Challenges of Determining Jurisdiction and Applicable Law in International Electronic Contracts

The use of information technology in business has led to challenges in the rules governing jurisdiction and applicable law as, these rules are mainly based on the principle of physical approximation, while there is no physical space in the cyberspace, so how we can apply this principle to find out appropriate jurisdiction either law or court. Accordingly, this element of cyberspace has challenged the traditional legal rules of jurisdiction, which is based on place. This advent raised the question of whether legal actions in cyberspace can be regulated by traditional legal rules. In order to answer this question, we categorize rules governing on the determination of jurisdiction and applicable law according to their basis, and then fundamental bases of jurisdiction rules including mental factor and objective factor will be evaluated functionally.