The New Act talk about consumer concerns come up from the digitization of the trade environment… The Consumer Protection Act, 2019 (hereinafter known as “New Act”) was passed by the Parliament on 06.08.2019 and obtained the assent of the President on 09.08.2019. The Act, inter alia, provides for the safety of the pursuits of consumers, the establishment of a central shopper safety authority, a mechanism to settle shopper disputes and specifically regulates product legal responsibility and deceptive ads.
Listed along with seven other rules to be notified under the Consumer Protection Act, 2019, the draft rule also wants to prevent the players from giving fake reviews and present counterfeit goods in their platforms.
“An e-commerce entity shall not
Directly or indirectly influence the price of the goods or services and shall maintain a level playing field.
Adopt any trade practice which for the purpose of promoting the sale, use or supply of any goods or for the provision of any service, or composite supply, adopts any unfair methods or unfair or deceptive practice that may influence transactional decisions of consumers in relation to products and services.
Falsely represent themselves as consumers or post reviews about goods and services in their name; or misrepresents or exaggerates the quality or the features of goods and services,” reads the draft rule.
The draft rule demands e-commerce players to be transparent on return, refund, exchange, warranty, guarantee, delivery, shipment, mode of payments, grievance redressal mechanism and display the terms of contract with sellers.
