Article 47. Penalties, exception. โ
a) Any person who violates any of the provisions of Article 46 shall, upon conviction, be subject to a fine of not less than
One thousand pesos (P1,000.00) or an imprisonment of not less than six (6) months but not more than five (5) years or
both upon the discretion of the court.
b) No person shall be subject to the penalties of paragraph (a) of this Article for (1) having violated paragraph (c) of Article
46 unless he refuses to furnish, upon request by the Department or his representative, the name and address of the person
from who he purchased such hazardous substances and (2) having violated paragraph (a) of Article 46, if he establishes a
guaranty or undertaking signed by, and containing the name and address of, the person from whom he received in good
faith, the hazardous substance to the effect that the hazardous substance is not a mislabeled hazardous substance or
banned hazardous within the meaning of that term in this Act.
TITLE III. โ PROTECTION AGAINST DECEPTIVE, UNFAIR ANDUNCONSCIONABLE SALES ACTS OR PRACTICES
CHAPTER I
DECEPTIVE, UNFAIR AND UNCONSCIONABLE SALES ACTS OR PRACTICES
Article 48. Declaration of Policy. โ The State shall promote and encourage fair, honest and equitable relations among parties in consumer
transactions and protect the consumer against deceptive, unfair and unconscionable sales acts or practices.
Article 49. Implementing Agency. โ The Department of Trade and Industry, hereby referred to as the Department, shall enforce the provisions of
this Chapter.
REGULATION OF SALES ACTS AND PRACTICES
Article 50. Prohibition Against Deceptive Sales Acts or Practices. โ A deceptive act or practice by a seller or supplier in connection with a
consumer transaction violates this Act whether it occurs before, during or after the transaction. An act or practice shall be deemed deceptive
whenever the producer, manufacturer, supplier or seller, through concealment, false representation of fraudulent manipulation, induces a
consumer to enter into a sales or lease transaction of any consumer product or service.
Without limiting the scope of the above paragraph, the act or practice of a seller or supplier is deceptive when it represents that:
a) a consumer product or service has the sponsorship, approval, performance, characteristics, ingredients, accessories,
uses, or benefits it does not have;
b) a consumer product or service is of a particular standard, quality, grade, style, or model when in fact it is not;
c) a consumer product is new, original or unused, when in fact, it is in a deteriorated, altered, reconditioned, reclaimed or
second-hand state;
d) a consumer product or service is available to the consumer for a reason that is different from the fact;
e) a consumer product or service has been supplied in accordance with the previous representation when in fact it is not;
f) a consumer product or service can be supplied in a quantity greater than the supplier intends;
g) a service, or repair of a consumer product is needed when in fact it is not;
h) a specific price advantage of a consumer product exists when in fact it does not;
i) the sales act or practice involves or does not involve a warranty, a disclaimer of warranties, particular warranty terms or
other rights, remedies or obligations if the indication is false; and
j) the seller or supplier has a sponsorship, approval, or affiliation he does not have.
Article 51. Deceptive Sales Act or Practices By Regulation. โ The Department shall, after due notice and hearing, promulgate regulations
declaring as deceptive any sales act, practice or technique which is a misrepresentation of facts other than these enumerated in Article 50.
Article 52. Unfair or Unconscionable Sales Act or Practice. โ An unfair or unconscionable sales act or practice by a seller or supplier in
connection with a consumer transaction violates this Chapter whether it occurs before, during or after the consumer transaction. An act or practice
shall be deemed unfair or unconscionable whenever the producer, manufacturer, distributor, supplier or seller, by taking advantage of the
consumer's physical or mental infirmity, ignorance, illiteracy, lack of time or the general conditions of the environment or surroundings, induces the
consumer to enter into a sales or lease transaction grossly inimical to the interests of the consumer or grossly one-sided in favor of the producer,
manufacturer, distributor, supplier or seller.
In determining whether an act or practice is unfair and unconscionable, the following circumstances shall be considered:
a) that the producer, manufacturer, distributor, supplier or seller took advantage of the inability of the consumer to
reasonably protect his interest because of his inability to understand the language of an agreement, or similar factors;
b) that when the consumer transaction was entered into, the price grossly exceeded the price at which similar products or
services were readily obtainable in similar transaction by like consumers;
c) that when the consumer transaction was entered into, the consumer was unable to receive a substantial benefit from the
subject of the transaction;
d) that when the consumer was entered into, the seller or supplier was aware that there was no reasonable probability or
payment of the obligation in full by the consumer; and
