Transcript elc 200 day 20

ELC 200
Day 21
Agenda
• I have decided to add one more assignment (9 total)
– I will drop the lowest assignment score of the nine (leaving 8 scores)
• Assignment 7 is on Ethics
– Due April 8 at start of class
– Complete the following
• Grey Matters in Computer Ethics.doc
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Quiz 3 will be on April 8
– Change from April 5
– Chap 8-12
– 15 M/C (60 Points), 4 Short Essay (40 Points)
– Extra credit (5 Points)--- What is the derivation of the name “cookie” used by
Internet Browsers?
• Discussion on Legal, Ethical and International Issues
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Chapter 12
Legal, Ethical, And
International Issues
OBJECTIVES
• Ethical Issues
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What is Ethics?
Major Threats
Improving the Climate
Code of Ethics
Self-Assessment
Privacy Factor
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• Legal Issues
– Liability Question
– Basis of Liability
– Copyrights and
Trademarks
– Website – Product /
Service?
– Warranties
– Strict Liability
– Taxation Issues
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Awad –Electronic Commerce 2/e
© 2004 Pearson Prentice Hall
Legality, Morality, Ethics
• Morality
– Who I am
– Decided early in life
• Family, Religion, Culture
• Ethics
– What I Do
• Societies, associations
– Professional Codes of ethics
• Medical, Education, Marketing
• Legality
– Where I am
– Created by governments
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WHAT IS ETHICS?
• Fairness, justice, equity, honesty,
trustworthiness and equality
Legal
• Subjective
Immoral
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Illegal
Moral
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Where does it fit?
• Theft
– Theft to settle a debt
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Abortion
Bombing of Iraq
Capital Punishment
Killing in self-defense
Fraudulent sales
Immoral
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Legal
B
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C
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Illegal
Moral
Awad –Electronic Commerce 2/e
© 2004 Pearson Prentice Hall
Ethical (and maybe legal) Issues in
eCommerce
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Privacy
Confidentiality
Integrity
Property rights
– Software
– Piracy & Plagiarism
– Value and ownership of Data
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Privacy
• “There is no express right to privacy guaranteed in
the United States Constitution”
• Tort violation (Civil Law)
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Intrusion onto seclusion
Public disclosure of private facts
False light publicity
Commercial misappropriation of a person name or
likeness
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PRIVACY FACTOR
• Notice
– Right to be told in advance
• Choice
– Final say regarding the use of personal info
• Access
– Access and correct any personal info
• Security/integrity
• Enforcement
– Backed by the courts if any principles are violated
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MAJOR ETHICAL THREATS
• Faster computers and networks
• Sophisticated telecommunications and
routers
• Massive distributed databases
• Eases of access to information and
knowledge base
• Transparency of software
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IMPROVING THE CLIMATE
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Top management support
Code of ethics
Ethics training program
Motivation to focus on honesty and
integrity
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WHERE TO START
• Bottom-up
– Inculcates ethics behavior at the employee level
with full support of top management
• Top-down
– The actions of the company start with the CEO
– Extend to a variety of stakeholders
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CODE OF ETHICS
• A declaration of principles and beliefs that govern
how employees of a corporation are to behave
• Inspirational and disciplinary
• All-encompassing and stable over time
• Examples
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http://www.acm.org/constitution/code.html
http://www.apa.org/ethics/code2002.html
http://www.spj.org/ethics_code.asp
http://www.ama-assn.org/ama/pub/category/2498.html
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SELF-ASSESSMENT
• A question-and-answer procedure
• Allows individuals to appraise and
understand their personal knowledge about
a particular topic
• An educational experience
• http://www.ethics.org/quicktest/index.cfm
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THE LIABILITY QUESTION
• Liability of Designer
– Nontrivial errors
– Out-of-bound errors
– May be mitigated by principle of respondent superior
• Liability of User
– Passive negligence
• Basis of Liability
– Tort law (Civil versus criminal actions)
– Product Liability
• Designer or Manufacturer of Product is liable
– Strict Liability
• Seller is liable
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TORT LAWS ON INTERNET
• Settling contract problems between e-merchants and ISP
– No regulatory body
• Fraud
– intent to deceive
• Negligence
– failing to make certain action causing injury/material losses
• False advertising
– Lack of availability of Product
• Misrepresentation
– claiming a product will perform certain functions when it could not
• Trademark violations
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– under intellectual property law
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WEB SITE – PRODUCT/SERVICE?
• Product
– Software sold off-the-shelf
– Uniform Commercial Code (UCC) allows
developer to limit liability for defective Web
sites though a disclaimer of warranties
• Service
– Custom-designed software
– Negligence principles should be used
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WARRANTIES
• Assurance made by seller about the goods sold
• Express warranty
– Offered orally or in writing by maker of products
• Implied warranty
– Arises automatically when a sale is made
– Merchantability
• Disclaimer
– Seller’s intention to protect the business from unwanted liability
• Legal
– Magnuson-Moss Consumer Product Warranty Act (1975)
– Universal Commercial Code (UCCC)
– Maine Consumer code
• http://www.state.me.us/ag/index.php?r=clg&s=chap4
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COPYRIGHT
• Copyrights
– Ownership of an original work created by an
author
– A form of intellectual property protection
covers the “look and feel” and content of
printed media
– Gives author the right to exclude others from
using the finished work
– Good for life of its author + 70 years
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TRADEMARK/TRADE NAME
• A word/symbol distinguishing a good from
other goods in the market
• A maze of federal and state laws
• Ownership
– Web designer – “work made for hire”
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STRICT LIABILITY
• Joint liability for developers, manufacturers
and distributors if tort theory applies
• Protects Web visitor regardless of whether
anyone is at fault
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TAXATION ISSUES
• Controversial
– Different jurisdiction
– Consumers’ reaction
• Legal
– Internet Tax Freedom Act
• No taxes till 2001
– Internet Nondiscrimination Act of 2000
• No taxes till 2006 (5 year extension)
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Awad –Electronic Commerce 2/e
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Chapter 12
Legal, Ethical, And
International Issues