This incident is one of many other incidents that exemplify the need of having awareness of legal implications in the e-commerce business demanding amendments in various laws of privacy and confidentiality. One of the most significant legal issues that arise in regards to conducting the business over World Wide Web is the involving jurisdiction (Beynon-Davies, 2011a). As mentioned in the above case, SWIFT was in a conflicting position between American (subpoenas) and the European law regarding privacy. While the Belgian Privacy Commission considered the company to be the data controller with data processing as just part of one of its many services. As a result, the Commission found it in breach of European privacy law as it transferred the data to non-EU country i.e. USA. Thus, the data protection authorities require to apply the legislation in a correct as well as detailed way. (Jacobs 2007).
In regards to privacy rights and obligations, the Electronic Communication Privacy Act of 1986 is the major law that governs privacy issues on internet today. Laws were not able to keep pace with the robust growth of internet and web applications. It has led to changes in the privacy assumptions, for example, the internet facilitates transactions on real estates in the USA, make the real estate property readily available to a wider section of individuals, therefore, there has been reduction in the privacy that has been previously afforded to only the parties or participants in such transactions (Coursey and Norris, 2008).