Legal Environment
1.5.2 Legal Environment
Generally, problems and difficulties in the electronic process of traditional
Introduction to E-commerce
commerce can be dealt with by means of technology, law and economic measures. Consequently, apart from technology, corresponding laws must be worked out to guarantee e-commerce. More details and solutions shall be covered in the part of e-commerce and law.
1. Legal problems in e-commerce contracts
Legal problems in e-commerce contracts are involved in the expression of the true intention of parties concerned that will be challenged severely in e-commerce. The following shall seriously be dealt with: prescription of whether contracts and promises can be repealed; when and where the e-commerce contract takes effect; the problem that only handwritten signature on contracts and documents is valid. If the above problems are overcome timely, e-commerce will smoothly develop; otherwise it will hinder the development of e-commerce.
2. Legal protection on e-commerce transaction
Electronic contract based e-commerce has been an international trend, and the market of EDI has been increasing by 20% per year. Accordingly, US and EU have proclaimed that they will defer working procedures or refuse to trade with ones who do not adopt EDI to declare customs. Presently in America, 97% of the top 100 large-scaled enterprises have adopted EDI. And in most European countries, EDI has been the only method to do business. Therefore, if enterprises in China intend to join in the international trade and become main parts, they must make full use of the tool of electronic contract. However, electronic contract cannot be put into full play unless corresponding laws are passed as the guarantee. Otherwise, confronted with the dispute caused by electronic contract with foreign enterprises, our enterprises will feel powerless and frustrated, though our government would be glad to help but cannot. Some developed countries have started by turning to laws for protection of e-commerce. In addition, it is necessary to protect e-commerce for the sake of social development. However dispute is prone to arise because of the characteristics of electronic contract, for instance, electronic contracts will become valid even without the traditional handwritten signature and written forms. To resolve these disputes correctly, justly and appropriately, there must be laws to go by so as to maintain social justice and speedup economic development. The sound development of electronic transaction will further speedup the development of social civilization. And the legal protection of e-contract can be carried out by legislation and justice.
3. Problems in the electronicization of banks
Banks, the final executor of electronic payment and settlement, link the seller and buyer, and e-payment service offered by e-bank plays important role in e-commerce, and will directly affect the development of e-commerce. As the develop of e-commerce, it is an inevitable trend for bank to become electronic.
1 Fundamentals of E-commerce
Similar to any burgeoning matter, electronic banks has met the requirement of e-commerce and displayed vitality on the one hand, and displayed the hysteretic nature of laws.
Loss caused by technology shall be remedied by law for the following reasons: firstly, many parties are involved in the system of e-money capital allocation, if any failure occurs, the legal relations will be very complex. Secondly, since capitals in the system of e-money capital allocation of e-banks are large in amount; great loss will arise with any mistake. However, the lack of electronic capital transfer law in China brings about the following problems. For example, if an accident occurs, it is difficult to determine the responsibility of the parties involved so that the transaction capital cannot smoothly be allocated. Apart from what has been mentioned above, the lack of universal management of e-money and security anthentification become the hidden trouble of e-money capital allocation.