E commerce Entity- Rules
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The document outlines the applicability of rules for e-commerce entities in India, including definitions and types of entities, such as inventory and marketplace models. It specifies liabilities and duties for e-commerce entities, including providing accurate information and establishing grievance redressal mechanisms. Exceptions to liability under the Information Technology Act and consumer protection requirements are also detailed.
E commerce Entity- Rules
- 1. Ready4Compliance 1 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 - Single Brand retailers and multi- channel single brand retailers 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. Ready4Compliance 2 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 E. explicitly or implicitly vouches for the authenticity or guarantees that such 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. Ready4Compliance 3 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 members of ready4compliance is not responsible for any error or omission. Only for education purpose, no legal status. For further query contact +91-7828556203 & ready4compliance@gmail.com.