What is the applicable law for electronic transactions?

There is no issue regarding the applicable law for an electronic contract if the contracting parties are in the same country, as national law is then applied. However, since electronic transactions often have an international character due to the nature of the internet, which crosses borders between parties subject to different legal jurisdictions, an important issue arises: the problem of determining the competent court to hear the dispute and the applicable law.

It appears that the rules of private international law have become insufficient to cope with current technological developments, as international electronic contracts tend to ignore international borders and have their specific characteristics that require laws suited to their nature. Therefore, it is necessary to seek other solutions compatible with the state of electronic contracts, such as resorting to arbitration and stipulating it consensually in all electronic contracts.

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