ACM
The Association for Computing Machinery (ACM) was established in 1947 as the society for the computing community. It is the oldest educational and scientific computing society. With more than 82,000 members worldwide, it is also the largest
professional organization in the information systems industry. Its goals are to develop information processing as a discipline and to promote responsible use of computers. Its purposes are (‘to advance the sciences and arts of information processing, to promote the free interchange of information among specialists and the public, and to develop and maintain the integrity and competence of individuals in the field.” Members are
expected to adhere to the ACM code of ethics and professionals conducts. An extensively revised code has been recently introduced to address new problems such as hacking and computer viruses.
Evaluation Framework
It has been proposed that professional codes of ethics should be examined along four types of obligations (Johnson, 1985):
1. Obligations to organizations.
2. Obligations to society,
3. Obligations to employer,
4. Obligations to employer, colleagues and professional
These obligations serve as a framework in the following analysis. However, the fourth type of obligation may actually be divided into three different, but related, obligation sets: (1) obligations to colleagues, (2) obligations to the organization, and (3) obligations to the profession. Therefore, the ethical codes will be compared along these six commitments. Table 1 provides a summary of the codes.
Ethical Issues on the Internet
Computers, and the Internet by extension, are powerful tools of communication and information. Some have abused these tools, others seek to impose control in one way or another. It is an interesting irony that WWW has also come to mean the "Wild, Wild West." Like in the old times, anything goes and everybody just have to watch their backs. The law is not fast enough to keep up with technology. Many cases have no precedence. Complicating matters is the absence of geographical boundaries in cyberspace. Judges, politicians, and lawyers are in a quandary what rules to apply. A lawyer in Washington D.C., likened this scenario to frontier justice in his report that was published by the University of California.
The relatively unfettered frontier of cyberspace is showing the strains of a commercial gold rush. It often resembles Wild West boomtowns, populated with earnest PC pioneers and homestead users, internet preachers, copyright rustlers, perverts, scam artists, and plain old crooks.
Unlike Western movies, the bad guys in the Internet don't always wear black hats. Cyberporn, crackers, worm, e-commerce, copyright, warez, and MP3 are just a few terms in our growing Net vocabulary. These are hotly debated how loose or tight the Internet must be regulated.
Perverts
Cyberporn refers to materials found on the Internet, such as pornographic pictures and videos on pay sites to erotic discussions in newsgroup and chat rooms. Filters may give parents some peace of mind but it has been demonstrated that these also block access to non-porno sites such as universities or news sites. There is less concern over porn sites because most of these require credit cards. More threatening are pedophiles who befriend children in chat rooms and later arrange for personal meetings. Occasionally these cyber predators would send pornographic materials as e-mail attachments in the course of their correspondence with children. Federal agents, cops, and citizen volunteers have arrested many men by posing as minors in sting operations.
Hackers
Crackers is the term non-destructive hackers use when referring to those who break in systems with criminal intent. A lot of hackers are teenagers full of creativity, curiosity, and bravado. Hacking -- finding weaknesses and faults in the network systems they break in -- is a mental sport and challenge to them. Some leave digital graffiti to prove they have been there. They are at the very least, tresspassers. More worrisome to information technology security officers are those who are motivated by malice or greed to wreck havoc. This includes disgruntled employees or competitors.
Virus Hoaxes & Urban Legends
There are viruses and there are worms and there are Trojan Horses. Although not as threatening as real viruses, or even the Y2K bug, what is more annoying are virus hoaxes and myths. These are lumped together under urban legends, a special category of junk mail. If you have an e-mail account you will no doubt receive warning notices from well-meaning friends to watch out for "A Bug's Life" screensaver file along with the "Bill Gates Giveaway" hoax.
Scams & Frauds
There are also scam artists in the Internet who will entice you with work at home scams, easy loans, masters and doctoral degrees from diploma mills that are no more than a mailbox at a shopping mall, pyramid schemes, and miracle cures. Be wary of online auctions, too. A lot of consumers have been burned when they bid for computers and never heard from the person who auctioned it off. Minimize your risk by limiting the amount you spend, and by using only a credit card which protects the owner from paying more than $50 if there is a dispute on the sale
Freebies
Some people will say nothing's really free. You at least pay for your Internet connection through a monthly subscription with an ISP. The Internet was initially built by government funding and a lot of schools and institutions are still supported by federal and local funds. More and more business institutions and commercial groups are jumping into the bandwagon if you notice the rise of banner ads in "free Websites." Nonetheless, the concept of "free" remains strong, and many Netizens intend to keep it that way. A lot of time this concept collides with copyright restrictions. People who think twice about shoplifting in a store don't hesitate to steal somebody else's work in the Internet. Warez is the slang for pirated software that can be downloaded off the Internet. This has been called a "victimless crime" because the item in question is not lost. However, copyright makes it clear that this violates the copyright owner's right to make copies and distribute her work. It is one thing to help yourself to a freeware because the software developer wants to make his product available at no cost, and entirely another to get a shareware which means you are only permitted (and you agree when you click the "I Agree" button) to use it for a limited period of time. If you decide to keep it after the trial period is over, Scout's honor, you are supposed to pay for it or delete it.
Other creative and intellectual works that are offered free in many personal websites include MP3 music files, clip arts, and photos. We will discuss copyright and fair use policy in another page, but suffice to say, "not for profit" is no longer a valid defense in many of these cases.
Legal Issues Involved in E-Commerce
The power of the Web to reach the world carries with it a variety of legal issues, often related to intellectual property concerns, copyright, trademark, privacy, etc., particularly in the context of doing business on the Internet. Authorities seeking to apply their laws in traditional ways or to expand legal control over international links face many challenges due to the global nature of the Internet. This paper provides an overview of some of the legal issues and related problems in e-commerce.
Introduction
Approximately 100 countries now enjoy Internet access, and a recent survey reported that there are approximately 20 million Internet hosts worldwide. The number of Internet users is currently estimated to be in the region of 100 million people [1].
The exponential growth of the Internet and online activity raise a number of new regulatory issues and legal questions. How does copyright apply to digital content? How can national laws apply to activities in cyberspace? Can privacy and data protection exist on the Web? Can electronic commerce really be secure? Should governments tax cyber trade? Can cyberspace be regulated by one, or by many authorities? In seeking to apply the law to the Internet, problems arise owing to the fact that most laws largely apply to the pre-cyberspace world.
In the modern era of electronic technology, many people want to get their work done quickly with little effort. At times, people forget or do not consider the legal and ethical values of their procedures. In traditional commerce, it's not easy to start a business. You must implement strategies that follow rules and regulations enforced by government. Electronic commerce makes it possible to do almost any kind of business in a very simple way. What makes it simple? The reason is that existing legal frameworks and enforcement mechanisms are not strong.
E-commerce presents a world of opportunity for doing businesses, reaching global markets and purchasing without leaving the home or office. E-commerce can provide opportunities to improve business processes, just as phones, faxes and mobile communications have in the past. However, just as any new business tool has associated issues and risks so does e-commerce. It's important to understand the legal issues and potential risks to ensure a safe, secure environment for trading with customers and other businesses.
The issue of law on the Internet is a complex one. Between the two all-or-nothing extremes lies a broad spectrum of possibilities [2]. Many people revel in the freedom to express themselves and the freedom from prohibitions such as zoning restrictions that the Internet apparently affords. With no law at all, however, the Internet would be no place to conduct business or pleasure. Laws give people certainties about their rights and responsibilities: they make life more predictable. "Without predictability, business will not be able to act efficiently, or price services effectively," said Thomas Vartanian, a Washington, D.C.-based lawyer [2].
Electronic Transaction
Some federal, state and territory governments encourage the adoption of electronic commerce by enacting and enabling legalisation. In Australia many bills and acts have been passed to resolve legal issues and make electronic transaction more authenticated, such as the Electronic Transaction Act (ETA)[3]. ETA enables contractual dealings, such as offers, acceptances and invitations, to be conducted electronically, and also allows people to use an electronic signature to satisfy any legal requirement. Even the electronic transfer of land is covered, "Importantly, the Act is similar in all material respects to those operating both in other States and at the Federal level, so people can be confident that electronic transactions carry the same legal weight nationwide," states Jim McGinty, Attorney General for Western Australia [4].
Moreover the bill is expected to boost electronic commerce as an effective tool for businesses to increase their efficiency. This may reduce administrative duties, storage and operational costs for businesses. In McGinty's words," This is why it is crucial that we ensure the legal infrastructure around cyberspace is beyond doubt" [4].
New legislation brings some questions such as, For how long will these acts be valid? What are the boundaries of these acts? Who should be forced to follow the rules? Most of these questions are unanswerable today.
Global companies have the responsibility to deal with some of the legal issues such as how to form contracts, abide by consumer protection laws, create privacy policies and protect databases. "As of now, there is no comprehensive set of laws or regulations that exist for international electronic commerce," says David D. Barr [5]. He added that it is difficult to establish uniform worldwide laws for e-commerce, but some building block legislation within individual countries is necessary.
By applying laws and sketching boundaries around the borderless Internet do we negate the term "freedom of information"? How will legal structure affect international transactions on the Internet? Will it restrict the potential growth of the Internet prematurely? Rapid changes in technology do not allow enforcement of specific laws in cyberspace. For now many organizations are promoting global coordination of legal structures [5].
Privacy & Security
While shopping on the Internet, most people typically do not think about what is happening in the background. Web shopping is generally very easy. We click on a related site, go into that site, buy the required merchandise by adding it to our cart, enter our credit card details and then expect delivery within a couple of days. This entire process looks very simple but a developer or businessmen knows exactly how many hurdles need to be jumped to complete the order. Customer information has to pass through several hands so security and privacy of the information are a major concern. The safety and security of a customer's personal information lies within the hands of the business. Therefore businesses have to give the customer first their guarantee, and second peace of mind, that the information passed over is of no risk to any invading eyes.
In traditional and online trading environments, consumers are entitled to have their privacy respected. Websites should provide the customers with choices regarding the use of their personal information, and incorporate security procedures to limit access to customer information by unauthorised parties. Privacy policies and procedures should be clearly explained to customers. Although respecting consumer privacy rights is a legal requirement, it also represents good business practice. If customers trust a site and business then they are more likely to trade with it.
Many people are not willing to disclose their personal information on the Web. It is up to individuals to decide how much personal information they are willing to disclose and how it might be used. Interestingly, one survey found that many people who disclose personal information do so in hope of financial benefit, such as winning a sweepstakes. [6]
Copyright & Trademark
Many attempts have been made to address the issues related to copyrights on digital content. E-commerce has a tremendous impact on copyright and related issues, and the scope of copyrights is affecting how e-commerce evolves. It is essential that legal rules are set and applied appropriately to ensure that digital technology does not undermine the basic doctrine of copyright and related rights. From one perspective, the Internet has been described as "the world's biggest copy machine" [7]. Older technologies such as photocopying, recording and taping are bound by rules and regulations regarding quantity, content, quality and time constraints. In contrast, on the Internet one person can send millions of copies all over the world [8].
Generally, a trademark can be owned by an individual, a company, or any sort of legal entity. When someone else tries to use that trademark (e.g., your distinctive name or logo) without authorisation, it could be considered an illegal dilution of the distinctive trademark. If someone uses a trademark in such a way as to dilute the distinctive quality of the mark or trade on the owner's reputation, the trademark owner may seek damages.
Some Web-based applications have enabled large-scale exploitation of music samples and audio formats. Software that is available free of cost on the Net allows the transfer of songs and videos without the authorization of rights holders (e.g. Napster, MP3 Providers). Moreover, CD burners and portable MP3 players allow copyright violations to occur rather easily.
A number of important recent developments have occurred in the field of copyright and related issues that have far-reaching implications for the industry, and are being addressed in legislatures, judiciaries and international forums. During the last couple of years, new laws have passed in some countries to ensure effective protection and enforcement of rights in the digital era. At the same time, copyright industries are also adapting their business methods and uses of technology to exploit digital opportunities, while guarding against new risks.
A Pew Research Center survey, conducted among roughly 2,500 Americans through March and May 2003, indicates that 35 million US adults download music files online and about 26 million share files online. The downloading population has grown by approximately 5 million users since February of 2001 [9] "Ultimately, the music industry's war on illegal downloading can never be won" say Charles Shoniregun [10].
Online Terms, Conditions, Policies and Laws
At the moment, most online privacy policies are produced by private businesses for individual companies. Governments are developing legislation to support and strengthen the privacy protection measures of many businesses. These initiatives are aimed at regulating the storage, use and disclosure by businesses of personal information.
Privacy legislation is designed to protect a person's personal information. The privacy laws of their host country affect overseas companies. Every organisation should be very careful while applying terms and conditions for the electronic transaction for Internet users. Privacy and security policies not only reflect the organizations practice but also the rules and regulations for doing business with the company. Major issues regarding the legalization of electronic transactions include the following.
— Ensure proper online contracts.
— Record retention obligations.
— Original documentation, in terms of TAX and VAT requirements.
— Import/export regulations.
— Exchange control regulation.
— Foreign data protection law.
Legislation Dilemma
Electronic transactions separate e-business from traditional types of businesses. When a transaction takes place, Who has jurisdiction? Who has the authority to apply law over the transaction?
For example, if you buy a laptop in your local computer store, you know your legal rights. If the computer does not work when you take it home, and the store refuses to settle up, then you can probably take the dispute to your local small claims court. But if you buy the same computer online, from a vendor on the other side of the world, perhaps through a dealer based in yet a third country, then your rights are a lot less clear. Which country's protection laws apply: yours, those in the vendor's home country, or those of the intermediary? Without knowing which particular set of laws apply, it's impossible to know whom to sue. "Small claims courts don't work in cyberspace," according to Ron Presser of the American Bar Association. [2]
A little legislation can go a long way toward helping parties to establish better boundaries to work within. When a transaction that takes place between two different parties located in two different countries goes wrong then a number of complex questions arise.
This is not the first time the question of extra-territorial jurisdiction over Web content has been raised. In November of last year, Felix Somm, ex-manager of CompuServe Deutschland, was cleared on appeal of pornography charges brought against him in Germany after newsgroups carried on parent company CompuServe's US servers were found to contain pornographic material. The judge determined that it was technically impossible for Somm to close the illegal newsgroups in question [2]. Following in the footsteps of the CompuServe's case, Yahoo is arguing that it would be technically impossible to block only French citizens from access to its online auctions if should the auctions contain objectionable items.
Challenges in Cyber Ethics
If being a good Web editor means constantly keeping on top of things, nowhere is that ability more important than in the areas of law and ethics.
The digital transmission of text, graphics, audio and video on the Web make them highly susceptible to theft, also known as copyright infringement. While there are exceptions for fair use — reviews, educational purposes and the like — it's always safest to get permission before using anything you find on the Web.
In late 1996, the World Intellectual Property Organization met in Geneva to consider proposals for handling copyright in the digital era. The have met with criticisms that the proposals would prohibit Web publishers from without paying royalties. Another area of concern is the proposed Critics worry that the definitions of a database are too broad; materials now in the public domain could be made the property of specific individuals and corporations.
Some people even argue that having a link to their Web site constitutes copyright infringement. Generally, however, according to The Copyright Website:
A link is a URL, a fact not unlike a street address, and is therefore not copyrightable. However, a list may be copyrightable under a compilation copyright if it contains some originality.
So while it would be fine to include any link listed on this page on a page of your own, you should get permission before using the entire "Further Reading" list.
A key concern about sites linking to other sites is the effect of the association of a site that links to another, for example, Babes on the Web, a site that rated "the women of the Web" and linked to various women's Web pages that contain photos. While there is little legal recourse for such linkages, The Copyright Website points out,
Netiquette dictates that:
- Other Web sites be told when you plan to link to them.
- Links to other Web sites be removed if the linkee objects.
In two foreign cases, Web publishers have taken legal action against producers of other sites that While no such battles have been fought in the States yet, that doesn't mean they're beyond the realm of possibility.
Composite Web pages also raise sticky legal issues. A composite page is one that is made up at least in part of material residing on other servers. So if I want to include a picture of Mickey Mouse on my page, I might link to one at the Disney Web site. Some Web producers have used this technique to grab page backgrounds, sound files, animations and other materials. The Copyright Website argues against such use, noting that "By stripping an element of its context, you also strip many of the copyright privileges that may have been attached."
Building such composite pages could land you in trouble with laws such as the Georgia statute designed to protect registered trademarks. The law affects users who send data that "uses any individual name, trade name, registered trademark, logo, legal or official seal ... when such permission or authorization has not been obtained." While once such laws were the concern of only those who published in a geographical location, the border-less nature of the Web also raises questions about the application of any law: Does it apply only to sites created or maintained in that state, to sites accessible to users in that state or to some other group? At this point, no one knows.
Another emerging area of concern is whether it is appropriate for a site to display content from another site within a frame. Those doing so — such as — argue that they are helping the sites they feature, by sending visitors to their pages. But in doing so, critics claim, the "parasites" often manage to obscure the advertising on the source pages, which allows sites such as TotalNews to attract advertising without producing any original content. In June 1997, TotalNews agreed to send visitors directly to sites run by the Washington Post, Dow Jones, Time Warner, Reuters and Times Mirror, rather than displaying content from those sites in a frame on the TotalNews site. The agreement came after those companies sued TotalNews for copyright infringement. A few days later, TotalNews tested the limits again by giving users the ability to assemble news pages that can contain other sites within frames.
Even using someone's words should be treated with caution. It's one thing to quote small portions of online documents and give the sources, as I do throughout this document. But search engines make it possible to find what people have said in online discussion lists. Many members of these groups have no intention of making their comments available to the general public, so if you intend to quote them, you should get their permission first.
While it may be far from a Web producer's thoughts on most days, no law has attracted more controversy than the Communications Decency Act, passed in early 1996 and immediately the target of a filed by the Citizens Internet Empowerment Coalition, a group that includes the Society of Professional Journalists, the Newspaper Association of America and the Association of American Publishers Inc. The law was by the U.S. Supreme Court in June 1997, but many states have adopted similar legislation.
After the defeat of the CDA, the Clinton administration pushed for voluntary rating of content on the Internet. While some news publishers supported the rating plan, in late August 1997, major online news organizations announced their opposition. Among those opposed: the Associated Press, MSNBC, CNN Interactive, The New York Times, Time Inc., ABC News, Reuters New Media, Business Week, the Houston Chronicle, the Magazine Publishers Association of America and the Newspaper Association of America.
Ethics, too, can become tricky in the online environment. One particular problem for online journalists is the merging of journalism, advertising and marketing; some newspaper Web sites actually fall under the supervision of the marketing department rather than the editorial department. Such arrangements should make journalists cautious, keeping in mind that their first responsibility is to inform the public, not increase the company's profits.
One particular area of concern is newspaper book reviews that offer a link to an online bookstore, where readers can purchase the books being reviewed. Advocates say the links offer a service to readers; critics suggest that the commission on book sales resulting from the links could be a strong incentive for publishers to refrain from running negative reviews.
These issues represent just the edge of a growing tide of challenges that could not be foreseen in the pre-Web era. Only by staying up to date can you hope to keep your head above water.
Appendix
Articles regarding Cyber Ethics
Software piracy is a victimless crime.
Nothing could be further from the truth! According to industry statistics, illegal software use costs developers worldwide more than $13 billion a year in lost revenues, with $1.96 billion lost in the USA alone. In Europe, about 50% of the software in use is illegal. In some Asian, Latin American and Eastern European markets, over 95% of software is unlicensed. The impact of piracy on the industry is painfully clear. Potential income lost to piracy could be used to upgrade current products, develop new ones, and lower prices across the board. In the end, legitimate users suffer along with developers, by subsidizing "illegal" users who use unpaid-for software. The rapidly-growing number of vendors worldwide who choose to protect their software only proves the severity of the problem.
Software copy protection makes software more expensive.
On the contrary: the price of software copy protection is negligible compared to the losses incurred by developers through the pirating of their software. In fact, by protecting their software and thereby increasing their revenues, developers can afford to supply better software at competitive prices. True, not everyone who copies software today would buy it tomorrow if it were protected, and protection may put off a few potential customers. However, there is no doubt that in the vast majority of cases the investment in protection pays off handsomely in increased sales and profit.
Software copy protection gets in the way of the legitimate user.
The new, more sophisticated types of software copy protection - of which HASP is the leading example - not only don't get in the way of legitimate end-users, they actually benefit them. Protection safeguards the integrity of the software. The end-user is thus assured that the software cannot be tampered with in any way. Plus, higher revenues for developers mean that down the line, users will benefit from better, high-quality software. Large organizations that are legally liable for the software they purchase, have a clear interest in preventing the unauthorized distribution of their software. Often, the users themselves request that the software be protected, to ensure that it won't be used illegally - thus causing the organization harm.
Inexpensive software is not copied.
Some people attack the concept of software protection by arguing: "Make software cheaper, that's all. People don't copy inexpensive software, and you'll sell more copies of your product". But things are not so simple. Developing a software product requires a huge investment of time and money and this work never ends. To succeed in tomorrow's market, developers must invest today. The argument that people don't copy inexpensive software is obviously false. Check a few PCs around you and you'll probably find that most copied programs are actually the cheaper ones.
Any protection system can be cracked. Therefore, protection is useless.
Only the first part of this myth is true: any software protection system can be cracked, just as any lock can be picked or any door can be broken. However, the aim of software protection is to provide protection for a reasonable period of time. Software cannot be protected forever, but it can definitely be protected long enough - i.e., until a new version of the product is released. This new version should be protected again, with a protection system that was also improved in parallel, thus assuring a long and profitable sales life for the protected application.
The IT head-in-the-sand syndrome
The move of business to the information age raises many ethical issues, but has received little ethical attention, either from business or from business ethicists. Uncovering the ethical issues that grow out of information technology, facing them, and providing ethical guidelines is the major challenge for business and business ethics at the start of the new millennium.
The rise of the Internet as a locus of business is changing marketing, for instance. It makes possible one-on-one marketing by tracking the customer, recording his or her preferences and proclivities, and presenting the customer with products that he or she is likely to want to buy. Department stores and discount stores, just like TV ads, have to rely on generalizations and average wants and desires. The Internet makes possible an individual fit. As Internet sales climb, they will continue to encroach on, if not yet threaten, department stores and other stores and retail outlets. Many businesses seem not to care or worry, or else do not know how to respond effectively.
Wal-Mart is one of the few traditional firms that realizes it exists in the information age. In a real sense, Wal-Mart is not primarily in the retail business, but in the information business. It's very much like Amazon.com, except that Wal-Mart also owns its own outlets. Like Amazon.com, Wal-Mart has a database that is probably its most important asset. Because of its database, Wal-Mart can customize each of its stores to suit local shoppers and order product to point-of delivery exactly when each store needs it - saving storage and other costs, and changing the way product is manufactured and delivered.
The effect of such time pressure on factories and workers in the plants that supply Wal-Mart, however, is uncharted territory for the business ethicist. The changes are real. But their ethical impact has yet to be assessed. The security of Internet transactions, the return of goods with which customers are dissatisfied, and the delivery of goods ordered all raise issues to be examined, and carry with them ethical implications. Similarly, how, where, and whether to tax online sellers and buyers is an unresolved question that has been temporarily put on hold by legislation. But the tax base of many cities and local communities relies on local sales taxes, which may well diminish considerably as new ways of buying goods develop in the information age. Business via the Internet changes the relevance of location, geography, times during which businesses are open and employees work, how employees are used, and so on.
In area after area, businesses have not yet started to sort out the implications. And society has not decided whose laws should apply; what rules and regulations should be adopted; who is to decide; and who is responsible for enforcement. The pirating of software, music, books and anything that can be put in digital form is symptomatic of a growing nest of problems.
The failure of business to recognize the move into the information age is demonstrated by its procrastination in facing up to the Y2K problem. That information technology and computer people could not get the attention of management long before the approach of the year 2000, to fix a problem the technicians knew existed and would have to be faced sooner or later, is a sad reflection on business managers. Undoubtedly, many did not understand the problem or its scope, and many who did were unwilling to spend the millions of dollars it would take to fix their systems before they had to, even though the delay added to the cost. Companies are now backing into the information age or being pulled by a technology they do not completely understand, even as they become more and more dependent on it. One result is the focus of my second thesis.
Bibliographies
Communications of the ACM. “ACM Code of Ethics and Professional Conduct, ” (35:5), May 1992, pp. 94-99.
Couger, J.D. “Preparing IS Students to Deal With Ethical Issues,” MIS Quarterly (13:2), June 1989, pp. 211-218.
Johnson, D.G. Computer Ethics, Prentice Hall, Englewood Cliffs, NJ, 1985.