• The Central Consumer Protection Authority (CCPA) has issued notices to three major e-commerce players — Amazon, Flipkart and Snapdeal — for alleged violation of toys quality control order.

• Since January 1, 2021, the government has made it mandatory for toys to conform with safety norms specified by the Bureau of Indian Standards (BIS).

• CCPA has written to the director general of the BIS to take necessary action.

• The Consumer Protection (E-commerce) Rules, 2020 stipulate that no e-commerce entity shall adopt any unfair trade practice, whether in the  course of business on its platform or otherwise.

Toy quality control order

• Unsafe toys present several risks for children such as the risk of choking on small toys or toy parts, the risk of physical injury from sharp edges or points on toys, and even long-term adverse effects on a child’s health due to toxic elements present in toy materials like plastics, paints and fabrics. 

• Standards on the safety of toys and certification of the safety of toys according to these standards, therefore, play an important role in ensuring that toys are safe for children to play with.

• BIS has published several Indian standards on the safety of toys. These standards are aligned with the existing international standards for toy safety — Standards formulated by the International Organisation for Standardisation (ISO) and International Electrotechnical Commission.

• The Department for Promotion of Industry and Internal Trade (DPIIT) has issued the Toys (Quality Control) Order, 2020 under Section 16 of the BIS Act, 2016. 

• This quality control order makes it mandatory for toys for children of 14 years of age or younger to conform to seven Indian Standards for Safety of Toys (prescribing requirements for physical, chemical and electrical safety of toys) and bear the ‘ISI’ mark under a licence from BIS. 

• This order has come into force from January 1, 2021. 

• Accordingly, no person is permitted to manufacture, import, sell or distribute, store, hire, lease or exhibit for sale toys which do not conform to the Indian Standard and do not bear the ‘ISI’ mark under a licence from BIS.

Central Consumer Protection Authority (CCPA)

• The Consumer Protection Act, 2019 was notified on August 9, 2019 and came into force on July 20, 2020. 

• It replaced the Consumer Protection Act, 1986.

• Under the provisions of the Act, the Central Consumer Protection Authority (CCPA) was established in July 2020. 

CCPA is empowered to:

a) Protect, promote and enforce the rights of consumers as a class, and prevent violation of consumers rights under this Act.

b) Prevent unfair trade practices and ensure that no person engages himself in unfair trade practices.

c) Ensure that no false or misleading advertisement is made of any goods or services which contravenes the provisions of this Act or the rules or regulations made thereunder.

d) Ensure that no person takes part in the publication of any advertisement which is false or misleading.

• The CCPA can make interventions when necessary to prevent consumer detriment arising from unfair trade practices and to initiate class action including enforcing recall, refund and return of products. 

• The CCPA has an investigation wing, headed by a director-general, which may conduct inquiry or investigation into consumer law violations. 

• The CCPA has been granted wide powers to take suo-moto actions, recall products, order reimbursement of the price of goods/services, cancel licenses and file class action suits, if a consumer complaint affects more than one individual.

The power of CCPA to take class action is a unique feature of the new Act. Earlier, there was no mechanism to deal with issues of unfair trade practices and misleading advertisements which impacted consumers as a class. As a result, such practices continued unrestrained without any accountability. The establishment of the CCPA, with powers to pass orders of discontinuation of practices that are unfair and prejudicial to consumers’ interests and impose penalties in case of false or misleading advertisements is a relief to the consumers.

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