Where is an Online Product Deemed to be 'Received'?

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The place of receipt for online products can be confusing, since the transaction is made in a virtual space. Courts should take into consideration the technology trends that can have an impact on delivery provisions.

Arguing that the sales transaction is completed when the buyer takes delivery, the article expresses the opinion that for on-line transactions, the place of delivery should be the appropriate jurisdiction for patent law infringement.

“The place appointed by the buyer becomes the most important tangible point of connection in an online transaction…therefore, where online transactions are involved, it is preferable to recognize the place of receipt as the place of infringement, rather than the place of the seller’s registered address or the address of dispatch”.

Takeaway:

  • In an online sales transaction agreement, the place of receipt, and not the place of domicile of the vendor, should be the location of any infringement of the product sales agreement.