25-1 Chapter 17 E-Commerce and Digital Law. Internet Collection of millions of computers that provide a network of electronic connections World Wide.

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25-1

Chapter 17E-Commerce and Digital Law

Internet

Collection of millions of computers that provide a network of electronic connections

World Wide Web Millions of computers supporting HTTP Web sites and pages are stored on servers operated

by Internet service providers Pages are viewed through web browsers Facilitates online commercial activities

17-2Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Mail Contracts

Completed using e-mail Enforceable as long as they meet the requirements

necessary to form a traditional contract Must meet the requirements of the Statute of Frauds

17-3Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Mail Contracts

CAN-SPAM Act Restricts unsolicited commercial advertising

(spam) e-mail to e-mail accounts Prohibits falsified headers Prohibits deceptive subject lines Requires spammers to label sexually oriented e-

mail as such

17-4Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Case 17.1: E-Mail Spam

Case Facebook, Inc. v. Porembski Web 2011 U.S. Dist. Lexis 9668 (2011) United States District Court for the Northern District of

California

Issue Did the defendants violate the CAN-SPAM Act?

17-5Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Mail Contracts

Internet Service Providers Companies providing access to Internet to

individuals and businesses Communications Decency Act: A federal statute

that provides that Internet service providers are not liable for the content transmitted over their networks by e-mail users and websites

17-6Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Case 17.2: Web Contract

Case Hubbert v. Dell Corporation 835 N.E.2d 113 (2005) Appellate Court of Illinois

Issue Were the Terms and Conditions of Sale adequately

communicated to the plaintiffs?

17-7Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Commerce and Web Contracts

Electronic Signatures in Global and National Commerce Act (E-SIGN Act) Recognizes electronic signatures Give them the same force and effect as pen-

inscribed signature on paper Allows for verification of digital signatures

17-8Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Commerce and Web Contracts

Counteroffers against an electronic agent Electronic agent: Any computer system that has

been established by a seller to accept orders Counteroffers are not effective against these

electronic agents

17-9Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Licensing

Uniform Computer Information Transactions Act (UCITA): A model state law that creates contract law for the licensing of information technology rights Governs creation, performance, and enforcement

of computer information transactions

17-10Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Licensing

License: A contract that transfers limited rights in intellectual property and informational rights

Licensor: The owner of intellectual property or informational rights who transfers rights in the property or information to the licensee

Licensee: The party who is granted limited rights in or access to intellectual property or informational rights owned by the licensor

17-11Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Licensing

Exclusive License: A license that grants the licensee exclusive rights to use informational rights for a specified duration

Electronic license: A contract whereby the owner of software or a digital application grants limited rights to the owner of a computer or digital device to use the software or digital application for a limited period and under specified conditions

17-12Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

E-Licensing

Licensing Agreement: A detailed and comprehensive written agreement between a licensor and a licensee that sets forth the express terms of their agreement

17-13Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Privacy in Cyberspace

Electronic Communications Privacy Act: Makes it a crime to intercept electronic communication at any point Exceptions:

The party or entity providing the electronic communication service

Government and law enforcement entities that are investigating suspected illegal activity

17-14Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Domain Names

Domain name: A unique name that identifies an individual’s or a company’s website

May be registered by filing the appropriate form with a domain name registration service and paying the required fee

17-15Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Exhibit 17.2: Commonly Used Top-Level Extensions for Domain Names

17-16Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Domain Names

Anticybersquatting Consumer Protection Act: A federal statute that permits trademark owners and famous persons to recover domain names that use their names where the domain name has been registered by another person or business in bad faith

Requisites for claim: The name must be famous The domain name was registered in bad faith

17-17Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

Case 17.3: Domain Name

Case New York Yankees Partnership d/b/a The New

York Yankees Baseball Club Claim Number FA0609000803277 (2006) National Arbitration Forum

Issue Did Moniker violate the ICANN’s Uniform

Domain Dispute Resolution Policy?

17-18Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

17-19Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.

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