How has a three-tier quasi-judicial machinery been set up for redressal of consumer disputes? Explain.
Answers
1) The district level court deals with the cases involving claims up to Rs. 20 lakhs.
2) The state level court deals with the cases involving claims between Rs. 20 lakhs to 1 crore.
3) The national level court deals with the cases involving claims exceeding Rs. 1 crore.
Example:-
If I feel that the justice has not been done to me in the District court then I can represent my case in state as well as in the national court.
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A three-tier quasi-judicial machinery, popularly known as consumer courts, at the national, State and district levels has been set up to render free redressal to the consumers’ disputes against any defective goods and deficient services which include unfair and restrictive trade practices.
The National Consumer Disputes Redressal Commission known as National Commission is based at New Delhi. Each State has a Consumer Disputes Redressal Commission known as the State Commission. Similarly, every district in the country has a Consumer Disputes Redressal Forum – known as the District Forum.
Under the Act, a complaint or any allegation in writing made by a complainant in case of defective or hazardous goods, deficiencies in services, and charging of excess price by the trader other than the fixed price.
If the cost of the goods or services and compensation asked for is up to rupees five lakh then the complaint can be filed in the District Forum where the cause of action has arisen or where the opposite party resides. It can also be filed at a place where the branch office of the opposite party is located.
If the cost of goods or services and compensation asked for is more than five lakh rupees but up to twenty lakh rupees, the complaint can be filed before the State Commission.
If the cost of goods or services and compensation asked for exceeds rupees twenty lakh, the complaint can be filed before the National Commission at New Delhi.