In re matter of Physics Wallah Limited (CCPA Delhi)
₹5 Lakh Penalty Imposed Because Default Donation Option Violated Consumer Consent Rules; CCPA Finds Dark Patterns Because Donations Were Added Through Pre-Selected Checkboxes; Free Courses Advertisement Held Misleading Because Access Required Mandatory Personal Information; Consumer Authority Acts Against EdTech Platform Because ‘Free’ Content Was Linked to Forced Data Sharing; CCPA Holds Emotional Donation Appeals Unlawful Because They Amounted to Confirm Shaming
The Central Consumer Protection Authority (CCPA) initiated a suo motu case against PhysicsWallah Limited for alleged use of dark patterns resulting in unfair trade practices, misleading advertisements, and violation of consumer rights on its website and mobile application. The case focused on three practices: a pre-selected donation checkbox labelled “Donate for PW Foundation” during checkout, mandatory disclosure of personal information for access to advertised “free” courses, and donation-related messaging alleged to induce users to retain donations through emotional persuasion.
During its preliminary inquiry, the CCPA observed that the donation option was pre-selected by default and automatically added ₹10 to the final payable amount unless consumers actively deselected it. It also found that access to certain courses promoted as “free” was conditioned on providing personal information such as mobile numbers and email IDs. Additionally, donation-related messages highlighted social causes such as marriages, education of children, and healthcare for underserved communities.
