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9 J.L. & Inf. Sci. 177 (1998)
Contracts, Technology and Electronic Commerce: The Evolution Continues

handle is hein.journals/jlinfos9 and id is 177 raw text is: Contracts, Technology and Electronic Commerce: the evolution continues CHRISTOPHER TAY* Abstract The law of contract has developed from a time when electronic communication was not even contemplated or dreamt of by judges and the legislature. The spectacular growth of electronic commerce, the Internet and technology in general presents new challenges for the law of contract. This paper aims to examine the growth and evolution of the law of contract as technology and invention presented and continues to present new issues and concepts for the law to examine. The creation of the telegram, telex, fax, phone, computers and the Internet have all impacted upon the way a contract can be created. Recent technological advances have seen first shrink-wrap licences and now, click-wrap agreements pose further questions for legislators and judges. Traditional ideas surrounding the formation of contracts and what is offer and acceptance are now being re-examined. The challenge for the legislature, judges and the law today is to evolve and adapt to this new technology so that these new advances can be allowed to grow and develop to the benefit of the world, within both fair and certain legal principles. 1. Introduction Contracts between parties for goods or services are perhaps the most basic business transaction in the world. Traditional rules of contract law governing such transactions developed when pens and paper were the dominant form of communication and record keeping between people. However, the development of new technology - first telexes, faxes and phones, and now computers, modems, smart cards and the Internet - has created a new challenge for the law of contract. In this paper, it is my aim to explore some of the difficulties surrounding contracting with new technologies. In particular, I aim to explore the difficulties for contract law with the rise of the shrink- wrap licence and the click-wrap agreement. Thus, my basic contention is that the law of contract has had to continually develop and evolve along with the changes to society and technology. New methods of communication and new products will require new techniques and reasoning. The advent of electronic commerce is slowly making the written signature obsolete in many commercial transactions. Without this evolution of the law, we will not be able to * BA LLB (Hons) La Trobe University, Solicitor, Phillips Fox Melbourne. The author would like to thank Dr. Gerry Bean, Partner, Phillips Fox Melbourne for his comments and feedback, and Dr. Dan Hunter, Senior Lecturer, University of Melbourne for his encouragement and ideas.

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