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Damages.
SEC. 28. Damages. - The consumer may claim damages by filing a case before the court or the DTI within two (2) years form the time the cause of action arose. The right to damages under this section shall be governed by the Civil Code, Republic Act No. 7394, and other existing laws.
Penalties.
SEC. 29. Penalties. - The DTI shall impose the following administrative fines as penalty against: (a) An online merchant or e-retailer that sells, leases or allows the sale or lease of goods or services, whether digital or not, that are imminently injurious, unsafe, dangerous, or illegally done through the internet shall be punished under the laws, rules and regulations that prohibit or regulate such acts. (b) An online merchant or e-retailer found guilty of any deceptive, unfair or unconscionable sales act or practice, done through the internet, shall be, in addition to the penalties imposed under Republic Act No. 7394, punished with: (1) A fine ranging from Twenty thousand pesos (P20,000.00) to One hundred thousand pesos (P100,000.00) for the first offense. (2) A fine ranging from One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) for the second offense. (3) A fine ranging from Five hundred thousand pesos (P500,000.00) to One million pesos (P1,000,000.00) for the third and subsequent offenses. (c) An online merchant, e-retailer, e-marketplace or digital platform, who shall willfully or unreasonably refuse to comply with the takedown order issued under Section 15(a), (c), and (d) of this Act, shall be punished with: (1) A fine ranging from Twenty thousand pesos (P20,000.00) to One hundred thousand pesos (P100,000.00) for the first offense. (2) A fine ranging from One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) for the second offense. (3) A fine ranging from Five hundred thousand pesos (P600,000.00) to One million pesos (P1,000,000.00) for the third and subsequent offenses. (d) Any person found in violation of Section 19 or 20 of this Act shall be punished, in addition to the value of the goods or services subject of the transaction, with: (1) A fine not less than One hundred thousand pesos (P100.00) but not more than Five thousand pesos (P5,000.00) for goods or services amounting to not more than One hundred pesos (P100.00). (2) A fine not less than One thousand pesos (P1,000.00) but not more more than Ten thousand pesos (P10,000.00) for goods or services amounting to more than One hundred pesos (P100.00) but less than One thousand pesos (P1,000.00). (3) A fine not less than the value of the goods or services but in no case shall exceed Twenty thousand pesos (P20,000.00) for goods and services which price exceeds One thousand pesos (P1,000.00). (e) An online merchant, e-retailer, e-marketplace or digital platform found in violation of Sections 21, 22(b), (c) or (d), and 23(a), (f), or (i) of this Act shall be punished with: (1) A fine ranging from Five thousand pesos (P5,000.00) to Ten thousand pesos (P50,000.00) for the second offense. (2) A fine ranging from Ten thousand pesos (P10,000.00) to Fifty thousand pesos (P50,000.00) for the second offense. (3) A fine ranging from Fifty thousand pesos (P50,000.00) to One hundred thousand pesos (P100,000.00) for the third and subsequent offenses. The DTI Secretary shall increase the schedule of fines indicated in this section every five (5) years to maintain their real value from the time it was set. In fixing the amount of the fine, the DTI Secretary shall have regard to both the gravity and the duration of the violation. The penalty of takedown shall be imposed, whenever applicable, in addition to the abovementioned penalties, by permanently removing any listing or offer on any website, webpage, online application, social media post, or on any similar platform. The application of these penalties shall be without prejudice to the civil or criminal liability of the offending party under other laws or regulations.
Congressional Oversight Committee.
SEC. 30. Congressional Oversight Committee. - A Congressional Oversight Committee, hereinafter referred to as the Internet Transactions Act Congressional Oversight Committee (ITA-COC), shall be constituted to monitor and ensure the proper implementation of this Act. It shall be composed of five (5) members from the Senate, which shall include the Chairpersons of the Committee on Trade, Commerce and Entrepreneurship, Science and Technology, and Finance, and five (5) members from the House of Representatives, which shall include the Chairperson of the Committees on Trade and Industry, Information and Communications Technology, and Appropriations. The Chairpersons of the Senate Committee on Trade, Commerce and Entrepreneurship, and the House of Representatives Committee on Trade and Industry shall jointly chair the Committee. The ITA-COC shall cease to exist after five (5) years from the effectivity of this Act.
Implementing Rules and Regulations.
SEC. 31. Implementing Rules and Regulations. - Within ninety (90) days from the effectivity of this Act, a Committee headed by the DTI Secretary and composed of representatives from DICT, NPC, Department of Agriculture (DA), Department of Health (DOH), BSP, and other relevant government agencies as determined by the DTI shall formulate and promulgate the rules and regulations necessary for implementing the law.
Transitory Provisions.
SEC. 32. Transitory Provisions. - A transitory period of eighteen (18) months from the effectivity of this Act shall be provided to all affected online merchants, e-retailers, e-marketplaces, and digital platforms to comply with the requirements of the law.
Applicability of the Civil Code.
SEC. 33. Applicability of the Civil Code. - In construing the rights and responsibilities of the parties, the Civil Code provisions on sales, and obligations and contracts shall apply.
Interpretation.
SEC. 34. Interpretation. - In case of doubt, the provisions of this Act, including its implementing rules and regulations and subsequent issuances by the implementing agency, shall be construed in a manner that accords the highest respect for human dignity, consumer rights, and individual privacy.
Appropriations.
SEC. 35. Appropriations. - The amount necessary to carry out the provisions of this Act shall be included in the annual General Appropriations Act.
Separability Clause.
SEC. 36. Separability Clause. - If any provision of this Act is declared unconstitutional, the remainder thereof not otherwise affected shall remain in full force and effect.
Repealing Clause.
SEC. 37. Repealing Clause. - All laws, presidential decrees, executive orders, letters of instruction, and administrative regulations that are inconsistent with the provisions of this Act are hereby repealed, amended, or modified accordingly.
Effectivity.
SEC. 38. Effectivity. - This Act shall take effect after fifteen (15) days following the completion of its publication in the Official gazette or in a newspaper of general circulation. Approved, (SGD.) FERDINAND MARTIN G. ROMUALDEZ (SGD.) JUAN MIGUEL F. ZUBIRI Speaker of the House of Representatives President of the Senate This Act was passed by the Senate of the Philippines as Senate Bill No. 1846 on September 25, 2023 and adopted by the House of Representatives as an amendment to House Bill No. 4 on September 27, 2023. (SGD.) REGINALD S. VELASCO (SGD.) RENATO N. BANTUG, JR. Secretary General House of Representatives Secretary of the Senate Approved: DEC 05 2023 (SGD.) FERDINAND ROMUALDEZ MARCOS JR. President of the Philippines
Provisions on this page are reproduced verbatim from official open data. See the attribution line.
Source: Official Gazette of the Republic of the Philippines — Philippine laws are public documents (works of the government).