Authority of the Concerned Department to Provide for Additional Labeling and Packaging Requirements. Separability Clause. Article 125. REGULATION OF PRACTICES RELATIVE TO WEIGHTS AND MEASURES GENERAL PROVISION. In establishing a standard under this Article, the concerned department shall consider: 1) the reasonableness of such standard;cralaw, 2) available scientific, medical and engineering data concerning special packaging and concerning accidental, ingestions, illnesses and injuries caused by consumer product;cralaw, 3) the manufacturing practices of industries affected by this Article; and. Article 2. Prescription. an) "Immediate container" means the container or package which is immediately after or near the substance but does not include package liners. Such persons shall submit to the Department: (1) full reports of investigations which have been made to show whether or not such drug or device is safe, efficacious and of good quality for use based on clinical studies conducted in the Philippines; (2) a full list of the articles used as components of such drug or device; (3) a full statement of the composition of such drug or device; (4) a full description of the methods used in and the facilities and controls used for the manufacture of such drug or device; (5) such samples of such drug or device and of the articles used as components thereof as the Department may require; (6) specimens of the labeling proposed to be used for such drug or device; and (7) such other requirements as may be prescribed by regulations to ensure safety, efficacy and good quality of such drug and device. DAGUPAN CITY, Feb. 18 (PIA) -- The Department of Trade and Industry (DTI) has reiterated its reminder to the public to always be vigilant and to assert their consumer rights in buying products to ensure their protection and be able to get the best value of their money. – The Council shall appoint an Executive Director who shall assist the Chairman and act as Secretary of the Council. Article 118. – The Department of Education, Culture and Sports, with the cooperation and advice of the Council, shall develop and adopt a consumer education program which shall be integrated into existing curricula of all public and private schools from primary to secondary level. The implementing agency shall determine what items shall be exempted from the computation of the finance charges.chanroblesvirtuallawlibrary. – The concerned department may, after due notice and hearing, suspend the publication and dissemination of any information accompanying a sales promotion campaign, if it finds the campaign to be in violation of the provisions of this Chapter or its implementing rules and regulations. Article 77. Unfair or Unconscionable Sales Act or Practice. The implementing agency may promulgate and adopt rules and regulations with respect to other precomputed consumer credit transactions. Guaranty of Service Firms. Article 49. e) In the event that a settlement has not been effected, the Mediation officer may now proceed to formally investigate, hear and decide the case. bc) "Price comparison" means the direct comparison in any advertisement of a seller's current price for consumer products or services with any other price or statement of value for such property or services expressed in pesos, centavos, fractions or percentages. Home Solicitation Sales; by Whom Conducted. Article 113. Credit Advertising. It came into effect on July 15, 1992. – The provisions of the Civil Code on conditions and warranties shall govern all contracts of sale with conditions and warranties. Article 155. The department shall establish procedures for systematically logging in, investigating and responding to consumer complaints into the development of consumer policies, rules and regulations, assuring as far as practicable simple and easy access on the part of the consumer to seek redress for his grievances. Exemptions. 10 0 obj << /Length 11 0 R /Filter /FlateDecode >> stream – In case of an open-end credit plan, the rate of interest and other material features of the plan shall be disclosed in the advertisement. Article 100. – An unfair or unconscionable sales act or practice by a seller or supplier in connection with a consumer transaction violates this Chapter whether it occurs before, during or after the consumer transaction. Adulterated Food. Article 54. Article 76. Article 61. Penalties. A drug to which sub-article (b) (1) of this Article does not apply shall de deemed to be mislabeled it at any time prior to dispensing, its label bears the caution statement quoted in the preceding sentence. w) "Credit card" means any card, plate, coupon book or other credit device existing for the purpose of obtaining money, property, labor or services on credit. Article 130. This term includes credit transactions pursuant to an open-end-credit plan other than a seller credit card. Unsafe Food Additives, Exceptions for Conformity with Regulation. Article 55. The Eight Basic Consumer Rights in the Philippines The Eight Basic Consumer Rights The Right to Basic Needs The first consumer right is THE RIGHT TO BASIC NEEDS which guarantee survival, adequate food, clothing, shelter, health care, education and sanitation. CHAPTER VI Article 97. Prohibited Acts. Article 16. Enabling Business, Empowering ConsumersBACKGROUNDER ONTHE CONSUMER ACTOF THE PHILIPPINES (R.A. 7394) Series of 2013 Enabling Business, Empowering Consumers LEGAL BASIS OF RA 7394 THE “TATE “HALL PROTECT CONSUMERS FROM TRADE MALPRACTICES AND FROM SUBSTANDARD OR HAZARDOUS PRODUCT“. 7394 f What is R.A. 7394? d) "Advertiser" means the client of the advertising agency or the sponsor of the advertisement on whose account the advertising is prepared, conceptualized, presented or disseminated. Sanctions. If it appears to the Department that the hazardous substance can by relabeling or other action made to comply with the requirements of this Article final determination as to the admission of such hazardous substance may be deferred and upon filing of a timely written application by the owner or consignee and the execution by him of a bond as provided in the provision of this paragraph. Implementing Agency. Liability for the Defective Products. – The regulations promulgated under the preceding articles shall take effect fifteen (15) days after its publication in a newspaper of general circulation but the Department may stay such effectivity if, after issuance of such order, a hearing is sought by any person adversely affected by such order. Procedures for the issuance, amendment or repeal of regulations pursuant to clause (2) or paragraph (g) of this Article shall be governed by the rules and regulations promulgated by the Department of Health; Provided, That if the Department of Health finds that the distribution for household use of the hazardous substance involved presents an imminent hazards to the public health, it may publish in a newspaper of general circulation a notice of such finding and such substance shall be deemed to be a "banned hazardous substance" pending the issuance of regulation formally banning such substance. Accreditation of Repair and Service Firm. If the offender is an alien, he shall be deported after service of sentence and payment of fine without further deportation proceedings. – Any person who shall violate any provision of this Chapter or its implementing rules and regulations with respect to any consumer product which is not food, cosmetic, or hazardous substance shall upon conviction, be subject to a fine of not less than Five thousand pesos (P5,000.00) and by imprisonment of not more than one (1) year or both upon the discretion of the court. The definition of "new drugs" covers to the extent applicable, "new devices". Article 6. – All laws, executive orders, rules and regulations or parts thereof which are inconsistent with this Act are hereby repealed or amended accordingly. Petition for Regulation of Food Additive. n) "Consumer" means a natural person who is a purchaser, lessee, recipient or prospective purchaser, lessor or recipient of consumer products, services or credit. – To improve the management, coordination and effectiveness of consumer programs, a National Consumer Affairs Council is hereby created, hereinafter referred to as the "Council". The Secretariat. – The Department shall promulgate the rules and regulations governing the implementation of this Article. In such case, the Department shall promulgate regulations limiting the quantity therein in such extent as he finds necessary for the protection of public health, and any quantity exceeding the limits so fixed shall be deemed to be unsafe. Liability for Product Quantity Imperfection. a) Any consumer product offered for importation into the customs of the Philippine territory shall be refused admission if such product: 1) fails to comply with an applicable consumer product quality and safety standard or rule;cralaw, 2) is or has been determined to be injurious, unsafe and dangerous;cralaw, 4) has material defect.chanroblesvirtuallawlibrary. – A food additive, with respect to any particular use or intended use, shall be deemed unsafe unless: a) it and its use or intended use conforms to the terms of an exemption for being solely intended for investigational use by qualified experts; or, b) it and its use or intended use is in conformity with a regulation issued by the Department prescribing the conditions under which such additives may be safely used.chanroblesvirtuallawlibrary. a) Any person who shall violate the provisions of Article 67 shall be subject to fine of not less than Five hundred pesos (P500.00) but not more than Five thousand pesos (P5,000.00) or an imprisonment of not less than three (3) months but not more than two (2) years or both upon the discretion of the court. Metro Manila. 7394 or The Consumer Act of the Philippines “is the policy of the State to protect the interests of the consumer, promote his general welfare and to establish standards of conduct for business and industry. Article 98. The Right to Basic Needs. Article 109. All existing laws such as the Consumer Act of the Philippines also applies to e-commerce transactions. If the comparison does not relate to an item sold or offered for sale during the ninety-day period, the date, time or seasonal period of such sale or offer shall be disclosed in the advertisement. Composition. Implementing Agency. Article 136. 7394). – The label may contain the Philippine Product Standard Mark if it is certified to have passed the consumer product standard prescribed by the concerned department. 5) such other matters of importance to the consumer's general well-being. The law anchored on the basic policy of the state to protect the interests of the consumer, promote his general welfare and to establish standards of conduct for business and industry. 2) on which any statement required under clause 1) of this paragraph is located prominently in bright red and orange color with a black symbol in contrast typography, layout or color with the other printed matters on the label. Article 28. The implementing agency shall prescribe regulations consistent with commonly accepted accounting standards to carry out the requirements of this Article. Administrative Sanctions. Effectivity. d) Minimum standards for warranties. – The State shall enforce compulsory labeling, and fair packaging to enable the consumer to obtain accurate information as to the nature, quality and quantity of the contents of consumer products and to facilitate his comparison of the value of such products. Any other implied warranty shall endure not less than sixty (60) days nor more than one (1) year following the sale of new consumer products. Implementing Agency. : All Rights Reserved ReDiaz www.chanrobles.com. Article 159. In case of imported products, the manufacturer's representatives or, in his absence, the importer, shall be deemed the manufacturer. – If the concerned department finds that for good or sufficient reasons, full compliance with the labeling requirements otherwise applicable under this Act is impracticable or is not necessary for the adequate protection of public health and safety, it shall promulgate regulations exempting such substances from these requirements to the extent it deems consistent with the objective of adequately safeguarding public health and safety, and any hazardous substance which does not bear a label in accordance with such regulations shall be deemed mislabeled hazardous substance. Any change in the termination dates shall be published in a newspaper of general circulation before the expiration of the original schedule or the termination date, whichever comes first. – No person shall operate a repair and service firm or act as technical personnel therein without first being accredited by the Department. f) to accredit independent, competent non-government bodies, to assist in (1) monitoring the market for the presence of hazardous or non-certified products and other forms of violations of Article 18; and (2) other appropriate means to expand the monitoring and enforcement outreach of the department in relation to its manpower, testing and certification resources at a given time. Implementing Agency. u) "Cosmetics" means (1) articles intended to be rubbed, poured, sprinkled or sprayed on, introduced into or otherwise applied to the human body or any part thereof for cleansing, beautifying, promoting attractiveness, or altering the appearance, and (2) article intended for use as a component of any such article except that such term shall not include soap. – The following shall be the minimum requirements for accreditation or repair and service firms: a) the duly registered business name, firm name or style of the firm;cralaw, b) date of issue and effectivity of the certificate of accreditation;cralaw, c) number and skills of technical personnel; and, d) required license for the repair or servicing of any consumer product as required by special laws.chanroblesvirtuallawlibrary. A product is defective when it does not offer the safety rightfully expected of it, taking relevant circumstances into consideration, including but not limited to: b) use and hazards reasonably expected of it;cralaw, c) the time it was put into circulation.chanroblesvirtuallawlibrary. Sec. RA 7394 or Consumer Act of the Philippines. Additional Labeling Requirements for Cosmetics. – The following acts and the causing thereof are hereby prohibited: a) the manufacture, importation, exportation, sale, offering for sale, distribution or transfer of any food, drug, device or cosmetic that is adulterated or mislabeled;cralaw, b) the adulteration or misbranding of any food, drug, device or cosmetic;cralaw, c) the refusal to permit entry or inspection as authorized by Article 36 to allow samples to be collected;cralaw, d) the giving of a guaranty or undertaking referred to in Article 41 (b) hereof which guaranty or undertaking is false, except by a person who relied upon a guaranty or undertaking to the same effect signed by, and containing the name and address of, the person residing in the Philippines from whom he received in good faith the food, drug, device, or cosmetic or the giving of a guaranty or undertaking referred to in Article 41 (b) which guaranty or undertaking is false;cralaw, e) forging, counterfeiting, simulating, or falsely representing or without proper authority using any mark, stamp, tag, label, or other identification device authorized or required by regulations promulgated under the provisions of this Act;cralaw, f) the using by any person to his own advantage, or revealing, other than to the Department or to the courts when relevant in any judicial proceeding under this Act, any information concerning any method or process which as a trade secret is entitled to protection;cralaw, g) the alteration, mutilation, destruction, obliteration, or removal of the whole or any part of the labeling of, or the doing of any other act with respect to a food, drug, device, or cosmetic, if such act is done while such product is held for sale (whether or not the first sale) and results in such product being adulterated or mislabeled;cralaw, h) the use, on the labeling of any drug or in any advertising relating to such drug, of any representation or suggestion that an application with respect to such drug is effective under Article 31 hereof, or that such drug complies with the provisions of such articles;cralaw, i) the use, in labeling, advertising or other sales promotion, of any reference to any report or analysis furnished in compliance with Sec. The old Act namely Consumer Protection Act, 1986 will be replaced by new Act namely Consumer Protection Act,2019. The Department shall (1) establish a regulation prescribing, with respect to one or more proposed uses of the food additive involved, (i) the conditions under which a food additive may be safely used including, but not limited to, specifications as to the particular food, classes of food, in which such additive may be used, (ii) the maximum quantity which may be used, or permitted to remain in or on such food; (iii) the manner in which such additive may be added to or used in or on such food, and (iv) any directions or other labeling or packaging requirement for such additive deemed necessary to assure the safety of such use, and shall notify the petitioner of such order and the reasons for such action; or (2) deny the petition and notify the petitioner of and the reasons for such action. Article 91. fImplementing Agencies f RIGHTS OF A BUYER AS A PARTICIPANT … In determining whether any advertisement is false, deceptive or misleading, there shall be taken into account, among other things, not only representations made or any combination thereof, but also the extent to which the advertisement fails to reveal material facts in the light of such representations, or materials with respect to consequences which may result from the use or application of consumer products or services to which the advertisement relates under the conditions prescribed in said advertisement, or under such conditions as are customary or usual. An act or practice shall be deemed unfair or unconscionable whenever the producer, manufacturer, distributor, supplier or seller, by taking advantage of the consumer's physical or mental infirmity, ignorance, illiteracy, lack of time or the general conditions of the environment or surroundings, induces the consumer to enter into a sales or lease transaction grossly inimical to the interests of the consumer or grossly one-sided in favor of the producer, manufacturer, distributor, supplier or seller. If the offender is an alien, he shall, after payment of fine and service of sentence, be deported without further deportation proceedings. REGULATION OF REPAIR AND SERVICE FIRMS. – All disclosures required under this Act shall be made clearly and conspicuously in writing before the transaction is consummated. Declaration of Basic Policy. CONSUMER PRODUCT AND SERVICE WARRANTIES. – All actions or claims accruing under the provisions of this Act and the rules and regulations issued pursuant thereto shall prescribe within two (2) years from the time the consumer transaction was consummated or the deceptive or unfair and unconscionable act or practice was committed and in case of hidden defects, from discovery thereof. This law is designed to prevent business that engage in fraud or specified unfair practices from gaining an advantage over competitors and provide additional protection for the weak and those unable to take care of themselves. Article 137. View THE CONSUMER ACT OF THE PHILIPPINES.docx from BUSINESS A 127 at University of Santo Tomas. Article 39. Powers and Functions. c) If it appears that any consumer product which may not be admitted pursuant to paragraph (a) of this Article can be so modified that it can already be accepted, the concerned department may defer final examination as to the admission of such product for a period not exceeding ten (10) days, and in accordance with such regulations as the department and the Commissioner of Customs shall jointly promulgate, such product may be released from customs custody under bond for the purpose of permitting the owner or consignee an opportunity to so modify such product. – For the warrantor of a consumer product to meet the minimum standards for warranty, he shall: 1) remedy such consumer product within a reasonable time and without charge in case of a defect, malfunction or failure to conform to such written warranty;cralaw, 2) permit the consumer to elect whether to ask for a refund or replacement without charge of such product or part, as the case may be, where after reasonable number of attempts to remedy the defect or malfunction, the product continues to have the defect or to malfunction.chanroblesvirtuallawlibrary. In this case, the concerned department shall give its opinion and notify the applicant of its action within thirty (30) days from the date of application; otherwise, the application shall be deemed approved. For the purpose of determining the installment date nearest the date of prepayment when payments are monthly, any payment made on or before the fifteenth day following an installment due date shall be deemed to have been made as of the installment due date, and if prepayment occurs after the fifteenth day, it shall be deemed to have been made on the succeeding installment due date. c) all expenses in connection with the destruction provided for in paragraphs (a) and (b) of this Article and all expenses in connection with the storage and labor with respect to such hazardous substance shall be paid by the owner or consignee, and default in such payment shall constitute a lien against any importation by such owner or consignee.chanroblesvirtuallawlibrary. False, Deceptive or Misleading Advertisement. Exemption in Case of Drugs and Devices. – Sales generated from home solicitation sales shall be properly receipted as per existing laws, rules and regulations on sale transactions. aj) "Guarantee" means an expressed or implied assurance of the quality of the consumer products and services offered for sale or length of satisfactory use to be expected from a product or other similar specified assurances. The Consumer Act of the Philippines or RA 7394 was enacted with three critical items in mind --t o protect the interests of the consumer, promote his general welfare and to establish standards of conduct for business and industry. Article 21. If the consumer opts for the alternative under sub-paragraph (a) of the second paragraph of this Article, and replacement of the product is not possible, it may be replaced by another of a different kind, mark or model: Provided, That any difference in price may result thereof shall be supplemented or reimbursed by the party which caused the damage, without prejudice to the provisions of the second, third and fourth paragraphs of this Article. Implementing Agency. Article 173. Article 88. – This Act shall take effect thirty (30) days from the date of its publication in the Official Gazette. b) "Advertising" means the business of conceptualizing, presenting or making available to the public, through any form of mass media, fact, data or information about the attributes, features, quality or availability of consumer products, services or credit. Copies of these program shall be furnished the Council. Advertising of Open-end Credit Plan. e) Duration of warranty. – The foregoing requirements on consumer credit transactions shall not apply to the following credit transactions: a) those involving extension of credits for business or commercial purposes, or to the Government and governmental agencies and instrumentalities, juridical entities or to organizations;cralaw, b) those in which the debtor is the one specifying the definite set of credit terms such as bank deposits, insurance contracts, sale of bonds or analogous transactions.chanroblesvirtuallawlibrary. For this purpose, the concerned department shall adopt existing government domestic product quality and safety standards: Provided, That in the absence of such standards, the concerned department shall form specialized technical committees composed of equal number of representatives from each of the Government, business and consumer sectors to formulate, develop and purpose consumer product quality and safety standards. – Whenever the Department finds, after investigation, that the sale or distribution in commerce of any class of food, cosmetics, drugs or devices, may be injurious to health, and that such injurious nature cannot be adequately determined after such articles have entered into domestic commerce, it shall promulgate regulations providing for the issuance, suspension and revocation of provisional permits, offer for sale or transfer of such classes of food, cosmetics, drugs or devices to manufacturers, processors or packers of the same in such locality to which shall be attached such conditions governing the manufacture, processing or packing of such consumer products for such temporary period of time as may be necessary to protect public health; and after the effective date of such regulations, and during such temporary period, no person shall, offer for sale or transfer any such food, cosmetics, drugs or devices unless such manufacturer, processor or packer holds such permit. b) No person shall be subject to the penalties of paragraph (a) of this Article for (1) having violated paragraph (c) of Article 46 unless he refuses to furnish, upon request by the Department or his representative, the name and address of the person from who he purchased such hazardous substances and (2) having violated paragraph (a) of Article 46, if he establishes a guaranty or undertaking signed by, and containing the name and address of, the person from whom he received in good faith, the hazardous substance to the effect that the hazardous substance is not a mislabeled hazardous substance or banned hazardous within the meaning of that term in this Act. AN ACT PROVIDING FOR THE RECOGNITION AND USE OF ELECTRONIC COMMERCIAL AND NON -COMMERCIAL TRANSACTIONS AND DOCUMENTS, PENALTIES FOR UNLAWFUL USE THEREOF AND FOR OTHER PURPOSES. The department shall also direct the manufacturer, distributor or seller of such product to extend any or all of the following remedies to the injured person: a) to bring such product into conformity with the requirements of the applicable consumer product standards or to repair the defect in order to conform with the same;cralaw, b) to replace the product with a like or equivalent product which complies with the applicable consumer product standards which does not contain the defect;cralaw, c) to refund the purchase price of the product less a reasonable allowance for use; and, d) to pay the consumer reasonable damages as may be determined by the department.chanroblesvirtuallawlibrary. – The consumer arbitration officer must be a college graduate with at least three (3) years experience in the field of consumer protection and shall be of good moral character. 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