In recent years, the concept of technological "disruption" has become so common that it is practically a punchline. Typically, it describes the fundamental transformation of an existing business by a technology that removes barriers between providers and consumers or otherwise makes commerce easier: "Uber, but for … whatever." Investors love these kinds of technologies, and they can sometimes provide very real gains for consumers and producers as well. But they can also present substantial legal challenges that can be hard to foresee until the business is well underway.

Many of these challenges arise out of the regulatory and intellectual property rights issues effecting a purely digital business—even one that looks, on its surface very much like a physical storefront. For example, in the United States, a digital music streaming service and a terrestrial radio station playing the exact same song pay different amounts for different sets of rights, likely owned by different people or entities. The law simply does not treat physical and digital businesses the same way.

These structures of rights and regulations can be complex, but they exist—at least in theory—to ensure that content producers and providers are compensated for what they do. That includes making sure customers know what they are getting and who is providing or endorsing it.