Article 91Supplement v1, p. 91

COMMERCIAL LAWS SUPPLEMENT

a) the issuance of a cease and desist order, Provided,

however , That such order shall specify the acts that

respondent shall cease and desist from and shall require

him to submit a report of compliance therewith within a

reasonable time;

b) the acceptance of a voluntary assurance of compliance

or

discontinuance

from

the

respondent which may

include any or all of the following terms and conditions:

1) an assurance to comply with the provisions of this Act

and its implementing rules and regulations;

2) an assurance to refrain from engaging in unlawful acts

and

practices

or unfair or unethical trade practices

subject of the formal investigation;

3) an assurance to comply with the terms and conditions

specified in the consumer transaction subject of the

complaint;

4) an assurance to recall, replace, repair, or refund the

money

value

of

defective

products

distributed

in

commerce;

5) an assurance to reimburse the complaint out of any

money or property in connection with the complaint,

including expenses in making or pursuing the complaint,

if any, and to file a bond to guarantee compliance

therewith.

c)

restitution

or

rescission

of

the

contract

without

damages;

d) condemnation and seizure of the consumer product

found to be hazardous to health and safety unless the

respondent files a bond to answer for any damage or

injury that may arise from the continued use of the

product;

e) the imposition of administrative fines in such amount

as deemed reasonable by the Secretary, which shall in no

case be less than Five hundred pesos (P500.00) nor more

than

Three

hundred

thousand

pesos

(P300,000.00)

depending

on

the

gravity

of

the

offense,

and

an

additional fine of not more than One thousand pesos

(P1,000.00) or each day of continuing violation.

ARTICLE 165. Appeal from Orders . — Any order, not

interlocutory,

of

the

Consumer

arbitration

officer,

becomes final and executory unless appealed to the

Department Secretary concerned within fifteen (15) days

from receipt of such order. An appeal may be entertained

only on any of the following grounds:

a) grave abuse of discretion;

b) the order is in excess of the jurisdiction or authority of

the consumer arbitration officer;

c) the order is not supported by the evidence or there is

serious error in the findings of facts.

ARTICLE 166. Decision on Appeal . — The Secretary shall

decide the appeal within thirty (30) days from receipt

thereof. The decision becomes final after fifteen (15) days

from receipt thereof unless a petition for certiorari is filed

with the proper court.

TITLE VI Transitory and Final Provisions

ARTICLE 167. Relation of the Act to Other Rights . — The

provisions of this Act shall apply notwithstanding any

agreement to the contrary but shall not restrict, limit or

derogate

from

any

other

rights

or

remedies

of

a

consumer under any other law.

ARTICLE 168. Application of Laws Enacted Prior to the

Act .

—

All

actions

or

claims

accruing

prior to the

effectivity of this Act shall be determined in accordance

with the acts, laws, decrees and regulations in force at the

time of the accrual.

ARTICLE 169. Prescription . — 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.

ARTICLE 170. Repealing Clause . — All laws, executive

orders, rules and regulations or parts thereof which are

inconsistent

with

this

Act

are

hereby

repealed

or

amended accordingly.

ARTICLE 171. Appropriations . — For the initial operating

expenses of the National Consumer Affairs Council, the

sum of Two million pesos (P2,000,000.00) is hereby

appropriated out of funds of the National Treasury not

otherwise appropriated. Thereafter, such sums as may be

necessary to carry out its purpose shall be included in the

General Appropriations Act.

ARTICLE 172. Separability Clause . — If for any reason any

article or provision of this Act or any portion thereof or the

application of such article, provision or portion thereof to

any person, group or circumstance is declared invalid or

unconstitutional, the remainder of this Act shall not be

affected by such decision.

ARTICLE 173. Effectivity . — This Act shall take effect thirty

(30) days from the date of its publication in the Official

Gazette .

Approved: April 13, 1992

Published in the Official Gazette, Vol. 88 No. 24 page 3639

on June 15, 1992.

(Consumer Act of the Philippines, Republic Act No. 7394,

[April 13, 1992])

RA No 7581 | Price Act

As amended by RA No 10623

May 27, 1992

REPUBLIC ACT NO. 7581

AN ACT PROVIDING PROTECTION TO CONSUMERS BY

STABILIZING THE PRICES OF BASIC NECESSITIES AND

PRIME COMMODITIES AND BY PRESCRIBING

MEASURES AGAINST UNDUE PRICE INCREASES

DURING EMERGENCY SITUATIONS AND LIKE

OCCASIONS

SECTION 1. Short Title . — This Act shall be referred to as

the "Price Act."

SECTION 2. Declaration of Basic Policy . — It is the policy

of the State to ensure the availability of basic necessities

and prime commodities at reasonable prices at all times

without denying legitimate business a fair return on

investment. It is also a declared policy of the State to

provide effective and sufficient protection to consumers

against hoarding, profiteering and cartels with respect to

the supply, distribution, marketing and pricing of said

goods, especially during periods of calamity, emergency,

widespread illegal price manipulation and other similar

situations. To these ends, the State shall:

(1) Develop, adopt and promulgate measures to promote

productivity in basic necessities and prime commodities;

(2) Develop an improved and efficient transport and

distribution system;

(3) Develop, adopt and promulgate measures to stabilize

prices at reasonable levels;

(4)

Institute

appropriate

penalties

for

illegal

price

manipulation and other violations of this Act; and

(5)

Establish

a

mechanism

that

will

readily

protect

consumers from inadequate supply and unreasonable

price increase on occasions of calamities, emergencies

and like occurrences.

SECTION 3. Definition of Terms . — For purposes of this

Act, the term:

(1) "Basic necessities" are goods vital to the needs of

consumers for their sustenance and existence in times of

any of the cases provided under Section 6 or 7 of this Act

such as, but not limited to, rice, corn, root crops, bread;

© Compiled by RGL

91 of 203