DEFINITION:

Charging over the Maximum Retail Price (MRP) in India is illegal. The MRP is the highest price that can be charged for a product, inclusive of all taxes. Selling products above the MRP is considered a violation of consumer rights and is punishable under Indian law.

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STEPS FOR CONSUMERS WHILE ENCOUNTERING OVERPRICING:

1. Check the MRP: Ensure that the price being charged exceeds the MRP printed on the product.

2. Collect Evidence: Retain the bill or receipt, and if possible, take photographs of the product showing the MRP.

3. Confront the Seller: Politely inform the seller about the MRP and the overpricing. Often, this can resolve the issue on the spot.

4. Report the Issue: If the seller does not comply, proceed to file a complaint.

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HOW TO REGISTER A COMPLAINT:

1. Consumer Helpline: Call the National Consumer Helpline (NCH) at 1800-11-4000 or 14404.

2. Online Complaint:

   • Visit the National Consumer Helpline website (consumerhelpline.gov.in) and register a complaint online.

   • Use the NCH mobile app to lodge a complaint.

3. Email: Send an email detailing the issue to the State Consumer Helpline.

4. District Collector: Lodge a complaint with the District Collector or the concerned State Department.

5. Legal Action: Approach the Consumer Court/Forum.

 

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APPLICABLE SECTIONS AND LEGAL FRAMEWORK:

1. Legal Metrology Act, 2009:

   • Section 36(1): This section specifically deals with the offence of selling or delivering goods or rendering services at a price higher than the MRP.

   • Penalties: Violation of this section can lead to fines or imprisonment, or both.

 

 

CONCERNED AUTHORITIES:

1. Consumer Forum: District, State, and National Consumer Disputes Redressal Commissions.

2. Legal Metrology Department: Responsible for enforcement of the Legal Metrology Act.

3. National Consumer Helpline: A government initiative to provide guidance and solutions to consumer grievances.

4. District Collector: Has authority to act against unfair trade practices in their jurisdiction.

 

 

CASE LAWS:

1. United India Insurance Co. Ltd. vs. Pushpalaya Printers (2004): This case highlighted the importance of adherence to the MRP and upheld consumer rights.

2. Lucknow Development Authority vs. M.K. Gupta (1993): The Supreme Court emphasized the protection of consumer rights and the responsibilities of sellers.

3. Reliance Industries Ltd. vs. L. N. Agrawal (2013): This case reaffirmed the legal stance on MRP and the penalties for overpricing.

 

 

SUMMARY:

Consumers in India have several avenues for recourse if they encounter overpricing. By understanding their rights and the procedures for lodging complaints, consumers can ensure that they are not exploited and that businesses adhere to fair pricing practices.

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