The Central Shopper Safety Authority (CCPA) has imposed a penalty of Rs 10 lakh on Rapido for deceptive commercials, unfair commerce practices, an unfair contract and using darkish patterns in the way in which riders had been prompted to pay extra earlier than their rides had been confirmed.
The order was introduced by the Ministry of Shopper Affairs, Meals and Public Distribution on Tuesday. The CCPA is headed by Chief Commissioner Nidhi Khare, with Commissioner Anupam Mishra.
It follows a sector-wide examination of cab and bike-taxi aggregator platforms centered on pre-ride tipping and dynamic pricing.
The authority mentioned its examinations of Uber and Ola on the identical points are nonetheless ongoing.
What the app did
The CCPA’s central discovering issues the order during which issues occurred. Rapido’s algorithm first quoted a fare to the rider. The rider booked at that fare. Then, whereas the reserving was nonetheless being processed, the app prompted the rider to pay a further quantity, on the grounds that captains weren’t accepting the unique value.
Two prompts had been cited. One learn: “Increased the worth, larger the possibility of getting a experience.”
The opposite: “Captains aren’t accepting at Rs 60. Strive including +10, +20, +30.”
The authority discovered this created a misunderstanding that paying extra would enhance the rider’s probabilities of getting a experience shortly, and that the stress was utilized on the level the place the rider had already dedicated to the reserving and had restricted scope to barter.
The CCPA additionally examined Rapido’s “Set your value” characteristic, and located the design itself was doing work. Shifting the slider up produced a message in inexperienced saying there was a better likelihood of getting a experience. Shifting it down triggered a warning in purple or orange.
The slider additionally gave the rider extra room to extend the worth than to lower it. The authority held that the interface was visually steering shoppers in direction of paying a better quantity.
The 2 darkish patterns recognized
Each findings had been categorized beneath the Tips for Prevention and Regulation of Darkish Patterns, 2023, which outline 13 particular practices as unfair beneath Indian shopper regulation.
The primary is affirm shaming, which the CCPA utilized to the cost prompts. The regulator mentioned they created urgency and a concern of shedding the experience if the rider didn’t pay extra.
The second is interface interference, utilized to the colour-coded slider, on the idea that the design visually pushed riders in direction of a better fare fairly than presenting the selection neutrally.
The complete listing of 13 patterns in the 2023 guidelines additionally covers false urgency, basket sneaking, compelled motion, subscription traps, bait and change, drip pricing, disguised commercials, nagging, trick wording, SaaS billing and rogue malware.
On ideas, and why the regulator rejected Rapido’s defence
A lot of the order activates what a tip is. The CCPA famous that the fare proven to a rider on the time of reserving already takes under consideration distance, time, site visitors, tolls and the quantity payable to the captain. On that foundation it discovered no justification for then suggesting the rider pay a further quantity for a similar experience, earlier than the experience had even begun.
The authority noticed {that a} tip is ordinarily a voluntary cost, and due to this fact shouldn’t be offered as a situation for the service being supplied. It rejected the submissions Rapido made on the query of ideas.
That distinction, between a voluntary cost made after a service and a further pre-ride cost offered in a means that pressures shoppers, is the authorized core of the order, and it may have implications for different platforms operating related prompts.
How widespread is that this?
Survey proof suggests the follow just isn’t confined to 1 app. A shopper survey reported earlier discovered that round eight in ten customers of app-based taxi companies had encountered darkish patterns, with 59% reporting hidden expenses past taxes that weren’t disclosed upfront, and 84% reporting interface interference comparable to the choice to cancel a experience being hidden or arduous to search out.
The CCPA has been constructing towards this sort of enforcement for almost three years. It notified the darkish patterns tips in November 2023.
In June 2025, it issued an advisory directing all e-commerce platforms to conduct self-audits inside three months and to submit self-declarations confirming their interfaces had been freed from the 13 listed patterns.
The Division of Shopper Affairs individually issued notices to 11 e-commerce platforms, and a Joint Working Group was arrange with representatives from authorities ministries, nationwide regulation universities and voluntary shopper organisations.