Each and every one of us is definitely a consumer from the time we are born, but perhaps even before that while we are conceived in the womb. So, every person, including a manufacturer, trader or service provider is also a consumer. Then why is it that all over the world consumers are taken for granted till they fight for their rights?
Rise of consumer activism
There are multiple reasons for this: Firstly, the perceptions of an individual differs depending on which side of the fence he is. Secondly, most manufacturers do not want to admit the fact that something could be wrong with their product or service, so the consumer’s grievance is not taken seriously. Thirdly, no manufacturer or service provider wants to bear a monetary loss due to a rejected product, so he prefers to lose a customer rather than replace the defective item. In Gandhiji country, we have forgotten his words of wisdom: “A customer is the most important visitor on our premises. He is not dependent upon us. We are dependent upon him. He is not an interruption in our work he is the purpose of it. We are not doing him a favour by serving him. He is doing us a favour by giving us the opportunity to serve him”. Since consumers are scattered, it is difficult for them to unite and put pressure on a company that violates consumer’s rights. The end result is that the individual consumer who has a grievance has to fight a lone battle for his rights.
It is in this backdrop that some public spirited consumers felt the need to form consumer organisations and build pressure groups to counter organisations which show scant respect for consumer rights.
Evolution of the consumer movement
John F. Kennedy, former President of the USA, felt that even though consumers formed the largest economic group, which was affected by almost every public and private economic decision, their views were seldom heard. In a historic address to the US Congress on 15 March, 1962, Kennedy took up the cause of consumers, saying: “If consumers are offered inferior products, if prices are exorbitant, if drugs are unsafe or worthless, if the consumer is unable to choose on an informed basis, then his dollar is wasted, his health and safety may be threatened and the national interest suffers.”
Kennedy’s words were an inspiration and a motivation factor that led to the birth of the consumer movement. The first consumer activist in USA was Ralph Nader, a lawyer. He became a legend for questioning the safety of certain car models and was hounded and threatened by the motor industry for his trouble. Almost at the same time, David Tench, also a lawyer, became the public face of consumer rights in Britain. He explained how consumers could stand up to big companies, retailers and marketing agencies over shoddy products. Not just that, he also showed how consumers could fight back against lawyers over the drawing up of wills or house sale deals, which were then lucrative propositions for the legal profession. Soon consumer rights movements were established around the world. In 1960, a world federation of consumer groups was founded. Today it is known as Consumers International. It is based in the United Kingdom, and has over 250 member organisations in 120 countries. It is the only independent and authoritative global voice of the consumers. Consumers International defined eight consumer rights: the right to satisfaction of basic needs, the right to safety, the right to be informed, the right to choose, the right to be heard, the right to redress, the right to consumer education, and the right to a healthy environment. After 10 years of struggle and campaigning, these rights were adopted by the United Nations in 1985.
Consumer movement in India
The Passengers and Traffic Relief Association (PATRA) was established in Mumbai in 1915, much prior to the western world becoming alive to consumer rights and protection. It was not a general consumer association, and its activities were restricted only to commuters, but it is the first documented and registered consumer organisation in the world. It was very vocal till about a decade ago, when it became defunct.
In 1966, India got its first general consumer organisation, the Consumer Guidance Society of India, which was formed by a group of nine housewives. Later, other consumer organisations were established in various parts of the country. Unfortunately, their networking in India is not as effective as it should be.
Enactment of the act and grievance redressal agencies
India is a signatory to the UN guideline on consumer protection. Rajiv Gandhi, who was then Prime Minister of India, took special interest in the consumer movement. After the United Nations Resolution of 1985, India became the first country to establish the Consumer Protection Act in 1986.
The objective of the Consumer Protection Act was to provide speedy and simple redressal to consumer disputes by setting up aquasi judicial machinery for redressal of consumer grievances and grant suitable directions and award compensation. To make justice more accessible, the Act does not provide any format for the filing of a complaint; the consumer fora are not bound by technicalities and are merely required to follow the principles of natural justice. To make redressal of grievances more effective, the Act mandates the establishment of a District Consumer Forum in each district. The redressal tribunals have a lawyer or judge as the President and nonjudicial members. The objective is to develop a model of adjudication that combines the merits of lay decision making with legal competence. This would ensure fairness in decision making without complicated procedures, so that consumers would be able to fight for their own rights.
Effectiveness of the consumer fora
Today, the functioning of the consumer fora leaves much to be desired. Many of the presiding officers who are retired judges want the same aura, grandeur and procedures they were familiar with in regular courts. Since the Act does not provide any specific format, each presiding officer comes up with his own format for filing of complaints. This is counterproductive as the consumer finds it difficult to appear in person, which is necessary for consumer empowerment. The positive side, however, is that the consumer fora makes it possible for consumers to take on the might of builders and giant multinationals. But networking and lobbying by consumer activists and consumer organisations requires to be strengthened to ensure proper and effective implementation of the Consumer Protection Act. Then the consumer will truly become the king, not in name but in letter and spirit of the word, if he is empowered and can get proper and speedy justice in a time bound period.