EDI: Legal, Security and Privacy Issues



In EDI, Trading is done between countries and corporations.

• In EDI, legal issues and computer security are important.
• Companies that deal with EDI should take the services of a lawyer during the design of EDI
applications, so that evidentiary/admissibility safeguards are implemented.

There are 3 types of communications when considered for EDI issues:

1) Instantaneous: – If the parties are face to face or use an instantaneous communication medium such as telephone.
2) Delayed with postal service: – The mailbox rule provides that an acceptance communicated via
postal service mail is effectively communicated when dispatched or physically deposited.
3) Delayed with non postal service: – EX: – Couriers, telegram

• Messaging systems combine features of delayed and instantaneous
• Messaging delay is a function of the specific applications, message routing, networks traversed, system configuration and other technical factors.

One way of legal & security issue is Digital signatures. The technical uses of digital signatures are :-
1. Messages are time- stamped or digitally notarized to establish dates and times at which a recipient hard access or even read a particular message.
2. These signatures are to replace handwritten signatures, as it is same legal status as handwritten signatures.
3. Digital signatures should have greater legal authority than handwritten signatures.

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