Click, Buy, Comply: How the 2025 E-Commerce Law in Palestine Redefines Online Business
Palestine is steadily moving from paper to pixels. Over the past few years, a series of landmark reforms has reshaped the country’s digital landscape, from the National Payments Law of 2022, which built the infrastructure for secure electronic payments, to the Electronic Transactions and Trust Services Law of 2024, which recognized the legal validity of e-signatures and digital documents.
In comes the 2025 E-Commerce Law in Palestine (Decree-Law No. 21 of 2025), issued to regulate how trade unfolds in the online sphere. In conjunction, these laws signal Palestine’s commitment to digital governance, entrepreneurship, and economic modernization.
A Framework for a Changing Market
For years, online trade grew faster than the rules around it. Small shops, independent sellers, and social-media businesses thrived in a space that was largely unregulated. The new law brings that growth under a clear legal framework.
Article (2) sets its goals plainly: to organize electronic commerce, protect buyers and sellers from fraud, strengthen trust in digital transactions, support investment innovation in the digital economy, and ensure fair taxation between online and traditional businesses.
The message is less about restriction and more about recognition. Digital commerce is now a defined part of the Palestinian economy, subject to rights, duties, and oversight like any other sector.
Scope and Application
Under Article (3), the law applies to all e-commerce activity within the State of Palestine, excluding only two areas:
- The sale or purchase of immovable property (real estate), and
- Commercial transactions that require special legal procedures under other laws.
In practice, this means that anyone selling goods or services online to consumers in Palestine whether through a dedicated website, an app, or a social-media page, is covered by the new framework.
Building the Infrastructure: The National E-Commerce Registry
Articles (6) and (7) introduce one of the law’s most visible reforms: a national e-commerce registry managed by the Ministry of National Economy. The registry will serve as a central database of verified online vendors.
Every online store operating in Palestine, from established retailers to individual sellers, will be required to register and obtain a certificate of registration before conducting business. Under Article (7/4), every store must submit its operational policy to the Ministry for approval. This process creates a baseline of consistency across the market and gives smaller sellers a template for responsible operation.
Key Provisions at a Glance
Beyond registration, several core requirements define how online trade will operate going forward:
- Transparency and Consumer Protection: Online advertisements must clearly state that they are commercial, include accurate product information, and display the store’s registration number. Vendors must issue detailed invoices and honor return and warranty policies.
- Electronic Contracts: Article (11) sets a new baseline for how online transactions are formed. Every electronic contract must include core details such as the store’s registration number, product specifications, full pricing including taxes, delivery terms, refund and warranty conditions, payment method, and complaint procedures. It also makes vendors legally responsible for fulfilling these obligations, even when parts of the sale are handled by external service providers such as couriers or payment processors.
- Data Protection: Sellers are directly responsible for safeguarding customer data, obtaining consent for collection and use, and reporting any breaches.
- Prohibited Products: The law bans the sale or promotion of certain goods, including alcohol, tobacco, pharmaceuticals, weapons, and settlement products.
- Accountability: Vendors are liable for fulfilling contracts and for the actions of third parties operating on their behalf.
Compliance and Penalties
Article (23) gives the law real teeth. Its new measures mark the transition of digital commerce from an informal marketplace to a regulated, accountable sector.
Running an unregistered online business, providing false information, or breaching advertising and consumer-protection rules can lead to fines ranging from 500 to 4,000 Jordanian dinars, imprisonment of up to three years, or both. The Ministry also has the power to suspend or close non-compliant stores.
E-Commerce Law in Palestine: What It Means for Businesses
The law draws a clear line: doing business online now carries the same responsibilities as operating on the ground. Registration is mandatory, and every digital storefront, whether a full-scale platform or a single-page account, must meet basic standards of transparency and consumer protection.
The law also standardizes digital contracts, which leaves little room for ambiguity over pricing, delivery, or refunds, an adjustment that will demand clearer documentation and more consistent customer policies from every online seller. While that shift brings new obligations, it also imposes clarity. Registered sellers will find it easier to build trust, form partnerships, and access formal financial services. For smaller sellers, it’s a nudge toward structure, toward writing clear policies, issuing invoices, and keeping records that hold up under scrutiny.
At the practical level, online operators should begin by:
- Registering a Palestinian domain (.ps) and business address;
- Preparing a compliant store policy (privacy, delivery, refunds, data protection);
- Making sure invoices and advertising meet the new disclosure requirements; and
- Coordinating with licensed electronic payment platforms.
While these steps introduce new obligations, they also offer credibility and build consistency and trust, which are the real drivers of growth in a digital market.
Digital Policy at a Crossroads
The 2025 E-Commerce Law in Palestine lands at a point where the country’s digital infrastructure is beginning to align: payments are regulated, signatures are secure, and now trade itself has a framework. That convergence turns a set of scattered initiatives into a functioning system. For businesses willing to adapt early, this shift can open new markets and ways to innovate.
The next frontier will be policy, how the state manages digital taxation, cross-border e-commerce, and integration with international payment networks. The scaffolding is present, but how it’s filled in; through practice, enforcement, and adaptation, will shape the contours of Palestine’s digital economy.
At Kurdi & Co., our team is closely following the implementation of the new law and assisting clients in reviewing their digital operations, registration, store policies, and compliance strategies. For tailored guidance on adapting your business to the law’s requirements, contact our team.
This Article was researched and written on November 9th, 2025 by Samer Kurdi.
