President Ferdinand Marcos Jr. signed the Internet Transactions Bill into law last December 5.

The Internet Transactions Act of 2023, also known as the Republic Act No. 11967. The goal is to protect both the merchants and consumers in the digital space, which shall help improve the adoption of e-commerce in the country.

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Under the law, the online merchant and the online marketplaces or shopping platforms they are in will be held liable if they fail to accomplish their responsibilities and cause damage to the consumer.

It also established a code of conduct that all companies in the e-commerce industry must follow to protect and advance the consumer’s interests.

The law also states that merchants or digital platforms/marketplaces that sell illegal digital products will have penalties of Php50,000 to Php100,000 for the first offense and around Php500,000 to Php1.5 million for the third and subsequent offenses.

What’s more, the new Internet Transactions Act is a preparation for creating a new e-commerce watch that will monitor online-based activities that currently lack regulation. It will be under the Department of Trade and Industry (DTI).

The said bureau is also taking to form and manage an online business registry for all online merchants to help consumers verify information on online businesses they are transacting with.

This new law will also give the DTI secretary the power to issue take-down orders on online platforms that advertise products or goods that are “imminently injurious, unsafe or dangerous to the public.”

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