Legislation and Case Law on E-commerce, Consumer Rights, and Business Competitions in Australia

Trade in Australia 1
Legislation and Case Law on E-commerce, Consumer Rights, and Business Competitions in
Australia
Student’s Name
Institutional Affiliation

Trade in Australia 2
Table of Contents
Introduction......................................................................................................................................3
Electronic Contracts and Transactions (e-commerce).....................................................................4
Types and elements of e-commerce contracts.................................................................................5
Offer and acceptance.......................................................................................................................6
Electronic Signatures.......................................................................................................................7
Misuse of the Internet......................................................................................................................8
Consumer Rights.............................................................................................................................9
Consumer guarantees.....................................................................................................................10
Competition laws in Australia.......................................................................................................13
Conclusion.....................................................................................................................................14
References......................................................................................................................................15
Articles, Books, and Journals....................................................................................................15
Cases..........................................................................................................................................15
Legislation.................................................................................................................................16
Websites.....................................................................................................................................16

Trade in Australia 3
Introduction
The formation of a legally enforceable contract in Australia must satisfy six necessary elements:
 Offer: There must be an offer made by one party (offeror) to another (offeree);
 Acceptance: The person to whom the offer is made (offeree) has to accept the offer made
by the offeror;
 Consideration: Both parties must pay the price as proof that a promise was made;
 Intention: Mutual intention to constitute a contract must exist between both parties for it
to be legally binding;
 Terms: The terms of the contract must be clear and precise; any ambiguity is ruled
against the person who inserts the clause (contra preferentum rule);
 Capacity: Both parties must have the required capacity to enter into a contractual
agreement (McKendrick & Liu, 2015).
“The Property Law Act 1974” in Queensland states that contracts regarding the transfer
(sale) of land must be put in writing for it to be legally enforced by both parties. There are
minimum standards set by “National Employment Standards” that contracts of employment must
meet in compliance with “Section 61 of the Fair Work Act 2009”. However, e-commerce has
taken over business transactions. People no longer have to meet face to face to make contracts.
This research paper seeks to highlight the essential elements of electronically made contracts, the
legislation that governs such contracts, and the relevant case laws.
Question 1

Trade in Australia 4
Electronic Contracts and Transactions (e-commerce)
Businesses and consumers are transiting from the traditional paperwork and face to face
contract formation habits. Automated means and technology have taken over business
transactions; business owners and consumers are trying to adapt to the new means of business
transactions. ATMs, EFTPOS, and Internet Banking, replaced the falling cheque payment
method between 2002 and 2014. The use of cheques reduced by 14% in 2014; the general
decline between 2002 and 2014 was 71% (Gillies, 2016). The Australian government came up
with the “Electronic Transactions Act 1999” which provides the legal requirements that have to
be met for electronically made contracts. The law that not discriminate between contracts made
in writing and those made through electronic means. In 1999 the “Standing Committee of
Attorneys-General” met to discuss the necessary parallel legislation the “Electronic Transactions
Act 1999”:
The legislation on electronic transactions are: “
 Electronic Transactions Act 2001 for the Australian Capital Territory;
 Electronic Transactions Act 2000 for New South Wales
 Electronic Transactions (Northern Territory) Act 2000 for the Northern Territory
 Electronic Transactions (Queensland) Act 2001 for Queensland
 Electronic Transactions Act 2000 for South Australia
 Electronic Transactions Act 2000 for Tasmania
 Electronic Transactions (Victoria) Act 2000 for Victoria
 Electronic Transactions Act 2003 for Western Australia.” (ACCC, 2012)