BUSINESS STUDIES MASTER

Simplifying Foundations of Business & Management for Class XI & XII

MORE 100 MCQS Chapter 12: Consumer Protection

CBSE BOARD 2024
1. The traditional market approach of "Caveat Emptor" has now been largely replaced by the concept of "Caveat Venditor". What does "Caveat Venditor" mean?
A) Let the buyer beware
B) Let the seller beware
C) The customer is always wrong
D) Selling is the only goal
Correct Answer: B) Let the seller beware.
Board Tip: The modern market is consumer-oriented. The responsibility has shifted from the buyer having to be cautious, to the seller being held accountable for the products they sell.
EXAM FAVORITE
2. Which of the following highlights the importance of consumer protection from the point of view of a "Business"?
A) Widespread exploitation of consumers
B) Unorganized consumers
C) Long-term interest of business
D) Consumer ignorance
Correct Answer: C) Long-term interest of business.
Logic: Options A, B, and D are importance from the *Consumer's* point of view. A business must protect consumers to build trust and survive in the long run.
COMPETENCY BASED
3. "A business uses human, financial, and physical resources belonging to society. Therefore, it has a responsibility to supply products that are safe and do not cause harm." This statement justifies consumer protection from the viewpoint of:
A) Moral Justification
B) Social Responsibility
C) Government Intervention
D) Consumer Ignorance
Correct Answer: B) Social Responsibility.
Analysis: Because a business operates within society and uses its resources, it has a duty to protect the societal members (consumers).
CBSE BOARD 2023
4. A business that engages in adulteration, hoarding, black marketing, or deceptive advertising invites strict action from the authorities, which damages its brand image. This highlights which reason for a business to protect consumers?
A) Moral Justification
B) Government Intervention
C) Long-term interest of business
D) Widespread exploitation of consumers
Correct Answer: B) Government Intervention.
Note: Businesses should voluntarily protect consumers to avoid heavy penalties, raids, and restrictions imposed by the government.
ASSERTION-REASON
5. Assertion (A): Consumer protection is vital because a large section of consumers are ignorant about their rights.
Reason (R): Consumer protection agencies run awareness campaigns to educate buyers on how to seek redressal against unfair trade practices.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE SAMPLE PAPER
6. Which piece of legislation currently forms the primary legal framework for the protection of consumers in India?
A) The Sale of Goods Act, 1930
B) The Consumer Protection Act, 1986
C) The Consumer Protection Act, 2019
D) The Competition Act, 2002
Correct Answer: C) The Consumer Protection Act, 2019.
Board Tip: The 1986 Act was replaced by the much more comprehensive 2019 Act to cover modern issues like e-commerce and direct selling.
EXAM FAVORITE
7. An electric iron gives a severe shock to the user due to a manufacturing defect. Which consumer right has been violated?
A) Right to be Heard
B) Right to Safety
C) Right to Information
D) Right to Choose
Correct Answer: B) Right to Safety.
Logic: The consumer has a right to be protected against goods and services that are hazardous to life and health.
CASE SCENARIO
8. A medicine bottle does not have the date of manufacture, expiry date, or the list of ingredients printed on it. The manufacturer has violated the consumer's:
A) Right to be Heard
B) Right to Seek Redressal
C) Right to Information
D) Right to Consumer Education
Correct Answer: C) Right to Information.
Analysis: Consumers have the right to be informed about the quality, quantity, potency, purity, standard, and price of goods to protect against unfair trade practices.
CBSE BOARD 2022
9. A salesperson at a mobile shop forces a customer to buy a specific brand of smartphone because the salesperson gets a higher commission on it, refusing to show other available brands. This violates the consumer's:
A) Right to Information
B) Right to Choose
C) Right to Safety
D) Right to Seek Redressal
Correct Answer: B) Right to Choose.
Note: Consumers have the right to be assured, wherever possible, access to a variety of goods and services at competitive prices.
COMPETENCY BASED
10. Many reputed companies have set up dedicated "Customer Care and Grievance Cells" where buyers can call toll-free numbers to lodge complaints. This action honors the consumer's:
A) Right to be Heard (Right to Representation)
B) Right to Safety
C) Right to Consumer Education
D) Right to Information
Correct Answer: A) Right to be Heard (Right to Representation).
Analysis: The consumer has the right to advocate for their interests and have their complaints heard by the business or a consumer forum.
CBSE BOARD 2021
11. A customer bought a defective refrigerator. The consumer court ordered the company to replace the refrigerator and pay ₹10,000 as compensation for the mental agony suffered by the buyer. Which right was exercised here?
A) Right to Safety
B) Right to be Heard
C) Right to Seek Redressal
D) Right to Choose
Correct Answer: C) Right to Seek Redressal.
Board Tip: "Right to be heard" means you can file a complaint. "Right to seek redressal" is what gets you the actual compensation, replacement, or refund.
ASSERTION-REASON
12. Assertion (A): A consumer should always insist on getting a cash memo (bill) on purchase of goods or services.
Reason (R): A cash memo serves as the primary legal proof of purchase required to file a complaint in a consumer court.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
HOTS QUESTION
13. Which of the following is NOT considered a "Consumer" under the Consumer Protection Act, 2019?
A) A person who buys a microwave for household use
B) A person who orders a shirt online
C) A shopkeeper who buys 50 pairs of shoes to sell in his retail store
D) A person who uses a service after paying for it in installments
Correct Answer: C) A shopkeeper who buys 50 pairs of shoes to sell in his retail store.
Logic: Anyone who buys goods for resale or for any commercial purpose is explicitly excluded from the definition of a consumer under the Act.
CASE SCENARIO
14. Mr. Verma bought a sewing machine to start a small tailoring business at home to earn his livelihood. It turned out to be defective. Can he file a complaint under the CPA 2019?
A) No, because he bought it for a commercial purpose.
B) Yes, because buying goods strictly for earning a livelihood by means of self-employment is an exception and he is considered a consumer.
C) No, because machinery is not covered under the act.
D) Yes, but only in the Supreme Court.
Correct Answer: B) Yes, because buying goods strictly for earning a livelihood by means of self-employment is an exception and he is considered a consumer.
CBSE BOARD 2024
15. Buying goods blindly without reading the label, checking the expiry date, or looking for quality marks is a violation of:
A) Consumer Rights
B) Seller's Responsibilities
C) Consumer Responsibilities
D) Business Ethics
Correct Answer: C) Consumer Responsibilities.
Board Tip: The law helps those who help themselves. Consumers must be aware and cautious while making purchases.
EXAM FAVORITE
16. If a consumer is buying electrical appliances, which standardized quality mark should they specifically look for to ensure safety?
A) AGMARK
B) FPO
C) Hallmark
D) ISI Mark
Correct Answer: D) ISI Mark.
Logic: ISI is for industrial/electrical goods. AGMARK is for agriculture, FPO is for processed food, and Hallmark is for jewelry.
CBSE SAMPLE PAPER
17. A consumer buys gold jewelry but forgets to check for the authenticity mark. Which mark did they fail to verify?
A) ISI Mark
B) Hallmark (BIS)
C) Eco-mark
D) AGMARK
Correct Answer: B) Hallmark (BIS).
COMPETENCY BASED
18. Forming Consumer Societies to educate people and advocate for their rights is considered a:
A) Consumer Right
B) Duty of the Government
C) Consumer Responsibility
D) Function of SEBI
Correct Answer: C) Consumer Responsibility.
Analysis: Consumers are encouraged to organize themselves to collectively fight against exploitation.
CBSE BOARD 2023
19. Which consumer right emphasizes that a consumer should have the knowledge and skill to be an informed buyer throughout life?
A) Right to Information
B) Right to Consumer Education
C) Right to Choose
D) Right to be Heard
Correct Answer: B) Right to Consumer Education.
ASSERTION-REASON
20. Assertion (A): Under the CPA 2019, a person who buys goods online (e-commerce) is fully protected and considered a consumer.
Reason (R): The new Act explicitly expanded the definition of a consumer to include offline, online through electronic means, teleshopping, and direct selling multi-level marketing.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
HOTS QUESTION
21. An advertisement makes a false claim that a cream will make a person fair in 5 days. The consumer has the right to be protected against such misleading advertisements under the:
A) Right to Choose
B) Right to Information
C) Right to Safety
D) Right to Seek Redressal
Correct Answer: B) Right to Information.
Logic: The right to information includes the right to be protected against deceptive and misleading advertising or labeling.
CASE SCENARIO
22. While purchasing a car, the dealer offers free insurance but forces the customer to buy accessories worth ₹50,000 exclusively from their shop to get the deal. The customer is denied the:
A) Right to be Heard
B) Right to Consumer Education
C) Right to Choose
D) Right to Safety
Correct Answer: C) Right to Choose.
Analysis: Tying the purchase of one product forcibly to another limits the buyer's freedom to choose from where they want to buy accessories.
CBSE BOARD 2021
23. "A consumer must respect the environment and avoid creating waste, pollution, and emissions." This falls under:
A) Consumer Rights
B) Consumer Responsibilities
C) Seller Responsibilities
D) Legal Constraints
Correct Answer: B) Consumer Responsibilities.
EXAM FAVORITE
24. What does the "FPO" mark guarantee?
A) Purity of agricultural products
B) Quality of electrical appliances
C) Quality and hygiene of processed fruit products (like jams, pickles)
D) Environmental safety of products
Correct Answer: C) Quality and hygiene of processed fruit products (like jams, pickles).
FINAL MASTER QUESTION
25. Match the Consumer Right with the appropriate action:
(i) Right to Safety
(ii) Right to Information
(iii) Right to Choose
(iv) Right to Seek Redressal

With:
(a) Filing a case for a defective TV
(b) Checking the ISI mark on a heater
(c) Reading the ingredients on a juice box
(d) Exploring 5 different brands of laptops before buying
A) (i)-(b), (ii)-(c), (iii)-(d), (iv)-(a)
B) (i)-(a), (ii)-(b), (iii)-(c), (iv)-(d)
C) (i)-(c), (ii)-(d), (iii)-(a), (iv)-(b)
D) (i)-(d), (ii)-(a), (iii)-(b), (iv)-(c)
Correct Answer: A) (i)-(b), (ii)-(c), (iii)-(d), (iv)-(a).
Final Analysis: This matching effectively summarizes how the theoretical rights translate into real-world actions for the Board Exam case studies.
CBSE BOARD 2024
26. Under the Consumer Protection Act, 2019, the consumer dispute redressal machinery in India operates at how many levels?
A) One-tier
B) Two-tier
C) Three-tier
D) Four-tier
Correct Answer: C) Three-tier.
Board Tip: The machinery consists of the District Commission, State Commission, and National Commission.
EXAM FAVORITE
27. As per the revised pecuniary jurisdiction rules (Dec 2021) under the CPA 2019, what is the maximum value of goods/services paid as consideration for a complaint to be filed in the District Commission?
A) Up to ₹20 Lakhs
B) Up to ₹50 Lakhs
C) Up to ₹1 Crore
D) Up to ₹10 Crores
Correct Answer: B) Up to ₹50 Lakhs.
Note: While the original 2019 Act set it at 1 Crore, the Central Government officially revised the limits in Dec 2021 to "Up to 50 Lakhs" for the District Commission. Always answer based on the revised limits for current exams.
COMPETENCY BASED
28. A consumer purchased a luxury car for ₹1.2 Crores. It turned out to be completely defective. Based on the revised jurisdiction limits, where must the consumer file their original complaint?
A) District Commission
B) State Commission
C) National Commission
D) Supreme Court
Correct Answer: B) State Commission.
Analysis: The State Commission handles original complaints where the value of consideration paid is between ₹50 Lakhs and ₹2 Crores.
CBSE BOARD 2023
29. The National Commission has the jurisdiction to entertain original complaints where the value of goods or services paid as consideration exceeds:
A) ₹1 Crore
B) ₹2 Crores
C) ₹5 Crores
D) ₹10 Crores
Correct Answer: B) ₹2 Crores.
Logic: Under the revised 2021 rules, anything above ₹2 Crores goes directly to the National Commission.
ASSERTION-REASON
30. Assertion (A): A consumer who is not satisfied with the order of the District Commission can appeal to the State Commission.
Reason (R): The appeal must be filed within 45 days from the date of the order passed by the District Commission.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: B) Both (A) and (R) are true but (R) is NOT the explanation.
Note: Both statements are factual provisions of the CPA 2019, but the 45-day time limit is not the *reason* why an appeal is allowed in the first place.
CBSE SAMPLE PAPER
31. What is the time limit for filing an appeal against the order of the State Commission to the National Commission?
A) 15 days
B) 30 days
C) 45 days
D) 60 days
Correct Answer: B) 30 days.
HOTS QUESTION
32. Under the Consumer Protection Act 2019, an appeal to the Supreme Court can ONLY be made against the orders of the:
A) District Commission
B) State Commission
C) National Commission (only for cases that originated there)
D) Any Commission
Correct Answer: C) National Commission (only for cases that originated there).
Logic: If a case started in the District Commission, went to the State, and then the National Commission, it CANNOT be appealed further to the Supreme Court. The Supreme Court only hears appeals for cases whose original value was over ₹2 Crores.
CASE SCENARIO
33. A customer finds a dead insect inside a sealed bottle of cold drink. They file a complaint. Which of the following is a valid "relief/remedy" the consumer court can order the manufacturer to provide?
A) Arrest the CEO immediately
B) Ban the company from operating in India forever
C) Replace the product, refund the price, and pay compensation for mental agony
D) Force the company to give free drinks to the customer for life
Correct Answer: C) Replace the product, refund the price, and pay compensation for mental agony.
Analysis: The CPA outlines specific legal remedies, such as removal of defect, replacement, refund, and adequate compensation.
CBSE BOARD 2022
34. Which new regulatory authority was established under the Consumer Protection Act, 2019 to specifically promote, protect, and enforce the rights of consumers as a class?
A) Securities and Exchange Board of India (SEBI)
B) Central Consumer Protection Authority (CCPA)
C) Reserve Bank of India (RBI)
D) Food Safety and Standards Authority of India (FSSAI)
Correct Answer: B) Central Consumer Protection Authority (CCPA).
COMPETENCY BASED
35. A major e-commerce website is selling counterfeit (fake) shoes of a famous brand. Under the CPA 2019, the Central Consumer Protection Authority (CCPA) has the power to:
A) Pass an order to recall the goods and reimburse the purchasers
B) Only advise the customers not to buy them
C) Ignore it because e-commerce is not covered under the Act
D) Ask the original brand to lower their prices
Correct Answer: A) Pass an order to recall the goods and reimburse the purchasers.
Analysis: The CCPA has sweeping executive powers to order recalls, refunds, and impose heavy penalties for unfair trade practices.
CBSE BOARD 2021
36. A significant addition to the Consumer Protection Act 2019 is the concept of "Product Liability". This means:
A) Consumers are liable for how they use the product.
B) Manufacturers or sellers are responsible for compensating consumers for any harm or injury caused by a defective product.
C) The government takes liability for all products sold in the country.
D) Products must have a lifetime warranty.
Correct Answer: B) Manufacturers or sellers are responsible for compensating consumers for any harm or injury caused by a defective product.
ASSERTION-REASON
37. Assertion (A): Under the CPA 2019, an alternate dispute resolution mechanism has been introduced.
Reason (R): Consumer Commissions can now refer a dispute for 'Mediation' if both parties agree, to resolve the issue faster outside the courtroom.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
Note: Mediation Cells are attached to the consumer commissions at all three tiers.
HOTS QUESTION
38. According to the Consumer Protection Act, a complaint can be filed by:
A) Any individual, whether a consumer or not
B) Only the person who bought the goods
C) Any consumer, a registered consumer association, the Central/State Govt, or a legal heir of a deceased consumer
D) Only the Central Consumer Protection Authority (CCPA)
Correct Answer: C) Any consumer, a registered consumer association, the Central/State Govt, or a legal heir of a deceased consumer.
CBSE BOARD 2024
39. Are services rendered free of charge (like free medical treatment in a government hospital) covered under the Consumer Protection Act?
A) Yes, completely
B) No, free services and contracts of personal service are specifically excluded from the definition of 'Service' under the Act.
C) Yes, but only for medical services
D) Yes, if the consumer demands it
Correct Answer: B) No, free services and contracts of personal service are specifically excluded from the definition of 'Service' under the Act.
CASE SCENARIO
40. Rahul bought a pair of shoes online from a major e-commerce platform. When they arrived, they were torn. He tried to return them, but the platform claimed they are not responsible for sellers on their site. Under CPA 2019:
A) Rahul cannot file a complaint against the e-commerce platform.
B) The e-commerce platform is fully liable as the CPA 2019 explicitly covers all e-commerce and direct selling transactions.
C) E-commerce is only governed by the IT Act, not CPA.
D) Rahul must physically go to the seller's factory to complain.
Correct Answer: B) The e-commerce platform is fully liable as the CPA 2019 explicitly covers all e-commerce and direct selling transactions.
CBSE SAMPLE PAPER
41. The Consumer Protection Act 2019 allows consumers to file complaints electronically and also file complaints:
A) Only at the place where the seller has their registered office
B) From the place where the consumer resides or personally works for gain
C) Only in the National Commission in New Delhi
D) Only through a hired lawyer
Correct Answer: B) From the place where the consumer resides or personally works for gain.
Board Tip: The older 1986 act forced consumers to file where the *seller* was located. The 2019 Act provides massive relief by letting consumers file from their own location.
TRICKY QUESTION
42. What is the limitation period within which a consumer must file a complaint in the consumer court?
A) Within 30 days from the date of purchase
B) Within 6 months from the date of purchase
C) Within 2 years from the date on which the cause of action arises
D) There is no time limit
Correct Answer: C) Within 2 years from the date on which the cause of action arises.
COMPETENCY BASED
43. Which of the following remedies can a consumer court order if it finds that a batch of products is inherently hazardous to public safety?
A) To withdraw the hazardous goods from being offered for sale
B) To cease manufacturing of hazardous goods
C) To issue corrective advertisements to neutralize the effect of misleading ads
D) All of the above
Correct Answer: D) All of the above.
Analysis: The consumer courts have vast powers to stop hazardous goods from harming the public and can order corrective ads at the expense of the guilty party.
CBSE BOARD 2023
44. A famous celebrity endorses a fairness cream in a TV commercial, making false claims about its miraculous results. Under the CPA 2019, who can the CCPA penalize for this misleading advertisement?
A) Only the manufacturer
B) Only the advertising agency
C) The manufacturer, the advertising agency, AND the celebrity endorser
D) The TV channel broadcasting it
Correct Answer: C) The manufacturer, the advertising agency, AND the celebrity endorser.
Note: The CPA 2019 made endorsers accountable. Celebrities must perform due diligence before endorsing false claims, or face penalties and bans.
ASSERTION-REASON
45. Assertion (A): A buyer who purchases goods for commercial purposes is not considered a consumer.
Reason (R): The Consumer Protection Act is intended to protect end-users (retail buyers) from exploitation, not to resolve business-to-business (B2B) commercial disputes.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
HOTS QUESTION
46. Which of the following organizations plays a key role in protecting consumers by publishing magazines like "Consumer Voice" to spread awareness?
A) Supreme Court
B) Non-Governmental Organizations (NGOs) and Consumer Organizations
C) Bureau of Indian Standards (BIS)
D) District Commission
Correct Answer: B) Non-Governmental Organizations (NGOs) and Consumer Organizations.
Logic: NGOs act as a massive support system by testing products, filing public interest litigations (PILs), and publishing informative literature.
CBSE BOARD 2021
47. If the National Commission finds a company guilty, they can order the company to pay a minimum of ________ of the value of the defective goods to the Consumer Welfare Fund.
A) 1%
B) 5%
C) 10%
D) 25%
Correct Answer: B) 5%.
Note: This is a punitive measure where a minimum of 5% of the defective goods' value must be deposited in the Consumer Welfare Fund.
CASE SCENARIO
48. Neha bought a branded dress material. After the first wash, the color bled entirely, ruining the dress. The shopkeeper refused a refund, saying it wasn't his fault. To support her case in the consumer court, what is the most important document Neha must present?
A) Her Aadhaar Card
B) The cash memo (invoice) of the purchase
C) A letter from the tailor
D) A photo of the ruined dress
Correct Answer: B) The cash memo (invoice) of the purchase.
Analysis: Without legal proof of purchase from that specific seller, the court cannot establish the buyer-seller relationship.
TRICKY QUESTION
49. Under the CPA 2019, if a consumer and a seller agree to resolve their dispute through the newly established "Mediation Cell" and a settlement is reached, can they appeal this settlement in a higher commission?
A) Yes, within 30 days
B) Yes, within 45 days
C) No, no appeal lies against a settlement reached through mediation
D) Yes, but only in the Supreme Court
Correct Answer: C) No, no appeal lies against a settlement reached through mediation.
Board Tip: Mediation is a mutually agreed-upon settlement. Once signed, it is final and binding to prevent further court delays.
FINAL MASTER QUESTION
50. Match the Consumer Redressal Agency with its revised pecuniary jurisdiction (Dec 2021 update):
(i) District Commission
(ii) State Commission
(iii) National Commission

With:
(a) Value exceeds ₹2 Crores
(b) Value up to ₹50 Lakhs
(c) Value exceeds ₹50 Lakhs but does not exceed ₹2 Crores
A) (i)-(b), (ii)-(c), (iii)-(a)
B) (i)-(a), (ii)-(b), (iii)-(c)
C) (i)-(c), (ii)-(a), (iii)-(b)
D) (i)-(b), (ii)-(a), (iii)-(c)
Correct Answer: A) (i)-(b), (ii)-(c), (iii)-(a).
Final Analysis: Memorizing these exact limits is critical, as they form the basis for almost every numeric case study in the Consumer Protection chapter!
CBSE BOARD 2024
51. Which of the following is NOT a relief available to a consumer under the Consumer Protection Act, 2019?
A) To remove the defect in goods or deficiency in services
B) To replace the defective product with a new one
C) To sentence the seller to rigorous imprisonment of 10 years
D) To refund the price paid for the product
Correct Answer: C) To sentence the seller to rigorous imprisonment of 10 years.
Board Tip: Consumer Commissions are quasi-judicial bodies focused on compensation, refunds, and rectifying trade practices, not handing out long prison sentences like criminal courts.
HOTS QUESTION
52. If a manufacturer is ordered by the commission to pay adequate costs to the aggrieved party for the legal expenses incurred during the complaint process, this relief is known as:
A) Punitive Damages
B) Payment of Costs
C) Product Replacement
D) Cessation of Unfair Trade Practice
Correct Answer: B) Payment of Costs.
Logic: The Act ensures that consumers are not discouraged from filing complaints due to fear of high legal fees by allowing courts to order the losing party to pay the winner's legal costs.
COMPETENCY BASED
53. A prominent builder delayed handing over the possession of a flat to Mr. Singh by 3 years, causing him immense financial loss as he had to pay both rent and EMI. The State Commission can order the builder to:
A) Pay compensation for the loss or injury suffered
B) Issue a public apology in national newspapers
C) Hand over the builder's own house to Mr. Singh
D) Give the flat completely free of cost
Correct Answer: A) Pay compensation for the loss or injury suffered.
Analysis: Delay in housing projects falls under "Deficiency in Service". Compensation is the standard legal remedy to cover the financial and mental agony caused.
CBSE BOARD 2023
54. What is the composition of the District Consumer Disputes Redressal Commission?
A) A President and at least two other members
B) A President and at least four other members
C) Only one sole judge
D) Five members selected by the local municipality
Correct Answer: A) A President and at least two other members.
ASSERTION-REASON
55. Assertion (A): A consumer does not necessarily need to hire an advocate/lawyer to file and represent a case in the Consumer Commission.
Reason (R): The Consumer Protection Act is designed to provide simple, speedy, and inexpensive redressal to consumers without strict procedural technicalities.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
Note: Any consumer can draft a simple complaint and argue their own case or have an authorized representative (like an NGO member) do it.
EXAM FAVORITE
56. Which of the following is considered an "Unfair Trade Practice" under the CPA 2019?
A) Charging the exact Maximum Retail Price (MRP)
B) Offering festive discounts
C) Falsely representing that goods are of a particular standard, quality, or grade
D) Refusing to sell goods on credit
Correct Answer: C) Falsely representing that goods are of a particular standard, quality, or grade.
CASE SCENARIO
57. A shopkeeper insists that Anjali must buy a pack of expensive premium tea leaves if she wants to buy a highly demanded brand of sugar during a shortage. This practice of tying one product to another is an example of:
A) Unfair Trade Practice
B) Restrictive Trade Practice
C) Product Liability
D) Clever Marketing
Correct Answer: B) Restrictive Trade Practice.
Analysis: A practice that tends to bring about manipulation of price or limits the flow of supplies in the market, or forces a consumer to buy unwanted goods, is a Restrictive Trade Practice.
CBSE BOARD 2022
58. If a company continues to manufacture pressure cookers that have been proven to explode and cause injuries, the National Commission can issue an order to:
A) Only refund the money to injured buyers
B) Stop manufacturing and withdraw the hazardous goods from being offered for sale
C) Request the company to lower the price
D) Tell consumers to use it carefully
Correct Answer: B) Stop manufacturing and withdraw the hazardous goods from being offered for sale.
HOTS QUESTION
59. Consumer Organizations and NGOs play a massive role in consumer protection. Which of the following is a key function performed by them?
A) They pass judgments in consumer courts
B) They formulate the national budget
C) They carry out comparative testing of consumer products in accredited laboratories to test relative qualities
D) They arrest sellers who sell defective goods
Correct Answer: C) They carry out comparative testing of consumer products in accredited laboratories to test relative qualities.
Logic: NGOs are not government or judicial bodies; they cannot arrest or pass legal judgments. They educate, test, and represent consumers.
CBSE BOARD 2021
60. Which of the following is a well-known Consumer Organization/NGO operating in India?
A) NITI Aayog
B) Consumer Guidance Society of India (CGSI), Mumbai
C) Securities and Exchange Board of India (SEBI)
D) Reserve Bank of India (RBI)
Correct Answer: B) Consumer Guidance Society of India (CGSI), Mumbai.
COMPETENCY BASED
61. A massive chemical spill by a factory ruins the drinking water supply of an entire village. Instead of every villager filing a separate case, an NGO files a single complaint on behalf of all the affected villagers. This is known as:
A) A Restrictive Trade Practice
B) A Public Interest Litigation (PIL) / Class Action Suit
C) E-filing
D) Corporate Social Responsibility
Correct Answer: B) A Public Interest Litigation (PIL) / Class Action Suit.
Analysis: CPA 2019 allows one or more consumers (or an NGO) to file a complaint on behalf of numerous consumers having the same interest.
EXAM FAVORITE
62. National Consumer Rights Day is celebrated in India every year on:
A) 15th March
B) 24th December
C) 26th January
D) 2nd October
Correct Answer: B) 24th December.
Board Tip: This is the exact date the original Consumer Protection Act of 1986 received the assent of the President of India. (Note: World Consumer Rights Day is 15th March).
ASSERTION-REASON
63. Assertion (A): Under CPA 2019, if a consumer files a frivolous (fake or baseless) complaint to harass a business, they can be penalized.
Reason (R): The law is designed to protect genuine consumers, and filing fake cases wastes the court's time and maliciously damages a company's reputation.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE BOARD 2024
64. The popular awareness campaign launched by the Government of India to educate consumers about their rights and responsibilities is known as:
A) Swachh Bharat Abhiyan
B) Make in India
C) Jago Grahak Jago
D) Beti Bachao Beti Padhao
Correct Answer: C) Jago Grahak Jago.
HOTS QUESTION
65. If a consumer's appeal regarding a dispute of ₹40 Lakhs is rejected by the State Commission, can they file a further appeal in the Supreme Court?
A) Yes, within 30 days
B) Yes, but only with the permission of the President
C) No, because appeals against State Commission orders go to the National Commission, and cases originating below ₹2 Crores generally do not reach the Supreme Court directly.
D) Yes, any consumer can go to the Supreme Court at any time.
Correct Answer: C) No, because appeals against State Commission orders go to the National Commission, and cases originating below ₹2 Crores generally do not reach the Supreme Court directly.
Logic: The hierarchy is District -> State -> National. The Supreme Court is strictly for appealing original cases decided by the National Commission (value > ₹2 Crores).
CASE SCENARIO
66. A doctor operates on a patient and leaves a surgical sponge inside their body, causing severe complications. The patient wants to sue the doctor. This falls under the definition of:
A) Defect in Goods
B) Deficiency in Service
C) Unfair Trade Practice
D) Product Liability
Correct Answer: B) Deficiency in Service.
Analysis: Medical negligence by a paid professional falls squarely under "deficiency" in the performance of a service.
CBSE BOARD 2023
67. Any fault, imperfection, or shortcoming in the quality, quantity, potency, purity, or standard which is required to be maintained under any law in relation to any *goods* is termed as a:
A) Deficiency
B) Restrictive Practice
C) Defect
D) Liability
Correct Answer: C) Defect.
Board Tip: Memorize the terminology! Goods have "Defects". Services have "Deficiencies".
COMPETENCY BASED
68. A telecom company advertises a "Unlimited 5G Data" plan. However, after using 2GB, the internet speed drops to unusable 2G speeds, a condition hidden in microscopic text. The Central Consumer Protection Authority (CCPA) can fine the company for:
A) Selling Hazardous Goods
B) Misleading Advertisements
C) Black Marketing
D) Price Rigging
Correct Answer: B) Misleading Advertisements.
Analysis: Hiding vital conditions that contradict the main claim of the advertisement is a deceptive and unfair trade practice.
CBSE SAMPLE PAPER
69. Who appoints the President of the State Consumer Disputes Redressal Commission?
A) The President of India
B) The State Government in consultation with the Chief Justice of the High Court
C) The District Magistrate
D) The Mayor of the capital city
Correct Answer: B) The State Government in consultation with the Chief Justice of the High Court.
EXAM FAVORITE
70. The Consumer Protection Act 2019 allows for "E-Filing" of complaints. This means:
A) Complaints can only be filed by IT professionals.
B) Consumers can file complaints electronically online from their homes without visiting the court physically.
C) Complaints must be filed on an electronic typewriter.
D) E-commerce sites are exempt from the law.
Correct Answer: B) Consumers can file complaints electronically online from their homes without visiting the court physically.
HOTS QUESTION
71. If a consumer claims that a particular batch of edible oil is adulterated, the District Commission will generally:
A) Immediately throw the seller in jail
B) Ask the consumer to drink it to prove it
C) Send a sample of the goods to an appropriate authorized laboratory for testing and analysis
D) Dismiss the case because food is not covered under the act
Correct Answer: C) Send a sample of the goods to an appropriate authorized laboratory for testing and analysis.
Logic: The commissions rely on scientific, objective evidence before passing orders related to the quality or adulteration of physical goods.
ASSERTION-REASON
72. Assertion (A): A legal heir of a deceased consumer can file a complaint in the consumer court.
Reason (R): The Consumer Protection Act allows legal representatives to seek redressal if the original consumer dies before or during the dispute process.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE BOARD 2022
73. A prominent NGO fighting for consumer rights in New Delhi is:
A) VOICE (Voluntary Organisation in Interest of Consumer Education)
B) SEBI
C) IRDAI
D) BCCI
Correct Answer: A) VOICE (Voluntary Organisation in Interest of Consumer Education).
CASE SCENARIO
74. A company selling water purifiers refuses to provide after-sales service or honor the warranty card, claiming they lack spare parts. This action constitutes:
A) Defect in Goods
B) A valid business strategy
C) Deficiency in Service and Unfair Trade Practice
D) Force Majeure
Correct Answer: C) Deficiency in Service and Unfair Trade Practice.
Analysis: Denying promised warranty services is a clear deficiency and a deceptive practice to avoid costs.
FINAL MASTER QUESTION
75. Match the following terms with their correct description under CPA 2019:
(i) E-filing
(ii) Product Liability
(iii) CCPA
(iv) Mediation

With:
(a) Regulatory body that can order product recalls
(b) Submitting complaints online
(c) Alternate dispute resolution outside court
(d) Manufacturer's responsibility to compensate for harm caused by a product
A) (i)-(b), (ii)-(d), (iii)-(a), (iv)-(c)
B) (i)-(d), (ii)-(b), (iii)-(a), (iv)-(c)
C) (i)-(b), (ii)-(a), (iii)-(d), (iv)-(c)
D) (i)-(c), (ii)-(d), (iii)-(b), (iv)-(a)
Correct Answer: A) (i)-(b), (ii)-(d), (iii)-(a), (iv)-(c).
Final Analysis: These four terms represent the biggest, most important updates introduced in the modern 2019 Act compared to the old 1986 Act!
CBSE BOARD 2024
51. Which standardization mark is specifically used for agricultural commodities and livestock products like spices, ghee, and honey?
A) ISI Mark
B) AGMARK
C) FPO Mark
D) Eco-Mark
Correct Answer: B) AGMARK.
Board Tip: AGMARK stands for Agricultural Mark. It ensures the quality and purity of agricultural produce in India.
EXAM FAVORITE
52. To promote environmentally friendly products, the Bureau of Indian Standards (BIS) issues which of the following marks?
A) Green-Mark
B) Hallmark
C) Eco-Mark
D) AGMARK
Correct Answer: C) Eco-Mark.
Note: The logo for the Eco-Mark is an earthen pot, signifying that the product is safe for the environment.
COMPETENCY BASED
53. Mrs. Sharma wants to buy a pure silk saree. To ensure the authenticity of the silk, which quality certification mark should she look for?
A) Silk Mark
B) Woolmark
C) Hallmark
D) ISI Mark
Correct Answer: A) Silk Mark.
Analysis: Silk Mark guarantees that the textile piece is made of 100% pure natural silk.
CBSE BOARD 2023
54. Under the Consumer Protection Act, 2019, what is the crucial time limit for filing an appeal from the District Commission to the State Commission?
A) Within 30 days
B) Within 45 days
C) Within 60 days
D) Within 90 days
Correct Answer: B) Within 45 days.
Logic: The CPA 2019 increased the appeal period from the District to the State Commission from 30 days (in the old act) to 45 days.
ASSERTION-REASON
55. Assertion (A): A seller refusing to take back defective goods or refund the money within the stipulated time is committing an unfair trade practice.
Reason (R): Consumer rights explicitly dictate that a consumer is entitled to a replacement or refund for defective products.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE SAMPLE PAPER
56. The Central Consumer Protection Authority (CCPA) established under the 2019 Act has the power to initiate action independently, even without a formal consumer complaint. This power is known as:
A) Public Interest Litigation (PIL)
B) Suo-moto action
C) Mediation
D) E-filing
Correct Answer: B) Suo-moto action.
Board Tip: "Suo-moto" means "on its own motion". The CCPA can act independently if it notices a widespread violation of consumer rights.
HOTS QUESTION
57. Which of the following situations will NOT be entertained by a Consumer Commission?
A) A student complaining about deficiency in educational services provided by a private coaching institute.
B) A patient complaining about negligence by a doctor in a private hospital.
C) A person complaining about a defective TV given to them as a free gift by a friend.
D) A retailer complaining against a wholesaler for supplying defective goods for resale.
Correct Answer: D) A retailer complaining against a wholesaler for supplying defective goods for resale.
Logic: Commercial transactions (B2B) are strictly outside the purview of the Consumer Protection Act.
CASE SCENARIO
58. Rohan bought a new car. The brakes failed on the very first day, leading to an accident. The Consumer Court ordered the manufacturer to pay ₹5 Lakhs for his medical bills and pain. This specific relief is called:
A) Replacement
B) Product Liability Compensation
C) Punitive Damages
D) Discontinuation of Unfair Trade Practice
Correct Answer: B) Product Liability Compensation.
Analysis: Compensation paid specifically for harm or injury caused by a defective product falls under the new Product Liability provision.
CBSE BOARD 2022
59. Which consumer right states that a consumer has the right to acquire knowledge and be a well-informed consumer throughout life?
A) Right to Information
B) Right to Consumer Education
C) Right to Choose
D) Right to be Heard
Correct Answer: B) Right to Consumer Education.
COMPETENCY BASED
60. Many Consumer Organizations operate testing laboratories to scientifically test consumer products (like checking the lead content in Maggi noodles). This activity is primarily linked to ensuring which consumer right?
A) Right to Choose
B) Right to be Heard
C) Right to Safety and Right to Information
D) Right to Consumer Education
Correct Answer: C) Right to Safety and Right to Information.
Analysis: By publishing test results, NGOs inform consumers about dangerous ingredients, directly protecting their health and right to know.
CBSE BOARD 2021
61. If an order is passed by the National Commission in a case that originated in the National Commission itself, the aggrieved party can appeal to the Supreme Court within:
A) 15 days
B) 30 days
C) 45 days
D) 60 days
Correct Answer: B) 30 days.
ASSERTION-REASON
62. Assertion (A): Consumers must read the labels carefully before using a product.
Reason (R): It is a consumer responsibility to follow the manufacturer's instructions and use the product safely to avoid self-inflicted harm.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
HOTS QUESTION
63. A business consistently ignores environmental regulations and pollutes the local river while manufacturing its goods. Which specific consumer responsibility is being compromised by buyers who continue to purchase from this brand?
A) Insisting on a cash memo
B) Checking for standardized marks
C) Respecting the environment
D) Filing a complaint for defective goods
Correct Answer: C) Respecting the environment.
Logic: It is a consumer's responsibility to avoid waste, littering, and ideally boycott products that harm the environment.
EXAM FAVORITE
64. "Let the seller beware" is the modern marketing concept. The Latin phrase for this is:
A) Caveat Emptor
B) Caveat Venditor
C) Laissez-faire
D) Pro bono publico
Correct Answer: B) Caveat Venditor.
CASE SCENARIO
65. A bank forcefully issued a credit card to a customer without their consent and started charging annual fees. The customer approached the Consumer Court. Which relief is the court most likely to order regarding the bank's behavior?
A) Order the bank to shut down operations
B) To discontinue the unfair/restrictive trade practice and not to repeat it in the future
C) Send the bank manager to jail
D) Give the customer a 100% discount on all future loans
Correct Answer: B) To discontinue the unfair/restrictive trade practice and not to repeat it in the future.
Analysis: Issuing unsolicited credit cards is an unfair trade practice. The primary relief is to order an immediate halt to this practice.
CBSE BOARD 2024
66. Which organization is responsible for publishing the magazine "Consumer Voice"?
A) The Supreme Court of India
B) Voluntary Organisation in Interest of Consumer Education (VOICE)
C) The National Consumer Disputes Redressal Commission
D) Bureau of Indian Standards
Correct Answer: B) Voluntary Organisation in Interest of Consumer Education (VOICE).
COMPETENCY BASED
67. The Consumer Protection Act is beneficial for businesses because:
A) It helps them avoid taxes
B) It allows them to form monopolies
C) Satisfied consumers lead to repeat sales, generating long-term profits and brand loyalty
D) It prevents foreign competitors from entering the market
Correct Answer: C) Satisfied consumers lead to repeat sales, generating long-term profits and brand loyalty.
CBSE SAMPLE PAPER
68. A consumer buys a hair dryer for ₹2,500. It catches fire and causes property damage worth ₹80 Lakhs. Where should the original complaint be filed based on the revised jurisdiction limits?
A) District Commission
B) State Commission
C) National Commission
D) Supreme Court
Correct Answer: A) District Commission.
Board Tip: This is a classic trick question! The jurisdiction is determined by the "value of goods/services PAID as consideration", NOT the amount of compensation claimed. The value paid is ₹2,500, which is well below ₹50 Lakhs.
HOTS QUESTION
69. What is the role of the "Mediation Cell" attached to the Consumer Commissions under the CPA 2019?
A) To punish the guilty sellers immediately
B) To force a settlement on the consumer
C) To facilitate an out-of-court settlement if both parties agree, saving time and legal costs
D) To represent the government in the dispute
Correct Answer: C) To facilitate an out-of-court settlement if both parties agree, saving time and legal costs.
ASSERTION-REASON
70. Assertion (A): An unorganized group of consumers is easily exploited by powerful businesses.
Reason (R): Consumer protection aims to organize consumers into unions and societies so they can collectively raise their voices against corporate abuse.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE BOARD 2021
71. If a consumer court finds that a large number of consumers have suffered a loss but cannot be identified individually, what relief can the court order?
A) The court will dismiss the case
B) Order the company to deposit a minimum of 5% of the defective goods' value in the Consumer Welfare Fund
C) Give all the money to the person who filed the complaint
D) Send the money directly to the Prime Minister's Relief Fund
Correct Answer: B) Order the company to deposit a minimum of 5% of the defective goods' value in the Consumer Welfare Fund.
EXAM FAVORITE
72. A person who avails a service for any commercial purpose is:
A) Considered a consumer under CPA 2019
B) Not considered a consumer under CPA 2019
C) Considered a consumer only if the value exceeds ₹1 Crore
D) Considered a consumer only if they bought it online
Correct Answer: B) Not considered a consumer under CPA 2019.
Logic: Commercial (business-to-business) transactions are strictly excluded to keep the courts focused on protecting ordinary retail buyers.
CASE SCENARIO
73. A prominent Consumer NGO provides free legal advice to poor consumers, helps them draft complaints, and occasionally provides lawyers to fight their cases in the District Commission. Which function is the NGO performing?
A) Encouraging consumers to strongly protest and boycott
B) Providing legal assistance in seeking legal remedy
C) Carrying out comparative testing
D) Publishing journals
Correct Answer: B) Providing legal assistance in seeking legal remedy.
HOTS QUESTION
74. The principle of "Caveat Emptor" implies that:
A) The seller is fully responsible for any defects.
B) The buyer must take reasonable care and be vigilant while purchasing goods.
C) The government must inspect all goods before sale.
D) Consumer courts must operate in every district.
Correct Answer: B) The buyer must take reasonable care and be vigilant while purchasing goods.
Note: While modern law leans towards "Caveat Venditor" (Let the seller beware), the old rule of "Caveat Emptor" (Let the buyer beware) still forms the basis of consumer responsibilities.
FINAL MASTER QUESTION
75. Match the Relief/Remedy with the appropriate situation:
(i) Refund the price
(ii) Remove the defect
(iii) Pay punitive damages
(iv) Issue corrective advertisement

With:
(a) A car's AC is not cooling properly
(b) A company falsely advertised a "sugar-free" drink that contained sugar
(c) A consumer bought a laptop that didn't work and wants their money back
(d) The court wants to severely punish a company for knowingly selling toxic toys
A) (i)-(c), (ii)-(a), (iii)-(d), (iv)-(b)
B) (i)-(a), (ii)-(c), (iii)-(b), (iv)-(d)
C) (i)-(c), (ii)-(d), (iii)-(a), (iv)-(b)
D) (i)-(b), (ii)-(a), (iii)-(c), (iv)-(d)
Correct Answer: A) (i)-(c), (ii)-(a), (iii)-(d), (iv)-(b).
Final Analysis: This matching tests your ability to apply the specific legal remedies available under the CPA to real-world business scenarios.
CBSE BOARD 2024
76. Under the Consumer Protection Act 2019, which of the following is considered a valid defense for a manufacturer against a "Product Liability" claim?
A) The consumer did not read the terms and conditions.
B) The product was altered, modified, or misused by the consumer after it was sold.
C) The manufacturer was unaware of the defect.
D) The product was sold at a heavy discount.
Correct Answer: B) The product was altered, modified, or misused by the consumer after it was sold.
Board Tip: If a consumer tampers with a product (like modifying a car's engine) and it causes harm, the manufacturer is not liable.
HOTS QUESTION
77. The Central Consumer Protection Authority (CCPA) can impose a penalty on a manufacturer for a false or misleading advertisement. What is the maximum penalty for a *subsequent* (repeat) offense?
A) Up to ₹10 Lakhs
B) Up to ₹25 Lakhs
C) Up to ₹50 Lakhs and imprisonment up to 5 years
D) Cancellation of the company's registration
Correct Answer: C) Up to ₹50 Lakhs and imprisonment up to 5 years.
Logic: The penalty for the *first* offense is up to ₹10 Lakhs and 2 years imprisonment. Repeat offenders face much harsher consequences.
COMPETENCY BASED
78. A consumer buys a packaged food item that causes severe food poisoning. The seller claims that "Food" is not covered under the definition of goods in the CPA. Is the seller correct?
A) Yes, food falls exclusively under the FSSAI act.
B) No, the CPA 2019 explicitly includes "food" within the definition of goods.
C) Yes, only electronic appliances are considered goods.
D) No, but the consumer can only sue for a replacement of the food item.
Correct Answer: B) No, the CPA 2019 explicitly includes "food" within the definition of goods.
CBSE BOARD 2023
79. Which of the following is the composition of the National Consumer Disputes Redressal Commission?
A) A President and at least two members
B) A President and at least four members
C) Only the Chief Justice of India
D) Ten members appointed by the State Government
Correct Answer: B) A President and at least four members.
ASSERTION-REASON
80. Assertion (A): A consumer can file a complaint electronically and does not need to pay any fee for disputes valued up to ₹5 Lakhs.
Reason (R): The government wants to ensure that justice is accessible and inexpensive for small claims involving common consumers.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
Note: E-filing and the waiver of fees for small claims are major consumer-friendly features of the modern rules.
EXAM FAVORITE
81. "Jago Grahak Jago" is a massive multimedia campaign run by the government. This campaign is a direct application of which consumer right?
A) Right to be Heard
B) Right to Choose
C) Right to Consumer Education
D) Right to Seek Redressal
Correct Answer: C) Right to Consumer Education.
CASE SCENARIO
82. An NGO observes that a telecom operator is overcharging all its prepaid customers by hiding a daily "maintenance fee" in their balance. No individual consumer has noticed it. What action can the NGO take?
A) None, because an NGO cannot file a complaint unless an individual consumer approaches them.
B) File a complaint on behalf of the numerous unidentifiable consumers having the same interest.
C) Only publish an article in their magazine.
D) Arrest the directors of the telecom company.
Correct Answer: B) File a complaint on behalf of the numerous unidentifiable consumers having the same interest.
Analysis: NGOs have the legal standing to file Class Action suits to protect consumers as a whole, even if individuals haven't complained.
CBSE BOARD 2022
83. Which of the following defines a 'Restrictive Trade Practice'?
A) Falsely claiming that a product is of a particular standard
B) Selling goods above the MRP
C) A practice that tends to bring about manipulation of price or affects the flow of supplies in the market
D) Misleading the public concerning the price of a product
Correct Answer: C) A practice that tends to bring about manipulation of price or affects the flow of supplies in the market.
HOTS QUESTION
84. A consumer buys a heater that is explicitly labeled "For Industrial Use Only - High Voltage". The consumer plugs it into a standard home socket, causing a fire. Under Product Liability, the manufacturer will:
A) Be held fully liable to pay for the house fire
B) Not be liable, because the consumer failed to follow the explicit warnings and instructions for use
C) Be forced to replace the heater
D) Face imprisonment
Correct Answer: B) Not be liable, because the consumer failed to follow the explicit warnings and instructions for use.
Logic: Ignoring clear safety warnings acts as a legal defense for the manufacturer against product liability claims.
CBSE SAMPLE PAPER
85. If a State Commission passes an order on a consumer dispute, the aggrieved party has the right to appeal this decision to the:
A) High Court
B) District Commission
C) National Commission
D) Supreme Court
Correct Answer: C) National Commission.
COMPETENCY BASED
86. A local vendor sells duplicate "Puma" shoes. When a consumer complains that they tore in a week, the vendor points to a small sign saying "No Guarantee, No Return". Under CPA 2019, is this sign legally binding to stop a complaint?
A) Yes, "Caveat Emptor" applies.
B) Yes, because the buyer saw the sign before buying.
C) No, such signs are considered unfair contracts and do not override statutory consumer rights.
D) Yes, as long as the shoes were cheap.
Correct Answer: C) No, such signs are considered unfair contracts and do not override statutory consumer rights.
Analysis: Sellers cannot bypass the law by putting up arbitrary signs. Selling counterfeit goods is an unfair trade practice regardless of any "No Return" policy.
CBSE BOARD 2021
87. A major role of Consumer Organizations is to:
A) Manufacture goods at cheaper rates
B) Act as brokers in the stock exchange
C) Educate the general public about consumer rights by organizing training programs, seminars, and workshops
D) Provide loans to poor consumers
Correct Answer: C) Educate the general public about consumer rights by organizing training programs, seminars, and workshops.
ASSERTION-REASON
88. Assertion (A): Under the new Consumer Protection Act, a consumer can file a complaint against an online seller located in Mumbai from their own home in Koderma.
Reason (R): The CPA 2019 introduced the provision allowing consumers to file complaints in the jurisdictional consumer commission where the *consumer* resides or works, rather than where the seller is located.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
EXAM FAVORITE
89. What is the fundamental difference between 'Defect' and 'Deficiency' as per the Consumer Protection Act?
A) Defect relates to Services; Deficiency relates to Goods.
B) Defect relates to Goods; Deficiency relates to Services.
C) Defect applies only to electronics; Deficiency applies to everything else.
D) They are exact synonyms and are used interchangeably in the Act.
Correct Answer: B) Defect relates to Goods; Deficiency relates to Services.
HOTS QUESTION
90. If the value of goods paid as consideration is ₹1.5 Crores, and the State Commission passes an order that satisfies the consumer, but the opposite party (the company) wishes to appeal, where will the company file the appeal?
A) Supreme Court
B) High Court
C) National Commission
D) District Commission
Correct Answer: C) National Commission.
Logic: The hierarchy of appeals strictly flows upward: District -> State -> National. Since the order was from the State Commission, the appeal must go to the National Commission, regardless of who is appealing.
CASE SCENARIO
91. A consumer finds that a packaged juice box they just bought expired 6 months ago. They have the cash memo. Which specific relief should they seek from the consumer court?
A) Removal of the defect
B) Discontinuation of the unfair trade practice of selling expired goods and refund of the price paid
C) Punitive damages of ₹1 Crore
D) Issuance of a corrective advertisement
Correct Answer: B) Discontinuation of the unfair trade practice of selling expired goods and refund of the price paid.
CBSE BOARD 2023
92. Which of the following is NOT an 'Unfair Trade Practice'?
A) Falsely claiming that goods are second-hand when they are actually new
B) Misleading the public about the price of a product
C) Hoarding or destruction of goods to force a price increase
D) Offering a genuine 50% discount to clear end-of-season stock
Correct Answer: D) Offering a genuine 50% discount to clear end-of-season stock.
COMPETENCY BASED
93. "CGSI" and "CERC" are examples of:
A) Government Regulatory Bodies
B) Consumer Non-Governmental Organizations (NGOs)
C) Stock Exchanges
D) International Trade Unions
Correct Answer: B) Consumer Non-Governmental Organizations (NGOs).
Analysis: CGSI (Consumer Guidance Society of India) and CERC (Consumer Education and Research Centre) are vital NGOs protecting Indian consumers.
CBSE SAMPLE PAPER
94. Who appoints the members of the National Consumer Disputes Redressal Commission?
A) The State Government
B) The President of India
C) The Central Government
D) The Supreme Court
Correct Answer: C) The Central Government.
HOTS QUESTION
95. In case of a dispute, who bears the cost of testing the defective goods in the laboratory?
A) Always the Government
B) The complainant (consumer) has to deposit the required fee initially
C) The testing laboratory does it for free
D) The seller is forced to pay before the test begins
Correct Answer: B) The complainant (consumer) has to deposit the required fee initially.
Logic: If the defect is proven, the consumer court usually orders the seller to reimburse this testing fee along with the final compensation.
ASSERTION-REASON
96. Assertion (A): A person who buys a commercial taxi to run a fleet business is not a consumer.
Reason (R): Goods bought for commercial purposes are outside the scope of the CPA.
A) Both (A) and (R) are true and (R) is the correct explanation.
B) Both (A) and (R) are true but (R) is NOT the explanation.
C) (A) is true, but (R) is false.
D) (A) is false, but (R) is true.
Correct Answer: A) Both (A) and (R) are true and (R) is the correct explanation.
CBSE BOARD 2024
97. The right to acquire knowledge and skill to be an informed consumer is related to which aspect of consumer protection?
A) Checking the MRP
B) Asking for a replacement
C) Consumer Education
D) Filing a PIL
Correct Answer: C) Consumer Education.
EXAM FAVORITE
98. Under the CPA 2019, if a product manufacturer is found guilty of product liability leading to grievous injury, what can the CCPA or the courts do?
A) Merely ask them to apologize
B) Force the consumer to accept a replacement
C) Order payment of compensation for the injury, and potentially penalize or suspend their license
D) Nothing, if the product was cheap
Correct Answer: C) Order payment of compensation for the injury, and potentially penalize or suspend their license.
TRICKY QUESTION
99. Who among the following CANNOT file a complaint under the Consumer Protection Act?
A) A registered Consumer Association
B) The Central Government
C) A person who obtained the goods for resale
D) The legal heir of a deceased consumer
Correct Answer: C) A person who obtained the goods for resale.
FINAL MASTER QUESTION
100. Match the Quality Mark with the correct Product Category:
(i) ISI Mark
(ii) AGMARK
(iii) Hallmark
(iv) FPO Mark

With:
(a) Gold Jewelry
(b) Processed Fruit Products
(c) Electrical/Industrial Goods
(d) Agricultural Commodities
A) (i)-(c), (ii)-(d), (iii)-(a), (iv)-(b)
B) (i)-(d), (ii)-(c), (iii)-(a), (iv)-(b)
C) (i)-(a), (ii)-(b), (iii)-(c), (iv)-(d)
D) (i)-(c), (ii)-(a), (iii)-(d), (iv)-(b)
Correct Answer: A) (i)-(c), (ii)-(d), (iii)-(a), (iv)-(b).
Final Analysis: Identifying these marks correctly is one of the most frequently tested visual or factual questions in the Board Exams!

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