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India’s Online Sellers Are Appealing Against Flipkart & Amazon Again. Look Why

Surabhi Kedia by Surabhi Kedia
January 13, 2019
in What’s Buzzing
A A

You know how humans can’t let things go? Well, they require a couple of confirmations and official statements to finally concede. Seems like the same is happening when it comes to the legal war between FLIPKART and All India Online Vendors Association (AIOVA). Oh, Amazon is also in the ropes this time.

Background

The All India Online Vendors Association (AIOVA) is a group of more than 3500 sellers had recently registered a complaint in Competition Commision of India (CCI). The problem focused on the bias attitude of Online brands like Flipkart and Amazon towards sellers on their online platforms. The argument was that these Big Platforms influenced buyers towards a few particular sellers which led to discrimination against other sellers. However, CCI had rejected the very same claim in November 2018.

Still in the running

Well, now the AIOVA will appeal to the National Company Law Appellate Tribunal on Monday, to highlight their dissatisfaction with the CCI’s decision. This was released an an official statement by the AIOVA group’s lawyer, Chanakya Basa. He said “We firmly believe we have filed adequate information to prove the existence of a prima-facie case which the hon’ble Commission has failed to take into account. Hence, we are filing this appeal.” However, there haven’t been any details revealed regarding the above mentioned evidence.

Amazon isn’t free either

Amazon is also a target of the very same association of these online sellers. However, here the argument has been against Amazon favouring its own merchandise brands like CloudTail which leads to low selling of other sellers associated with the platform.

However, It should also be noted, due to the New regulations made by the Indian Government, in context of the Indian E-commerce market, Amazon and Flipkart, both would not be able to use companies where they own stakes, as sellers on their platforms.

The new regulations also would make the competition fair for all sellers and hence, this legal battle may be unnecessary. Well, it’s only time that would tell us where this will go for India’s favourite online selling brands.

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