Site icon LegalOnus

The Doctrine of Free Consent in the Digital Age: A Legal Analysis under the Indian Contract Act

ChatGPT Image Jun 11, 2025, 08_26_42 PM
Spread the love

ABHAY YADAV, Author

A second-year BA.LLB (H) student at the School of Law, IILM University, Greater Noida. Read More


Abstract

The emergence of the digital age is making the concept of “free consent” in contract law subject to greater scrutiny, with the rise of e-contracts, click-wrap contracts, and automated negotiation using AI. This research paper explores the doctrine of free consent from the context of the Indian Contract Act, 1872, under the modern scheme of the digital age. Section 13 and Section 14 of the Act enunciate the principles of consent and free consent, respectively. But the law of what a valid, informed, and voluntary agreement is being pushed to its limits as more and more transactions go online.

Under this study, basic questions are examined: Is consent given by electronic means like click-wrap or browse-wrap agreements truly “free” in law? How far is the Indian Contract Act consistent with state of consent in electronic contracts? What can India adopt from cross-border models, such as the General Data Protection Regulation (GDPR), in its rethinking of digital consent? By analyzing judicial precedents, legislative interpretation of statutes, and comparative legal frameworks, the paper determines loopholes in existing law and recommends reforms to promote user autonomy in online environments. Case laws such as Chikkam Ammiraju v. Chikkam Seshamma and LIC v. Consumer Education Research Centre are analyzed to understand evolving judicial interpretations.

This research is particularly timely in a data-protecting world of automated contracts and internet consumer protection. It aims to spur legislative and judicial initiatives at overhauling traditional contract law to better reflect the realities of modern trade and technology.

Keywords: Free consent, e-contracts, Indian Contract Act, digital agreements, GDPR compliance, data privacy

INTRODUCTION

Contracts constitute the core foundation on which rests all commercial and personal legal relations. As defined under Section 2(h) of the Indian Contract Act, 1872, a contract is an agreement enforced by law, and in this enforceability lies free consent. Per Sections 13 and 14 of this Act, consent shall not be free if it is obtained by coercion, undue influence, fraud, misrepresentation, or mistake. Simply put, both parties are supposed to knowingly and willingly agree on the very same thing C in exactly the same sense-whether they do so under some pressure or by deceitful means or not. In an ever more digitalized world, wherein contracts are formed with just one click, the very nature of consent has come to be very complex. It has become a truly daily occurrence for a user to give away his click consent to multipage terms and conditions without even reading them-from downloading an app, subscribing to some kind of service, or making an online purchase. The question thereby posed is whether such instantaneous acceptance, more often than not uninformed, should really be dubbed to constitute free consent. Initially designed for paper-based, negotiated contracts, the Indian Contract Act is now facing a completely different digital ecosystem founded on automation, artificial intelligence, and contracts in the form of one-sided standard catalogs. Today, very little consciousness is there among the users at large about what they actually give consent to, nor is there practically any possibility of negotiating or even comprehending those terms.

According to Carnegie Mellon University, an average person would spend 76 workdays reading all privacy policies they came across in a year[1]. Herein lies the question-again, how could it be expected of users to read all before consenting?

As per the paper, there will be an exploration on whether the Indian legal system is capable of handling these digital challenges and if the Indian and foreign courts have accepted consent in such a manner. For comparison purposes, such analysis will include reference to data protection laws like the European Union’s General Data Protection Regulation (GDPR) and U.S. legal standards, with the objective of determining what reforms are applicable so that consent in the digital age is a real one and not symbolic.

Concept and Legal Framework of Free Consent in India

The idea of “free consent” is regarded as one of the most significant ingredients necessary to make up a valid contract. A contract in legal parlance is not just an agreement; it is an agreement made by persons freely, without any force, misguidance, or misunderstanding. If the consent of any party is obtained by force, the very foundation of the contract becomes shaky, and as a matter of law, it will be voidable at the instance of the party whose consent was not free.

Definition and Essentials Under the Indian Contract Act, 1872

Under Section 13 of the Indian Contract Act, 1872:

“When two or more persons agree upon the same thing in the same sense they are said to consent.”[2]

Consensus ad idem means that both parties should share the same understanding of the terms and intent of the contract. If one party is thinking of something entirely different or if there is some ambiguity in or about the terms, no real consent exists.

But consent must be free. Section 14 defines free consent to mean:

“Consent is said to be free when it is not caused by—

  1. coercion, as defined in section 15; or
  2. undue influence, as defined in section 16; or
  3. fraud, as defined in section 17; or
  4. misrepresentation, as defined in section 18; or
  5. mistake, subject to the provisions of sections 20, 21 and 22.”[3]

If any of these factors are present, then the agreement is not made with free will, and the party whose consent was not free can choose to void the contract. These elements are known as vitiating factors because they “vitiate” or spoil the contract’s validity.

Vitiating Factors: How Consent can be compromised

Let us now understand these vitiating elements in detail:

  1. Coercion-defined in section 15 of Indian Contract Act.

Coercion means using forces or threatening someone to get into a contract. As per section 15, it includes committing or threatening to commit any act forbidden by Bharatiya Nyaya Sanhita, or unlawfully detaining property, to force someone to agree over a thing.

Illustration: A, threatens Z with bodily injury to handover his property’s document on A’s name, this is coercion

Chikkam Ammiraju v. Chikkam Seshamma[4]

A man was threatening to commit suicide unless the wife and son would sign the release deed of sale of property. The Court held that even a threat of suicide, which was not at that time punishable under the IPC, amounted to coercion because it was an illegal act used to obtain consent.[5] This contract was therefore regarded as voidable because it was not agreed to voluntarily.

  1. Undue Influence (Section 16)

Whenever the will of one party predominates and unfairly persuades another into a contract, undue influence exists. Such relations arise when a party is placed in a position of authority or trust over another, including a doctor and patient, teacher and pupil, or counsel and client.

Legal Test:

Is one party placed in a position to dominate the will of the other?

Is that position being used to obtain an unfair advantage?

Raghunath Prasad v. Sarju Prasad, AIR 1924 SC 60[6]

In this case, the nephew made a profit by taking advantage of the ill health and isolation enjoyed by his uncle in his elderly years, to have the old man sign away the property. The Court has thereby presumed undue influence because of their relationship and the circumstances that left the complainant unfitted to complain[7]. The Supreme Court has held that where there is some proof of dominance and the transaction prima facie appears to be unfair, the burden shifts on the stronger party to prove that the consent was free.

  1. Fraud (Section 17)

Fraud refers to intentionally misleading someone into agreeing to something. According to Section 17, fraud involves false representation made knowingly, suppression of facts with intent to deceive, or making promises with no intention of keeping them.

Example: A used car seller who rolls back the odometer to indicate lesser mileage is committing fraud.

Derry v. Peek (1889) 14 App Cas 337 (English case frequently referred to in Indian courts)

The directors of a company lied that they had government sanction for steam trams. Investors believed it and lost money. The House of Lords held that mere belief in a false statement is not fraud, but intent to deceive is.⁵ This rule is frequently employed in Indian courts to separate fraud from innocent errors.

  1. Misrepresentation (Section 18)

Misrepresentation is the making of a false statement, but without a deliberate intention to deceive. The person making the claim believes the statement to be true, while the other party loses as a result of acting on it.

Example: If a vendor informs a buyer that a house has never suffered water damage because they indeed believe it, but later it is found out to be untrue, then it’s misrepresentation.

Effect: The agreement is void, and the aggrieved party is entitled to rescind it or claim compensation.

  1. Mistake (Sections 20–22)

A bilateral mistake (both parties are in error regarding a fact that is fundamental to the contract) renders the agreement void under Section 20. A unilateral mistake (one party is in error) does not normally affect the contract unless it is about the identity of the party or nature of the contract.

Example: Suppose that two parties believe that they are agreeing over the same land, but are actually discussing two different plots. This is a bilateral mistake.

Classical Case Law: Legal Application of the Principles

Besides the previously discussed cases, another such landmark case provides more insight into free consent.

 LIC of India v. Consumer Education and Research Centre, (1995) 5 SCC 482[8]

It was not merely fraud or coercion, but unequal bargaining power. The Supreme Court ruled that standard form contracts, which include insurance policies, tend to have terms in the provider’s favor that the consumer cannot alter[9]. Even if consent appears to be given (by signing on the contract), it’s not really “free”-sounding in nature, due to lack of understanding or choice. The court emphasized that the agreement should not take advantage of the weaker side, and where there is ambiguity, it would be construed in the consumer’s favor.

This progressive approach indicates that the courts are ready to venture beyond the black-letter law to provide fairness to contemporary contractual relationships.

The Emergence of E-Contracts and the Issue of Digital Consent

In today’s quick-digitizing era, contracts are no longer documents inked between people on a piece of paper after weeks of negotiations. Electronic contracts (e-contracts) are the norm now, thanks to the advent of e-commerce, online services, and mobile apps. Whether downloading an app, subscribing to a streaming service, or just ticking “I Agree” on a website, consumers are entering into legally binding contracts daily, most often without reading and understanding the fine print.

Definition of E-Contracts: Types and Features

E-contracts are contracts concluded and executed electronically, quite frequently over the internet. According to legal experts like Dr. Avtar Singh, e-contracts meet all the criteria of a valid contract under the Indian Contract Act, 1872—offer, acceptance, consideration, intention to create legal relations, and free consent—albeit in an electronic context[10].

There are generally three types of e-contracts:

Though legally recognized, the enforceability of consent in such forms remains suspect, especially as they operate in situations where users have negligible bargaining power and occasionally negligible legal insight into the implications.

Legal Acceptance of E-Contracts in India

Legal acceptance of e-contracts in India primarily borrows from the Information Technology Act, 2000 (IT Act). Section 10-A of the Act reads: “Where in a formation of contract, proposals, acceptances of proposals, revocations of proposals and acceptances, as the case may be, are communicated in electronic form.such contract will not be declared unenforceable solely on the basis that electronic form or means was used for that purpose.”[11] Therefore, e-contracts are legally valid in India, as long as they satisfy the requirements of the essential elements under the Indian Contract Act, 1872. Free consent in e-contracts continues to be poorly addressed. The absence of negotiability, information asymmetry, and dense legal language in electronic contracts raises fundamental issues concerning the nature and validity of the consent provided. For example, in the majority of instances, consumers have no choice but to agree to the terms in their entirety without any room for negotiation.

Judicial Trends and Concerns Around Digital Consent

Although Indian courts have not yet delivered broad jurisprudence on online consent, other courts have issued guidance. In Specht v. Netscape Communications Corp., the US court held that users were not obligated by the terms of a browse-wrap agreement since the download page did not affirmatively display the inclusion of legal terms and users were not required to click “I agree”[12]. The Indian judiciary, while recognizing the enforceability of e-contracts, has also placed considerable emphasis on fairness. In Trimex International FZE Ltd. v. Vedanta Aluminium Ltd., the Supreme Court upheld in favor of the validity of email exchanges as a valid contract but emphasized that parties must be “ad idem” (agreed) on essential terms[13]. The primary concern here is that people will consent without actual knowledge, and uninformed or hurried consent can scarcely be considered “free” in its entirety. As Professor Sreenivasulu N.S. identifies in his article on electronic contracts, “Consent in the digital age has become more of a formality than a meaningful expression of will.”[14]

Power Imbalance and Standard Form Contracts

The second major issue in e-contracts is the bargaining power imbalance, whereby technology companies draft one-sided boilerplate contracts that the consumers are forced to accept in order to access services. They are contracts of adhesion, where one party possesses all the bargaining power, and the other does not have any real choice. Supreme Court, in the previous referenced case of LIC v. Consumer Education Research Centre, noted that unfair and unconscionable terms in form contracts could be invalidated[15]. The rationale holds even greater force in the virtual world, where terms tend to be hidden within lengthy, indistinguishable “terms of service” agreements.

In jurisdictions such as the European Union, this issue has resulted in the implementation of General Data Protection Regulation (GDPR) principles that promote informed, clear, and voluntary consent. Article 7 of the GDPR specifically states that consent shall be clear, distinct, and withdrawable[16]. India is yet to have such data protection laws, though the Digital Personal Data Protection Act, 2023 is a move towards it.

The Demand for Meaningful and Informed Consent

In this age of digital communications, free consent needs to transcend the simple notion of “pressing a button”. It needs to demonstrate actual awareness and voluntariness. The Indian legal system needs to adapt in making provisions for informed consent principles in cases of sharing of data, consumers’ rights, and online services. For instance, sites can be legally required to present simplified terms and conditions summaries and force users to opt-in to read significant clauses such as arbitration, data usage, or automatic renewals. Courts have to set a tougher standard while examining conflicts relating to digital consent, particularly when information asymmetry or false design (also referred to as “dark patterns”) is present.

The age-old offer, acceptance, and consent doctrines are being considerably challenged in the digital era. Although e-contracts are legally valid, the spirit of free consent as envisaged under the Indian Contract Act is frequently lost in the processes of computerised transactions. As we more and more move to online space for commercial, social and personal activities, it is essential that lawmakers, courts and businesses think through how consent is invited, received and understood. And without this shift, we risk transforming a fundamental tenet of contract law into a technicality.

Comparative Analysis: Global Standards vs Indian Law on Consent

In a digitized and increasingly online world, consent has become the basis of not just online contracts, but digital trust. While the Indian legal system is still to fall in line with the advanced digital needs of consent, many jurisdictions around the globe have made significant steps in inculcating principles that balance innovation with user autonomy and privacy. This section hopes to contrast India’s current framework on free consent with the leading international models and derive lessons that might be used to inform the elaboration of a more comprehensive legal response.

European Union – A Model of Informed Consent through GDPR

The European Union’s General Data Protection Regulation (GDPR) is widely hailed as the digital data privacy and user consent gold standard. GDPR, which came into effect in 2018, not only regulates how data is collected but recharts the geography of what “consent” has to be in the digital space. Article 4(11) of the Regulation defines consent as: any clear statement freely given by the data subject expressing in a clear and unambiguous way his or her wishes by which he or she, by spoken word or by a clear affirmative act, gives unreserved consent[17].

Unlike the Indian Contract Act, which is relatively interested in consent based on coercion, misrepresentation, etc., GDPR insists on active, aware, and in full knowledge consent. It does not allow pre-checked boxes, inferred consent, or terms buried deep within lengthy notices. Businesses are required to state why information is being gathered, for what purposes it will be used, and for what duration—in simple, readable language.

Illustration:

Imagine a user signing up for a health monitoring application within the EU. The application not only needs to get their consent to handle personal health information, but it also needs to report back to the user when that information is passed to third parties like insurance providers. The user must actively opt-in and can revoke permission at will.

This model truly gives users genuine agency, making consent an active process, and not a passive agreement.

United States – Fragmented but Changing Standards

The United States, in contrast to the EU, does not utilize a single national law such as GDPR. Rather, it functions through sectoral privacy legislation, such as the Children’s Online Privacy Protection Act (COPPA), Health Insurance Portability and Accountability Act (HIPAA), and state-focused legislation such as the California Consumer Privacy Act (CCPA).

In the context of contracts, American courts have exercised caution regarding how digital consent is being obtained. The case of Specht v. Netscape Communications Corp[18]. set a precedent that where users are not reasonably made aware of the terms they are consenting to, the contract cannot be deemed to be binding. The court specifically underscored the need for “reasonable notice” and “manifestation of assent,” particularly in online contexts.

Example:

If a website hides its terms in a link at the bottom of the page and the user clicks “Download,” U.S. courts will hold such consent as invalid. The user needs to be provided with clear visibility and active control.

United Kingdom – Post-Brexit GDPR Standards

After Brexit, the UK maintained the GDPR as UK-GDPR, upholding robust protection of digital consent. Furthermore, the UK’s Information Commissioner’s Office (ICO) has provided detailed guidance on cookie consent and other digital engagement, emphasizing that consent must be:

One of the practical solutions implemented in the UK is the layering of privacy notices, where most important terms are elaborated within a straightforward pop-up, with references to longer legal text. This strikes the right balance between legal obligations and user experience—a still missing element in legal requirements in India.

Canada – Focus on Meaningful Consent

Canada’s Personal Information Protection and Electronic Documents Act (PIPEDA) strongly focuses on “meaningful consent,” a term that mandates that people should be aware of what they are agreeing to.

The Office of the Privacy Commissioner (OPC) describes guidelines including:

India’s Lessons – Bridging the Consent Gap

Section 14 of the Indian Contract Act, 1872, in India states free consent as freedom from coercion, undue influence, fraud, misrepresentation, and mistake. But such a definition, remaining largely unchanged since the colonial era, does not provide for how consent is provided online, especially where power imbalances are stark and well-informed choices are few.

India’s Information Technology Act, 2000, gives lawfulness to electronic records and e-contracts in Sections 10A and 11, but is silent on the qualitative aspect of consent. Unlike the GDPR, no plain language disclosures are mandated under Indian law, nor are opt-in models guaranteed.

The Digital Personal Data Protection Act, 2023 is a welcome first step, declaring that consent has to be “free, specific, informed, and unambiguous,” but judicial clarity and enforcement mechanisms remain to be seen.

Example – Indian Scenario:

Suppose the user is signing up for a fintech app that is asking for access to contacts, location, and messages. It is impossible to use the app without sharing this data. The user is not specifically informed in clear terms about how the information will be used. Is that “free” consent or coerced under a spurious pretence of delivery of service?

Ethical Considerations and Cultural Aspects

One such overlooked aspect is that digital consent also has an ethical necessity, particularly in multicultural nations like India, where digital proficiency is uneven. Consent cannot be considered a technical tickbox but rather as a moral agreement, particularly while handling susceptible classes.

In India, rural populations, senior citizens, and non-English-speaking populations will “assent” to terms that they cannot read or comprehend. As is pointed out by researcher Usha Ramanathan, the “consent-based model assumes a level playing field of awareness which simply does not apply in India[20].”

Other countries like Australia have established Digital Literacy Frameworks so that citizens are not merely agreeing but understand what they are agreeing to.

Building Towards a Balanced Indian Model

To address these issues, India can consider the following reforms:

The digital age has transformed the meaning of consent. Although the Indian Contract Act and the IT laws provide a legal framework, they are not sufficient to deal with the challenge of the current digital economy. International standards—ranging from the GDPR to PIPEDA—provide some useful lessons on how to operationalize digital consent as informed, particularized, equitable, and enforceable. India is at an important crossroads. If it can synthesize its traditions with contemporary international practices, it can ensure that the doctrine of “free consent” does not get sacrificed in the process of a click.

Challenges and Reforms Needed in the Indian Context

In the rapidly changing digital landscape of the present time, India has a tall order to fulfill, which is to synchronize its legal framework with the life of online communication, transactions, and agreements. Although the classic legal theories like free consent under the Indian Contract Act, 1872, form a good anchor, the intricacies of digital interactions require further introspection and reform. The disconnect between what the law now safeguards and what users online are actually subject to is increasing—and this mismatch touches both justice and innovation.

The Digital Dilemma: Is Clicking “I Agree” Really Consent?

User agreements in the digital age tend to be click-wrap or browse-wrap contracts. With a few taps or a click, users provide their “consent” to something they might never have read, comprehended, or even seen. But is such interaction really free consent as contemplated under Section 14 of the Indian Contract Act?

Consent, under the Act, is “free” only if not induced by coercion, undue influence, fraud, misrepresentation, or mistake. But online, consent is undermined not so much by outright coercion, but by information overload, lack of options, technical parlance, and platform monopoly. Consider the example of a student seeking admission to an online course. The platform requires access to personal information, browsing history, and contact details—without providing an alternative. The student clicks “Agree,” not because it represents compliance of their will, but because they have no choice. This is compliance, rather than consent.

Lack of Awareness and Digital Literacy

One of the deepest challenges is a lack of digital literacy. While smartphone penetration in India has exploded, with more than 600 million users in 2024, a large percentage of the population continues to struggle with deciphering privacy policies or contractual obligations offered online.

Consent in rural pockets is often a formality rather than a decision. An Internet Freedom Foundation study in 2022 concluded that fewer than 12% of Indian internet users actually read terms and conditions prior to agreeing to them[21]. Technical complexity, language barriers, and the specter of losing access to an app or service make users click on “agree” without even realizing what they are agreeing to.

The Unilateral Nature of Online Contracts

Online contracts are usually drafted by service providers and offered on a “take it or leave it” basis. Standard form contracts have no room for negotiation and normally have unreasonable terms buried within layers of legalistic jargon. This makes them intrinsically unilateral.

For instance, an e-purse app contains a provision stating that it is not liable for unauthorized transactions caused by hacking or technical failure. In case the consumer unknowingly agrees to the same, he or she can lose money without legal recourse—although Indian courts have always protected consumers from unfair trade practices.

In LIC v. Consumer Education and Research Centre, it was held by the Supreme Court that contracts of adhesion (adhesive or standard form contracts) are to be interpreted in favour of the weaker party[22]. In the case of digital contracts, there is a strong argument for the courts to delve into the process of how consent was collected, instead of simply whether consent was collected.

Gaps in Enforcement through the Legal System

Even though India has just enacted the Digital Personal Data Protection Act, 2023, there is still huge concern in the enforcement domain. The Act requires consent to be “free, specific, informed, and unambiguous” similar to GDPR. Yet the underlying setup for tracking, redressal, and awareness remains to be developed.

In addition, courts and regulators still struggle with digital consent against the backdrop of traditional doctrines. There is little jurisprudence on how the Indian courts approach click-wrap agreements as expressions of free consent. This creates ambiguity for consumers and digital service providers.

Case for Reforms: Towards a More Equitable Consent Framework

To bridge the lacuna between outdated doctrines and new realities, India needs to approach reforms at multiple levels:

Statutes like the IT Act, 2000, should be revised so that digital consent is better defined. Some parameters must be set for what constitutes valid online consent, like visibility of terms, comprehensibility, and availability of alternative to blanket agreements.

Websites and applications should be legally required to present key terms in plain language, summarised locally. One such example can be found in the EU’s consent layer architecture in GDPR, where simplified summaries are presented before the full legal text[23].

Consent should not be a deal. Users should be capable of being able to read, change, or withdraw consent as easily as they give it. This would make consent a continuous and intentional process.

The courts would be best positioned to understand the digital landscape and interpret consent in technology, disparities of power, and ethical balance. The courts need to be equipped with consistent guidelines to determine if digital consent was actually “free.”

Large digital platforms should be made responsible to submit to regular audits on consent practices. Deviation should trigger regulatory measures, penalties, or ban—while ensuring that consent is not used to extract data or fuel monopolistic power.

The Role of Ethics and Corporate Responsibility

Apart from legal change, there’s also a plea for more moral business. Dark patterns—designing tricks that make users agree to things unknowingly—are used by all corporations. The “Agree” button, for example, is made prominent, while the “Manage settings” option is hidden in grey text. This tricks people, suppressing the entire idea of free will.

Ethics must be tackled as design for business. Companies must be incentivized—by tax breaks or certification—to adopt transparent, straightforward consent models.

A Way Forward: Consent as Empowerment

Consent is not merely a technical imperative. It has to become an empowerment device. All users, from Mumbai to a far-flung village in Odisha, need to have the power to say yes or no.

Consider a consent design where a user can:

The notion of free consent—hitherto restricted to bodily assent put down on paper—now needs to widen its scope. In the age of the digital, clicking “I agree” should be equivalent to the understanding and voluntariness that an inscribed signature enjoyed. India’s legal framework, though based on solid foundational values, must be reformed with all speed to actualize that ideal. An approach to consent that is people-oriented—led by ethics, literacy, and equalized regulation—will be able to guarantee that the freedom to agree is coupled with the freedom to disagree.

Conclusion and Recommendations

The concept of free consent—once imagined in a physical, face-to-face world—has undergone an evolutionary shift in the digital age. What was once required to sign, shake hands, and put ink on paper is now simply a tap, swipe, or click. While technology made transactions faster and more convenient, it also brought with it uncertainty, imbalance, and erosion of legal protection that had once been taken for granted. This shift has subjected Indian traditional contract law to unprecedented pressure, predominantly the principles under Sections 13 and 14 of the Indian Contract Act, 1872.

As it appears from the above discussion, the traditional definition of consent in the form of physical contact cannot effectively protect digital consumers, particularly where click-wrap or browse-wrap dominates. Whereas such online tools may appear legally valid at face value, the real truth is that the consent is fabricated, manipulated, or presumed rather than given. Thus, individuals are placed in a legal no man’s land—bound by agreements that they never read, negotiated, or even in the majority of situations, saw.

The drive is to reconceptualize Indian contract law in a manner that it adopts the lexicon of the digital era—where data privacy, algorithmic push, and user interface directly affect the voluntariness of consent.

Key Takeaways

Customers are habitually subjected to information asymmetry, jargon, and design choices that push them toward consent. Genuine consent requires the capacity and opportunity to comprehend and consent—not just a click.

Whereas traditional law identifies coercion, deception, and undue influence in the physical world, the digital world introduces next-generation influences—dark patterns, platform exclusion, and deceptive design. These modern pressures must be recognized as legal impediments to uncoerced consent.

The Indian Contract Act remains the foundation but is dated in how it addresses consent in the online context. The Digital Personal Data Protection Act, 2023, is one step better, but there are implementation gaps. There is no robust argument on digital consent and e-contracts in Indian law.

Legal safeguards are worthless if consumers do not know they are at risk. Digital literacy campaigns, education programs, and social media literacy can bridge this gap.

Tech companies must be incentivized, through rewards and penalties, to employ ethical UX design that allows for well-informed and voluntary decision-making. Consent prompts should be empowerment tools, not pitfalls.

Recommendations

  1. Legislative Safeguarding of E-Consent Principles

India needs to enact special legislation or revise the Indian Contract Act with express provisions of what constitutes valid digital consent. For instance, consent should:

  1. Mandatory Design Guidelines for Consent

The state, either the regulators like MeitY or the Competition Commission of India, must put out a design guidebook on digital consent. It must make mandatory:

  1. Establishment of Consent Review Boards

Independent Consent Review Boards may be established to review digital platforms. In the same way that advertising councils track misleading ads, these boards might review whether and how tech platforms are being provided with fair and informed consent.

  1. Legal Aid for Digital Contracts

The majority of the consumers are oblivious to their online rights. State legal service offices need to expand their remit to include e-contract complaints, providing free counseling or phone helplines to the exploited consumers of virtual contracts.

  1. Judicial Guidelines for E-Contract Disputes

Supreme Court or Law Commission of India can issue interpretative guidelines or a white paper as to the manner in which the courts would scrutinize digital consent under Sections 13 and 14 of the Indian Contract Act. Some of these guidelines could be:

Final Reflection

Consent is not just a procedural nicety—it is a moral basis of autonomy. In the world of the web, where attention is fleeting, interfaces are complex, and power is held by large platforms, it is up to the law to protect this autonomy. Indian jurisprudence is faced with a choice of options today: either expand its scope of traditional maxims to encompass new-age virtual reality or face obsolescence. For a digitally vibrant, heterogeneous country like India, the future is not repudiation of the traditional laws but to recreate them in a form so that they continue to provide the canons of transparency, justice, and freedom of choice in a whole new context.

The free-consent doctrine must evolve, or it is a myth in a time rapidly redefining what it means to “agree.”

[1] Aleecia M. McDonald and Lorrie Faith Cranor, The Cost of Reading Privacy Policies, I/S: A Journal of Law and Policy for the Information Society, Vol. 4:3 (2008)

[2] Indian Contract Act, 1872, § 13.

[3] Ibid., § 14.

[4] 1917 ILR 41 Mad 33

[5] Chikkam Ammiraju v. Chikkam Seshamma, (1917) ILR 41 Mad 33.

[6] AIR 1924 SC 60

[7] Raghunath Prasad v. Sarju Prasad, AIR 1924 SC 60.

[8] (1995) 5 SCC 482

[9] LIC of India v. Consumer Education and Research Centre, (1995) 5 SCC 482.

[10] Avtar Singh, Law of Contract and Specific Relief, 13th ed., Eastern Book Company (2022), at 213.

[11] Information Technology Act, 2000, § 10-A

[12] Specht v. Netscape Communications Corp., 306 F.3d 17 (2nd Cir. 2002).

[13] Trimex International FZE Ltd. v. Vedanta Aluminium Ltd., (2010) 3 SCC 1.

[14] Sreenivasulu N.S., “Revisiting Consent in the Era of E-Contracts,” (2019) 2 SCC J 23.

[15] LIC of India v. Consumer Education and Research Centre, (1995) 5 SCC 482.

[16] Regulation (EU) 2016/679 of the European Parliament and of the Council (GDPR), art. 7.

[17] Regulation (EU) 2016/679 (General Data Protection Regulation), art. 4(11).

[18] Specht v. Netscape Communications Corp., 306 F.3d 17 (2nd Cir. 2002).

[19] Office of the Privacy Commissioner of Canada, “Guidelines for Meaningful Consent”, 2019.

[20] Usha Ramanathan, “A Word of Caution on Consent”, The Hindu, July 2018.

[21] Internet Freedom Foundation, “User Data & Digital Consent in India”, Report (2022), available at: https://internetfreedom.in/

[22] LIC v. Consumer Education and Research Centre, (1995) 5 SCC 482.

[23] European Union, “GDPR Recitals and Articles on Consent,” available at: https://gdpr.eu/


Spread the love
Exit mobile version