Written by Frihat Lawyers & Legal Consultants
The Decree-Law No. (21) of 2025 on regulating electronic commerce was issued and published in the Official Gazette on 27/10/2025, and its provisions will come into effect three months after the date of publication, in accordance with the stipulations of the decree-law.
This legislation is part of the Palestinian state’s efforts to organize the legislative environment of the digital economy, keep pace with rapid technological developments, and enhance legal certainty and trust in electronic transactions, achieving a balance between economic freedom and public interest protection.
Objectives of the Decree-Law
The decree-law aims to achieve several fundamental objectives:
- Regulate commercial activities conducted through online platforms and e-commerce stores within the State of Palestine.
- Protect consumers from fraud, deception, and malpractice in digital transactions.
- Support and encourage investment and innovation in digital economy and e-commerce sectors.
- Ensure equality and tax fairness between traditional commerce and its electronic counterpart.
Legal Foundations and Comparative Standards
I. Palestinian Legislative Basis
The decree-law builds upon an existing Palestinian legislative framework, providing clear legal and constitutional grounds, including:
- The Palestinian Basic Law (Amended): serving as the constitutional framework regulating rights, freedoms, and economic activities.
- Trade Law No. (12) of 1966: as the general reference for commercial activities and business regulation.
- Electronic Transactions and Trust Services Law No. (17) of 2024: which recognizes the legal validity of electronic signatures and methods.
- Consumer Protection Law: ensuring consumer rights and preventing unlawful commercial practices.
- Applicable Customs and Tax Laws: to uphold equality and fairness in taxation across all economic activities.
This legislative integration reflects the lawmaker’s commitment to harmonize legal texts and ensure a unified regulatory system for e-commerce.
II. International Comparative Standards
The decree-law also draws upon international principles and standards in e-commerce regulation, particularly regarding:
- The legal recognition of electronic contracts.
- The regulation of online intermediaries and their legal responsibilities.
- Consumer data protection and privacy in the digital environment.
These concepts align with international frameworks and model laws issued by organizations specializing in digital trade, consumer protection, and data privacy, promoting consistency between Palestinian legislation and global best practices.
III. Legal Obligations of Online Stores and Platforms
Under the decree-law, all electronic stores and platforms operating in Palestine must regularize their legal status within six months from the date of the law’s entry into force by:
- Registering in the E-Commerce Registry maintained by the Ministry of National Economy.
- Obtaining an official registration certificate in accordance with the regulations and executive instructions to be issued by the competent authorities.
This obligation is a fundamental condition for legally conducting e-commerce activities within Palestine.
Conclusion
Given the above, owners of digital projects and e-commerce stores are strongly advised to review their legal and organizational status proactively, and ensure compliance with the provisions of the decree-law and its executive regulations, to avoid any legal violations or penalties once the law takes effect.
Decree-Law No. (21) of 2025 represents a significant legislative step forward in regulating e-commerce in Palestine, enhancing trust in the digital economy, and creating a stable legal environment for electronic trade.