About e-commerce

 

LAW OF THE REPUBLIC OF AZERBAIJAN

 

 This Law determines the legal basis for the organization and implementation of e-commerce in the Republic of Azerbaijan, the rights and obligations of its participants, as well as liability for violation of the legislation on e-commerce.

Chapter I.

 

GENERAL PROVISIONS 

 

Article 1. Basic concepts

 

1.0. The following basic concepts are used in this Law:

 

1.0.1. e-commerce - activity carried out on purchase and sale of goods, rendering of services and performance of works with use of information systems;

 

1.0.2. participants of e-commerce - legal entities and individuals acting as sellers (suppliers), buyers (customers) and electronic document circulation agents in the implementation of e-commerce;

 

1.0.3. seller (supplier) - an e-commerce participant selling goods (rendering services, performing works);

 

1.0.4. buyer (customer) - an e-commerce participant who buys goods (orders services, works);

 

1.0.5. electronic document circulation intermediary (hereinafter - the intermediary) is a natural or legal person providing electronic document circulation services between the sender and the recipient of the electronic document;

 

1.0.6. commercial notice - information that directly or indirectly serves the distribution of goods, services, works or the formation of its image by the seller (supplier).

 

 

Article 2. Scope of the law

 

2.1. This Law applies to e-commerce in all other areas in the Republic of Azerbaijan, except for the financial market, including insurance and securities market.

 

2.2. Relations related to e-commerce in the financial market, including insurance and securities market, are regulated by other legislative acts of the Republic of Azerbaijan.

 

2.3. This Law does not apply to contracts that must be notarized or registered in accordance with the legislation of the Republic of Azerbaijan.

 

 

Article 3. Legislation of the Azerbaijan Republic on electronic commerce

 

3.1. The legislation of the Azerbaijan Republic on e-commerce consists of the Constitution of the Azerbaijan Republic, the Civil Code of the Azerbaijan Republic, the Law of the Azerbaijan Republic "About the electronic signature and the electronic document", this Law and other regulatory legal acts, and also the international treaties to which the Azerbaijan Republic is a party.

 

3.2. Issues related to the conclusion of transactions in electronic form shall be regulated by this Law and the legislation on electronic document circulation, and issues related to the content and performance of obligations arising from transactions shall be regulated by civil legislation, except for the issues provided for in Article 10 of this Law.

 

Chapter II

ORGANIZATION OF ELECTRONIC TRADE

 

Article 4. Basic principles of e-commerce

4.1. Legal regulation of e-commerce in the Republic of Azerbaijan is based on the following principles:

4.1.1. equality of rights of participants;

4.1.2. freedom of will of the participants;

4.1.3. property independence of participants;

4.1.4. inviolability of property;

4.1.5. freedom of contract;

4.1.6. unimpeded implementation of entrepreneurial activity;

4.1.7. free and fair competition;

4.1.8. free movement of goods, services and financial resources;

4.1.9. ensuring the protection of rights in court.

4.2. Restrictions on the acquisition and exercise of rights and obligations by legal entities and individuals in the field of e-commerce may be imposed only in accordance with the legislation of the Republic of Azerbaijan.

4.3. E-commerce does not require a special permit (license). When conducting e-commerce in the areas of activity requiring a special permit (license), the seller (supplier) must obtain a special permit (license) for that activity in the manner prescribed by law.

4.4. Legal entities and individuals acquire and exercise their rights and obligations in the field of e-commerce in accordance with the legislation and the agreements concluded by them.

 

Article 5. Requirements for participants in e-commerce

5.1. Seller (supplier) from the moment of state registration of a legal entity in accordance with the existing legislation and acquisition of the right to engage in entrepreneurial activity by a natural person engaged in entrepreneurial activity without establishing a legal entity, except for cases when a special permit (license) is provided for in accordance with the legislation of the Azerbaijan Republic can begin to act as.

5.2. All information provided by the seller (supplier) to the buyers (customers) must be expressed in the Azerbaijani language or another language agreed by the parties in a clear and unambiguous manner by the buyer (customer) who does not have special knowledge.

5.3. The seller (supplier) must allow the buyers (customers) and the authorized state bodies to get acquainted with the following necessary information about himself:

5.3.1. name, state registration, organizational-legal form, address or surname, name and patronymic, address of the legal entity;

5.3.2. contact information (telephone, fax, Internet and e-mail addresses);

5.3.3. if the seller (supplier) is registered in the trade register or other register, the name of the register, registration number or other identification information (while the seller (supplier) is operating in the profession, the name of the relevant state body or other body, professional qualification, information on professional rules and the opportunity to get acquainted with these rules);

5.3.4. in case of application of a special agreement (license) to entrepreneurial activity, information on the special agreement (license) and the state body that issued it;

5.3.5. taxpayer identification number (TIN);

5.3.6. information on whether the price of goods, services and works includes tax and delivery fee for goods (services, works) and their amount.

5.4. The buyer (customer) has the rights and obligations provided by this Law, civil legislation, including the legislation on protection of the rights of consumers and the contracts concluded between participants of the electronic trade.

5.5. The mediator suspends the service for the purpose of prevention of violations on the basis of the decision of the court or the request of the competent state body provided by the legislation, and if it provides the service of storage of information, also deletes the information or restricts access to it.

 

Chapter III

ELECTRONIC TRADE IMPLEMENTATION

 

Article 6. Commercial notice

6.1. The seller (supplier) may use the commercial notice to promote e-commerce. The commercial notice must meet the following conditions:

6.1.1. the notice must be clearly stated to be of a commercial nature;

6.1.2. the name and address of the sender of the commercial notice must be clearly indicated;

6.1.3. In order to stimulate sales, offers such as discounts, bonuses and gifts allowed by law should be clearly indicated, the conditions for their acquisition should be clearly stated, and these offers should be easily accessible;

6.1.4. In order to stimulate sales, information on competitions and games permitted by law should be clearly indicated, the conditions of participation in them should be clear, unambiguous, and these offers should be easily accessible.

6.2. Information that allows direct contact with the seller (supplier), including Internet and e-mail addresses, information obtained freely about the goods (services, works) or their seller (supplier), especially at no cost, is not included in the commercial notice.

6.3. Commercial notifications of an initiative nature may be sent by e-mail by the seller (supplier) without the consent of the buyer (customer). The seller (supplier) must allow those who do not wish to receive commercial notices of an initiative nature to register and comply with this registration. Failure to respond to commercial notices of an initiative nature is not considered acceptance.

 

Article 7. Conclusion of the contract

7.1. In e-commerce, contracts between the seller (supplier) and the buyer (customer) are concluded in the form of an electronic document.

7.2. An offer to enter into a contract (offer), including an offer (general offer) addressed to an indefinite number of persons, may be sent by the offeror himself or by a person authorized to act on his behalf, or through an information system programmed and automatically operated by them.

7.3. The terms of the contract must be clearly and unambiguously understood by the buyer (customer) who does not have special knowledge, and the contract must be prepared in a form that allows him to get acquainted with it and keep it.

7.4. Some terms of the contract may be given with reference to another electronic document and therefore the contract cannot be considered invalid. In this case, the seller (supplier) must provide access to the referenced electronic document during the term of the contract.

7.5. The contract is considered concluded from the moment of acceptance by the seller (supplier). Confirmation of acceptance of an electronic document is not considered acceptance, unless otherwise agreed by the parties.

 

Article 8. Requirements for concluding a contract

8.1. The buyer (customer) must be provided with the following information by the seller (supplier) before placing an order:

8.1.1. name and address of the supplier;

8.1.2. basic information on the characteristics of goods (services, works);

8.1.3. prices of goods (services, works) taking into account taxes;

8.1.4. if delivery is envisaged, its cost and other conditions;

8.1.5. payment and order fulfillment conditions;

8.1.6. access to the right of refusal provided for in this Law;

8.1.7. the period of validity of the offer or price to conclude the contract;

8.1.8. if necessary, the minimum period of permanent or regular supply of goods, works and services;

8.1.9. method and stages of concluding the contract;

8.1.10. registration and access to the contract by the seller (supplier);

8.1.11. technical capabilities available to identify and correct errors made during the ordering process.

8.2. When placing an order, the seller (supplier) must immediately notify the buyer (customer) that he has received the order. If the buyer (customer) receives information about the approval of the order, the order is considered accepted.

8.3. The information specified in Article 8.1 of this Law shall be delivered to the buyer (customer) in writing before the conclusion of the contract in the form of confirmation, except for the cases specified in Article 9.3 of this Law. If this obligation is not fulfilled before the conclusion of the contract, it must be fulfilled before the execution of the contract.

8.4. The confirmation must also contain the following information:

8.4.1. terms and procedure for refusal to perform the contract;

8.4.2. the address where the buyer (customer) can complain;

8.4.3. after-sales service and warranties;

8.4.4. the terms of its termination if the contract is concluded for a period of more than one year or for an indefinite period.

8.5. Article 8.4 of this Law does not apply to one-time services. In this case, the buyer (customer) should be informed only the address where he can complain.

 

Article 9. Refusal to perform the contract

9.1. The buyer (customer) may refuse to perform the contract concluded within 7 working days without penalty and without giving a reason, regardless of the order of payment for the goods (work, service).

9.2. If the obligation specified in Article 8.3 of this Law has been fulfilled, the period of refusal to perform the contract shall be calculated from the date of conclusion of the contract.

9.3. If the seller (supplier) is unable to fully fulfill the obligation specified in Article 8.3 of this Law, he must do so within 3 months after the conclusion of the contract. If the obligation is fulfilled during this period, the 7-day waiver period shall be calculated from that day.

9.4. If the buyer (customer) refuses to perform the contract in accordance with Article 9.1 of this Law, the seller (supplier) must return the amount paid by him within 7 days without additional costs. In this case, only the cost of returning the goods can be charged from the buyer (customer).

9.5. In the absence of other agreement between the parties, the buyer (customer) may not refuse to perform the following contracts:

9.5.1. in case of commencement of performance of the contract with the consent of the buyer (customer) within 7 days provided for in Article 9.1 of this Law;

9.5.2. in contracts for the supply of goods, the prices of which are not regulated by the seller (supplier) and depend on changes in the financial market;

9.5.3. in contracts for the supply of goods that cannot be returned due to production or adaptation, are perishable or have a limited service life at the special request of the buyer (customer);

9.5.4. when the packaging material of audio, video recordings or computer software, as well as other goods is opened or otherwise damaged by the buyer (customer);

9.5.5. when supplied with newspapers, magazines and other periodicals.

 

Article 10. Execution of the contract

10.1. Unless otherwise agreed between the parties, the order must be executed by the seller (supplier) within 30 days from the date of shipment by the buyer (customer).

10.2. If the seller (supplier) is unable to provide the ordered goods (works, services) due to their absence (impossibility to perform or provide), he must inform the buyer (customer) and return the amount paid within 7 days.

10.3. If the delivery of goods and services requires costs, it is prohibited to provide them without the order of the buyer (customer).

10.4. If the seller (supplier) delivers goods and services on a paid basis on its own initiative, the buyer's (customer's) failure to respond to such an offer shall not be considered as consent.

 

Chapter IV

LEGISLATION ON E-COMMERCE LIABILITY FOR VIOLATION

 

Article 11. General grounds for liability for violation of the legislation on e-commerce

11.1. Persons guilty of violating the legislation on electronic commerce shall be liable in accordance with the legislation of the Republic of Azerbaijan.

11.2. The seller (supplier) shall be liable in accordance with the legislation of the Azerbaijan Republic for providing false information to the buyer (customer) and the authorized state bodies.

11.3. E-commerce carried out in violation of intellectual property rights and other rights is considered illegal and the restoration of violated rights is carried out in the manner prescribed by law.

11.4. Freedom of service from the territory of another state may be restricted in case of violation of the legislation of the Azerbaijan Republic, including copyright and related rights, rights to integrated circuit topologies and databases, as well as examples of folklore and industrial property rights.

 

Article 12. Liability of the mediator

12.1. The broker is responsible for non-compliance with the terms of the contract concluded with other participants in e-commerce.

12.2. If the intermediary provides services for the transmission of information provided by the buyer (customer), seller (supplier) through the communication network or providing access to the communication network, he is not responsible for the transmitted information in the following cases:

12.2.1. in the absence of the initiator of the transfer;

12.2.2. if the recipient of the information is not selected;

12.2.3. if the content of the transmitted information does not change and no selections are made from it.

12.3. When an intermediary provides services for the transmission of information provided by a buyer (customer), seller (supplier) through a communication network, for the purpose of automatic, temporary and short-term storage of transmitted information for the purpose of more efficient presentation of information based on requests of other buyers (customers), seller (supplier)

not responsible:

12.3.1. if he does not make corrections to the information;

12.3.2. when complying with the conditions of access to information;

12.3.3. in compliance with the terms of updating information in the generally accepted manner;

12.3.4. in the absence of interference through legitimate, generally accepted and widely used technologies for the purpose of obtaining information on the use of information;

12.3.5. taking the same measures immediately after receiving information about its deletion or restriction of access to the primary source of information, as well as carrying out these operations on the basis of a court decision or at the request of the competent state body.

12.4. If the intermediary provides services for storage of information provided by the buyer (customer), seller (supplier), he is not responsible for the storage of information in the following cases:

12.4.1. if he / she does not have factual information on the illegal nature of the activity or information and if the exact facts and details about the illegality of the activity or information are not known in terms of claims for damages;

12.4.2. when receiving information or warning about it, the stored information

when taking immediate measures to prevent deletion or access to it.

12.5. The mediator may not be compelled to take active action to establish facts or details in order to carry out general monitoring of the information he or she transmits or holds while providing services, or to prove that an illegal activity has taken place, or to do so on his or her own initiative.

12.6. The intermediary must inform the competent state bodies about the illegal activities or transfer of information of the buyers (customers), sellers (suppliers) he serves and provide information that allows to identify buyers (customers), sellers (suppliers) of services upon their request.

Chapter V.

FINAL CONCLUSIONS

 

Article 13. Settlement of disputes

13.1. Disputes between the participants of e-commerce can be resolved by extrajudicial means, including the use of electronic means, which do not contradict the law.

13.2. E-commerce claims are considered by the courts within the period prescribed by law.

 

Article 14. Entry into force of the law

This Law shall enter into force on the day of its publication.

 

Ilham Aliyev,

President of the Republic of Azerbaijan

 

Baku city, May 10, 2005

                № 908-IIQ