China E-commerce law implemented officially

On January 1st, 2019, the “Electronic Commerce Law of the People’s Republic of China” (referred to as the E-commerce Law) was officially implemented. This is China’s first comprehensive law in the field of e-commerce. It has made relevant regulations on personal purchasing on others’ behalf, brushing, big data killing, and bundled sales.

China trade data

The implementation of the e-commerce law plays an important role in the market, making the regulation of e-commerce more standardised. As far as the current situation is concerned, the implementation of the E-commerce Law will allow more shops and individual consumers to have legal compliance and rationality, so that more people can better protect their rights and interests. Subject to the new e-commerce law, illegal acts such as brushing orders, false transactions, and consumers deceiving will be gradually eliminated. The improvement of product quality and service quality will definitely make the e-commerce market reach consumption upgrade.

After the implementation of the E-commerce Law, it is necessary to apply for registration for enterprises or individuals. As long as it is an e-commerce operator, it must have business license registered so that it’s available to check it. This will better circumvent more non-professional practitioners and counterfeit people.

In terms of e-commerce platform liability, the e-commerce platform knows or should know that if the operator has violated the legitimate rights and interests of consumers, and if it fails to take necessary measures, it shall bear joint and several liability. For goods or services that affect the life and health of consumers, if the e-commerce platform does not fulfill the auditing obligations for the qualifications of the operators in the platform, or it is not responsible for the security of the consumers, but causes harm to the consumers, it must bear corresponding responsibilities according to the law. If the harm is serious, the maximum fine is 2 million yuan.