The Legal Regulation Of The Internet Unfair Competition

At present, the competition in the Internet field is a melee mode, and various acts ofunfair competition are emerging. The “Anti-Unfair Competition Law”, enforced in1993,applies to the emerging field of Internet time, which is stretched. Now the “Anti-UnfairCompetition Law” is under great pressure and unprecedented challenges from the Internetsector. In this paper, the main topic to discuss is Tencent v.360Case about unfair competitionregulations in the field of Internet. Except the introduction, this paper is divided into fourparts, about35,000words in all.“Part one: the problem of Tencent v.360Case”.At first, make a brief introduction ofTencent v.360Case, including the impact of the case, the relevant facts, the trial process andits results. Then four questions are raised based on the case: Application of the general termsis reasonable? What the impacts can the competitive relationship brings on identification ofunfair competition? Whether on the Internet field of unfair competition is generallyconsidered to extract the constituent elements? What civil liability should the unfaircompetitors bear?“Part two: Internet field of unfair competition types, characteristics and nature”. On thebasis of the analysis of statistical data, there are three types of unfair competition in theInternet field, as follow: undermining the integrity of the software of other operators,thebusiness discrediting, free rider. The latter two types of unfair competition is a traditionalvariation in the Internet environment. These three acts of unfair competition showed somefeatures, such as the normalization of vicious competition means, more subtle maliciouscompetition, and low cost of illegal acts, wide scope of influence. In fact, the type andcharacteristics of unfair competition in the field of internet are phenomenon to understand thebehavior of the Internet, through which we can find the domain nature of unfaircompetition-users. Competition among Internet companies has transformed to “convergednetwork” from the early “plate-type collision”. Under the TWO-SIDED MARKET, majorinternet companies carrying out an open platform strategy on this side of paid advertising market are direct competitor. It is a competition between the platforms essentially.“Part there: the defects of current legal regulation of unfair competition in the Internetfield.” Defects mainly reflected in two aspects: the first one is that unfair competitionqualitative dilemma. Principle of good faith and accepted business ethics as a qualitativestandards are inherently uncertain. The limited subject of article II of Anti-UnfairCompetition Law is operator, which are market bodies of the competitive relation, thereforeexclude the non-operators application; the second one is that responsibility of unfaircompetition acts in the internet areas is inadequate. Lacking of preliminary injunctionprovisions led to unfair competition caused irreparable losses. Damages have been low levelsso that the perpetrator “suffered a defeat, but to win in the market”. After business reputation,product reputation suffered damage, no apology to eliminate the influence.“Part four: Suggestions for regulation of unfair competition in the Internet field” is theend of the article. On the analysis of the previous argumentation, the author proposed that weshould amend “Anti-Unfair Competition Law” in time. Clear principle of good faith andaccepted business ethics content with relevant industry standards. Adding types ofundermining the integrity of the software of other operators, hitchhiking. Remoulding article14on defamation to adapt to the development of the Internet. In terms of civil responsibility,introduce preliminary injunction, and establish punitive damages system; the loss of the rightsshould include loss of profits and losses can be expected goodwill; improve the way of civilliability the unfair competitor shall bear, including: stop the infringement, damages, apology,eliminate the impact.