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t)rF§q~ : 'r ,- ~(IP ";:, 
FIFTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
) 
) 
) 
First Regular Session 
SENATE 
S. No. 123 
Introduced by Senator S. R. Osmena '" 
EXPLANATORY NOTE 
The salutary effects of economic liberalization are evident in industries such 
as shipping, airlines, and telecommunications, particularly in the availability of 
service options at varying prices. The increased efficiency through competition in 
these sectors needs to be replicated in other sectors especially as we seek to open 
our economy to foreign investments and free trade. 
This bill consolidates all anti-trust laws and establishes the Fair Trade 
Commission to promote competitive vigor in our economy. 
This bill defines 
absolute and relative monopolies and trusts, which in themselves constitute prima 
facie violations of the law, in order to facilitate its enforcement. The main enabling 
mechanisms are: 
a) recourse given to complaints initiated by private citizens who are aggrieved by 
abuses committed by companies exercising market power; and 
b) the authority vested in the Fair Trade Commission to initiate investigations, 
impose penalties for violations of the law, 
and to establish anti-trust 
mechanisms. 
This bill will provide the unifying framework that will promote subsequent 
liberalization measures and ensure that domestic markets are accessible to all 
would-be entrants and participants and free from the stifling control of any single 
powerful monopoly. 
In view of the foregoing, early passage of this bill is earnestly requested. 
;J,~~ 
~;GIO OSMENA III 
Senator 


FIFTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
First Regular Session 
SENATE 
123 
S.No. __ -,-
) 
) 
) 
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Introduced by Senator S. R. Osmefia III 
AN ACT 
CREATING THE FAIR TRADE COMMISSION, PRESCRIBING ITS POWERS 
AND FUNCTIONS 
IN REGULATING 
TRADE 
COMPETITION AND 
MONOPOLIES AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress Assembled: 
1 
SECTION 1. Title. --
This Act shall be known as the "Fair Trade Act of 
2 
2010". 
3 
SECTION 2. 
Declaration of Policy. 
-
The efficiency 
of free market 
4 
competition and free trade 
in the allocation of goods and services is a well-
5 
received premise in 
domestic and international economies. The state finds 
6 
that the measures undertaken to liberalize the key 
sectors of the 
economy 
7 
need to be reinforced by mechanisms that will ensure competitive conditions as 
8 
far as 
practicable. 
The state also finds that 
the development of the 
9 
entrepreneurial spirit among the people is well served by measures that 
10 
ensure 
equal 
opportunities 
for 
all, 
encouraging 
private 
investments, 
11 
facilitating 
technology development and transfer, 
and enhancing resource 
12 
productivity. 
Free competition also serves the best interest of the consumer by 
13 
empowering him with the exercise of 
his right of choice over goods and 
14 
services offered for sale in the market. 
It is therefore the declared policy of the 
15 
State to promote the process of competition and free market participation through 
1 


1 
the prevention and elimination of monopolies, monopolistic practices and other 
2 
restraints on the efficient operation of markets for goods and services. 
3 
For this purpose, the State recognizes the need to consolidate the laws 
4 
governing trade, competition, monopolies and free market participation and to 
5 
establish the body that will enforce the law and regulate 
the conduct of 
6 
competition in the economy. 
7 
SECTION 3. Coverage --- All economic agents shall be subject to the 
8 
provisions of this Act, whether they are individuals or corporations, agencies or 
9 
entities of the national or local governments, associations, professional groups, 
10 
trusts, or any form of participation in business activities. 
11 
Agencies and bodies responsible for the regulation of strategic sectors 
12 
do not constitute monopolies. However, the same bodies and agencies shall be 
13 
subject to the provisions of this Act in regard to acts which are not specifically 
14 
included within strategic sectors. 
15 
SECTION 4. Price Regulation by the State -- In order to fix maximum 
16 
prices of products and services that are essential for the domestic economy or 
17 
mass consumption, the following shall apply: 
18 
(a) The President through the Department of Trade and Industry shall be 
19 
exclusively responsible for determining through a decree what goods 
20 
and services may be subject to maximum prices; 
21 
(b) The 
Department may arrange and coordinate with producers and 
22 
distributors the necessary actions in this connection, without such 
23 
procedure being interpreted as a violation of this law, and it shall try to 
24 
minimize their effects on competition and free market participation. 
25 
(c) The Bureau of Trade Regulation and Consumer Protection, under the 
26 
supervision of the Department shall be responsible for the inspection, 
27 
surveillance 
and penalization 
in respect 
to the 
maximum 
prices 
2 


determined pursuant to this Section, in accordance with the Consumer 
2 
Protection Act. 
3 
SECTION 5. 
Monopolies -
Monopolies and cartels are prohibited, as 
4 
are practices which pursuant to this law diminish, impair or prevent competition 
5 
and free participation in the production, processing distribution and marketing of 
6 
goods and services. 
7 
SECTION 6. Definition of Absolute Monopoly -- Absolute monopolistic 
8 
practices are contracts, agreements, arrangements or cartels of economic agents 
9 
competing among themselves, whose aim or effect is any of the following: 
10 
(a) To lower, raise, fix or manipulate the sale or purchase price of goods 
11 
or services at which they are supplied or demanded on the market, or 
12 
the exchange of information which has the same purpose or effect; 
13 
(b) To establish an obligation not to produce, process, distribute or market 
14 
but a restricted or limited amount of good s or a restricted or limited 
15 
type, volume or frequency of service; 
16 
(c) To divide, 
distribute, assign or impose portions or segments of a 
17 
present or potential market of goods and services, on the basis of 
18 
certain customers, suppliers, time or space of those to be determined; 
19 
or 
20 
(d) To establish, 
rig or coordinate bids or to abstain from 
submitting 
21 
proposals in tender competitions or bidding in public auctions. 
22 
The acts referred to in this Section shall have no legal force and the 
23 
economic agents which engage in them shall be subject to penalties established 
24 
by this law, regardless of any criminal liability that may ensue. 
25 
SECTION 7. Definition of Relative Monopoly -
Relative monopolistic 
26 
practices are considered to be those acts, 
contracts, 
agreements or cartels 
27 
whose purpose or effect is or could be to wrongfully displace other agents from the 
3 


market, 
substantially impede their access thereto or to establish exclusive 
2 
advantages in favor of one or several entities in the following cases: 
3 
(a) between economic agents that do not compete with one another, the 
4 
fixing, imposition or establishment of exclusive distribution of goods 
5 
or services, 
by reason of a certain entity, geographic location or 
6 
period of time, 
including the division, distribution or assignment of 
7 
customers or suppliers; as well as the imposition of the obligation to not 
8 
manufacture or distribute goods or render services for a certain period 
9 
of time or a period of time subject to determination; 
10 
(b) the imposition 
of a price or other conditions which a distributor 
or 
11 
supplier must comply with when selling or distributing goods or offering 
12 
services; 
13 
(c) the sale or transaction contingent on the purchase, acquisition, sale or 
14 
supply 
of another additional 
normally 
different 
or distinguishable 
15 
product or service, or on the basis of reciprocity; 
16 
(d) the sale or transaction contingent on not using or acquiring, selling or 
17 
providing the goods or services produced, processed, distributed or 
18 
marketed by a third party; 
19 
(e) a unilateral action consisting of refusing to sell or supply certain 
20 
agents with available goods or services, 
normally offered to third 
21 
parties; 
22 
(f) the agreement 
between several 
economic 
agents or an invitation 
23 
extended to them to exert pressure 
on a certain customer or supplier, 
24 
for the purpose. of dissuading it from a certain practice, to retaliate or 
25 
force it to act in a certain manner; or 
26 
(g) any act in general that unduly impairs or impedes the process of 
27 
28 
competition 
and free participation 
in the production, 
processing, 
distribution and marketing of goods and services. 
4 


SECTION 8. Presumptions of Violations of this Act --
In order to 
2 
constitute the practices 
referred to in the preceding Section, 
as 
prima facie 
3 
violations of this Act, it must be proven: 
4 
(a) that the presumed responsible party has substantial power over the 
5 
relevant market; and 
6 
(b) that they are carried out in connection with goods or services pertaining 
7 
to the relevant market in question. 
8 
SECTION 9. Relevant Market -
In order 
to determine the relevant 
9 
market, the following criteria must be taken into account: 
10 
(a) the possibilities of substituting the goods or services in question, with 
11 
others of domestic or foreign origin, bearing in mind the technological 
12 
possibilities, the extent to which substitutes are available to consumers 
13 
and the time required for such substitution; 
14 
(b) the cost of distribution 
of the product itself, 
its raw 
materials; 
its 
15 
supplements and substitutes from other areas and from abroad, taking 
16 
into consideration 
freight, 
insurance, 
import duties 
and non-tariff 
17 
restrictions, the restrictions imposed by economic agents or by their 
18 
associations and the time required to supply the market from those areas; 
19 
(c) the cost and probability of users or consumers seeking other markets; 
20 
and 
21 
(d) national, local or international restrictions which limit access by users 
22 
or consumers to alternate sources of supply or the access of suppliers 
23 
to alternate consumers. 
24 
SECTION 
10. Determination of Substantial Power --
In 
order to 
25 
determine whether a business entity has substantial market power on the relevant 
26 
market, the following must be taken into consideration: 
5 


2 
3 
(a) its share of said market and whether it is able to fix prices unilaterally 
or to restrict supply on the relevant market without the competing 
agents being able, at present or potentially, to offset such power; 
4 
(b) the 
existence of barriers 
to entry 
and the elements 
which could 
5 
foreseeably 
alter both said barriers 
and the supply 
from other 
6 
competitors; 
7 
(c) the existence and power of its competitors 
8 
(d) the possibility of access by the business entity and its competitors to 
9 
sources of input 
10 
(e) its recent conducts; and 
11 
(f) other criteria established by the regulations of this Act. 
12 
SECTION 11. Investigations -- The Commission may investigate ex-officio 
13 
or at the request of the interested party, whether act referred to in the preceding 
14 
Section are present, and as the case may be, declare their existence. Notice of 
15 
said declaration shall be given to the appropriate parties. The aggrieved party 
16 
may file an appeal with the Department of Trade and Industry. 
17 
SECTION 12. Exemptions --- The following do not constitute monopolies 
18 
punishable under this Act: 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
(a) Associations of workers formed 
in accordance 
with the 
relevant 
legislation to protect their interests. 
(b) Privileges granted to authors and artists for the production of their 
works for a certain period of time and those granted for the exclusive 
use 
of their inventions to inventors and persons engaged 
in the 
perfecting of an improvement 
(c) Associations or cooperatives which sell their products directly abroad, 
provided that: i} said products are the principal source of wealth of the 
region in which they are produced, or are not essential products; ii) 
they are neither sold nor distributed in the Philippines; 
and 
iii) 
6 


2 
3 
4 
membership is voluntary and members are free to join or resign; 
and 
iv) In each case their incorporation is authorized by the existing laws 
corresponding to their corporate domicile; 
(d) Monopolies authorized by law 
5 
SECTION 
13. 
Trusts ---
For purposes of this law, 
a trust shall be 
6 
understood 
to 
mean 
a merger, 
acquisition of control 
or any act whereby 
7 
companies, 
partnerships, 
shares, 
equity, 
trusts 
or assets in general 
are 
8 
concentrated among competitors, 
suppliers, 
customers or any other business 
9 
entity. The Commission shall challenge and penalize those trusts whose purpose 
10 
or effect is to diminish, impair or impede competition and free market participation 
11 
in regard to equal, similar or substantially related goods or services. 
12 
SECTION 14. 
Grounds for Prima Facie Case --- When investigating 
13 
trusts, the Commission must interpret as evidence of a situation referred to in the 
14 
preceding section, when the act or attempt: 
15 
(a) bestows 
or may bestow on the merging party, the acquirer or the 
16 
business entity 
resulting 
from 
the trust, 
the power to fix 
prices 
17 
unilaterally or substantially restrict the stock or supply on the relevant 
18 
market, without the competing economic agents being able, at present 
19 
or potentially to offset said power; 
20 
(b) intends or may intend to wrongfully displace other economic agents or 
21 
to prevent their access to the relevant market; and 
22 
(c) intends or has the effect of substantially facilitating the participants in 
23 
said act or attempt to engage in monopolistic practices referred to in 
24 
SECTION 6 hereof. 
25 
SECTION 15. Evaluation of a Trust --- In order to determine whether a 
26 
trust should be opposed or penalized pursuant to this Act, the Commission must 
27 
take the following factors into consideration: 
28 
(a) the relevant market, in accordance with SECTION 9 hereof; 
7 


(b) the identification of the economic agents that supply the market in 
2 
question, an analysis of their market power on the relevant market, in 
3 
accordance with SECTION 10 hereof and the degree of concentration 
4 
in said market; and 
5 
(c) other criteria or instruments of analysis contained in the regulations of 
6 
this Act. 
7 
SECTION 16. Intervention by the Commission ---
If, as a result of the 
8 
investigation and review of the procedure established herein, it becomes clear 
9 
that the trust constitutes an act contemplated in this chapter, in addition to 
10 
imposing the appropriate legal measures or penalties, the Commission may: 
11 
(a) make 
such 
act 
contingent 
upon 
compliance 
with the conditions 
12 
established by the Commission 
13 
(b) order a partial 
or total 
breaking up 
of the trust 
which has been 
14 
15 
wrongfully created, the end to the control or the elimination of the act, 
as required. 
16 
SECTION 17. 
Notification requirements --- The Commission must be 
17 
apprised of the following trusts before they are formed: 
18 
(a) If the value of a single transaction or a series of transactions amounts 
19 
to over twelve million (12,000,000) times the minimum daily wage 
20 
prevailing in Metro Manila; 
21 
(b) If 
a single 
transaction 
or a series 
of transactions 
implies 
an 
22 
accumulation 
of thirty-five percent (35%) or more of the assets or 
23 
24 
shares of an economic agent, whose assets or sales amount to more 
than 
twelve million (12,000,000) times 
the 
minimum daily 
wage 
25 
prevailing in Metro Manila; or 
26 
(c) If two or more economic agents take part in the transaction and their 
27 
assets or annual volume of sales, jointly or separately total more 
28 
than forty-eight million (48,000,000) times 
the minimum daily wage 
8 


prevailing 
in the region, and said transaction implies an additional 
2 
accumulation of assets or capital stock in excess of four million eight 
3 
hundred 
thousand (4,800,000) 
times 
the 
minimum daily 
wage 
4 
prevailing in Metro Manila. 
5 
In order to register the acts which in accordance with their nature 
6 
should be listed with the Registrar of Deeds, the economic agents referred 
7 
to in subsection (a) through (b) must establish that they have received a 
8 
favorable ruling from the Commission or that they have given the notice 
9 
referred to in this Section, without the Commission having issued a 
10 
decision within the time limit stipulated in the following Section. 
11 
SECTION 18. Notification Procedures ---
For purposes of the preceding 
12 
Section, the following shall apply: 
13 
(a) The notice shall be given in writing, together with a draft of the legal act in 
14 
question, 
which shall include the names or corporate names of the 
15 
economic agents involved, their financial statements for the latest fiscal 
16 
year, their market share and other details, to permit an evaluation of the 
17 
intended transaction. 
18 
(b) The Commission may request additional information or documents within 
19 
twenty (20) calendar days following the reception of the notice. This 
20 
information must be submitted by the interested parties within fifteen 
21 
(15) calendar days. This time limit may be extended in duly justified 
22 
cases; 
23 
(c) The Commission shall have forty-five (45) calendar days following the 
24 
reception of the notice or of the additional documents requested, as the 
25 
case may be in order to issue a decision. Once said time limit has 
26 
expired and no decision has been handed down, it shall be understood 
27 
that the Commission has no objections whatsoever; 
9 


(d) In exceptionally complex cases, the Chairman of the Commission 
2 
may, on his own responsibility extend the time limit referred to in 
3 
Subsections (b) and (c) for up to another sixty (60) calendar days; 
4 
(e) The decision of the Commission must be duly justified and explained; 
5 
and 
6 
(f) A 
favorable 
decision 
shall not prejudge 
the execution 
of other 
7 
monopolistic practices prohibited by this Act; therefore it does not relieve 
8 
the economic agents involved from other responsibilities. 
9 
SECTION 19. 
Non-contestable Acts ---
The following may not be 
10 
challenged under this Act: 
11 
(a) Trusts that have received a favorable ruling, except when such ruling 
12 
was obtained on the basis of false information; and 
13 
(b) In case of trusts that do not require prior notification, a year after their 
14 
establishment. 
15 
SECTION 20. Creation of The Fair Trade Commission -
The Fair 
16 
Trade Commission 
is 
hereby 
created 
as an administrative 
body 
of the 
17 
Department of Trade 
and Industry. 
It shall be technically and operationally 
18 
autonomous and its responsibilities shall include the prevention, investigation 
19 
and combating of monopolies, monopolistic practices and trusts under the terms 
20 
of this Act. It shall be free to issue its own decisions. 
21 
SECTION 21. Powers of the Commission ---
The Commission shall 
22 
have the following powers: 
23 
(a) to investigate the existence of monopolies, cartels, practices or trusts 
24 
prohibited by this Act, to which end it may require individuals and other 
25 
economic agents to provide the relevant information or documents; 
, 
26 
(b) to 
establish mechanisms of coordination to 
combat and prevent 
27 
monopolies, cartels trusts and illicit practices; 
10 


1 
(C) to 
solve cases 
within its area of responsibility 
and to impose 
2 
administrative penalties for the infringement of this Act and to report to 
3 
the SOlicitor General criminal practices in matters of competition and 
4 
free market participation; 
5 
(d) To issue opinions concerning adjustments In programs and policies of 
6 
the Executive Branch whose effects may be damaging to competition 
7 
and free market participation; 
8 
(e) To 
issue 
opinions when requested 
by the President, through 
the 
9 
Secretary of the Department of Trade and Industry in regard to the 
10 
suitability of proposed laws and regulations in connection with aspects 
11 
of competition and free market competition; 
12 
(f) To 
issue 
opinions, 
when it considers pertinent, 
on the subject of 
13 
competition and free market participation, in regard to laws, regulations, 
14 
agreements, circulars and administrative acts, without such opinions 
15 
having any legal effect and without the Commission being under any 
16 
obligation to issue an opinion; 
17 
(g) To prepare and enforce internally organization and procedure manuals; 
18 
(h) To 
participate 
with the appropriate bodies 
in the execution 
of 
19 
international treaties, agreements or pacts in connection with regulations 
20 
or policies involving competition and free market participation, of which 
21 
the Republic of the Philippines is or intends to be a party; 
22 
(i) To deputize any law enforcement agency and instrumentality of the 
23 
government for assistance in the implementation and enforcement of its 
24 
functions and orders; 
25 
(j) To enlist the assistance or services of the Department of Justice of 
26 
the Office of the Solicitor General; and 
27 
(k) Such other powers vested in it by this and other laws and regulations. 
11 


SECTION 22. 
Members of the Commission --- The Commission shall 
2 
consist of five members, including its Chairman. It shall conduct its debates as 
3 
a body and its decisions shall be reached by a majority vote with the Chairman 
4 
casting the deciding ballot in the event of a tie. 
s 
The commissioners shall be appointed by the President to serve in their 
6 
capacities for renewable periods of six (6) years and they may only be removed 
7 
from office for duly justified serious reasons; Provided That, In no case shall 
8 
any person be a member of the Commission for more than two (2) terms. 
They 
9 
must meet the following requirements: 
10 
(a) They must be Filipino citizens, professionally qualified in matters related 
11 
to the purposes of this Act, over thirty-five (35) and under seventy-two 
12 
(72) years of age; 
13 
(b) They must have distinguished themselves professionally in public or 
14 
academic service substantially related to the purposes of this Act. 
15 
The commissioners must refrain from engaging in any other employment, work 
16 
or public or private activity, except in a teaching capacity. Furthermore, they shall 
17 
be disqualified from deciding matters in which they may have a direct or indirect 
18 
interest, in terms of the regulations. 
19 
The 
Commission 
shall have the necessary staff to expedite matters 
20 
efficiently, in accordance with the authorized budget. 
21 
SECTION 23. The Chairman of the Commission --- The Chairman of 
22 
the Commission 
shall be appointed by the President and he shall have the 
23 
following powers: 
24 
(a) To coordinate the work of the Commission; 
25 
(b) To implement, enforce and supervise the established relevant internal 
26 
policies; 
12 


1 
(C) To issue and publish an annual report concerning the performance of 
2 
the functions of the Commission, including the results of its actions in 
3 
connection with competition and free market participation; 
4 
(d) To request from any authority in the Philippines or abroad information 
5 
it may require in order to investigate possible infringements of this Act; 
6 
(e) To act as a representative of the Commission; to designate and 
7 
remove 
personnel; 
to create the necessary 
technical 
units in 
8 
accordance with the budget, as well as to delegate powers; and 
9 
(f) Such other powers as are vested in him by the laws and regulations. 
10 
SECTION 24. 
Executive Secretary ---
The Commission shall have an 
11 
Executive Secretary appointed by the Chairman of the Commission, who shall be 
12 
responsible 
for operational 
and administrative 
coordination. 
The Executive 
13 
Secretary will certify the act in which he shall take part. 
14 
SECTION 25. 
Initiating Proceedings ---
Proceedings before the 
15 
Commission shall be initiated ex-officio or .at the request of the interested parties. 
16 
SECTION 26. 
Power to issue subpoenas ---
When exercising its 
17 
powers, the Commission may issue subpoena duces tecum to request the 
18 
necessary information or documents in order to carry out its investigations, as 
19 
well as subpoena ad testificandum to summon whoever may be involved in the 
20 
cases in question. Failure to comply with any of the above, or any misconduct 
21 
in the presence of the Commission or any of its Divisions in its vicinity as to 
22 
seriously interrupt any hearing, 
session or proceedings before it, 
will be 
23 
punishable for contempt by a fine not exceeding Five Thousand pesos (P5,000) 
24 
or by imprisonment not exceeding thirty (30) days or both. 
25 
The information and documents obtained directly by the Commission in 
26 
connection with its investigations, as well as those submitted to it shall be held in 
27 
strictest confidence. Public servants shall be held responsible in case of any 
13 


disclosure of said 
information, 
except when responding to an order of the 
2 
appropriate authority. 
3 
SECTION 
27. 
Complainants 
In 
case of absolute 
monopolistic 
4 
practices, anyone, or the affected parties in the case of other practices or trusts 
5 
prohibited by this Act, 
may submit a written denunciation 
against the alleged 
6 
guilty party before the Commission, indicating the nature of such practice or trust. 
7 
In case of relative monopolistic practices or trust, 
the complaint must 
8 
include the elements which constitute the practices or trusts and, as the case may 
9 
be, the factors that show that the complainant has sustained or may sustain 
10 
substantial damage or loss. 
II 
SECTION 28. Proceedings --
Proceedings before the Commission shall 
12 
be carried out as follows: 
13 
(a) the presumed guilty party shall be served summons, in which it shall be 
14 
informed of the nature of the investigation, and if applicable, a copy of 
15 
the accusation shall be included; 
16 
(b) the party so summoned shall have thirty (30) calendar days to submit 
17 
arguments in its defense and to attach documentary evidence in its 
18 
possession and to offer evidence worth reviewing; 
19 
(c) Once the evidence has been reviewed, the Commission shall set a 
20 
time limit not exceeding thirty (30) calendar days for the submission of 
21 
a plea either verbally or in writing; and 
22 
(d) Once the file has been completed, the Commission must hand down 
23 
a decision within not more than sixty (60) calendar days. 
24 
Any matter not covered herein shall be governed by the regulations of this 
25 
Act. 
26 
SECTION 29. 
Legal Sanctions ---
In order to carry out its functions 
27 
efficiently, the Commission may impose the following legal measures: 
28 
(a) admonition; 
14 


(b) A fine of up to the amount of One Thousand Five Hundred (1,500) 
2 
times the minimum daily wage prevailing in Metro Manifa, which amount 
3 
may be imposed for each day of noncompliance with the order of the 
4 
Commission; 
5 
SECTION 30. Penalties --
The Commission may impose the following 
6 
penalties: 
7 
(a) It may order the suspension, correction or elimination of the practice or 
8 
trust in question; 
9 
(b) It may order a partial or total breaking up of what wrongfully forms the 
10 
trusts, regardless of any fine that may be applicable in such case; 
11 
(c) A fine up to seven thousand five hundred (7,500) times the minimum 
12 
daily wage prevailing in Metro Manila, for having made false statements 
13 
or for having submitted false information to the Commission, regardless 
14 
of any criminal liability to which the guilty party may be subject; 
15 
(d) A fine of up to three hundred seventy five thousand (375,000) times 
16 
the prevailing minimum daily wage for having engaged in an absolute 
17 
monopolistic practice; 
18 
(e) A fine of up to two hundred twenty-five thousand (225,000) times the 
19 
prevailing 
minimum daily wage 
for having engaged in any relative 
20 
monopolistic practice, and of up to one hundred thousand (100,000) 
21 
times 
the prevailing 
minimum daily wage 
in connection 
with the 
22 
provisions contained in Section 7, hereof; 
23 
(f) A fine of up to two hundred twenty-five thousand (225,000) times the 
24 
prevailing minimum daily wage for taking part in any trust prohibited by 
25 
this Act, and a fine of up to one hundred thousand (100,000) times the 
26 
prevailing minimum daily wage for failing to notify the Commission of the 
27 
trust as mandated by the law; and 
15 


(g) A fine of up to 
seven thousand five hundred (7,500) times the 
2 
prevailing minimum daily wage shall be imposed on individuals who 
3 
engage directly in monopolistic practices or prohibited trusts on behalf 
4 
or in representation and by order of corporations. 
5 
(h) In case of a repeated offense, an additional fine of up to double the 
6 
initial amount may be imposed. 
7 
When imposing fines, the Commission must take into account the seriousness of 
8 
the violation, the damage cause, the degree of intention, the violator's market 
9 
share, the size of the market affected, the duration of the practice or trust and 
10 
the violator's relapse or antecedents, as well as its financial capacity. 
11 
SECTION 31. Special Cases -- In case of infringements referred to in 
12 
Section 30 Subparagraph (d) and (e), which in the opinion of the Commission 
13 
are particularly 
serious, 
the Commission may 
impose, 
instead 
of the fines 
14 
stipulated therein, a fine of up to ten percent (10%) of the annual sales obtained 
15 
by the violator during the previous fiscal year, or of up to ten percent (10%) of the 
16 
value of the violator's assets, whichever is higher. 
17 
SECTION 
32. Legal 
claims 
The economic agents 
that have 
18 
demonstrated during the proceedings that they have sustained damage and loss 
19 
as a result of the monopolistic practice or illicit trust, may file a legal claim to 
20 
obtain compensation of the damage and loss. In such case, the legal body may 
21 
take into consideration the damage and loss as estimated by the Commission. 
22 
No legal administrative action based on this Act shall be in order unless it 
23 
has been established therein. 
24 
SECTION 33. Appeal for Review --
Pursuant to this Act, an appeal for 
25 
a reversal 
may 
be filed 
with the Department of Trade and Industry, 
in 
26 
connection with decisions handed down by the Commission, within fifteen (15) 
27 
working days following the date of notification of said decisions. 
16 


The appeal shall be filed in a document addressed to the Secretary of the 
2 
Department of Trade and Industry, 
showing the name 
and address of the 
3 
appellant and the offense. It must include evidence considered necessary, as 
4 
well as proof of the legal status of the petitioner. 
5 
The filing of the appeal shall suspend the enforcement of the contested 
6 
decision. In case of a suspension of penalties referred to in Paragraphs (a) and 
7 
(b) of Section 30, and where third parties may sustain damage or loss, the 
8 
appeal shall be admitted if the petitioner provides sufficient guarantees to restore 
9 
the damage and to compensate the losses, if it does not receive a favorable 
10 
ruling. 
11 
SECTION 34. Effect on Existing Law and Repealing Clause. -- The rights 
12 
and remedies provided by this Act shall be in addition to any and all rights and 
13 
remedies that may now exist, but no person permitted to maintain a suit for damages 
14 
under the provisions of this Act shall recover, through satisfaction of judgment in one 
15 
or more actions, a total amount in excess of his actual damages on account of the 
16 
act complained of. 
17 
All laws, Acts, parts of Acts, Rules of Court, Executive Orders, and 
18 
administrative regulations which are inconsistent with this Act are hereby repealed. 
19 
SECTION 35. Separability. - If any provision of this Act shall be held invalid, 
20 
the remainder of the Act shall not be affected thereby. 
21 
SECTION 36. Effectivity Clause. - This Act shall take effect fifteen (15) days 
22 
from the date of its publication in at least two (2) newspapers of general publication 
23 
in the Philippines. 
24 
Approved, 
17