DEPARTMENT OF

DEPARTMENT OF
HEALTH DEPARTMENT OF TRADE
AGRICULTURE
(food, drugs, cosmetics, AND INDUSTRY
(for agricultural products)
devices and substances) (consumer products not within
DOH and DA’s jurisdiction)
State Policies, General Consumer Products and Advertising and Sales
Provisions, Consumer Product Service Warranties Promotion
Quality and Safety

Labeling and Fair Packaging

Deceptive Sales Act, Unfair
Foods, Drugs, Cosmetics and (in relation to R.A. 4109 or
and Unconscionable
Devices the Standards Law, Price Tag
Acts/Practices
Law)

Prohibition on Pyramiding Liability for Defective

Consumer Complaints
Schemes (in relation to DTI Product and Service
Handling
DAO 8:2002 as the IRR) Imperfection;
WHAT IS A WARRANTY?

A warranty is a statement or When a product encounters

representation made by the seller
of goods - contemporaneously and
issues or defects, during a
as part of the contract of sale - specified period of time from
that has reference to the
character, quality or title of the
purchase, the seller or the
goods; and is issued to promise or manufacturer undertakes to
undertake to insure that certain conduct the necessary repair until
facts are or shall be as the seller
represents them. the product conforms to the
(Philippine Steel Coating original representation made.
Corporation v. Quinones G.R.
No. 194533, April 19,2017).
Article 1561. The vendor shall be responsible for warranty
against the hidden defects which the thing sold may have, should
they render it unfit for the use for which it is intended, or should they
diminish its fitness for such use to such an extent that, had the
vendee been aware thereof, he would not have acquired it or would have
given a lower price for it; but said vendor shall not be answerable
for patent defects or those which may be visible, or for those
which are not visible if the vendee is an expert who, by reason of
his trade or profession, should have known them. (1484a)
Article 68 (e) Duration of warranty. — The seller and the consumer may
stipulate the period within which the express warranty shall be enforceable.
If the implied warranty of merchantability accompanies an express
warranty, both will be of equal duration. 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.
 It is recognized that in an online transaction, the buyer (by the nature of
an online transaction) is generally not given the right of physical inspection of
the items/product being sold by the seller. The buyer merely relies on the
description or the pictures provided by the seller. As such, the principle of
Caveat Emptor does not apply to online transactions.
 SEC. 7. Prohibition on the use of the words "No ➢ The said purchaser need only to present the
return, no exchange." –
official receipt as proof that he purchase the
The words "No return, no exchange." or words to such said product.
effect shall not be written into the contract of sale,
receipt in a sales transaction, in any document ➢ Consumers may return a defective product
evidencing such sale or anywhere in a store or business or exchange an item in case of hidden
establishment.
defects, unknown to such consumer at the
Rule XV time of purchase. So, to say that they cannot
return or exchange an item is deceptive.
SEC. 2. Prohibition of the words: "No return. no ➢ However, a case of ‘Change of Mind’ on part
exchange".
The words: "No return, no exchange“ or any other words of the Consumer after purchase, DOES
to such effect shall not appear on any label or literature NOT entitle a product return or item
of a consumer product or on any receipt for the purchase
of such product. exchange
Article 97. Liability for the Defective Products. – Any Filipino or foreign
manufacturer, producer, and any importer, shall be liable for redress,
independently of fault, for damages caused to consumers by defects resulting
from design, manufacture, construction, assembly and erection, formulas and
handling and making up, presentation or packing of their products, as well as for
the insufficient or inadequate information on the use and hazards thereof.
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:
a) presentation of product;
b) use and hazards reasonably expected of it;
c) the time it was put into circulation.
 • Consumer not required to pay the product;
• Not liable for any loss or damage resulting from a supply of unsolicited
Wider range of
services;
products covered by
• If you contact the business in writing, expressing that you do not want
mandatory
the products, then the business should recover the products within one
certification scheme
month;
• if you don’t contact the business, then the business may recover the
products within three months from the day after you received the
products
• Consumer only liable if he intentionally and willfully caused damage to
the product within the three month period;
Consumer recourse • If the supplier does not collect the unsolicited products within the above
for Unsolicited timeframes, you can keep the products with no obligation to pay.
Products and • You are not entitled to keep the products if the products were not
Services intended for you, for example, the packaging was clearly addressed to
another person.
 Singapore United States
• Injunction as an available • Enactment of the Federal Trade Act as
remedy under the law to the government’s answer to combat
restrain any entity believed
to be engaged in or likely
anticompetitive, unfair and deceptive
to be engaged in an unfair practices in the marketplace.
practice (Consumer • The FTC’s Bureau of Consumer
Protection (Fair Trading) Protection investigates consumer
Act 2003) complaints regarding deceptive trade
• Same remedy in case of practices and other violations of
non conforming products,
breach of terms of
consumer protection statutes.
warranty (repair and • California’s Consumers Legal Remedies
replacement and lastly, Act
recession of contract)