Amazon Seller Services has appealed against a Delhi high court interim order that has restrained platforms such as Amazon, Flipkart and Snapdeal from selling products from direct sales companies without their consent, according to a report by Live Mint.
The court will review the matter in February 2020 when it will look at both the appeals and the interim applications.
The Delhi High Court interim order came into effect following companies such as Amway, Modicare and Oriflame objecting to Amazon et all selling its products, often at a lower price, resulting in a loss of sales.
Taking to the 225-page interim order, the court said, “The
minimum conduct expected of the platforms is adherence to their own policies,
which they have failed to do in the present case. Thus, this court has no
hesitation in holding that the continued sale of the plaintiffs’ (Amway,
Modicare and Oriflame) products on the e-commerce platforms, without their consent,
results in inducement of breach of contract, and tortious interference with
contractual relationships of the plaintiffs with their distributors.”
“Contact details are not disclosed. The consumer would find it extremely difficult to contact a seller. Consumers cannot be expected to do a fine and detailed examination to find out the actual source. The consumer is not being told that the seller is not authorised and the consumer would, literally, require investigative capabilities to trace the actual seller.”
The e-commerce sites selling products with consent were also ordered to properly and fully display the contact details of the sellers.