Legislation For e-commerce to operate correctly, it needs to adhere to the relevant legislation. These laws protect both the business and the consumer.

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Presentation transcript:

Legislation For e-commerce to operate correctly, it needs to adhere to the relevant legislation. These laws protect both the business and the consumer

Data Protection Act 1998 The Data Protection Act was designed to protect sensitive data held in databases. It was originally passed in 1984, with an update in 1998 which was brought into effect in 2000. Every business that stores data electronically must register and state the data that they plan to hold.

Computer Misuse Act 1990 The computer misuse act was introduced to prosecute those who hacked or attacked computer systems with viruses. Unauthorised access to computer programs or data Unauthorised access with the intent to commit further offences. Unauthorised modification of computer material This act makes a distinction between computer misuse and compute abuse.

Computer misuse – is an illegal act involving a computer Computer abuse – is a legal but unethical act involving a computer.

Consumer Credit Act 1974 Customers paying by credit card are protected by the Consumer Credit Act for payment up to £25,000. So if a payment cannot be made by the customer, the business will still receive the money from the bank and can therefore confidently send out the product purchased.

The act also guarantees a cooling off period during which customers can change their mind about a purchase-for mail order goods the periods is 14 days. This is good for the customer but disadvantageous for the company as it means that even after a purchase has been completed, there is the possibility of the customer asking for a refund.

Trading Standards The trading standards Institute works with consumers and businesses to maintain fair trading. It is part of local government and ensures that legislation is enforced. Such as: The Trade Description Act 1968 The Consumer Protection Act 1987 The Price Marking Order 2004

The Trading Standards Institute also deals with issues such as counterfeit goods, the sale of alcohol and tobacco to underage persons and the exploitation of vulnerable consumers from scams and doorstep crime. E-commerce websites must clearly describe their products, especially important because customers can only see what they are buying and not touch.

Freedom of Information Act 2000 This act came into effect on January 2005 and gives the “right to know”. The public can request information about public bodies, such as the government and legal entities.

Copyright Legislation The copyright, designs and patents act 1988 protects all works such as music, art, writing and programming code once it is tangible, in a fixed form. It is now accepted that a website becomes tangible once it is coded and saved on to storage media, especially if the source code is also printed. Websites are therefore protected by copyright.

The Electronic Commerce Regulations (2002) E-commerce specified several rights to ensure fair trading through e-commerce sites, including: The business should provide information about itself such as its name, its geographical location and a method of contact Communications cannot be sent unless the sender is easily identifiable and that any offer or promotion is unambiguous

When an order is placed, the business must acknowledge the receipt of the order by electronic means without delay. Allowing a customer to correct misplaced orders, such as typing in 100 instead of 10.

THINK! Consider the type of data that e-businesses would ask customers to divulge? Are you aware of the 8 principles of the DPA? Computer misuse e.g. unauthorised access to information Computer abuse (borderline illegal -depends on the extent)