Consumer Protection Act, 2019: Action Against Deceptive Coaching Claims
Context
The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹11 lakh on a coaching institute for publishing misleading advertisements related to UPSC Civil Services Examination (CSE) results.
The action, taken under the Consumer Protection Act, 2019, reflects strict enforcement against deceptive claims by coaching institutions and reinforces accountability in the education sector.
Consumer Protection Act, 2019
What is it?
The Consumer Protection Act, 2019 is a comprehensive legislation aimed at protecting consumer rights, preventing unfair trade practices, and ensuring speedy grievance redressal in a modern, digital, and service-driven economy. It replaced the Consumer Protection Act, 1986.
Aim
To safeguard consumers from misleading advertisements, unfair trade practices, and defective goods or deficient services.
To strengthen enforcement mechanisms and ensure accountability of manufacturers, service providers, advertisers, and endorsers.
Key Features
Central Consumer Protection Authority (CCPA)
Empowered to investigate violations, impose penalties, and order withdrawal or discontinuation of misleading advertisements and unfair practices.
Misleading Advertisement – Section 2(28)
Includes false or exaggerated claims, concealment of material facts, and representations likely to mislead consumers.
Product Liability Provisions
Fixes liability on manufacturers, service providers, and sellers for harm caused by defective products or deficient services.
Enhanced Consumer Rights
Explicit recognition of six consumer rights, including the right to information, choice, redressal, and consumer awareness.
E-commerce Regulation
Brings online platforms, digital marketplaces, and online advertisements within the consumer protection framework.
Simplified Dispute Redressal
Provides for e-filing of complaints, mediation cells, and clearer pecuniary and territorial jurisdiction of consumer commissions.
Significance
Strengthens protection for aspirants and parents against exploitative practices in high-stakes sectors like education and coaching.
Promotes truthful advertising, transparency, and ethical conduct, particularly in the digital and social media space.
Conclusion
The Consumer Protection Act, 2019 serves as a strong deterrent against misleading and unethical practices, particularly in sensitive sectors such as education and coaching. The recent CCPA action underscores the government’s commitment to ensuring truthful advertising, consumer awareness, and accountability. By empowering regulatory authorities and strengthening consumer rights, the Act plays a crucial role in building trust, transparency, and fairness in the marketplace, thereby safeguarding the interests of consumers in an increasingly competitive and digital economy.
Source : News On Air