Plea Seeks Directions In Delhi High Court For Social Media E-Commerce Websites To Display MRP, Manufacturer Details, Country Of Origin

Filed by one Ajay Kumar Singh, the plea highlights that while Government of India had been actively monitoring e-commerce platforms such as Amazon, Flipkart and Snapdeal and enforcing the compliance strictly of the Consumer Protection (E-Commerce) Rules, 2020 strictly, platforms where products are sold through referrals, such as Instagram, Facebook, which operate digital platforms facilitating social media e-commerce, are flagrantly flouting these mandatory Rules.

Relying on media reports, the petitioner highlighted that there are approximately 572 million customers in India making purchases off social media e-platforms, and that this is expected to grow at Rs. 50,000 crores by the year 2025. However, despite operating on this large scale, these e-platforms, i.e. the mobile app/ website offer products for sale without adequate disclosure of information to the customers as required as per law, the plea stated.

Government norms and rules in this regard are laid down under the Legal Metrology (Packaged Commodity) Rules, 2011 and the Consumer Protection (E-Commerce) Rules, 2020.

The plea alleges that "the business model of social commerce companies is built on hiding key information regarding products and sellers," which helps them to target unsuspecting buyers, especially new buyers, or those from small towns and cities, "who may not be fully aware of their consumer rights."