E-commerce players in India are still not adhering to e-commerce laws and regulations of India. According to business structuring of e-commerce in India: legal research report by Perry4Law, e-commerce players of India and abroad must comply with many techno legal issues to work in a legal manner.
For instance, Indian e-commerce, FDI regulations and cyber due diligence are still not complied with by many national and international e-commerce players. Even foreign direct investment (FDI), taxation and other regulations are not followed by many national and international e-commerce players in true letter and spirit.
For instance, Indian government has already referred the cases of Flipkart and Bharti Walmart to the Enforcement Directorate for alleged violation of foreign direct investment (FDI) regulations. Similarly, a probe against Walmart in India for market access lobbying has been ordered by Indian government.
E-Commerce Laws and Regulations in India and FDI Regulations are two of the most common Regulations governing E-Commerce in India, says Praveen Dalal, managing partner of ICT law firm Perry4Law. While Indian and International E-Commerce players are well aware of FDI Regulations yet E-Commerce Laws of India are still not followed by and large, opines Dalal.
Cyber law due diligence in India is another area that e-commerce and online shopping platforms must take care of. Cyber law due diligence for Indian companies is one of the most frequently litigated aspect in India. Lack of cyber law awareness and cyber due diligence awareness is the main reason that many websites and companies have found themselves in the net of Indian laws.
Online shopping and e-commerce in India must be encouraged but at the same time legal and cyber security issues must also be taken seriously. Online payment players and e-commerce stakeholders must keep these aspects in mind while doing business in India. There is no sense in ignoring legal issues of online shopping in India.
Source: Cjnews India.