Abstract:
In the modern business epoch, the electronic transactions are considered as the key method of
transaction to deal with the global digital financial system. By entering into an era of IT advancement,
the e-transactions are being developed throughout the business world.Consequently; people have
taken place most transactions over the internet with using their electronic instruments as it is easy to
fulfill their requirements without wasting time. The e-transaction can be executed by the way of
business to business, business to consumer and consumer to consumer. It is noted that there is a
massive growth in e-transactions due to the globalization and it opens the door to the national ebusiness as well as to the across-broader market. By the common global consensus, Sri Lanka has
taken a significant effort to develop the international e-commercial law: vide the Electronic
Transaction Act, No. 19 of 2006 as it is amended by the Act No. 25 of 2017. The crucial problem of this
study is whether there is a sufficient protection to the consumers or businesses throughout electronic
transactions in Sri Lanka, especially when using electronic signatures. This paper will be carried out
based on the qualitative method: primary sources viz. relevant Acts and secondary sources viz.
relevant articles, websites, journals, text book. The core objective of this study is to critically analyze
the Electronic Transaction Act in Sri Lanka comparing with the European Union legislations relating to
e-transactions. Yet, the contemporary law in SL has not included any penal provisions to punish
swindlers who may cause grave loss or damage to innocent consumers. At the conclusion, this paper
will recommend to set forth a secured legal framework which deals with electronic authentication to
the protection of consumers and businesses.
