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ARTICLE · 25 APRIL 2022

Consumer Protection (Direct Selling) Rules 2021

Tuli & Co
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In exercise of its powers under §94 and §101(2)(zg) the Consumer Protection Act 2019 (Act), the Central Government notified the Consumer Protection (Direct Selling) Rules 2021 (Rules) on 28 December 2021.

IndiaConsumer Protection
Saurajay Nanda
Saurajay Nanda
Anuj Bahukhandi
Anuj Bahukhandi
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Introduction

In exercise of its powers under §94 and §101(2)(zg) the Consumer Protection Act 2019 (Act), the Central Government notified the Consumer Protection (Direct Selling) Rules 2021 (Rules) on 28 December 2021.

The Rules are aimed at the regulation and supervision of activities by direct selling entities and set out a framework with various requirements to be complied with by such entities. The Act defines "direct selling" as "marketing, distribution and sale of goods or provision of services through a network of sellers, other than through a permanent retail location"1. However, with the introduction of the Rules, definitions of direct selling entities2 and direct sellers3 as well as other requirements have also been incorporated in the Rules.

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