Section 18 of CPA : Section 18: Powers And Functions Of Central Authority

Explanation using Example

Imagine that a company has been selling a weight loss pill that they claim is "clinically proven" to cause significant weight loss without any need for diet or exercise. However, these claims are not supported by any scientific evidence and are therefore misleading to consumers. A group of consumers who used the pill without seeing any results decide to file a complaint.

The Central Consumer Protection Authority (CCPA), acting under Section 18 of The Consumer Protection Act, 2019, takes notice of these complaints. The CCPA initiates an inquiry suo motu (on its own) into the company's practices. After investigating, the CCPA finds that the advertisement claims are indeed false and misleading, which is a violation of consumer rights under the Act.

The CCPA then proceeds to:

• File a complaint before the appropriate Consumer Commission on behalf of the affected class of consumers.
• Issue guidelines to the company to cease the unfair trade practice and to retract all false advertising.
• Spread awareness among consumers about the misleading nature of such weight loss pills through safety notices and consumer education campaigns.
• Recommend to the government to adopt international best practices that would prevent such incidents of false advertising in the future.

Through these actions, the CCPA enforces the rights of consumers and ensures that the company is held accountable for its unfair trade practices.