Legal, Compliance & Privacy in Ecommerce Flashcards
6 cards from real CES practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Legal, Compliance & Privacy in Ecommerce flashcards as text
What is a DMCA takedown notice used for in ecommerce?
Answer: To request removal of infringing content (e.g., stolen product images or descriptions) from a website
A DMCA (Digital Millennium Copyright Act) takedown notice is a formal request to a website host or platform to remove content that infringes on the sender's copyright.
What does intellectual property protection mean for an ecommerce brand's product photos?
Answer: Original product photos are automatically protected by copyright, preventing others from using them without permission
Under US copyright law, original photographs are protected the moment they are created, meaning others cannot use, reproduce, or distribute them without authorization.
What is the significance of 'data minimization' as a principle in ecommerce privacy compliance?
Answer: Collecting only the personal data that is necessary for the stated business purpose
Data minimization, a core GDPR principle, requires businesses to collect and retain only the minimum personal data necessary for the specific purpose for which it was collected.
What is the purpose of a merchant's refund and return policy from a legal standpoint?
Answer: To establish clear contractual terms that set customer expectations and limit potential legal disputes
A clear return policy forms part of the purchase contract, managing customer expectations and providing legal protection by establishing the agreed terms of the transaction.
What does 'right to be forgotten' mean for ecommerce businesses serving EU customers?
Answer: Customers can request that the merchant delete all their personal data from the business's systems
Under GDPR Article 17, EU residents can request erasure of their personal data if it is no longer necessary for the original purpose, which ecommerce merchants must comply with.
Which US regulation requires ecommerce merchants to notify customers when their personal data has been compromised in a breach?
Answer: State data breach notification laws (varying by state, with all 50 states having such laws)
All 50 US states have enacted data breach notification laws requiring businesses to notify affected customers and often state authorities when personal data is compromised.