Skip to content
Question

Q.Read the following statements carefully : Statement – I : Consumers should get together and form themselves into consumer associations for protection and promotion of their interests. Statement – II : The Consumer Protection Act provides for setting up a two-tier enforcement machinery for the redressal of consumer grievances. With reference to given statements, choose the correct alternative from the following : (A) Both the statements are true. (B) Both the statements are false. (C) Statement I is true, Statement II is false. (D) Statement I is false, Statement II is true.

CBSECBSE Class XII Board 2026MCQ· 1mImportance★★★★★
✓ Free question

Statement I is true (consumers should form associations to protect and promote their interests), but Statement II is false — the Consumer Protection Act sets up a three-tier redressal machinery, not a two-tier one. Hence the correct alternative is (C).

Let us examine each statement carefully, because the second one contains a subtle but important factual point.

Statement I is about the power of collective action. Forming consumer associations/organisations is a recognised means of consumer protection. An individual consumer often lacks the resources, time or legal know-how to fight a large seller alone, but by coming together consumers can pool their efforts and exert far greater pressure. Consumers getting together and forming associations for the protection and promotion of their interests is therefore entirely correct, so Statement I is true.

Statement II is where the error lies. The Consumer Protection Act provides for a three-tier quasi-judicial machinery for the redressal of consumer grievances, not a two-tier one. The three levels are the District Commission (district level), the State Commission (state level) and the National Commission (national level), with appeals moving upward from district to state to national. Because the statement describes a 'two-tier' machinery, it misstates the number of tiers and is therefore false.

Note

The Consumer Protection Act, 2019 retained the same three-tier structure (District, State and National Commissions) with some procedural changes. The tier count remains three.

Therefore Statement I is true and Statement II is false.

✓Final answer

Statement I is true (consumers have the means to form associations), but Statement II is false (the Act provides a three-tier, not two-tier, enforcement machinery). Hence the correct alternative is (C) Statement I is true, Statement II is false.

Unlock everything free for 14 days

  • Full step-by-step solutions
  • Concept-first explanations
  • Methods, shortcuts & mistakes
  • PYQ mapping + timed mock tests

Full access for 14 days. No credit card required.