Virtual Organization. By the term, a company which does business exclusively in the virtual environment could be construed as a virtual organization. Homedepot.com and bestbuy.com would not be considered a virtual organization, because of their physical presence. One can go to a Home Depot or Best Buy, and one can even order something on Best Buy’s virtual site and pick it up in a store. One cannot perform such an activity with Expedia.com. Expedia.com fits the term of virtual organization, and as such, would be subject to the laws of the United States because of where Expedia, as a company, is headquartered.
Just like any other company, there is a likelihood of Expedia having legal issues. One such issue would be a user purchasing an airline ticket, and Expedia not following through with relaying the passenger information to the airline. The user would show up at the airport and the airline would deny boarding. The aforementioned situation would be a display of negligence on Expedia’s part, as well as not performing due diligence with taking care of paying customers. Expedia would also be under breach of contract, because the user entered into a contract with expedia for the exchange of money for a good or service, and Expedia, by negligence, did not keep their end. One possible solution would be for the user to call Expedia’s customer service number to get the problem rectified with the goal of getting on the flight promised. If that would not be possible, then the next available flight that day. If it were to be an inconvenience to the customer, Expedia would do right by giving that customer a consideration for the next purchase, if not refunding the ticket altogether.
Another poten ...