ARE YOU AWARE ABOUT YOUR CONSUMER RIGHTS??
Whenever I read about Consumer related laws or headlines, the case where a US resident sued the brand 'Red bull for not providing wings' comes to my mind. As the tagline of Red Bull itself suggests that after drinking the energy drink one is certain to get wings. USA resident Benjamin Careathersm sued the brand for not boosting or giving other sort of physical enhancement even after consuming the drink for 10yrs. It was reported that Red Bull neither gives consumer any sort of enhancement nor stay by their tagline rather the drink has high caffinne with premium price. The court issued Red Bull for small settlement includes a cash payout of up to $10 to anyone who has purchased a Red Bull product in the last decade. Instead of cash, recipients can choose to receive their payout in two Red Bull products worth up to $15 combined, with the company handling the shipping costs. Red Bull settles false advertising suits for $13M. The consumer had to submit an application for the settlement amount.
DO YOU CONSUME GOODS???
ARE YOU AWARE ABOUT YOUR CONSUMER RIGHTS???
who is a 'CONSUMER'?
under CONSUMER PROTECTION ACT, 2054 (1998)
S.2(a) Consumer means an individual or institution consuming or using any consumer good or service.
s.2(i) Substandard Goods mean consumer good of any of the following conditions:
a. the quantity of the product has been lowered, or adulteration of product, in such a manner that the quality falls short of standard.
b. the goods which are stale, rotten or stored or prepared in dirty or toxic conditions or in which any chemical, color or flavor has been used, so that they become harmful to health.
c. Goods that are made out of ill or diseased animal, birds or harmful vegetation.
d. Goods that falls under the minimum prescribed standard or exceeds maximum mentioned standard.
s. 2(j) Vendor means an individual or a governmental or non-governmental organization or cooperative society selling and supplying consumer goods or services on a wholesale or retail basis.
Before getting into the details, the aforesaid definitions needs to be cleared. For instance, if a consumer wants to file for a suit against the vendor for supplying of a Sub-standard product then, his claim must fall under above three conditions.
Consumer Protection Act, 2054 specifically talks about Consumer rights, the committee that looks after the problem faced, the procedure for filing of a suit against the seller selling sub-standard products, Penalties, appeals and many more. Not only that, Constitution of Nepal, 2072 also provides for the right of consumers as a Fundamental Right U/A. 44 of the act which states "Every consumer shall have a right to obtain quality goods and services" and "the person who has suffered injuries from the substandard quality goods are liable for compensation amt." Also, U/A.24 states for Right against Untouchability and discrimination where u/A.24(2) states that no person shall be discriminated on purchasing, acquiring, producing or distributing any goods or services on the basis of the caste or tribe. If a consumer wants to file for a case concerning their infringment in Fundamental Rights then, can file by the way of writ. (Writ isn't a petition but a formal, legal document that orders a person or entity to perform or to cease performing a specific action or deed. There must be Substantial question of law to file for a writ)
Moving onto the CONSUMER RIGHTS
U/S.6 OF THE CONSUMER PROTECTION ACT, 2054 states the rights of a consumer i.e, Every consumer shall have following rights:
a. Right to Protection and safety : Consumers shall have a right to safety from the sale and supply of goods that might harm their health, body, life and property (Caveat Emptor)
b. Right to Information : to be well informed about the prices, attributes, quantity, purity, quality, etc. of consumer goods and services so as to be safe from unfair trade practices.
c.Right to buy goods at competitive prices : As there are different sellers within the market, there exists competition. The price of good might vary. Seller who sell the goods and services at low price might never fail his business. So, the consumer should get to choose the products at competitive price.
d. Right to be heard : If a consumer goes before the agency concerning their rights and interest then the consumer is liable for the surety that appropriate agency will hear its matter.
e. Right to Compensation : The consumers are guaranteed the right to fair trial and compensation if any grave damage or injury is done.
f. Right to Consumer Education : If a consumer want to know about their rights and liabilites then the government have already publicized all necessary information online and offline.
We often don't check the labeling of the Product.
There are few products that has vegetarian symbol on it but the main ingredients
has non vegetarian ingredients. To elaborate the doubt, most of the veggie
soups includes beef or chicken stock, candy corn has gelatin, Processed
Sugar- white, brown or powdered are refined with an ingredient known as bone
char i.e, remains of cow bones. Also, in the recent scrutiny conducted by the
authorities, it has been found that the seller are selling expired products Post
lockdown. A latin term that can be related is let the buyer be aware i.e, "Caveat
Emptor". So, whenever a Consumer goes to purchase product then following
should be mentioned on the label. U/s.9 of the act mentions the particulars
that should be mentioned in a product:
(a)
Name and address of the producer, and registration number of the industry.
(b)
In the case of food and medicines, their ingredients as well as their quantity
and weight.
(c)
Quality of consumer goods whose quality has been determined, if any.
(d)
Method of consuming consumer goods and possible impact of such consumption.
(e)
Price, batch number, production date and expiry date of the consumer goods.
(f)
In the case of consumer goods such as electronic goods, hardware and machinery,
guarantee thereof, date of guarantee, and other necessary matters.
(g)
In the case of consumer goods which are inflammable, dangerous or fragile,
To
make it more clear, if the producer didn’t mention that nature of the goods
i.e, inflammable (not to expose in the sun) and due to the negligence of the
producer the product was exposed to sunlight and got brust and caused injury to
the Consumer then the producer is responsible for the damage done. The Buyer
can take an forthwith action against the
seller.
NOTE
–u/s.15 of the act, if it is found that the product being sold isn’t safe,
effacious or below standard then the Inspection Officer make take the sample of
the product and if proved to be unsafe then Inspector can impose ban on
producing and selling of such hazardous product. The time limit prescribe for
the submittion of such report to the Government is 35days.
So,
aforesaid mentioned is to aware the Consumer regarding the goods they purchase.
A consumer will first check the Label, Quality before consuming it. If fraudulent
act of Seller is noticed while selling the product then following penalties
shall be imposed upon them :
If
a person committing an act of violation i.e, wrt.
1.
Labeling of the
product
- imprisonment for a term not exceeding two years, or with a fine not exceeding
Thirty Thousand Rupees or with both.
2.
Producing, Selling
of Sub- standard product - with imprisonment for a term not exceeding three
years, or with a fine not exceeding Fifty Thousand Rupees or with both.
3.
Misleading
consumers by false claim or by engaging in Unfair trade Pratices- with
imprisonment for a term not exceeding five years, or with a fine not exceeding
One Hundred Thousand Rupees or with both.
4.
An
act that might cause harm and injury
to the consumer's health :
i.
Threat to life - for a term not exceeding fourteen years, or with
a fine not exceeding Rs 500,000, or with both.
ii.
Strength of any organ of the body is likely to be
reduced or lost - with
imprisonment for a term not exceeding ten years, or with a fine not exceeding
Rs 500,000, or with both.
iii.
In other circumstances - with
imprisonment for a term not exceeding five years, or with a fine not exceeding
Rs 300,000, or with both.
5.
If
any person does an act of instigates others to take any action shall be punished
with imprisonment for a term not exceeding two
years, or with a fine not exceeding Rs
200,000, or with both.
In
such case, Government of Nepal is going to be a plaintiff, i.e, if any act of
misconduct is noticed then the case will be filed by Government which means, the Consumer will have to file
complain to the concerned authority and the concerned authority will take an
action against the fraudulent act of the seller. Such complaints shall be filed
to the concerned District court within 35days of completion of such
investigation and Government Attorney shall take upon the case. Not only that,
if a consumer suffered from any loss and injury then they can file for a
compensation relief within 35days of incurred of any sort of damage and injury
to the compensation committee formed. In total, there is 1 committee formed in
each district.
Can any person filed for an appeal against
the decision of the compensation committee?
-
YES,
one can file for an appeal against the decision within 35days from
pronouncement of such decision.
Explaining the reality problems in
Questionaire form :
1.
Can
we return a product purchased online?
-
The
customer before purchasing any item are provided with the terms and conditions in Big online websites such as Daraz, sasto
Deal, flipkart, amazon, etc. Generally, all the terms are mentioned in the
agreement itself. The tenure of returning the product is also mentioned there
itself. It is presumed that the buyer is within the knowledge of the said
tenure once he accepts the terms and conditions. Therefore, A buyer if he wants
to exchange the product then he must do within the prescribed time limit. Once
the time limit of return or exchange of product is passed by then the buyer
cant plea for not having the knowledge of the time limitation.
In Nepal, small online websites are huge
in numbers. For instances, Shopkeepers are selling their products via Instagram
and facebook where in their Bio's they explicitly mentions the good the
customer is going to purchase won't be refunded or returned. In such a case,
the seller has already aware the buyer concerning their time limitation.
Similarly, the buyer cant claim for the refund or return of the product as it
is presumed that the buyer was already in the knowledge of the product while he
was purchasing it.
2.
If
I spill a drink I paid for inside the food outlet then can I claim for a
re-fill?
-
Not
necessarily in small food outlets but in Big food outlets like KFC, MC DONALDS,
BURGER KING,ETC if you spill your drink by mistake then your drinks will be
refilled for free as it comes under your Customer Rights and the main motto of
such big food outlets is to make their customers happy.
3.
I
paid for Virgin mojito but the waiter served me with Lime Juice. I didn’t notice
until I took a sip out of it. Can I still ask for my original order?
-
Though
while I was discussing about the consumer rights, the replacement of food or
any materials forthwith wasn’t mentioned explicitly but that doesn’t mean one
cant ask for their right. As per my experience, I once paid for drink X and the
waiter served me with Y. I spoke to the waiter himself, where he provided me
with my former order and the order Y was given to me as a gesture of Apology.
4.
Does
Dominos give pizza for free if they cant deliver it on time?
-
Yes,
as the tagline of Dominos itself is 30mins delivery else free, the food outlets sticks by their tagline.
even if they cant reach to their customers be it traffic reasons, the customer
is still liable for the free of his pizza.
-
1.
what
amount of VAT can be levied on goods?
-
VAT
divides goods and services into two categories, i.e, Taxable and tax exempt.
Following goods are tax exempt. They
are:
The purchaser will NOT pay VAT on tax-exempt goods and services and the
supplier is not allowed input tax credits on purchases related to the following
goods and services:
(a) Basic Needs : Rice, pulses flour,
fresh fish, meat, eggs, fruits, flowers, edible oil, piped water, wood fuel.
(b) Basic agricultural products : paddy,
wheat, maize, millet, cereals and vegetables.
(c) Live animals, agricultural inputs
including machinery, manure, fertilizer, seeds, and pesticides.
(d) Social welfare services : medicine,
medical services, veterinary services and educational services.
(e) Goods made for the use of disabled
persons.
(f) Air Transport.
(g) Educational and cultural services : such
as books and other printed materials, radio and television transmissions,
artistic goods, cultural programmes,
non-professional sporting events and admissions to educational and cultural
facilities.
(h)Personal services : services
provided, for example, by actors and other entertainers, sportsmen, writers,
translators and manpower supplies agents.
(i)Purchase and renting of land and
buildings
(j)Financial and insurance services.
(k)Postage and revenue stamps, bank
notes, cheque books.
In case of transactions of Vatable
Goods/Services 13% VAT is required to be charged. VAT paid on the purchase of
Vatable Goods/Services will be allowed to be deducted/set off from the VAT
payable on Sale of Goods/Services.
u/s. 38 talks about the offences that is punishable under this act.
If anyone does, or causes to be done, any of the following acts, he or she shall be deemed to have committed the offence:
(a) failure to make the labeling or mentioning false matters in the label,
(b) failure of the producer, importer, carrier, hoarder, seller or service provider to fulfill his or her liabilities
(c) failure of the seller to withdraw the goods within the deadline or failure to give the goods equal ,
(d) failure to keep the bills,
(e) doing, or causing to be done, the unfair trade activity
(f) inflicting, or causing to be inflicted, adverse impact on demand, supplies
(g) selling, or causing to be sold, at the price higher than that fixed by the Government of Nepal, contrary to sub-section
(h) to sell or distribute goods or services contrary to the standards determined.
In addition to that, u/s. 39 talks about the imposition an inspecting officer can impose:
- Faliure to keep bills and invoices : rs. 5000 to 20,000
- Unfair trade activities : rs. 2,00,000 to 3,00,000
for above two conditions, double fine shall be imposed for commission of the offence each time by the Inspecting Officers. The inspecting officer shall have to report within 3days from the imposition imposed to the concerned Depatment.
Also, Inspecting officer can take following actions if the seller, producer fails to pay the fine within 7 days :
- confisticating such goods until fine is paid.
- withholding such other goods as well as to be produced, transported, hoarded, imported or sold by the producer, carrier, hoarder, importer or seller of such goods until the fine is paid.
The review can be done to the Diector General within 7days from the imposition made by the Inspector Officer. The Director General must take a decision within 21days from the examination of the matter. The 50% of the fine shall be deposit as given by the Inspector Officer. Thus, the decision of the Director General will be final and binding.
S.40 of the act talks about the Punishment of the offences being committed:
- false labeling and withdrawl of goods : with imprisonment from three months to six months or fine up to fifty thousand rupees or both penalties.
- Selling, cause to be sold at high price than prescribed by the government : with imprisonment from three months to one year or fine from one hundred thousand rupees to three hundred thousand rupees or both penalties
- failure of the producer, importers or breach of liabilities ; with imprisonment from two years to three years or fine from three hundred thousand to five hundred thousand rupees or both penalties.
.png)
.png)
.png)
Comments
Post a Comment