Purchase Solution

long-term impact of electronic contracting

Not what you're looking for?

Ask Custom Question

E-commerce is growing by leaps and bounds, propelling business further into the information age with each passing day. People just like you and me clicked our mouse and purchased approximately $10 billion in merchandise during 1999. The U. S. Department of Commerce forecasts Internet retailing will exceed $50 billion within the next two years, and business-to-business e-commerce will top $1 trillion. With millions of transaction taking place, it is inevitable that contract disputes will arise, and common rules to authenticate and confirm the integrity of electronic documents and their signers are of paramount importance.

On September 16, 1999, Governor Gray Davis signed Senate Bill 820 making California the first state to adopt an electronic contracting law. The law went into effect January 1, 2000. Its primary purpose is to "ensure that electronic contracts (records and signatures) have the same legal effect as their hardcopy counterparts." In addition, the law legalizes electronic signatures and even extending the electronic signature, under certain circumstances, to satisfy requirements that a signature be notarized. The law, however, only applies to transactions where the contracting parties have agreed in advance to be bound by an electronic transaction.

Maybe the law's most extreme fault is that it fails to cover all transactions. The following contracts are excluded:

Wills, codicils, and testamentary trusts.

Certain transactions governed by various consumer protection laws (for example, notice of mortgage late fees, non-judicial foreclosure notices, and statements of finance charges).

Any transaction under the Automobile Sales Finance Act or the Vehicle Licensing Act.

Some retail installment sales contracts.

Even with these shortcomings, the law undoubtedly will have a significant effect on the future of contract law in California and the nation. Exactly what that effect will be, however, remains to be decided in the courtroom.

1. What will be the long-term impact of electronic contracting on the nation's business?

2. What are the potential pitfalls you see with electronic contracting?

Purchase this Solution
Solution Summary

Long-term impact of electronic contracting on the nation's business

Solution Preview

1. What will be the long-term impact of electronic contracting on the nation's business?

The long term impact of the electronic contracting on nation's business is definately huge reduction in unnecessary paperwork, thereby leading to costs savings. Further, it will lead to quick completion of transactions as now ...

Solution provided by:
Sandeep Bardia, MBA
Education
  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
Recent Feedback
  • "Thank you. "
  • "Thank you"
  • "Thank you. I got 20/20 last week for my discussion you help me out with."
  • "Thank you. Great Job. "
  • "Thank you. Great Job. "
Purchase this Solution
Free BrainMass Quizzes
Transformational Leadership

This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

Motivation

This tests some key elements of major motivation theories.

View More Free Quizzes
Related BrainMass Solutions

  • Impact of Electronic Contracting

    In reference to the scenario, this solution explores the long-term impact of electronic contracting on the nation's business. it also discusses the potential pitfalls with electronic contracting.

  • Long-term impact of electronic contracting

    93392 E-commerce - long-term impact of electronic contracting E-commerce is growing by leaps and bounds, propelling business further into the information age with each passing day.

  • E-commerce & Electronic Contracting

    This solution responds to the two questions fully: What will be the long-term impact of electronic contracting on the nation's business? What are the potential pitfalls you see with electronic contracting?

  • Electronic Contracting in Business

    What will be the long-term impact of electronic contracting on the nation's business? -It is estimated that the long-term benefits of EC will outweigh the costs by a margin of 10 to 1.

  • Fundamentals of Business Law & Electronic Contracting

    What will be the long-term impact of electronic contracting on the nation's business? It has been reported that electronic contracting will increase within the nation's business.

  • The Effect of Electronic Contracting & Potential Pitfalls

    Based on the scenario, this solution discusses the long-term impact of electronic contracting on the nation's business, as well as the potential pitfalls of electronic contracting.

  • Managed Care Contracts

    Identify eight managed care contracting terms and write a brief definition of each term. Remember to cite all sources and be sure to write each definition using your own words.

  • Capital lease rather than an operating lease

    Describe in qualitative terms what impact a capital lease would have on the company's ROA and Long-term debt to assets ratios. Please see the attached files. This explains capital lease and an operating lease

  • Pro's and Con's of Contracting

    • To save money - "Contracting can be a cost-effective way to defining costs and to not entertain the internal costs to hiring and developing staff for the short-term or long-term" (Strategy One Plan, 2012, para 6).

View More Related Solutions