ADVERTISEMENT

Delhi High Court Restricts Flipkart's 'Latching-On' Feature For Misleading Customers

Flipkart is now required to verify and block unauthorised listings to protect the brand’s integrity.

<div class="paragraphs"><p>Flipkart logo seen at its office in Bengaluru. Flipkart's&nbsp;"latching-on" feature allowed third-party sellers to list their products under existing brand listings on their website, which could potentially mislead buyers. (Image source: Anirudh Saligrama/NDTV Profit)</p></div>
Flipkart logo seen at its office in Bengaluru. Flipkart's "latching-on" feature allowed third-party sellers to list their products under existing brand listings on their website, which could potentially mislead buyers. (Image source: Anirudh Saligrama/NDTV Profit)

The Delhi High Court has directed that Flipkart's "latching-on" feature cannot be used to sell fake products or deceive customers into thinking they are buying from a specific brand when they are not.

This feature allowed third-party sellers to list their products under existing brand listings on Flipkart's website, which could potentially mislead buyers.

The court clarified that selling fake goods or misrepresenting product origins through this feature is not allowed. The ruling came in response to a case filed by Modern Mould Plast Pvt. Ltd., a furniture company operating under the brand name "MAHARAJA." The company argued that unauthorised sellers were listing non-genuine products under their listings on Flipkart, harming their brand.

The court recognised the brand’s rights and directed Flipkart to use its 'brand gating' policy to prevent unauthorised sellers from using the "latching-on" feature. Flipkart is now required to verify and block unauthorised listings to protect the brand’s integrity.

This is not the first time Flipkart has faced legal scrutiny over the "latching-on" feature. In 2022, a single-judge bench of the Delhi High Court comprising Justice Prathiba M. Singh ruled against the platform’s latching-on feature, stating that sellers must have the brand owner's consent to list products under their brand.

In this case at hand, the court directed that if any unauthorised latching-on occurs, Flipkart must be notified immediately and take swift action to disable the feature.

Opinion
Flipkart Faces Social Media Backlash For Cancelling Smartphone Orders With Massive Discounts