The consumer protection Act, 1986 (68 of 1986) is a milestone in the history of socio-economic legislation in the country. It is one of the most progressive and comprehensive piece of legislations enacted for the protection of consumers. It was enacted after in-depth study of consumer protection laws in a number of countries and in consultation with representatives of consumers, trade and industry and extensive discussions within the Government.

The main objective of the act is to provide for the better protection of consumers. Unlike existing laws which are punitive or preventive in nature, the provisions of this Act are compensatory in nature. The act is intended to provide simple, speedy and inexpensive redressal to the consumers' grievances, and relief of a specific nature and award of compensation wherever appropriate to the consumer. The act has been amended in 1993 & 2002 both to extend its coverage and scope and to enhance the powers of the redressal machinery.

(i)"goods" means goods as defined in the Sale of Goods Act, 1930 (3 of 1930).According to the Sale of Goods Act, 1930. "goods" means every kind of movable property other than actionable claims and money, and includes stock and shares, growing crops, grass, and this attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale.

(ii)"service" means of any description which is made available to potential users and includes,but not limited to the provision of facilities in connection with banking, financing, insurance, transport, processing, supply of electrical or other energy, board or lodging or both, housing construction, entertainment, amusement or the purveying of news or other information, but does not include the rendering of any service free of charge or under a contract of personal service;

(iii)"restrictive trade practice" means any trade practice which requires a consumer to buy, hire or avail of any goods or, as the case may be, services as a condition precedent for buying, hiring or availing of other goods or services;

(iv)"defect" means any fault, imperfection or shortcoming in the quality, quantity, potency, purity or standard which is required to be maintained by or under any law for the time being in force or under any contract, express or implied or as is claimed by the trader in any manner whatsoever in relation to any goods.

(v)"deficiency" means any fault, imperfection, shortcoming or inadequacy in the quality, nature and manner of performance which is required to be maintained by or under any law for the time being in force or has been undertaken to be performed by a person in pursuance of a contract or otherwise in relation to any service.

(vi)"unfair trade practice" the detailed definition is given in the Consumer Protection Act, 1986 as amended by the Consumer Protection (Amendment) Act. 2002. It means a trade practice which, for the purpose of promoting the sale, use or supply of any goods or for the provision of any service, adopts any unfair method or unfair or deceptive practice including any of the following practices, namely :-

    (a)false or misleading representation,

    (b)bargain price

    (c)offering of gifts, prize, contest etc.

    (d)non compliance of product safety standard.

    (e)hoarding or destruction of goods.

The Act may be consulted before filing a complaint for unfair trade practice

The salient features of the Act are summed up as under:-

   - The Act applies to all goods and services unless specifically exempted by the Central Government.

   - It covers all the sectors whether private, public or cooperative.

   - The provisions of the Act are compensatory in nature.

It enshrines the following rights of consumers:-

   - Right to be protected against the marketing of goods and services which are hazardous to life and property.

   -Right to be informed about the quality, quantity, potency, purity, standard and price of goods or services so as to protect the consumer against unfair trade practices;

   -Right to be assured , wherever possible , access to a variety of goods and services at competitive prices;

   -Right to be heard and to be assured that consumers' interests will receive due consideration at appropriate forums;

   -Right to seek redressal against unfair trade practices unscrupulous exploitation of consumers;  and

   -Right to consumer education

   -The Act envisages establishment of Consumer Protection Councils at the Central, State and District levels. Main objects of such councils will be to promote and protect the rights of the consumers.

-To provide simple, speedy and inexpensive redressal of consumer grievances, the Act envisages a three- tier quasi-judicial machinery at the National,State and District levels.

  National Consumer Disputes Redressal Commission - known as "National Commission".

Consumer Disputes Redressal Commissions known as "State Commission".

Consumer Disputes Redressal Forums- known as "District Forum".

-The provisions of this Act are in addition to and not in derogation of the provisions of any other law for the time being in force.