MANILA, Philippines - Newly appointed Trade Secretary Gregory L. Domingo said he will review the order which eliminated the expiration of gift certificates.
Domingo, who served as Executive Director of SM Investments Corp., said that he has not seen the administrative order which removed the expiration date on gift certificates. This was one of the last AOs signed by former Trade Secretary Jesli A. Lapus. It was signed June 25 and was published June 30.
However, Domingo stressed that between the interest of businesses and consumer, the interest of the consumers will prevail.
Earlier Trade Undersecretary Zenaida C. Maglaya said that gift certificates should have no expiration date because it has already been paid for and the issuing company has already gotten revenues from it. It should be rightful therefore that consumers are able to buy something with it.
Maglaya said the usual practice is that the gift certificates expire after two years. The undersecretary said most of the gift certificates issued by Rustan’s Department Store have no expiration date. Majority of the gift certificates issued are from SM Department Store.
Likewise, Maglaya said they are looking into the policy of stores that the gift certificate must be used in full. She said there are gift certificates worth more than P1,000 and consumers must be given leeway.
The move to remove the expiration date was started by former Trade Secretary Peter B. Favila last year.