The bill brought to legalize the process of buying or selling goods or services through electronic platforms has been passed by both houses of the Federal Parliament. Although goods and services have been bought and sold through electronic platforms for a long time, there was no law until now.

In the Electronic Business (E-Commerce) Bill passed by the Parliament, there is a provision that every businessman doing electronic business must establish a platform. "However, small entrepreneurs and similar domestic entrepreneurs will be allowed to conduct electronic business using other electronic platforms." This restrictive arrangement will make it easier for micro and small entrepreneurs to do electronic business. 

Individuals, firms, companies or organizations must now be registered to conduct electronic business. Likewise, the businessman should mention the name of the electronic platform, business name, address, registered entity and registration certificate number so that the buyer can take an informed decision regarding his business or business. PAN, VAT as well as email and mobile number should also be kept by the businessman. Arrangements have also been made to disclose all the details including the quality of goods and services traded through them. 

E-commerce is defined as the process of buying or selling goods or services through an electronic platform. But using an electronic platform to provide information or promote goods and services is not considered as electronic business. It is stipulated that this Act will be applicable throughout Nepal and it will also be applicable to persons residing outside Nepal who provide goods and services in Nepal through electronic commerce. 

The bill will go into effect on the 31st day after it is approved by the President. Although it has been passed by the National Assembly, the Secretariat of the National Assembly has informed that it has not been sent for verification as the related arrangements have to be made. 

In the bill passed, there is a provision to contract for doing business through online. In section 16, it is said, "For the sale of goods or services through an electronic platform, a written or electronic agreement must be made with such a businessman before providing such goods or services on the platform of an intermediary businessman." "The Government of Nepal may publish a notice in the Nepal Gazette and give necessary discounts, facilities or concessions to micro, domestic and small industries that trade goods or services produced in Nepal or sell their products through the electronic platform that exceeds the limit set by the Ministry," the passed bill said.

E-business without establishing an electronic platform, conducting business without listing, and not disclosing the details of goods and services are considered to be offenses. It has been arranged that 'inspecting officer can fine from 20 thousand rupees to 50 thousand rupees' to those who commit such offences. If the penalty is not justified, there is a provision that an appeal can be made to the Director General within 7 days. The Director General must decide on the complaint within 35 days and the said decision will be final. 

Intermediary businesses, list-based e-commerce businesses, vendors, and non-fulfilment of obligations in the Act will result in imprisonment and fines. Those who do not fulfill the obligations prescribed by the law will be fined from 50 thousand to 5 lakh rupees and will be punished with imprisonment from 6 months to 3 years. It has been arranged that the case proceeding in this way will be governmental. 

It has been arranged that anyone who knows that someone has acted against the Electronic Business Act can file a complaint. If someone is doing something contrary to this Act, anyone who gets information about it can file a complaint with the director general or the inspection officer with the information or evidence they have. Such a complaint can be filed through electronic means as well," said the passed bill. The name of the complainant has been kept confidential. 

There is a provision that the buyer should check whether the goods or services on sale have been received according to the contract or not and if there is any complaint, the complaint should be made through electronic means as soon as possible.

Businessmen, entrepreneurs and consumers have strongly raised social networks to be recognized as e-commerce, different arrangements for small businesses, facilitation of the contract process between sellers and intermediaries have been improved and addressed. If a warranty or guarantee has been given for the goods or services sold, the obligation to comply with the terms of such warranty or guarantee has been prescribed for the specified period. There is a provision to make a contract with the seller who provides the goods or services before putting them up for sale.  The

department will monitor and inspect electronic trading platforms. "When the department monitors and inspects the electronic platform or related arrangements, it will have to coordinate with the Nepal government agency that regulates information technology-related matters according to the prevailing law, along with subject experts," the passed bill says. Provisions have also been made to measure the implementation of the Act.

'Within five years of the commencement of this Act and thereafter within one year of the completion of every five years, the Ministry (Industry, Commerce and Supply) shall measure the implementation of the Act and the report shall be submitted to the relevant committees of both houses of the Federal Parliament,' the passed bill states. Previously, there was rarely a provision for measuring the implementation of the Act. In this, the ministry is assigned the responsibility to submit a report to the parliament on the measurement of the law.