|Abstract:||Internet of things is a technology, which enables individual intelligent objects to connect to each other, exchange data and make decisions. Internet of things has an important effect on several legal fields and raises a number of issues, especially in relation to the right to privacy and data protection, consent for the collection and processing of data, discrimination, competition law and it also affects contractual and tort law. Due to the complexity of the Internet of things ecosystem and the subsequent complexity of connected devices, the user may have trouble proving the source of damage, when an error, which results in damage, occurs. EU law does provide for a strict liability regime for defective products, but the complexity of the connected devices often makes it impossible to differentiate between a product and a service, for which these rules do not apply. Furthermore, the autonomy of the devices results in a new type of contracts that are concluded between autonomous devices. The legal uncertainty in relation to these contractual relationships arises from the question, whether and under which conditions, the person on whose behalf the connected device has entered into a legal relationship, is legally bound.
The technology of the Internet of things also caused the development of Big Data phenomena, which represents a massive amount of gathered data that are stored in clouds on the internet. The newly discovered market value of the data formed a need for a legal reform of data protection law in EU, which would be more efficient in regulating this field and would fill the constituted legal vacuums, which is why EU has adopted the Regulation (EU) 2016/179 and the Directive (EU) 2016/680 that introduce a few important innovations. Among other provisions, the new set of rules ensures a higher level of control of individuals over their data, grants the right to be forgotten and the right to know when one’s data has been hacked, and they also stipulate data protection by design and by default. In light of the rapid digital development EU has also drafted a Strategy for the digital single market, which aims to take into account the specifics of the online environment and ensure equal conditions and safe trading as the single market, and in which it also encourages the development of the Internet of things.|