No Shortchanging Act
R.A. 10909
Topics Covered
Topic 1: Why Compliance is Topic 5: What are required by
Necessary? the Law?
Topic 2: Who are Covered? Topic 6: Prices should now be
Inclusive of Tax
Topic 3: Things to Note
Topic 7: When and How to
Topic 4: What are Prohibited File a Complain?
Under the Law
Why c.) 3rd Offense - P15,000 or 7% of gross sales of
Compliance is the business establishment on the day of the
violation, whichever is higher and the license to
Necessary? operate of the business establishment shall be
suspended for 3 months.
Non-compliance will expose offenders to
these penalties d.) 4th Offense - P25,000 or 10% of gross sales of
the business establishment on the day of the
• Fine
violation, whichever is higher and the license to
a.) 1st Offense - P500 or 3% of gross sales of the business
establishment on the day of the violation, whichever is hgher. operate of the business establishment shall be
b.) 2nd Offense - P5,000 or 5% of gross sales of the revoked.
business establishment on the day of violation, whichever is
higher.
In addition, the total amount of change the establishment failed or refused to give, as determined from
the audit of the DTI, shall be paid by the establishment to the complainant.
Business Establishment
Who are Covered?
any person, natural or juridical, whether single
proprietorship or corporation, including a
government-owned and -controlled
corporation or a government entity exercising
its proprietor functions, engaged in or doing
business in the Philippines, either in selling
goods or providing services.
Consumer
a natural person who purchases goods or
services in cash.
Goods
all types of tangible property that could be bought
and sold, and the possession of which could be
transferred in whole or in part, temporarily or
permanently.
Services
all types of commercial activities which enable the
Things to Note
supply, access to consumption or use of goods, It is the duty of the establishment to give
intellectual property or other services: and
the exact change to the consumer "without
waiting for the consumer to ask for the
Shortchange same."
the act of giving insufficient or no change to
consumer who purchased a product or service
What are Prohibited under the Law?
General Prohibition:
It shall be unlawful for any business establishment "to
shortchange a consumer, even if such change is only of a small
amount."
However, establishments are not precluded from giving "an
amount greater than the sufficient change."
What are Prohibited under the Law?
Other Prohibition:
It shall be unlawful for any business establishment which sells
goods or services "to give change in any form other than the
present currency or to ask for permission to be exempted from
the provisions of this Act for any reason, including non-
availability of small bills or coins."
What are Required by the Law?
Price Tags:
It is the duty of business establishments "to use price tags, when appropriate,
indicating the exact retail price per unit or service which already includes the taxes
applicable to the goods or services being offered. These establishments shall also
put signs in conspicuous places within the establishment or reflect in the official
receipts issued, the taxes incorporated in the retail price per unit of goods or
services."
The purpose is "to avoid misleading the consumers as to the exact price they have
to pay for the goods or services and consequently , the exact change due them."
Prices Should As provided in the law,
the price tag "already
Now Be includes the taxes
Inclusive of applicable to the goods
or services being
Tax offered."
Where and How to File a Complaint?
Procedure for filling a complaint:
• The consumer shall write and submit a letter of complaint to the Department of
Trade and Industry (DTI) not later than 10 working days after a violation is
committed.
• The DTI shall, in not more than 10 working days after the complaint has been
submitted, conduct an investigation, and shall issue a notice to the
establishment involved.
• After a full investigation, the DTI shall issue it's decision and findings not later
than 30 days from the receipt of the complaint.
The consumer is not precluded from filing any other claim under a different law.
Leader: Guerrero, Edilynn Joyce
Members:
Gamboa, Desiree Ann
Labado, Chenee
Malabanan, Angeline
Manabat, Kaina Mae
Salting, Laurence Dale
Thank you!
Samoy, Sheila Mae
Ulanday, Ann Gel
Source:
[Link]
shortchanging-act-ra-10909
