CPA to cause compliance burden for e-commerce cos

The Internet and Mobile Association of India has stated that the proposed model framework on e-commerce consumer protection will cause “unnecessary compliance burden” for online shopping companies and negatively impact the ease of doing business in India. It also added that e-commerce entities are already regulated by multiple authorities under the FDI policy, the Legal Metrology Act, the Food Safety and Standards Act, the present Information Technology Act and the proposed draft National E-commerce Policy. Since each of these regulatory frameworks imposes different obligations and liabilities upon e-commerce entities, it creates an atmosphere of regulatory uncertainty for the sector. The new Consumer Protection Act (CPA) has been open to public domain for feedback from until October 31.