- 17-Sep-2025
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E-commerce law refers to the set of legal norms and rules that regulate buying, selling, and services conducted over digital platforms. With the rapid growth of online marketplaces, it is essential to have clear legal standards to ensure consumer protection, secure digital payments, prevent fraud, and regulate business accountability. In India, e-commerce law is governed by a combination of statutes, including the Information Technology Act, Consumer Protection Act, and specialized rules for online commerce.
Recognizes electronic records and digital signatures, enabling the legality of online contracts and communication. It also addresses cybercrime, data breaches, and intermediary liability.
Issued under the Consumer Protection Act, these rules mandate transparent business practices, proper grievance redressal, product information disclosure, and consumer consent before purchase.
Electronic agreements and contracts made through emails, checkboxes, and digital platforms are enforceable under Indian Contract Act when entered with free consent.
Although a specific data protection law is evolving, provisions in the IT Act and the Digital Personal Data Protection Act, 2023, require platforms to protect user data and limit misuse.
All e-commerce entities must appoint a grievance officer and provide consumers with easy access to complaint mechanisms.
Distinction is made between platforms acting as intermediaries (e.g., Amazon, Flipkart) and those selling their own goods. Compliance requirements vary based on the model.
Misleading advertisements, fake reviews, and deceptive discounts are prohibited under consumer law.
Digital signatures authenticated by licensed certifying authorities are valid for executing documents like invoices and agreements.
Courts in the consumer’s location can have jurisdiction in e-commerce disputes. This ensures easier legal access.
E-commerce platforms are protected as intermediaries under the IT Act if they follow due diligence; otherwise, they can be held liable.
Under the Consumer Protection Act, platforms must offer refund, return, and warranty options, and are held responsible for defective products or services.
Non-compliance with the E-Commerce Rules can lead to penalties, bans, or prosecution, especially for repeated violations or harm to consumers.
Consumers are entitled to clear product information, terms of service, and must not be forced into buying additional products or services.
A consumer purchases a fitness tracker from an online marketplace but receives a defective product. After filing a complaint, the platform delays response and refuses a refund.
File a formal complaint through the platform’s grievance redressal system.
If unresolved within the specified time (usually 30 days), escalate the issue to the Consumer Commission via e-Daakhil portal.
Submit a copy of the transaction, communication, and defect details.
If the platform is found to have violated e-commerce rules, it can be fined and ordered to issue a refund.
The consumer may also lodge a complaint with the Ministry of Consumer Affairs or seek legal action under the IT Act for negligence in data or service handling.
This process highlights how e-commerce law protects the rights of online buyers and ensures that digital businesses remain accountable.
Answer By Law4u Team
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