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IT Application

Tools in Business
BANJO A. REYES, RBP, MBA (cand.) 2023

IT 101 Year Level/Semester


Bachelor of Science in Accountancy/CABEIHM PB Year 2/First Semester

Course Description

The goal of this course is to present overview of IT Fundamentals and Tools used in business
environment. This includes computer terminology, hardware, software, operating systems and information
and application systems. This course will also explore business applications of software, including
spreadsheets, databases, presentation graphics, word processing and business-oriented utilization of the
internet.
Module 8 Digital Laws and Ethics in Business

OBJECTIVES

Name
Job
Title
1. Explain which laws govern cybercrime.

2. Understand application of computer ethics

3. Discuss Intellectual Property Law

AN ACT DEFINING CYBERCRIME, PROVIDING FOR THE PREVENTION, INVESTIGATION,


SUPPRESSION AND THE IMPOSITION OF PENALTIES THEREFOR AND FOR OTHER PURPOSES
(Republic Act No. 10175)

PRELIMINARY PROVISIONS

Title. – This Act shall be known as the “Cybercrime Prevention Act of 2012.”

Declaration of Policy. – The State recognizes the vital role of information and communications
industries such as content production, telecommunications, broadcasting, electronic commerce,
and data processing, in the nation’s overall social and economic development. The State also
recognizes the importance of providing an environment conducive to the development,
acceleration, and rational application and exploitation of information and communications
technology to attain free, easy, and intelligible access to exchange and/or delivery of information;
and the need to protect and safeguard the integrity of computer, computer and communications
systems, networks, and databases, and the confidentiality, integrity, and availability of
information and data stored therein, from all forms of misuse, abuse, and illegal access by
making punishable under the law such conduct or conducts. In this light, the State shall adopt
sufficient powers to effectively prevent and combat such offenses by facilitating their detection,
investigation, and prosecution at both the domestic and international levels, and by providing
arrangements for fast and reliable international cooperation.
PROHIBITED ACTS

Cybercrime Offenses. – The following acts constitute the offense of cybercrime punishable
under this Act:

A. Offenses against the confidentiality, integrity and availability of computer data and
systems:

1. Illegal Access - The intentional access to the whole or any part of a computer system without
right.
2. Illegal Interception - The intentional interception made by technical means without right of
any non-public transmission of computer data to, from, or within a computer system including
electromagnetic emissions from a computer system carrying such computer data; Provided,
however, That it shall not be unlawful for an officer, employee, or agent of a service provider,
whose facilities are used in the transmission of communications, to intercept, disclose, or use
that communication in the normal course of his employment while engaged in any activity that is
necessary to the rendition of his service or to the protection of the rights or property of the
service provider, except that the latter shall not utilize service observing or random monitoring
except for mechanical or service control quality checks.
3. Data interference - the intentional or reckless alteration of computer data without right.
4.System Interference - the intentional or reckless hindering without right of the functioning of a
computer system by inputting, transmitting, deleting or altering computer data or program.
5. Misuse of Devices –
a. The use, production, sale, procurement, importation, distribution, or otherwise making
available, without right, of:
i. a device, including a computer program, designed or adapted primarily for the purpose
of committing any of the offenses under this Act; or
ii. a computer password, access code, or similar data by which the whole or any part of a
computer system is capable of being accessed with intent that it be used for the purpose of
committing any of the offenses under this Act.
b. The possession of an item referred to in paragraphs 5(a) (i) or (ii) above with intent to use said
devices for the purpose of committing any of the offenses under this Section.

Provided, That no criminal liability shall attach when the use, production, sale, procurement,
importation, distribution, or otherwise making available, or possession of computer devices/data
referred to is for the authorized testing of a computer system. Any person found guilty of any of
the punishable acts enumerated in Section 4A of this Act shall be punished with imprisonment of
prision mayor or a fine of at least Two Hundred Thousand Pesos (Php200, 000.00) up to a
maximum amount commensurate to the damage incurred or both.

B. Computer-related Offenses:

1. Computer-related Forgery –
a. the intentional input, alteration, or deletion of any computer data without right resulting
in inauthentic data with the intent that it be considered or acted upon for legal purposes as
if it were authentic, regardless whether or not the data is directly readable and intelligible;
b. the act of knowingly using computer data which is the product of computer-related
forgery as defined herein, for the purpose of perpetuating a fraudulent or dishonest
design.

2. Computer-related Fraud – the intentional and unauthorized input, alteration, or deletion of


computer data or program or interference in the functioning of a computer system, causing
damage thereby, with the intent of procuring an economic benefit for oneself or for another
person or for the perpetuation of 6 a fraudulent or dishonest activity; Provided, that if no damage
has yet been caused, the penalty imposable shall be one degree lower.

3. Computer-related Identity Theft – the intentional acquisition, use, misuse, transfer,


possession, alteration or deletion of identifying information belonging to another, whether natural
or juridical, without right; Provided, that if no damage has yet been caused, the penalty
imposable shall be one degree lower.

Any person found guilty of any of the punishable acts enumerated in Section 4B of this Act shall
be punished with imprisonment of prision mayor or a fine of at least Two Hundred Thousand
Pesos (Php200, 000.00) up to a maximum amount commensurate to the damage incurred or
both.

C. Content-related Offenses:

1. Cybersex – Any person who knowingly undertakes, organizes or facilitates directly or


indirectly, any operation for the lascivious exhibition of sexual organs or for sexual activity
with the aid of or through the use of a computer system, for a favor or consideration.

Any person found guilty of any of this punishable offense shall be punished with
imprisonment of prision mayor or a fine of at least Five Hundred Thousand Pesos
(Php500,000.00) but not exceeding One Million Pesos (Php1,000,000.00) or both.

Provided, that any person found guilty of committing this punishable offense against three
(3) or more persons, individually or collectively, shall be punished with imprisonment one
degree higher than that of the prescribed penalty for the offense or a fine of more than
One Million Pesos (Php1,000,000.00) but not exceeding Two Million Pesos
(Php2,000,000.00) or both.

2. Unsolicited Commercial Communications - The transmission of commercial electronic


communication with the use of computer system which seek to advertise, sell, or offer for
sale products and services are prohibited unless: a. There is a prior affirmative consent
from the recipient; or b. The following conditions are present:

i. The commercial electronic communication contains a simple, valid, and reliable way
for the recipient to reject receipt of further commercial electronic messages (‘opt-out’)
from the same source;
ii. The commercial electronic communication does not purposely disguise the source of
the electronic message; and
iii. iii. The commercial electronic communication does not purposely include misleading
information in any part of the message in order to induce the recipients to read the
message.

Any person found guilty of any of this punishable offense shall be punished with a fine of at least
Fifty Thousand Pesos (Php50,000.00) but not exceeding Two Hundred Fifty Thousand Pesos
(Php250,000.00) for each transmission.

IMPLEMENTING AGENCIES

Law Enforcement Authorities. – There is created a Cybercrime Center in the Philippine


National Police (PNP), a Cybercrime Division in the National Bureau of Investigation (NBI)
and an Office of Cybercrime in the Department of Justice (DOJ) to implement the provisions
of this Act. The specialized units shall be adequately resourced and staffed with cyber-trained
personnel.

Powers and Functions. – The PNP Cybercrime Center and NBI Cybercrime Division shall
have the following powers and functions:

a. To investigate all cybercrimes where computer systems are involved;


b. To conduct data recovery and forensic analysis on computer systems and other electronic
evidence seized as provided under Chapter IV of this Act;
c. To formulate guidelines in investigation, forensic evidence recovery, and forensic data
analysis consistent with industry standard practices;
d. To provide technological support to investigate units within the PNP and NBI including the
search, seizure, evidence preservation, forensic recovery of data from crime scenes and
systems used in crimes and to provide testimonies;
e. To develop public, private sector, and law enforcement agency relations in addressing
cybercrimes;
f. To maintain necessary and relevant databases for statistical and/or monitoring purposes;
and
g. To develop capacity within their organizations in order to perform such duties necessary
for the enforcement of this act.

The DOJ Office of Cybercrime shall have the following powers and functions:
a. To act as a central authority for all requests for assistance for investigation or proceedings
concerning criminal offenses, facilitate the provisions of legal or technical advice,
preservation and production of data, collection of evidence, giving legal information and
locating suspects;
b. To act on complaints/referrals of cybercrime offenses and other violations of this Act;
c. To issue preservation and production orders addressed to service providers, subpoena
duces tecum, subpoena ad testificandum and summon witnesses to appear in any
investigation or proceedings for cybercrime offenses;
d. To cause the filing of complaints for the prosecution of cybercrime offenses;
e. To punish any person who fails to comply with the orders under Chapter IV of this Act, for
direct and indirect contempt;
f. To request the different government agencies for assistance in obtaining information
necessary for the proper discharge of its responsibilities under this Act, and examine, if
necessary, the pertinent records and documents in the possession of such government
agency;
g. To require the PNP Cybercrime Center and the NBI Cybercrime Division to submit timely
and regular reports including pre-operation, post-operation and investigation results and
such other documents for review and monitoring;
h. To facilitate international cooperation on intelligence, investigations, training and capacity
building related to cybercrime prevention, suppression and prosecution; and
i. To perform such other functions as it may deem appropriate and necessary for the proper
enforcement of this Act.

Information and Communications Technology Office. – The Information and


Communications Technology Office (ICTO) shall be responsible for formulating and
implementing a national cyber security plan and extending immediate assistance for the
suppression of real-time commission of cybercrime offenses through a computer emergency
response team (CERT).

Cybercrime Courts. – There shall be designated special courts manned by cyber-trained judges
to handle cybercrime cases.

Preservation of Computer Data. – The integrity of traffic data and subscriber information
relating to communication services provided by a service provider shall be preserved for a
minimum period of six (6) months from the date of the transaction. Content data shall be similarly
preserved for six (6) months from the date of receipt of the order from the central authority
requiring its preservation.

The central authority may order a one-time extension for another six (6) months provided that
once computer data preserved, transmitted or stored by a service provider is used as evidence
in a case, the service provider shall transmit and endorse the computer data to central authority.

The service provider ordered to preserve computer data shall keep confidential the order and its
compliance.

Disclosure of Computer Data. – The central authority shall issue an order requiring any person
or service provider to disclose or submit subscriber’s information, traffic data or relevant data in
his/its possession or control within seventy two (72) hours from receipt of the order in relation to
a valid complaint officially docketed and assigned for investigation and the disclosure is
necessary and relevant for the purpose of investigation.

Search, Seizure and Examination of Computer Data. – Where a search and seizure warrant
is properly issued, the law enforcement authorities shall likewise have the following powers and
duties: Within the time period specified in the warrant, to conduct interception, as defined in this
Act, content of communications, procure the content of data either directly, through access and
use of computer system, or indirectly, through the use of electronic tapping devices, in real time
or at the same time that the communication is occurring and:
a. To secure a computer system or a computer data storage medium;
b. To make and retain a copy of those computer data secured;
c. To maintain the integrity of the relevant stored computer data;
d. To conduct examination of the computer data storage medium; and
e. To render inaccessible or remove those computer data in the accessed computer or
computer and communications network.

Law enforcement authorities may request for an extension of time to complete the examination
of the computer data storage medium and to make a return thereon but in no case for a period
longer than thirty (30) days from date of approval by the court.

Restricting or Blocking Access to Computer Data. – When a computer data is prima facie
found to be violative of the provisions of this Act, the central authority shall issue an order to
restrict or block access to such computer data.

Non-compliance. – Failure to comply with the provisions of Chapter IV shall be punished as a


violation of P.D. No. 1829 with imprisonment of prision correccional in its maximum period or a
fine of One Hundred Thousand Pesos (Php100,000.00) or both, for each and every non-
compliance with such an order

INTERNATIONAL COOPERATION

General Principles Relating to International Cooperation — All relevant international


instruments on international cooperation in criminal matters, arrangements agreed on the basis
of uniform or reciprocal legislation, and domestic laws, to the widest extent possible for the
purposes of investigations or proceedings concerning criminal offenses related to computer
systems and data, or for the collection of evidence in electronic form of a criminal, offense shall
be given full force and effect.

COMPETENT AUTHORITIES

Department of Justice (DOJ). — There is hereby created an Office of Cybercrime within the
DOJ designated as the central authority in all matters related to international mutual assistance
and extradition.

Cybercrime Investigation and Coordinating Center. — There is hereby created, within thirty
(30) days from the effectivity of this Act, an inter-agency body to be known as the Cybercrime
Investigation and Coordinating Center (CICC), under the administrative supervision of the Office
of the President, for policy coordination among concerned agencies and for the formulation and
enforcement of the national cybersecurity plan.

Composition. — The CICC shall be headed by the Executive Director of the Information and
Communications Technology Office under the Department of Science and Technology (ICTO-
DOST) as Chairperson with the Director of the NBI as Vice Chairperson; the Chief of the PNP;
Head of the DOJ Office of Cybercrime; and one (1) representative from the private sector and
academe, as members. The CICC shall be manned by a secretariat of selected existing
personnel and representatives from the different participating agencies.
FINAL PROVISIONS

Waiver of Bank Secrecy. – Any investigation of cybercrime offenses under this Act that
necessarily includes an inquiry to any particular deposit or investment with any banking
institution or non-bank financial institution shall be considered as an exception to the absolute
confidential nature of all deposits provided under R.A. No. 1405.

TEN COMMANDMENTS OF COMPUTER ETHICS


The Ten Commandments of Computer Ethics were created in 1992 by the Computer Ethics
Institute. The commandments were introduced in the paper "In Pursuit of a 'Ten
Commandments' for Computer Ethics" by Ramon C. Barquin as a means to create "a set of
standards to guide and instruct people in the ethical use of computers." They followInternet
Advisory Board's memo on ethics from 1987. The Ten Commandments of Computer Ethics
copies the archaic style of the Ten Commandments from the King James Bible.
The commandments have been widely quoted in computer ethics literature but also have been
criticized by both the hacker community and some in academia. For instance, Dr. Ben
Fairweather of the "Centre for Computing and Social Responsibility" has described them as
"simplistic" and overly restrictive.
The CISSP — an organization of computer security professionals — has used the
commandments as a foundation for its own ethics rules.

The Ten Commandments

1. Thou shalt not use a computer to harm other people.


2. Thou shalt not interfere with other people's computer work.
3. Thou shalt not snoop around in other people's computer files.
4. Thou shalt not use a computer to steal.
5. Thou shalt not use a computer to bear false witness.
6. Thou shalt not copy or use proprietary software for which you have not paid.
7. Thou shalt not use other people's computer resources without authorization or proper
compensation.
8. Thou shalt not appropriate other people's intellectual output.
9. Thou shalt think about the social consequences of the program you are writing or the
system you are designing.
10. Thou shalt always use a computer in ways that ensure consideration and respect for your
fellow humans.

Commandment 1
Simply put: Do not use the computer in ways that may harm other people.
Explanation: This commandment says that it is unethical to use a computer to harm
another user. It is not limited to physical injury. It includes harming or corrupting other
users' data or files. The commandment states that it is wrong to use a computer to steal
someone's personal information. Manipulating or destroying files of other users is ethically
wrong. It is unethical to write programs, which on execution lead to stealing, copying or
gaining unauthorized access to other users' data. Being involved in practices like hacking,
spamming, phishing or cyber bullying does not conform to computer ethics.
Examples: Sending virus in order to hack personal information and exposing to the others.

 Commandment 2
Simply put: Do not use computer technology to cause interference in other users' work.
Explanation: Computer software can be used in ways that disturb other users or disrupt
their work. Viruses, for example, are programs meant to harm useful computer programs
or interfere with the normal functioning of a computer. Malicious software can disrupt the
functioning of computers in more ways than one. It may overload computer memory
through excessive consumption of computer resources, thus slowing its functioning. It
may cause a computer to function wrongly or even stop working. Using malicious software
to attack a computer is unethical.
Examples: Deleting friend's essay document and saying I was just playing.

 Commandment 3
Simply put: Do not spy on another person's computer data.
Explanation: We know it is wrong to read someone's personal letters. On the same lines,
it is wrong to read someone else's email messages or files. Obtaining data from another
person's private files is nothing less than breaking into someone's room. Snooping around
in another person's files or reading someone else's personal messages is the invasion of
his privacy. There are exceptions to this. For example, spying is necessary and cannot be
called unethical when it is done against illegitimate use of computers. For example,
intelligence agencies working on cybercrime cases need to spy on the internet activity of
suspects.
Examples: Look for students' grades from the teachers' computers

 Commandment 4
Simply put: Do not use computer technology to steal information.
Explanation: Stealing sensitive information or leaking confidential information is as good
as robbery. It is wrong to acquire personal information of employees from an employee
database or patient history from a hospital database or other such information that is
meant to be confidential. Similarly, breaking into a bank account to collect information
about the account or account holder is wrong. Illegal electronic transfer of funds is a type
of fraud. With the use of technology, stealing of information is much easier. Computers
can be used to store stolen information.
Examples: Taking someone's personal information or idea to use without any approval

 Commandment 5
Simply put: Do not contribute to the spread of misinformation using computer technology.
Explanation: Spread of information has become viral today, because of the Internet. This
also means that false news or rumors can spread speedily through social networking sites
or emails. Being involved in the circulation of incorrect information is unethical. Mails and
pop-ups are commonly used to spread the wrong information or give false alerts with the
only intent of selling products. Mails from untrusted sources advertising certain products
or spreading some hard-to-believe information, are not uncommon. Direct or indirect
involvement in the circulation of false information is ethically wrong. Giving wrong
information can hurt other parties or organizations that are affected on that particular
theme.
Examples: Posting something like "He or she did ...." without any proves

 Commandment 6
Simply put: Refrain from copying software or buying pirated copies. Pay for software
unless it is free.
Explanation: Like any other artistic or literary work, software is copyrighted. A piece of
code is the original work of the individual who created it. It is copyrighted in his name. In
case of a developer writing software for the organization he works for, the organization
holds the copyright for it. Copyright holds true unless its creators announce it is not.
Obtaining illegal copies of copyrighted software is unethical. It is not easy to do such
things and in the end it will just be copied illegally.
Examples: Cracking demo program and using it forever
 Commandment 7
Simply put: Do not use someone else's computer resources unless authorized to.
Explanation: Multi-user systems have user specific passwords. Breaking into some other
user's password, thus intruding his private space is unethical. It is not ethical to hack
passwords for gaining unauthorized access to a password-protected computer system.
Accessing data that you are not authorized to access or gaining access to another user's
computer without his permission is not ethical. Privacy will always be applied to such
resources and were not supposed to get exposed and hack in such ways that is not yours.
Examples: Using site's information and publishing a book without the source to earn
benefit

 Commandment 8
Simply put: It is wrong to claim ownership on a work which is the output of someone else's
intellect.
Explanation: Programs developed by a software developer are his/her property. If he is
working with an organization, they are the organization's property. Copying them and
propagating them in one's own name is unethical. This applies to any creative work,
program or design. Establishing ownership on a work which is not yours is ethically
wrong. Originality of any software/programs are to be keep safe and trying to claim
ownership will cause a viral disputes.
Examples: Posting New movie that just came out on Youtube

 Commandment 9
Simply put: Before developing a software, think about the social impact it can have.
Explanation: Looking at the social consequences that a program can have, describes a
broader perspective of looking at technology. A computer software on release, reaches
millions. Software like video games and animations or educational software can have a
social impact on their users. When working on animation films or designing video games,
for example, it is the programmer's responsibility to understand his target audience/users
and the effect it may have on them. For example, a computer game for kids should not
have content that can influence them negatively. Similarly, writing malicious software is
ethically wrong. A software developer/development firm should consider the influence
their code can have on the society at large.
Examples: Making program that can spy on other people's computer
 Commandment 10
Simply put: In using computers for communication, be respectful and courteous with the
fellow members.
Explanation: The communication etiquette we follow in the real world applies to
communication over computers as well. While communicating over the Internet, one
should treat others with respect. One should not intrude others' private space, use
abusive language, make false statements or pass irresponsible remarks about others.
One should be courteous while communicating over the web and should respect others'
time and resources. Also, one should be considerate with a novice computer user.
Examples: Chatting with someone using curse words

Republic Act No. 8293 [An Act Prescribing the Intellectual Property Code and Establishing the
Intellectual Property Office, Providing for Its Powers and Functions, and for Other Purposes]otherwise
known as the Intellectual Property Code of the Philippines.

Intellectual Property (IP)


Philippine Definition:
Intellectual Property is an
intangible asset that can be
protected from theft or
unauthorized use. Any
person can own IP and have
the
right to sell or give it to
others.
American Definition:
Intellectual property is a
property right that can be
protected under federal
and state law, including
copyrightable works, ideas,
discoveries, and inventions.
The term intellectual
property relates to
intangible
property such as patents,
trademarks, copyrights, and
trade secrets. Thus, in
today's legal marketplace
most registered patent
attorneys hold themselves
out as intellectual
property law attorneys, as
opposed to merely a
patent
attorney.
Intellectual Property (IP)

Philippine Definition: Intellectual Property is an intangible asset that can be protected


from theft or unauthorized use. Any person can own IP and have the right to sell or give it
to others.
American Definition: Intellectual property is a property right that can be protected under
federal and state law, including copyrightable works, ideas, discoveries, and inventions. The
term intellectual property relates to intangible property such as patents, trademarks,
copyrights, and trade secrets. Thus, in today's legal marketplace most registered patent
attorneys hold themselves out as intellectual property law attorneys, as opposed to merely
a patent attorney.

State policy declaration:

The State recognizes that an effective intellectual and industrial property system is vital to
the development of domestic and creative activity, facilitates transfer of technology,
attracts foreign investments, and ensures market access for our products. It shall protect
and secure the exclusive rights of scientists, inventors, artists and other gifted citizens to
their intellectual property and creations, particularly when beneficial to the people, for
such periods as provided in this Act.

The use of intellectual property bears a social function. To this end, the State shall
promote the diffusion of knowledge and information for the promotion of national
development and progress and the common good.

It is also the policy of the State to streamline administrative procedures of registering


patents, trademarks and copyright, to liberalize the registration on the transfer of
technology, and to enhance the enforcement of intellectual property rights in the
Philippines.

Effect on international conventions and on principle of reciprocity:

Any person who is a national or who is domiciled or has a real and effective industrial
establishment in a country which is a party to any convention, treaty or agreement relating
to intellectual property rights or the repression of unfair competition, to which the
Philippines is also a party, or extends reciprocal rights to nationals of the Philippines by
law, shall be entitled to benefits to the extent necessary to give effect to any provision of
such convention, treaty or reciprocal law, in addition to the rights to which any owner of an
intellectual property right is otherwise entitled by this Act.

Parts of the law:

The Intellectual Property Code of the Philippines is divided into five [5] parts, to wit:

PART I - The Intellectual Property Office


PART II - The Law on Patents
PART III - The Law on Trademarks, Service Marks and Trade Names
PART IV - The Law on Copyright
PART V - Final Provisions

Government Agencies:

The agency of the government in charge of the implementation of the Intellectual


Property Code is the Intellectual Property Office which replaced the Bureau of Patents,
Trademarks and Technology Transfer. It is divided into six [6] Bureaus, namely:
[1] Bureau of Patents;
[2] Bureau of Trademarks;
[3] Bureau of Legal Affairs;
[4] Documentation, Information and Technology Transfer Bureau;
[5] Management Information System and EDP Bureau; and
[6] Administrative, Financial and Personnel Services Bureau

POWERS AND FUNCTIONS OF THE INTELLECTUAL PROPERTY OFFICE FROM SEC. 5


OF THE INTELLECTUAL PROPERTY LAW (RA 8293) AS AMENDED:
Section 5. Functions of the Intellectual Property Office (IPO). - 5.1. To administer and
implement the State policies declared in this Act, there is hereby created the Intellectual
Property Office (IPO) which shall have the following functions:

a) Examine applications for grant of letters patent for inventions and register utility models
and industrial designs;
b) Examine applications for the registration of marks, geographic indication, integrated
circuits;
c) Register technology transfer arrangements and settle disputes involving technology
transfer payments covered by the provisions of Part II, Chapter IX on Voluntary Licensing
and develop and implement strategies to promote and facilitate technology transfer;
d) Promote the use of patent information as a tool for technology development;
e) Publish regularly in its own publication the patents, marks, utility models and industrial
designs, issued and approved, and the technology transfer arrangements registered;
f) Administratively adjudicate contested proceedings affecting intellectual property rights;
and
g) Coordinate with other government agencies and the private sector efforts to formulate
and implement plans and policies to strengthen the protection of intellectual property rights
in the country.

5.2. The Office shall have custody of all records, books, drawings, specifications,
documents, and other papers and things relating to intellectual property rights applications
filed with the Office. (n)

DIFFERENT RIGHTS PROTECTED BY THE INTELLECTUAL PROPERTY OFFICE FROM


SEC. 4.1 OF THE INTELLECTUAL PROPERTY LAW (RA 8293) AS AMENDED: The term
"intellectual property rights" consists of:

a) Copyright and Related Rights; Copyright relates to literary and artistic creations, such
as books, music, paintings and sculptures, films and technology-based works (such as
computer programs and electronic databases). In certain languages, copyright is referred to
as authors’ rights. Although international law has brought about some convergence, this
distinction reflects an historic difference in the evolution of these rights that is still reflected
in many copyright systems. The expression copyright refers to the act of copying an original
work which, in respect of literary and artistic creations, may be done only by the author or
with the author’s permission. Related rights, also referred to as neighboring rights, protect
the legal interests of certain persons and legal entities that contribute to making works
available to the public or that produce subject matter which, while not qualifying as works
under the copyright systems of all countries, contains sufficient creativity or technical and
organizational skill to justify recognition of a copyright-like property right. The law of related
rights deems that the productions that result from the activities of such persons and entities
merit legal protection as they are related to the protection of works of authorship under
copyright. Some laws make clear, however, that the exercise of related rights should leave
intact, and in no way affect, the protection of copyright.

b) Trademarks and Service Marks; A trademark is a tool used that differentiates goods
and services from each other. It is a very important marketing tool that makes the public
identify goods and services. A trademark can be one word, a group of words, sign, symbol,
logo, or a combination of any of these. Generally, a trademark refers to both trademark and
service mark, although a service mark is used to identify those marks used for services
only. Trademark is a very effective tool that makes the public remember the quality of
goods and services. Once a trademark becomes known, the public will keep on patronizing
the products and services. If utilized properly, a trademark can become the most valuable
business asset of an enterprise. In addition to making goods and services distinctive, the
owner of a mark may earn revenues from the use of the mark by licensing its use by
another or though franchising agreements. One can be an owner of a trademark or service
mark, whether or not it is registered. This is common law protection. Registration is proof of
ownership and makes ownership rights easier to enforce. The basic question in lawsuits
over marks is whether or not the general public is likely to be confused as to the origin of
the service or product.

c) Geographic Indications; Indications which identify a good as originating in the territory


of a Member, or a region or locality in that territory, where a given quality, reputation or
other characteristic of the good is essentially attributable to its geographic origin.
Geographical indications are quality indicators, are widely used by producers, distributors
and retailers as an advertising or promotional tool to attract consumers and investors.

d) Industrial Designs; The industrial design as any composition of lines or colors or any
three-dimensional form, whether or not associated with lines or colors; provided that such
composition or form gives a special appearance to and can serve as pattern for an industrial
product or handicraft. Simply put, it is that aspect of a useful article which is ornamental or
aesthetic.

Generally, industrial designs are important for handicrafts, jewelry, mobile phones,
packaging materials, furniture, electrical appliances, accessories, boxes, architectural
structures and other products. It is important to protect an industrial design because it
enables the owner to prevent others from copying or imitating the industrial design without
his consent. He can also prevent parties from importing, selling, manufacturing or making
products bearing his industrial design

e) Patents; A Patent is a grant issued by the government through the Intellectual Property
Office of the Philippines (IP Philippines). It is an exclusive right granted for a product,
process or an improvement of a product or process which is new, inventive and useful. This
exclusive right gives the inventor the right to exclude others from making, using, or selling
the product of his invention during the life of the patent. A patent has a term of protection
of twenty (20) years providing an inventor significant commercial gain. In return, the patent
owner must share the full description of the invention. This information is made available to
the public in the form of the Intellectual Property Official Gazette and can be utilized as
basis for future research and will in turn promote innovation and development.

f) Layout-Designs (Topographies) of Integrated Circuits; and Integrated Circuits are


commonly known as “chips” or “micro-chips”. They are the electronic circuits in which all
the components (transistors, diodes and resistors) have been assembled in a certain order
on the surface of a thin semi-conductor material (usually silicon).

g) Protection of Undisclosed Information (n, TRIPS) This refers to a process, formula,


tool, plan, mechanism or compound that is only known by the owner or disclosed to a
selected number of employees. The trade secret is used to produce a service or product
with commercial value.

Significant features of the law:

1. A shift was made from the "first-to-invent system" under R. A. 165 [old law] to
"first-to-file system" under the new law.

2. In the case of inventions, the period of the grant was increased from 17 years
from grant under the old law to 20 years from date of filing under the new law.

3. In the case of utility models, the previous grant of 5 years plus renewals of 5 years
each under the old law was changed to 7 years without renewal under the new law.

4. In the case of industrial designs, the previous grant of 5 years plus renewals of 5
years each was maintained.

5. Under the old law, there was no opposition proceedings and the examination is
mandatory; under the new law, the examination is made only upon request [possibly with
or without examination].

6. Under the old law, publication is made after the grant; under the new law,
publication is effected after 18 months from filing date or priority date.

7. Under the old law, the penalties for repetition of infringement are: PhP10,000
and/or 5 years of imprisonment and the offense prescribes in 2 years; under the present
law, the penalties range from PhP100,000 to PhP300,000 and/or 6 months to 3 years of
imprisonment and the offense prescribes in 3 years.

Significant changes in the trademark law:

The significant changes in the trademark law under the old law [R. A. No. 166] and the
present law are as follows:

1. Under the former, the element of use before filing a local application is a
requirement although this is not required when the application is based on foreign
registration; while under the latter, the element of use has been eliminated as a
requirement for application.

2. Under the former, the term granted is 20 years renewable for 20-year periods;
while under the latter, the term is for 10 years, renewable for 10-year periods.

3. Under the former, the affidavit of use or non-use is required on the 5th, 10th and
15th anniversaries; while under the latter, proof of use within 3 years from the filing of the
application is required and the affidavit of use should be filed within 1 year from the 5th
anniversary.

4. Under the former, a Supplemental Register is required to be maintained; while


under the latter, it is no longer required.

5. Under the former law, penalties for infringement, unfair competition, false
designation of origin and false description or representation range from fine of PhP500 to
PhP2,000 and/or 6 months to 3 years and 4 months of imprisonment; while under the
latter law, the penalties range from fine of PhP50,000 to PhP200,000 and/or 2 to 5 years
of imprisonment.

Significant changes in the copyright law:

It is now required that after the first public dissemination of performance by authority of the
copyright owner of certain specified work, there shall, for the purpose of completing the records
of the National Library and the Supreme Court library, within three (3) weeks, be registered and
deposited with it, by personal delivery or by registered mail, two (2) complete copies or
reproductions of the work in such form as the directors of said libraries may prescribe.

The scheme of penalties for infringement has also been changed. From the previous fine of
Php200 to Php2,000 and/or imprisonment of 1 year, the current range of penalties are as
follows:

For first offenders - fine of PhP50,000 to PhP150,000 and/or imprisonment of 1 to 3


years

For second offenders - fine of PhP150,000 to PhP500,000 and/or imprisonment of 3 to 6


years

For third and subsequent offenders - fine of PhP500,000 to PhP1.5 Million and/or
imprisonment of 6 to 9 years.

In case of insolvency, the offender shall furthermore suffer subsidiary imprisonment.

CHAPTER SUMMARY
 (Republic Act No. 10175) or the Cybercrime Prevention Act of 2012 is the law that
govern Cybercrime, Providing For The Prevention, Investigation, Suppression And The
Imposition Of Penalties Therefor And For Other Purposes

 The Ten Commandments of Computer Ethics were created in 1992 by the Computer
Ethics Institute. The commandments were introduced in the paper "In Pursuit of a 'Ten
Commandments' for Computer Ethics" by Ramon C. Barquin as a means to create "a set
of standards to guide and instruct people in the ethical use of computers."

 Republic Act No. 8293 [An Act Prescribing the Intellectual Property Code and
Establishing the Intellectual Property Office, Providing for Its Powers and Functions, and
for Other Purposes]otherwise known as the Intellectual Property Code of the
Philippines which governs Intellectual property in the Philippines.

References

Republic Act No. 10175


Republic Act No. 8293
8 - 10 Commandments of Computer Ethics - Mel Albert A. Agra (google.com)

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