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In today’s world, when the world is doing majority of transactions online, website of a company plays a very crucial role in promoting business. It gives the visitors first impression of a company. Therefore, it is imperative to keep the website updated, optimized, properly designed, easily understandable and user friendly. This becomes more important when all the business of a company is conducted online. But, while keeping the website updated and properly designed, do you even think about applicability of legal rules on your website?
Most often we do not think about the legal rules related to the website. In order to keep the website updated, user friendly and properly designed, we forget to check the applicability of legal provisions.There are certain legal rules applicable on the website of a company registered under the Companies Act, 2013. These rule must be followed in order to make your company’s website legally complied.
The legal provision related to the website of a company registered under the Companies Act, 2013 is as follows:
“Every company which has a website for conducting online business or otherwise, shall disclose/ publish its name, address of its registered office, the Corporate Identity Number, Telephone number, fax number if any, email and the name of the person who may be contacted in case of any queries or grievances on the landing/home page of the said website”
What details should be published on the website?
If you have a company registered under the Companies Act, 2013 and a website to showcase your business, publish the following information on the home page of your website immediately.
- Name of the company
- Address of registered office of the company
- Corporate Identification Number
- Telephone Number
- Fax number, if any
- Email id of the company
- Name of the contact person
Publishing the information on website may affect the design of the website. How to keep the design intact?
Publishing the aforementioned information on your website may impact the design of the website. In that case, we suggest you to include the information in the footer of the website in a very small font (large enough to be read). The rules say about publication of information, but, they do not say anything about way of displaying the information. Thus, you may keep it very small. This will keep the designed intact while making your website legally complied.
Is there any penalty for not complying with the legal rules related to a website?
Yes, if any default is made in complying with the legal rules related to the website, the company and every defaulting officer of the company shall be liable to a penalty of one thousand rupees (Rs. 1000) for every day during which the default continues but not exceeding one lakh rupees (Rs. 1,00,000).
What legal rules are applicable on website owned by a Proprietorship and Partnership firm?
There are no legal regulations related to the website owned by a Proprietorship and Partnership firm. However, as a good practice, we would suggest you to mention name of the firm, office address, email id, contact number and name of the contact person on the landing page of your website. This will also help in creating trust among your customers. Also, the content on the website should be legal and proper.
Any legal provisions related to the content on the website owned by a company registered under the Companies Act, 2013?
No legal provisions are related to the content on the website of a private limited company registered under the Companies Act, 2013. However, in case of public limited and listed companies, legal provisions related to publication of certain events and information is mandatory on the website.
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