Three online sellers on Flipkart, owned by Walmart, have filed lawsuits against the Indian antitrust watchdog following findings of competition law violations involving Flipkart and Amazon.
The investigation revealed that Amazon, Flipkart, some sellers, and smartphone brands breached local competition laws by favoring select sellers and listings.
Flipkart, a major ecommerce player in India, is facing legal challenges to halt the investigation process initiated in 2020 after complaints from traditional retailers.
The sellers argue that they were unfairly named as accused during the investigation despite providing data to officials, calling the process arbitrary and unfair.
Legal actions from Amazon and Flipkart sellers could potentially delay the investigation, with the cases expected to be heard in court next week.
Both Flipkart and the Competition Commission of India have not yet responded to requests for comment on the matter.
Recently, a former Amazon seller also sued the CCI and obtained an interim injunction, claiming lack of notice before being implicated in the case.
Analysis: The legal battles between online sellers, Amazon, Flipkart, and the Indian antitrust watchdog highlight concerns over competition practices in the ecommerce industry. The outcome of these lawsuits could impact the future of online retail in India and potentially lead to regulatory changes to ensure fair competition.
