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1. WHAT IS THE FLIPKARTS IDEA OF BUSINESS?

Flipkart started with the strategy of "Direct Online Retail". But Indian Law does not support FDI
(Foreign Direct Investment) in online retail. So Flipkart has now shifted to "Marketplace Model"
which allows third party merchants to sell goods to consumers through Flipkart website.

Flipkart has various vendors like WS retails etc, Flipkart will be having agreement with those
vendor on every product. Vendor will provide some commission to Flipkart to sell a product. Here
Flipkart acts like middle man between seller and the buyer.

2. WHO ARE THE SELLER AND BUYER ON FLIPKART? GIVE


EXAMPLES.

Flipkart at present is not investing in any of its products. There is no need for it to do so as it
has vendors from all over India who are taking care of it at their own risk.
Flipkart is not making at this point but the basic model that it is currently following is
through the commission on each sell. Flipkart has zero risk of inventory and it does not need
to manage it too. So it has drastically cut down on that. So eventually down the line they are
sure to make money. The sellers in the Flipkart are the Vendors all over India and buyers
include all people who make purchase from the vendors.
Examples: Major Sellers on Flipkart: WS Retail, TrueComRetail etc. Buyers include all
the people who make purchase from the vendors through Flipkart.

3. HOW MANY CONTRACTS ARE BEING ENTERED INTO WHEN


PURCHASES ARE MADE ON THE WEBSITE?

In general two contracts are being entered when purchases are made on website, but the
number changes depending upon the Website functionality. Online contracts are normally
created by having each party exchange emails or by having one party fill out an order form
on a website. Online contracts may also be created by presenting the terms of the contract to a
party and then asking that party to click on the words "I AGREE" or something similar. This
is known as a web-wrap or click-through contract.

Most of the time contracts created online are not signed by both parties, but each party can
print out a copy of the agreement.

4. ARE YOU INDEMNIFIED IN TERMS OF PAYMENT ISSUES BY


THE COMPANY (IES)?

I shall indemnify and hold harmless Flipkart/any other company, its owner, licensee,
affiliates, subsidiaries, group companies (as applicable) and their respective officers,
directors, agents, and employees, from any claim or demand, or actions including
reasonable attorneys' fees, made by any third party or penalty imposed due to or arising
out of My breach of this Terms of Use, privacy Policy and other Policies, or My violation of
any law, rules or regulations or the rights (including infringement of intellectual property
rights) of a third party.
5. WHAT IS THE BUYER PROTECTION PROGRAM? HOW DOES
THE BUYER PROTECTION PROGRAM SUPPORT?

In case of a dispute where the Seller is unable to provide a refund or a replacement, Company
will actively work towards reaching a resolution.

The Buyer Protection Program covers Buyers who are unable to successfully resolve their
dispute with the Seller or are not satisfied the resolution provided by the Seller.

The Buyer can write to mail of the concerned company, if the issue with the Seller is not
resolved. Companys Customer Support team will look into the case to check for possible
fraud and if the Buyer has been blacklisted/blocked from making purchases on the Website.
In due course of resolution, Company's Customer Support Team will facilitate
a conference call including the Seller and the Buyer.

When a dispute has been raised, Company may provide both the parties access to each
others Display Names, contact details including email addresses and other details
pertaining to the dispute. Buyers and Sellers are subject to final consent from Company
for settling the dispute.

6. WHEN CAN A DISPUTE BE REGISTERED WITH FLIPKART?


WHAT INITIAL CRITERION IS LOOKED UPON TO BE MET?

A 'Dispute' can be defined as a disagreement between a Buyer and a Seller in connection with
a transaction on the Website. It is important that before a Buyer/Seller raises a dispute, they
should attempt to solve the issue. Please note that whenever a Buyer raises a dispute, the
Seller's payment for that order is put on hold immediately until the issue is resolved.
Whenever there is a disagreement, the Buyer can write to dispute@flipkart.com, while the
Seller can write to ss@flipkart.com, in order to raise a dispute. Disputes can be raised at a
particular transaction level. The disputes get registered once the general verification is over
that the attempt has been made to resolve but the solution didnt take place.

Following are the indicative examples of potential disputes:

Wrong item received, Item Not as described, Damaged or Seal broken on Product,
Part/Accessory missing, Item not Compatible, Seller Description/Specification Wrong,
Defective (Functional issues), Product not working and Manufacturer claims invalid
Invoice

In case the Seller rejects the return request of the Buyer, and Buyer raises a dispute, then
Flipkart will try to mediate and resolve the dispute between both the parties. If the dispute
is resolved in favour of the Buyer, a refund is provided once the product is returned to the
Seller. If the dispute is settled in favour of the Seller, Buyer is entitled to any refund.

7. WHAT DO YOU MEAN BY BUYER BEING BLACKLISTED /


BLOCKED FROM MAKING PURCHASES ON THE WEBSITE?
MENTION SOME SITUATIONS SUPPORTING THE ANSWER.
Certain websites like eBay allows sellers to add up to 5,000 usernames to a blocked buyer
list (BBL) to prevent those customers from purchasing their items. A blacklisted / blocked
cannot make any purchase through the particular seller or through the website in whole.
There are many reasons for the website to block the particular buyers for his actions
contributing loss to the company if occurred in mass amounts.

Few situations when the seller blocks the buyers are;

If a buyer files an unwarranted and unfair claim for a refund or replacement, he might be
blocked him. For example, the buyer may claim that the item was damaged or "not as
described." You know your merchandise and the seller knows his claim is not true, Sad to
say, but there are some buyers that do this on a regular basis.

If a buyer leaves neutral or negative feedback on regular basis. He


certainly is giving wrong information defaming the website as a whole.
Even in this case the buyer gets blocked.

8. IS / DOES ANY OF THE T&C OF FLIPKART VIOLATE ANY


HUMAN RIGHTS IN ANY MANNER? IF YES / NO, STATE
REASONS AND EXPLANATIONS.

The terms and conditions of Flipkart does not violate any human rights since all the business
firms adopt The corporate responsibility to protect human rights. United Nations Human
Rights Council endorsed the Guiding Principles on Business and Human Rights, This move
established the Guiding Principles as the global standard of practice that is now expected of
all States and businesses with regard to business and human rights. While they do not by
themselves constitute a legally binding document, the Guiding Principles elaborate on the
implications of existing standards and practices for States and businesses, and include points
covered variously in international and domestic law. The United Nations protect, respect and
remedy framework consists of;

1) The State duty to protect human rights


2) The corporate responsibility to respect human rights
3) The need for greater access to remedy for victims of business-related abuse.

9. WHAT RESTRICTIONS ARE IMPOSED BY FLIPKART WHEN IT


COMES TO SETTLING A DISPUTE?

Buyers can file a dispute within 45 days from the date of delivery of the product

Any damage or loss to the product after delivery will not be covered under this program
and will completely be the Buyer's responsibility. Buyers should refuse to accept delivery if
the item is damaged.

To be able to take advantage of the Buyer Protection Program, Buyers should first
contact the Seller and attempt to resolve the issue. If the Buyer doesn't hear from the
Seller or is unable to resolve the issue with the Seller even after contact, a dispute can be
raised with Flipkart by writing an email to resolution@flipkart.com
Fraudulent charges and claims are not covered under Buyer Protection Program

If the Buyer has already initiated chargeback through the credit card issuingbank, it will
not be covered under Buyer Protection Program, though in such cases a Seller can file a
claim through the Seller Protection Program.

Blacklisted and Blocked Buyers are not covered by the Buyer Protection Program.

Buyers who have reached their maximum lifetime limit for claims are also not eligible.
Buyers can make a maximum of 5 claims per year on Flipkart. If the claim was
withdrawn, it is not counted. The coverage amount will be limited to 50,000

Through the Buyer Protection program, Flipkart does not provide


any guarantee/warranty to Buyers for products sold on Flipkart against
technical/manufacturing defects.

Raising disputes against Sellers does not automatically entitle the Buyer to a refund or
replacement for the product purchased. Flipkart shall verify the disputes so raised and may
process only such claims that are valid and genuine.

Flipkart shall at no point be responsible for any direct or indirect losses, expenses, costs
of any nature whatsoever that may be incurred by any Buyer/Seller.

Claims of the nature of 'Buyer remorse' (i.e. instances where products are bought by the
Buyer by mistake or where the Buyer chooses to change his/her mind with regard to the
product purchased by him) will not be entertained through this program.

Flipkart reserves its right to initiate civil and/or criminal proceedings against a User who,
files an invalid and/or false claims or provides false, incomplete, or misleading
information. In addition to the legal proceedings as aforesaid, Flipkart may at its sole
discretion suspend, block, restrict, cancel the Display Name [and its related Display
Names] of such User and/or disqualify that user and any related users from availing
protection through this program.

Decisions made by Flipkart under the Buyer Protection Program shall be final and
binding on its Users.

Flipkart reserves the right to modify / discontinue Buyer Protection Program without any
prior notice period to its Users.

Through this program, Flipkart shall not entertain claims of Buyers who have incurred
loss due to delayed shipment or delivery of the item by the Seller.

Flipkart Customer Support Team may seek additional information / clarification from
Buyer to facilitate resolution of the dispute. In the event Buyer does not respond with
information / clarification sought within 10 days of such request, the dispute shall be auto-
closed in favour of the Seller.
10. HOW IS THE FLIPKART AGREEMENT DIFFERENT FROM
AMAZON AGREEMENT?

In the long run, I believe the e-retail industry will resemble an oligopoly with Amazon and
Flipkart emerging as the two strong players. Whoever can differentiate their services the most
and thereby create brand loyalty, will be the winner.

First, Amazons customer service based on its terms is celebrated and people are more
certain of replacements and after sales services when they buy from Amazon. Amazon
operates guided by its well-known vision of being earths most customer centric company.
Social media is in full of praise for Amazons superior customer service. New customers
hesitate and are always suspicious of the quality of product, warranties, replacements, misfit
sizes and refunds. Amazon has been successful in placating anxious customers well. The
Buyer Protection Program is totally baised towards buyers and thus is very popular in case
of Amazon.

Second, Flipkart lacks innovation. Not only was the entire idea of Flipkart a blatant imitation
of Amazon by the Bansals who were former employees at Amazon, but also things like
Flipkart First, bookseller turned all-purpose retailer, psudeo-inventory based model (see the
next post for details) etc have been borrowed from Amazon. The Whole Agreement of
Flipkart is similar to the Amazon but with fewer services in total being a domestic
company.