CORPORATE

CCPA files class-action suit against nine companies for flouting various consumer rules

In a first such case, the Central Consumer Protection Authority (CCPA) has started “class-action proceedings” against nine firms for failing to refund payments during the Coronavirus pandemic. The action has also been initiated for not displaying the “country of origin” on the products, according to reports in a section of the media.  


The firms include online travel companies, a social media firm and an e-commerce firm. 


This is the first time that provisions of class-action suit have been invoked to protect a group of consumers, the reports have added. 


CCPA was formed in 2020 under the Consumer Protection Act. It has the mandate to regulate matters related to unfair trade practices, consumer rights and false or misleading advertisements. 


Firms have been issued instructions to comply with the CCPA orders. CCPA may file class-action suits in the National Consumer Disputes Redressal Commission (NCDRC) if the firms fail to comply with the instructions.

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