Rules for E-Commerce Entities Under Consumer Protection Act

New Delhi: As per the Consumer Protection (E-Commerce) Rules, 2020 notified under ConsumerProtection Act, 2019, an e-commerce entity is defined as any person who owns, operates or managesdigital or electronic facility or platform for electronic commerce, but does not include a seller offeringhis goods or services for sale on a marketplace e-commerce entity.

As per the Rule 4(1) of E-Commerce Rules, an e-commerce entity shall be a company incorporatedunder the Companies Act, 1956 (1 of 1956) or the Companies Act, 2013 (18 of 2013) or a foreigncompany covered under clause (42) of section 2 of the Companies Act, 2013 (18of 2013) or an office,branch or agency outside India owned or controlled by a person resident in India as provided in subclause(iii) of clause (v) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999)and appoint a nodal person of contact or an alternate senior designated functionary who is resident inIndia, to ensure compliance with the provisions of the Act or the rules made thereunder.

This information was given in a written reply by the Union Minister of State for Consumer Affairs, Food and Public Distribution, Shri DanveRaosahebDadarao in Rajya Sabha today.


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