Mumbai court stays sale of GOQii products on Flipkart

Mumbai court stays sale of GOQii products on Flipkart
Photo Credit: Photo Credit: VCCircle
28 May, 2019

A civil court in Mumbai has barred sellers on Flipkart, Retailnet India Pvt Ltd and Tech Connect Retail Pvt Ltd from selling fitness band GOQii.

The interim order comes after GOQii sent legal notices to the sellers on May 18 for violating a sale agreement for its fitness bands by selling the products at a discount.

Flipkart India Pvt Ltd and Walmart India Pvt Ltd have also been made party to the submission made by GOQii Technologies.

GOQii has also reached out to the Department for Promotion of Industrial and Internal Trade (DPIIT) and the Competition Commission of India, arguing that the discounts by Walmart-owned Flipkart were a violation of the foreign direct investment policy.

The notice by GOQii also mentions that the discounts given by Flipkart are in violation of the Competition Act, 2002.

TechCircle has reviewed a copy of the interim order, which also states that the defendants will be issued a show-cause notice as to why the order should not be made permanent.

California-headquartered GOQii was founded in 2014 by Vishal Gondal. It has a presence in Mumbai and Shenzhen in China. The company raised $30 million led by Japanese conglomerate Mitsui & Co in November 2018.

The fitness device maker has also grown its platform to include over-the-top video content on health and fitness. It has also added a health e-commerce store, scheduling health check-ups and a health locker.