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.