Saturday, December 29, 2012

Illegal And Unregulated Online Sales Of Prescribed Medicines In India

Online sales of prescribed medicines in India are still not taken seriously by Indian government. There are many companies and individuals who are openly engaging in illegal and unregulated online sales of prescribed medicines in India.

I have been doing research on this topic for the last six months and could not find much legal information about the same. The only legal information provided in this regard is made available by New Delhi based ICT law firm Perry4Law. Further, the only legally authentic and dedicated e-commerce platform in this regard is also managed by Perry4Law. See E-commerce laws and regulations in India in this regard.

This may be the reason that pharmaceuticals e-commerce players in India are not complying with techno legal requirements as prescribed by various laws. Pharmaceuticals e-commerce legal issues in India are still not followed by various e-commerce players in India.

A very disturbing trend in India is that much online health related and medicine/pharmaceuticals e-commerce portals, especially those operating in New Delhi and NCR, are openly violating laws of India. They deserve to be punished as they have caused serious risk to lives of millions of Indians. But what is surprising is that our health ministry and Indian government is sleeping over the matter.

According to Perry4Law’s Techno Legal Base (PTLB), many e-commerce portals, especially in NCR region, have opened their online shops for sale of prescribed drugs in India. They are simply violating the laws of India including the cyber law of India and health related laws. However, in their desire to earn profits, they have put the lives of many on risk.

Indian government is not playing the required role in this regard. When we have various regulations for selling of prescribed medicines in real time and offline world, there is no sense in allowing companies/individuals to sell life saving and life threatening drugs that also in an unregulated and illegal manner, opines PTLB.  

We are personally aware of few people who have engaged in e-commerce fields pertaining to health related products and pharmaceuticals. Needless to mention, they are clearly not following the laws of India, says PTLB.

A governmental crackdown is urgently required on such platforms just like we tackle quacks, suggests PTLB. It is in the own interest of online pharmacies of India to comply with various techno legal requirements that they are openly flouting as on date.

Thursday, December 13, 2012

Legal Issues Of Online Shopping In India

E-commerce players in India are still not adhering to e-commerce laws and regulations of India.  According to business structuring of e-commerce in India: legal research report by Perry4Law, e-commerce players of India and abroad must comply with many techno legal issues to work in a legal manner.

For instance, Indian e-commerce, FDI regulations and cyber due diligence are still not complied with by many national and international e-commerce players. Even foreign direct investment (FDI), taxation and other regulations are not followed by many national and international e-commerce players in true letter and spirit.

For instance, Indian government has already referred the cases of Flipkart and Bharti Walmart to the Enforcement Directorate for alleged violation of foreign direct investment (FDI) regulations. Similarly, a probe against Walmart in India for market access lobbying has been ordered by Indian government.

E-Commerce Laws and Regulations in India and FDI Regulations are two of the most common Regulations governing E-Commerce in India, says Praveen Dalal, managing partner of ICT law firm Perry4Law. While Indian and International E-Commerce players are well aware of FDI Regulations yet E-Commerce Laws of India are still not followed by and large, opines Dalal. 

Cyber law due diligence in India is another area that e-commerce and online shopping platforms must take care of. Cyber law due diligence for Indian companies is one of the most frequently litigated aspect in India. Lack of cyber law awareness and cyber due diligence awareness is the main reason that many websites and companies have found themselves in the net of Indian laws.

Online shopping and e-commerce in India must be encouraged but at the same time legal and cyber security issues must also be taken seriously. Online payment players and e-commerce stakeholders must keep these aspects in mind while doing business in India. There is no sense in ignoring legal issues of online shopping in India.

Probe Against Walmart In India Ordered For Market Access Lobbying

Indian e-commerce business sector and foreign direct investment in India (FDI) have never shared a smooth relationship. For long FDI in e-commerce segment of India was restricted. It is only now that Indian Parliament has allowed use of FDI in multi-brand retail during the winter session of Parliament (December 2012).

Any business activity must be undertaken within the permissible and legal boundaries. However, both national and international e-commerce players in India are not following the laws of India in true letter and spirit.

India’s exclusive techno legal law firm Perry4Law has already shared a legal research report regarding business structuring of e-commerce in India. Presently, Indian e-commerce, FDI regulations and cyber due diligence are not complied with by various national and international e-commerce players.

So much so that the Indian government has referred the cases of Flipkart and Bharti Walmart to the Enforcement Directorate for alleged violation of foreign direct investment (FDI) regulations. Now it has been reported that a probe against Walmart has been ordered by Indian government for possible FDI norms violations and lobbying for greater market access in India.

E-Commerce Laws and Regulations in India and FDI Regulations are two of the most common Regulations governing E-Commerce in India, says Praveen Dalal, managing partner of ICT law firm Perry4Law. While Indian and International E-Commerce players are well aware of FDI Regulations yet E-Commerce Laws of India are still not followed by and large, opines Dalal. 

It is in the interest of national and international e-commerce players to follow the laws of India in true letter and spirit. Further, it is also necessary on the part of Indian government to take FDI and legal violations by national and international e-commerce players seriously.

Tuesday, December 11, 2012

Indian E-Commerce, FDI Regulations And Cyber Due Diligence

Recently many media news have reported that the Indian government has referred the cases of Flipkart and Bharti Walmart to the Enforcement Directorate for alleged violation of foreign direct investment (FDI) regulations. There is a growing concern among Indian government to check the legality of e-commerce businesses operating by bypassing FDI regulations.

E-Commerce Laws and Regulations in India and FDI Regulations are two of the most common Regulations governing E-Commerce in India, says Praveen Dalal, managing partner of ICT law firm Perry4Law. While Indian E-Commerce players are well aware of FDI Regulations yet E-Commerce Laws of India are still not followed by and large, opines Dalal. 

Many media reports have claimed that Flipkart is under the scanner for allegedly flouting FDI rules which allow e-commerce companies with foreign investment to carry out only business-to-business (B2B) transactions but not business to consumer (B2C) transactions by creating complex structures that may not be permissible.

For a legal e-commerce business in India, the e-commerce businesses structuring in India must be done with due regard to applicable laws of India. The legal research report by Perry4Law for business structuring of e-commerce in India has given a special emphasis to techno legal compliances for that e-commerce players of India must follow.

For instance, Cyber Law Due Diligence in India and Cyber Due Diligence for Indian Companies are equally applicable to E-Commerce Players of India, suggests Dalal. There is a general Apathy among E-Commerce Players of India towards complying with these Statutory Requirements, opines Dalal.

In their own interest, the e-commerce entrepreneurs of India must take e-commerce compliances seriously as non compliance may attract civil, criminal and financial punishments.

Monday, December 10, 2012

Business Structuring Of E-Commerce In India: Legal Research Report By Perry4Law

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.
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.
Establishment of e-courts and use of online dispute resolution in India can further help in reformation of the dispute resolution procedure for e-commerce disputes.

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.

About Perry4Law

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.

Friday, December 7, 2012

E-Commerce Businesses Structuring In India

Electronic commerce (e-commerce) has become a very remunerative field in India these days. However, the legal aspects of e-commerce in India are still evolving. In this techno legal research report made by Perry4Law, India’s exclusive techno legal ICT and e-commerce law firm of India, it has shared the techno legal aspects of e-commerce rules and regulations of India.

E-commerce laws and regulations in India are still evolving. Meanwhile, the Indian Parliament has allowed foreign direct investment (FDI) in multi-brand retail during the winter session of Parliament (December 2012) that would also help in streamlining of e-commerce environment of India.

The first issue that any e-commerce entrepreneur may face is to ascertain the legal formalities required for starting e-commerce business in India. Once this is clear, the next step is to ascertain the legal requirements to start an e-commerce website in India. Both these issues require sound techno legal knowledge that very few e-commerce law firms of India possess.
Further, with the approval for FDI in retail sector of India, the labour laws of India would also be required to be suitably modified. Even an effective dispute resolution mechanism among investors and consumers must be established in India.
Establishment of e-courts and use of online dispute resolution in India can further help in streamlining the dispute resolution procedure for e-commerce disputes.

However, e-commerce players in India must keep in mind the mandates of various laws of India while engaging in e-commerce business. For instance, the cyber law due diligence in India is very stringent and its defiance can bring civil, criminal and financial consequences. In fact, non compliance of cyber due diligence by Indian companies has been agitated in Indian courts very often.

Perry4Law suggests that all present and future e-commerce players of India must go through a thorough techno legal due diligence to avoid any legal consequences. Similarly, we recommend that before entering into e-commerce business sphere, the e-commerce players must consult capable lawyers/law firms in this regard.

About Perry4Law

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.