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Table of Contents

1 Overview.................................................................................................................1

2 Introduction.............................................................................................................2

3 The Significance of Consumer protection and online trading in India...................3

3.1 Several different consumer protection laws in India.......................................3

4 The objectives of the consumer protection act in India..........................................4

4.1 India and E-Consumer Protection...................................................................4

5 How should Uber face these laws and regulatory requirements effectively?.........5

5.1 Uber India Being filed for Violation of Consumer rights...............................6

6 The strategy that Uber India undertook amidst Covid 19.......................................7

7 Conclusion..............................................................................................................8

8 References...............................................................................................................9

i
List of Figures

Figure 1: Uber Gets Serious About Passenger Safety In India, Introduces Panic Button 7

ii
1 Overview

To that end, this report will survey the landscape of consumer protection laws pertaining to e-
commerce and explain how Uber can best comply. Uber must keep up with the ever-changing
legal landscape in each jurisdiction it operates in if it is to provide the highest level of
protection for its customers (Uber.com, 2022).

Furthermore, due to the international character of online commerce, it is crucial that Uber
have a coherent and efficient plan to adapt to these shifts.

The goal of this report is to give readers a sense of the landscape of consumer protection laws
and e-commerce, and to suggest ways in which Uber can best respond. This report will first
provide a high-level summary of the various consumer protection laws that apply to e-
commerce. In the following sections, the report will explain how these regulations affect
Uber, and then it will provide suggestions for how the company can meet regulatory
requirements.

Moving on to the report's conclusion, I'll talk about the significance of Uber and other
multinational corporations' compliance with the various regulatory requirements that exist
within the countries in which they do business.

1
2 Introduction

There are more and more places where Uber can operate legally, but in some places, like
some smaller towns, regulatory approval has been difficult to come by. Even without legal
clearance to operate, Uber has begun offering its services in a number of areas and cities.
Many people have voiced their disapproval of Uber's "spontaneous liberalization." But should
Uber be criticized for not meeting certain regulatory requirements, or applauded for pushing
the limits of the law? Depending on the circumstances, spontaneous liberalization may be
cause for praise or criticism.

There is a public good in pushing the limits of public regulations on competition, even though
doing so is usually not justified because such rules are essential for protecting users and
nonusers from the risks inherent to the carrying of passengers on public roads. The taxi
industry has already changed for the better, regardless of the outcome of Uber's efforts to
challenge rules limiting its ability to deliver certain categories of services in certain markets,
as many taxi companies have developed their own apps, either alone or in collaboration with
others, and efforts have been made to improve the quality of service they provide. In a sector
where actors had grown stale and routinely fell short of customers' expectations, Uber was a
much-needed jolt.

2
3 The Significance of Consumer protection and online trading in
India

Consumer protection laws have been enacted in many countries to ensure that consumers
receive fair and accurate information about the products they are buying and to protect them
from fraudulent or deceptive practices. The enactment of online trading in India has had a
significant impact on consumer protection law in the country, as online trading is a new and
way for consumers to buy and sell goods and services.

In India, consumer protection laws are in place to protect the rights of citizens from being
taken advantage of in the marketplace. Online trading is also regulated in India to ensure that
consumers are protected from scams, Ponzi schemes, and other fraudulent activities. Online
trading in India is expected to grow significantly in the coming years, as more and more
people turn to the internet for their day-to-day needs.

In order to ensure that consumers are protected in online trading in India, the government has
enacted a number of consumer protection laws. These laws include the Electronic
Transactions Act, the Unfair Commercial Practices Act, and the Money Laundering
Prevention Act. These laws protect consumers from scams, Ponzi schemes, and other
fraudulent activities. Additionally, the law prohibits companies from making false or
misleading statements about their products.

Despite these measures, there have been several instances of online fraud in India. In one
case, a man was able to dupe people out of Rs. 4 crore by creating a fake website that
promised high returns on investment. This just one in a million in India where corruption is at
its peak.

3.1 Several different consumer protection laws in India

One of the primary laws meant to safeguard Indian customers is the Consumer Protection
Act. Originally passed in 1986, the law was revised in 2002 by the Consumer Protection
Amendment Act. We examine the consumer safeguards provided by the Act in this piece
(indiafilings.com, 2022).

3
4 The objectives of the consumer protection act in India

To better safeguard customers and develop a robust process for the resolution of consumer
disputes is the primary goal of the Consumer Protection Act. In order to ensure that
consumers have the following rights, the Consumer Protection Act aims to:

Consumers should be shielded from the sale of potentially harmful products; shoppers should
be given accurate information about a product's quality, quantity, potency, purity, standard,
and price;

guarantee availability of items from a reliable source at reasonable pricing;

to be heard and to ensure that consumers' interests will be given adequate consideration at
suitable forums; to seek redress against unfair trade practices or unethical exploitation of
consumers; to educate consumers.

4.1 India and E-Consumer Protection

Lawmakers in India, like their counterparts elsewhere, have long recognized the need of
protecting consumers' fundamental rights to economic security. In 1986, India passed the
Consumer Protection Act to better safeguard consumer rights in accordance with the
UNGCP. The law's supporters point to its stated goals of protecting consumers' rights and
facilitating their access to efficient and low-cost redress. Although there are no laws
specifically governing e-commerce in India, the existing provisions of the Consumer
Protection Act, 1986, are being applied to disputes in online transactions, most commonly
under the provisions of "Deficiency in Service" under Section 2(1)(g) of the Consumer
Protection Act, 1986 or "Unfair Trade Practices" under Section 2(1)(r) of the Consumer
Protection Act, 1986 (Prof. (Dr.) Ashok R.PATIL1 & Dr. Pratima NARAYAN2 , n.d.).

4
5 How should Uber face these laws and regulatory requirements
effectively?

Uber needs to be aware of the recent changes to the Consumer Protection laws in India and
adjust their policies accordingly. The company should also be cautious when doing business
online, as there are numerous scams circulating online that could result in them losing money.

Uber should respond to the consumer protection laws and online trading in India in a variety
of ways, including: - Investigating allegations of wrongdoing and taking appropriate action,
such as suspending or terminating services; - Focusing on safety, such as increasing the
number of driver background checks or adding security features to the app; - Improving
transparency and customer service, such as providing more information about the cost of
rides and changes to the pricing model; and - Communicating with customers in a clear and
concise way.

Uber should respond to consumer protection laws and online trading in India in a number of
ways, including: - Developing an in-house consumer protection hotline - Disabling surge
pricing during peak hours - Responding quickly to reports of abuse or untoward behavior on
its platform - Offering a refund forantomized rides Uber has responded to consumer
protection laws in other countries around the world, including the United States and Europe.
In India, the company has come under fire for its practices with surge pricing and its response
to reports of abuse.

In India, Uber is under attack from both the government and its competitor Ola. The two
companies are currently in a legal battle in the country, with Ola accusing Uber of using its
market power to disadvantage its own drivers. In addition to the legal battles, Uber is also
facing criticism for its response to the Consumer Protection laws in India. The company has
been criticized for not taking responsibility for its actions, and for its attitude towards
customers.

As the world's largest company, Uber needs to take a leadership role in responding to the
Consumer Protection laws in India. The company should be transparent with its customers,
and it should focus on safety. In addition, Uber should take responsibility for its actions and
communicate with customers in a clear and concise way.

5
It is evident that Uber needs to make some changes in order to operate more smoothly in
India. The company has been met with a lot of backlash recently, and it needs to take
responsibility for its actions. In order to do this, Uber should focus on safety, transparency,
and communication with its customers. By implementing these changes, Uber will be able to
build a better relationship with the government and its customers.

5.1 Uber India Being filed for Violation of Consumer rights

The Central Consumer Protection Authority (CCPA) took action on Friday in response to
mounting complaints about Ola and Uber, two ride-hailing companies that have been accused
of unfair commercial practices and the violation of consumer rights.

Figure 1: Uber Gets Serious About Passenger Safety In India, Introduces Panic Button
Source: (Rai, 2015)

The top consumer-rights regulator said that the notices were prompted by a number of major
issues, including a lack of a proper consumer-grievances redressal mechanism, a deficiency
in service, the unreasonable levy of cancellation charges, and issues related to the fairness of
algorithms used to charge fares. According to the CCPA's numbers, Ola received more
complaints than Uber (Hindustantimes, 2022).

6
The consumer-rights regulator raised serious concerns about the lack of "customer care
numbers" and information about the "grievance officer," both of which are mandated by law.

6 The strategy that Uber India undertook amidst Covid 19

Safety is, and always will be, our top priority, and we've implemented a number of
safeguards to ensure the wellbeing of both drivers and passengers. An ongoing trial program
requires all UberMedic vehicles supplied to the NHA to have a plastic partition installed
between the driving partner's seat and the rest of the vehicle. UberMedic driver partners are
receiving specialized training and protective gear including masks, gloves, hand sanitizers,
and disinfectants so that they can keep Uber Medic cars clean and germ-free between rides
(Uber.com, 2020).

By collaborating with industry frontrunners like Flipkart, big basket, and Spencer's Retail, we
can guarantee that thousands of their customers will receive the necessities they need to live
comfortably. This helps authorities enforce a statewide lockdown in India to prevent the
spread of the COVID-19 virus, while also keeping the country's supply lines operating
normally. This final-mile delivery service also frees up options for driver partners to deliver
consistently to as many houses as possible with vital supplies.

7
7 Conclusion

Unauthorized services like Uber's have caused an unintended deregulation of the taxi
business. Because of the large level of sunk costs in several industries, this strategy was not
feasible there.

That's why liberalization in those spheres was so methodical: the market opened to
competition progressively before it was fully liberalized.

It's controversial whether we should praise or condemn situations in which liberalism


emerges of its own will. Despite the fact that there is typically no reason to disobey laws that
are necessary to protect users and nonusers from the risks that are inherent to the carrying of
passengers on public roadways, it is possible to argue that testing the limits of public
restrictions of competition is a public good. Legal actions have been filed in several EU
Member States in response to Uber's entry into the European market, and the preliminary
ruling procedure will play a role in the resolution of these cases, helping to clarify the legal
parameters within which Uber works.

8
8 References

Hindustantimes, 2022. Consumer-rights watchdog notices to Ola, Uber over 3,200


complaints in 1 month. [Online]
Available at: Consumer-rights watchdog notices to Ola, Uber over 3,200 complaints in 1
month
[Accessed 01 10 2022].

indiafilings.com, 2022. Consumer Protection Laws in India. [Online]


Available at: https://www.indiafilings.com/learn/consumer-protection-laws-in-india/
[Accessed 01 10 2022].

Prof. (Dr.) Ashok R.PATIL1 & Dr. Pratima NARAYAN2 , n.d. E-CONSUMER
PROTECTION. E-CONSUMER PROTECTION, p. 10.

Rai, S., 2015. Uber Gets Serious About Passenger Safety In India, Introduces Panic Button.
[Online]
Available at: https://www.forbes.com/sites/saritharai/2015/02/12/uber-gets-serious-about-
passenger-safety-in-india-introduces-panic-button/?sh=5baaf4733cf8
[Accessed 01 10 2022].

Uber.com, 2020. Uber Stands In Solidarity With India To Contain COVID-19. [Online]
Available at: https://www.uber.com/en-IN/newsroom/as-we-move-forward/
[Accessed 01 10 2022].

Uber.com, 2022. Colombo: a Guide for Getting Around in the City - Uber. [Online]
Available at: https://www.uber.com/global/en/cities/colombo/
[Accessed 1 10 2022].

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