ELECTRONIC COMMERCE ACT (292)

1. Explain the principles of the law.

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.

Objective: The E-Commerce Act (Act) aims

1 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,
2. to recognize the authenticity and reliability of electronic data messages or electronic documents related to such activities an
3. to promote the universal use of electronic transactions in the government and by the general public.

2. What are the application of the law?

ͽ E-Commerce 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.

3. Define:
a. “Addressee”
ͽ the 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.

ͽ the addressee is the specific individual or entity that the originator (the person or entity that creates or sends the electronic data message or electronic document)
intends to receive the electronic data message or electronic document.

ͽ an intermediary, which refers to a person or entity that handles the electronic data message or electronic document during its transmission but is not the intended
final recipient, is not considered an addressee.

b. “Electronic document”
ͽ the 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.

c. “Electronic signature”
ͽ 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.

d. “Electronic document”
ͽ The 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.

e. “Intermediary”
ͽ a person who on behalf of another person and with respect to a particular electronic data message or electronic document sends, receives and/or stores or
provides other services in respect of that electronic data message or electronic document.

f. “Originator”
ͽ 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.

4. Explain the different “Legal Recognition of Electronic Data Messages and Electronic Documents.”
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5. Explain the “Validity of Electronic Contracts.”

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6. What are the rules governing “Agreement on Acknowledgment of Receipt of Electronic Data Messages or Electronic Documents.”
ͽ The

7. What are the actions related to Contracts of Carriage of Goods.

ͽ The

8. What are the requirement of the law to the government agencies?

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II. EASE OF DOING BUSINESS AND EFFICIENT DELIVERY OF GOVERNMENT SERVICE DELIVERY ACT (322)

1. What are the Policy, Constructions and Interpretation of the law?

ͽ POLICY
These Rules and Regulations are promulgated consistent with and in furtherance of the State policy to promote integrity and accountability in government service, to
foster proper management of public affairs and public property, to establish effective practices aimed at the efficient turnaround in the delivery of government
services, and the prevention of graft and corruption in government.

To maintain honesty and responsibility among public officials and employees, these Rules and Regulations hereby adopt, institutionalize and support the promotion of
transparency in the transactions of the government with the public, encompassing a program for the adoption of simplified requirements and procedures aimed at
the reduction of red tape and to expedite business and non business related transactions in government.

ͽ CONSTRUCTION AND INTERPRETATION

These Rules and Regulations shall be construed and interpreted in light of the Declaration of Policy found in Section 2 Republic Act No. 11032. Any doubt in the
interpretation of these Rules and Regulations shall be resolved in a manner consistent with the policy of the State to promote integrity, accountability, and proper
management of public affairs and public property. Doubt will be resolved in a manner that will establish effective practices, aimed at efficient turnaround of the
delivery of government services and prevention of graft and corruption in government.

2. Define:
a. “Action”
ͽ the written approval or disapproval made by a government office or agency on the application or request submitted by an applicant or requesting party for
processing;

b. “Citizen Charter”
ͽ is an official document, a service standard, or a pledge, that communicates, in simple terms, information on the services provided by the government to its citizens
pursuant to Section 6 Republic Act 11032. It describes in detail the comprehensive and uniform checklist of requirements for each type of application or request;
procedure to obtain a particular service; person/s responsible for each step; maximum time to conclude the process; document/s to be presented by the applicant or
requesting party, if necessary; amount of fees, if necessary; and procedure for filing complaints;

c. “Complex Transactions”
ͽ the applications or requests submitted by applicants or requesting parties of a government office which necessitate evaluation in the resolution of complicated
issues by an officer or employee of said government office, such transactions to be determined by the office concerned

d. “Fixing”
ͽ the act that involves undue facilitation of transactions for pecuniary gain or any other advantage or consideration.

e. “Fixer”
ͽ any individual whether or not officially involved in the operation of a government office or agency who has access to people working therein, and whether or not in
collusion with them, facilitates speedy completion of transactions for pecuniary gain or any other advantage or consideration

f. “Highly Technical Application or Transaction”

ͽ A transaction which requires the use of technical knowledge, specialized skills and/or training in the processing and/or evaluation thereof

g. “Ministerial”
ͽ act or duty which an officer or tribunal (court) performs in a given state of facts, in a prescribed manner, in obedience to the mandate of a legal authority, without
regard to or the exercise of his own judgment upon the propriety or impropriety of the act done. A duty is ministerial only when the discharge of the same requires
neither the exercise of official discretion or judgment.

h. “Prescribed Processing Time”

ͽ the period prescribed by the government agency stated in their Citizen’s Charter which shall not exceed the maximum period of 3 days for simple transactions, 7
days for complex transactions and 20 working days for highly technical transactions or for applications or requests involving activities which pose danger to public
health, public safety, public morals, public policy, to complete a process, based on the classification of transactions, unless otherwise indicated in special laws or these
Act. It shall also include the period when a transaction has been extended for justifiable reasons.

i. “Red Tape”
ͽ any regulation, rule, or administrative procedure or system that is ineffective or detrimental in achieving its intended objectives and, as a result, produces slow,
suboptimal, and undesirable social outcomes

j. “Working Day”
ͽ the day where officers and employees are requires to render work

3. What are the coverage and scope of the law?

ͽ The provision of the Act and these Rules and Regulations shall apply to all government offices and agencies in the Executive Department including local government
units (LGUs), government-owned or controlled corporations and other government instrumentalities, located in the Philippines or abroad, that provide service
covering business-related and non-business transactions as defined in these Rules.

The Act and these Rules and Regulations shall cover business-related and non-business transactions referring to permitting, licensing, and the issuance of any
privilege, right, reward, clearance, authorization, or concession, including front-line services enrolled in the existing Citizen's Charter. whether or not related to
business, corresponding back-end/support services, and regulatory functions related to permitting, licensing, and the issuance of privilege, right, reward, clearance,
authorization or concession.

The initial list of all permits, licenses, and issuances pertaining to any privilege, right, reward, clearance, authorization, or concession, that shall be covered by the Act
and these Rules shall be issued in accordance with Section 10 of the Act. The list may be reviewed and updated as may be necessary.

4. What are prescribed methods under the law in the reengineering of the system and procedures of government agencies.
a) Compulsory notification. All government agencies covered under Section 3 of the Act shall notify the Authority of every formulation, modification, and repeal of
regulations. The submission of an intent to formulate, modify, or repeal a regulation to the Authority by a regulatory agency shall include the rationale for the
proposed and existing regulation and all the necessary documentations used in conducting the research for the proposed and existing regulation.
b) RIA requirement. All government agencies covered under Section 3 of the Act shall conduct a RIA. The agencies shall conduct consultations to ensure the quality of
a regulation. The regulatory agency shall properly disseminate the result of the RIA on a particular regulation as a feedback and feedforward mechanism.
c) Submission of RIS to the Authority. RIS submitted by any agency shall be reviewed by the Authority. Meetings shall be organized, as deemed necessary by the
Authority, for the purpose of reviewing the r esults of the RIA.
d) Approval of RIS by the Authority. the Authority shall approve or disapprove the RIS, based on the results of the review.
e) Provide RIA to Congress. The Authority, if it deems necessary, may forward the RIA and the results of its review to Congress, for appropriate action.

5. What are the contents of the “Citizen Charter”.

. All government agencies including departments, bureaus, offices, instrumentalities, or government-owned and/or –controlled corporations, or LGUs shall set up
their respective most current and updated service standards to be known as the Citizen’s Charter in the form of information billboards which shall be posted at the
main entrance of offices or at the most conspicuous place, in their respective websites and in the form of published materials written either in English, Filipino, or in
the local dialect, that detail:

"(a) A comprehensive and uniform checklist of requirements for each type of application or request;

"(b) The procedure to obtain a particular service;

"(c) The person/s responsible for each step;

"(d) The maximum time to conclude the process;

"(e) The document/s to be presented by the applicant or requesting party, if necessary;

"(f) The amount of fees, if necessary; and

"(g) The procedure for filing complaints."

6. Explain “ZERO CONTACT POLICY”.

ͽ All government agencies including local government units (LGUs) shall adopt a zero-contact policy. Public officials and employees shall limit interactions with an
applicant or requesting party to the preliminary assessment and evaluation of sufficiency or submitted requirements of an application or request, unless such
interaction is strictly necessary for the processing of the request or application.

Transparency shall be observed in general by public officials and employees to encourage the honest and efficient delivery of government services and discourage
wrong perceptions of graft and corruption.

For the effective implementation of the "zero-contact policy," electronic submission of applications, requests and/or payments is preferred, where available. The
government official or employee shall communicate with the applicant through e-mail, any other electronic means of communication or the websites of the
government agencies concerned, whenever practicable. For this reason, the Department of Information and Communications Technology (DICT) shall launch a web-
based software enabled business registration system, through which all government transactions with the public shall be coursed.

7. Make a process flow of RULE VII “Accessing Government Services”.

ͽ Section 1. Accessing Government Services

In order to provide an effective delivery of government-services, government officers and employees are expected to adopt and implement the provisions of these
Rules and other rules that may be issued in the future which aim to further improve the systems and processes of government agencies. These include accepting,
processing, approving, or denying of application/requests.

Section 2. Acceptance of Application and Requests

a) All responsible officers or employees shall accept written applications, requests, and/or documents being submitted by applicants or requesting parties of the
offices or agencies, subject to the succeeding provisions hereof.

b) The receiving officer or employee shall preliminarily assess the completeness of the application or request and its supporting documents vis-a-vis the checklist of
requirements of the agency to ensure a more expeditious action on the application or request. They shall immediately inform the applicant or requesting party of any
deficiency in the accompanying requirements, which shall be limited to those enumerated in the Citizen's Charter. In informing the applicant or requesting party of the
deficiency, the receiving officer or employee shall already identify or enumerate all the missing requirements to make it easier for the requesting party to complete
their application or request.

The government office or agency shall not process deficient or incomplete applications or requests, and shall only process an application or request if it is complete. In
case the application or request is deficient, the processing time as provided under the Act and these rules shall only commence once the applicant or requesting party
has rectified the deficiency.

For processes that involve several stages with corresponding prescribed requirements, the processing time for each stage commence on the date/time that the
applicant has satisfactorily completed the requirements for the previous stage and has submitted all the requirements for the subsequent stage being applied for.

b) The receiving officer or employee shall assign a unique identification number to an application or request, which shall serve as the identifying number for all
subsequent transactions between the government and the applicant or requesting party regarding the subject application or request.

c) The receiving officer or employee shall issue to the applicant an acknowledgement receipt signifying acceptance of a complete application or request, containing
the unique identification number stamped therein as reference for all subsequent transactions, the seal of the agency, the name of the responsible officer or
employee, his/her unit and designation, and the date and time of receipt of such request or application.

For online application or request, the agency shall provide a response containing the unique identification number as reference for all subsequent transactions, the
seal of the agency, the name of the responsible officer or employee, his/her unit and designation, and the date and time of receipt of such request or application.

Section 3. Action of Offices

a) All applications or requests for government service submitted shall be acted upon by the assigned officer or employee within the prescribed processing time stated
in the Citizen's Charter which shall not be longer than three (3) working days in the case of simple transactions and seven (7) working says in the case of complex
transactions from the date the request or complete application or request was received.

For applications or requests involving activities which pose danger to public health, public safety, public morals, public policy, and highly technical transactions, the
prescribed processing time shall in no case be longer than twenty (20) working days or as determined by the government agency or instrumentality concerned,
whichever is shorter.

b) The maximum time prescribed in Section 9 (b) (1) of the Act may be extended only once for the same number of days, which shall be indicated in the Citizen's
Charter.

i. Prior to the lapse of the processing time, the office or agency concerned shall notify the applicant or requesting party in writing of the reason the extension and final
date of release of the government service/s requested. Such written notification shall be signed by the applicant to serve as proof of notice. The signature of the
applicants or requesting parties may be in the form of electronic signatures or scanned signatures.

ii In the event that securing a written notification and acknowledgement from the applicant is not feasible, the government officer or employee must exhaust all
means of communication available including, but not limited to, electronic mail and/or SMS (short message service) to ensure that the applicant or the requesting
party is properly notified. The government officer or employee who used such means of communication must be able to show proof of such action.
c) In case of highly technical transactions that involve activities such as but not limited to, research, filed trials, scientific methodology, inter-government actions, the
government agency or office may apply the multi stage system subject to the approval of the Authority, provided that the total processing time for all concerned
agencies or offices shall not exceed forty (40) days.

Government agencies and offices, with an approved multi-stage system by the Authority, that offices, shall process such application without awaiting the action of that
latter agency. The agency or office shall act on the presumption that the relevant permit from other government agencies had already been issued.

The presumption of prior approval shall be disputable and subject to post audit confirmation. In case of failure during post-audit, the issued permit/license shall be
revoked.

d) If the application or request for license, clearance, permit, certification or authorization shall require approval of the local Sangguniang Bayan, Sangguiang
Panlungsod, or Sangguniang Panlalawigan, as the case may be, the Sangguniang concerned shall be given a period of forty-five (45) working days to act on the
application or request, which can be extended for another twenty (20) working days. If local Sanggunian concerned has denied the application or request, the reason
for the denial, as well as the remedial measures that may be taken by the applicant shall be cited by the concerned Sanggunian.

e) In cases where the cause of delay is due to force majeure or natural or man-made disasters, which result to damage or destruction of documents, and/or system
failure of the computerized or automatic processing, the prescribed processing times mandated in this Act shall be suspended and appropriate adjustments shall be
made. The responsible government official or employee shall notify the applicant or requesting party in writing and through other means of communication of the
suspension of the processing time without any delay. In addition, in case of system failure of computerized or automatic processing, the head of agency shall certify to
such fact, which shall be posted in a conspicuous place and manner within the premises of the government agency or office.

f) No application or request shall be returned to the applicant or requesting party without appropriate action, The appropriate action is either to approve or
disapprove/ deny the application or request for access to government service.
i. In case an application or request is disapproved, the officer or employee who rendered the decision shall send such notice under these rules to applicant or
requesting party within the prescribed processing time, stating therein the reason for the disapproval.
ii. A finding by a competent authority of a violation of any or other laws by the applicant or requesting party shall constitute a valid ground for its disapproval, without
prejudice to other grounds provided in this Act of other pertinent laws.

Section 4. denial of Request for Access to Government Service

Any denial of request for access to government service shall be fully explained in writing by the officer who denied the request, stating the name of the person making
the denial and the grounds upon which such denial is based. The grounds for the denial must be fair, just, and reasonable. Any denial of the application or request
must have the approval of the immediate supervisor of the employee or officer who denied the application or request.

Section 5. Limitation of Signatories

The number of signatories in any document shall be limited to a maximum of three (3) signatures, which shall represent officers directly supervising the office or
agency concerned and are responsible for the issuance of the document (any privilege , right, reward, license, clearance, permit or authorization, concession). The
signatures refer to the "full signature" of the officers whose approval is necessary for the issuance or release of the document. Initials of the officers or employees
should not be affixed to the document to be released or issued.

In case the authorized signatory is on official business or official leave, an alternate shall be designated as signatory. Electronic signatures or pre-signed license,
clearance,m permit, certification, or authorization with adequate security and control mechanism may be used, provided that the relevant laws and the rules and
regulations to be issued by DICT regarding electronic signatures shall be observed.
Within ninety (90) working days from the effectivity of these Rules, the head of government office or agency shall issue and submit an appropriate inter-office
memorandum to the Authority, enumerating the list of authorized or regular signatory for each privilege, right, license, clearance, permit or authorization, concession
or such other document issued by the agency or office. Moreover, the appropriate inter-office memorandum shall also stipulate the agency rules on proper delegation
of the authority to sign in the absence of the regular signatory, following such standards:

a) If there is only one official next in rank, he/she shall automatically be the signatory;

b) If there are two or more officials next in rank, the appropriate inter-office memorandum shall prescribe the order of priority among the officials next in rank within
the same organizational unit; or

c) If there is no official next in rank present and available, the head of the department, office or agency shall designate and officer-in-charge from among those next
lower in rank in the same organizational unit,

Section 6. Electronic Versions of Licenses, Permits, Certifications or Authorizations

All agencies covered under Section 3 of the Act shall, when applicable, develop electronic versions of licenses, clearances, permits, certifications or authorizations with
the same level of authority as that of a signed hard copy, which may be printed by the applicants or requesting parties in the convenience of their offices.

The Authority and the DICT, in coordination with the concerned agencies, shall issue the operational policies and technical procedure on these electronic versions for
the guidance of concerned NGA and LGUs.

Section 7. Adoption of Working Schedules to Serve Clients

Heads of offices and agencies which render government services shall adopt appropriate working schedules to ensure that all applicants or requesting parties who are
within their premises prior to the end of official working hours are attended to and served even during lunch break and after regular working hours. Heads of agencies
shall set these guidelines by issuing an appropriate order to this effect.

To ensure prompt and efficient issuance of permits and licenses, offices and agencies may consider providing front-line services beyond the core government working
hours. The offices must at all times be complemented with adequate staff by adopting mechanisms such as rotation system among office personnel, sliding flexi-time,
reliever system especially in peak times of the transaction, providing skeletal workforce during lunch and coffee breaks. The public must be informed of the work
schedule of the offices.

The heads of offices and agencies shall inform the CSC on the adoption of such working schedules.

In the event of work suspension and/or changes in working schedules due to official reasons, government office system downtime or other unexpected circumstances
which affect working schedules within the office or agency, the public shall be duly informed.

In the exigency of service in time of natural calamities, peak season, multitude number of applications, and other analogous cases, government offices and agencies
may be allowed to extend working hours to attend to applicants.

To ensure the uninterrupted delivery of front-line services, the heads of offices and agencies shall adopt the appropriate mechanisms upon the effectivity of these
Rules.

Section 8. Identification Card

All employee transacting with the public shall be provided with an official identification card, which shall be visibly worn during office hours. Th identification cards
must include the full name of the employee, the employee's position title, name of office, and the office seal or logo. The information on the identification card must
be readable, such that the officials and employees concerned can be easily identified by the applicant or requesting party. For agencies where an identification card is
not used the officers and employees must wear name plates or other means of identification.

Section 9. Establishment of Public Assistance and Complaints Desk

Each agency shall establish a public assistance or complaints desk which shall be set-up to, among others, effectively receive feedback and monitor customer
satisfaction, in a conspicuous area at their official place of business, where an officer or employee knowledgeable in front-line services shall at all times be available for
consultation and advice. The desk shall be attended to even during break time. Special lanes shall be provided for the personal transactions of senior citizens,
pregnant women and person with disabilities. The office or agency shall institute hotline numbers, short message service, information communication technology, or
other mechanisms by which the clients may adequately express their complaints, comments, or suggestions.

8. Explain the different Streamlined Procedures to be adopted by the LGU for the issuance of local business licenses, clearances, permits, certifications or
authorizations.
ͽ Section 1. Issuance of Joint Memorandum Circular Within three (3) months from the effectivity of these Rules, the Authority, together with the DILG, DICT, and DTI
shall issue a Joint Memorandum Circular (JMC) to further implement Section 11 of the Act. Thereafter, the LGUs through their Local Sanggunian shall issue the
appropriate order or ordinance to adopt the Joint Memorandum Circular, for proper implementation of the streamlined procedures for the issuance of business
licenses, barangay clearances, permits, or authorizations.

Section 2. Single or Unified Business Application Form

a) A Single or Unified Business Application Form is a single common document used by a business owner in applying for business permit in the city/municipality, that
contains the information and approvals needed to complete the registration process and facilitates exchange of information among city/municipality and NGAs.

b) This single or unified business application form shall be used in processing new applications for business permits and business renewals which consolidates all the
information of the applicant or requesting party needed by various local government departments, such as, but not limited to, the local taxes and clearances, building
clearance, sanitary permit, zoning clearance, and other specific local government unit requirements, as the case may be, including the fire safely inspection certificate
from the Bureau of Fire Protection (BFP).

c) The Authority, in coordination with concerned agencies, shall develop the single or unified business application form and this shall be made available online using
technology0neutral platforms such as, but not limited to, the Central Business Portal or the city/municipality's website and various channels for dissemination. The
single or unified business application form shall be in "fillable format," which can be filled up electronically and/or printed for submission.

d) Hard copies of the unified forms shall be made available at all times in designated areas of the concerned office and/or agency, in all Negosyo Centers and in the
offices of local government units.

e) The Authority, in coordination with the concerned agencies, shall be responsible for regularly updating and maintaining the unified business application form. f) the
DICT shall issue the guidelines on the process flow of filing applications or requests through the Central business Portal, and its acceptance, processing and feedback
mechanism by concerned agencies.

Section 3. Establishment of a Business One Stop Shop (BOSS)-Negosyo Center

a) A one-stop business facilitation service, hereinafter referred to as the business one stop shop, shall be established within the cities/municipalities' Negosyo Center
as provided for under Republic Act No. 10644, otherwise known as the "Go Negosyo Act."
b) Negosyo Centers are convergence points for the NGAs, LGUs, and the private sector to promote ease of doing business, and ensure access to services for Micro,
Small, and Medium Enterprises (MSMEs) within their jurisdiction.

c) In case there is no Negosyo Center in the city/municipality, Section 3 of RA 10644 and its IRR (DTI Department Administrative Order No. 14-5, series of 2014)
specifically Section 5, Rule 3 mandates that in applicable area, the existing SME Centers and National Economic Research and Business Assistance Center (NERBAC),
administered by the DTI in provinces, cities and municipalities, if any, may be converted to Negosyo Center. Existing Regional NERBACs or SME Centers may be utilized
as Negosyo Center for the Provinces and Cities where they are physically located. In the absence of Regional NERBACs or SME Centers, a business one stop shop shall
be established by the concerned LGU within a designated area in its city/municipality hall.

d) The business one stop shop shall serve as the city/municipality's business permitting and licensing system to receive and process manual and/or electronic
submission of application for license, clearance, permit, or authorization.

e) There shall be a queuing mechanism in the business one top shop to better manage the flow of applications among the local government units' departments
receiving and processing applications. The Joint Memorandum Circular shall also include a standard queuing system, which shall be applied by all LGUs.

f) LGUs shall implement colocation of the treasurer's office, assessor's office, business permits and licensing office, zoning office, including the BFP, and other relevant
city/municipality offices/departments, among others, engaged in starting a business, dealing with construction permits, and such other pertinent services as may be
offered to the public.

Section 4. Electronic BOSS

a) Within a period of three (3) years upon the effectivity of the Act, all cities and municipalities are mandated to automate their business permitting and licensing
system or set up an electronic business one stop shop for more efficient business registration processes.

b) Cities/Municipalities with electronic BOSS shall develop electronic versions of licenses, clearances, permits, certifications or authorizations with the same level of
authority and containing the electronic signature of the authorized officer/s and seal of the agency or LGU, which may be printed by businesses in the convenience of
their offices.

c) The DICT, DTI, and DILG shall issue a joint operational guideline on the provision of technical assistance in the planning and implementation of the eBusiness Permit
Licensing System.

d) Provincial governments are encouraged to assist 5th and 6th class municipalities in the implementation of this section.

Section 5. New Business Registration and Applications for Renewal

The requirements for the business registration and renewal, in addition to the application form, shall be enumerated in the JMC and shall be uniform to all LGUs.

Section 6. Issuance of Other Permits/Clearances Together with the Business Permit

To lessen the transaction requirements, other local clearances such as, but not limited to, sanitary permits, environmental and agricultural clearances shall be issued
together with the business permit, subject to post-audit by the concerned LGU.

Section 7. Validity Period of Business Permits

Business permits shall be valid for a period of one (1) year. The city or municipality may have the option to renew business permits within the first month of the year
or on the anniversary date of the issuance of the business permit. The city or municipality, through their local Sanggunian, shall enact an ordinance on what option to
be applied and this shall be posted at the most conspicuous place of the city or municipality, in their websites, or other form of published materials.

Section 8. Expiration of Validity Period

Upon the expiration of the one (1) year validity period as stated in the preceding section, applicants for renewal not included in the negative list provided by any
regulatory office or agency shall be allowed to renew their business permit upon payment of of applicable fees as may be imposed by the City or Municipal
government. The regulatory offices or agencies shall submit their respective negative lists to the LGUs on a regular basis as may be required, but no later than the first
of December every year, in order to give LGUs reasonable time to evaluate the businesses applying for renewal of their business permits during renewal period.

Section 9. Initial Post-Audit for New Registrants

initial post-audit for new registrants shall be conducted by the LGU within a period not exceeding three (3) months from the date of registration, unless otherwise
provided by the regulatory agency.

Section 10. Barangay Clearances and Permits

Barangay clearances and permits related to doing business shall be applied, issued, and collected at the city/municipality in accordance with the prescribed processing
time of the Act: Provided, that the share in the collections be remitted to the respective barangays.

The remittance of the barangay's share in the collections shall be mad not later than seven (7) working days following the end of the month when the collection was
made. Remittance of the above-mentioned share in the collections to the Barangay shall be obligatory and withholding of the same shall render the erring official or
employee administratively liable under existing laws, rules, and regulations.

Section 11. LGU as Collecting Agent

a) For one-time assessment of business-related fees for Business Permit, LGUs may be designated to assess "the ordinary" fire safety inspection fees (FSIF), provided
that the BFP is able to check the accuracy of the computation and to certify the tax order of payment.

b) For one-time payment of business-related fees, the BFP may allow the designation of city municipality as collecting agents for the FSIF provided that the remittance
of the said fee to the BFP shall be made not later than two (2) days after the transaction is made. The BFP is not precluded from collecting additional fees required
after their assessment, subject to existing laws and regulations.

c) The LGU and the BFP, thru the local fire marshal, may enter into a Memorandum of Agreement giving authority to local government officers for collection and
automatic remittance of applicable fees.

Section 12. Issuance of Clearances under the Fire Code of the Philippines

The issuance of Fire Safety Evaluation Clearance (FSEC) and Fire Safety Inspection Certificate (FSIC) shall in no case be longer then seven (7) working days, non-
extendible.

The Certification of Fire incident for Fire Insurance purposes shall in no case be issued longer than twenty (20) working days, and may be extended only once for
another twenty (20) working days.

Section 13. Fire Safety Evaluation Clearance (FSEC)

The clearance is issued upon determination that the design, plans and specification of buildings, structures or facilities to be constructed/modified/renovated/altered
are in accordance with the provisions of the Fire Code of the Philippines and its IRR.

Section 14. Fire Safety Inspection Certificate (FSIC)

After construction/ renovation/ modification or alteration and prior to the issuance of the occupancy permit by the Building Official, the City/Municipality Fire
Marshal, having jurisdiction, shall inspect the premises, which is usually part of the Joint Inspection Team being promoted in the JMC on Construction Permits, and
issue in place, and fire protective and/or warning system are properly installed in accordance with the approved plans and specifications.

Section 15. Certification of Fire Incidents for Fire Insurance

BFP may issue a certification to the fire victim in lieu of the Final Investigation Report (FIR) for purposes of insurance claims and for other lawful applications.

Section 16. FSIC for New Business Permit Application

For new business permit application, the FSIC issued during the occupancy permit stage shall be considered as sufficient basis for the issuance of the FSIC for business
permit.

Section 17. FSIC for Renewal of Business Permit

The BFP shall, within three (3) working days from application for renewal of business permit, present the FSIC to the city/municipality, either thru copy of the FSIC or
the negative list.

The BFP shall provide the city/municipality a negative list for purposes of renewal of business permits which shall be made the basis for the automatic renewal of
business permit by the the city/municipality. A business entity not included in the negative list as provided by the BFP shall be deemed to have a valid FSIC, therefore,
registered without prejudice to temporary or permanent closure for non-compliance to regulatory rules of the BFP.

The business entity shall inform the BFP and submit the necessary documentary requirements if renovations, modifications or any form of alterations are made to the
original building structure at least thirty (30) working days before the expiration of the business permit.

In case the BFP fails to furnish the city/municipality with an FSIC or to inform through the negative kist within the above-mentioned time of three (3) working days, the
business entity shall be deemed to have a temporary valid FSIC and, therefore, shall serve as the basis for the automatic renewal of the business permit.

Section 18. Violations and Penalty for the BFP Officials or Employees
Any BFP official or employee who performs the following acts shall be liable:

a) Sell any brand of fire extinguishers and other fire safety equipment to any applicant or requesting party or business entity ;
b) Offer to sell any brand of fire extinguishers and other fire safety equipment to any applicant or requesting party or business entity ; or
c) Recommend specific brands of fire extinguishers and other fire safety equipment to any applicant or requesting party or business entity.

"Recommend" shall mean anything that the BFP or its personnel mighty or would do to endorse, suggest, and propose any brand or convincing another to buy the
product of a certain individual, person or corporation selling fire extinguishers and other safety equipment. The recommendation shall be viewed in the context of
convincing another to buy the product. However, for advice given by the BFP or any of its personnel in their professional capacity without the purpose of convincing
another to buy the product, that advice shall not be considered as recommendation.

The following acts can qualify as "recommend" but shall not be limited to the following:
i. Endorsing, suggesting, or proposing a particular merchant or person/sales agent selling fire extinguishers or fire safety equipment;

ii. Giving the contact number or business card of any merchant or person/sales agent selling fire extinguisher;

iii. Accompanying any applicant or client to any merchant or person selling fire extinguishers or fire safety equipment;

iv. Prohibiting or discouraging any applicant or client from buying a fire extinguisher form a particular merchant.

Violation of any of the above-mentioned acts shall be punishable by imprisonment of one (1) year to six (6) years and a penalty of not less than five Hundred
Thousand Pesos (Php 500,000. 00); but not more than Two Million Pesos (Php 2,000,000.00)

Section 19. Co-Location of Local BFP with the BPLO

The BFP shall co-locate with the business one stop shop or in an appropriate area designated by the city/municipality within its premises to assess and collect the fire
safety inspection fees.

The co-location system shall be year-round for all cities and/or during the business permit renewal period for all municipalities. The BFP shall designated a Fire Code
Fees Assessor and Fire Code Fees Collecting Agent in BPLO. The BFP shall coordinate with the Local Chief Executive and BPLO for the accommodation of their
personnel.

Section 20. online Electronic Mechanism

Within six (6) months from the effectivity of these Rules, the BFP shall have an online or electronic mechanism in assessing fees, collecting/accepting payments, and
sharing/exchange of other relevant data on business permit processing with LGUs and other agencies.

9. What are the punishable acts under the law?

ͽ Section 1. Violations under the Act

The following shall constitute violations of the Act and these Rules and Regulations:

a) Refusal to accept application or request with complete requirements being submitted by an applicant or requesting party without due cause;
b) Imposition of additional requirements other than those listed in the Citizen's Charter; c) Imposition of additional costs not reflected in the Citizen's Charter;
d) Failure to give the applicant or requesting party a written notice on the disapproval of an application or requests;
e) Failure to render government services within the prescribed processing time on any application and/or requests without due cause;
f) Failure to attend to applicants or requesting parties who are within the premises of the office or agency concerned prior to the end of official working hours and
during lunch break;
g) Failure or refusal to issue official receipts; and
h) Fixing and/or collusion with fixers in consideration of economic and/or other gain or advantage.

Section 2. Penalty for the First Offense

Administrative liability with six (6) months suspension: Provided, however, that in the case of fixing and/or collusion with fixers under Section 21 (h), the penalty and
liability under Section 22 (b) of the Act shall apply.

Section 3. Penalty for the Second Offense

Administrative liability and criminal liability of dismissal from the service, perpetual disqualification from holding public office and forfeiture of retirement benefits and
imprisonment of one (1) year to six (6) years with a fine of not less than Five Hundred Thousand Pesos (Php 500,000.00) but not more than Two Million Pesos (Php
2,000,000,00.)

Dismissal from service shall include accessory penalties such as, but not limited to, perpetual disqualification from holding public office and forfeiture of retirement
benefits, except terminal leave benefits and personal contributions to retirement benefit systems such as the Government Service Insurance System (GSIS),
Retirement and Benefits Administration Service (RBAS), or other equivalent retirement benefits systems.

Criminal liability shall also be incurred through the commission of bribery, extortion, or when the violation was done deliberately and maliciously to solicit favor in
cash or in kind. In such cases, the pertinent provisions of the Revised Penal Code and other special laws shall apply.

Section 4. Cumulative Nature of Offenses

The cumulative reckoning of offenses shall be based on the nature of the prohibited act, or omission, such that:

a) If the same prohibited act or omission is committed more than once, the first act or omission shall constitute the first offense, the second act or omission shall be
deemed the second offense, and so forth; and
b) If different prohibited acts and omissions are committed more than once, all such acts and omissions shall be considered first offense.

Section 5. Penalty for Fixing

In case of fixing and/or collusion with fixers under Section 21 (h) of the Act, the penalty provided for the Second Offense shall be imposed.

Section 6. Administrative Liability in Relation to Other Charges

The finding of administrative liability under the Act shall not be a bar to the filing of criminal, civil, or other related charges under existing laws arising from the same
act or omission enumerated in Section 21 of the Act. Moreover, discharge from administrative liability shall not be a bar to civil or criminal prosecution, and the
dismissal of the administrative complaint will not necessarily result in the dismissal of the civil or criminal complain filed.
In such cases, the pertinent provision of the Revised Penal Code and other pertinent laws, rules or regulations, shall apply.

Section 7. Immunity or Discharge of Co-Respondent/Accused to be a Witness

Any public official or employee or any person having been charged with another offense under the Act and who voluntarily gives information pertaining to an
investigation or who willingly testifies therefore, shall be exempt from prosecution in the case/s where his/her information and testimony are given. The discharge
may be granted and directed by the investigating body or court upon the application or petition of any of the respondent/accused-informant and before the
termination of the investigation when the following circumstances exists:

(a) There is absolute necessity for the testimony of the respondent/accused-informant whose discharge is requested;
(b) There is no other direct evidence available for the proper prosecution of the offense committed, except the testimony of said respondent/accused-informant;
(c) The testimony of said respondent/accused-informant can be substantially corroborated in its material points;
(d) The respondent/accused-informant has not been previously convicted of a crime involving moral turpitude; and
(e) Said respondent/accused-informant does not appear to be the most guilty.

Evidence adduced in support of the discharge shall automatically form part of the records of investigation. Should the investigation body or court deny the motion or
request for discharge as a witness, his/her sworn statement shall be inadmissible as evidence.