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Consumer Protection In The Age Of AI




Srishti Singh, LLM (IPR & Technology Law) O.P. Jindal Global University


ABSTRACT


Artificial intelligence now mediates ordinary consumer transactions in India through bundled device features, AI-mediated services, and platform interfaces that rank, price, and nudge choices across mobility, retail, finance, and health. This study asks who should bear legal responsibility when AI systems cause consumer harm, identifies the Consumer Protection Act, 2019 as the core statutory pathway, and integrates supporting instruments including the Consumer Protection (E-Commerce) Rules, 2020, the Guidelines for Prevention of Misleading Advertisements, 2022, the Guidelines for Prevention and Regulation of Dark Patterns, 2023, the Information Technology Act, 2000 with the Intermediary Rules, 2021, and the Digital Personal Data Protection Act, 2023. It treats standardized AI modules as “goods” and bespoke deployments as “services” for pleading under product liability or deficiency in service, and allocates liability across manufacturers, service providers, sellers, and marketplaces according to control, knowledge, and representations. It consolidates enforcement, applications, and data-protection interplay into a single remedial track that uses consumer commissions for compensation and injunctive orders, and the Central Consumer Protection Authority for recall and corrective advertising. Real-world enforcement on differential pricing, misleading advertisements, and device defects shows that doctrinal hooks already exist. A safety-critical scenario on driver-assist malfunction illustrates interim orders such as feature toggles and warning banners. The paper proposes a role–head– remedy matrix, a discovery checklist tailored to algorithmic systems, model prayers for relief, and targeted Suggestions, including audit-linked safe harbours and structured data-sharing between the DPDP Board and the CCPA to avoid duplicative proceedings. The goal is fast, accurate redress for consumers while preserving pathways for trustworthy AI development.



Indian Journal of Law and Legal Research

Abbreviation: IJLLR

ISSN: 2582-8878

Website: www.ijllr.com

Accessibility: Open Access

License: Creative Commons 4.0

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Licensing: 

 

All research articles published in The Indian Journal of Law and Legal Research are fully open access. i.e. immediately freely available to read, download and share. Articles are published under the terms of a Creative Commons license which permits use, distribution and reproduction in any medium, provided the original work is properly cited.

 

Disclaimer:

The opinions expressed in this publication are those of the authors. They do not purport to reflect the opinions or views of the IJLLR or its members. The designations employed in this publication and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the IJLLR.

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