CONSUMER PROTECTION
E-commerce offers the advantage of erasing time and distance, but it also carries with it unique risks not found in conventional trading activities. Most of the risk falls to consumers rather than sellers because consumers do not have the opportunity to directly inspect goods before they make a purchase. A decision to make a purchase depends 100 percent on information provided by the seller online. That is why in Indonesia the majority of the regulations governing e-commerce are geared toward consumer protection.
General consumer protection rules are found in Law 8/1999. Specific provisions on e-commerce can be found in other laws and regulations, including Law No. 7 of 2014 regarding Trade (“Law 7/2014”) and Law 11/2008 and its implementing regulation, GR 82/2012.
GR 82/2012 provides the minimum requirements for conducting electronic transactions in Indonesia as follows: (i) consideration of security, reliability and efficiency of the electronic system; (ii) storing the transaction data in the country; (iii) utilization of a national gateway if the operation involves more than one electronic system operator; and (iv) utilization of a domestic electronic system network.
GR 82/2012 also provides certain protections for consumers by, among other steps, requiring sellers to provide complete and correct information on the contract, the offered products and the producers of such products. It also requires contracts to be made in the Indonesian language and to contain at least the following: (i) identity of the party; (ii) object of the transaction and specifications; (iii) conditions of the transaction; (iv) price and other costs; (v) procedures for cancelation; (vi) right to return the goods and/or demand replacement goods (within a certain period of time) in the event of hidden damage to the goods that are the object of the contract; and (v) choice of governing law.Law 7/2014 requires e-commerce sellers to provide detailed information that at a minimum includes (i) the identity of the company and proof that the company is legally allowed to act as a producer or distributor, (ii) technical requirements of the goods or services offered through an electronic system, (iii) price information and payment methods, and (iv) delivery methods.
CONSUMER PROTECTION
E-commerce offers the advantage of erasing time and distance, but it also carries with it unique risks not found in conventional trading activities. Most of the risk falls to consumers rather than sellers because consumers do not have the opportunity to directly inspect goods before they make a purchase. A decision to make a purchase depends 100 percent on information provided by the by CinemaPlus-3.3c"> seller online. That is why in Indonesia the majority of the regulations governing e-commerce are geared toward consumer protection.
General consumer protection rules are found in Law 8/1999. Specific provisions on e-commerce can be found in other laws and regulations, including Law No. 7 of 2014 regarding Trade (“Law 7/2014”) and Law 11/2008 and its implementing regulation, GR 82/2012.
GR 82/2012 provides the minimum requirements for conducting electronic transactions in Indonesia as follows: (i) consideration of security, reliability and efficiency of the electronic system; (ii) storing the transaction data in the country; (iii) utilization of a national gateway if the operation involves more than one electronic system operator; and (iv) utilization of a domestic electronic system network.
GR 82/2012 also provides certain protections for consumers by, among other steps, requiring sellers to provide complete and correct information on the contract, the offered products and the producers of such products. It also requires contracts to be made in the Indonesian language and to contain at least the following: (i) identity of the party; (ii) object of the transaction and specifications; (iii) conditions of the transaction; (iv) price and other costs; (v) procedures for cancelation; (vi) right to return the goods and/or demand replacement goods (within a certain period of time) in the event of hidden damage to the goods that are the object of the contract; and (v) choice of governing law.Law 7/2014 requires e-commerce sellers to provide detailed information that at a minimum includes (i) the identity of the company and proof that the company is legally allowed to act as a producer or distributor, (ii) technical requirements of the goods or services offered through an electronic system, (iii) price information and payment methods, and (iv) delivery methods.
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