Legal Update : Consumer Protection (E-Commerce) (Amendment) Rules, 2026
The Central Government has notified the Consumer Protection (E-Commerce) (Amendment) Rules, 2026, which amend the Consumer Protection (E-Commerce) Rules, 2020. The amended Rules will come into force from 1 January 2027.
The amendments materially increase compliance requirements for e-commerce entities, marketplace platforms and sellers, particularly in relation to pricing, disclosures, dark patterns and consumer grievance redressal.
Some of the key changes are:
- Discounted pricing: Where a discount or price reduction is advertised, the reduced price will have to be shown along with the “prior price”, which has been defined as the lowest price of the product/service during the preceding 30 days. This will have a direct impact on discounting and promotional pricing practices.
- Dark patterns: E-commerce entities will be required to comply with the Guidelines for Prevention and Regulation of Dark Patterns, 2023, undertake a yearly self-audit and prominently display a certificate confirming that the platform is free from dark patterns.
- Sponsored listings: Sponsored products and services will have to be clearly and prominently identified as sponsored listings.
- Grievance redressal: Consumer complaints must be acknowledged within 48 hours and resolved within one month. The complainant must also be provided a copy of the complaint as recorded by the grievance officer.
- Website disclosures: E-commerce entities will be required to prominently disclose their legal name, address of their headquarters and branches, website details and customer care/grievance officer contact details.
- Imported products: Details of the importer and the full country of origin of imported goods will need to be disclosed in accordance with the Legal Metrology requirements.
- Seller and product disclosures: The Rules expand the information which must be made available to consumers, including seller details, return/refund/exchange policies, warranty/guarantee, delivery and shipping terms, payment modes and other information necessary for an informed purchase decision.
- Ranking and search results: Marketplace platforms will be required to disclose the key parameters determining the ranking of products and sellers, including their relative importance. Manipulation of search results in a manner which misleads users has also been expressly prohibited.
- Invoice requirements: The seller’s name will have to be displayed prominently on the invoice in the same font size as the name of the e-commerce entity.
- Bundled charges: Marketplace entities cannot collect bundled fees for unrelated services. Loyalty and membership programmes have, however, been specifically carved out.
- Seller identification: Sellers will also be required to provide applicable Government-issued identification numbers, including GSTIN and MSME registration numbers.
Our view:The amendments are likely to require more than a simple update to website terms and policies. Businesses should specifically review their discounting practices, promotional displays, website and product disclosures, grievance redressal process, invoice formats and dark-pattern compliance before the Rules become effective.
For marketplace operators, a further review of ranking mechanisms, sponsored listings, search functionality, use of consumer information, seller disclosures and fee structures would also be advisable.
Given the 1 January 2027 effective date, businesses should ideally commence the compliance review well in advance so that any required changes to website architecture, pricing systems and internal processes can be implemented before the Rules take effect.