IMPLEMENTATION OF E-CONTRACTS OVER

TRADITIONAL CONTRACTS- Road to Entropy or

Need of the Hour?
Author: Niyati Sawarn
Co-author: Sumyya
INTRODUCTION
In this essay,
• The authors will attempt to provide insights into E contracts, including the various
types of E contracts and their utility in business and commercial transactions.
• The paradigm change from traditional to E contracts, as well as the need for such a
move, will be highlighted.
• The authors will also attempt to explain the Indian legislative system and its success
rate with E contracts.
• Finally, the authors will analyse the flaws and gaps in its applicability, \with a focus
on India and submit their suggestions on how to fill these gaps.
E-contracts
• The term "electronic contract" refers to a contract that is made through e-commerce, with the
parties rarely meeting in person.

• Types of e-contracts:

1. Form-filling Agreement

2. Click-wrap Agreement

3. Shrink Wrap Agreement

4. Browse Wrap Agreement

 E-contracts v. Traditional Contracts
E-contracts Traditional Contracts
Available Templates Drafted by a person
Ease of use A great deal of time is required
No chance of error Likelihood of creating mistakes
Low-transaction cost High-transaction cost
N0-requirement to meet Physical Meeting is required
 Validity and legality of E-contracts
• In India, contracts are primarily governed under the Indian Contract Act of 1872. & IT Act,2000.

• E-CONTRACTING

 Electronic records & electronic signatures are legally recognised under the IT Act,2000.

 An electronic contract is enforceable in the same way as a physical contract as long as the ICA's
contract formation requirements are met.

• E-SIGNATURES: - The IT Act recognises the following two types of electronic signatures:

(a) electronic signatures that combine an individual's Aadhaar id with an electronic KYC method &

(b) digital signatures that are generated by an asymmetric crypto-system and # function.
Exceptions
 Negotiable Instruments (other than a cheque).
 Trust deeds.
 Powers of attorney.
 Wills (including any other testamentary disposition).
Contracts for the sale or conveyance of immovable property or any interest thereof
Loopholes

• Capacity to Contract
• E-consent

• Identity

• Jurisdiction

• Governing Law

• Consumer Prospects
Conclusion and suggestions
We, would like to provide following suggestions as to strengthen the positions of the E-contracts
in India

• Regulation of the legislative intent & regulations

• Government Intervention

• Training of Judicial Officers

• Terms and conditions

THANK YOU!