E-commerce dark patterns: CCPA issues advisory for self-audits within 3 months, forms Joint Working Group (JWG)

Dark patterns include practices like false urgency alerts, hidden costs added at checkout, subscription traps, and disguised advertisements that manipulate consumer decision-making.

The Central Consumer Protection Authority (CCPA) on Saturday has issued an advisory to all e-commerce platforms, directing them to remove deceptive and unfair trade practices known as "Dark Patterns."

The advisory also mandates platforms to conduct self-audits within three months to identify and remove such patterns and are also asked to submit self-declarations affirming that their platforms do not indulge in any dark patterns.

CCPA in its advisory said that these declarations will promote a fair digital ecosystem and strengthen trust between consumers and platforms.

This comes after certain platforms were found violating the Guidelines for Prevention and Regulation of Dark Patterns and notices have been issued by the CCPA in such cases.

All platforms are now strongly advised to avoid using misleading design interfaces that can manipulate consumer decisions, CCPA said.

Additionally, a Joint Working Group (JWG) has been formed by the Department of Consumer Affairs to monitor compliance and further action.

The JWG includes representatives from relevant ministries, regulators, voluntary consumer organizations, and national law universities (NLUs). This group is tasked with identifying violations of dark patterns, sharing findings regularly with the department, and suggesting awareness programs for consumers.

In 2023, the Department of Consumer Affairs notified comprehensive guidelines specifying 13 dark patterns including false urgency, basket sneaking, confirm shaming, forced action, subscription traps, interface interference, bait and switch, drip pricing, disguised advertisements, nagging, trick wording, SaaS billing, and rogue malware.

Earlier in May, the Union Ministry of Consumer Affairs directed e-commerce platforms to comply with dark pattern guidelines, conduct regular audits, and collaborate with the government to form a joint committee.

The meeting was chaired by Union Minister Pralhad Joshi. “We have proposed setting up a joint working committee. We have also asked for internal audit (by e-commerce platforms),” Joshi said.