{"id":41846,"date":"2022-04-05T11:18:31","date_gmt":"2022-04-05T05:48:31","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=41846"},"modified":"2022-04-05T11:18:32","modified_gmt":"2022-04-05T05:48:32","slug":"applicability-of-legal-metrology-on-e-commerce-marketplaces","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/","title":{"rendered":"Applicability of Legal Metrology on E-commerce Marketplaces &#8211; An Overview"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The\nCentral Government of India, in the exercise of its power given under the Legal\nMetrology Act, 2009 and the Legal Metrology (Packaged Commodities) Rules, 2011,\nintroduced vital amendments to Legal Metrology (Packaged Commodities) Rules,\nespecially concerning e-commerce marketplaces. In this write-up, we will\ndiscuss the applicability of Legal Metrology on E-commerce Marketplaces.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/#What_is_E-Commerce\" >What is\nE-Commerce?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/#Declaration_required_on_the_Portal_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\" >Declaration\nrequired on the Portal &#8211; Legal Metrology on E-commerce Marketplaces<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/#Correctness_of_the_Declarations_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\" >Correctness of\nthe Declarations &#8211; Legal Metrology on E-commerce Marketplaces<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/#Observations_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\" >Observations \u2013\nLegal Metrology on E-commerce Marketplaces<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/applicability-of-legal-metrology-on-e-commerce-marketplaces\/#Conclusions\" >Conclusions<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_E-Commerce\"><\/span>What is\nE-Commerce?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Before we discuss the applicability of <a href=\"https:\/\/corpbiz.io\/legal-metrology-act-registration\"><strong>Legal Metrology<\/strong><\/a> on E-commerce Marketplaces lets, understand the concept of e-commerce. E-commerce means buying &amp; selling of products and services comprising digital products over digital &amp; electronic networks.<\/p>\n\n\n\n<p>An E-commerce entity means a company registered under the Companies Act, 2013 or 1956 or a Foreign Company under the <strong><em>Clause (42)of Section 2 of the Companies Act, 2013<\/em><\/strong> or an office, agency, or branch in India covered under sub-clause (ii) of Clause (v) of Section 2 of FEMA, 1999 controlled by an individual resident outside Indian and conducting e-commerce business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Declaration_required_on_the_Portal_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\"><\/span>Declaration\nrequired on the Portal &#8211; Legal Metrology on E-commerce Marketplaces<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Amendment\nRules (under Rule 10) require e-commerce entities to show certain declarations\non electronic &amp; digital networks used for e-commerce transactions. These\ndeclarations comprise the name &amp; address of the manufacturer, name of the\ncountry of origin, common product&#8217;s name, net quantity, best before or use by\ndate, MRP, dimensions of the commodity &amp; such other declarations given in\nthe Rules of Legal Metrology on E-commerce Marketplaces\/Entities.<\/p>\n\n\n\n<p>As\nan outcome of this amendment, e-commerce markets or entities are now required\nto mandatorily make declarations, identical to the declarations made on the\nproduct&#8217;s label, for all applicable pre-packed commodities sold on their\nportal.<\/p>\n\n\n\n<p>A\npre-packaged commodity means a commodity that, without the buyer being present,\nis placed in a package of whatever nature, whether sealed or not, so that\nproduct contained therein has a pre-defined quantity. Considering that almost\nall products sold on the digital &amp; electronic network are packed without\nthe purchaser being present during packing, products sold by e-commerce\nentities would be pre-packaged commodities and will directly fall within the\nscope\/purview of the Act &amp; the Rules.<\/p>\n\n\n\n<p><strong><em>The\nfollowing products are released from the provisions of the amendment rules\nunder Legal Metrology on E-commerce Marketplaces:<\/em><\/strong><\/p>\n\n\n\n<ul><li>Packages comprising food\narticles, which are controlled by identical provisions that are present in the\nFood Safety &amp; Standard Act, 2006 &amp; the rules made thereunder;<\/li><li>Packages of commodities\ncomprising a quantity of more than 25 L or 25 Kg;<\/li><li>Packaged commodities meant for\nindustrial consumers\/institutional consumers;<\/li><li>Fertiliser, agricultural farm,\nand cement products are sold in bags above 50 kgs.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Correctness_of_the_Declarations_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\"><\/span>Correctness of\nthe Declarations &#8211; Legal Metrology on E-commerce Marketplaces<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The\nresponsibility for the correctness of the declarations made on e-commerce\nwebsites lies with the seller, dealer, importer, or manufacturer as applicable\nand not the e-commerce entity, provided:<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Observations_%E2%80%93_Legal_Metrology_on_E-commerce_Marketplaces\"><\/span>Observations \u2013\nLegal Metrology on E-commerce Marketplaces<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>The function of an e-commerce entity is limited to facilitating access to a communication system over which details or\u00a0 information made available by the manufacturer, seller, importer, or dealer is transmitted or temporarily hosted or stored;<\/li><li>The e-commerce entity observes due diligence while releasing its duty as an intermediary under the <strong>IT Act, 2000<\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Information_Technology_Act,_2000\"><strong>[1]<\/strong><\/a><\/sup> &amp; observes guidelines issued by the Central Government of India;<\/li><li>The e-commerce entity doesn\u2019t initiate the transmission, select the receiver of the transmission &amp; select or modify the information contained in the transmission.<\/li><\/ul>\n\n\n\n<p>While\nwe are of the estimation that the above amendments will need e-commerce entities\nto make exhaustive changes to their portals to make sure that relevant\ndeclarations as required under the Act &amp; Rules are duly declared, we\nbelieve that the same is vital as customers purchasing products from e-commerce\nwebsites don\u2019t have access to the information and declarations made on the\nlabel of pre-packed commodities at the time of purchase.<\/p>\n\n\n\n<p>Similar\nobligations were executed on e-commerce food business operators vide Guidelines\nfor Operations issued by the FSSAI on Feb 02, 2017, effective the same day.\nWith the Amendment Rules comes into action, e-commerce entities comprising\nentities that sell products both using brick &amp; mortar stores &amp; online\nwebsite will now need to make pertinent declarations on their websites for all\npre-packed commodities comprising clothing, food packages, electronic items,\netc.<\/p>\n\n\n\n<p>It\u2019s\nvital to note that while some products or items don&#8217;t qualify as pre-packaged\ncommodities while sold in a brick &amp; mortar store, the same products or\nitems may qualify as pre-packaged commodities when sold online. For instance,\nrice or sugar taken from a nigger pack, packed in small quantities in front of\nconsumers and sold to the customer in a brick or mortar grocery store doesn&#8217;t\nqualify as a pre-packaged commodity. <\/p>\n\n\n\n<p>Therefore,\ndeclarations are needed under the Act &amp; Rules need not be printed on the\nsaid products. However, a similar product, i.e., sugar or rice has taken form a\nlarger pack in the current case, will qualify as pre-packaged commodities when\nsold online as the product is packed in the customer&#8217;s absence. Therefore,\nonline grocery stores that don&#8217;t make declarations on both the label of their\npackage &amp; on their online portal will now be needed to make declarations on\nboth the product&#8217;s label and on their online website.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusions\"><\/span>Conclusions<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>E-commerce markets or entities are now required to mandatorily make declarations, identical to the declarations made on the product&#8217;s label, for all applicable pre-packed commodities sold on their portal. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/ecommerce-laws-in-india\/\">Ecommerce Laws in India: A Comprehensive Outlook\n<\/a><\/mark><\/p>\n\n","protected":false},"excerpt":{"rendered":"<p>The Central Government of India, in the exercise of its power given under the Legal Metrology Act, 2009 and the Legal Metrology (Packaged Commodities) Rules, 2011, introduced vital amendments to Legal Metrology (Packaged Commodities) Rules, especially concerning e-commerce marketplaces. In this write-up, we will discuss the applicability of Legal Metrology on E-commerce Marketplaces. What is [&hellip;]<\/p>\n","protected":false},"author":35,"featured_media":41847,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2114],"tags":[2231],"acf":{"service_id":"378"},"authorName":"Karan Singh","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/processed-1-150x150.jpeg","authorDescription":"A legal writing enthusiast, a wanderer, and a zealous reader. After gaining a lot of knowledge about the diverse legal topics and developing research skills, Karan joined the league of legal content writers to deliver quality-rich blogs.","postViews":7521,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41846"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/35"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=41846"}],"version-history":[{"count":11,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41846\/revisions"}],"predecessor-version":[{"id":41861,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41846\/revisions\/41861"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/41847"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=41846"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=41846"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=41846"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}