Government asks e-commerce cos to appoint node officer for consumer compliance, Retail News, ET Retail

The government has asked e-commerce companies to appoint a node officer to ensure compliance with new consumer protection rules. The rules apply to e-commerce businesses registered in India as well as businesses registered abroad but offering goods and services to Indian consumers.

This new sub-rule, included in the Consumer Protection (E-Commerce) Rules 2020, came into effect on May 17, according to a notice from the Consumer Department.

These rules were made in accordance with the provisions of the Consumer Protection Act 2019.

“…it (e-commerce entity) shall appoint a Node Officer or Deputy Senior Designated Officer resident in India to ensure compliance with the provisions of the Act or the rules set forth under it,” the statement said.

The rules apply to any e-commerce entity incorporated under the Companies Act 1956 or under the Companies Act 2013, or an overseas company falling within clause (42) of Section 2 of the Companies Act 2013, or for an office, branch or agency outside India owned or controlled by a resident of India as provided for in the Foreign Exchange Management Act 1999, he added.

The new rules for e-commerce businesses were first announced in July 2020. Your breaches will be prosecuted under the Consumer Protection Act 2019.