Internet business law covers legal issues related to conducting business online, including cybersquatting, copyright infringement, and online contract execution. Any business operating online is subject to commercial law, and victims of cybersquatting can sue under the Anti-Cybersquatting Consumer Protection Act. Copyright infringement can occur when content is used without permission, and online contracts are often enforced through electronic signatures.
Internet business law is the body of law that relates to the legal issues of doing business online. Some of the problems include cybersquatting, copyright issues involving building and maintaining a website, and business contracts that are negotiated and executed using the Internet. Businesses need security to do business on the web safely, and internet business law often provides a legal recourse if this is not the case. Any business that does some or all of its work online is subject to commercial law, not just e-commerce sites. These businesses include insurance companies, healthcare providers, and law firms.
Cybersquatting occurs when an individual purchases a domain name with no intention of using it. The aim is to resell the domain name for profit, often to the entrepreneur or private individual who wants it because it refers to his business or his name. Cybersquatters violate Internet business law, and victims can often sue or arbitrate under the Anti-Cybersquatting Consumer Protection Act (ACPA) in the United States and similar laws in other countries. A successful plaintiff can often get the domain name transferred and monetary damages paid. The plaintiff often has to prove that the defendant sought to become associated with a trademark by purchasing the domain name and sitting on it with the hope of generating a profit by selling it to a trademark owner.
Copyright law and Internet commerce law overlap when webmasters and others post content on the website. Publishing on the web is often a normal activity for website owners and can involve publishing works created by others. When the works are used without permission, the business owner can be held liable for copyright infringement. For example, Internet commerce law protects a photographer’s work from copying and embedding as part of web copy on someone else’s website. Some works don’t require permission, such as works in the public domain or those considered fair use for news and commentary purposes.
Commercial contracts are often initiated and executed online on a daily basis and many of them are subject to Internet commercial law. One of the main reasons is due to the electronic signatures used to finalize the contract online. The Electronic Signatures in Global and National Commerce Act passed in the United States is an example of a law that enforces electronically signed contracts and makes them binding. Some examples include click-through agreements, where the consumer or web visitor signs the agreement by clicking the “I agree” button or similar before making a purchase or viewing an agreement.
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