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ARTICLE · 28 FEBRUARY 2022

Multi Regulator Approach To Misleading Advertisements

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The Consumer Protection Act, 2019 defines misleading advertisements as advertisements which "falsely describe the product or service; give a false guarantee or is likely to mislead the consumers as to the nature, substance, quality ...

IndiaConsumer Protection
Pradnesh Warke
Pradnesh Warke
Eshika Phadke
Eshika Phadke
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Central Consumer Protection Authority

The Consumer Protection Act, 2019 ("CPA") defines misleading advertisements as advertisements which "falsely describe the product or service; give a false guarantee or is likely to mislead the consumers as to the nature, substance, quality or quantity of such productor service; or deliberately conceals important information about the product or service."1

The Central Consumer Protection Authority ("CCPA") has been set up to be the watchdog of consumer rights and safeguard against false or misleading advertisements. The CCPA may inquire or cause an inquiry into misleading advertisements, either suo motu or upon receiving a complaint. If the advertisement is found to be misleading, the CCPA may order the modification of the advertisement and may impose a penalty of up Rs. 10 lakhs.2 The CCPA may, after a preliminary inquiry, also refer the matter to the relevant Regulator established under any other law.3

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