Imprisonment, jail time for store owners for not giving exact change

MANILA, Philippines - Soon stores and supermarkets may be penalized for not giving the exact change to their customers.

Valenzuela City Rep. Sherwin Gatchalian has filed House Bill 4433, which seeks to amend Republic Act 7394 or the Consumer Act of the Philippines.

Gatchalian said that if his bill is enacted into law, supermarkets giving candies, instead of providing the exact amount of change to their customers will be penalized.

“RA 7394 is a government regulation that is aimed at protecting consumers’ rights and welfare. It has been in existence for 22 years with some minor amendments. In order to be responsive to the prevailing times, this measure intends to add another provision in Article 52 to further protect consumers,” Gatchalian said.

He said Article 52 of RA 7394 provides that an unfair or unreasonable sales act or practice by a seller or supplier in connection with a consumer transaction violates Chapter I - Deceptive, Unfair and Unconscionable Sales Acts or Practices, whether it occurs before, during or after the consumer transaction.

He said an act or practice shall be deemed unfair and unconscionable whenever the producer, manufacturer, distributor, supplier or seller, by taking advantage of the environment or surroundings, induces the consumer or gross one-side in favor of the producer, manufacturer, distributor, supplier or seller.

Gatchalian also cited Article 48 of RA 7394, which provides that 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.

He proposed to amend Article 48 by providing additional circumstance by including that the consumer transaction was denied because of an alleged shortage of coins or change on the part of the seller.

He said that in the process, the consumer is shortchanged by the giving of candies or other items in lieu of money as change or when due to lack of time.

Under the bill, violators face one-year imprisonment and a fine of not more than P10,000.

For more proposed measures in the House of Representatives, visit our Bill Tracker.