Consumer Protection (Direct Selling) Rules

The Consumer protection (Direct Selling) Rules, 2021, have been published by the Central Government.

Highlights:

Direct selling entities and direct sellers are prohibited from Promoting a Pyramid Scheme or enlisting anyone in these schemes under the notified rules.

Participating in a -transfer scheme

State governments have been given the responsibility of monitoring compliance with these rules.

Direct Selling Entities are required to have at least one physical location as a registered office within India, according to the rules.

They should make a self-declaration that the Direct Selling Entity has followed the rules and is not involved in a pyramid scheme or money circulation scheme.

All products sold by a direct selling company must adhere to the declarations made under the Legal Metrology Act of 2009.