Professional Documents
Culture Documents
EMEA 1e
Europe, Middle East, Africa First Edition
Chapter 10
Regulation in E-Business
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E-Business, Europe, Middle East, Africa First Edition
Learning Objectives (cont’d.)
• How ethics issues arise for companies conducting
electronic commerce
• Ways to resolve conflicts between companies’
desire to collect and use their customers’ data and
the privacy rights of those customers
• What taxes are levied on electronic commerce
activities
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E-Business, Europe, Middle East, Africa First Edition
A typical forum selection clause
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E-Business, Europe, Middle East, Africa First Edition
Jurisdiction on the Internet (cont’d.)
• Jurisdiction in international commerce
– Governed by treaties between countries
– U.S. determines personal jurisdiction for foreigners
• Same manner as in domestic long-arm statutes
– Non-U.S. corporations and individuals
• Can be sued in U.S. courts
• Foreign courts can enforce U.S. court system
decisions against U.S. corporations, individuals
– Judicial comity
• Voluntarily enforce other countries’ laws out of sense
of comity (friendly civility)
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E-Business, Europe, Middle East, Africa First Edition
© Cengage Learning 2013
Contracting process in an online sale
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E-Business, Europe, Middle East, Africa First Edition
Contracting and Contract Enforcement
in Electronic Commerce (cont’d.)
• Creating written contracts on the Web
– Contracts valid even if not in writing or signed
• May not be enforceable in certain categories
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E-Business, Europe, Middle East, Africa First Edition
Contracting and Contract Enforcement
in Electronic Commerce (cont’d.)
• Creating written contracts on the Web (cont’d.)
– Forming contracts using electronic commerce
• Pen or paper not required (fortunately)
– Writing exists:
• When contract terms reduced to tangible form
– Signature
• Any symbol executed or adopted for the purpose of
authenticating a writing
© United Nations
WIPO Domain Name Dispute Resolution information page
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E-Business, Europe, Middle East, Africa First Edition
New Types of Crime Online
• Difficulty applying pre-Internet era laws
– Example: online stalking
– Few states have passed Internet laws
• Cyberbullying
– Using technology to harass, humiliate, threaten, or
embarrass another
– Laws lag behind technology
• Sexting
– Sending sexually explicit messages or photos using a
mobile phone
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E-Business, Europe, Middle East, Africa First Edition
New Types of Crime Online (cont’d.)
• Infiltrating computer systems with intent of stealing
data, creating operational disruptions
– Smaller companies: easier targets
– Criminal extortion example:
• Myron Tereshchuk threatened MicroPatent with
confidential client information disclosure
• National Retail Federation partnered with eBay and
FBI
– Combat cases of items stolen from physical stores
and then sold online
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E-Business, Europe, Middle East, Africa First Edition
Communications with Children
(cont’d.)
• Most countries
– People under 18 or 21: not considered adults
• Specific laws for children’s privacy rights
– Define a child as person below the age of 12 or 13
• 1998: Children’s Online Protection Act (COPA)
– Unconstitutional: restricted lawful material access
• Children’s Online Privacy Protection Act of 1998
– Successful: COPPA does not regulate content
• 2001: Children’s Internet Protection Act (CIPA)
– Federally funded schools install filtering software
© 2011 IRS
Internal Revenue Service home page