All NotesCivil LawConsumer Protection Act

Consumer Protection Act

The State Consumer Disputes Redressal Commission: Establishment and Constitution

Between the district's front line and the national apex stands the State Commission: original court for the State's larger consumer disputes, appellate court over every District Commission in the State, and supervisor of the tier below. Sections 42 to 46 build it: establishment by the State Government, a President of High Court judicial rank, at least four members, and the power to sit in circuit benches across the State. This note covers its establishment, composition and organisation.

1. Establishment — Section 42

Section 42, Consumer Protection Act, 2019 (substance)

The State Government shall, by notification, establish a State Consumer Disputes Redressal Commission, to be known as the State Commission, in the State.

The State Commission shall ordinarily function at the State capital and perform its functions at such other places as the State Government may in consultation with the State Commission notify.

Each State Commission shall consist of a President; and not less than four or not more than such number of members as may be prescribed in consultation with the Central Government.

  • One per State: each State (and Union territory scheme, as notified) has one State Commission, ordinarily seated at the capital, with sittings elsewhere as notified, the statutory basis for circuit benches that carry the appellate tier closer to distant districts.
  • Composition: a President and not less than four members, the ceiling prescribed in consultation with the Central Government; larger States operate through multiple benches constituted by the President.
  • The two-government pattern again: the State establishes, staffs and funds; the Central Government's rules (Section 43) fix qualifications, recruitment, appointment procedure, tenure, resignation and removal, uniformity across States at the appellate tier being still more important than at the district tier.

2. President and Members

Under Section 43 read with the 2020 appointment Rules: the President of the State Commission is a person who is or has been a Judge of a High Court, appointed in consultation with the Chief Justice of the High Court; members are persons of ability, integrity and standing with adequate knowledge and professional experience in consumer affairs, law, public affairs, administration, economics, commerce, industry, finance, management, engineering, technology, public health or medicine, with women's representation in the scheme of appointments. Appointments go through the Selection Committee the rules constitute, and the term is four years or up to sixty-seven years of age for the President and members as the rules provide, with eligibility for reappointment. The Supreme Court's decision in Secretary, Ministry of Consumer Affairs v. Dr. Mahindra Bhaskar Limaye (2023), reading down the experience thresholds to ten years and mandating transparent selection, governs these appointments as it does the district tier's. Salaries and conditions are as prescribed and cannot be varied to disadvantage after appointment; resignation and removal follow the rules' procedure.

3. Organisation and Working

  • Benches: the jurisdiction, powers and functions of the State Commission may be exercised by benches constituted by the President with one or more members; a bench is ordinarily presided over by the President or the senior-most member.
  • Difference of opinion: where bench members differ on any point, the majority decides; an evenly divided bench refers the point to another member, and the opinion of the majority thereafter prevails.
  • Vacancies do not invalidate: as across the Act, no act or proceeding fails merely for a vacancy or constitutional defect, and the senior-most member presides during a vacancy in the President's office.
  • Administrative role: beyond adjudication, Section 70 makes the State Commission the administrative supervisor of the District Commissions in the State, calling for returns, issuing administrative directions, overseeing the functioning and inspections, without touching their judicial independence; the National Commission performs the same office over the State Commissions.
  • Staff and infrastructure: provided by the State Government, with the President in administrative control; filing and hearing run increasingly through the electronic platform the Act enables.

⚠ Key point

Section 42: the State Government establishes one State Commission, seated ordinarily at the capital with circuit sittings as notified; it consists of a President who is or has been a High Court Judge (appointed in consultation with the Chief Justice) and at least four members appointed under the Central Government's 2020 Rules through a Selection Committee, on the standards as read down in Limaye (2023). It works through benches, decides differences by majority, and doubles as the administrative supervisor of the State's District Commissions under Section 70.

4. Related Topics and Provisions

  • Jurisdiction of the State Commission (Topic 34): original, appellate and revisional
  • District Commission constitution (Topic 31): the tier this Commission supervises
  • National Commission constitution (Topic 35): the tier above
  • Three-tier mechanism (Topic 30): the ladder as a whole