Page 122 - DCAP306_DCAP511_E-COMMERCE_AND_E-BUSINESS

Unit 9: Legal Issues - I

The infringement of trademarks using domain names is on two grounds:
1. Confusion
2. Dilution

In U.S., the Lanhan Act, 1984 defines trademark as “any word, name, symbol, device, or combination
used or intended to be used to indicate the source of the goods.“ Liability for infringement, when the
infringer uses a mark, which might be confused with the trademark of another, whether deliberately or
through negligence, when used in the context of same goods and services, is strictly on the infringer.
9.3.2 Copyright and the Internet
In the printed world, copyright was developed to protect the economic interests of the creative writers.
The copyright law protects expression of an idea and not the idea itself. It also protects the originality of
artists and innovators. In recent times, the subject matter of copyright has been expanded further to
protect the writers.

In U.K., Copyright, Designs and Patent Act, 1988, allows the protection of the
following subject matter:

1. Original literary, musical, dramatic, and artistic works
2. Typographical arrangement of published editions of literary, musical, or
dramatic works
3. Sound recordings
4. Broadcast

5. Cable programs
They have been classified into two groups as ‘media works’ and ‘author works’. The multidimensional
capabilities of Web sites allow all types of words to be published on the Internet which means that
copies can be distributed to users or customers. The problem is that, unlike a paper copy, this copy can
be further duplicated and distributed by the recipients. If the material is in the public domain, then
there is no difficulty. However, the copyright law applies to the downloaded matter, which is very
different to the problem in the context of the bulletin boards. Someone might post many works onto
them by giving the impression that they can be freely downloaded, but in the first instance they were
illegally pasted on the bulletin boards. The service provider who runs the bulletin board will be drawn
into the dispute, though the provider may or may not have been aware of this. The Web site creator or
the Internet service provider might be liable for the secondary infringement due to its role in infringing
copies.
It has been recognized in a number of disputes that a Web site is likely to enjoy copyright protection.
However, a Web site operator will have to make sure that he does not violate someone else’s copyright
while creating the site. Web sites and distribution of material over the Internet attracts copyright
provisions which are related to copying and issuing copies to the public.
9.3.3 Jurisdiction Issues
The Internet allows anyone to set up a Web site anywhere in the world. Its location can be used to
decide the jurisdiction of disputes. The Web site might accept orders from visitors to the site as part of a
shopping mall or the Internet store.

Consider an online retailing bookstore site, which sells books. A court of law may
consider the location of the Web site to determine which law would be applicable.
E-Commerce on the Internet will grow if the parties doing business know what
rules will govern their activities.

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