MUMBAI: Following incidents of food safety violations at dark stores operated by quick commerce platforms, brands are renegotiating and tightening their terms of contract with them to ensure that such instances are kept under check.
“Clauses related to storage, handling and hygiene are being renegotiated, especially in the context of dark stores and last-mile delivery…many are also keeping legal options open particularly where negligent handling could trigger consumer claims or regulatory scrutiny,” Chandan Goswami, partner at law firm AT & Partners told TOI.
At least half a dozen brands including Marico, ITC, Godrej Consumer Products and Dabur declined to comment. Queries sent to Zepto, Swiggy and Zomato-owned Blinkit did not elicit any responses. Earlier this month, the Maharashtra Food & Drug Administration department had suspended food business licences of Zepto’s Dharavi dark store and another managed by Blinkit in Pune’s Balewadi area over food safety violations and regulatory non-compliance.
The licences have been reinstated following inspection by authorities and adherence to compliance by the platforms. Brands are now negotiating representations and warranties (as part of the contract), asserting compliance with FSSAI norms and accurate food handling procedures . They are also incorporating robust indemnity clauses to shield themselves from losses or reputational harm arising from platform lapses besides seeking audit rights to get access to dark stores and fulfilment centres for verification, said Dheeraj Nair, partner at JSA Advocates & Solicitors.
“Quick commerce operators can no longer be treated as mere facilitators; they are increasingly viewed as co-custodians of regulated goods. Brands, in response, are revising contracts to force accountability through precise compliance standards and legal safeguards,” said Nair.
To be sure, the FSSAI e-commerce guidance and advisories require formal written agreements between brand owners and platforms affirming compliance with FSSAI regulations, legal experts said.