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Is there a Law of E-Commerce in Saudi Arabia? Explain your answer

Is there a Law of E-Commerce in Saudi Arabia? Explain your answer

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Answer #1

Yes, there is a Law of E-Commerce in Saudi Arabia.

The Ministry of Commerce and Investment Saudi Arabia, short for MoCI with the intention of providing confidence in e-commerce, to promote the digital economy and with the overall eye on achieving the strategic objectives of Vision 2030 set by aspirational Crown Prince Mohammad Bin Salman.

The new regulations in this E-Commerce Law have certain set of objectives to meet which are but not limited to the following things only;

  1. To boost the confidence of the general public in e-commerce transactions and also encourage foreign investors to invest in the digital economy.
  2. To protect customers against any fraud, fake information and deception which previously went unchecked.
  3. To grow the e-commerce ecosystem in the Kingdom in its pursuit of achieving the strategic objectives of " Vision 2030".

What is the Jurisdiction of this law?

The new set out E-commerce law has its jurisdiction to all those service providers who are providing their goods and services either through an electronic store within the Kingdom or any other electronic platform or store that can be accessed by customers in Saudi Arabia. This law consists of 26 articles.

What is set out in the law for the customer protection?

This law mandates service providers to protect consumers by giving them the online terms and conditions, which shall have the importance of electronic contract between the provider and the consumer. To ensure transparency and consumer welfare, the service provider will also have to fully disclose the trade details, what are the goods goods and services included in the package and the total amount to be paid. There shall be a contract between the service provider and the consumers which will be as valid and as enforceable as with offline transactions.

How is privacy addressed?

It clearly laws down that the service provider has the onus and attaches clear responsibility for ensuring the confidentiality of personal information. The law binds a stipulation on the e-commerce merchants of not keeping the personal information than is necessary and seeking consent from customers before using any personal information.

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