ABSTRACT
Law enforcement authorities have an interest in controlling encryption. There are also privacy issues which, though not directly relevant to e-commerce, nonetheless impact on the general issue of state control. In the course of e-commerce transactions, much personal data can be taken, which can then be stored and processed by unaccountable private concerns. Maintaining a balance between law enforcement agencies, civil libertarians and the needs of e-commerce is not the only difficulty facing state interests in controlling encryption. To prohibit encryption, quite apart from the disastrous consequences this would have on e-commerce, would also shift the balance away from civil libertarians. E-mail is much easier to intercept than a telephone conversation and satellite communication, in particular, requires no special equipment. The United Kingdom provisions specific to e-commerce are, however, contained in the 2003 privacy and electronic communications regulations, implementing the 2002 directive. These regulations add to, and elaborate on, any obligations under the 1998 Act.
