Consumer Protection (Direct Selling) Rules, 2021

  • IASbaba
  • December 29, 2021
  • 0
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Consumer Protection (Direct Selling) Rules, 2021

Part of: Prelims and GS-III -Economy

Context Central Government in exercise of the powers conferred by Consumer Protection Act, 2019 has notified the Consumer Protection (Direct Selling) Rules, 2021.

Key takeaways 

  • These Rules shall apply to all goods and services bought or sold through direct selling.
  • These Rules shall also apply to a direct selling entity which is not established in India, but offers goods or services to consumers in India.
  • Existing direct selling entities need to comply of these rules within ninety days from the date of publication of these rules in the Official Gazette.
  • The direct sellers as well as the direct selling entities using e-commerce platforms for sale shall comply with the requirements of the Consumer Protection (e-Commerce) Rules, 2020.
  • State Government must set up a mechanism to monitor or supervise the activities of direct sellers and direct selling entities.
  • Direct selling entities will be liable for the grievances arising out of the sale of goods or services by its direct sellers.

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