How is EDI trading different from any other form of trading ?
For the most part the answer to the question about the difference between EDI trading and other trading not at all. The actual trade deal, whether this be a contract of sale, of insurance, of carriage or any other sort of contract (we will call this the underlying contract) is not affected by the way in which you exchange information about it or related issues. This is why, in many jurisdictions, you can make a contract either verbally or in writing, or even just by acting in a certain fashion, and it will be just as binding regardless of in which way you choose to express the contract
But it is right here that some of the more interesting issues of E.D.I. contracting appear. First, not all contraacts can be concluded in a legally binding fashion without being expreessed in writing, and second, the list of contracts that require writing varies from country to country. Finally, the reason why so many contracts are expressed in writing, even though it is not required by law, is of course the ease with which the existance and contents of such a contract can be proven. Evidential aspects play an important role in EDI considerations, too.
Furthermore, EDI trading may well involve more than one contractual relationship. In particular, it is almost certain to involve relationships between each of the trading partners and one or more network service suppliers. Also, by its very nature, EDI trading often occurs in long chains between vertically related trading partners, indeed it is designed to facilitate such long chains, which means that a problem at one end can easily permeate a large number of individual contractual relationships.
Clearly, therefore, the legal aspects of EDI are not as simple as they first may seem, much depends on jurisdictions, but wise trading partners will ensure the `Interchange Agreements' clearly defines their position in the case of legal difficulties.