SIXTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
'13 
SEP 10 P 3 :11 
SENATE 
""1'-/ 
S. No. 
J. 'i). t} 
Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The Constitution, Article XVI provides: 
Section 9. The State shall protect consumers from trade malpractices alld 
from substandard or hazardous practices. 
Republic Act No. 7934, otherwise known as the Consumer Act was passed in order to 
protect the interests of the consumer, promote his general welfare and to establish standards of 
conduct for business and industry. Because of the key role consumers play in the Philippine 
economy, the law was enacted to protect the rights of consumers and to put a stop to abusive 
practices of business establishments in the country. 
The practices of giving insufficient change· or·givingl no change at all to consumers by 
product sellers or service providers is something that is often taken for granted. This is usually 
because the change involves only a matter of five (5), ten (10), fifteen (15) or twenty (20) 
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centavos, or small bills which when added up at the end of the day, amounts to thousands of 
pesos. That failure to give the change or the exact change constitutes it trade malpractice that 
must be stopped. 
This bill seeks to (a) prohibit the giving insufficient change or no change at all to 
consumers; (b) to prohibit the giving of change in any form other than money; (c) require the 
posting of signs reminding consumers to ask for their exact change; and (d) require the use of 
price tags, when appropriate, that will reflect the exact price per unit or services, already 
incorporating the applicable tax or taxes.' 
I. 
. 
J' 
~'- 4, ..... ."..... 
MIRIAM DEF¥SOR S N~ 
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, This bill was originally filed during the Thirteenth Congress, First Regular Session. 


;ienuh' 
SIXTEENTH CONGRESS OF THE REPUBLIC 
) 
(@!f,';t {1f tilt: ~,tn'rbr~ 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
'13 
SEP 10 P 3 :11 
SENATE 
S. No. 
1618 
Introduced by Senator Miriam Defensor Santiago 
I 
AN ACT 
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REQUIRING BUSINESS ESTABLISHMENTS TO GIVE EXACT CHANGE TO 
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CONSUMERS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
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SECTION 1. Short Title. - This Act shaH be known as the "Exact Change Act." 
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SECTION 2. Declaration of Policy. - It is the policy of the State to protect the interest of 
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the consumer, promote the general welfare, and establish standards of conduct for business and 
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industry. 
Towards this end, the State shall implement measures to achieve the following 
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objectives: 
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(A) 
The protection against deceptive, unfair, and unconscionable sales acts and 
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practices; 
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(B) 
The provision of information and education to facilitate sound choices and the 
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proper exercise of rights by the consumer; 
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(C) 
The provision of adequate rights and means of redress; and 
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(D) 
The provision of penalties for.offenders. 
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SECTION 3. Definition of Terms. - For the Purp9se of this Act, the term: 
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(A) 
"Consumer" means a natural person who is a purchaser or recipient of consumer 
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products, services or credit; 
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(B) 
"Business establishment" means any person or entity, whether single 
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proprietorship, partnership, or corporation, including government-owned and controlled 
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eorporations or a government entity exercising its proprietary functions, engaged in, doing 
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business in the Philippines, either in selling products or providing services; 
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(C) 
"Consumer products and services" means goods, service.s and credits, debts or 
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obligations which are primarily for personal, family; ~ous.~h.?l.?, or agricultural purposes, which 
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shall include, but is not limited to, food, drugs, cosmetics, and devices; 
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(D) 
"Services" means services that are subject to a consumer transaction, either 
together with, or separate from, any kind of personal property, whether tangible or intangible; 
(E) 
"Price tag" means any device, written, printed, affixed or attached in a consumer 
product or displayed in a consumer retail or service establish for the purpose of indicating the 
retail price per unit or service; 
(F) 
"Change" means the excess in the payment given by a consumer for products or 
services purchased or received; 
(G) 
"Insufficient change" means a change that is less than what is due the consumer; 
and 
(H) 
"Depaliment" means the Department of Trade and Industry. 
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SECTION 4. Prohibition against Failing or Refusing to Give Exact Change. - It shall be 
unlawful for any business establishments to give insufficient change or no change at all to 
consumers who purchased or received products or services, even if such change is only of a 
small amount. It shaH be the duty of the business establishment to give exact exchange to the 
consumer without waiting for the consumer to ask for the same. 
SECTION 5. Procedure in Filing a Complaint. -
(A) 
Not later than ten (10) working days after a violation has been committed, the 
consumer shaH write and submit a letter of complaint to the Department. 
(B) 
The Department shall, in not more than ten (10) working days after the complaint 
has been submitted, conduct an investigation andlaudit and shall issue a notice to the 
establishment involved. 
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(C) 
After a full investigation shall have been made by the Department, it shall issue 
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its decision and findings not later than thirty (30) days from the receipt of the complaint. 
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SECTION 6. Information Campaign. -
Th~,p~p~!m~l1.! shall undertake to implement an 
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education campaign to inform consumers of the provisions of this Act. It shall regularly publish 
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a list of the establishments found to have violated any provisions of this Act. 
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SECTION 7. Rules and Regulations. - It shall be the duty of the Department, in 
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coordination with other executive departments or government agencies which may be involved, 
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to formulate and issue the necessary rules and regulations to implement the provisions of this 
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Act. 
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SECTION 8. Penalties. - Any violation of this Act shall be punished as follows: For the 
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first offense, a violator shall be fined Five Hundred Pesos (P500.00); for the second offense, a 
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violator shall be fined Fifteen Thousand Pesos (15,000.00) and the license to operate the business 
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establishment shall be suspended for three months; 'ahd 'for the 'fourth offense, a violator shall be 
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fined Twenty-five Thousand Pesos (P2S,OOO.OO) and the license to operate shall be revoked. 
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In addition to the amount of the fine mentioned above, the total amount of change the 
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establishment failed or refused to give, as determined from the audit of the Department, shall be 
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paid by the said establishment to the government unless it can be determined with reasonable 
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certainty that the change is due and payable to a particular person or persons. 
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SECTION 9. Separability Clause. - If any provision or part thereof is held invalid or 
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unconstitutional, the remainder of the law of the provision not otherwise affected shall remain 
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valid and SUbsisting. 
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SECTION 10. Repealing Clause. - Any law, presidential decree or issuance, executive 
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order, letter of instruction, administrative order, rule, or regulation contrary to or inconsistent 
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with the provisions of this Act is hereby repealed, modified, or amended accordingly. 
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SECTION 11. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
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publication in at least two (2) newspapers of general circulation. 
Approved, 
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