Bill to protect online sellers and buyers filed

MANILA, Philippines - Rep. Wes Gatchalian of the Alay Buhay party-list has filed a bill seeking to protect online sellers and buyers.

Gatchalian said House Bill No. 2535 or “An Act Providing Consumers and Merchants Protection on Online Commerce” seeks to address concerns on state regulations in the online industry.

He said it seeks to provide payment options, secrecy of consumers’ data, transparency from traders and eliminate hidden transaction costs, delivery problems, cancellation of order, refund against cancellation and payment issues.

He said in the Philippines, online shopping is a growing industry, as research shows there are at least 33.6 million Internet users.

The bill provides that it is the responsibility of the State to protect the interest of the consumers, promote general welfare and establish standards of conduct for business and industry for online shopping.

The proposal covers consumers, service providers and third party sellers.

Service providers are required to register with the Department of Trade and Industry and with the Bureau of Internal Revenue, while the third party sellers should submit identification papers, description of goods to be sold and proof of ownership.

The bill requires the service provider and the third party seller to provide the consumer with joint and several liabilities for consumer claims.

They are mandated to issue official receipts as required by the Electronic Commerce Act.

The proposal seeks to address the vulnerability of online shopping as medium for terrorism, crimes and money laundering by requiring the service providers and the third party sellers to sell goods that are risk-free.

If enacted into law, Gatchalian said the proposal would strengthen the country’s online industry and boost investors’ and consumers’ confidence.