Consumer Protection Act, 2018

Chapter-1
Preliminary

1. Short Title and Commencement: (1) This Act may be called the "Consumer Protection Act, 2075".

(2) This Act shall come into force immediately. 2. Definitions: Unless the subject or context otherwise requires, in this Act, -

(a) "Court" means the Consumer Court pursuant to Section 41.

(b) "Unfair trade or business practice" means any activity pursuant to Section 16.

(c) "Production" means the process of making, preparing, processing, converting, mixing, packaging or re-packaging, assembling, or labeling goods, or any or all processes adopted in relation thereto.

(d) "Consumer" means a person or entity who consumes or uses any goods or services.

(e) "Consumer Organization" means an organization established according to the prevailing law with the objective of protecting and promoting the rights and interests of consumers.

(f) "Central Monitoring Committee" means the Central Market Monitoring Committee pursuant to Section 25.

(g) "Substandard Goods" means consumable goods which have or are in any of the following conditions:

(1) Goods of lower quality than those mentioned on the label affixed pursuant to Section 6, or the quantity of necessary elements or substances required in such goods is reduced, or adulterated with any other substance,

(2) Goods prepared by rotting, decaying, mixing filth or pesticides, or using any chemical, color, or fragrance harmful to human health so as to be injurious to human health,

(3) Goods made from any diseased or pathogenic animal, bird, or harmful plant, in whole or in part,

(4) Goods produced, transported, stored, warehoused, or sold without meeting the prescribed standards,

(5) Goods whose quality, if prescribed, is not as per that standard, and if not prescribed, is not of the quality as stated by the producer,

(6) Goods having a quality less than the minimum or more than the maximum quality, if prescribed, under this Act or the Rules made under this Act.

(h) "Prescribed" or "as prescribed" means prescribed or as prescribed in the Rules made under this Act.

(i) "Inspector" means an Inspector appointed or designated pursuant to Section 32.

(j) "Council" means the Consumer Protection Council to be formed pursuant to subsection (1) of Section 22.

(k) "Laboratory" means a body recognized by the Government of Nepal, established for the purpose of testing the purity, completeness, or quality of consumable goods.

(l) "Ministry" means the Ministry of Industry, Commerce and Supplies of the Government of Nepal.

(m) "Label" means a tag, sign, picture, or other descriptive matter written, printed, lithographed, marked, embossed, contained, or otherwise shown on the goods or the container containing the goods or on such goods.

(n) "Goods" means a substance made from goods consumed or used by a consumer or from a mixture of goods that does not cause harm, damage, or any kind of negative effect (side effect) to health, and the term also denotes the raw materials, colors, fragrances, or chemicals used in the manufacture of such goods.

(o) "Price of Goods" means the price fixed at the time of production, the label price, M.R.P., the price specified in the import declaration form, or the price fixed by the producer at the source.

(p) "Seller" means a person, firm, company, or entity selling or distributing goods or services.

(q) "Department" means the Department of Commerce, Supplies and Consumer Interest Protection.

(r) "Service" means electricity, drinking water, telephone, information technology, health, education and counseling, transportation, drainage, banking, or other services of a similar nature, and the term also denotes legal, medical, or engineering services.

(s) "Defective Product" means any goods or services where the minimum safety measures that an ordinary person reasonably expects from the consumption of a product are absent due to any of the following reasons:

(1) Defective design, manufacture, processing, mixing, or installation,

(2) Defective packaging, preservation, or storage,

(3) Defective presentation,

(4) Lack of adequate measures or precautions to control potential risks or dangers according to the nature of the produced goods or services,

(5) Production that differs from, or is a theft or imitation of, a product produced by a company having intellectual property rights.