Electronic Commerce in Malaysia

LAWS OF MALAYSIA Act 658 ELECTRONIC COMMERCE ACT 2006 2 Laws of Malaysia ACT 658 Conclusion of Royal Assent Conclusion of divulgation in the Gazette ... ... ... ... 30 August 2006 31 August 2006 Publisher’s Copyright C PERCETAKAN NASIONAL MALAYSIA BERHAD All hues backwardness. No disunite of this divulgation may be reproduced, stored in a retrieval scheme or infectious in any construct or by any resources electronic, unreflective, photocopying, recording and/or differently beyond the preceding endurance of Percetakan Nasional Malaysia Berhad (Appointed Printer to the Government of Malaysia). Electronic Commerce LAWS OF MALAYSIA Act 658 ELECTRONIC COMMERCE ACT 2006 3 ARRANGEMENT OF SECTIONS PART I PRELIMINARY Minority 1. 2. 3. 4. 5. Short address and start Application Use not mandatory Intimation to other written laws Interpretation PART II LEGAL RECOGNITION OF ELECTRONIC MESSAGE 6. 7. Lawful remembrance of electronic intimation Shape and security of abridge PART III FULFILMENT OF LEGAL REQUIREMENTS BY ELECTRONIC MEANS 8. 9. 10. 11. 12. 13. Writing Sigsort Sanction Evidence Primordial Remonstrance of instrument 4 Minority Laws of Malaysia 14. 15. 16. Vision Prescribed construct Labor and exhibition PART IV COMMUNICATION OF ELECTRONIC MESSAGE ACT 658 17. 18. 19. 20. 21. 22. 23. 24. Attribution of electronic intimation Contents of electronic intimation Each electronic intimation to be present individually Spell of expedite Spell of acknowledgment Assign of expedite Assign of acknowledgment Acknowledgement of acknowledgment PART V MISCELLANEOUS 25. Regulations SCHEDULE Electronic Commerce LAWS OF MALAYSIA Act 658 ELECTRONIC COMMERCE ACT 2006 5 An Act to arrange for lawful remembrance of electronic intimations in wholesale behaviors, the use of the electronic intimations to purport lawful accomplishments and to empower and smooth wholesale behaviors through the use of electronic resources and other matters alike therewith. [ ENACTED by the Parliament of Malaysia as follows: PART I PRELIMINARY ] Short address and start 1. (1) This Act may be cited as the Electronic Commerce Act 2006. 2) This Act comes into influence on a conclusion to be appointed by the Minister by declaration in the Gazette. Application 2. (1) Subject to minority 3, this Act shall apportion to any wholesale behavior directed through electronic resources including wholesale behaviors by the Federal and State Governments. (2) This Act shall not apportion to the behaviors or instruments precise in the Schedule. 6 Laws of Malaysia ACT 658 (3) The Minister may by command rectify, shift, delete from or add to the Schedule. Use not mandatory 3. 1) Nothing in this Act shall produce it mandatory for a idiosyncratic to use, arrange or recognize any electronic intimation in any wholesale behavior spontaneous the idiosyncratic submits to the using, providing or recognizeing of the electronic intimation. (2) A idiosyncratic’s submit to use, arrange or recognize any electronic intimation in any wholesale behavior may be deduced from the idiosyncratic’s direct. Intimation to other written laws 4. The application of this Act shall be auxiliary and beyond damage to any other laws reigning wholesale behaviors. Interpretation 5. In this Act, spontaneous the texture differently requires— “electronic” resources the technology of utilizing electrical, optical, magnetic, electromagnetic, biometric, photonic or other harmonious technology; “Minister” resources the Minister charged delay the commission for domiciliary employment and consumer affairs; “electronic intimation” resources an advice generated, sent, common or stored by electronic resources; “originator” resources a idiosyncratic by whom or on whose side, the electronic intimation is generated or sent; “addressee” resources a idiosyncratic who is contrived by the committer to take the electronic intimation; Electronic Commerce “advice regularitying scheme” resources an electronic scheme for generating, transmiting, receiving, storing or regularitying the electronic intimation; “electronic attestation” resources any note, sort, number, gauge or any other repute or any consortment thereof created in an electronic construct adopted by a idiosyncratic as a attestation; “wholesale behaviors” resources a only mention or multiple mentions of a wholesale sort, whether abridgeual or not, which includes any matters about to the yield or exshift of property or labors, performance, investments, financing, banking and protection. PART II LEGAL RECOGNITION OF ELECTRONIC MESSAGE Lawful remembrance of electronic intimation 6. (1) Any advice shall not be deprived lawful commodities, security or enforceability on the account that it is totally or disunitely in an electronic construct. (2) Any advice shall not be deprived lawful commodities, security or enforceability on the account that the advice is not contained in the electronic intimation that furnishs flow to such lawful commodities, but is narrowly referred to in that electronic intimation, arranged that the advice entity referred to is unclosed to the idiosyncratic over whom the referred advice energy be used. Formation and security of abridge 7. (1) In the constructation of a abridge, the mention of proposals, recognizeance of proposals, and abrogation of proposals and recognizeances or any kindred mention may be explicit by an electronic intimation. (2) A abridge shall not be deprived lawful commodities, security or enforceability on the account that an electronic intimation is used in its constructation. Laws of Malaysia PART III FULFILMENT OF LEGAL REQUIREMENTS BY ELECTRONIC MEANS ACT 658 Adaptation 8. Where any law requires advice to be in adaptation, the accomplishment of the law is purported if the advice is contained in an electronic intimation that is unclosed and obvious so as to be feasible for succeeding intimation. Sigsort 9. 1) Where any law requires a sigsort of a idiosyncratic on a instrument, the accomplishment of the law is purported, if the instrument is in the construct of an electronic intimation, by an electronic sigsort which— (a) is attached to or is logically associated delay the electronic intimation; (b) adequately identifies the idiosyncratic and adequately marks the idiosyncratic’s encomium of the advice to which the sigsort relates; and (c) is as common as is mismiswithhold abandoned the meaning for which, and the term in which, the sigsort is required. 2) For the meanings of exception (1)(c), an electronic sigsort is as common as is mismiswithhold if— (a) the resources of creating the electronic sigsort is linked to and below the administer of that idiosyncratic only; (b) any diversification made to the electronic sigsort behind the spell of signing is detectable; and (c) any diversification made to that instrument behind the spell of signing is detectable. 3) The Digital Sigsort Act 1997 [Act 562] shall hold to apportion to any digital sigsort used as an electronic sigsort in any wholesale behavior. Electronic Commerce Sanction 9 10. (1) Where any law requires a sanction to be concomitant to a instrument, the accomplishment of the law is purported, if the instrument is in the construct of an electronic intimation, by a digital sigsort as arranged below the Digital Sigsort Act 1997. 2) Notwithstanding subminority (1), the Minister may, by command in the Gazette, mark any other electronic sigsort that purports the accomplishment of affixing a sanction in an electronic intimation. Evidence 11. Where any law requires the sigsort of a evidence on a instrument, the accomplishment of the law is purported, if the instrument is in the construct of an electronic intimation, by an electronic sigsort of the evidence that complies delay the accomplishments of minority 9. Original 12. (1) Where any law requires any instrument to be in its primordial construct, the accomplishment of the law is purported by a instrument in the construct of an electronic intimation if— (a) there exists a common self-confidence as to the uprightness of the advice contained in the electronic intimation from the spell it is earliest generated in its last construct; and (b) the electronic intimation is unclosed and obvious so as to be feasible for succeeding intimation. 2) For the meanings of exception (1)(a)— (a) the criteria for assessing the uprightness of the advice shall be whether the advice has remained thorough and unaltered, adisunite from the analysis of any endorsement or any shift which arises in the typical mode of mention, storage and display; and (b) the scale of reliability required shall be assessed in the portable of the meaning for which the instrument was generated and in the portable of all other bearing term. 10 Laws of Malaysia ACT 658 Remonstrance of instrument 13. Where any law requires any instrument to be retained, the accomplishment of the law is purported by retaining the instrument in the construct of an electronic intimation if the electronic intimation— (a) is retained in the constructat in which it is generated, sent or common, or in a constructat that does not materially shift the advice contained in the electronic intimation that was primordially generated, sent or common; (b) is unclosed and obvious so as to be feasible for succeeding intimation; and (c) identifies the beginning and consignment of the electronic intimation and the conclusion and spell it is sent or common. Copy 14. Where any law requires any instrument to be retained, served, sent or delivered in more than one vision, the accomplishment of the law is purported, if the instrument is in the construct of an electronic intimation, by remonstrance, labor, transmiting or exhibition of the instrument in one vision. Prescribed construct 15. Where any law requires any instrument to be in a markd construct, the accomplishment of the law is purported by a instrument in the construct of an electronic intimation if the electronic intimation is— (a) constructatted in the correspondent or actually the correspondent way as the markd construct; (b) unclosed and obvious so as to be feasible for succeeding intimation; and (c) preferable of entity retained by the other idiosyncratic. Labor and exhibition 16. (1) Where any law requires any instrument to be served, sent or delivered, the accomplishment of the law is purported by the Electronic Commerce 11 ervice, transmiting or exhibition of the instrument by an electronic resources if an advice regularitying scheme is in assign— (a) to establish the beginning, consignment, spell and conclusion of labor, transmiting or exhibition; and (b) for the acknowledgement of acknowledgment, of the instrument. (2) This minority does not apportion to— (a) any mention of delinquency, mention of insist, mention to appearance producer, mention of retrieval or any harmonious mentions which are required to be served preceding to commencing a lawful behavior; and (b) any beginningating regularity, fascinating, affidavit or other instruments which are required to be served pursuant to a lawful behavior. PART IV COMMUNICATION OF ELECTRONIC MESSAGE Attribution of electronic intimation 17. (1) An electronic intimation is that of the committer if it is sent by the committer himself. (2) As among the committer and the addressee, an electronic intimation is supposed to be that of the committer if it is sent by— (a) a idiosyncratic who has the instance to act on side of the committer in reference of that electronic intimation; or (b) an advice regularitying scheme programmed by, or on side of, the committer to produce automatically. 3) As among the committer and the addressee, the addressee is entitled to view an electronic intimation as entity that of the committer, and to act on that understanding, if— (a) the addressee appropriately applies an evidence mode agreed among the committer and the addressee for ascertaining whether the electronic intimation was that of the committer; or 2 Laws of Malaysia ACT 658 (b) the electronic intimation as common by the addressee resulted from the actions of a idiosyncratic whose harmony delay the committer or any embodiment of the committer empowerd that idiosyncratic to gain advent to an evidence mode used by the committer to establish electronic intimation as its own. 4) Subminority (3) does not apportion if— (a) the addressee has common a mention from the committer that the electronic intimation is not that of the committer and has steady spell to act accordingly; or (b) the addressee knew or should own notorious that the electronic intimation was not that of the committer had he drilld steady foresight or used any evidence mode agreed among the committer and the addressee. Contents of electronic intimation 18. Where an addressee takes an electronic intimation, the addressee is entitled to view the electronic intimation as entity what the committer contrived to transmit, and to act on that understanding, spontaneous the addressee knew or should own notorious, had he drilld steady foresight or used any agreed progress, that the transmission resulted in any fault in the electronic intimation as common. Each electronic intimation to be present individually 19. Where an addressee takes an electronic intimation, the addressee is entitled to view each electronic intimation common as a severed electronic intimation and to act on that understanding, spontaneous the addressee knew or should own notorious, had he drilld steady foresight or used any agreed progress, that the electronic intimation was a image. Spell of expedite 20. Spontaneous differently agreed among the committer and the addressee, an electronic intimation is supposed sent when it enters an advice regularitying scheme beyond the administer of the committer. Electronic Commerce Spell of acknowledgment 13 21. Spontaneous differently agreed among the committer and the addressee, an electronic intimation is supposed common— (a) where the addressee has determined an advice regularitying scheme for the meaning of receiving electronic intimations, when the electronic intimation enters the determined advice regularitying scheme; or (b) where the addressee has not determined an advice regularitying scheme for the meaning of receiving electronic intimations, when the electronic intimation comes to the instruction of the addressee. Assign of expedite 22. Unless differently agreed among the committer and the addressee, an electronic intimation is supposed sent from the committer’s assign of duty, and— (a) where the committer has more than one assign of duty, from the assign of duty that has the closest harmony delay the behavior or where there is no assign of duty that has the closest harmony delay the behavior, from the committer’s foremost assign of duty; or (b) where the committer does not own a assign of duty, from the committer’s plain assign of pernoctation. Assign of acknowledgment 23. Unless differently agreed among the committer and the addressee, an electronic intimation is supposed common at the addressee’s assign of duty, and— (a) where the addressee has more than one assign of duty, at the assign of duty that has the closest harmony delay the behavior or where there is no assign of duty that has the closest harmony delay the belowlying behavior, at the addressee’s foremost assign of duty; or (b) where the addressee does not own a assign of duty, at the addressee’s plain assign of pernoctation. 4 Laws of Malaysia ACT 658 Acknowledgement of acknowledgment 24. (1) This minority applies where, on or antecedently transmiting an electronic intimation, or in the electronic intimation, the committer has requested or agreed delay the addressee that acknowledgment of the electronic intimation is to be current. (2) Where the committer has requested or agreed delay the addressee that acknowledgment of the electronic intimation is to be current, the electronic intimation is entertained as though it has never been sent until the acknowledgement is common. 3) Where the committer has not agreed delay the addressee that the acknowledgement be abandoned in a disuniteicular construct or by a disuniteicular mode, an acknowledgement may be abandoned by— (a) any mention by the addressee, automated or differently; or (b) any direct of the addressee ample to mark to the committer that the electronic intimation has been common. 4) Where the acknowledgement has not been common by the committer delayin the spell precise or agreed or, if no spell has been precise or agreed, delayin a steady spell, the committer may— (a) furnish mention to the addressee stating that no acknowledgement has been common and specifying a steady spell by which the acknowledgement must be common; and (b) if the acknowledgement is not common delayin the spell precise in exception (a), furnish mention to the addressee to entertain the electronic intimation as though it had never been sent and drill any other hues he may own. 5) Where the committer takes the addressee’s acknowledgement of acknowledgment, it is presumed that the addressee common the kindred electronic intimation. (6) Where the common acknowledgement states that the kindred electronic intimation purports technical accomplishments, either agreed upon or set forth in useful scales, it is presumed that those accomplishments own been purported. Electronic Commerce PART V MISCELLANEOUS 15 Regulations 25. The Minister may produce such regulations as are indispensable or judicious for giving generous commodities to the conditions of this Act. SCHEDULE (Section 2) This Act shall not apportion to the subjoined behaviors or instruments: 1. 2. 3. 4. Power of attorney The fable of wills and codicils The fable of trusts Negotiable instruments DICETAK OLEH PERCETAKAN NASIONAL MALAYSIA BERHAD, KUALA LUMPUR BAGI PIHAK DAN DENGAN PERINTAH KERAJAAN MALAYSIA