Traditional legal systems have had great difficulty in keeping pace with the rapid growth of the Internet and its impact throughout the world. Whilst laws have been enacted and a few cases have been decided that affect the Internet, they have left most of the difficult legal issues to the future.
Inspite of the recent proliferation of legislation world-wide, it is unlikely that courts and legislators will be able to provide sufficient guidance in a timely fashion to business (and lawyers) to enable them to engage in commerce on, or otherwise take advantage of, the Internet in a manner that avoids or minimises unexpected consequences or liabilities.
The Internet and electronic based trading systems are affecting all aspects of commercial/business entities.
The Internet revolution allows IT-centric management to make timelier and higher quality decisions. The Internet has tested the limits of regulation, prompting some to declare ‘independence’2 and yet others to declare it beyond the limits of governance3. Jack Goldsmith and Tim Wu in their recent text focus on state responses to the Internet’s challenge to national sovereignty.4 Goldsmith and Wu explore three main arguments. First, the Internet is a medium like any other, and national governments continue to exercise control over the Internet by exercising national law.