Online retailers and marketplaces will soon be regulated under the Consumer Protection Bill, 2018, that the Lok Sabha passed on 20 Dec. The Bill, which will replace the Consumer Protection Act, 1986, now has to be cleared by the Rajya Sabha.
Under the new rules drafted by the consumer affairs department, e-retailers would be liable for fraudulent sales and defective products sold on their platforms. Besides, they would have to disclose their business details and seller agreements, apart from also revealing how they use consumer data.
The rules for e-commerce under the Consumer Protection Bill have been drafted, but are still to be cleared by the department’s secretary and the department of industrial policy and promotion (DIPP) to be included in the national framework.