Consumer Protection Act

Study Notes

The Consumer Protection Act (CPA) is a law that protects consumers from unfair business practices and ensures they are treated fairly in the marketplace.
The act aims to promote consumer welfare and safety by regulating business activities and providing remedies for consumer complaints.

Unfair Business Practices: The CPA prohibits businesses from engaging in unfair or deceptive practices, such as:
- False or misleading advertising
- Unfair contract terms
- Hidden fees
- Misrepresentation of products or services
Product Liability: Manufacturers, distributors, and sellers are liable for any harm caused by defective products.
Disclosure Requirements: Businesses must disclose certain information to consumers, such as:
- Product information
- Prices and fees
- Warranty and refund policies
Cooling-Off Periods: Consumers have the right to cancel certain transactions, such as door-to-door sales, within a specified timeframe.

Right to Information: Consumers have the right to accurate and timely information about products and services.
Right to Safety: Consumers have the right to be protected from hazardous products and services.
Right to Choose: Consumers have the right to choose from a variety of products and services.
Right to Redress: Consumers have the right to seek redress for unfair or deceptive business practices.

Regulatory Agencies: Government agencies, such as the Federal Trade Commission (FTC), are responsible for enforcing the CPA.
Civil Penalties: Businesses that violate the CPA may be subject to fines and penalties.
Private Lawsuits: Consumers may bring private lawsuits against businesses that violate the CPA.
Class Actions: Consumers may bring class-action lawsuits on behalf of a group of affected consumers.

Protects consumers from unfair business practices and ensures fair treatment in the marketplace
Aims to promote consumer welfare and safety by regulating business activities and providing remedies for consumer complaints

Manufacturers, distributors, and sellers are liable for harm caused by defective products

Consumers have the right to cancel certain transactions, such as door-to-door sales, within a specified timeframe

Government agencies, such as the Federal Trade Commission (FTC), are responsible for enforcing the CPA
Businesses that violate the CPA may be subject to fines and penalties
Consumers may bring private lawsuits against businesses that violate the CPA
Consumers may bring class-action lawsuits on behalf of a group of affected consumers