Why is the three-tier quasi-judicial machinery set-up for redressal of consumer disputes?

Three-tier quasi-judicial machinery was set up to address consumer disputes. It has three different levels - a district, state, and national level Redressal for consumer disputes. This consumer redressal for consumer disputes is popularly known as consumer courts.

District level consumer courts deal with the cases which involve up to 20 lakhs. It will be set as consumer disputes Redressal forum in every district. It provides a free and friendly approach to consumers. The consumer can approach the district forums without involving any fees.

State level consumer courts deal with the cases which may vary between 20lakhs to 1crore. It is also known as State Consumer Disputes Redressal Commission, and it has jurisdiction over district forums.

National Consumer Disputes Redressal Commission is the national level court for the whole country which deals with disputes which involve amount more than one crore. It the apex body of consumer courts.