Website Regulation Is Increasing

Website regulation is increasing, particularly for websites that allow user interaction, user-generated content, online marketplaces or platforms that connect businesses and customers. Many businesses do not realise that their website may fall within the scope of newer regulations because they do not consider their website to be a “platform”, even though legally it may be treated as one.

For example, if a website allows users to post content, leave reviews, upload information, communicate with other users or sell goods or services through the website, the business operating the website may have additional responsibilities in relation to content, user behaviour and transparency.

The Online Safety Act is introducing new responsibilities for certain types of websites and platforms, particularly where users can interact with each other or upload content. Businesses operating these types of websites may need to consider issues such as content moderation, reporting mechanisms, user terms, and processes for dealing with harmful or inappropriate content.

In addition, the Platform to Business Regulations apply to online platforms that allow businesses to sell goods or services to consumers through a platform. These regulations include requirements around transparency in terms and conditions, how businesses are ranked on the platform, how data is used, and how and when accounts can be suspended or terminated.

The direction of travel is clear: websites are becoming more regulated, not less. Businesses that operate more complex websites, particularly those involving user interaction, marketplaces or platforms, should ensure they understand what regulations apply and that their terms, policies and processes reflect those obligations.

Many businesses are surprised to discover that their website is subject to regulations they were not aware of, which is why a bespoke website legal audit can be valuable in identifying risks and ensuring compliance.

If your website includes user accounts, user content, ecommerce or marketplace functionality, it may be worth reviewing whether additional regulations apply to your website.