Professional Documents
Culture Documents
o IP Law
IPs are key business assets> eg software,
content, trademarks
o Everything else
Establishes the trading environment within
which businesses carry out their business
Real estate; employment ~ depends on the
trading environment > what does the
business do which work well within the
legal framework and what does not work
within the legal framework
Look at terms and conditions > location;
outsourcing
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III. E-COMMERCE LAW AND BUSINESS o Brokers usually charge a fee or commission for
MODELS each transaction it enables
3) Infomediary o Models
o firms which assist buyers and/or sellers to Purchase – sale of a product > right of
understand a given market ownership is transferred to buyer
o consumer data, including consumption habits, Lease – for a rental fee, the buyer receives the
can be valuable as it can be used to target right to use the product > under a “terms of use”
marketing campaigns agreement
o producer data, including their products, can be License – sale of a product that involves the
useful to consumers transfer of usage rights to the buyer (eg
software licensing)
Brand Integrated Content – created by the
manufacturer for the sole basis of product
placement > opposite of sponsored-content
approach (advertising model)
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6) Affiliate
o inherently well-suited for the web and popular Social Networking Services
o offers financial incentives (revenue percentage) - sites that enable individuals to connect to
to affiliated partner sites other individuals along a defined common
o affiliates provide purchase-point click-through interest
to the merchant > purchase opportunities are - can provide opportunities for contextual
wherever people may be surfing advertising and subscription from premium
o pay-for-performance model > if an affiliate does services
not generate sales, it represents no cost to the - eg Flickr, Friendster
merchant
o eg Barnes & Noble; Amazon 8) Subscription
o users are charged a periodic fee to subscribe to
o Models a service > incurred irrespective of actual usage
Banner Exchange – trades banner placement rates
among a network of affiliated sites o common to combine free content with premium
Pay-Per-Click – site that pays affiliates for a content
user click-through o frequently combined with advertising models
Revenue Sharing – offers a percent-of-sale
commission based on a user click-through in o Models
which the user subsequently purchases a Content Services – provide text, audio, or
product video content to users who subscribe for a fee
to gain access to the service > eg Netflix
7) Community Person-to-Person Networking Services –
o based on user loyalty > high investment in time conduit for distribution of user-submitted
and emotion information ~ individuals searching for former
o revenue based on: (a) sale of ancillary products schoolmates > eg Classmates
and services; (b) voluntary contribution; (c) Trust Services – membership associations
contextual advertising and subscription for that abide by an explicit code of conduct >
premium services members pay a subscription fee
o one of the more fertile areas of development as Internet Services Providers – offer network
seen in the rise of social networking connectivity and related services on a monthly
subscription
o Models
Open Source 9) Utility
- software is developed collaboratively by a o On-Demand Model, based on metering usage
global community of programmers who > metered services are based on actual usage
share code openly rates
- instead of licensing code for a fee, open o Pay As You Go approach
source relies on revenue generated from o eg internet service providers
related services, like systems integration,
product support, tutorials, user o Models
documentation Metered Usage – bills users based on actual
- eg Red Hat usage of a service
Metered Subscriptions – purchase of access
Open Content – openly accessible content to content in metered portions (eg no. of pages
developed collaboratively by a global viewed)
community of contributors who work voluntarily
(eg Wikipedia)
Public Broadcasting
- user-supported model
- used by non-for-profit radio and television
broadcasting extended to the web
- site is supported by voluntary donations of
users
- eg wcpe.org
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V. European Ecommerce Report (2019)
eBay
Organizations - American multinational ecommerce
o Ecommerce Europe / European Ecommerce corporation with the aim of facilitating
Association C2C and B2B sales
voice of the European digital commerce sector - Founded in 1995 by Pierre Omidyar as
has 19 national e-commerce associations AuctionWeb; renamed to eBay in 1997
represents more than 75,000 companies selling - HQ at San Jose (Silicon Valley),
goods and services online to consumers in California
Europe - Operates in 180 countries
- British consumers buy more eBay
o EuroCommerce items a month per capita than any other
principal European organization representing country
the retail and wholesale sector
members include Carrefour, Ikea, Metro, Tesco Etsy
- An e-commerce website focused on
Overview of Europe handmade and vintage items
o Europe population continues to increase > - Typically C2C
2019 at 798.4 million - Founded by Rob Kalin; from “eh si”,
o Largest population at Western Europe meaning “oh, yes”
(31.16%) - Launched in 2005
o Online shoppers are typically between the ages
18-55 (42.23%) AliExpress
- An online retail service; solely an e-
Infrastructure, Logistics, and Landscape commerce platform
o Scandinavian countries rank high in important - Founded in 2009 in China and owned
ecommerce indices: by Alibaba; made up mainly of small
Ease of Doing Business: Denmark (3) businesses in China
Logistics Performance Index: Germany (1) - Began with B2B sales, and expanded
E-government Development Index: UK (4) to B2C and C2C
- Sellers are independent; AliExpress
o Northern Europe has the highest internet does not sell products directly to
penetration among the regions (93.3%) > consumers
Iceland with highest (99%) and Ukraine with - It does not allow customers in mainland
lowest (64%) China to buy from the platform > It was
designed to sell to overseas countries
o Online shopping ranges from 88%
(Switzerland) to 22% (Ukraine) Amazon
- Operates retail and marketplace
o E-commerce turnover in 2019 is estimated at activities
EUR 621 billion (13% growth) > concentrated in
Western Europe (66%) Value of Marketplaces to SMEs
o SMEs may not have the resources to set up
o Northern Europe has highest spending per e- their own online channel and reach consumers
shopper in the digital world
Lowest in Eastern Europe o It extends SME’s geographical reach
Kosovo and Montenegro are more likely to o It increases customer reach by using
refrain from ordering online due to: (1) information on customers
preference to shop in person; (2) desire to o It achieves economies of scale and greater
see the product; (3) loyalty to shops; (4) efficiencies
force of habit o It achieves greater credibility and consumer
trust > consumers more confident in
o Leading marketplaces are Amazon, eBay, transactions from well-known marketplaces
AliExpress
Marketplaces are a way for SMEs, who
may not have the resources to set up their
own online channel, to reach consumers in
the digital world
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VI. E-Commerce Directive o Concept of Establishment involves the actual
pursuit of an economic activity through a fixed
Title and Date establishment for an indefinite period (W19)
o Directive 2000/31/EC of the European It is not the place at which the technology
Parliament and of the Council on certain legal supporting its website is located or the
aspects of information society services, in place at which its website is accessible
particular electronic commerce, in the Internal It is the place where it pursues its economic
Market (Directive on Electronic Commerce) activity
o Dated 8 June 2000 If several, it is the place where the provider
has the centre of his activities relating to a
Recitals given service
o Directive aims to ensure a high level of
Community legal integration in order to o Scope of Directive > coordinated field covers
establish a real area without internal borders for only requirements relating to online activities,
information society services (W3); to create a such as online information, online advertising,
legal framework to ensure the free movement online shopping, and online contracting (W21)
of information society services between It does not concern legal requirements
Member States (W8) relating to goods, eg, safety standards,
Information Society Services cover any labelling obligations, liability for goods,
service normally provided for remuneration, delivery requirements
at a distance, by means of electronic
equipment for the processing (including CHAPTER I: GENERAL PROVISIONS
digital compression) and storage of data,
and at the individual request of a recipient Article 1. Objective and Scope
of a service (W17)
Wide range of economic activities which Objective
take place online (W18)
Consists of selling goods online (online 1. This Directive seeks to contribute to the proper
contracting); services which are not functioning of the internal market by ensuring
remunerated by those who received them the free movement of information society
in so far as they represent an economic services between the Member States.
activity ~ eg offering online information or
commercial communications, or providing Scope
tools allowing for search, access, and
retrieval of data; providing access to a 2. This Directive approximates, to the extent
communication network or hosting necessary for the achievement of the objective
information provided by a recipient of the set out in paragraph 1, certain national
service; providing commercial provisions on information society services
communications by electronic mail (W18) relating to:
Supervised at the source of the activity and
subject to the law of the Member State in a. the internal market,
which the service provider is established b. the establishment of service providers,
(W22) c. commercial communications,
d. electronic contracts,
o Development of ecommerce within the e. the liability of intermediaries,
information society offers: (1) significant f. codes of conduct,
employment opportunities in the Community, g. out-of-court dispute settlements,
particularly in small and medium-sized h. court actions and
enterprises; (2) stimulates economic growth i. cooperation between Member States.
and investment in innovation by European
companies; and (3) enhance the 3. This Directive complements Community law
competitiveness of European industry (W2) applicable to information society services
without prejudice to the level of protection for,
o Legal uncertainty exists with regard to: (1) in particular, public health and consumer
which national rules apply to information society interests, as established by Community acts
services; (2) the extent to which Member States and national legislation implementing them in
may control services originating from another so far as this does not restrict the freedom to
Member State (W5) provide information society services.
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4. This Directive does not establish additional 6. This Directive does not affect measures taken
rules on private international law nor does it at Community or national level, in the respect of
deal with the jurisdiction of Courts. Community law, in order to promote cultural
and linguistic diversity and to ensure the
5. This Directive shall not apply to: defence of pluralism.
b. questions relating to information society For the purpose of this Directive, the following terms
services covered by Directives 95/46/EC shall bear the following meanings:
and 97/66/EC;
(a) "information society services": services
Directive 95/46/EC of the European within the meaning of Article 1(2) of Directive
Parliament and of the Council of 24 98/34/EC as amended by Directive 98/48/EC;
October 1995 on the protection of
individuals with regard to the processing REPEALED by Directive (EU) 2015/1535 of
of personal data and on the free the European Parliament and of the
movement of such data Council of 9 September 2015 laying down
a procedure for the provision of information
REPEALED by the Regulation (EU) in the field of technical regulations and of
2016/679 (General Data Protection rules on Information Society services.
Regulation) of the European Parliament
and of the Council of 27 April 2016 on the Article I, Section 1, par. b provides: (b)
protection of natural persons with regard to ‘service’ means any Information Society
the processing of personal data and on the service, that is to say, any service
free movement of such data. normally provided for remuneration, at a
distance, by electronic means and at the
Directive 97/66/EC of the European individual request of a recipient of
Parliament and of the Council of 15 services.
December 1997 concerning the
processing of personal data and the For the purposes of this definition:
protection of privacy in the
telecommunications sector. (i) ‘at a distance’ means that the service is
provided without the parties being
REPEALED by Directive 2002/58/EC of the simultaneously present;
European Parliament and of the Council of
12 July 2002 concerning the processing of (ii) ‘by electronic means’ means that the
personal data and the protection of privacy service is sent initially and received at its
in the electronic communications sector destination by means of electronic
(Directive on privacy and electronic equipment for the processing (including
communications) digital compression) and storage of data,
and entirely transmitted, conveyed and
c. questions relating to agreements or received by wire, by radio, by optical means
practices governed by cartel law; or by other electromagnetic means;
d. the following activities of information (iii) ‘at the individual request of a recipient
society services: of services’ means that the service is
provided through the transmission of data
- the activities of notaries or equivalent on individual request.
professions to the extent that they involve a
direct and specific connection with the (b) "service provider": any natural or legal person
exercise of public authority, providing an information society service;
- the representation of a client and defence (c) "established service provider": a service
of his interests before the courts, provider who effectively pursues an economic
activity using a fixed establishment for an
- gambling activities which involve wagering indefinite period. The presence and use of the
a stake with monetary value in games of technical means and technologies required to
chance, including lotteries and betting provide the service do not, in themselves,
transactions. constitute an establishment of the provider;
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(d) "recipient of the service": any natural or legal contracts, or requirements concerning the
person who, for professional ends or otherwise, liability of the service provider;
uses an information society service, in
particular for the purposes of seeking (ii) The coordinated field does not cover
information or making it accessible; requirements such as:
- requirements applicable to goods as such,
(e) "consumer": any natural person who is acting - requirements applicable to the delivery of
for purposes which are outside his or her trade, goods,
business or profession; - requirements applicable to services not
provided by electronic means.
(f) "commercial communication": any form of
communication designed to promote, directly or Article 3. Internal Market
indirectly, the goods, services or image of a
company, organisation or person pursuing a 1. Each Member State shall ensure that the
commercial, industrial or craft activity or information society services provided by a
exercising a regulated profession. service provider established on its territory
comply with the national provisions applicable
The following do not in themselves constitute in the Member State in question which fall
commercial communications: within the coordinated field.
- information allowing direct access to the
activity of the company, organisation or 2. Member States may not, for reasons falling
person, in particular a domain name or an within the coordinated field, restrict the freedom
electronic-mail address, to provide information society services from
- communications relating to the goods, another Member State.
services or image of the company,
organisation or person compiled in an 3. Paragraphs 1 and 2 shall not apply to the fields
independent manner, particularly when this referred to in the Annex.
is without financial consideration;
- copyright, neighbouring rights, rights referred
(g) "regulated profession": any profession within to in Directive 87/54/EEC(1) and Directive
the meaning of either Article 1(d) of Council 96/9/EC(2) as well as industrial property
Directive 89/48/EEC of 21 December 1988 on rights,
a general system for the recognition of higher-
education diplomas awarded on completion of - the emission of electronic money by
professional education and training of at least institutions in respect of which Member
three-years' duration or of Article 1(f) of Council States have applied one of the derogations
Directive 92/51/EEC of 18 June 1992 on a provided for in Article 8(1) of Directive
second general system for the recognition of 2000/46/EC(3),
professional education and training to
supplement Directive 89/48/EEC; - Article 44(2) of Directive 85/611/EEC,
(h) "coordinated field": requirements laid down in Any undertakings for collective
Member States' legal systems applicable to investment in transferable securities
information society service providers or (UCITS) may advertise its units in the
information society services, regardless of Member State in which they are
whether they are of a general nature or marketed. It must comply the provisions
specifically designed for them. governing advertising in that State.
- contractual obligations concerning consumer 5. Member States may, in the case of urgency,
contacts, derogate from the conditions stipulated in
paragraph 4(b). Where this is the case, the
- formal validity of contracts creating or measures shall be notified in the shortest
transferring rights in real estate where such possible time to the Commission and to the
contracts are subject to mandatory formal Member State referred to in paragraph 1,
requirements of the law of the Member State indicating the reasons for which the Member
where the real estate is situated, State considers that there is urgency.
Article 9. Treatment of contracts 2. Member States shall ensure that, except when
otherwise agreed by parties who are not
1. Member States shall ensure that their legal consumers, the service provider indicates any
system allows contracts to be concluded by relevant codes of conduct to which he
electronic means. Member States shall in subscribes and information on how those codes
particular ensure that the legal requirements can be consulted electronically.
applicable to the contractual process neither
create obstacles for the use of electronic 3. Contract terms and general conditions
contracts nor result in such contracts being provided to the recipient must be made
deprived of legal effectiveness and validity on available in a way that allows him to store
account of their having been made by electronic and reproduce them.
means.
4. Paragraphs 1 and 2 shall not apply to contracts
2. Member States may lay down that paragraph 1 concluded exclusively by exchange of
shall not apply to all or certain contracts falling electronic mail or by equivalent individual
into one of the following categories: communications.
a. contracts that create or transfer rights in Article 11. Placing of the order
real estate, except for rental rights;
b. contracts requiring by law the involvement 1. Member States shall ensure, except when
of courts, public authorities or otherwise agreed by parties who are not
professions exercising public authority; consumers, that in cases where the recipient of
c. contracts of suretyship granted and on the service places his order through
collateral securities furnished by persons technological means, the following principles
acting for purposes outside their trade, apply:
business or profession;
d. contracts governed by family law or by the - the service provider has to acknowledge the
law of succession. receipt of the recipient's order without undue
delay and by electronic means,
3. Member States shall indicate to the - the order and the acknowledgement of
Commission the categories referred to in receipt are deemed to be received when the
paragraph 2 to which they do not apply parties to whom they are addressed are
paragraph 1. Member States shall submit to the able to access them.
Commission every five years a report on the
application of paragraph 2 explaining the 2. Member States shall ensure that, except when
reasons why they consider it necessary to otherwise agreed by parties who are not
maintain the category referred to in paragraph consumers, the service provider makes
2(b) to which they do not apply paragraph 1. available to the recipient of the service
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appropriate, effective and accessible technical efficient the information's onward
means allowing him to identify and correct transmission to other recipients of the service
input errors, prior to the placing of the upon their request, on condition that:
order.
a. the provider does not modify the
3. Paragraph 1, first indent, and paragraph 2 shall information;
not apply to contracts concluded exclusively by b. the provider complies with conditions on
exchange of electronic mail or by equivalent access to the information;
individual communications. c. the provider complies with rules regarding
the updating of the information, specified in
Section 4: Liability of intermediary service a manner widely recognised and used by
providers industry;
d. the provider does not interfere with the
Article 12. “Mere Conduit” lawful use of technology, widely recognised
and used by industry, to obtain data on the
[Transmission, Provision of Access to use of the information; and
Communication Network, Storage] e. the provider acts expeditiously to remove or
to disable access to the information it has
1. Where an information society service is stored upon obtaining actual knowledge of
provided that consists of the transmission in a the fact that the information at the initial
communication network of information provided source of the transmission has been
by a recipient of the service, or the provision removed from the network, or access to it
of access to a communication network, has been disabled, or that a court or an
Member States shall ensure that the service administrative authority has ordered such
provider is not liable for the information removal or disablement.
transmitted, on condition that the provider:
2. This Article shall not affect the possibility for a
a. does not initiate the transmission; court or administrative authority, in accordance
b. does not select the receiver of the with Member States' legal systems, of requiring
transmission; and the service provider to terminate or prevent an
c. does not select or modify the information infringement.
contained in the transmission.
Article 14. Hosting
2. The acts of transmission and of provision of
access referred to in paragraph 1 include the [Storage of information from and for recipient]
automatic, intermediate and transient storage
of the information transmitted in so far as this 1. Where an information society service is
takes place for the sole purpose of carrying out provided that consists of the storage of
the transmission in the communication network, information provided by a recipient of the
and provided that the information is not stored service, Member States shall ensure that the
for any period longer than is reasonably service provider is not liable for the information
necessary for the transmission. stored at the request of a recipient of the
service, on condition that:
3. This Article shall not affect the possibility for a
court or administrative authority, in accordance a. the provider does not have actual
with Member States' legal systems, of requiring knowledge of illegal activity or
the service provider to terminate or prevent an information and, as regards claims for
infringement. damages, is not aware of facts or
circumstances from which the illegal
Article 13. “Caching” activity or information is apparent; or
b. the provider, upon obtaining such
[Storage for onward transmission] knowledge or awareness, acts
expeditiously to remove or to disable
1. Where an information society service is access to the information.
provided that consists of the transmission in a
communication network of information provided 2. Paragraph 1 shall not apply when the recipient
by a recipient of the service, Member States of the service is acting under the authority or the
shall ensure that the service provider is not control of the provider.
liable for the automatic, intermediate and
temporary storage of that information,
performed for the sole purpose of making more
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3. This Article shall not affect the possibility for a e. the drawing up of codes of conduct
court or administrative authority, in accordance regarding the protection of minors and
with Member States' legal systems, of requiring human dignity.
the service provider to terminate or prevent an
infringement, nor does it affect the possibility 2. Member States and the Commission shall
for Member States of establishing procedures encourage the involvement of associations or
governing the removal or disabling of access organisations representing consumers in the
to information. drafting and implementation of codes of
conduct affecting their interests and drawn
Article 15. No general obligation to monitor up in accordance with paragraph 1(a). Where
appropriate, to take account of their specific
1. Member States shall not impose a general needs, associations representing the visually
obligation on providers, when providing the impaired and disabled should be consulted.
services covered by Articles 12, 13 and 14, to
monitor the information which they transmit Article 17. Out-of-court dispute settlement
or store, nor a general obligation actively to
seek facts or circumstances indicating 1. Member States shall ensure that, in the event
illegal activity. of disagreement between an information
society service provider and the recipient of the
2. Member States may establish obligations for service, their legislation does not hamper the
information society service providers promptly use of out-of-court schemes, available
to inform the competent public authorities under national law, for dispute settlement,
of alleged illegal activities undertaken or including appropriate electronic means.
information provided by recipients of their
service or obligations to communicate to the 2. Member States shall encourage bodies
competent authorities, at their request, responsible for the out-of-court settlement of, in
information enabling the identification of particular, consumer disputes to operate in a
recipients of their service with whom they have way which provides adequate procedural
storage agreements. guarantees for the parties concerned.
d. the communication to the Member States “11. Directive 2000/31/EC of the European
and the Commission, by trade, professional Parliament and of the Council of 8 June 2000
and consumer associations or on certain legal aspects on information society
organisations, of their assessment of the services, in particular electronic commerce, in
application of their codes of conduct the internal market (Directive on electronic
and their impact upon practices, habits or commerce) (OJ L 178, 17.7.2000, p. 1).”
customs relating to electronic commerce;
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REPEALED by Directive 98/27/EC of the CHAPTER IV: FINAL PROVISIONS
European Parliament and of the Council of
19 May 1998 on injunctions for the Article 21. Re-examination
protection of consumers' interests.
1. Before 17 July 2003, and thereafter every two
Article 19. Cooperation years, the Commission shall submit to the
European Parliament, the Council and the
1. Member States shall have adequate means of Economic and Social Committee a report on
supervision and investigation necessary to the application of this Directive,
implement this Directive effectively and shall accompanied, where necessary, by proposals
ensure that service providers supply them with for adapting it to legal, technical and economic
the requisite information. developments in the field of information society
services, in particular with respect to crime
2. Member States shall cooperate with other prevention, the protection of minors, consumer
Member States; they shall, to that end, appoint protection and to the proper functioning of the
one or several contact points, whose details internal market.
they shall communicate to the other Member
States and to the Commission. 2. In examining the need for an adaptation of this
Directive, the report shall in particular analyse
3. Member States shall, as quickly as possible, the need for proposals concerning the liability
and in conformity with national law, provide the of providers of hyperlinks and location tool
assistance and information requested by services, "notice and take down"
other Member States or by the Commission, procedures and the attribution of liability
including by appropriate electronic means. following the taking down of content. The
report shall also analyse the need for additional
4. Member States shall establish contact points conditions for the exemption from liability,
which shall be accessible at least by electronic provided for in Articles 12 and 13, in the light of
means and from which recipients and service technical developments, and the possibility of
providers may: applying the internal market principles to
unsolicited commercial communications by
a. obtain general information on contractual electronic mail.
rights and obligations as well as on the
complaint and redress mechanisms Article 22. Transposition
available in the event of disputes, including
practical aspects involved in the use of 1. Member States shall bring into force the laws,
such mechanisms; regulations and administrative provisions
b. obtain the details of authorities, necessary to comply with this Directive before
associations or organisations from which 17 January 2002. They shall forthwith inform
they may obtain further information or the Commission thereof.
practical assistance.
2. When Member States adopt the measures
5. Member States shall encourage the referred to in paragraph 1, these shall contain a
communication to the Commission of any reference to this Directive or shall be
significant administrative or judicial accompanied by such reference at the time of
decisions taken in their territory regarding their official publication. The methods of making
disputes relating to information society services such reference shall be laid down by Member
and practices, usages and customs relating to States.
electronic commerce. The Commission shall
communicate these decisions to the other Article 23. Entry into force
Member States.
This Directive shall enter into force on the day
Article 20. Sanctions of its publication in the Official Journal of the
European Communities.
Member States shall determine the sanctions
applicable to infringements of national provisions Article 24. Addressees
adopted pursuant to this Directive and shall take all
measures necessary to ensure that they are This Directive is addressed to the Member
enforced. The sanctions they provide for shall be States.
effective, proportionate and dissuasive.
Done at Luxemburg, 8 June 2000.
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VII. A Comprehensive Approach to Stimulating
Cross-Border E-Commerce for Europe’s - This geo-blocking initiative covers
Citizens and Businesses services included within the scope of the
Services Directive and the e-Commerce
From the European Commission to the Directive, such as:
European Parliament, European Council, and o online and offline retail sales of
European Economic and Social Committee and goods
Committee of the Regions o electronically supplied services
Dated 25 May 2016 o giving access to non-audio-visual
digital content (music, e-books,
It is a proposal of e-commerce measures to software, games)
achieve the rapid removal of barriers to cross- o tourism services
border online activity in Europe. These o entertainment
measures are: o business services
b. Equal and stronger enforcement of rules o How the proposed (i) Directive on certain
across the EU aspects concerning contracts for the supply of
digital content, (ii) Directive on certain aspects
c. Facilitate payment methods concerning contracts for the online and other
- Trust also crucially depends on payment distance sales of goods, and (iii) Regulation on
methods cross-border portability of online content
- Traders will not be forced to accept any services, will support e-commerce:
specific means of payment BUT they
should also not refuse payments for (i) It will reduce costs resulting from
reasons related to nationality, place of differences in contract law > It ensures that
residence, or place of establishment key consumer contract law rules on faulty
- THUS traders are not allowed to reject goods and digital content will be the same
payment instruments (eg credit or debit in all Member States.
cards) issued in another country if they
accept the same type of payment (ii) It creates legal certainty for businesses > It
instruments to customers in their country will enable businesses to supply digital
content or sell good online based on the
d. Common contract rules same set of consumer contract rules.
- To address uncertainty about contractual
rights which lead to lack of confidence (iii) It helps consumers to gain from online
from consumers and of trust in shopping cross-border shopping in the EU >
online across borders Consumers will have a fully harmonised
- To provide a fully harmonised clear set of clear set of rights and will therefore be more
mandatory rights throughout the EU confident in buying goods cross-border.
How:
a. Reduce VAT burden
- To extend the current Mini One Stop
Shop to tangible goods sold online >
enables businesses to make a single
declaration and VAT payment in their
own Member State
- Current rule is “place of supply” where
VAT on telecommunications,
broadcasting, and electronic services is
levied where the customer is located.
E-Commerce Transactions (Laura Edgar)
Part 1: E-Commerce Law and Business Models
M. Alcala | S19
20 / 20
VIII. Digital Contracts for Europe – Unleashing
the Potential of e-Commerce
Context
o Differences in contract law between Member
States are among the barriers to cross-border
e-commerce
o THUS, the Digital Single Market Strategy
announced proposals for simple and effective
cross-border contract rules for consumers and
businesses > by harmonising contract rules for
the supply of digital content and the online sales
of goods
Features
o They address real-life problems as identified by
stakeholders.
o They take into account the lessons learnt from
previous efforts to approximate contract laws.
They adopted a problem-focused, targeted
approach; they focus on a full harmonisation of
mandatory consumer rights. As Directives, they
leave Member States the freedom to adapt the
implementation to their national law.
o They strike an appropriate balance between a
high level of consumer protection at the EU
level and significantly increased opportunities
for businesses through full harmonisation.