European Commission changes tack on e-commerce law

Officials at the European Commission have made a spectacular turnabout on a proposed law governing cross-border Internet commerce in Europe, deciding to seek input and considering abandoning a long-held position on a key legal question. Justice and home affairs experts drafting a law dubbed "Rome II" will seek consultations with industry and consumer groups, after saying in April that to do so would be a waste of taxpayers money. The authors of the draft regulation further are contemplating abandoning the long-held legal position on the question of which national law to apply in a cross-border dispute. Until now, the officials have advocated applying the laws in the country where a consumer is situated, provoking criticism from industries, including fast-moving consumer goods, e-commerce merchants and publishers, that such an approach will smother e-commerce with legal obligations.