As more Indian direct selling companies take advantage of e-commerce to expand their presence, the Indian government is pushing for a revamp of the Consumer Protection Act to protect the rights of consumers. The proposed amendments take care of new-age online and off-line models, including e-commerce, teleshopping, direct selling or multi-level marketing.
India’s Finance minister Arun Jaitley stressed the need for a provision where consumers can file class action suits against fraudulent sellers, particularly in the era of e-commerce, which is dynamically changing the marketplace.
“Globally, the best practice is you allow class action in these cases. You also have to regulate the extent of reviews and appeals and the grounds on which multiple appeals can be filed,” he said.
Consumer affairs minister Ram Vilas Paswan said consumers were often taken for a ride at