The interplay between consumer protection and competition law in India

Abstract

The protection of the interests of consumers is a central aspect of all modern competition laws as well as a direct aim of consumer protection laws. However, despite being complementary in many ways, competition and consumer protection laws cover different issues and employ different methods to achieve their goals. Whilst consumer protection rules are built upon the premise that consumers are the weaker party to transactions and should be directly protected for this reason in their dealings with traders through certain consumer rights, competition law only indirectly protects the consumers' economic well-being by ensuring that the markets are subject to effective competition. This article explores the interplay between consumer protection and competition law in the Indian context with some comparison with the EU position, where relevant. After an examination of the relevant legislation and case law, the article finds that given that the mandate of the Competition Commission of India is to prevent practices having an adverse effect on competition, in cases of overlap between consumer protection and competition laws, the Authority should act only on the basis of adverse effects on competition. The treatment of 'unfair trade practices' is used to demonstrate the appropriateness of this approach.I.

Rectifying Consumer Protection Law and Establishing of a Consumer Court in Indonesia

“…Therefore, the formation of consumer law departs from consumer protection efforts. The Consumer Protection Act (CPA) is obliged to protect the interests of consumers (Bourgoignie 1992 ) and intends to provide justice that is “less formal, involves less paperwork, less delays and less costs.” In many countries, this act has received wide recognition as a poor people’s law, ensuring easy access to justice (Nathani and Akman 2017 ; Scott and Black 2000 ). Ian Ramsay said that consumers must obtain opportunities to achieve justice (access to justice).…”