The Intermediary Conundrum

Authors Medha Srivastava, Partner and Mehul Arora, Associate 

INTRODUCTION

With the enactment of the Information Technology Act, 2000 (“IT Act”) the legislature introduced the concept of an ‘intermediary’. At the time the IT Act was enacted, the definition of the term intermediary1 was as follows:

“Intermediary with respect to any particular electronic message means any person who on behalf of another person receives, stores or transmits that message or provides any service with respect to that message”.

To put it simply, an intermediary is a mediator connecting two people in order to bring about an agreement between them.

Over the years, we have observed, not just the definition of intermediary evolving in scope but also the legislative attempts at determining the four walls of their obligations and liabilities given their role as mere middle men in transactions or in communication channels.

Through this article, we would like to discuss and assess the significant changes which have taken place in the IT Act with respect to an Intermediary and the rules framed thereunder and would also like to assess the proposed amendment to the Information Technology (Intermediaries guidelines) Rules, 2011.


Contributing Advisors

Myles CulmerDirector, BDO Advisory Services

Myles CulmerDirector, BDO Advisory Services


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