Electronic Documents get a Boost

Friday, 21 May 2010

The Standing Committee of Attorneys-General (SCAG) has agreed to adopt uniform electronic transaction laws in a bid to bring Australia in line with global legal e-commerce standards and enhance online retailing and e-commerce in Australia. The proposed model legislation will enable Australia to accede to the United Nations Convention on the Use of Electronic Communications in International Contracts 2005.   
Each State and Territory will amend their electronic transactions laws to incorporate the model provisions of the Model Electronic Transactions Amendment Bill 2010, which aims to clarify the rules on contract formation in an electronic environment so that they are appropriate to the needs of electronic commerce. While the model provisions are yet to be drafted, it is envisaged that the new laws will recognise the use of automated message systems in contract formation, and clarify the rules relating to invitations to treat, determination of the location of parties, time and place of dispatch and receipt of electronic communications and electronic signatures. The new laws will give greater certainty to both national and international transactions.
The implementation of the Bill will update Australia’s electronic transactions regime to reflect internationally recognised legal standards on e-commerce and will enable Australia to accede to the UN Convention on the Use of Electronic Communications in International Contracts 2005.

As a result of the proposed model provisions, companies will need to review their standard online contracts and procedures for forming contracts online. The Bill is set to be introduced into Federal Parliament at this year's winter sitting.