- PART I DECLARATION OF POLICY AND PRINCIPLES FOR ELECTRONIC COMMERCE PROMOTION
- PART II ELECTRONIC COMMERCE IN GENERAL
- Chapter I General Provisions
- Chapter II Legal Recognition of Electronic Data Messages And Electronic Documents
- Section 7. Legal Recognition of Electronic Data Messages and Electronic Documents.
- Section 8. Incorporation by Reference
- Section 9. Use Not Mandatory
- Section 10. Writing
- Section 11.Original
- Section 12. Solemn Contracts
- Legal Recognition of Electronic Signatures
- Modes of Authentication
- Modes for Establishing Integrity
- Admissibility and Evidential Weight
- Retention of Electronic Data Message and Electronic Document
- Chapter III Communication of Electronic Data Messages And Electronic Documents
- Section 21. Formation and Validity of Electronic Contracts
- Section 22. Consummation of Electronic Transactions with Banks
- Section 23. Recognition by Parties of Electronic Data Message
- Attribution of Electronic Data Message and Electronic Document
- Separate Receipt of and Error on Electronic Data Message and Electronic Document
- Section 28. Assumption Regarding Receipt of Separate Electronic Data Messages
- Section 29. Error on Electronic Data Message or Electronic Document
- Section 30. Agreement on Acknowledgment of Receipt of Electronic Data Messages or Electronic Documents.
- Section 31. Time of Dispatch of Electronic Data Message or Electronic Document.
- Section 32. Time of Receipt of Electronic Data Message or Electronic Document
- Section 33. Place of Dispatch and Receipt of Electronic Data Message or Electronic Document
- Security Methods
- PART III ELECTRONIC COMMERCE IN CARRIAGE OF GOODS
- PART IV ELECTRONIC TRANSACTIONS IN GOVERNMENT
- PART V FINAL PROVISIONS
- Section 44. Extent of Liability of a Service Provider
- Lawful Access
- Section 45. Lawful Access to Electronic Documents, Electronic Data Messages, and Electronic Signatures
- Section 46. Lawful Access to Electronic Keys
- Section 47. Obligation of Confidentiality
- Penal Provisions
- Section 48. Hacking
- Section 49. Piracy
- Section 50. Other Penal Offenses
- Section 51. Other Violations of the Act
- Miscellaneous Provisions
IMPLEMENTING RULES AND REGULATIONS
OF THE
ELECTRONIC COMMERCE ACT |
Republic of the Philippines
Department of Trade and Industry
Department of Budget and Management
Bangko Sentral ng Pilipinas
Pursuant to the provisions of Section 34 of Republic Act No. 8792, otherwise known as the Electronic Commerce Act (the “Act”), the following implementing rules and regulations (the “Rules”) are hereby promulgated:
PART I
DECLARATION OF POLICY
AND
PRINCIPLES FOR ELECTRONIC COMMERCE PROMOTION
Chapter I
Declaration of Policy
Section 1. Declaration of Policy. - The State recognizes the vital role of information and communications technology (ICT) in nation-building; the need to create an information-friendly environment which supports and ensures the availability, diversity and affordability of ICT products and services; the primary responsibility of the private sector in contributing investments and services in ICT; the need to develop, with appropriate training programs and institutional policy changes, human resources for the information age, a labor force skilled in the use of ICT and a population capable of operating and utilizing electronic appliances and computers; its obligation to facilitate the transfer and promotion of technology; to ensure network security, connectivity and neutrality of technology for the national benefit; and the need to marshal, organize and deploy national information infrastructures, comprising in both communications network and strategic information services, including their interconnection to the global information networks, with the necessary and appropriate legal, financial, diplomatic and technical framework, systems and facilities.
Section 2. Authority of the Department of Trade and Industry and Participating Entities. - The Department of Trade and Industry (DTI) shall direct and supervise the promotion and development of electronic commerce in the country with relevant government agencies, without prejudice to the provisions of Republic Act. 7653 (Charter of Bangko Sentral ng Pilipinas) and Republic Act No. 8791 (General Banking Act).
Chapter II
Declaration of Principles for Electronic Commerce Promotion
Section 3. Principles. - Pursuant to the mandate under Section 29 of the Act to direct and supervise the promotion and development of electronic commerce in the country, the following principles are hereby adopted as Government policy on electronic commerce:
(a) Role of the Government. - Government intervention, when required, shall promote a stable legal environment, allow a fair allocation of scarce resources and protect public interest. Such intervention shall be no more than is essential and should be clear, transparent, objective, non-discriminatory, proportional, flexible, and technologically neutral. Mechanisms for private sector input and involvement in policy making shall be promoted and widely used.
(b) Role of the Private Sector. - The development of electronic commerce shall be led primarily by the private sector in response to market forces. Participation in electronic commerce shall be pursued through an open and fair competitive market.
(c) International Coordination and Harmonization. - Electronic commerce is global by nature. Government policies that affect electronic commerce will be internationally coordinated and compatible and will facilitate interoperability within an international, voluntary and consensus-based environment for standards setting.
(d) Neutral Tax Treatment. - Transactions conducted using electronic commerce should receive neutral tax treatment in comparison to transactions using non-electronic means and taxation of electronic commerce shall be administered in the least burdensome manner.
(e) Protection of Users. - The protection of users, in particular with regard to privacy, confidentiality, anonymity and content control shall be pursued through policies driven by choice, individual empowerment, and industry-led solutions. It shall be in accordance with applicable laws. Subject to such laws, business should make available to consumers and, where appropriate, business users the means to exercise choice with respect to privacy, confidentiality, content control and, under appropriate circumstances, anonymity.
(f) Electronic Commerce Awareness. - Government and the private sector will inform society, both individual consumers and businesses, about the potentials of electronic commerce and its impact on social and economic structures.
(g) Small and Medium-Sized Enterprises. - Government will provide small and medium-sized enterprises (SMEs) with information and education relevant to opportunities provided by global electronic commerce. Government will create an environment that is conducive to private sector investment in information technologies and encourage capital access for SMEs.
(h) Skills Development. - Government shall enable workers to share in the new and different employment generated by electronic commerce. In this regard, the Government shall continue to promote both formal and non-formal skills-development programs.
(i) Government as a Model User. - Government shall utilize new electronic means to deliver core public services in order to demonstrate the benefits derived therefrom and to promote the use of such means. In this regard, the Government will be a pioneer in using new technologies. In particular, the Government Information System Plan (GISP), which is expected to include, but not be limited to, online public information and cultural resources, databases for health services, web sites at local, regional and national levels and public libraries and databases, where appropriate, will be implemented in accordance with the provisions of the Act and RPWEB.
(j) Convergence. - Convergence of technologies is crucial to electronic commerce and will be supported by appropriate government policies. Government will work closely with business in preparing for and reacting to changes caused by convergence.
(k) Domain Name System. - The Government supports initiatives to ensure that Internet users will have a sufficient voice in the governance of the domain name system.
(l) Access to Public Records. - Government shall provide equal and transparent access to public domain information.
(m) Dispute Mechanisms. - Government encourages the use of self-regulatory extra-judicial dispute settlement mechanisms such as arbitration and mediation as an effective way of resolving electronic commerce disputes.
Chapter III
Objective and Sphere of Application
Section 4. Objective of the Act. - The Act aims to facilitate domestic and international dealings, transactions, arrangements, agreements, contracts and exchanges and storage of information through the utilization of electronic, optical and similar medium, mode, instrumentality and technology to recognize the authenticity and reliability of electronic documents related to such activities and to promote the universal use of electronic transactions in the government and by the general public.
Section 5. Sphere of Application. - The Act shall apply to any kind of electronic data message and electronic document used in the context of commercial and non-commercial activities to include domestic and international dealings, transactions, arrangements, agreements, contracts and exchanges and storage of information.
PART II
ELECTRONIC COMMERCE IN GENERAL
Chapter I
General Provisions
Section 6. Definition of Terms. - For the purposes of the Act and these Rules, the following terms are defined, as follows:
(a) “Addressee” refers to a person who is intended by the originator to receive the electronic data message or electronic document, but does not include a person acting as an intermediary with respect to that electronic data message or electronic document.
(b) “Commercial Activities” shall be given a wide interpretation so as to cover matters arising from all relationships of a commercial nature, whether contractual or not. The term shall likewise refer to acts, events, transactions, or dealings occurring between or among parties including, but not limited to, factoring, investments, leasing, consulting, insurance, and all other services, as well as the manufacture, processing, purchase, sale, supply, distribution or transacting in any manner, of tangible and intangible property of all kinds such as commodities, goods, merchandise, financial and banking products, patents, participations, shares of stock, software, books, works of art and other intellectual property.
(c) “Computer” refers to any device or apparatus singly or interconnected which, by electronic, electro-mechanical, optical and/or magnetic impulse, or other means with the same function, can receive, record, transmit, store, process, correlate, analyze, project, retrieve and/or produce information, data, text, graphics, figures, voice, video, symbols or other modes of expression or perform any one or more of these functions.
(d) “Convergence” refers to technologies moving together towards a common point and elimination of differences between the provisioning of video, voice and data, using digital and other emerging technologies; the coming together of two or more disparate disciplines or technologies; the ability of different network platforms to carry any kind of service; and the coming together of consumer devices such as, but not limited to, the telephone, television and personal computer.
(e) “Electronic data message” refers to information generated, sent, received or stored by electronic, optical or similar means, but not limited to, electronic data interchange (EDI), electronic mail, telegram, telex or telecopy. Throughout these Rules, the term “electronic data message” shall be equivalent to and be used interchangeably with “electronic document.”
(f) “Information and Communications System” refers to a system for generating, sending, receiving, storing or otherwise processing electronic data messages or electronic documents and includes the computer system or other similar device by or in which data is recorded or stored and any procedures related to the recording or storage of electronic data message or electronic document.
(g) “Electronic signature” refers to any distinctive mark, characteristic and/or sound in electronic form, representing the identity of a person and attached to or logically associated with the electronic data message or electronic document or any methodology or procedures employed or adopted by a person and executed or adopted by such person with the intention of authenticating or approving an electronic data message or electronic document.
(h) “Electronic document” refers to information or the representation of information, data, figures, symbols or other modes of written expression, described or however represented, by which a right is established or an obligation extinguished, or by which a fact may be proved and affirmed, which is received, recorded, transmitted, stored, processed, retrieved or produced electronically. Throughout these Rules, the term “electronic document” shall be equivalent to and be used interchangeably with “electronic data message.”
(i) “Electronic key” refers to a secret code, which secures and defends sensitive information that crosses over public channels into a form decipherable only by itself or with a matching electronic key. This term shall include, but not be limited to, keys produced by single key cryptosystems, public key cryptosystems or any other similar method or process, which may hereafter, be developed.