Page 78 - Ebook IC S01

Survey And Loss Assessment IC-S01

The Consumers' Protection Act 1986 (CPA) is a milestone in the history of socio-

economic legislation of the country. Earlier laws in this regard like Contract Act, CPC

Sales of Goods Act, Law of Tort etc. were mostly punitive in nature i.e. the offender

would pay a fine or undergo imprisonment. Thus the victim never got compensated

for the damage that he suffered.

The CPA is on the other hand, compensatory in nature, i.e. it provides relief of a

specific nature and awards compensation wherever appropriate to the consumer.

This Act has been amended from time to time to extend its coverage and to enhance

the power of the redressal machinery.

The act was amended in the year 2002.

Jurisdiction of various forums

a. District forum: value of services and compensation claimed does not exceed 20

lakhs

b. State commission : value of services and compensation claimed if exceeds Rs.20

lakhs but does not exceed Rs.1 crore

c. National commission : value of services and compensation claimed if exceeds

Rs.20 lakhs but does not exceed Rs.1 crore

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