Answer By law4u team
The use of manipulative UI/UX design (often called dark patterns) is an unethical practice where online platforms intentionally design their user interfaces to deceive or pressure consumers into making unintended purchases or subscriptions. This includes techniques like hidden charges, misleading buttons, or forced opt-ins that trick users into committing to a purchase. These manipulative practices violate consumer trust and can lead to legal action. In India, various consumer protection laws govern e-commerce platforms, and there are legal frameworks that protect consumers from such deceptive practices.
Legal Implications of Manipulative UI/UX Design
Consumer Protection Act, 2019
The Consumer Protection Act, 2019 is a comprehensive law designed to safeguard consumers' rights in India. It specifically addresses unfair trade practices, including misleading advertisements, deceptive tactics, and false representations.
Unfair Trade Practices
Manipulative UI/UX falls under unfair trade practices, as it involves deliberately misleading consumers into making decisions they might not otherwise make. Platforms that employ such designs could be penalized for using deceptive tactics to influence purchasing decisions.
Section 2(47) of the Consumer Protection Act, 2019 defines unfair trade practices, which include:
- Misleading consumers about the nature or characteristics of products.
- Tricking consumers into making purchases they do not intend to make.
- Hidden costs or fees that consumers are unaware of at the time of the transaction.
Example: If a consumer clicks on a close button that appears to dismiss a pop-up but instead subscribes them to a paid service, the platform can be held liable for unfair trade practices.
Consumer Protection (E-Commerce) Rules, 2020
These rules specifically address the regulation of e-commerce platforms in India and ensure that platforms operate transparently and do not engage in misleading or unfair business practices.
Clear Information and Consent
Platforms must provide clear and unambiguous information about products, services, prices, and cancellation policies. The use of dark patterns to obscure or mislead consumers about pricing, cancellation, or terms of service violates these provisions.
Refund and Cancellation Policies
These rules also require e-commerce platforms to have transparent and user-friendly refund and cancellation policies. Manipulative designs that make it difficult for consumers to unsubscribe or cancel services are illegal.
Example: A platform that uses dark patterns to make it difficult for consumers to cancel a subscription or find the hidden opt-out option may face action for violating the Consumer Protection (E-Commerce) Rules, 2020.
The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021
Under the Intermediary Guidelines, platforms are expected to comply with the best practices regarding user experience and interface design. If a platform uses deceptive UI patterns, it may be considered a violation of these guidelines.
Platforms may lose the safe harbor protection (which shields them from liability for user content) if they fail to act against deceptive practices or do not follow the due diligence processes required to protect consumers.
The Indian Contract Act, 1872
The Indian Contract Act governs contracts, and for a contract to be valid, it must be based on free consent. If a consumer is manipulated into making a purchase due to deceptive UI designs, the contract may be deemed to be obtained through coercion or fraud, making it voidable under the law.
Example: If a consumer unknowingly subscribes to a service due to hidden costs or misleading UI design, they can seek to void the contract.
Types of Manipulative UI/UX Tactics (Dark Patterns)
- Hidden Fees or Charges: Platforms may hide extra costs until the final step of the checkout process, misleading users into thinking that the product or service is cheaper than it actually is.
- Forced Continuity or Subscriptions: Users may be automatically signed up for a subscription or charged after a free trial, often with the cancel button hard to find or hidden behind multiple steps.
- Bait and Switch: A platform advertises a specific deal or price but then switches it to a higher cost or different offer at the last minute when the consumer is close to making a purchase.
- Hidden Opt-Out or Unsubscribe Options: Making it extremely difficult for consumers to cancel a subscription or opt-out of automatic renewals. The button may be hidden, require several steps, or even be disguised.
- Misleading Visuals: Using deceptive visual cues, such as buttons that look like cancel but actually confirm a purchase, or adding ambiguous language to suggest a service is free when it’s not.
Legal Actions Against Platforms Using Manipulative UI/UX
Consumer Complaints to Authorities
Consumers who have fallen victim to manipulative UI/UX designs can file complaints with the Central Consumer Protection Authority (CCPA) under the Consumer Protection Act, 2019. The CCPA has the power to investigate complaints related to unfair trade practices and impose penalties on the platform.
Example: If a consumer complains about a subscription they were unknowingly charged for due to hidden fees, the CCPA can investigate the platform’s practices and take corrective actions.
Filing a Civil Lawsuit
Consumers can also take legal action by filing a civil lawsuit under the Indian Contract Act, claiming that the contract was entered into under fraud or misrepresentation. This may result in the contract being voided and the consumer receiving a refund.
Imposing Penalties
Platforms found guilty of using dark patterns could face significant penalties. Under the Consumer Protection Act, 2019, the authorities can fine the platform for engaging in unfair trade practices. Penalties can include fines and compensation to affected consumers.
Investigations and Orders from the Competition Commission of India (CCI)
If a platform’s manipulative design leads to anti-competitive behavior, such as forcing customers into purchases, the Competition Commission of India (CCI) could investigate the practices under the Competition Act, 2002.
Reputational Damage and Consumer Trust Loss
Platforms that use deceptive UI/UX face reputational damage. Consumers may turn to competitors, and platforms found guilty of unethical practices may face negative publicity that could damage their long-term business.
Example of Legal Action:
Imagine an online shopping platform that automatically subscribes users to a monthly delivery plan for a product when they select a free trial option. The platform hides the subscription details in small print and makes it difficult for users to unsubscribe after the trial period ends.
- Step 1: A consumer realizes they have been charged for a subscription after the trial and files a complaint with the Consumer Protection Authority about the platform’s manipulative UI design.
- Step 2: The CCPA investigates and finds that the platform violated the Consumer Protection Act, 2019, by engaging in deceptive practices.
- Step 3: The platform is fined, required to issue refunds to the affected consumers, and ordered to update its UI/UX to ensure better transparency and fair practices.
Conclusion
Manipulative UI/UX design techniques (or dark patterns) are a serious violation of consumer rights and fair trade practices in India. E-commerce platforms that engage in such practices face significant legal consequences under the Consumer Protection Act, 2019, the E-Commerce Rules, 2020, and other applicable laws. Consumers have the right to file complaints, demand refunds, and even take legal action to protect themselves from deceptive business practices. Platforms must ensure that their user interfaces are transparent, honest, and easy to navigate to avoid legal liabilities and maintain consumer trust.
