This document outlines rules related to e-commerce entities in India. It defines what is considered an e-commerce entity and the different types, including inventory and marketplace models. It lists what activities are applicable and not applicable to the rules. The duties of e-commerce entities are described, such as providing accurate product information to consumers, establishing grievance redressal mechanisms, and not manipulating prices or discriminating between consumers. Exceptions and liabilities for non-compliance are also summarized.
1. Vibhu Sharma
(aCS, LL.b, DTL)
1. Applicability or non-Applicability of Rules
APPLICABLE
All Goods &
Services bought
or sold over
digital or
electronic
network
including digital
products
All model of e-
commerce,
including
marketplace and
inventory
models of e-
commerce.
All E-commerce
retail, including,
including multi
channel single or
multiple formats
All forms of unfair
trade practices
across all model of
e-commerce.
E-commerce entity
which is not
established in
India, but
systematically
offers goods or
services to
consumers in
India.
NOT APPLICABLE
Any activity of natural person
Carried out in a person capacity – not being part of any professional or commercial activity
(Undertaken on a regular or systematic basis)
2. MEANING OF E-COMMERCE ENTITY AND TYPES
E-COMMERCE ENTITY
Any Person
Own Operates
Managers digital or electronic facility or Platform for electronic commerce
Note: does not include a seller offering his goods or services for sale on a marketplace e-commerce
entity.
Inventory e- commerce entity Marketplace e-commerce entity
- owns the inventory of goods and
services and
- Sells such goods or services directly to
customers
Provides an information technology platform on a
digital or electronic network to facilitate
transaction between buyers and sellers.
CONSUMER PROTECTION (E-COMMERCE), RULES 2020
Definition of Person 2(32)
- an Individual
- a firm, Registered or unregistered
- a HUF
- a co- operative society
- AOPs, societies Registration Act, 1860
- any Corporation, Company, BOIs
(Incorporated or Not)
- Any Artificial Judicial Person
2. Vibhu Sharma
(aCS, LL.b, DTL)
- Single Brand retailers and multi-
channel single brand retailers
Starbucks, Patanjali, Nike, adidas, and etc.
Amazon, Oyo, Zomato, and etc.
LIABILITIES LIABILITIES
A. Following information
a) Accurate information of return,
refund, exchange, warranty and
guarantee, cost of shipping,
grievance redressal mechanism
etc.
b) All mandatory notice and
information required by appliable
law
c) Payment method, security,
procedure of cancellation, charges
back option, any other relevant
information.
d) Contractual information
e) Total price in single figure, breakup
price for good or services,
compulsory and voluntary charges,
delivery charges, postage and
handling charges, conveyance
charges and applicable tax.
f) Ticket Number to each complaint
for track the status.
B. No false representation
C. Advertisement for marketing of goods
or services are consistent with the
actual characteristic, access and usage
conditions of such goods and services.
D. No Entity shall refuse to take back
goods, or withdraw or discontinue
services purchased or agreed to be
purchased, or refuse to refund
consideration, if goods or services
(paid) are defective, deficient spurious,
or are not of the characteristics or
features as advertised or as agreed to,
or if such goods or services are
delivered late from the stated delivery
schedule.
Note: condition of late delivery, this
sub rule shall not apply if such late
delivery was due to force majeure
A. If seeking to avail the exemption from
liability under 79(1), Information
Technology Act, 2000, shall comply sub
section (2) or (3) of this section with
provision of information Technology
(Intermediary Guidelines) Rules, 2011
B. The description, images, and other
contents are accurate with actual goods
and services.
C. Display following information at
appropriate
a) Details about sellers, Including the name of
business, geographic address, customer
care number, rating or other feedback.
b) Ticket Number to each complaint for track
the status.
c) Information relating to return, refund,
exchange, warranty and guarantee
d) Information of available payment methods
with third party charges.
D. Term and condition – relationshipseller and
platform. Description of any differentiated
treatment.
E. Maintain a record of relevant information.
Seller who are rapidly offer the goods and
services that have previously been
removed or not access, due to effect to
copy right, Trade mark or Information
Technologies Act.
SECTION 79 OF INFORMATION TECHNOLOGIES ACT
An intermediary shall not be liable for any third-party information, data, or
communication link made available or hosted by him.
Apply (Sub-Section -2) Not Apply (Sub-Section -3)
limited to providing access to a
communication system
intermediary has conspired or
abetted or aided or induced,
whether by threats or promise or
otherwise in the commission of the
unlawful act
the intermediary does not-
(i) initiate the transmission,
(ii) select the receiver of the
transmission, and
(iii) select or modify the information
contained in the transmission
Commit the unlawful act
intermediary
fails to expeditiously remove or
disable access to that material on
that resource without vitiating the
evidence in any manner.
observes due diligence while
discharging his duties and follow
guideline of CG
"third party information" means any information dealt with by an intermediary
in his capacity as an intermediary.
3. Vibhu Sharma
(aCS, LL.b, DTL)
E. explicitly or implicitly vouches for the
authenticity or guarantees that such
goods or services are authentic, shall
bear appropriate liability in any action
related to the authenticity of such
good or service.
Exception – a) If Mr. X uses the amazon portal for selling electronic goods, then he is not under the
definition of E-commerce entity.
3. DUTIES OF E-COMMERCE ENTITY
S. No. DUTIES OF E- COMMERCE
1 e) E-commerce entity shall be a in company.
f) Appointment a nodal officer or an alternative Senior designated functionary
2 Provide following information on its platform, displayed prominently
g) Legal name
h) Principle geographic address, headquarters & all branches
i) Name and details of website
j) Contact details – Mail, Fax, Landline, mobile number
3 No adaptation of unfair trade practice
4 k) Established a grievance redressal mechanism
l) Appointment of grievance officer
m) Display the Name, contract number, and designation of such officer on platform
5 Complaint Received -24 Hr
Complaint Resolved -1 Month
6 If provide Imported goods or services for sale, shall mention the name and details
of any importer.
7 E-commerce entity shall endeavor on a best effort basis to become a partner in
the convergence process of the National Consumer Helpline of CG.
8 No e-commerce entity shall impose cancellation charges on consumers
cancelling after confirming purchase unless similar charges are also borne by e-
commerce entity, If they cancel order the purchase order unilaterally for any
reason.
9 n) Only record the consent of a consumer for purchase of any goods and services
o) Consent should express
p) No automatic consent or pre-ticked forms are allowed
10 Accept refund request
11 No E-commerce entity Shall
q) Manipulate the price of the goods or services
r) Discriminate b/w consumers (same class)
s) Make any arbitrary (Self-willed) classification of consumers
The writer is not responsible for any error or omission. Only for education purpose, no legal status. Information available on open source. For further query contact +91-7734031531 &
vibhusharma5233@gmail.com.