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Nodal Officers, No Flash Sales: Govt Drafts New E-commerce Rules

The Department of Consumer Affairs has sought comments and suggestions on the proposed amendments by 6 July.

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The Department of Consumer Affairs, Government of India, has released a number of proposed amendments in the Consumer Protection Act and has sought comments and suggestions on the same by 6 July.

Among other things, the amendments seek to prohibit e-commerce companies from holding flash sales of goods and services, necessitate that companies offering imported goods identify their country of origin, hold companies liable for a seller failing to deliver goods or services, and prevent them from allowing any display or promotion of misleading advertisement on its platform.

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Additionally, no entities related to e-commerce firms will be allowed to sell on the marketplace directly.

The revised rules also seek for the e-commerce companies to register themselves with the Department for Promotion of Industry and Internal Trade and require them to appoint a Grievance Officer as well as a Chief Compliance Officer.

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