1. Chapter 19 Cyberlaw and E-Commerce

2. Cyberlaw  Cyberlaw is the area of the law which concerns computers and computer related crimes. Merges many legal fields including criminal law, tort law, intellectual property law and contract law and puts them into context of computers. Merges many legal fields including criminal law, tort law, intellectual property law and contract law and puts them into context of computers.

3. Approaches to the creation of Cyberlaws The Cybertrespass Approach  The cybertrespass approach adds statutes to the traditional criminal code.  Cybertresspass is any illegal activity already in the criminal code that is committed using a computer.  Under this approach states do not define each individual cybercrime.

4. Approaches to the creation of Cyberlaws Rewriting the Code  The rewriting of the criminal code is the second approach.  Since criminal statutes must be so specific some states prefer to write a new statute for each cybercrime that can possibly be committed.

5. Cybercrime  Cybercrime is any criminal activity associated with computers.  Can you think of any examples of cybercrime?

6. The 7 Cybercrimes  Cyberspoofing – falsely adopts the identity of another computer user or creates a false identity on a website in order to commit fraud.  Example: phishing is when creating a phony website that simulates a real bank or credit card company then sends emails to lure people into giving them personal information.  This also occurs on ebay where sellers make it seem as if they have goods for sale but truly do not.

7. The 7 Cybercrimes  Cyberpiracy – using a computer to steal computer data stored in a digital form.  Example : downloading software programs and transmitting them to others without permission  Digital Millennium Copyright Act (DMCA) prohibits the duplication of copyrighted computer programs that bypass copyright protection systems.  2nd offence is up to 10 years in jail

8. The 7 Cybercrimes  Cyberblackmail – using information unlawfully obtained by a computer to pressure a victim into the payoff.  Example : Someone befriends a person in chat rooms to learn damaging information.

9. The 7 Cybercrimes  Identity Theft – using the computer to steal financial, employment, educational, medical and personal data.  Criminals try to obtain personal data for financial reasons

10. The 7 Cybercrimes  Cyberterrorism – someone operating a computer disrupts the national infrastructure.  Air traffic control, national defense

11. The 7 Cybercrimes  Cybervandalism – disrupting, damaging or destroying a computer network

12. The 7 Cybercrimes  Cybergerm Welfare – transmitting computer viruses to people to destroy their computer system or files.  Firewalls and software can block many viruses

13. Cybertorts  Cybertorts are committed against one person to another. It is invasion, theft, misuse or deletion of data stored in a computer to commit a tort.  Cyberdefamation  Cyberinvasion of privacy

14. Cybertorts  Cyberdefamation communication of false information meant to damage a persons reputation. Can include a company.  Communications Decency Act (CDA) – protects internet services providers from being held liable for any defamation preformed on or by users through their services.

15. Cybertorts  Cyberinvasion of privacy – intrusion into the private matters of an individual through the use of a computer.  Fair Credit Reporting Act credit bureaus must tell people about their files, correct any information and repair any incidents where someone was misled by false reports.  The Right to Financial Privacy Act – an institution can not open a personal file to a government official without the consent of the customer unless it is a court order.  The Electronic Communications Privacy Act restricts unauthorized access to email and instant messaging.

16. Chapter 19 Internet Transactions

17. E-Commerce Laws E-commerce is the process of conducting commerce (business) online. Purchases online, ATM withdrawals, online banking are all forms of e-commerce. E-commerce is the process of conducting commerce (business) online. Purchases online, ATM withdrawals, online banking are all forms of e-commerce. –The advent of these new approaches to business has added the need for jurisdictional issues, taxation issues, authentication problems, and intellectual property rights.

18. Who has jurisdiction? Jurisdiction - Doing businesses over the internet leads to what state has jurisdiction over the sale transaction should the buyer not reside in the same state as the seller. Jurisdiction - Doing businesses over the internet leads to what state has jurisdiction over the sale transaction should the buyer not reside in the same state as the seller. –Just because a website can be accessed in another state does not give that state jurisdiction. –When a website allows a buyer to purchase something on their site, a state may gain jurisdiction. Amazon for example, gives the buyer’s state jurisdiction although the seller is in another state.

19. Tax Issues What state collects sales tax? Tax issues arise out of jurisdiction issues. Tax issues arise out of jurisdiction issues. –Sellers who do not have an office or store within the state cannot be taxed by that state. –A buyer may be taxed at the buyer’s location, such as sales tax. –Internet Tax Freedom Act – governs internet sale transactions

20. Authentication Digital Signatures and E-Sign Act It has become a problem to determine if the buyer and the seller are who they say they are. It has become a problem to determine if the buyer and the seller are who they say they are. –E-sign Act – any cybercontract is considered as legal as the paper contract if the parties have agreed to use digital signatures. –Digital signature has an encoded message that appears at the end of a contract created online. Confidential password, special card, equipment that can read a persons fingerprints or retina. Confidential password, special card, equipment that can read a persons fingerprints or retina.

21. Cyberlaw and Intellectual Property If the a business invents the following they are protected under cyberprotection laws. If the a business invents the following they are protected under cyberprotection laws. –Products distributed digitally –New computer equipment, such as hardware devices –Products that work with computers, such as software

22. Intellectual Property Cyberprotection Laws Copyrights – as soon as the work is produced in a tangible means of expression it is considered copyrighted. Copyrights – as soon as the work is produced in a tangible means of expression it is considered copyrighted. –Computer Software Copyright Act of 1980 – added computer software to the existing copyright laws. –No Electronic Theft Act 1997 (NET) – illegal publication of another’s work for profit by posting it on the internet. –Digital Millennium Copyright Act ( DMCA) – outlaws pirated copies of software by disabling the internal protection system of the software.

23. Trademarks and Domain Names Cyberprotection Laws Trademarks are distinguishing marks of a company. Trademarks are distinguishing marks of a company. Domain name is the internet address of the business. Domain name is the internet address of the business. –You can not use the name of a famous person, trademark or a name used by another user. –Cybersquatters register a persons name or business with no intent to use it but will sell the name to the entity. Anti Cybersquatting Consumer Protection Act Anti Cybersquatting Consumer Protection Act

24. Patents Cyberprotection Laws To be patentable, a product must… –Consist of a non-obvious, new and useful feature –Must be specific –Can be reproduced by experts in the field –Computer software programs are patentable, if something is created similar the programmer must invent it a different way.

25. Cybercontract Law The buying and selling of computers and computer programs. The buying and selling of computers and computer programs. –Uniform Computer Information Transactions Act (UCITA) governs contracts for software agreements, licenses and maintenance contracts. parties can use it to resolve anything not covered in their contract. parties can use it to resolve anything not covered in their contract.