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Legal and regulatory issues

The most important legal documents for B2B e-commerce to consider are:

  • E-commerce Directive -  establishes the country of origin principle to ensure the free movement of Information Society services within the EU and provides the basis for the legal validity of electronic contracts. It also defines transparency obligations for service operators, such as information requirements on the identity of the service provider, information requirements on prices and information requirements on the terms and conditions of the contract.

  • E -signatures Directive - creates a harmonised framework for the use and the legal validity of e-signatures.

  • Brussels Regulation - gives the option for the parties to agree upon the competent court for B2B cross border disputes.

  • Rome Convention - stipulates free choice of law for B2B cross border transactions.


EU - PRIVACY AND E-COMMUNICATIONS DIRECTIVE
EU directive on Privacy and Electronic Communications is due to take effect. The EU directive on Privacy and Electronic Communications will require marketers in member states to seek the consent of consumers before sending direct marketing e-mail in most cases.


EU - Commission consultation on legal problems for e-business enterprises
The European Commission has launched an eight-week Internet consultation on legal barriers that enterprises still encounter when using electronic commerce and other electronic business applications. Such problems could arise, for example, from divergent national legal provisions for electronic invoicing or from a different legal treatment of online and offline business. The Commission would be interested to learn more about remaining practical reasons for not doing business electronically. This consultation is open to all enterprises until 7 November 2003. The results of this consultation will be presented and further discussed at a conference in March/April 2004 in Brussels.


EU - EU directive imposes VAT for foreign dot-coms
European companies have always added the tax to services and products they sell, but foreign companies had, until now, been exempt, leading to an advantage for non-European firms that European dot-coms lobbied the EU to have removed.


IT - Soon a self-regulation code on the internet
The Code of Self-regulation for the protection and the defence of minors from the dangers of the Internet will be presented soon. This was announced by the Communication Minister, Maurizio Gasparri, during a meeting organised by 'Telefono Azzuro' on "The child subject of rights and protagonist of choices". Thus, after the self regulation code for the television, also the text of a code for the Internet will be completed. "The work group composed by providers and association. We have been working for six months", the Minister said. However it will be very difficult to obtain the respect of the new code, as "controlling the net is, for its intrinsic characteristics, more difficult than controlling the television", Gasparri added, saying he was impressed by what the head of the Authority, Stefano Rodotà, said about a World Constitution for the Internet. "Of course what Rodotà said is a desirable but not definitive goal - Gasparri noted - what could happen is only one country does not accept it?"


E-ADVERTISING STANDARD
The AdsML Consortium is promoting a global standard for exchange of digital information for all types of advertising. The objective it to shorten deadlines and time to market, save time and money, improve communication, reduce errors, enhance business relationships and create new business opportunities.


SCIENTISTS AGAINST NEW EU PATENT LAW
Last week, 30 authoritative scientists and software innovators from all over Europe signed a petition against the proposed new EU Directive on Patent Law. In their letter to members of the European Parliament they argue that allowing for patents on computer programs will seriously harm innovation in information technology and endanger the future of the European Union.

Literally they write: "Acceptance of patentability of algorithms, of principles of software, of information processing methods or of data structures is scandalous from the view point of ethics, economically unjustified and harmful, would impact adversely scientific and technical innovation, and puts democracy at danger."

The petition arrives just in time to influence the vote in the Parliamentary Committee on Legal Affairs and the Internal Market (JURI), on 28 April. Previous votes in the parliamentary committee on Industry, External Trade, Research and Energy (ITRE) and the committee on Culture, Youth, Education, Media and Sport (CULT) showed a majority against the proposals from the European Commission. A previous petition for the public at large, organised by the Eurolinux Alliance, drew 140.000 signatures against patents on computer programs. Public consultation by the European Commission itself showed 90 percent of the answers against the proposal.

In spite of all that, a majority in the JURI committee seems to be in favour of the proposed new Directive, pushed hard by its rapporteur Arlene McCarthy. Members of the European Parliament are organising a hearing for owners of small and medium-size companies on 8 May, while Eurolinux and the German-based lobby group FFII are organising a very interesting conference, starting on 7 May with a keynote by Lawrence Lessig, followed by a dialogue with Brian Kahin.

Scientists petition (in Spanish, English and French, scroll to the bottom of the page!) Page also contains excellent multi-lingual references to the opinions of the different parliamentary committees
Eurolinux petition
Text of the proposed new directive (20.02.2003 - in English)
Parliamentary hearing and conference


Open meeting on e-business standards
  The European committee for standardisation (CEN)  and the information society standardisation system (ISSS)  will hold an open meeting on e-business standards on 28 April in Brussels.
At the meeting, a report and a roadmap on the key priorities for standardisation in the e-business field for the period 2003 to 2005 will be presented. The report has been prepared by a focus group, coordinated by CEN/ISSS and supported by the European Commission's Enterprise DG within the framework of eEurope and standardisation support activities.
Data Source Provider : CEN/ISSS
Contact Person : For further information, please visit:
http://www.cenorm.be/isss


Telework: First EU framework agreement for Telework
Representatives from the European Trade Union Confederation (ETUC), the Union of Industrial and Employers' Confederations of Europe (UNICE), the European Association of Craft, Small and Medium-Sized Enterprises (UEAPME) and the European Centre of Enterprises with Public Participation (CEEP) signed on 16 July 2002 an agreement on telework. This agreement aims at establishing basic conditions for the approximately 4.5 million employees currently teleworking in the European Union
The novelty of the agreement is that for the first time an EU framework agreement signed by ETUC, UNICE/UEAPME and CEEP will be implemented by their members, rather than by European legislation. The telework agreement is the first agreement to be implemented through the voluntary route foreseen in article 139 of the EU Treaty and negotiations were opened following on an official consultation of the social partners by the European Commission on the modernisation of employment relations.
The agreement includes a definition for telework and aims at establishing common basic conditions for teleworkers on a European level. It highlights key areas requiring adaptation or specific attention when working away from the employer’s premises, such as data protection, privacy, health and safety, work organisation, training, etc. The telework agreement also

  • stresses that Europe must encourage the development of telework in such a way that flexibility and security go together and that the quality of jobs is enhanced, if it wants to make the most of the information society,

  • acknowledges that telework is a way of organising work which can correspond to companies’ and workers’ needs,

  • covers different forms of telework but is limited to regular telework in the context of an employment contract or relationship,

  • is based on the recognition that teleworkers benefit from the same protection as employees working at the employers premises,

In terms of procedures, it

  • contains a commitment of the members ETUC, UNICE/UEAPME and CEEP to implement the agreement in accordance with the practices specific to management and labour in the Member States ,

  • leaves the choice of the tools and procedures of implementation to the members of the signatory parties in accordance with national practices,

  • includes a procedure for reporting on the actions taken to implement the agreement,

  • foresees a possibility to review the agreement after five years if one of the signatory parties so requests,

  • invites member organisations in candidate countries to also implement the agreement.

The full text of the agreement

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