ECOMMERCE ACT

(REPUBLIC ACT 8792)

E-COMMERCE
• Electronic Commerce
• Business over the Internet.
Business Model
• B2B

• B2C

• C2C
Republic Act 8792
• Electronic Commerce Act of 2000
• An act providing for the recognition and use of electronic commercial
and non-commercial transactions and documents, penalties for
unlawful use thereof and for other purposes .

*Provides a regulation of electronic commerce that is maintained by

authority and also states sanctions when these rules has been violated.
Objectives
• Secure legal framework and environment for electronic commerce.
• Protect the integrity of electronic documents and electronic
signatures as well as its transmission and communication so as to
build and ensure the trust and reliance of the public on electronic
transactions.
E-Contract

*Is any kind of contract formed by

two or more parties by electronic
means.
E-Contracts
 TWO TYPES OF E-CONTRACT
• BROWSERWRAP

• CLICKWRAP

VS
*USING A WEBSERVICE WILL AUTOMATICALLY BOUND YOU TO
A TERMS AND AGREEMENTS.
Authors
• Sen. Ramon Magsaysay Jr., Reps. Leandro Verceles,Jr. and Marcial
Punzalan, Jr.
• Co-Authors of the Act who filed electronic commerce bills were Sen.
Juan Flavier, and Blas Ople and Reps. Harry Angping, Roilo Golez and
Dante Liban, Sen. Vicente Sotto III, Franklin Drilon, Fran-cisco Tatad,
Raul Roco, Aquilino Pimentel Jr., Miriam Defesor-Santiago and Reps.
HerminioTeves, Magtanggol Guinigundo, Rolando Sarmiento, Orlando
Fua, JoeySalceda, Oscar Moreno, and Ignacio Bunye.
Definition of Terms
• Addressee - a person who is intended by the originator to receive the
electronic data message or electronic document.
• Computer - any device or apparatus which, by electronic, electro-
mechanical or magnetic impulse, or by other means is capable of
receiving, recording, transmitting, storing, processing, retrieving, or
producing information, data, figures, symbols or other modes of
written expression according to mathematical and logical rules or of
performing any one or more of those functions.
• Electronic Data Message - information generated, sent, received or
stored by electronic, optical or similar means.
Definition of Terms
• Information and Communication System – a system intended for and
capable of 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.
• Electronic Signature - 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
Definition of Terms
• Electronic Document - 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.
• Electronic Key - secret code which secures and defends sensitive
information that crosses over public channels into a form
decipherable only with a matching electronic key.
Definition of Terms
• Intermediary - person who in behalf of another person and with
respect to a particular electronic document sends, receives and/or
stores or provides other services in respect of that electronic
document.
• Originator - a person by whom, or on whose behalf, the electronic
document purports to have been created, generated and/or sent .
The term does not include a person acting as an intermediary with
respect to that electronic document.
Definition of Terms
• Service Provider - On-line services or network access, or the operator of
facilities therefore, including entities offering the transmission, routing, or
providing of connections for online communications, digital or otherwise,
between or among points specified by a user, of electronic documents of
the user’s choosing; or (ii) The necessary technical means by which
electronic documents of an originator may be stored and made accessible
to a designated or undesignated third party; Such service providers shall
have no authority to modify or alter the content of the electronic data
message or electronic document received or to make any entry therein on
behalf of the originator, addressee or any third party unless specifically
authorized to do so, and who shall retain the electronic document in
accordance with the specific request or as necessary for the purpose of
performing the services it was engaged to perform.
Salient features of Republic Act 8792
Sec. 6. Legal Recognition of Data Messages. Message and Electronic
Document.
Section 7. Legal Recognition of Electronic documents
Section 8. Legal Recognition of Electronic Signatures
Section 9. Presumption Relating to Electronic Signatures
Section 10. Original Documents.
*Legal recognition of some status or fact in a jurisdiction is formal acknowledgement of it as
being true, valid, legal, or worthy of consideration and may involve approval or the granting of
rights.

*Presumption an idea that is taken to be true, and often used as the basis for other ideas,
although it is not known for certain.
Salient features of Republic Act 8792
Section 11. Authentication of Electronic Data Messages and Electronic
Documents
Section 12. Admissibility and Evidential Weight of Electronic Data
Message or electronic document.
SEC. 13. Retention of Electronic Data

*Retention the continued possession, use, or control of something

 Basically, section 6 to 13 tells us that

Recognize e data, e doc, e signatures as

something that has legal weight.

It gives legal recognition of electronic

data messages, electronic documents,
and electronic signatures. (section 6 to
13)

Can be used in legal matters or legal

proceedings
 Sec. 16. Formation and Validity of Electronic
Contracts.

Contract enter into a formal and legally binding

agreement.

Makes banking transactions done through ATM switching

networks absolute once consummated.
Sec. 24. Security Methods

Parties are given the right to choose the type and level of
security methods that suit their needs with regards to e data
messages, e documents and e contracts.
Sec. 25 and 26. Carriage of Goods

Provides the mandate for the electronic implementation of

transport documents to facilitate carriage of goods. This
includes documents such as, but not limited to, multi-modal,
airport, road, rail, inland waterway, courier, post receipts,
transport documents issued by freight forwarders,
marine/ocean bill of lading, nonnegotiable seaway bill, charter
party bill of lading.
Sec. 25 and 26. Carriage of Goods
• Bill of Lading. Transport Documents.

a detailed list of a
shipment of goods in the
form of a receipt given by
the carrier to the person
consigning the goods.
Sec. 27. Government use of E-Commerce.

Mandates the government to have the capability to do

ecommerce
within 2 years or before June 19, 2002. (section 27)
Sec. 28. RPWeb
Mandates RPWeb to be implemented.
RPWeb is a strategy that intends to
connect all government offices to the
Internet and provide universal access to
the general public. The Department of
Transportation and Communications,
National Telecommunications
Commission, and National Computer
Center will come up with policies and
rules that shall lead to substantial
reduction of costs of telecommunication
and Internet facilities to ensure the
implementation of RPWeb.
Sec. 29. Department of Trade and Industry
Empowers the Department of Trade
and Industry to supervise the
development of ecommerce in the
country. It can also come up with
policies and regulations, when needed,
to facilitate the growth of ecommerce.
Sec. 30. Extent of Liability of a Service
Provider.

Provided guidelines as to when a service provider can be liable

to unlawful acts if they are aware of these unlawful acts.
 Sec. 31 and 32. Lawful Access and Obligation
of Confidentiality

Authorities and parties with the

legal right can only gain access to
electronic documents, electronic
data messages, and electronic
signatures. For confidentiality
purposes, it shall not share or
convey to any other person.
SEC. 33. Penalties.
 Basic Consumer Rights
• The Right to Basic Needs

Adhere to basic consumer

rights

The first consumer right is THE

RIGHT TO BASIC NEEDS which
guarantee survival, adequate
food, clothing, shelter, health
care, education and sanitation.
 Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety

The second consumer right is THE

RIGHT TO SAFETY which is the right
to be protected against the
marketing of goods or the provision
of services that are hazardous to
health and life.
 Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information

The third consumer right is THE RIGHT

TO INFORMATION which is the right to
be protected against dishonest or
misleading advertising or labeling and
the right to be given the facts and
information needed to make an
informed choice.
 Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information
• The Right to Choose

The fourth consumer right is THE RIGHT

TO CHOOSE which is the right to choose
products at competitive prices with an
assurance of satisfactory quality.
 Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information
• The Right to Choose
• The Right to Representation
The fifth consumer right is THE RIGHT TO
REPRESENTATION which is the right to
express consumer interests in the
making and execution of government
policies.
 Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information
• The Right to Choose
• The Right to Representation
• The Right to Redress
The sixth consumer right is THE RIGHT TO
REDRESS which is the right to be
compensated for misrepresentation,
shoddy goods or unsatisfactory services.
Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information
• The Right to Choose
• The Right to Representation
• The Right to Redress
• The Right to Consumer Education
The seventh consumer right is THE RIGHT TO
CONSUMER EDUCATION which is the right to acquire
the knowledge and skills necessary to be an informed
customer.
Basic Consumer Rights
• The Right to Basic Needs
• The Right to Safety
• The Right to Information
• The Right to Choose
• The Right to Representation
• The Right to Redress
• The Right to Consumer Education
• The Right to a Healthy Environment
The seventh consumer right is THE RIGHT TO CONSUMER
EDUCATION which is the right to acquire the knowledge and
skills necessary to be an informed customer.