E-commerce businesses structuring in India is the latest concept in India. Thanks to the flourishing usage of information and communication technology (ICT) in India, e-commerce entrepreneurs have started exploring this avenue. However, practical difficulties and legal hassles are still troubling Indian e-commerce players. In this very useful techno legal research report made by Perry4Law, it has shared the techno legal aspects of e-commerce rules and regulations of India.
E-commerce laws and regulations in India are still developing. In the meantime, the Indian Parliament has permitted use of foreign direct investment (FDI) in multi-brand retail during the winter session of Parliament (December 2012). This would definitely help in streamlining of e-commerce environment of India. However, there are many issues that must be resolved by e-commerce entrepreneurs of India.
The first issue that any e-commerce entrepreneur may face is to determine the legal formalities required for starting e-commerce business in India. Once this is understandable, the subsequent step is to determine the legal requirements to start an e-commerce website in India. Both these issues need sound techno legal understanding that very few e-commerce law firms of India possess.
Some of the troublesome legal issues surrounding e-commerce business setup and structuring in India embrace areas like pharmaceuticals, online shopping, online pharmacies trading in banned drugs, electronic trading of medical drugs, digital communication channels for drugs and healthcare products in India, e-commerce dispute resolution, online dispute resolution for cross border e-commerce transactions, e-health laws and regulations in India, etc.
Further, with the approval for FDI in retail sector of India, the labour laws of India would also be required to be suitably adapted. Even an efficient dispute resolution mechanism among investors and consumers must be established in India.
However, e-commerce players in India must keep in mind the requirements of various laws of India while doing e-commerce business. For instance, the cyber law due diligence in India is very severe and its disobedience can bring civil, criminal and financial consequences. In fact, non observance of cyber due diligence by Indian companies has been agitated in Indian courts very frequently.
Perry4Law suggests that all present and future e-commerce players of India must go through a methodical techno legal due diligence to evade any legal penalty. Similarly, we recommend that before entering into e-commerce business field, the e-commerce players must seek advice from capable lawyers/law firms in this regard.
Perry4Law is the Exclusive Techno Legal Corporate, IP And ICT Law Firm of India that is providing domain specific services on Corporate, IP and ICT matters such as Banking and Finance, Business Setup, Corporate and Commercial Advisory, etc. See Perry4Law’s Services for more details.
Source: Cjnews India.