Ikigai LawIkigai LawIkigai LawIkigai Law
  • About Us
    • About
    • Our Team
    • FinTales
    • Tech Ticker
  • Practice Areas
  • Blog
  • News & Events
    • Ikigai Law in the news
    • Ikigai Law at events
    • Ikigailaw on the social media
  • Careers

Impact of Proposed Amendments to Intermediary Guidelines

    Home Digital Economy Impact of Proposed Amendments to Intermediary Guidelines
    NextPrevious

    Impact of Proposed Amendments to Intermediary Guidelines

    By Ikigai Law | Digital Economy | 0 comment | 12 November, 2019 | 6

    This article summarises our observations on the impact the proposed amendments to intermediary guidelines are likely to have.

    It is a selected excerpt from our series tracking the Evolution of Safe Harbour provisions in India, available here. A further excerpt outlining the current statutory framework for availing Safe Harbour protection under the IT Act and the areas of challenge in the existing law is available here.

    In 2018, the government released the Information Technology [Intermediary Guidelines (Amendment) Rules], 2018 (“Draft Guidelines”)[1]. These Draft Guidelines propose to increase due diligence standards intermediaries must comply with to avail Safe Harbour protection. The proposed amendments to the Safe Harbour provisions amend the Intermediary Guidelines alone and do not change any provision of the IT Act itself. Nevertheless, they impose far reaching onerous provisions on intermediaries. These have been summarised and contrasted with the corresponding earlier requirements below-

    Current Obligation Proposed Obligation Concerns with Proposed Obligation
    Terms of Use: Intermediaries are required to publish rules and regulations, privacy policy and/or user agreement for use and access to their portals.

    Such Rules must warn users not to publish certain type of content which has been listed (“Prohibited Content”) in the Intermediary Guidelines.

    Terms of Use: The list of Prohibited Content has been expanded to include content which promotes consumption of tobacco or intoxicating products and content which threatens the critical infrastructure of India.

    An intermediary will also be required to warn its users at least once a month, of their need to comply with the intermediary’s terms of use.

     

    • There is no guidance as to the manner in which this monthly notification is to be sent. Should it be via the platform or via email or by push notifications on apps?
    • Users are suffering from ‘notification fatigue’ and ‘consent fatigue’ and this requirement detracts from a good user experience.
    No equivalent requirement in current Intermediary Guidelines. Mandatory Assistance to State Agencies: Intermediaries are required to provide assistance requested by “any government agency”, within 72 hours of such request being made. This request may be for the security of the State; cyber security; the purpose of investigation, detection, prosecution or prevention of offence, or for protection or cyber security and matters connected with or incidental thereto.

     

     

    • Investigation and prosecution of cyber offences requires the investigating body to have sophisticated technical capabilities. Consequently, the IT Act has specific requirement as to the rank of the officer who may investigate offences under the act and the authorities who may issue orders to block monitor or collect data.
    • The draft amendments significantly water down these requirements and oblige intermediaries to assist any government agency.
    • The type of assistance intermediaries as required to provide to these government agencies is also unclear.

     

    Trace the publisher of information: The intermediaries, upon receiving a request by the authorised agency, will be required to trace the originator of any information.
    • The type of information collected by intermediaries vary and several intermediaries do not collect enough data points from their users to meet this requirement.

     

    Local Presence Requirement: Intermediaries with above 50 Lakh users are required to be incorporated in India and permanent, registered, physical address in India. They are also required to have a nodal person who shall be available 24X7 to provide assistance to State agencies.
    • Will increase operational costs. Bootstrapped intermediaries may find it more convenient to stop offering services in India all together.
    • May have adverse tax implications for intermediaries, as they will be deemed to have a permanent establishment in India.

     

    Take-Down Requirement: Intermediaries are required to take-down Prohibited Content within 36 hours of receiving “actual knowledge” of the existence of such content on their platform. They are required to preserve records relating to such content for 90 days to facilitate investigation. Take-Down Requirement: Intermediaries are required to take-down content only upon receiving actual knowledge by way of a court order or upon being notified by appropriate government agency.

    Courts or Government agencies may order content to be taken-down only if such content is not in the interest of the sovereignty and integrity of India; security of the State; friendly relations with other States; public order, decency or morality; or in relation to contempt of court, defamation or incitement of any offence.

    Such take-down must occur within 24 hours of the receipt of the order and/or notification.

    The intermediary will have to preserve the records for a minimum of 180 days.

     

    •  It may not be practical to take down content within these timelines.
    No equivalent requirement in current Intermediary Guidelines. Proactive Monitoring of Content: Intermediaries are required to deploy technology based automated tools or appropriate mechanisms with appropriate controls to proactively identify and remove access to unlawful content.
    • The rationale behind extending Safe Harbour protection to intermediaries is that they are merely passive transmitters of information, which is generated by third parties without interference or oversight of the intermediaries.
    • Proactive monitoring requirement means that intermediaries have knowledge and oversight over information that is transmitted on their platform and are as such no longer amenable to Safe Harbour protection.
    • Given the volume of information to be filtered, many companies may begin to deploy automated tools. These are also error-prone[2] and have seen limited success[3].

    Authored by Tanya Sadana, Senior Associate Ikigai Law with inputs from Anirudh Rastogi and Aman Taneja

     

    References –

    [1] Ministry of electronics and information technology, the Information Technology [Intermediary Guidelines (Amendment) Rules] 2018, available at https://www.meity.gov.in/writereaddata/files/Draft_Intermediary_Amendment_24122018.pdf.

    [2] J. Malcolm, Users Around the World Reject Europe’s Upload Filtering Proposal, available at https://www.eff.org/deeplinks/2016/11/users-around-world-reject-europes-upload-filtering-proposal.

    [3] In Sabu Mathew George v. Union of India, (2017) 7 SCC 657, it was submitted by the respondent intermediaries that content which violated the PCPNDT Act could be removed only upon being brought to their notice. Even such limited blocking has not seen much success; Legally India, Roundup of Sabu Mathew George vs. Union of India: Intermediary liability and the ‘doctrine of auto-block’, available at https://www.legallyindia.com/views/entry/roundup-of-sabu-mathew-george-vs-union-of-india-intermediary-liability-and-the-doctrine-of-auto-block.

     

     

     

     

    amendments, Intermediary Guidelines, intermediary liability, itact, safe harbour, sec 79

    Ikigai Law

    More posts by Ikigai Law

    Related Post

    • Intermediary Liability: Evolution of Safe-Harbour Law in India (Part I)

      By Ikigai Law | 0 comment

      This is a quick guide to the evolution of safe harbour provisions under Indian Law and how proposed amendments are likely to impact them. If you wish to skip the history of safe harbour provisionsRead more

    • Visual-Guide to Existing Safe Harbour Provisions

      By Ikigai Law | 0 comment

      This article outlines the current statutory framework for availing Safe Harbour protection under the IT Act and the areas of challenge in the existing law. It is a selected excerpt from our series tracking theRead more

    • Intermediary liability: judicial interpretations of current safe harbour provisions

      By Ikigai Law | 0 comment

      This article traces how courts across India have interpreted some crucial concepts pertaining to Safe Harbour law in India. It is Part II in our series of articles which trace the evolution of Safe HarbourRead more

    • Has the Delhi High Court effectively asked intermediaries to track user location data?

      By Ikigai Law | 0 comment

      Has the Delhi High Court effectively asked intermediaries to track user location data? On 23rd October, 2019 the Delhi High Court passed a judgement on whether content take-down and blocking orders passed by it wouldRead more

    • Cyber security framework under the IT Act in India

      By Ikigai Law | 0 comment

      India enacted the Information Technology Act, 2000 (“IT Act”) on 09 June 2000[1]. The IT Act is based on the UNCITRAL model law on e-commerce[2]. The preamble of the IT Act simply indicates that theRead more

    Leave a Comment

    Cancel reply

    Your email address will not be published. Required fields are marked *

    NextPrevious

    Tags

    #DataProtection #Fintales bitcoin Blockchain Budget Consent Consultation Consultation Paper cryptocurrency data Data Controllers data governance Data localisation Data Protection Data Subjects digital economy Digital India Drones E-Commerce Facebook Fintech Government Government of India healthtech Ikigai Law India Indian government Innovation MeITY Notice Payments Personal Data policy Privacy RBI Recommendation Regulation Srikrishna Committee Stakeholders Startups Surveillance Technology Tech Policy TechTicker TRAI

    Connect with Ikigai Law

    Copyright 2018 Ikigai Law | All Rights Reserved             

    Information

    • Practice Areas
    • Blog
    • Careers
    • Contact Us
    • Privacy Policy

    Contact us

    Office
    T-7/402, Commonwealth Games Village Apartment,
    New Delhi, Delhi 110092 India.

    Email Address

    contact@ikigailaw.com

    • About Us
      • About
      • Our Team
      • FinTales
      • Tech Ticker
    • Practice Areas
    • Blog
    • News & Events
      • Ikigai Law in the news
      • Ikigai Law at events
      • Ikigailaw on the social media
    • Careers
    Ikigai Law