Internet law seminar details business issues

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Internet law and how it applies to businesses and employers was the focus of an April 13 seminar presented by members of the Lathrop & Gage law firm. Topics covered included domain name issues, site development and hosting agreements, and e-commerce.|ret||ret||tab|

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Domain names |ret||ret||tab|

Attorney Jon Haden, whose practice includes representing media clients and assisting with technology-related issues, discussed recent court decisions related to domain names. |ret||ret||tab|

He said decisions in domain name cases are becoming more frequent. Haden said domain names are part of an entity's Web address, or URL. |ret||ret||tab|

Haden said prospecting, or trying to purchase a generic name that someone else has registered, is a common problem. He recommended companies register their domain names and make sure the domain names they choose aren't registered or in use by other companies.|ret||ret||tab|

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Service agreements|ret||ret||tab|

Web site development and hosting agreements were also addressed. Patrick Henderson, who worked as a computer systems developer, programmer and analyst prior to joining Lathrop & Gage, specializes in negotiating and documenting software license agreements and Web site hosting agreements. |ret||ret||tab|

Henderson said that, as the theory of what the Internet does and how it makes money changes, Web site development and hosting agreements have become increasingly more complex. |ret||ret||tab|

When hiring an outside Web site developer, detailed specifications need to be outlined for the site developer, and dates in which certain elements of the site will be delivered need to be set, Henderson said.|ret||ret||tab|

When entering a site development agreement, it's also a good idea to lay out a payment schedule and acceptance criteria, he said. Also, both parties need to agree on who will hold ownership of the site during its development and who will be responsible for licensing, Henderson added.|ret||ret||tab|

Henderson said there are different types of hosting agreements. Some call for the host to use software to put the pages on its machines and basically handle all details. |ret||ret||tab|

Other agreements include collocation or outsourcing, which entails different levels of involvement on the part of the company for which the Web pages have been developed. |ret||ret||tab|

In order for companies to protect themselves when entering a Web hosting agreement, specific issues should be addressed in the agreement, Henderson said. |ret||ret||tab|

These issues regarding the site include specific performance criteria, response time, what systems are and will be available, bandwidth, simultaneous user capacity (how many users the system can handle at one time) back-up methods, user support and the host's rights upon termination. |ret||ret||tab|

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Linking, framing and metatags|ret||ret||tab|

Attorney Dave Clark discussed issues related to linking, framing and metatags. He said linking, which occurs when specific HTML tags or codes are placed on a company's site, allowing users to click and shoot to another site, are of little risk if all they do is link to the home page of another site. |ret||ret||tab|

The problems arise when there are links upon links through a single site, leading to possible copyright issues.|ret||ret||tab|

Clark also said framing, which entails dividing a Web page into individual frames, can be problematic. |ret||ret||tab|

Framing, he said, allows users to access content from other sites without leaving the original site, but it bypasses advertisements and the other sites' home pages.|ret||ret||tab|

Clark explained that the use of metatags, which are invisible pieces of HTML code that point search engines to other sites, cause problems because they may not actually be related to what the user is searching for, and trademarked names are often misused on the Web for this purpose. |ret||ret||tab|

For example, Clark said, some companies will use the metatags Pamela Anderson Lee' or Playboy' just because a lot of people search in those categories, but the companies' products have little or nothing to do with Lee or the magazine.|ret||ret||tab|

He said a company can protect itself from linking problems by making it known, via a disclaimer, that if the owner of a linked site objects to being linked to the company's site, the link will be removed.|ret||ret||tab|

Clark added that if companies are going to do anything more than linking to a home page, it's a good idea to get permission first.|ret||ret||tab|

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Insurance against online risks|ret||ret||tab|

Insurance availability for Internet risks was also discussed during the seminar. |ret||ret||tab|

Attorney Stacy Andreas said defamation and harassment from former employees and other companies, as well as privacy, trademark and patent infringement are key issues in terms of insurance protection. |ret||ret||tab|

Andreas said one way companies can enhance their insurance coverage for Internet exposures is to determine what types of risks they face in online activity. She said companies should determine whether the magnitude of the risks is low- or high-end. |ret||ret||tab|

Andreas said it's important that companies look at the policies they're considering rather than relying on a broker, and if there are gaps, they should consider purchasing a separate policy or negotiating the terms.|ret||ret||tab|

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E-commerce issues |ret||ret||tab|

Kay Johnson, an attorney with experience in commercial law and software licensing, as well as researching e-commerce issues, said some statistics predict there will be $500 billion in online sales by 2001. |ret||ret||tab|

She said the increasing availability of online loans has increased the focus on online contracts. |ret||ret||tab|

Johnson said the difficulty with such contracts is that when most laws were written, paper and oral communication were generally all that was available. But now, she said, because of the Internet, that's changing. The bottom line is that someday, the question regarding the viability of online contracts will be a non-issue. |ret||ret||tab|

Johnson said, as with written contracts, it's important that all the usual terms and conditions be included in online contracts. |ret||ret||tab|

She added that such contracts need to be viewed in the same regard as written contracts, and companies should make viewing of the terms of the contracts mandatory, so if changes are necessary, they can be made. |ret||ret||tab|

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Privacy and the Internet|ret||ret||tab|

Attorney Tyler Prochnow said there are several areas where businesses deal with privacy and the Internet. |ret||ret||tab|

He said employers can be held liable for the content of e-mail that's sent by employees, so it's important that policies are created to prevent questionable e-mail messages from being sent using company equipment. |ret||ret||tab|

Prochnow said companies can forbid personal use of company e-mail accounts and computer equipment, or they may choose to allow personal use but issue a formal company policy that information sent over the Internet should not be obscene or improper. |ret||ret||tab|

Prochnow said companies should also retain the right to inspect e-mail and monitor what goes out on the company's system at any time, with or without prior notice.|ret||ret||tab|

Digital signatures and the patenting of Internet business models were also addressed during the seminar, as well as copyright and fair use issues. |ret||ret||tab|

The Internet law seminar was cosponsored by the Springfield Area Chamber of Commerce and the College of Business Administration at Southwest Missouri State University.|ret||ret||tab|

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