Question

Under Consumer Protection Act, the jurisdiction of the District Forum should not exceed rupees

• A. Fifty Thousands
• B. Twenty Five Thousands
• C. One lakh
• D. Twenty lakhs

Hint:

Be aware of the jurisdictional limits under both the old and new Consumer Protection Acts. \begin{itemize} \item \textbf{Act of 1986 (amended):} District up to ₹20 Lakhs; State ₹20 Lakhs to ₹1 Crore; National above ₹1 Crore. \item \textbf{Act of 2019:} District up to ₹1 Crore; State ₹1 Crore to ₹10 Crores; National above ₹10 Crores. (Note: These limits were later revised in 2021). \end{itemize}

Answer 1

The Correct Option is D

Step 1: Understanding the Concept:
The question asks about the pecuniary (monetary) jurisdiction of the District Consumer Disputes Redressal Forum under the Consumer Protection Act, 1986. The jurisdiction of the consumer forums is based on the value of the goods or services and the compensation claimed. The limits have been amended over time.
Step 2: Detailed Explanation:
Under the Consumer Protection Act, 1986, the pecuniary jurisdiction of the District Forum was originally set at a lower amount. However, through subsequent amendments, this limit was increased to keep pace with inflation and the value of transactions. For a significant period before the enactment of the new Act in 2019, the jurisdiction of the District Forum was as follows: \begin{itemize} \item The District Forum had jurisdiction to entertain complaints where the value of the goods or services and the compensation, if any, claimed did not exceed Rupees Twenty Lakhs (Rs. 20,00,000). \end{itemize} Given the options, "Twenty lakhs" is the correct answer reflecting the jurisdiction under the amended 1986 Act.
Step 3: Final Answer:
The jurisdiction of the District Forum should not exceed rupees Twenty lakhs.