vagueness will furthermore add to delays. The Consumer Protection Act, 2019 is surely a stage toward more comprehensive laws. With the presentation of E-Commerce and e-recording arrangements, the laws is finding popular techniques and improving the strategy for buyers. The New Act tends to purchaser contemplations which have emerged because of the digitization of the business climate. It likewise rearranges the way toward recording a Complaint and supplies for quick redressal of the indistinguishable beside presenting new grounds on which a purchaser can start activity contrary to the merchant/specialist organization.