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.