Paytm to sue Snapdeal's Unicommerce for data misuse

Paytm’s e-commerce platform Paytm Mall plans to take legal action against Unicommerce eSolutions, the technology solutions arm of online retailer Snapdeal, for data misuse, according to VCCircle.

Paytm Mall’s chief operating officer Amit Sinha confirmed the news to the online portal.

The news is the contradiction of the claim of Unicommerce, which had recently said Paytm had withdrawn the case as it failed “to provide any proof” to support the allegations of data misuse.

In April last year Paytm had filed a lawsuit against Unicommerce in the Delhi High Court, accusing it of accessing confidential business data on its commerce platform via the sellers on the platform. Unicommerce is used by many sellers on Paytm’s platform to manage orders and inventory across multiple marketplaces and carts.

On Unicommerce’s claim of the withdrawal of the case, Sinha clarified that the case was filed by the undivided Paytm, which is no longer in the business of e-commerce and that is why it has withdrawn the case. Paytm Mall, therefore, will follow up on the matter, he said.

Last year, One97 Communications, the parent company of Paytm, its e-commerce and digital payments businesses under Paytm ECommerce and Paytm Payments Bank Ltd, respectively.

“The thing is that we are not integrated with Unicommerce and it is being projected that the Unicommerce platform allows Paytm as an option for merchants, which is not true,” he said. “So, we will take legal recourse to ensure this doesn’t happen.”