The legal landscape of e-commerce in Jordan

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Hamza Alakaleek

Hamza Alakaleek has graduate degrees in International Political Economy and International Business Law from Yarmouk University and University de Montreal with focus in Internet of Things, Artificial Intelligence and Data Protection.

The Kingdom’s legal system has made significant progress in recent years to establish a foundation for e-commerce.

E-commerce has the potential to revolutionize the way business is conducted in the Kingdom with a more streamlined online process. However, it is important to address the legal challenges, especially in ensuring that online transactions are safe, secure, and fair for all parties involved. اضافة اعلان

While the Jordan has implemented several laws and regulations to promote electronic transactions and protect consumers' rights on online transactions, there is still a long way to go.

One of the most important laws that support e-commerce in Jordan is the Electronic Transactions Law No. 85, established in 2001. This law recognizes electronic signatures as legally binding and provides guidelines for electronic contracts, data messages, and other related issues. It also establishes the legal framework for electronic transactions, including online payments, digital signatures, and electronic records.

The Ministry of Information and Communications Technology, which changed its name lately to the Ministry of Digital Economy and Entrepreneurship is responsible for regulating e-commerce activities, while the Jordanian Customs Department oversees cross-border e-commerce transactions. In addition to these laws and regulations, the Kingdom has also implemented several initiatives to promote e-commerce development..  One of these initiatives is “eFataweercom,” established in 2014 to facilitate online payments between businesses and consumers in enabling bill pay online during bank or credit card accounts.
Consumers who shop online in Jordan may not have the same level of protection as those who shop in physical stores. There is also a need for more secure payment systems that can protect consumers' financial information from cyber threats.
Despite these efforts, there are still some challenges among consumers about their rights and responsibilities One of these challenges is the lack of awareness among consumers about their rights and responsibilities when conducting online transactions.

Many consumers may not know how to protect themselves from fraud or scams when shopping online, which can lead to them falling victim to fraudulent activities.

In addition to this, one of the main legal challenges facing e-commerce in Jordan is the lack of clear regulations and laws governing online transactions. While there are some laws that apply to e-commerce, such as the Electronic Transactions Law and the Consumer Protection Law, these laws are not comprehensive enough to cover all aspects of online transactions. Currently, there is no specific law that regulates online payments or protects consumers from fraud or scams.

Consumers who shop online in Jordan may not have the same level of protection as those who shop in physical stores. There is also a need for more secure payment systems that can protect consumers' financial information from cyber threats.

Another legal challenge facing e-commerce in the Kingdom is intellectual property rights. Online platforms make it easy for businesses to sell their products and services globally, but this also means that they may be infringing on intellectual property rights without even realizing it. A business may use a copyrighted image or logo without obtaining permission from the owner. Whereas this can lead to legal and costly disputes.

Additionally, there is also a lack of clarity around taxation for e-commerce transactions in Jordan. While businesses be required to pay taxes on their online sales, it is not always clear what taxes apply and how they should be paid.
Currently, there is no specific law that regulates online payments or protects consumers from fraud or scams.
To address these legal challenges, there needs to be greater clarity around regulations and laws governing online transactions. This could include developing new laws specifically for e-commerce or updating existing laws to better reflect the realities of online transactions.

Moreover, there should be greater awareness among businesses and consumers about their rights and responsibilities when conducting online transactions. This could include providing education and training to businesses on how to protect themselves from intellectual property disputes, and fraud, as well as educating consumers on how to protect themselves when shopping online.

Overall, while there are still some challenges that need to be addressed, the Jordanian legal system has made significant progress in establishing a foundation for e-commerce. With efforts to implement laws and regulations that support electronic transactions, this has created a favorable environment for e-commerce development in the Kingdom.


Hamza Alakaleek is a corporate lawyer and tax consultant with post-graduate degrees in international political economy, international business law, and law and technology with a focus on internet of things, artificial intelligence and data protection.


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