Consumer
Education
“CONSUMER ACT OF THE PHILIPPINES”
R. A. 7394
EFFECTIVITY DATE
15 July 1992
“THE STATE SHALL PROTECT
CONSUMERS FROM TRADE
MALPRACTICES AND FROM
SUBSTANDARD OR HAZARDOUS
PRODUCTS”
- Art. XVI, Gen. Provision,
Sec. 9 1987 Constitution
OBJECTIVES
• Protection against hazards to Health and Safety
• Protection against deceptive, unfair and
unconscionable sales acts and practices
• Provision of information and education for
sound choice and exercise of rights by
consumers
• Provision of adequate rights and means of
redress
• Representation of Consumers in social &
economic policy formulation.
Implementing Agencies
DEPARTMENT OF HEALTH
• Food, drugs, cosmetics, devices and substances
DEPARTMENT OF AGRICULTURE
• Products related to agriculture
DEPARTMENT OF EDUCATION
• Information and education (curriculum)
Implementing Agencies
LOCAL GOVERNMENT UNITS
• Unprocessed foods, weights and measures
DEPARTMENT OF TRADE & INDUSTRY
• Consumer Product not specified under any of
those mentioned IAs
JOINT AREAS & CONCERNS
• Consumer Product Quality and Safety
Standards
• Deceptive, unfair and unconscionable sales
acts and practices
• Consumer Products and service warranties
• Labeling, packaging and price tags
• Liability for products and services
• Repair/service shops
• Advertising and sales promotion
REDRESS OF CONSUMER COMPLAINTS
Prescription Period : 2 years
• from time the transaction was consummated
• from time the deceptive or
unfair/unconscionable act or practice was
committed
• discovery of hidden defects
REMEDIES AVAILABLE
(Administrative)
• Replacement or repair of products or
services
• Refund of payment
• Restitution or rescission of contract
• Reimbursement
ACTIONS FOR VIOLATIONS of
R.A. 7394
• Administrative Action
• Criminal/Civil Actions
ACTIONS FOR VIOLATIONS AND PENALTIES
Administrative Action:
– Issuance of Cease and Desist Order
– Administrative Fine (P500 to P300,000)
– Condemnation/Seizure of violative products
– Restitution or rescission of contract
EIGHT BASIC
CONSUMER RIGHTS
BASIC NEEDS
Guarantee survival,
adequate food, clothing,
shelter, health care,
education and sanitation
SAFETY
The right to be protected
against the marketing of
goods or the provision of
services that are hazardous
to health and life.
INFORMATION
The right to be protected
against dishonest or
misleading advertising or
labeling and the right to be
given the facts and
information needed to
make an informed choice.
CHOOSE
The right to choose
products at competitive
prices with an assurance
of satisfactory quality.
REPRESENTATION
The right to express consumer
interests in the making and
execution of government
policies.
REDRESS
The right to be
compensated for
misrepresentation,
shoddy goods or
unsatisfactory
services.
CONSUMER EDUCATION
The right to acquire the
knowledge and skills
necessary to be an
informed customer.
HEALTHY ENVIRONMENT
The right to live and work
in an environment which
is neither threatening
nor dangerous and
which permits a life of
dignity and well-being.
5 CONSUMER
RESPONSIBILITIES
CRITICAL AWARENESS
The responsibility to
be more alert and
questioning about the use
of, and the price and
quality of goods and
services we use.
ACTION
The responsibility to assert
and act to ensure that we
get a fair deal. As long as
we remain passive
consumers, we will
continue to be exploited.
SOCIAL CONCERN
The responsibility to be aware of
the impact of our consumption on
other citizens, especially
disadvantage or powerless
groups, whether in the local,
national or international
community.
ENVIRONMENTAL
AWARENESS
The responsibility to understand the
environmental consequences of our
consumption. We should recognize
our individual and social
responsibility to conserve natural
resources and protect the earth for
future generations.
SOLIDARITY
The responsibility to organize
together as consumers to
develop the strength and
influence to promote and
protect our interest.
TYPES OF CONSUMER
BARGAIN ADDICT
• Has a mania for all types of bargain sales
and becomes an easy prey to the sales traps
laid by deceitful traders.
WASTEFUL CONSUMER
• Leaves lights and taps on, ignores leaking
faucets and throws away good food
IMPULSIVE BUYER
• Does not prioritize her needs.
• Buys anything she fancies and regrets
afterwards.
• Easily tempted by special offers and
misleading advertisements.
CLOSE-FISTED CONSUMER
• “Silas Marner” type who hoards not goods
but money and suffers deprivation of needs
PANIC BUYER
• Easily agitated by rumors of rising prices,
product shortages and political disorders.
• Hoards unreasonable quantity of household
supplies and thereby contributes to price
increases and artificial shortages
SPEND THRIFT
• Thrift or economy is not in her vocabulary
• Lavishes herself with anything or everything
that indicates luxury
INTELLIGENT CONSUMER
• Only one out of seven gets the best value for
his peso…
• He prioritizes his needs and limits purchase
to his ability to pay
