Officials in the European Commission have said they are
reconsidering their plans for new rules that would affect whose
laws apply in certain cross-border e-commerce disputes between
businesses and consumers. Previously, the Commission’s stance was
that the laws in the country where a consumer is situated govern
any transaction.
However, according to the New York Times, the Commission has
said it will now consult with those who argue that this approach
places an unnecessary burden on e-commerce businesses. Drafters of
the new EU Regulation on jurisdiction, known as Rome II, will speak
to industry and consumer groups. Two months ago they said that
doing so would be a waste of taxpayers’ money.
If implemented, the Rome II Regulation would cover cross-border
liability in non-contractual situations, such as defamation and
product liability. A consultation exercise for the Regulation was
previously withdrawn and, at the last EU update, a Draft Regulation
was pending, due in October or November of this year. It now seems
that the Commission has reverted to its original intention to
consult on the matter.
E-commerce industry officials want the law to provide that the
governing laws in such internet transactions are those of the
country where the goods originate and not the country of
destination.