1. Introduction
1.1 Context
The case study can be seen in the context of a range of ASEAN developments aimed at strengthening e-commerce. A key report is the 2013 United Nations Conference on Trade and Development Review of E-Commerce Legislation Harmonisation in ASEAN (the UNCTAD Report).2 In addition, a number of studies have explored options for the regulation of e-commerce within ASEAN. These include the Roadmap for Integration of e-ASEAN Sector (2004)3, the ASEAN Internal Document: AADCP E-Commerce Project – Harmonization of E-Commerce Legal Infrastructure in ASEAN, Implementation Progress Checklist (2007), the ASEAN Secretariat Roadmap for Integration of e-ASEAN Sector,4 and the ASEAN Working Group on E-Commerce and ICT Trade Facilitation study entitled ASEAN e-Commerce Database.5 The latter report found there is an untapped potential for e-commerce within ASEAN. It, however, identified significant barriers to its take-up, including:
… the lack of consumer trust, the [consumers’] inability to judge the quality of the product during on-line shopping, payment fraud, privacy, identity theft, and access to complaints systems.
The report concluded that a key challenge for many ASEAN countries is to increase internet penetration to levels that will make e-commerce a viable venue for business.
A theme in many of these reports is that business-to-consumer (or even consumer-to-consumer) e-commerce will continue to be constrained, and its social and economic potential will be unrealised, unless an environment of trustworthiness can be established. Trustworthiness can, in part, be attained by establishing a harmonised framework for cross-bordercomplaints and dispute resolution, which in turn can encourage better customer service and improved online sales.6
In terms of the advancement of laws and regulations for consumer protection, the UNCTAD Report noted that:
Progress to date on appropriate consumer protection legislation for online transactions in the [ASEAN] region is mixed. Six out of ten countries have legislation in place. Two countries have partial laws in place (Brunei Darussalam and Indonesia). One country has draft laws (the Lao People’s Democratic Republic) and another has yet to commence work in this area (Cambodia).7
It is apparent that there is not, nor should there be, a distinct silo for laws and regulations dealing with ‘bricks and mortar’ consumer transactions, and another silo for online consumer transactions. Laws and regulations for online transactions potentially cover a range of topics, including requirements for warranties that goods be fit for purpose, the products be safe, the transaction not lead to identity theft and fraud, and disputes with sellers can be quickly and cheaply settled, at least with regard to transactions within ASEAN.
Some of these topics are common to both bricks and mortar and online transactions, including those dealing with warranties for fitness for purpose of consumer products, and consumer product safety. Other issues more clearly fall within the ambit of online transactions, including identity theft and computer fraud. Together, these topics canvas a wide range of issues that cannot be reasonably dealt with in this case study. In any event, they are being dealt with in other studies under this project.
Unlike the world of bricks and mortar consumer transactions, the internet readily facilitates cross-border transactions. In Australia, for instance, about 45% of consumer transactions involve purchases from overseas sellers. It is likely that a large proportion of online consumer transactions in any one ASEAN nation will be (or will become) transactions with the sellers outside that nation. Consequently, issues regarding cross-border transactions aresignificant. Consumers and sellers are likely to obtain substantial benefit if cross-border transactions within the ASEAN region are relatively seamless. That is, where the laws and regulations applying to transactions within the region are harmonious, and where online disputes can be settled with relative ease and at low cost.
Previous studies have highlighted the necessity for enhanced harmonisation of e-commerce laws and regulations within ASEAN. According to UNCTAD:
The process of harmonization started more than 10 years ago in support of ASEAN regional economic integration objectives through various initiatives aiming at promoting economic growth, with information and communication technologies (ICT) as a key enabler for the ASEAN’s social and economic integration: the e-ASEAN initiative (1999), the e-ASEAN Framework (2000), the ASEAN Economic Community (AEC) Blueprint (2007). The latest initiative is the ASEAN ICT Masterplan 2015.8
1.2 Case study countries
The interviews were undertaken in Kuala Lumpur, Singapore and Jakarta. These three locations were chosen as they are in relatively close geographical proximity; budget and time constraints limited available options for the study. In addition, the three countries (Malaysia, Singapore and Indonesia) apply different systems for the adoption and application of their laws. For instance, Malaysia and Singapore are common law-based countries, while Indonesia is a civil law-based country.
Indonesia adopts a process by which omnibus laws are developed, which is also the case with the Lao People’s Democratic Republic and Vietnam. Other member nations tend to enact more specific laws. The three countries being studied therefore provide a good representation of the legislative approaches adopted throughout the region. The three countries also vary significantly in population and geographical size, with Singapore being a relatively small geographical country and Indonesia being a large country both in geography and population.
1.3 Existing laws, systems and practices
Most ASEAN countries, including the three case study countries, have e-commerce and consumer protection laws in place, illustrated by the following table from the UNCTAD Report:9
Table 1. Status of e-commerce law harmonization in ASEAN as of March 2013
1. บทนำ1.1 บริบทกรณีศึกษาสามารถมองเห็นได้ในบริบทของช่วงของการพัฒนาของอาเซียนที่มุ่งเสริมสร้างอีคอมเมิร์ซ รายงานสำคัญประชุมอยู่ 2013 สหประชาชาติว่าด้วยการค้าและพัฒนาทบทวนของ E-Commerce กฎหมาย Harmonisation ในอาเซียน (รายงาน UNCTAD) 2 นอกจากนี้ จำนวนของการศึกษาได้สำรวจตัวเลือกสำหรับข้อบังคับของอีคอมเมิร์ซภายในอาเซียน รวมถึงแผนงานสำหรับการรวมภาคอีอาเซียน (2004) 3 เอกสารภายในอาเซียน: โครงการ E-Commerce AADCP – ปรองดองของ E-Commerce กฎหมายโครงสร้างพื้นฐานในอาเซียน ดำเนินการตรวจ สอบความคืบหน้า (2007) แผนเลขาธิการอาเซียนรวมอีอาเซียนภาค 4 และ กลุ่มทำงานอาเซียนบน E-Commerce และศึกษา ICT อำนวยความสะดวกทางการค้าที่ได้รับ Database.5 อีคอมเมิร์ซอาเซียนรายงานหลังพบมีศักยภาพการใช้อีคอมเมิร์ซภายในอาเซียน อย่างไรก็ตาม มัน ระบุอุปสรรคสำคัญเพื่อให้ง่ายต่อการ รวมทั้ง:...ขาดผู้บริโภคเชื่อถือ [ผู้บริโภค] ไม่สามารถตัดสินคุณภาพของผลิตภัณฑ์ระหว่างคำง่ายดาย ชำระเงินทุจริต ความเป็นส่วนตัว ขโมย และการเข้าถึงระบบข้อร้องเรียนรายงานสรุปว่า ความท้าทายสำหรับประเทศอาเซียนจะเพิ่มเจาะอินเทอร์เน็ตระดับที่จะทำให้อีคอมเมิร์ซเป็นสถานที่ทำงานสำหรับธุรกิจA theme in many of these reports is that business-to-consumer (or even consumer-to-consumer) e-commerce will continue to be constrained, and its social and economic potential will be unrealised, unless an environment of trustworthiness can be established. Trustworthiness can, in part, be attained by establishing a harmonised framework for cross-bordercomplaints and dispute resolution, which in turn can encourage better customer service and improved online sales.6In terms of the advancement of laws and regulations for consumer protection, the UNCTAD Report noted that:Progress to date on appropriate consumer protection legislation for online transactions in the [ASEAN] region is mixed. Six out of ten countries have legislation in place. Two countries have partial laws in place (Brunei Darussalam and Indonesia). One country has draft laws (the Lao People’s Democratic Republic) and another has yet to commence work in this area (Cambodia).7It is apparent that there is not, nor should there be, a distinct silo for laws and regulations dealing with ‘bricks and mortar’ consumer transactions, and another silo for online consumer transactions. Laws and regulations for online transactions potentially cover a range of topics, including requirements for warranties that goods be fit for purpose, the products be safe, the transaction not lead to identity theft and fraud, and disputes with sellers can be quickly and cheaply settled, at least with regard to transactions within ASEAN.Some of these topics are common to both bricks and mortar and online transactions, including those dealing with warranties for fitness for purpose of consumer products, and consumer product safety. Other issues more clearly fall within the ambit of online transactions, including identity theft and computer fraud. Together, these topics canvas a wide range of issues that cannot be reasonably dealt with in this case study. In any event, they are being dealt with in other studies under this project.Unlike the world of bricks and mortar consumer transactions, the internet readily facilitates cross-border transactions. In Australia, for instance, about 45% of consumer transactions involve purchases from overseas sellers. It is likely that a large proportion of online consumer transactions in any one ASEAN nation will be (or will become) transactions with the sellers outside that nation. Consequently, issues regarding cross-border transactions aresignificant. Consumers and sellers are likely to obtain substantial benefit if cross-border transactions within the ASEAN region are relatively seamless. That is, where the laws and regulations applying to transactions within the region are harmonious, and where online disputes can be settled with relative ease and at low cost.Previous studies have highlighted the necessity for enhanced harmonisation of e-commerce laws and regulations within ASEAN. According to UNCTAD:The process of harmonization started more than 10 years ago in support of ASEAN regional economic integration objectives through various initiatives aiming at promoting economic growth, with information and communication technologies (ICT) as a key enabler for the ASEAN’s social and economic integration: the e-ASEAN initiative (1999), the e-ASEAN Framework (2000), the ASEAN Economic Community (AEC) Blueprint (2007). The latest initiative is the ASEAN ICT Masterplan 2015.81.2 Case study countriesThe interviews were undertaken in Kuala Lumpur, Singapore and Jakarta. These three locations were chosen as they are in relatively close geographical proximity; budget and time constraints limited available options for the study. In addition, the three countries (Malaysia, Singapore and Indonesia) apply different systems for the adoption and application of their laws. For instance, Malaysia and Singapore are common law-based countries, while Indonesia is a civil law-based country.Indonesia adopts a process by which omnibus laws are developed, which is also the case with the Lao People’s Democratic Republic and Vietnam. Other member nations tend to enact more specific laws. The three countries being studied therefore provide a good representation of the legislative approaches adopted throughout the region. The three countries also vary significantly in population and geographical size, with Singapore being a relatively small geographical country and Indonesia being a large country both in geography and population.1.3 Existing laws, systems and practicesMost ASEAN countries, including the three case study countries, have e-commerce and consumer protection laws in place, illustrated by the following table from the UNCTAD Report:9Table 1. Status of e-commerce law harmonization in ASEAN as of March 2013
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