Section 29Sec./Art. 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.