CCPA Takes Action Against E-Commerce Entities For Violating Mandatory Toys Quality Control Order

New Delhi: The Central Consumer Protection Authority (CCPA) has taken enforcement action against e-commerce platforms and sellers for violating India’s toy safety regulations.

According to the CCPA statement, it has imposed a penalty of Rs 5 lakh on Snapdeal (Ace Vector Limited) for engaging in unfair trade practices and misleading advertisements by facilitating the sale of non-BIS-compliant toys on its platform, in violation of consumer rights.

In a media statement, Snapdeal's spokesperson said, "As a marketplace, Snapdeal remains committed to providing a safe and trusted platform for consumers and ensures compliance under laws as applicable. The issue with regards to intermediary liability in similar matters are pending decisions by various high courts. The company will seek appropriate judicial review in due course."

The CCPA, led by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, has issued a final order against Snapdeal (Ace Vector Limited) for the sale of toys that fail to conform to mandatory BIS Standards. The CCPA took suo-moto cognisance of the matter, discovering that toys were being sold on Snapdeal in violation of the Toys (Quality Control) Order, 2020, which became mandatory on January 1, 2021.

Tagging products with quality assurances such as "great quality at best price," which acts as a false guarantee when applied to non-compliant BIS standard goods. Despite claims of delisting, non-compliant toys remained available on the platform as recently as December 2025.

Commercial Benefit from the products sold: Snapdeal earned fees amounting to Rs 41,032 from the sale of these non-compliant toys through just two identified sellers, Stallion Trading Company and Thriftkart.

The CCPA found several critical lapses: many product listings lacked essential information such as the manufacturer's name, address, and mandatory BIS certification numbers.

Inadequate Due Diligence: The platform relied solely on seller self-declarations without independent verification, which the CCPA deemed "inadequate" for preventing the listing of hazardous products.

Snapdeal took its defence as it acts as a "marketplace e-commerce entity" similar to a physical shopping mall. The CCPA categorically rejected this analogy, noting that Snapdeal exerts "substantial control" over transactions by managing platform-wide promotional sales like "Toofan Sale" and "Deal of the Day".

The CCPA observed that the shift from caveat emptor (let the buyer beware) to caveat venditor (let the seller beware) places the burden of ensuring product safety squarely on both the seller and the facilitating platform. Consequently, the onus is on the platform to ensure that every listed product meets the safety and quality standards, such as the BIS certification for toys, and it remains vicariously liable for any deficiency in service or defect in goods that reach the consumers through its portal.

The CCPA further noted that when enquired about providing a guarantee for the sale of BIS-compliant toys on its platform in future, the opposite party failed to provide a guarantee or categorical undertaking that, henceforth, listings or exhibition of non-BIS-compliant toys would not reappear on the platform.

The CCPA had issued notices to e-commerce entities and the sellers, such as Amazon, Flipkart and Snapdeal, Stallion Trading Company, Electronics Bazar Store, etc., for the sale of toys in violation of Quality Control Orders (QCO) and BIS standards directed for compulsory use by the Central Government.

Section 2(10) the Consumer Protection Act, 2019, "defect" means any fault, imperfection or shortcoming in the quality, quantity, potency, purity or standard which is required to be maintained by or under any law for the time being in force or under any contract, express or implied or as is claimed by the trader in any manner whatsoever in relation to any goods or product and the expression "defective" shall be construed accordingly. Thus, toys which do not conform to the compulsory standards are liable to be held ‘defective’ under the Act.

Failure to comply with these standards constitutes misleading advertisement and unfair trade practice under the Consumer Protection Act, 2019. The Consumer Protection (E-commerce) Rules, 2020 stipulate that no e-commerce entity shall adopt any unfair trade practice, whether in the course of business on its platform or otherwise.

Ensure Future Compliance: Guarantee that no non-compliant BIS standard toy is listed, hosted, or advertised on its platform in the future. Prominently display contact numbers, email addresses, and Grievance Officer details to facilitate prompt consumer redressal.

Protecting Consumer Rights: The authority reaffirmed its commitment to protecting consumer rights, preventing unfair trade practices and ensuring a safe and transparent digital marketplace, and urged all e-commerce platforms to exercise strict regulatory verification and accurate disclosures.

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