In a significant movement for the protection of consumers’ rights, the government has decided to set up a consumer court, a development long awaited by consumers in the country. The decision to establish the first-ever court of this nature and mandate is in line with one such court envisioned by the Consumer Protection Act endorsed six years ago. A cabinet meeting held recently decided to set up the first judicial structure of its type in the country. The government’s decision to establish the consumer court follows the recommendation made by the Judicial Council on October 28, 2024. The council recommended Judge Ram Prasad Sharma of Kathmandu District Court to chair the consumer court, and under-secretary Gehendra Raj Regmi was nominated as a member. Although the decision comes a little late, this highlights the government’s commitment to addressing the gaps in consumer justice and strengthening legal frameworks to safeguard the interests of the general populace. It is high time the government worked towards bringing the court into operation to safeguard the rights of consumers who are cheated on a regular basis by unscrupulous traders, suppliers, and manufacturers.
A consumer court is a special-purpose court that primarily deals with consumer-related disputes, conflicts, and grievances. It is one of the most aspired judicial bodies to bring unscrupulous traders under a legal framework within a fast-track system. This type of court is a necessary institution in a country where market malpractices such as food adulteration, inflated pricing, and poor service delivery have long gone unchecked. In Nepal, consumers often find themselves helpless, either suffering in silence or navigating cumbersome bureaucratic processes, without such a court in place. The proposed consumer court will oversee three types of cases related to violations of consumers’ rights. The court will be liable to give its verdict on cases related to compensation, offenses defined by the Consumer Protection Act, and government-specific issues related to consumer protection. The establishment of this court will streamline dispute resolution, offering consumers a fast-track mechanism to seek justice. Although the government plans to establish the consumer court that will look after the consumer-related issues of the Kathmandu Valley in the first phase, we can expect an extension of the court outside the Kathmandu Valley as well in the coming days.
The establishment of a consumer court is a long-overdue project in Nepal. The government, through the announcement of the budget for the Fiscal Year (FY) 2023/24, announced the formation of a consumer court in Kathmandu on a trial basis and even allocated Rs 10 million for this purpose. However, the government’s plan could not materialize for a long time due to various reasons. Prior to that, the government had stepped up efforts to establish a consumer court inside the premises of the Department of Drug Administration as a temporary arrangement. The government was forced to shelve its plan after the Supreme Court ordered setting up a separate infrastructure for this purpose. There is a saying that it is always better late than never. Time and again, the general public has been hard hit by the malpractices in the market that include food adulteration, unfair pricing of products, artificial shortages, and poor services by the firms concerned. With the establishment of a dedicated consumer court, consumers will no longer be forced to either stay silent against the exploitation they face or undergo lengthy bureaucratic and legal procedures to get justice. Consumer rights activists have rightly lauded the government’s move, arguing that the establishment of a dedicated court to look into the matter of consumers’ grievances will help address the issues of consumers as enshrined in the constitution. We join them in welcoming the latest move and call for the expeditious establishment of the court, giving relief to consumers.