Law en­hances over­sight over e-com­merce

China Daily (Hong Kong) - - BUSINESS - By FAN FEIFEI fan­feifei@chi­

Law­mak­ers have called for stronger reg­u­la­tion of the le­gal re­spon­si­bil­i­ties and obli­ga­tions of third-party plat­forms and en­hanced pro­tec­tion of con­sumers’ rights in the draft of the coun­try’s first e-com­merce law.

The draft law was sub­mit­ted for its first read­ing at the 25 th ses­sion of the 12th Na­tional Peo­ple’s Congress Stand­ing Com­mit­tee.

Dur­ing the dis­cus­sion, Yin Zhongqin, vice-chair­man of the Fi­nan­cial and Eco­nomic Com­mit­tee of the Na­tional Peo­ple’s Congress, said third-party plat­forms play a piv­otal role in e-com­merce, and the pur­pose of the law is to pro­mote e-com­merce and pro­tect con­sumers’ rights.

The draft em­pha­sizes the du­ties and obli­ga­tions of third-party plat­forms, stip­u­lates the uti­liza­tion and pro­tec­tion of e-com­merce data and in­for­ma­tion, and reg­u­lates the elec­tronic con­tract and pay­ments, and ex­press lo­gis­tics ser­vices.

Leg­is­la­tor Liu Zhengkui said e-com­merce busi­ness op­er­a­tors should dis­close in­for­ma­tion on goods or ser­vices com­pre­hen­sively, truth­fully and ac­cu­rately, and safe­guard con­sumers’ rights be­ing in­formed.

He sug­gested third-party plat­forms should of­fer com­pen­sa­tion to con­sumers if the plat­form doesn’t check the au­then­tic­ity of the in­for­ma­tion re­leased by the op­er­a­tors of the plat­form.

Liu said the plat­forms should es­tab­lish re­lated or­ga­ni­za­tions to deal with com­plaints from con­sumers and help con­sumers safe- guard their rights.

“This could not only crack down on fake and shoddy goods, but also strengthen their re­spon­si­bil­ity and en­hance the rep­u­ta­tion of third-party plat­forms.”

China is the world’s largest e-com­merce mar­ket. The turnover of the coun­try’s on­line shop­ping mar­ket reached 3.8 tril­lion yuan ($547 bil­lion) last year, ac­cord­ing to iRe­search Con­sult­ing Group.

Pro­tec­tion of per­sonal in­for­ma­tion is a high­light of the draft law. The draft stip­u­lates that e-com­merce busi­ness op­er­a­tors must en­sure the se­cu­rity of con­sumers’ per­sonal in­for­ma­tion.


turnover of China’s on­line shop­ping mar­ket in 2015, ac­cord­ing to iRe­search

Leg­is­la­tor Han Xiaowu said there should be more de­tailed reg­u­la­tions to pro­tect con­sumers’ le­git­i­mate rights, file a law­suit and claim for com­pen­sa­tion, es­pe­cially when their in­for­ma­tion se­cu­rity is in­fringed. Inc, China’s sec­ond-largest e-com­merce player, said the draft will help es­tab­lish a fair and im­par­tial mar­ket or­der and pro­mote the healthy de­vel­op­ment of the whole e-com­merce in­dus­try.

Xue Jun, as­so­ciate dean of the law school at Pek­ing Univer­sity, said e-com­merce en­ter­prises should com­ply with the coun­try’s reg­u­la­tions on busi­ness ac­tiv­i­ties.

Xue added that the plat­forms should also as­sist in­ves­ti­ga­tions by ad­min­is­tra­tive au­thor­i­ties.

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