Ministry of Consumer Affairs, Food & Public Distribution issues guidelines to prevent false claims regarding success rates, number of selections etc. by coaching institutions

Ministry of Consumer Affairs, Food & Public Distribution has issued guidelines to prevent false claims regarding success rates, number of selections etc. by coaching institutions. The Guidelines shall be applicable to all the coaching institutes whether online or physical and cover all forms of advertisement regardless of form, format or medium.

The Guidelines prescribe conditions when an advertisement by a coaching institute shall be construed to be misleading advertisement as defined under the Consumer Protection Act 2019 which inter-alia include concealing important information related to the course opted by the successful candidates [courses opted by successful candidates (whether free or paid), duration of course etc.

The Guidelines also provide that coaching institutes shall not make false claims regarding success rates or number of selections and any other practices that may lead to consumer misunderstanding or subvert consumer autonomy and choice.

The guidelines also prescribes DO’s and DON’T’s that need to be observed before coming up with advertisements:-

  1. Coaching Institute shall mention requisite information with successful candidate photo:-
  2. Rank secured by successful candidate
  3. Course opted by successful candidate
  4. Duration of course
  5. Whether it is paid or free

Coaching institutes shall not make claim 100% selection or 100% job guaranteed or guaranteed preliminary or mains. The font of disclaimer/Disclosure/Important information in the advertisement shall be the same as that used in the claim/advertisement. The placement of such information shall be at a prominent and visible place in the advertisement.

It was also clarified that penalty for misleading advertisement by coaching sector will be governed as per Consumer Protection Act, 2019 and the Guidelines are just in the nature of clarification to the stakeholders and violations of the provisions of the Consumer Protection Act 2019 shall continue to be governed under the existing provisions of the Consumer Protection Act 2019.

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