Building User Trust Online

Sarah Andrews

International Conference on the Legal Aspects of an E-Commerce Transaction

The Hague26-27 October 2004

OECD

Intergovernmental organisation comprised of 30 Member countries

Forum for discussion of economic and social policy

Legal, technological and policy expertise in consumer protection, privacy protection and security

Committee on Consumer Policy; Working Party on Information Security and Privacy

OECD Policy Frameworks for Online Trust

Ensuring consumer protection

Protecting privacy

Promoting a culture of security

Encouraging effective dispute resolution and

redress mechanisms

Facilitating international law enforcement co-

operation

Consumer Protection Guidelines (1999)

Objective: Ensure that consumers no less protected when shopping online than when buying from their local store or ordering from a catalogue

Core characteristics of effective consumer protection Fair business, advertising and marketing practices

Online Disclosures

Transparent confirmation process

Security

Privacy Protection

Dispute Resolution and Redress

Education and Awareness

Privacy Guidelines (1980, 1998)

Guidelines on the protection of personal

information including in transborder

situations

8 principles for the collection and

use of personal data

Flexibility of application: all media; all

types of processing; all categories of data

Ministerial Declaration 1998: re-affirmed

commitment to ensure privacy on global

networks

The Security Guidelines (1992, 2002)

Guidelines for the security of information systems and networks

Coordinated implementation of national policies

Cultural change: “Towards a Culture of Security”

9 high-level policy and operational principles

Aimed at all “participants” (governments, businesses, civil society, end users)

Challenges to Dispute Resolution and Redress Online

Online interactions... 24 hours a day, 7 days a week Without regard to geographic borders

and local cultures Challenges legal frameworks...

Resorting to courts in cross-border disputes...

Which authority has jurisdiction? Whose laws apply? Is the decision enforceable across

borders?

OECD Work on ADR

Consumers should be provided with meaningful access to fair and timely ADR without undue cost or burden

OECD-ICC- HCOPIL Conference on ADR 2000

Report on Legal Situation in OECD countries

Educational Instrument

Inventory of ADR providers

ADR for SMEs

econsumer.gov

econsumer.gov

Protections for Payment Cardholders

Background Widespread use of payment cards on Net Consumer fears about revealing financial info on Net International reach of payment card networks

Issues Unauthorised use Non-conforming goods Different types of protections for different types of cards

OECD Work Public Report (2002) FAQs for payment cardholders (2002)

OECD Guidelines for Protecting Consumers from Fraudulent and Deceptive Commercial

Practices Across Borders (2003)

Domestic frameworks

Principles for international co-operation

Notification, information sharing, investigative

assistance, and confidentiality

Jurisdiction to protect foreign consumers Monetary remedies Private sector co-operation

Ongoing Work in Dispute Resolution and Redress:

Member Country Survey, Summer 2004

Mechanisms for Consumer Dispute Resolution and Redress

Payment cardholder protections Alternative dispute resolution Small claims courts Class action lawsuits Legal Actions by consumer associations Government-obtained redress

Enhancing systems for cross-border redress Information sharing Orders to freeze and repatriate assets Recognition and enforcement of foreign monetary

judgments

Consumer Dispute Resolution and Redress in the Global Marketplace

Public Workshop Washington DC, April 2005

Approaches to dispute resolution and redress

Advantages and disadvantages of approaches

Cross-border context

Developments in the area of ADR

Role of consumer protection enforcement agencies

Thank you!

Sarah AndrewsPolicy Analyst

OECDconsumerDOTpolicyAToecdDOTorg

www.oecd.org/sti/consumer-policy