The Consumer Protection Act, 2019 which comes into effect from Monday (July 20)

Newsletter Week 30: (Jul 19- Jul 25)

Bleeding Age: For Entrepreneurs
2 min readJul 24, 2020

In the past couple of years, digitalization in India has come a far way with almost 1.5 crore Indians falling in the category of ‘Digitally Literate’. Over decade consumerism has shifted from retail to more digital platforms. The need for E-commerce and digital branding can be noticed more than ever.
Therefore, in order to protect the digital consumers from the challenges they may face online which can be in favor of violation of their rights.

Source : Google

The Consumer Protection Act, 2019 which comes into effect from Monday (July 20), replacing the earlier Consumer Protection Act, 1986, enables consumers.

Earlier, complaints could be initiated only at the place where the transaction took place,” He said The opposite party must deposit 50% of the amount ordered by the District Commission while filing an appeal before the State Commission, to curb the practice of filing frivolous appeals.

Key features of the Consumer Protection Act, 2019 (effective from July 20)

  • Now consumers can institute a complaint from the place they reside or work for gain
  • The original pecuniary jurisdiction of District Commissions has increased from ₹20 lakh earlier to up to ₹1 crore
  • The pecuniary jurisdiction of State Commissions increased to Rs. 10 crores from earlier ₹1 crore
  • National Commission can hear cases above ₹10 crores when compared to above ₹1 crore earlier
  • A section relating to the electronic service provider (software services, e-payments) is notified however provisions relating to e-commerce are not yet notified
  • The opposite party needs to deposit 50% of the amount ordered by the District Commission before filing an appeal before the State Commission & maximum ceiling of ₹25,000, which has been removed.
  • The limitation period for filing of appeals has been increased to 45 days from earlier 30 days
  • The disputes can be settled through mediation

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