HC seeks Centre’s reply on plea against rule to register e-commerce business as company

New Delhi: The Delhi High Court Monday sought the Centre’s reply on a plea challenging a provision in the Consumer Protection (e-commerce) Rules which mandates that an entity selling goods and services online has to be registered as a company in India. A bench of Chief Justice D N Patel and Justice Prateek Jalan issued notice to the Ministry of Consumer Affairs seeking its stand on the petition by an individual who provides online content creating services.

The petitioner, Dhruv Sethi, has contended that the rule under challenge forces sole proprietorships like his to register as an incorporated company for carrying out e-commerce business.