Govt Gives Businesses a Chance to Fix Mistakes Before Penalty

MySandesh
3 Min Read

The government has introduced a major change under the Legal Metrology Act, 2009, that will provide relief to businesses.

Under the new “correction notice” system, companies that commit certain procedural mistakes for the first time will get an opportunity to fix them before any penalty is imposed.

The Department of Consumer Affairs announced that this reform has been introduced through the Public Trust (Amendment of Provisions) Act, 2026, as part of the government’s “Ease of Doing Business” initiative.

First-Time Mistakes Can Be Corrected Without Penalty

Under the new system, if a legal metrology officer finds a procedural or regulatory mistake for the first time, they can issue a correction notice to the concerned business.

The notice will clearly mention the deficiency and provide a reasonable deadline to correct it. If the business fixes the issue within the given time, no punitive action will be taken.

This move is expected to help businesses avoid unnecessary legal complications for minor procedural errors.

Repeat Violations Will Face Strict Action

The government has made it clear that this relief will only apply to first-time procedural violations.

If a business fails to comply with the correction notice or repeats the same violation, strict action will be taken under the provisions of the Legal Metrology Act.

The new rule will apply to manufacturers, importers, packers, dealers, repairers, traders, micro, small and medium enterprises (MSMEs), and other businesses regulated under the Act.

Consumer Fraud Cases Will Still Face Tough Punishment

The Department of Consumer Affairs clarified that the new system does not weaken consumer protection laws.

Strict action will continue in cases involving fraud, tampering, repeated violations, or any activity that harms consumer interests.

The correction notice facility will only apply to first-time procedural issues related to registration, documentation, model approvals, manufacturing, sales, repair of weights

and measuring instruments, imports, packaged goods transactions, and statutory filings.

Government Wants to Reduce Litigation and Compliance Costs

According to the government, the reform aims to encourage voluntary compliance, reduce unnecessary litigation, lower compliance costs, and improve regulatory clarity for businesses.

The department said the new mechanism creates a balance between helping honest businesses comply with regulations and maintaining strong consumer protection standards.

It will also allow enforcement agencies to focus more on serious and repeated violations that affect consumers.

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