Cyber Law & Contract Act

Akshay Gupta Dikshant Dangwal Rohit Soni Saibal Das Sanchit Singh Umesh Bung

I. Cyber Law-IT ACT 2000

The Information Technology Act 2000,is a comprehensive piece of legislation which aims at policing some of the activities over the Internet. The fundamental approach of the Act is towards validating and legalizing electronic and on-line transactions.

The Act came into force on 17th October 2000 and extends to whole of India. The IT Act 2000 was amended by the IT Act 2008 which was notified in the official gazette in February 2009.

Definitions
Digital signature" means authentication of any electronic record by a subscriber by means of an electronic method. Electronic record" means data, record or data generated, image or sound stored, received or sent in an electronic form or micro film or computer generated micro device. Asymmetric cryptosystem" means a system of a secure key pair consisting of a private key for creating a digital signature and a public key to verify the digital signature. "Certifying Authority" means a person who has been granted a license to issue a Digital Signature Certificate

Digital Signature
Digital signature" means authentication of any electronic record by a subscriber by means of an electronic method. Any subscriber may authenticate an electronic record by affixing his digital signature. The authentication of the electronic record shall be effected by the use of asymmetric crypto system and hash function which envelop and transform the initial electronic record into another electronic record. Hash function" means an algorithm mapping or translation of one sequence of bits into another

Electronic Records & Its Uses

Electronic record" means data, record or data generated, image or sound stored, received or sent in an electronic form or micro film or computer generated micro fiche.

Uses Of Electronic Records: Where any law provides for(a) the filing of any form. application or any other document with any office, authority, body or agency owned or controlled by the appropriate Government in a particular manner. (b) the issue or grant of any license, permit, sanction or approval by whatever name called in a particular manner. (c) the receipt or payment of money in a particular manner.

Authenticating Electronic Records

According to section 3 of the IT Act (1) Subject to the provisions of this section any subscriber may authenticate an electronic record by affixing his digital signature. (2) The authentication of the electronic record shall be effected by the use of asymmetric crypto system and hash function which envelop and transform the initial electronic record into another electronic record.

Subscriber is a person in whose name the Digital Signature Certificate is issued.

Authenticate means to give legal validity to, establish the genuineness of . Illustration X has issued a certificate stating that Y has been employed in his company for 3 years. X affixes his digital signature to this certificate. X has authenticated the certificate.

Electronic Governance
Electronic Governance (E-Governance) is broadly defined as an application of Information technology to the functioning of the Government.

E-Governance involves access to government information and services.

E-Governance relies heavily on the effective use of Internet and other emerging technologies to receive and deliver information and services easily, quickly, efficiently and inexpensively.

Uses Of E-Governance

Government monitoring and enforcement agencies like State excise, Health, Commercial taxes, etc. can uniquely identify companies for streamlined interaction.

This also helps speed up Government processes and procedures resulting in streamlined Government - Industry interface across all Government departments.

Cyber Offences And Penalties

Tampering with the source documents
Computer related offences Punishment for sending offensive messages through communication service Punishment for dishonestly receiving stolen computer resource or communication device Punishment for identity theft

 Punishment for cheating by personation by using computer resource

Punishment for violation of privacy Punishment for cyber terrorism

Punishment for publishing or transmitting obscene material in electronic form

II. Contract Act

Contract-Every agreement and promise enforceable by law. Agreement-Every promise and every set of promises , forming consideration for each other. Promise-When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. A proposal when accepted becomes a promise. Agreement=Offer + Acceptance.

Continued

An agreement ,to become a contract must give rise to a legal obligation or a duty. For e.g. A agrees to sell his car to B for Rs 50000.The agreement gives rise to an obligation on part of A to deliver the car to B and on the part of B to pay Rs 50000 to A.The agreement is a contract.

Types Of Contracts
Contracts on the Basis of Creation
(a) Express Contract : Express contract is one which is made by words spoken or written.

Example : X says to Y Will you buy my car for Rs 1,00,000? Y says to X.I am ready to buy your car for Rs 1,00,000. It is an express contract made orally.

(b) Implied Contract : An implied contract is one which is made otherwise than by words spoken or written. It is inferred from the conduct of a person or the circumstances of the particular case.

Example : A transport company runs buses on different routes to carry passengers. This is an implied offer by transport company. X hoards u bus. This is an implied acceptance by X. Now, there is an implied contract and X is bound to pay the prescribed fare.

Contracts on the Basis of Execution:

Executed Contract
Unilateral Contract

Bilateral Contract

Contracts On The Basis Of Enforceability:

Valid Contracts
Void Contracts Voidable Contracts Illegal Agreement Unenforceable

Essential elements of a Valid Contract

Offer And Acceptance Intention to create legal relationship Lawful Consideration Capacity of Partners-Competency Free and Genuine Consent Lawful Object Agreement Not Declared Void Certainty and possibility of performance Legal Formalities

Breach Of Contract
Breach of contract is a course of action in which a binding agreement is not honored by one or more of the parties to the contract by non-performance or interference with the other party's performance. If the party does not fulfill his contractual promise, or has given information to the other party that he will not perform his duty as mentioned in the contract or if by his action and conduct he seems to be unable to perform the contract, he is said to breach the contract.

Where there is a right, there is a Remedy

A remedy is the means given by law for the enforcement of a right. When a contract is broken the injured party has one or more of the following remedies: 1.Rescission of the contract.

2.Suit for Damages.

3.Suit upon Quantum Meruit. 4.Suit for specific performance of the contract. 5.Suit for Injunction.

Payment Of Damages
Damages are a monetary compensation allowed to the injured party by the court for the loss or injury suffered due to breach of contract. Rules Relating To Damages: 1.Damages arising naturally-ordinary damages. 2.Damages in contemplation of the parties-special damages. 3.Vindictive or exemplary damages. 4.Nominal damages. 5.Damages for loss of reputation. 6.Damages for inconvenience and discomfort. 7.Mitigation of damages. 8.Difficulty of assessment. 9.Damages agreed upon in advance in case of breach.