Legal Aspects of Business | Consumer Protection Law | MCQs
1. Which principle replaced the doctrine of "Caveat Emptor" in consumer law?
A. Consumer Sovereignty
B. Buyer Beware
C. Seller's Duty of Care
D. Consumer's Right to Knowledge
Answer: A. Consumer Sovereignty
2. What was the primary objective of the Consumer Protection Act, 1986?
A. To regulate trade practices
B. To settle consumer disputes and protect consumers' interests
C. To control unfair advertising
D. To promote government sales
Answer: B. To settle consumer disputes and protect consumers' interests
3. The Consumer Protection Act, 2019 aims to:
A. Extend the scope of the law for better consumer protection
B. Allow businesses to avoid consumer complaints
C. Simplify the legal process for businesses
D. Restrict consumer education
Answer: A. Extend the scope of the law for better consumer protection
4. Which of the following is NOT a basic right of a consumer?
A. The right to seek redressal
B. The right to information
C. The right to be heard
D. The right to unfair pricing
Answer: D. The right to unfair pricing
5. A consumer can be defined as someone who:
A. Buys goods solely for resale purposes
B. Uses goods for personal and non-commercial purposes
C. Buys goods for commercial resale
D. Sells goods for profit
Answer: B. Uses goods for personal and non-commercial purposes
6. What is the difference between a 'contract of service' and a 'contract for service' in consumer law?
A. A contract of service is covered under CPA, but not a contract for service
B. A contract for service is covered under CPA, but not a contract of service
C. Both are covered under CPA
D. Neither is covered under CPA
Answer: B. A contract for service is covered under CPA, but not a contract of service
7. In the case of Indian Medical Association vs. VP Shantha, which of the following was concluded by the Supreme Court?
A. All medical services are exempt from CPA
B. Medical services for payment fall within the purview of CPA
C. Only public sector hospitals are bound by CPA
D. Private hospitals can charge consumers but are exempt from CPA
Answer: B. Medical services for payment fall within the purview of CPA
8. Which of the following best describes the District Forum's jurisdiction under the Consumer Protection Act?
A. It entertains complaints where the value of goods or services is less than Rs. 1 crore
B. It entertains complaints for amounts exceeding Rs. 10 crores
C. It deals only with disputes involving government services
D. It handles cases exclusively involving foreign consumers
Answer: A. It entertains complaints where the value of goods or services is less than Rs. 1 crore
9. The National Commission under the Consumer Protection Act entertains complaints where:
A. The value of goods and services claimed exceeds Rs. 1 crore but less than Rs. 10 crores
B. The value of goods and services claimed exceeds Rs. 10 crores
C. The value of goods and services claimed is less than Rs. 1 crore
D. There is no monetary value involved
Answer: B. The value of goods and services claimed exceeds Rs. 10 crores
10. Which of the following powers is granted to the redressal agencies under the Consumer Protection Act?
A. Power to grant criminal sentences
B. Power to summon witnesses and produce documents as evidence
C. Power to impose penalties on businesses
D. Power to make laws
Answer: B. Power to summon witnesses and produce documents as evidence
11. The Consumer Protection Act allows redressal agencies to:
A. Only dismiss consumer complaints
B. Provide remedies such as replacement of goods, compensation, or removal of defects
C. Fine the complainant for filing a complaint
D. Award punitive damages only
Answer: B. Provide remedies such as replacement of goods, compensation, or removal of defects
12. Which of the following would not fall under the definition of 'consumer dispute'?
A. A dispute regarding a defective product
B. A dispute related to pricing of goods
C. A dispute regarding a commercial contract not involving consumers
D. A dispute about an unfair trade practice
Answer: C. A dispute regarding a commercial contract not involving consumers
13. What is the maximum pecuniary jurisdiction of the State Commission under the Consumer Protection Act?
A. Rs. 10 crore
B. Rs. 1 crore
C. Rs. 50 lakh
D. Rs. 5 crore
Answer: A. Rs. 10 crore
14. In the context of medical services, which situation falls outside the purview of the Consumer Protection Act?
A. A paid consultation at a private hospital
B. Free treatment provided at a government hospital
C. A paid treatment in a private clinic
D. Paid surgeries in non-government hospitals
Answer: B. Free treatment provided at a government hospital
15. Which of the following is NOT a recognized remedy available under the Consumer Protection Act?
A. Refund of money paid
B. Replacement of defective goods
C. Discontinuance of an unfair trade practice
D. Imprisonment of the business owner
Answer: D. Imprisonment of the business owner
16. Under the Consumer Protection Act, who can file a complaint?
A. Only the affected consumer
B. Only registered consumer associations
C. Any individual or entity that represents consumer interests
D. Only the government
Answer: C. Any individual or entity that represents consumer interests
17. Which of the following does not qualify as a 'complainant' under the Consumer Protection Act?
A. A voluntary consumer association
B. The central or state government
C. A business entity
D. One or more consumers having the same interest
Answer: C. A business entity
18. Which of the following would be considered an unfair trade practice?
A. Advertising a product’s benefits truthfully
B. Selling goods at a discounted price
C. Misleading consumers about the quality of goods or services
D. Providing after-sales service
Answer: C. Misleading consumers about the quality of goods or services
19. Under the Consumer Protection Act, what is the primary responsibility of the District Forum?
A. To resolve disputes at the national level
B. To entertain complaints where the value of goods or services is less than Rs. 1 crore
C. To enforce consumer protection laws at the state level
D. To review appeals against State Commission orders
Answer: B. To entertain complaints where the value of goods or services is less than Rs. 1 crore
20. The State Commission has jurisdiction to entertain complaints involving:
A. Goods or services with a value not exceeding Rs. 10 lakh
B. Only public sector complaints
C. Goods or services with a value exceeding Rs. 1 crore but not exceeding Rs. 10 crore
D. Disputes regarding government services only
Answer: C. Goods or services with a value exceeding Rs. 1 crore but not exceeding Rs. 10 crore
21. The National Consumer Disputes Redressal Commission (National Commission) has jurisdiction over complaints where the value of goods and services:
A. Exceeds Rs. 10 crore
B. Is less than Rs. 1 crore
C. Exceeds Rs. 50 lakh
D. Exceeds Rs. 5 crore
Answer: A. Exceeds Rs. 10 crore
22. Which of the following statements is true regarding the powers of the redressal agencies under the Consumer Protection Act?
A. Redressal agencies can only issue warnings to businesses
B. Redressal agencies have powers of a civil court in specific matters
C. Redressal agencies can pass criminal judgments
D. Redressal agencies do not have any enforcement power
Answer: B. Redressal agencies have powers of a civil court in specific matters
23. Which of the following is NOT a power vested in the redressal agencies?
A. Summoning and enforcing the attendance of defendants
B. Issuing commissions for the examination of witnesses
C. Imposing penalties on consumers
D. Issuing orders to produce documents as evidence
Answer: C. Imposing penalties on consumers
24. Which of the following orders may be passed by the redressal agencies under the Consumer Protection Act?
A. Ordering the consumer to pay a fine to the business
B. Removing defects from the goods or services
C. Increasing the price of goods and services
D. Dismissing the case without any further action
Answer: B. Removing defects from the goods or services
25. Which of the following remedies is available if a consumer purchases a defective product?
A. Refund of the full price paid
B. Immediate replacement with new goods
C. Payment of compensation only
D. Consumer has to keep the defective product
Answer: B. Immediate replacement with new goods
26. In a complaint under the Consumer Protection Act, what does the redressal agency do if the product in question is hazardous to life or property?
A. Orders a price increase to ensure consumer safety
B. Orders the goods to be withdrawn from the market
C. Orders the seller to compensate the consumer
D. Issues a warning to the business
Answer: B. Orders the goods to be withdrawn from the market
27. Which of the following is a key feature of the Consumer Protection Act, 2019?
A. It reduces the penalty on businesses
B. It empowers the consumer more by providing simplified complaint redressal mechanisms
C. It eliminates all consumer rights
D. It focuses only on regulating online businesses
Answer: B. It empowers the consumer more by providing simplified complaint redressal mechanisms
28. A contract for service is defined as a contract where:
A. One party is employed under a master-servant relationship
B. One party renders services without supervision or detailed control
C. The service is free of charge
D. The service is provided exclusively by government agencies
Answer: B. One party renders services without supervision or detailed control
29. Which of the following best describes 'commercial purpose' under the Consumer Protection Act?
A. Goods purchased for personal use only
B. Goods purchased for resale or large-scale profit-making activity
C. Goods purchased for educational purposes
D. Goods purchased for charity purposes
Answer: B. Goods purchased for resale or large-scale profit-making activity
30. Under the Consumer Protection Act, the term "deficiency in services" refers to:
A. The non-availability of products in the market
B. Incomplete or unsatisfactory performance of services provided
C. An overcharging of service fees
D. Services provided only to certain groups of people
Answer: B. Incomplete or unsatisfactory performance of services provided
31. Which of the following statements about the redressal machinery is true?
A. The District Forum can entertain complaints exceeding Rs. 10 crore
B. The State Commission deals with complaints of value exceeding Rs. 1 crore but less than Rs. 10 crore
C. The National Commission deals only with complaints below Rs. 1 crore
D. The State Commission does not entertain appeals against District Forum orders
Answer: B. The State Commission deals with complaints of value exceeding Rs. 1 crore but less than Rs. 10 crore
32. What is the role of consumer education under the Consumer Protection Act?
A. It is a responsibility of businesses only
B. It helps consumers understand their rights and responsibilities
C. It focuses only on educating government bodies
D. It mandates businesses to provide consumer services
Answer: B. It helps consumers understand their rights and responsibilities
33. Under the Consumer Protection Act, which of the following actions can be taken against businesses engaged in unfair trade practices?
A. Businesses can be fined for violating consumer rights
B. Businesses will be imprisoned immediately
C. Businesses are allowed to continue their unfair practices without penalty
D. No action can be taken against businesses
Answer: A. Businesses can be fined for violating consumer rights
34. Which of the following is considered an unfair trade practice under the Consumer Protection Act?
A. Providing truthful information in advertising
B. Offering warranties on goods
C. Misleading consumers regarding the features or quality of goods
D. Providing consumer education
Answer: C. Misleading consumers regarding the features or quality of goods
35. Who is responsible for the implementation of the Consumer Protection Act at the national level?
A. The State Commission
B. The Central Government
C. The District Forum
D. The National Commission
Answer: B. The Central Government
36. In case a consumer faces a deficiency in service, they can approach:
A. The nearest police station
B. A court of law
C. The District Forum, State Commission, or National Commission depending on the case value
D. The consumer's own employer
Answer: C. The District Forum, State Commission, or National Commission depending on the case value
37. What is the pecuniary jurisdiction of the National Commission under the Consumer Protection Act?
A. Rs. 1 crore
B. Rs. 10 crore
C. Rs. 50 crore
D. Above Rs. 10 crore
Answer: D. Above Rs. 10 crore
38. Which of the following can be a valid ground for filing a complaint under the Consumer Protection Act?
A. A consumer purchases goods and finds them defective after 6 months
B. A consumer receives services that are incomplete or unsatisfactory
C. A consumer's product is of low quality but is sold at a lower price
D. A consumer disagrees with the quality of the product but does not use it
Answer: B. A consumer receives services that are incomplete or unsatisfactory
39. If a consumer buys a product with an exaggerated claim about its benefits, this is an example of:
A. Unfair trade practice
B. Deceptive advertising
C. Misleading marketing
D. All of the above
Answer: D. All of the above
40. What is the role of consumer councils and other authorities under the Consumer Protection Act?
A. To oversee manufacturing processes
B. To ensure consumers receive fair trade practices
C. To impose penalties on consumers
D. To regulate prices of products in the market
Answer: B. To ensure consumers receive fair trade practices
41. Which of the following is true about the Consumer Protection Act, 2019 regarding e-commerce?
A. The Act regulates only offline businesses
B. E-commerce businesses are subject to consumer protection provisions
C. The Act is not applicable to online services
D. E-commerce platforms are exempt from consumer disputes
Answer: B. E-commerce businesses are subject to consumer protection provisions
42. Which of the following is a key responsibility of businesses under the Consumer Protection Act?
A. To provide free products to all consumers
B. To ensure products are of high quality and free from defects
C. To charge any price they desire for products
D. To ignore consumer complaints
Answer: B. To ensure products are of high quality and free from defects
43. What is the maximum time frame for filing a complaint with a District Forum under the Consumer Protection Act?
A. 6 months from the date of purchase
B. 2 years from the date of purchase
C. 1 year from the date of purchase
D. 5 years from the date of purchase
Answer: C. 1 year from the date of purchase
44. Which of the following is NOT an objective of the Consumer Protection Act?
A. To ensure fair trade practices in the market
B. To establish a clear dispute resolution mechanism
C. To eliminate the need for businesses to adhere to ethical standards
D. To protect consumers from hazardous goods and services
Answer: C. To eliminate the need for businesses to adhere to ethical standards
45. What is meant by 'restrictive trade practice' under the Consumer Protection Act?
A. Advertising a product in a truthful manner
B. Imposing restrictions that limit consumer choice
C. Giving consumers the right to return a product
D. Providing warranties on defective products
Answer: B. Imposing restrictions that limit consumer choice
46. Which of the following remedies can be provided by the redressal agencies to consumers?
A. Refund of the money paid
B. Payment of compensation for damages suffered
C. Replacement of defective goods
D. All of the above
Answer: D. All of the above
47. The term "complaint" under the Consumer Protection Act refers to:
A. A complaint related to public sector issues
B. A written allegation made by a consumer against unfair trade practices
C. A grievance regarding government services only
D. A verbal complaint made in a consumer forum
Answer: B. A written allegation made by a consumer against unfair trade practices
48. Under the Consumer Protection Act, when can a consumer file a complaint regarding a defective product?
A. Only if the product has caused physical harm
B. Only if the product is completely unusable
C. When the product is defective or not as advertised
D. Complaints can never be filed for defective products
Answer: C. When the product is defective or not as advertised
49. Which of the following is a key provision in the Consumer Protection Act, 2019 related to the protection of consumer rights?
A. Allowing consumers to file complaints without providing evidence
B. Setting up a simplified and faster complaint resolution process
C. Giving businesses the right to ignore consumer grievances
D. Limiting consumer rights to physical products only
Answer: B. Setting up a simplified and faster complaint resolution process
50. Which of the following statements is true regarding the role of consumer education under the Consumer Protection Act?
A. Consumer education is the responsibility of businesses only
B. Consumer education helps consumers understand their rights and how to exercise them
C. Consumer education is not necessary under the Act
D. Consumer education only applies to government employees
Answer: B. Consumer education helps consumers understand their rights and how to exercise them
51. The Consumer Protection Act 2019 introduces which of the following provisions for e-commerce?
A. E-commerce platforms are exempt from liability
B. E-commerce businesses must provide information on the product and seller to consumers
C. E-commerce platforms can set any pricing structure
D. E-commerce platforms are not accountable for consumer grievances
Answer: B. E-commerce businesses must provide information on the product and seller to consumers
52. Which of the following is a right granted to consumers under the Consumer Protection Act?
A. Right to be protected against hazardous goods and services
B. Right to get a refund only in cases of defective goods
C. Right to exclusively choose from a limited range of products
D. Right to bargain prices freely with the seller
Answer: A. Right to be protected against hazardous goods and services
53. Which of the following best defines "consumer dispute" under the Consumer Protection Act?
A. Disputes related to the use of the product between consumers only
B. Disputes between businesses about product pricing
C. Disputes where a consumer’s complaint is denied or disputed by the seller or service provider
D. Disputes between manufacturers about product features
Answer: C. Disputes where a consumer’s complaint is denied or disputed by the seller or service provider
54. In a contract for service, who is responsible for detailed control and supervision?
A. The consumer is responsible
B. The service provider is responsible
C. Both parties share responsibility equally
D. There is no supervision in a contract for service
Answer: B. The service provider is responsible
55. Which of the following is a key objective of the Consumer Protection Act, 2019?
A. To regulate the wages of consumers
B. To empower consumers with the right to fair treatment and redressal
C. To restrict consumer access to services
D. To remove consumer rights entirely
Answer: B. To empower consumers with the right to fair treatment and redressal
56. Under the Consumer Protection Act, which of the following can be a ground for filing a complaint related to services?
A. A service provided is faulty or substandard
B. The service is provided at an increased price
C. The consumer does not like the service
D. The service provider is operating in a different region
Answer: A. A service provided is faulty or substandard
57. Which of the following would NOT be considered a defect in goods under the Consumer Protection Act?
A. The goods do not meet the standards promised by the seller
B. The goods fail to meet the safety norms
C. The goods are over-priced
D. The goods do not function as expected
Answer: C. The goods are over-priced
58. Which of the following remedies can be sought under the Consumer Protection Act in the event of a defective product?
A. A partial refund of the purchase price
B. A full refund of the purchase price
C. A refund or replacement with goods that are free from defects
D. No remedy is available
Answer: C. A refund or replacement with goods that are free from defects
59. Which of the following actions is NOT covered under the powers of redressal agencies in consumer disputes?
A. Issuing commission for witness examination
B. Summoning witnesses to court
C. Imposing criminal charges on the consumer
D. Enforcing attendance of witnesses
Answer: C. Imposing criminal charges on the consumer
60. Which of the following is TRUE regarding complaints in the Consumer Protection Act?
A. A complaint can only be filed by the consumer who bought the product
B. Complaints cannot be filed by consumer associations or the government
C. A consumer can file a complaint if they have been charged an excessive price for goods or services
D. Only government bodies can file complaints under the Act
Answer: C. A consumer can file a complaint if they have been charged an excessive price for goods or services
61. What is the main function of a Consumer Protection Council?
A. To regulate the prices of goods
B. To educate consumers about their rights
C. To oversee the enforcement of consumer law by businesses
D. To eliminate all consumer complaints
Answer: B. To educate consumers about their rights
62. What does the "right to be heard" under the Consumer Protection Act imply?
A. Consumers have the right to speak freely in public spaces
B. Consumers can express their grievances in appropriate forums and expect due consideration
C. Consumers can choose the pricing of products
D. Consumers can sue the business without providing any evidence
Answer: B. Consumers can express their grievances in appropriate forums and expect due consideration
63. In the context of consumer rights, what does "consumer sovereignty" mean?
A. Consumers have complete freedom to disregard product safety standards
B. Consumers are treated as "king" and their needs and interests are prioritized
C. Consumers have no rights against unfair trade practices
D. Consumers must rely solely on advertisements for product information
Answer: B. Consumers are treated as "king" and their needs and interests are prioritized
64. Under the Consumer Protection Act, a person buying goods for resale is considered to be purchasing for:
A. Commercial purposes
B. Personal use
C. Charity
D. Service provision
Answer: A. Commercial purposes
65. Which of the following is a critical feature of the redressal machinery under the Consumer Protection Act?
A. The machinery only resolves disputes related to government services
B. The redressal machinery has a simple and quick dispute resolution process
C. The machinery is only accessible to large businesses
D. The machinery does not entertain appeals
Answer: B. The redressal machinery has a simple and quick dispute resolution process
66. What is the maximum compensation that can be awarded by the District Forum under the Consumer Protection Act?
A. Rs. 1 crore
B. Rs. 50 lakh
C. Rs. 10 crore
D. Rs. 1 lakh
Answer: B. Rs. 50 lakh
67. Which of the following categories of service providers are subject to consumer protection under the Consumer Protection Act?
A. Only large private sector service providers
B. Only government service providers
C. All service providers who charge fees from consumers
D. Only businesses that are registered with consumer protection councils
Answer: C. All service providers who charge fees from consumers
68. Which of the following is the purpose of the amendment to the Consumer Protection Act in 2019?
A. To make it harder for consumers to file complaints
B. To reduce the penalties on businesses
C. To enhance consumer justice and empower consumers
D. To remove consumer education provisions
Answer: C. To enhance consumer justice and empower consumers
69. Under the Consumer Protection Act, who is responsible for maintaining quality standards in products?
A. Only the government
B. Only the consumers
C. The producers, manufacturers, and service providers
D. The District Forum
Answer: C. The producers, manufacturers, and service providers
70. Under the Consumer Protection Act, which of the following constitutes a deficiency in service?
A. The service provider does not meet the agreed-upon standards
B. The service provider offers a discount to the consumer
C. The consumer complains about high service charges
D. The service provider exceeds the expected completion time without justification
Answer: A. The service provider does not meet the agreed-upon standards
71. The term "restrictive trade practice" refers to:
A. Actions that limit competition and affect consumer choice
B. Offering discounts to increase sales
C. Providing warranty on products
D. Advertising truthful information about products
Answer: A. Actions that limit competition and affect consumer choice
72. Which of the following products would likely be subject to consumer protection measures related to hazardous goods?
A. Food products with an expired shelf life
B. Consumer electronics that comply with safety standards
C. Cosmetics that meet international health standards
D. A product containing toxic chemicals not indicated on the label
Answer: D. A product containing toxic chemicals not indicated on the label
73. Which of the following statements best describes the role of consumer education under the Consumer Protection Act?
A. It is solely aimed at educating businesses about consumer rights.
B. It is aimed at educating consumers about their rights, responsibilities, and redressal mechanisms.
C. It focuses only on educating government officials.
D. It is primarily focused on advertising strategies for businesses.
Answer: B. It is aimed at educating consumers about their rights, responsibilities, and redressal mechanisms.
74. What is the primary goal of the Consumer Protection Act, 1986 (CPA)?
A. To regulate the prices of products
B. To ensure businesses comply with international trade standards
C. To protect consumers from unfair trade practices and promote their rights
D. To limit the consumer’s ability to sue businesses
Answer: C. To protect consumers from unfair trade practices and promote their rights
75. Which of the following defines "commercial purpose" in the context of the Consumer Protection Act?
A. The use of goods exclusively for self-employment
B. Any purchase made for resale or any other business activity aimed at earning profit
C. Goods purchased for personal use only
D. The use of goods by government entities for their operations
Answer: B. Any purchase made for resale or any other business activity aimed at earning profit
76. In the context of the Consumer Protection Act, what is the "right to seek redressal"?
A. The right to request the government for free products
B. The right to approach the courts for unfair trade practices or defective products and services
C. The right to be heard in public forums
D. The right to stop businesses from advertising products
Answer: B. The right to approach the courts for unfair trade practices or defective products and services
77. Under the Consumer Protection Act, which of the following is a role of the National Commission?
A. To resolve disputes involving the sale of goods only
B. To review and entertain complaints where the value exceeds Rs. 10 crore
C. To only oversee government-run services
D. To prevent consumers from filing complaints against international companies
Answer: B. To review and entertain complaints where the value exceeds Rs. 10 crore
78. Which of the following types of goods or services is most likely to require a remedy under the Consumer Protection Act?
A. Goods with clear and accurate labeling
B. Services with no evident issues or deficiencies
C. Goods with hidden defects or dangerous qualities
D. Services provided by a government entity
Answer: C. Goods with hidden defects or dangerous qualities
79. Which of the following does NOT fall under the scope of "unfair trade practices" under the Consumer Protection Act?
A. Providing misleading advertisements about product features
B. Charging an excessive price for a product
C. Offering warranties on defective products
D. Offering free services without any defects
Answer: D. Offering free services without any defects
80. What is the significance of a "complaint" under the Consumer Protection Act?
A. It is any written allegation made by the government
B. It refers to any grievance that is addressed to the National Commission only
C. It refers to an allegation made by the consumer regarding defects in goods, deficiencies in services, or unfair trade practices
D. It only applies to complaints about pricing issues
Answer: C. It refers to an allegation made by the consumer regarding defects in goods, deficiencies in services, or unfair trade practices
81. Which of the following is a provision that the Consumer Protection Act allows regarding goods?
A. Goods can be sold with any label, even if misleading
B. Defective goods can be returned, and the seller must provide a remedy
C. Sellers can increase the price of goods without any restriction
D. Consumers can only complain if the goods are physically harmful
Answer: B. Defective goods can be returned, and the seller must provide a remedy
82. What must a consumer do before approaching a District Forum under the Consumer Protection Act?
A. Submit a complaint to the police
B. Attempt to resolve the issue with the seller or service provider first
C. Wait for the product to be recalled by the manufacturer
D. File a complaint directly with the State Commission
Answer: B. Attempt to resolve the issue with the seller or service provider first
83. Which of the following could be considered a "deficiency in service" under the Consumer Protection Act?
A. A service provider who delivers the service on time and with full quality
B. A service provider who fails to deliver the service as agreed, without informing the consumer
C. A service provider who offers a product discount
D. A service provider who follows industry standards
Answer: B. A service provider who fails to deliver the service as agreed, without informing the consumer
84. Which of the following is true about the right to be informed under the Consumer Protection Act?
A. Consumers are only entitled to information on the price of goods
B. Consumers have the right to be informed about the quality, price, and standards of goods or services
C. Consumers are not entitled to any information regarding product ingredients
D. The right to be informed applies only to physical stores, not online platforms
Answer: B. Consumers have the right to be informed about the quality, price, and standards of goods or services
85. What does the term "consumer dispute" refer to under the Consumer Protection Act?
A. A situation where the consumer has accepted a defective product
B. A disagreement over the price of a product
C. A dispute between a consumer and seller regarding a defect in goods, deficiency in service, or an unfair trade practice
D. A conflict between two consumers about a product
Answer: C. A dispute between a consumer and seller regarding a defect in goods, deficiency in service, or an unfair trade practice
86. Which of the following statements is true regarding "unfair trade practices"?
A. Unfair trade practices are always intentional
B. They only apply to advertising methods
C. They involve misleading the consumer in some way about the nature or quality of goods or services
D. They apply only to commercial contracts and not individual consumers
Answer: C. They involve misleading the consumer in some way about the nature or quality of goods or services
87. Which of the following is an example of a "restrictive trade practice" under the Consumer Protection Act?
A. Offering a product warranty
B. Imposing conditions that limit the consumer's freedom of choice
C. Advertising the price of a product
D. Selling goods with accurate labeling
Answer: B. Imposing conditions that limit the consumer's freedom of choice
88. Which of the following remedies is NOT provided under the Consumer Protection Act in case of a consumer complaint?
A. Refund of the amount paid by the consumer
B. Replacement of defective goods with new ones
C. Imprisonment of the business owner
D. Payment of compensation for damages suffered
Answer: C. Imprisonment of the business owner
89. Under the Consumer Protection Act, what happens when a consumer complaint involves goods that are hazardous to life and safety?
A. The goods may be removed from the market
B. The consumer must accept the defective goods
C. The business can offer the consumer a discount instead
D. The goods may be re-labeled with new safety warnings
Answer: A. The goods may be removed from the market
90. What is a significant change introduced in the Consumer Protection Act, 2019 regarding consumer disputes?
A. The requirement for complaints to be processed within 90 days
B. The introduction of the Consumer Protection Authority to deal with e-commerce issues
C. Limiting consumer rights to only physical product purchases
D. Replacing the District Forum with online-only dispute resolution
Answer: B. The introduction of the Consumer Protection Authority to deal with e-commerce issues
These additional questions provide an even deeper understanding of the Consumer Protection Law, focusing on important principles, dispute resolution mechanisms, and key concepts. With this set of questions, you should have a solid grasp of how consumer protection law operates in real-world scenarios, empowering both consumers and businesses to understand their rights and responsibilities.
