CCPA seeks public comments on draft guidelines to prevent misleading advertisements by coaching institutes

Consumer protection regulator - Central Consumer Protection Authority (CCPA) — has requested public comments by March 16 on draft guidelines for preventing misleading advertisements in the coaching industry.

CCPA has prepared draft guidelines after extensive consultation with all stakeholders, including coaching institutes, law firms, the government, and voluntary consumer organisations, according to an official statement.

It said, "Public comments/suggestions/feedback are solicited and may be provided to the Central Authority within 30 days (until 16th March 2024)."  

The CCPA draft defines “coaching” and lays out conditions that fall under misleading advertisements.

For example, coaching institutes are not permitted to conceal information such as the name of the course (whether free or paid), the duration of the course chosen by the successful candidate, or any other important information that may influence consumers' decision to use their services.

Coaching institutes should avoid making false claims about students' success rates, number of selections, or rankings in any competitive exam without providing verifiable proof.

They should not falsely claim that students' success is solely due to coaching, without recognising the students' individual efforts.

Among other requirements, the CCPA stated that coaching centres must clearly state the extent of coaching involvement in their success.

They should not instill a false sense of urgency or fear of missing out, which may increase anxiety among students or parents. They should not engage in any other practices that could mislead customers or undermine consumer autonomy and choice.

According to the CCPA, the goal of the guidelines is to protect consumers from misleading advertisements in the coaching industry, and they will apply to everyone who coaches.

Misleading advertisements in the coaching sector will be governed by the Consumer Protection Act of 2019, and the proposed guidelines will provide clarity to stakeholders while protecting consumer interests.

(With Agency Inputs)