2. Fall 99 Mngt 3862/99 James Clark Legal & Tax aspects of E- Commerce Legal Issues in E-comm Development of your web site Content of the Web Site Copyright Discussion Questions Tax & E-commerce Enforceability of On-line Contracts

3. Fall 99 Mngt 3862/99 James Clark What are the benefits and negative impacts of sharing Files? Does this apply to all kinds of files or just to MP# files Should levies be put on recording medium

4. Fall 99 Mngt 3862/99 James Clark Legal Issues in E-comm Development of your web site Content of the web site Enforceability of on-line contracts

5. Fall 99 Mngt 3862/99 James Clark Development of your web site Who’s site is it anyways? Developer’s or the organizations’ Get a written agreement What are you contracting for Timeliness for completion What maintenance will be provided What warranties are being provided by the developer Will developer host the web site?

6. Fall 99 Mngt 3862/99 James Clark Web site Specification Agreement Web site Design Agreement Web site Maintenance and Operation Agreement General guidance notes

7. Fall 99 Mngt 3862/99 James Clark Who is able to make changes to the site? Does developer have to be given permission for changes to be made?

8. Fall 99 Mngt 3862/99 James Clark Content of the Web Site Copyright Trademarks Taxation

9. Fall 99 Mngt 3862/99 James Clark

10. Fall 99 Mngt 3862/99 James Clark Copyright Quiz If it doesn't have a copyright notice, it's not copyrighted. If I don't charge for it, it's not a violation. If it's posted to Usenet it's in the public domain.

11. Fall 99 Mngt 3862/99 James Clark Copyright Quiz My posting was just fair use! If you don't defend your copyright you lose it. If I make up my own stories, but base them on another work, my new work belongs to me.

12. Fall 99 Mngt 3862/99 James Clark Copyright Quiz They can't get me, defendants in court have powerful rights. Oh, so copyright violation isn't a crime or anything? It doesn't hurt anybody -- in fact it's free advertising. They e-mailed me a copy, so I can post it. So I can't ever reproduce anything?

13. Fall 99 Mngt 3862/99 James Clark Lester B. Thurow The idea that people should be paid to be creative is a point of view that stems from the Judeo- Christian and Muslim belief in a God who created humankind in His image. It has no analogue in Hindu, Buddhist, or Confucian societies. There are real differences in beliefs about what should be freely available in the public domain and what should be for sale in the private marketplace. Lester Thurow, HBR 9-10/97

14. Fall 99 Mngt 3862/99 James Clark Copyright Law Enable author/creator of original or artistic work to commercially exploit: Build a reputational reward Extract monetary reward

15. Fall 99 Mngt 3862/99 James Clark Copyright Issues Private vs Social Benefits Innocent vs Willful Violation Global Environments Digital worlds – Web Culture

16. Fall 99 Mngt 3862/99 James Clark Copyright Basics Protects “original works” of all sorts Idea & facts cannot be copyrighted, only original way it is expressed Copyright can be dedicated to public domain Copyright holder holds exclusive rights to: Copy, distribute, sell, license, transfer of any kind Owning digital copy vs owning rights

17. Fall 99 Mngt 3862/99 James Clark Copyright Canada/U.S. – Most Other Countries Resides with author/company at the moment of fixation life + 70 (author)/95 (corporation) Copyright is implied ( C, 1999 James Clark) not required but important in Marketspace. Necessary for full recovery in case of infringement Registration – not required necessary before beginning an infringement action

18. Fall 99 Mngt 3862/99 James Clark Copyright Rights Exceptions Implied license Fair use “De Minimus” copying Public Domain Granted license Work for hire Canada vs U.S.

19. Fall 99 Mngt 3862/99 James Clark Copyright conclusion Beware putting up critical or proprietary material Know the copyright status of material on your Web site ( civil law not criminal law) When in doubt ask the owners permission Free, pay refusal, replace or delete

20. Fall 99 Mngt 3862/99 James Clark Discussion Questions I  What is different about copyright law in the realm of electronic commerce?  In browsing the web, you find a site that you know will be of great value to your customers. Is it lawful for you to put a "hot link" to that site inside your website, and promote that to your customers?

21. Fall 99 Mngt 3862/99 James Clark Discussion Questions II  You find a site that could be valuable to your customers. You create a frame on your website which links to this information & pulls it into your website so that you may create a context around it especially for your customers. Is this legal under copyright law? How would you proceed in this situation? What are some steps that you should take?  Your professor likes to "spice up" her lectures by inserting a wide variety of cartoons. Dilbert is among her favorites. Is this considered "fair use?" Is it "right?"

22. Fall 99 Mngt 3862/99 James Clark Discussion Questions III  An employee creates a short story about how your company works. It’s so flattering you’d like to broadcast it to your top five customers. How should you proceed?  Your company has created a process for analyzing marketing problems-a step-by-step approach-which produces unique, step function productivity gains wherever you try it. An employee has suggested posting this process on the web, as a way of creating interest in your firm, & attracting new customers for your services. You know this service is very valuable. How would you proceed?  In scanning the web, you find a site that has information which you know will be of great value to your customers. Is it ok by law for you to put a "hot link" to that site inside your website, and promote that to your customers?

23. Fall 99 Mngt 3862/99 James Clark Tax & E-commerce Jingle If you drive a car I’ll tax the street If you try to sit, I’ll tax the seat If you get to cold, I’ll tax the heat If you take a walk, I’ll tax your feet George Harrison “ the Tax Man”

24. Fall 99 Mngt 3862/99 James Clark Tax & E-commerce Digital commerce taxation challenges Intangibility Distance Insensitivity Uncertain destination Transaction anonymity

25. Fall 99 Mngt 3862/99 James Clark Canadian view of Taxation & Tarriffs WTO members agreed to refrain from applying customs duties on the electronic products & services delivered electronically until 1999

26. Fall 99 Mngt 3862/99 James Clark Enforceability of On-line Contracts. Media-neutrality of statutes Evidence rules for electronic records Recognition of electronic signatures Liability Corporate and competition laws

27. Fall 99 Mngt 3862/99 James Clark A PROFESSOR'S LECTURES FOR AN ON-LINE LAW SCHOOL BECOME AN ISSUE AT HARVARD

28. Fall 99 Mngt 3862/99 James Clark http://www2.smeal.psu.edu/cour ses/mktg597d.rangaswamy/ Life long learning