Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Third Regular Session 
HOUSE BILL NO. _______ 
Introduced by HON. JOY MYRA S. TAMBUNTING 
EXPLANATORY NOTE 
The freedom of movement or mobility is considered a luxury as this will dictate how a person 
spends his daily activities. Being able to journey from one city to another or to a nearby province, 
gave rise to the riding public to buying their own dream car. The main advantages of having a 
personal vehicle are comfort, security and avoiding the inconvenience of using the public 
transport. The proliferating availability of brand-new vehicles with simpler terms of payment 
resulted to Filipinos opting to secure one. 
This bill seeks to address the technical hardships and unwarranted troubles experienced by motor 
vehicle buyers in claiming and invoking their rights under the Philippine Lemon Law such as but 
not limited to prior four (4) unsuccessful repair attempts for the same complaint which must be 
availed only within the first twelve (12) month from the date of delivery. Buyers of automotive 
chose to spend their hard-earned money to acquire a brand-new vehicle primarily because of the 
warranties and free check-ups that comes with it, hence the “Sellers” consisting of manufacturers, 
dealers, distributors or retailers must provide a reliable and competent after sales service to 
deliver only outstanding quality vehicles to its customers. 
The rights of customers should be fully protected which is earnestly sought in this bill. Emphasis 
should be in road safety and in the welfare of its customers should a faulty vehicle be sold. 
On behalf of the people of Parañaque City’s Second District, and for the common good of the 
Filipino people, the approval of the said measure is earnestly sought. 
REP. JOY MYRA S. TAMBUNTING 
2nd District, Parañaque City 
July 23, 2021
9:58 pm
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Third Regular Session 
HOUSE BILL NO. _______ 
Introduced by HON. JOY MYRA S. TAMBUNTING 
AN ACT 
AMENDING REPUBLIC ACT NO. 10642 OTHERWISE KNOWN AS THE "PHILIPPINE 
LEMON LAW" AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled:  
SECTION 1. Section 3 of Republic Act No. I 0642 or the "Philippine Lemon Law" is hereby 
amended to read as follows: 
x x x 
“(F) CRITICAL NONCONFORMITY ISSUE REFERS TO ANY DEFECT WHICH COULD 
AFFECT THE CONTROL OR DIRECTIONAL STABILITY OF THE VEHICLE, OR CAUSE 
INJURY TO THE PEOPLE INSIDE OR OUTSIDE THE VEHICLE;  
[(f)] (G) Distributor refers to any person, natural or juridical, authorized by the 
manufacturer to sell brand new motor vehicles to duly authorized dealers or retailers; 
[(g)] (H) Implementing agency refers to the Department of Trade and Industry (DTI), 
reorganized under Title X, Book IV of Executive Order No. 292, series of 1987, 
otherwise known as the "Administrative Code of 1987";  
[(h)] (I) Lemon Law rights period refers to the period ending twelve (12) months 
after the date of the original delivery of a brand new motor vehicle to a consumer or 
the first twenty thousand (20,000) kilometers of operation after such delivery, 
whichever comes first. This shall be the period during which the consumer can report 
any nonconformity, as defined in paragraph (k) herein, to the standards and 
specifications of the manufacturer, authorized distributor, authorized dealer or retailer, 
and pursue any right as provided for under this Act; 
[(i)] (J) Manufacturer refers to any person, natural or juridical, engaged in the 
business of manufacturing or assembling motor vehicles; 
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[(j)] (K) Motor vehicle refers to any self-propelled, four (4) wheeled road vehicle 
designed to carry passengers including, but not limited to, sedans, coupes, station 
wagons, convertibles, pick-ups, vans, sports utility vehicles (SUVs) and Asian Utility 
Vehicles (AUVs) but excluding motorcycles, delivery trucks, dump trucks, buses, road 
rollers, trolley cars, street sweepers, sprinklers, lawn mowers and heavy equipment 
such as, but not limited to, bulldozers, pay loaders, graders, forklifts, amphibian 
trucks, cranes, and vehicles which run only on rails or tracks, and tractors, trailers and 
traction engines of all kinds used exclusively for agricultural purposes. Trailers having 
any number of wheels, when propelled or intended by attachment to a motor vehicle, 
shall be classified as separate motor vehicle with no power rating; 
 
[(k)] (L) Nonconformity refers to any defect or condition that substantially impairs 
the use, value or safety of a brand new motor vehicle which prevents it from 
conforming to the manufacturer's or distributor's standards or specifications, which 
cannot be repaired, but excluding conditions resulting from noncompliance by the 
consumer of his or her obligations under the warranty, modifications not authorized 
by the manufacturer or distributor, abuse or neglect, and damage due to accident or 
force majeure; 
  
[(l)] (M) Purchase price refers to the invoice price or the amount of money which the 
dealer or retailer actually received for the brand new motor vehicle, in consideration 
of the sale of such brand new motor vehicle;  
 
[(m)] (N) Warranty refers to the written assurance, so labeled, of the manufacturer 
of a brand new motor vehicle including any term or condition precedent to the 
enforcement of obligations under the warranty; and 
 
[(n)] (O) Warranty rights period refers to the period provided for under the contract 
of sale when the manufacturer would guarantee the materials used, the workmanship 
and the roadworthiness of a brand new motor vehicle for ordinary use or reasonable 
intended purposes. 
 
SEC. 2. Section 5 of the same Act is hereby amended to read as follows: 
 
“Section 5. Repair Attempt. – At any time within the Lemon Law rights period, and 
after at least ONE (1) repair attempt by the same manufacturer, distributor, authorized 
dealer or retailer for the same complaint, and the nonconformity issue remains 
unresolved, the consumer may invoke his or her rights under this Act. PROVIDED, 
THAT WHEN A CRITICAL NONCONFORMITY ISSUE SURFACES DURING THE 
FIRST 1,000 KILOMETERS OF OPERATION AFTER DELIVERY OF THE 
VEHICLE, THE MANUFACTURER, DISTRIBUTOR, AUTHORIZED DEALER OR 
RETAILER, SHALL REPLACE SUCH VEHICLE WITH A BRAND NEW MOTOR 
VEHICLE OF COMPARABLE SPECIFICATIONS AND VALUE, WITHOUT THE 
NEED TO COMPLY WITH THE ONE REPAIR ATTEMPT REQUIREMENT. 
 
The repair may include replacement of parts components, or assemblies.” 
 
SEC. 3. A new section is hereby inserted to read as follows: 


 
“SECTION 6. AVAILABILITY OF PARTS, COMPONENTS OR ASSEMBLIES. THE 
MANUFACTURER, DISTRIBUTOR, AUTHORIZED DEALER OR RETAILER 
SHOULD ENSURE THE AVAILABILITY OF PARTS, COMPONENTS AND 
ASSEMBLIES WITHIN THE PERIOD OF AV AILMENT OF THE LEMON LAW 
RIGHTS. FAILURE TO PROVIDE THE NECESSARY PARTS, COMPONENTS OR 
ASSEMBLIES WITHIN TEN (10) DAYS SHALL ENTITLE THE CONSUMER TO A 
REPLACEMENT WITH A BRAND NEW MOTOR VEHICLE OF COMPARABLE 
SPECIFICATIONS AND VALUE, WITHOUT THE NEED TO COMPLY WITH THE 
ONE REPAIR ATTEMPT REQUIREMENT.” 
 
SEC. 4. Section 6 shall be re-numbered as Section 7. 
 
SEC. 5. Section 7 of Republic Act No. 10642 is hereby amended to read as follows: 
 
“SECTION 8. [Availment of Lemon Law Rights. - Subsequent to filing the notice of 
availment referred to in the preceding section, the consumer shall bring the vehicle to 
the manufacturer, distributor, authorized dealer or retailer from where the vehicle was 
purchased for a final attempt to address the complaint of the consumer to his or her 
satisfaction.] DUTY OF THE MANUFACTURER, DISTRIBUTOR, AUTHORIZED 
DEALER OR RETAILER – It shall be the duty of the manufacturer, distributor, 
authorized dealer or retailer, upon receipt of the motor vehicle and the notice of 
nonconformity required under Section [6] 7 hereof, to attend to the complaints of the 
consumer including, as may be necessary, making the repair and undertaking such 
actions to make the vehicle conform to the standards or specifications of the 
manufacturer, distributor, authorized dealer or retailer for such vehicle. 
 
To compensate for the non-usage of the vehicle while under repair and during the 
period of availment of the Lemon Law rights, the consumer shall be provided WITH 
EITHER a reasonable daily transportation allowance, an amount which covers the 
transportation of the consumer from his or her residence to his or her regular 
workplace or destination and vice versa, equivalent to air-conditioned taxi fare, [as 
evidenced by official receipt,] or in such amount to be agreed upon by the parties, or 
a service vehicle, at the option of the [manufacturer, distributor, authorized dealer or 
retailer.] AFFECTED CONSUMER. Any disagreement on this matter shall be resolved 
by the DTI [.] WITHIN FIVE (5) WORKING DAYS FROM REFERRAL OF THE 
ISSUE.  
 
FAILURE OF THE MANUFACTURER, DISTRIBUTOR, AUTHORIZED DEALER 
OR RETAILER TO PROVIDE ANY OF THE ABOVE­MENTIONED REMEDIES FOR 
NON-USAGE OF VEHICLE WHILE UNDER REPAIR, SHALL MAKE THEM 
LIABLE FOR EXEMPLARY DAMAGES IN THE AMOUNT OF FIFTY THOUSAND 
PESOS (Php 50,000.00) IN ADDITION TO ACTUAL DAMAGES SUFFERED BY 
THE CONSUMER. 
 
Nothing herein shall be construed to limit or impair the rights and remedies of a 
consumer under any other law." 
 


SEC. 6. Next sections shall be re-numbered accordingly.  
 
SEC. 7. Separability Clause. – Should any provision or part of this Act be declared 
unconstitutional or invalid, the other provisions and parts hereof, insofar as they are separable 
from the invalid ones, shall remain in full force and effect. 
 
SEC. 8. Repealing Clause. – All laws, decrees, orders, issuances rules and regulations or parts 
thereof which are inconsistent with this Act are hereby repealed or modified accordingly.  
 
SEC. 9. Effectivity. – This Act shall take effect fifteen (15) days after its publication in the 
Official Gazette or in at least two (2) newspapers of general circulation. 
 
Approved,