JJ Disini on Advocacy and Politics Online

One of the persons we interviewed for the Philippine Internet Review: Ten Years of Internet History (1994 - 2004) was Atty. JJ Disini of Disini & Disini Law Office.

JJ is a lawyer specializing in information technology matters. He represent mobile content providers, e-commerce companies engaged in e- banking, B2B marketplaces, on-line services, as well as, "traditional" IT companies such as systems integrators, ISPs, network providers. The website, http://www.disini.ph/, was established in 2000 at the same time he formed his law firm. One of his main goals in maintaining the site is to provide legal information for those interested in various areas of the law. He continuously updates the resources section of the site by including informative materials such as an Investment Primer and an Outsourcing Primer.

He was the principal drafter of the Implementing Rules and Regulations of the E-Commerce Law – Republic Act 8792. He also wrote a position paper for the Philippine Internet Commerce Society, in support of Cebu-based CyberPromdi in 2000 to counter a proposed ordinance banning minors in Internet cafes.

Janette Toral (JT): Since the passage of the E-Commerce Law what's happening now in the legislative arena?

JJ: There have been various initiatives in Congress relating to e-commerce such as the cyber crime bill, the convergence bill, and of course, the bill creating the Department of ICT. However, there have been no new laws to date. I'm not entirely sure if this is a good thing or not. It seems to indicate that ICT isn't much of a priority in the national agenda. However, I do believe that certain initiatives are worth pursuing. In particular, I believe a data protection and privacy law would benefit various sectors of the IT industry including the outsourcing providers as well as the public in general (whose informational privacy can be secured through the law).

JT: What's next? Do you see tougher issues in the area of cryptography and intellectual property?

JJ: I think the challenge now in the policy arena revolves around formulating a strategy for addressing various issues. There appears to be no "game plan" emanating from our policy makers with a specific agenda and action items. I think the time for motherhood statements of support and development have passed. We need to initiate steps to implement specific programs to get the industry going and ensure the continued development of the ICT sector.

JT: Do you ever see the Internet being governed? Will it be through traditional courts or dispute resolution?

JJ: Internet governance is far too complex to have any ready answer. Overall, I do believe that the use of technology (probably through private contracting) remains the strongest source of regulation on the Internet. The best example is the Uniform Dispute Resolution Policy (UDRP) of ICANN which effectively legislated protection to trademark owners against cybersquatting. In a mix of private contracting and technological control, UDRP has been an unqualified success. I think there are important lessons in that experience relating to Internet governance. Of course, a government can take an extreme position like China where ISPs are heavily regulated in order to block access to "offensive" sites. In the final analysis, the success of governmental control depends on many factors and an individual government's efforts may be thwarted by hackers and other liberally- minded citizens.

I don't believe the traditional courts can effectively handle multi- jurisdictional issues arising from the Net. Unless, of course, those courts are created by International agreements and some order is placed in terms of venue and jurisdiction. Still, I imagine those kinds of suits will be very expensive to litigate and very inconvenient to at least one of the parties.

JT: As work-at-home arrangements are becoming popular in the Philippines, do you find companies monitoring workers-at-home result to privacy violation?

JJ: I'm not aware if monitoring is that effective for people who tele-commute. I imagine that at best, the company can screen the person's email. Still, in the workplace, a vast majority of employers - at least in the US - monitor computer use to avoid unauthorized surfing and other factors that impact on productivity. In that respect, I believe the employer has a right to institute monitoring equipment. In the final analysis, computer resources are provided by the employer for business purposes only. As such, the employer has the right to monitor the use of those resources to ensure their proper utilization. If employees want privacy, then they should use their own computer resources -- at home, for example.

JT: Is it possible for Filipinos to elect a Philippine President from the comforts of their own home or work place (especially for OFWs)?

JJ: Theoretically, yes. The issue of course is authentication. But that's a common issue for all on-line transactions as well as current "off-line" election procedures in place.

JT: Do you think it's possible in the future that there will be a candidate in national politics that will represent the Internet community? Who do you think that will be?

I guess it's difficult to say or determine who comprises the Internet community. There are users and there are business people, government officials -- all having different interests that need to be protected. I think at most, we can have a candidate with an agenda that supports various interests within the Internet community. Perhaps, that would be enough.

Who would that be? Anybody who takes up the cudgels for promoting Internet use and commerce in the Philippines.

JT: A lot believe that the Internet changes everything about the law. Almost everyone can maximize the use of the Internet for both good and bad purpose. As a safety principle especially in legislation, what is commonly noted is that whatever is allowed in the real world should be allowed on the Internet and vice-versa. Do you think this principle will remain the rule of thumb in the next 10 years? How does this double-edged sword affect our rights and liberties?

JJ: It's not so much a rule of thumb as a stop-gap measure. The advent of the Internet and the pace at which adoption and usage has grown over the past years has far outpaced Congress. The making of laws is a deliberate and deliberative process that cannot possibly be done in Internet time. So, in the absence of any pronouncements from Congress, the courts have no choice but to apply existing laws to new situations -- with varying success. I believe this will continue but I also believe that the process is continually improving as the legal analysis improves and legal experts come to understand the peculiar issues the Internet brings to the law. On the whole, I wouldn't be too concerned about our rights and liberties. I don't think excessive regulation is in the offing and those of us online should be free from restrictions for years to come.

Filipinos motivation for sending money

Dr. Joaquin Gonzalez, director of Philippine Studies at the University of San Francisco, is studying the link between immigration and the spirituality of Filipino-Americans.

Gonzalez initially discovered that over half of those surveyed send at least $100 to $500 monthly to the Philippines. The study, to be presented early next year, also looks at the motivation for the act of sending money. Some of the present reasons include:

• Supporting grandparents and parents (24%)
• relatives' health care needs (22%)
• housing mortgage (18%)
• school payments of direct children and nieces or grandchildren (18%)

Money is send usually using money transfer companies (47%), bank channels (32%), and courier channels (21%).

Money remittance is one of the most lucrative business today in the country due to the increasing number of Filipinos working or migrating overseas. Comparing this to our OFW Internet Habits report, the only change is the increasing trust to money remittance companies. Banks used to be the primary medium for this purpose.

Organizations like UNCTAD also sees remittance as a development tool and urges countries, like the Philippines, largely benefiting from the inflow of currency to tap its potential other than further pushing consumption.

As most overseas Filipino workers are women, The World Economic Forum's latest Global Gender Gap Index found the Philippines to be doing more to empower women than the United States, Britain, Canada or Australia. Of 115 nations examined in 2006, the Philippines placed sixth, well ahead of the United States at 22nd (Sweden was first). Although women may be more economically empowered, it is a sad reality that Filipinas abroad are at high risk as well.

Overseas based Filipinos investing back home

Indeed, Filipinos based overseas, no matter how established they are, likely would want to retire in the Philippines and invest in a Philippine property for a second home. No wonder online real estate selling is booming in the country. This is also dominating most ads found in local news site today.

Real estate selling online

Taking advantage of the overseas dispora, OFWs, foreigners marrying Filipinas , more and more real estate companies are realizing the value of the Internet in selling properties online. The savings and markets gain is beyond compare by justing sticking to traditional billboards. Despite troubling rumors about peace and order in the country, Davao City and Bohol real estate sellers are attracting buyers online.

However, real estate players are now exposed to risks as well such as being libel, among others.

Money remittance market - high opportunity for e-commerce

The Philippines is considered having the third largest money remittance market in the world following India and Mexico. As a result, it kept attracting more and more companies to get into the money remittance business. Existing companies, pawnshops, and rural banks are also getting to be more creative in this business segment. Leading banks in the money remittance business are BPI and PNB.

On the other hand, companies like Coinstar have acquired Travelex Money Transfer Limited who has partnership with banks like RCBC, Bank of Commerce, Rural Bank of the Philippines, and Cebu Lhuillier Services Corp. Remittance in 2006 is expected to hit US$13.5 billion this year.

On the online remittance side, sites like YesPinoy are expected to continue growth in this business. Portals that have high traffic and subscription also have an edge in entering into this type of business where trust is already established with its subscribers.

This fast transfer of money is also getting the US government jittery, wary that money laundering is possibly committed through these remittance systems. Another increasing concern are the hidden fees charged in these transactions. This does not only include the upfront fee or percentage, usually at 7%, but also the foreign exchange rates once the money is given to the recipient.

Money remittance growth rate is driven by overseas Filipino worker deployment. From January to July 2006, nearly 662,000 Filipinos left the country and remittance received is up to US$7 billion.

Mobile phone: tool for disaster coordination and abuse

Mobile phones are truly important in times of crisis. Take the case of our OFW evacuation in Lebanon. Without the mobile phone, we can be certain that gathering them would not have been that fast. It is also estimated that there are around 30,000 Filipinos there.

Other countries, like Australia, are scrambling also in getting their citizens out there and things don't seem to be turning out well. There's also a disadvantage for citizens of rich countries to be in a war zone as they tend to be more prone to kidnapping or hostage for ransom.

In Cebu, companies like PLDT and InTouch Communications have partnered with OWWA to provide for families to contact their OFW loved ones in Lebanon. Lito Gutierrez of Global Forum also talked about the importance of equipping outgoing overseas contract workers to the Middle East a VOIP phone. Microsoft is about to do this soon with OWWA as they will equip outgoing OFWs with a Microsoft Windows 5.0 Mobile Phone that shall work in wi-fi areas.

Although on the other hand, it is sad to see that there are entities and individuals who had no heart in scamming their fellow countrymen gullible enough to fall prey into it. Telcos should create posters regularly that can be seen in all their retailer outlets to spread the knowledge on text scams or perhaps a monthly text alert about it. On the more proactive level, set up a procedure that a cellphone owner can do it as soon as he or she receives a potential text scam. Of course, this would need tight coordination with the police. In the end, we need solution and action where there is a clear process on how the mobile phone text scammers can be captured. There are now anti-theft services though being offered to combat this. The National Telecommunications Commission (NTC) has released a policy for the reporting and handling of spam complaints. A Text Spam Committee was also created in the process who will handle all complaints. Some local government police units, like Marikina, are also adopting the use of text messaging as an anti-crime tool.

In the recent Senate hearing on the 2006 nursing board exam leakage, pictures taken from the mobile phone was also used to demonstrate that there's indeed anomalies committed by the party accused.

It is estimated that there are 37 million mobile phone users today. The Philippines was also dubbed as the text messaging capital of the world as it processes more than 1 billion text messages a day. As of end-June 2006, Globe Telecomm has a total of 13.9 million client base. Smart with 16.4 million and Talk 'N Text with 6.1 million. With the popularity of 3G and wireless Internet, the mobile phone modems are also making a huge comeback. What makes the mobile phone both a tool for productivity and scamming is its relevance to the lives of Filipinos today. The Philippines is the first to implement a mobile wallet scheme that allows a person to transfer money or prepaid credits to another phone and has served well those who can't afford or not qualified to avail of traditional banking services. More than 7 million Filipinos are now using this service.