Page 131 - DCAP306_DCAP511_E-COMMERCE_AND_E-BUSINESS

E-Commerce and E-Business

The interchange agreement is flexible enough to meet the needs of all business sectors involved in
international trade. Trading partners might feel confident that it is addressing the known legal issues
arising from the commercial use of EDI in the international trade. It will give a strong legal and practical
framework for considering and recording the required business decisions.

Some of the interchange agreements are UK EDI Association Model Interchange
Agreement and European Model EDI Agreement (International).

10.4 Summary

• The Information Technology Act in India was introduced to protect e-commerce from
cybercrimes. This takes care of the security of data.
• Electronic documents can be authenticated using digital signatures, which is based on the Public
Key Infrastructure.
• E-Commerce laws give you a chance to succeed with the online selling and make you aware of the
fraudsters on the Internet.

• Electronic Data Interchange refers to data exchange, which is created with a set of rules that can be
used as Interchange Agreement.
10.5 Keywords

Crypto System: It is a method for encoding and decoding messages.
Digital Signature: It is a mathematical design for demonstrating the authenticity of a digital message or
document.
Hash Function: It is a mathematical function that converts a large, variable-sized amount of data into a
small datum, typically a single integer that may serve as an index to an array.
Zoning: It is dividing an area into zones or sections reserved for different purposes such as residence,
business and manufacturing, etc.
10.6 Self Assessment

1. State whether the following statements are true or false:
(a) A digital signature scheme consists of three algorithms.
(b) Any person using the public key of the subscriber can verify the electronic record.

2. Fill in the blanks:
(a) The electronic documents can be authenticated using ____________________ signatures.
(b) The digital signatures should follow ___________________.
(c) The __________________ will be licensed, supervised, and controlled by the ‘Controller of
Certifying Authorities.’

3. Select a suitable choice for every question:
(a) Which Model Law is used to create the Information Technological Act?
(i) UNCITRAL
(ii) ICNITRAL
(iii) INICTRAL
(iv) ITINTRAL

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