New Delhi: The Central Consumer Protection Authority (CCPA) has imposed a ₹5 lakh penalty on Snapdeal for facilitating the sale of toys that did not comply with mandatory Bureau of Indian Standards (BIS) norms under the Toys (Quality Control) Order, 2020.
The final order, issued under the Consumer Protection Act, 2019, held Snapdeal (Ace Vector Limited) guilty of unfair trade practices and misleading advertisements by allowing such products to be sold on its marketplace.
Violation of Mandatory BIS Standards
The Toys (Quality Control) Order, 2020 makes BIS certification compulsory for all toys sold in India to ensure safety and quality standards. Any toy that fails to meet these requirements is considered “defective” under Section 2(10) of the Consumer Protection Act, 2019.
The CCPA observed that failure to comply with these standards constitutes misleading advertisement and unfair trade practice under the law. The Consumer Protection (E-commerce) Rules, 2020 also prohibit online platforms from engaging in or facilitating unfair business practices.
Key Findings of the Investigation
According to the Authority, non-compliant toys were available on Snapdeal’s platform as recently as December 2025, despite claims that such listings had been removed.
The investigation further revealed that Snapdeal earned ₹41,032 in platform fees from the sale of these toys through two identified sellers — Stallion Trading Company and Thriftkart.
In addition, many product listings lacked essential details such as the manufacturer’s name, address and mandatory BIS certification number, raising concerns about transparency and consumer safety.
Marketplace Defence Rejected
Snapdeal argued that it functioned merely as a “marketplace e-commerce entity,” similar to a physical shopping mall, and therefore bore limited responsibility for the products sold by third-party sellers.
However, the CCPA rejected this defence, stating that the platform exercises substantial control over transactions. The Authority noted that Snapdeal manages promotional campaigns such as “Deal of the Day,” uses quality tags, and controls logistics, refunds and replacement mechanisms.
Such operational involvement, the Authority said, makes the platform vicariously liable for deficiencies in goods or services sold through its portal.
Burden of Product Safety on Platforms
The CCPA emphasised the shift from the principle of “caveat emptor” (let the buyer beware) to “caveat venditor” (let the seller beware). This means both sellers and facilitating platforms must ensure that listed products meet mandatory safety standards.
The Authority also noted that Snapdeal failed to provide a categorical assurance that non-BIS compliant toys would not reappear on its platform in the future when specifically asked during proceedings.
Directives Issued by CCPA
Along with the ₹5 lakh penalty, the CCPA has directed Snapdeal to ensure that no non-compliant toy is listed, hosted or advertised on its platform going forward.
The platform has also been instructed to prominently display contact numbers, email addresses and Grievance Officer details to facilitate faster consumer redressal.
The Authority reiterated its commitment to safeguarding consumer rights and maintaining a transparent digital marketplace. Notices were also issued to other e-commerce entities and sellers for similar violations.
The latest action underscores the government’s resolve to enforce quality standards strictly and ensure that children’s products sold online meet prescribed safety benchmarks.
