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The model framework for the guidelines on e-commerce consumer protection will cause unnecessary compliance burden on e-commerce entities, and hence will negatively impact the ease of doing business in India, according to The Internet and Mobile Association of India ( IAMAI).
The industry body representing Internet companies highlighted 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.
"Each of these regulatory frameworks imposes different obligations and liabilities upon e-commerce entities, creating an atmosphere of regulatory uncertainty for the sector, " it said.
The definition of e-commerce entity appears to be extending the scope of “e-commerce” beyond online marketplaces for goods and services by including ‘digital content providers’, which are otherwise not construed as being engaged in e-commerce, IMAI said.
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