Sri Lanka Consolidated Acts

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Consumer Affairs Authority Act (No. 9 of 2003) - Sect 21

Undertaking to be given on a reference made

21.
(1) At anytime before making a recommendation under subsection (4) of section 20, the (council) may accept any undertaking offered by a manufacturer or trader, in respect of whom the investigation is being carried out, regarding the price at which the goods shall be sold or services shall be provided as the case may be, by such manufacturer or trader .
(2) Where an undertaking given under subsection (1) is accepted, it shall be the duty of the Council to
(a) give adequate publicity to such undertaking in a manner it considers appropriate ;
(b) periodically review the implementation of such undertaking ;
(c) consider whether, by reason of any change in the circumstances
(i) the undertaking has become no longer appropriate and as such the person should be released from his duly to implement the undertaking ;
(ii) whether any changes should be made to the undertaking ; or
(iii) whether the existing undertaking should be replaced by a fresh undertaking ; and
(d) give notice to the person giving, such undertaking, of any failure or shortcoming of such person in implementing the undertaking.
(3) Where the Council is of the view what action should be taken under paragraph (c) of subsection 2). the Council shall issue a notice to the person when entered into the undertaking, informing such person
(a) of the changes required to be made to the undertaking ;
(b) of the requirements of the free undertaking which should replace the existing undertaking ; or
(c) of his release from the duty)' implementing the undertaking.
(4) The Council shall, after issue of a notice under subsection (3), make a fresh decision
(a) agreeing to a fresh undertaker, or to the undertaking being changed, in accordance with the recommendations made by Council ; or
(b) agreeing to a fresh undertaking or to the undertaking being changed as offered by the trader or manufacturer on his own initiative.
(5) Where an undertaking given by a manufacturer or trader is accepted by the Council under this section, any violation of such undertaking by the manufacturer or trader, shall be an offence under this Act.


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