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Long Answer Questions · Q11

Q.Explain the three-tier consumer disputes redressal machinery under the Consumer Protection Act, 2019.

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The Consumer Protection Act, 2019 provides for a three-tier quasi-judicial machinery for resolving consumer disputes, renaming what were called 'Forums' under the 1986 Act as consumer disputes redressal 'Commissions,' at the District, State, and National levels.

The District Consumer Disputes Redressal Commission is the entry-level forum, headed by a President who is, has been, or is qualified to be, a District Judge, along with at least two other members, of whom at least one must be a woman. The State Consumer Disputes Redressal Commission is headed by a President who is or has been a Judge of a High Court, along with at least two other members. The National Consumer Disputes Redressal Commission, at the apex, is headed by a President who is or has been a Judge of the Supreme Court, along with at least four other members.

The three tiers are primarily distinguished by pecuniary jurisdiction — the monetary value of the goods or services paid as consideration in the dispute. The Act originally set these limits at up to ₹1 crore for the District Commission, above ₹1 crore up to ₹10 crore for the State Commission, and above ₹10 crore for the National Commission. Since the Act allows the Central Government to revise these limits by notification, they were in fact revised downward with effect from December 2021, to up to ₹50 lakh (District), above ₹50 lakh up to ₹2 crore (State), and above ₹2 crore (National) — a reminder that the structural principle (three tiers divided by claim value) matters more for examination purposes than any one fixed rupee figure, since the thresholds are deliberately left open to revision. …

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