Commercial practice - E-Commerce

Question 1

What will a business which sells goods over the internet be subject to? (1)

Answer 1

E-Commerce Regulations, implemented by the Electronic Commerce (EC Directive) Regulations 2022.

Question 2

What do the Regulations refer to? (1)

Answer 2

Information society service.

Question 3

What does the information society service term include but not limited to? (1)

Answer 3

Selling and advertising of goods and services online.

Question 4

What was the purpose of EC directive? (1)

Answer 4

Achieve clarification and harmonisation of the rules concerning on-line businesses and to improve consumer confidence.

Question 5

What businesses do the Regulations apply to? (1)

Answer 5

Service providers - any person providing an information society service.

Question 6

What does Reg 6(1) require? (1)

Answer 6

An online seller to make its name, address and email address available to the buyer.

Question 7

What happens if Reg 6(1) is not complied with? (1)

Answer 7

Reg 13 allows the recipient to enforce the Regulations against the seller and claim damages for breach of statutory duty.

Question 8

What does Reg 9(3) require? (1)

Answer 8

An online seller to make t&cs applicable to the contract available to the buyer in a way he can store and reproduce them.

Question 9

What happens if Reg 9(3) is not complied with? (1)

Answer 9

Reg 14 provides that the buyer may seek a court order compelling the seller to comply.

Question 10

What does Reg 11(1)(a) require? (1)

Answer 10

An online seller to acknowledge receipt of a buyer’s order.

Question 11

What happens if Reg 11(1)(a) is not complied with? (1)

Answer 11

Reg 13 allows recipient to enforce the regulations against the seller, claim damages for breach of statutory duty and does not amount to an acceptance of a contractual offer.

Question 12

What does Reg 11(1)(b) require? (1)

Answer 12

Any online ordering system to allow a buyer to correct any errors before finally placing an order.

Question 13

What happens if Reg 11(1)(b) is not complied with? (1)

Answer 13

Reg 15 provides the recipient may rescind the contract.

Question 14

What are terms and conditions of use? (3)

Answer 14

Cover a contract under which the recipient may access and view the content of a website and the usual analysis is that the service provider gives consideration by allowing the recipient to view the website content, and the recipient gives consideration by abiding by the provider’s terms and conditions of use.

Question 15

What are terms and conditions of sale? (1)

Answer 15

Cover the contract under which a provider agrees to provide and a recipient to pay for goods and / or services.

Question 16

What must be applied with care when commerce is transacted over the web? (1)

Answer 16

Common law principles.

Question 17

What must an offer over the web contain? (2)

Answer 17

All the information intended to form part of the contract and any terms and conditions which are intended to be incorporated by reference to the person to whom the offer is being made must have reasonable opportunity to read them before the contract is made.

Question 18

What would be sufficient to incorporate terms and conditions into an online contract? (1)

Answer 18

If a buyer clicks on a button to confirm acceptance of the seller’s terms and conditions even if the buyer has not read them.

Question 19

What is the rule about acceptance? (1)

Answer 19

Acceptance must be communicated to the offeror.

Question 20

When does acceptance not need to be communicated? (1)

Answer 20

Conduct may constitute acceptance e.g. when a supplier does not communicate acceptance but delivers the goods ordered and requests payment.