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Consumer Act of the PHILIPPINES

CHAPTER 1CONSUMER PRODUCT QUALITY AND SAFETY

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GENERAL PROVISIONS
CHAPTER 1CONSUMER PRODUCT QUALITY AND SAFETY
Chapter 2 FOODS, DRUGS, COSMETICS AND DEVICES
DRUGS AND DEVICES
CERTIFICATION OF DRUGS CONTAINING ANTIBIOTICS
COSMETICS
Chapter 3 HAZARDOUS SUBSTANCE
TITLE III PROTECTION AGAINST DECEPTIVE, UNFAIR AND UNCONSCIONABLE SALES ACTS OR PRACTICES
REGULATION OF SALES ACTS AND PRACTICES
CHAPTER II REGULATION OF PRACTICES RELATIVE TO
CHAPTER IIICONSUMER PRODUCT AND SERVICE WARRANTIES
CHAPTER IV LABELING AND FAIR PACKAGING
CHAPTER V LIABILITY FOR PRODUCT AND SERVICE
CHAPTER VI ADVERTISING AND SALES PROMOTION
CHAPTER VII REGULATION OF REPAIR AND SERVICE FIRMS
TITLE IV CONSUMER CREDIT TRANSACTION
TITLE V THE NATIONAL CONSUMER AFFAIRS COUNCIL
CHAPTER II POWERS AND FUNCTIONS
CHAPTER III CONSUMER COMPLAINTS
TITLE VI TRANSITORY AND FINAL PROVISIONS
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Art. 5. Declaration of Policy. - It shall be the duty of the State:

(a) to develop and provide safety and quality standards for consumer products, including performance or use-oriented standards, codes of practice and methods of tests;
 

(b) to assist the consumer in evaluating the quality, including safety, performance and comparative utility of consumer products;

 

(c) to protect the public against unreasonable risks of injury associated with consumer products;

 

(d) to undertake research on quality improvement of products and investigation into causes and prevention of product related deaths, illness and injuries;
 
 


Art. 6. Implementing Agencies. - The provisions of this Article and its implementing rules and regulations shall be enforced by:

(a) the Department of Health with respect to food, drugs, cosmetics, devices and substances;
 

(b) the Department of Agriculture with respect to products related to agriculture; and
 
 

Art. 7. Promulgation and Adoption of Consumer Product Standards. - The concerned department shall establish consumer product quality and safety standards which shall consist of one or more of the following:

(a) requirements to performance, composition, contents, design, construction, finish, packaging of a consumer product;
 

(b) requirements as to kind, class, grade, dimensions, weights,
) requirements as to precautions in storage, transporting and pacmaterial;
 

(c) requirements as to the methods of sampling, tests and codes used to check the quality of the products;
 
 
 
 

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. The said technical committees shall consult with the private sector, which may, motu proprio, develop its own quality and safety standards that shall be subject or agencies after public hearings have been conducted for that purpose; and shall likewise consider existing international standards recognized by the Philippine Government.
 

Art. 8. Publication of Consumer Product Standards. - The concerned departments shall, upon promulgation of the above standards, publish or cause the publication of the same in two (2) newspapers of general circulation at least once a week for a period of not less than one (1) month. It may likewise conduct an information campaign through other means deemed effective to ensure the proper guidance of consumers, businesses, industries and other sectors concerned.

 

Art. 9. Effectivity of Rules. - (a) Each consumer product standard or safety rule shall specify the date such rule is to take effect, which shall not exceed ninety (90) days from the date promulgated unless the concerned department funds, for good cause shown, that a later effective date is in the public interest and publishes its reasons for such finding. After which, it shall no longer be legal to, or cause to, sell or distribute the consumer product not complying with the standards or rules.

 

(b) The department may, by regulation, prohibit a manufacturer from stockpiling consumer products so as to prevent such manufacturer from circumventing the purposes of this paragraph. The term "stockpiling" means manufacturing or importing a product between the date of promulgation of its consumer product safety rule and its effective date, at a rate which is significantly greater than the rate at which such product was produced or imported during a base period as prescribed in the regulation under this paragraph, ending before the date of promulgation of consumer product safety rule.

 

Art. 10. Injurious, Dangerous and Unsafe Products. - Whenever the departments find, by their own initiative or by petition of a consumer, that a consumer product is found to be injurious, unsafe or dangerous, it shall, after due notice and hearing, make the appropriate order for its recall, prohibition or seizure from public sale or distribution: Provided, That, in the sound discretion of the department it may declare a consumer product to be imminently injurious, unsafe or dangerous, and order is immediate recall, ban or seizure from public sale or distribution, in which case, the seller, distributor, manufacturer or producer thereof shall be afforded a hearing within forty-eight (48) hours from such order.

 

The ban on the sale and distribution of a consumer product adjudged injurious, unsafe or dangerous, or imminently injurious, unsafe or dangerous under the preceding paragraph shall stay in force until such time that its safety can be assured or measures to ensure its safety have been established.

 

Art. 11. Amendment and Revocation of Declaration of the Injurious, Unsafe or Dangerous Character of a Consumer Product. - Any interested person may petition the appropriate department to commence a proceeding for the issuance of an amendment or revocation of a consumer product safety rule or an order declaring a consumer product injurious, dangerous and unsafe.

 

In case the department, upon petition by an interested party or its own initiative and after due notice and hearing, determines a consumer product to be substandard or materially defective, it shall so notify the manufacturer, distributor or seller thereof of such finding and order such manufacturer, distributor or seller to:

(a) give notice to the public of the defect or failure to comply with the product safety standards; and
 

(b) give notice to each distributor or retailer of such product.

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;
 

(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;

 

(c) to refund the purchase price of the product less a reasonable allowance for use; and
 
 

The manufacturer, distributor or seller shall not charge a consumer who avails himself of the remedy as provided above of any expense and cost that may be incurred.
 

Art. 12. Effectivity of Amendments and Revocation of Consumer Product Safety Rule. - Any amendment or revocation of a consumer product safety rule made by the concerned department shall specify the date on which it shall take effect which shall not exceed ninety days from the date of amendment or revocation is published unless the concerned department finds, for a good cause shown, that a later effective date is in the public interest and publishes its reasons for such finding. The department shall promulgate the necessary rules for the issuance, amendment or revocation of any consumer product safety rule. chanrobles law

 

Art. 13. New Products. - The concerned department shall take measures to make a list of new consumer products and to cause the publication by the respective manufacturers or importers of such products a list thereof together with the descriptions in a newspaper of general circulation.

 

Art. 14. Certification of Conformity to Consumer Product Standards. - The concerned department shall aim at having consumer product standards established for every consumer product so that consumer products shall be distributed in commerce only after inspection and certification of its quality and safety standards by the department. The manufacturer shall avail of the Philippine Standard Certification Mark which the department shall grant after determining the product's compliance with the relevant standard in accordance with the implementing rules and regulations.

 

Art. 15. Imported Products. - (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;
 

(2) is or has been determined to be injurious, unsafe and dangerous;

 

(3) is substandard; or
 
 

(b) Samples of consumer products being imported into the Philippines in a quantity necessary for purposes of determining the existence of any of the above causes for non-admission may be obtained by the concerned department or agency without charge from the owner or consignee thereof. The owner or consignee of the imported consumer product under examination shall be afforded an opportunity to a hearing with respect to the importation of such products into the Philippines. If it appears from examination of such samples or otherwise that an imported consumer product does not conform to the consumer product safety rule or is injurious, unsafe and dangerous, is substandard or has a material defect, such product shall be refused admission unless the owner or the consignee thereof manifests under bond that none of the above ground for non-admission exists or that measures have been taken to cure them before they are sold, distributed or offered for sale to the general public.

 

Any consumer product, the sale or use of which has been banned or withdrawn in the country of manufacture, shall not be imported into the country.

 

(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.

 

(d) All modifications taken by an owner or consignee for the purpose of securing admission of an imported consumer product under paragraph (c) shall be subject to the supervision of the concerned department. If the product cannot be so modified, or if the owner or consignee is not proceeding to satisfactorily modify such product, it shall be refused admission and the department may direct redelivery of the product into customs custody, and to seize the product if not so redelivered.

 

(e) Imported consumer products not admitted must be exported, except that upon application, the Commissioner of Customs may permit the destruction of the product if, within a reasonable time, the owner or consignee thereof fails to export the same.

 

(f) All expenses in connection with the destruction provided for in this Article, and all expenses in connection with the storage, cartage or labor with respect to any consumer product refused admission under this Article, shall be paid by the owner or consignee and, in default of such payment, shall constitute a lien against any future importation made by such owner or consignee.

 

Art. 16. Consumer Products for Export. - The preceding article on safety not apply to any consumer product if:

(a) it can be shown that such product is manufactured, sold or held for sale for export from the Philippines, or that such product was imported for export, unless such consumer product is in fact distributed in commerce for use in the Philippines; and 
 

Art. 17. Powers, functions and duties. - In addition to their powers, functions and duties under existing laws, the concerned department shall have the following powers, functions and duties:

(a) to administer and supervise the implementation of this Article and its implementing rules and regulations;
 

(b) to undertake researches, develop and establish quality and safety standards for consumer products in coordination with other government and private agencies closely associated with these products;

 

(c) to inspect and analyze consumer products for purposes of determining conformity to established quality and safety standards;

 

(d) to levy, assess, collect and retain fees as are necessary to cover the cost of inspection, certification, analysis and tests of samples of consumer products and materials submitted in compliance with the provisions of this Article;

 

(e) to investigate the causes of and maintain a record of product-related deaths, illnesses and injuries for use in researches or studies on the prevention of such product-related deaths, illnesses and injuries.

 

(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.
 
 

 

PROHIBITED ACTS AND PENALTIES

Art. 18. Prohibited Acts. - It shall be unlawful for any person to:

(a) manufacture for sale, offer for sale, distribute in commerce, or import into the Philippines any consumer product which is not in conformity with an applicable consumer product quality or safety standard promulgated in this Act;
 

(b) manufacture for sale, offer for sale, distribute in commerce, or import into the Philippines any consumer product which has been declared as banned consumer product by a rule in this Act;

 

(c) refuse access to or copying of pertinent records or fail or refuse to permit entry of or inspection by authorized officers or employees of the department;

 

(d) fail to comply with an order issued under Article II relating to notifications of substantial product hazards and to recall, repair, replacement or refund of unsafe products;

 

(e) fail to comply with the rule prohibiting stockpiling.

Art. 19. Penalties. - (a) Any person who shall violate any provision of Article 18 shall upon conviction, be subject to a fine of not less than One thousand pesos (P1,000.00) but not more than Ten thousand pesos (P10,000.00) or imprisonment of not less than two (2) months but not more than one (1) year, or both upon the discretion of the court.
 

If the offender is an alien, he shall be deported after service of sentence and payment of fine without further deportation proceedings.

 

(b) In case the offender is a naturalized citizen, he shall, in addition to the penalty prescribed herein, suffer the penalty of cancellation of his naturalization certificate and its registration in the civil register and immediate deportation after service of sentence and payment of fine.

 

(c) Any director, officer or agent of a corporation who shall authorize, order or perform any of the acts or practices constituting in whole or in part a violation of Article 18, and who has knowledge or notice of noncompliance received by the corporation from the concerned department, shall be subject to penalties to which that corporation may be subject.

 

In case the violation is committed by, or in the interest of a foreign juridical person duly licensed to engage in business in the Philippines, such license to engage in business in the Philippines shall immediately be revoked.


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