Supreme Court of India Issues Notice in Case Against Snapdeal Over Online Drug Sales

The Supreme Court of India has officially issued notice in the Special Leave Petition filed by the State of Karnataka concerning the alleged unauthorized sale of pharmaceutical products on the online marketplace platform, Snapdeal. The matter, which involves complex questions regarding intermediary liability for the sale of Schedule H substances, was heard by a bench comprising Hon’ble Mr. Justice Ahsanuddin Amanullah and Hon’ble Mr. Justice R. Mahadevan.

Genesis of the Dispute

The legal proceedings originated following an online transaction conducted via the Snapdeal portal, where an order was placed for "Suhagra-100" tablets. The local prosecution, as initiated by a drugs inspector, alleged that the third-party seller, M/s Herbal Healthcare, operated without a valid license to distribute such pharmaceutical products. Furthermore, it was asserted that the medicine, which falls under Schedule H of the Drugs and Cosmetics Rules, 1945, was supplied to the consumer without the mandatory requirement of a doctor’s prescription.

Following this, a criminal complaint was filed before the Judicial Magistrate at Belagavi. The magistrate subsequently took cognizance of the claims, leading to the issuance of summons against Snapdeal and its directors.

The Legal Crossroads

The primary legal question centers on the extent of governance over e-commerce intermediaries when third-party vendors host and sell regulated medicinal products. The State of Karnataka, through this petition, seeks to challenge the High Court of Karnataka's earlier decision, which had implications for the prosecution of these corporate entities under the Drugs and Cosmetics Act, 1940.

The Bench, having considered arguments from both sides during the morning and afternoon sessions, decided to link this case with a pending matter, SLP (Crl.) No. 6622 of 2025, to ensure consistency in the adjudication of these issues.

Key Observations

During the course of the proceedings, the Bench emphasized the need for a comprehensive hearing on the merits:

  • "Issue notice both on the Special Leave Petition as well as on the application seeking condonation of delay ."
  • "The matter has been taken up and heard in view of the order passed... along with SLP (Crl.) No. 6622 of 2025 ."
  • "List on 10.08.2026 at 02:00 p.m. along with SLP (Crl.) No. 6622 of 2025 ."

Judicial Outlook

By opting to list this matter alongside an identical pending case, the Supreme Court has signaled a methodical approach to evaluating the regulatory scope of the Drugs and Cosmetics Act in the digital age. The upcoming hearing on August 10, 2026, is expected to provide much-needed clarity on the intersection between e-commerce platform operations and the rigorous standards required for the sale of medical drugs in India. The Court's decision to issue notice ensures that respondents must now address the specific allegations of procedural and substantive law violations before the Apex Court.