NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
SENATE 
Senate Bill No. 1227
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Rl.CtiVED BY fr
Introduced by Senator Aquilino uKoko” Pimentel III
AN ACT AMENDING REPUBLIC ACT NO. 10642 
OTHERWISE KNOWN AS THE ^PHILIPPINE LEMON LAW”
AND FOR OTHER PURPOSES
EXPLANATORY NOTE
Owning a motor vehicle is now a necessity for many Filipinos to 
address their need to be mobile in this complex and modern world, 
given the absence in many parts of the Philippines of safe and efficient 
mass transportation. The purchase of a motor vehicle is also a major 
financial investment or expenditure for the average Filipino family.
Thus, the welfare and safety of motor vehicle buyers should be a 
paramount concern of the State.
Republic Act No. 10642, otherwise known as the “Philippine 
Lemon Law of 2013,” was signed into law on July 15, 2014, to provide 
protection to buyers who acquire vehicles that are defective or 
nonconforming to the manufacturer’s or distributor’s standards of 
quality and specifications. However, complaining buyers continue to 
experience great difficulty in availing of their rights under the Lemon


Law due to its cumbersome provisions, among which is the numerous 
repair attempts required before a defective unit is to be replaced by the 
manufacturer or dealer.
This bill seeks to make it easier for buyers of motor vehicles to 
avail of their rights under the Lemon Law by reducing the number of 
repair attempts required under the law. For the buyer’s convenience, 
this measure mandates the immediate availability of parts, components 
or assemblies for the defective vehicle that is up for repair. It also 
provides penalties for failure of the manufacturer, distributor, 
authorized dealer or retailer to provide either a reasonable 
transportation allowance or a service vehicle to the buyer whenever a 
defective one is undergoing repairs.
In view of the foregoing, the immediate passage of this bill is 
earnestly sought.
AQUILINb “KOKO” 'PIMENTEL III


NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES )
First Regular Session 
)
SENATE 
Senate Bill No. 1227
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72 AUG 25 P 3 '30
RUCEIVEOBV.
Introduced by Senator Aquilino uKoko” Pimentel III
AN ACT AMENDING REPUBLIC ACT NO. 10642 
OTHERWISE KNOWN AS THE ^PHILIPPINE LEMON LAW”
AND FOR OTHER PURPOSES
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Be it enacted by the Senate and House of Representatives of the 
Philippines in Congress assembled:
SECTION. 1. Section 5 of the Republic Act No. 10642 or the 
Philippine Lemon Law is hereby amended to read as follows:
“Section 5. Repair Attempts. - At any time within the 
Lemon Law rights period, and after at least [four (4)] TWO 
(2) separate repair attempts 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.
The repair may include replacement of parts 
components, or assemblies.”
SEC. 2. Section 6 of the Republic Act No. 10642 is hereby


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amended as follows:
“Section 6. {Notice of Availment of Lemon Law 
Rights. - Before availing of any remedy under this Act and 
subject to compliance with the provisions of Section 5 
hereof, the consumer shall, in writing, notify the 
manufacturer, distributor, authorized dealer or retailer of the 
unresolved complaint, and the consumer’s intention to 
invoke his or her rights under this Act within the Lemon 
Law rights period.
The warranty booklet issued by the manufacturer, 
distributor, authorized dealer or retailer shall clearly state 
the manner and form of such notice to constitute a valid and 
legal notice to the manufacturer, distributor, authorized 
dealer or retailer. It shall also clearly state the responsibility 
of the consumer under this section.] AVAILABILITY OF 
PARTS, COMPONENTS OR ASSEMBLIES. - THE 
MANUFACTURER, DISTRIBUTOR, AUTHORIZED 
DEALER OR RETAILER SHOULD ENSURE THE 
AVAILABILITY OF PARTS, COMPONENTS AND 
ASSEMBLIES OF THE MOTOR VEHICLE SOLD. 
FAILURE TO PROVIDE THE NECESSARY PARTS, 
COMPONENTS OR ASSEMBLIES WITHIN 
FOURTEEN (14) CALENDAR DAYS FROM THE 
TIME THE VEHICLE WAS TAKEN FOR REPAIR 
DURING THE LEMON LAW RIGHTS PERIOD 
SHALL ENTITLE THE CONSUMER TO FILE A 
COMPLAINT BEFORE THE DTI WITHOUT THE 
NEED TO COMPLY WITH THE TWO-REPAIR 
ATTEMPT REQUIREMENT.”
SEC. 3. Section 7 of Republic Act No. 10642 is hereby amended 
to read as follows:


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‘‘Section 7. [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 FOR ITS FIRST REPAIR ATTEMPT 
[and the notice of nonconformity required under Section 6 
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.
In case the nonconformity issue remains unresolved 
despite the manufacturer, distributor, authorized dealer or 
retailer’s efforts to repair the vehicle FOR THE SECOND 
TIME, pursuant to the consumer’s availment of his or her 
Lemon Law rights, the consumer may file a complaint 
before the DTI as provided for under this Act: Provided, 
however, That if the vehicle is not returned for repair, based 
on the same complaint, within [thirty (30)] SIXTY (60) 
calendar days fi*om the date of [notice of] release of the 
motor vehicle to the consumer following this repair attempt 
within the Lemon Law rights period, the repair is deemed 
successful: Provided, finally. That, in the event that the 
nonconformity issue still exists or persists after the [thirty 
(30)-day] SIXTY (60)-DAY period but still within the 
Lemon Law rights period, the consumer may be allowed to


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avail of the same remedies under Sections [5 and 6] 5, 6
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AND 7 hereof.
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To compensate for the non-usage of the vehicle while
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under THE FIRST OR SECOND repair ATTEMPT [and
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during the period of availment of the Lemon Law rights]
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UNDER THIS ACT, the consumer shall be provided
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WITH EITHER a reasonable daily transportation
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allowance, an amount which covers the transportation of the
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consumer from his or her residence to his or her regular
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workplace or destination and vice versa, equivalent to air-
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conditioned taxi fare, [as evidenced by official receipt,] or
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in such amount to be agreed upon by the parties, or a service
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vehicle, at the option of the [manufacturer, distributor,
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authorized dealer or retailer.] AFFECTED CONSUMER.
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Any disagreement on this matter shall be resolved by the
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DTI [.] WITHIN FIVE (5) WORKING DAYS FROM
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REFERRAL OF THE ISSUE.
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FAILURE OF THE MANUFACTURER,
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DISTRIBUTOR, AUTHORIZED DEALER 
OR
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RETAILER TO PROVIDE ANY OF THE ABOVE-
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MENTIONED REMEDIES FOR NON-USAGE OF
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VEHICLE WHILE UNDER REPAIR, SHALL MAKE
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THEM LIABLE FOR DAMAGES IN THE AMOUNT
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OF FIFTY THOUSAND PESOS (PhP 50,000.00).
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Nothing herein shall be construed to limit or impair
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the rights and remedies of a consumer under any other law.”
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SEC. 4. Section 8 of Republic Act No. 10642 is hereby
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amended to read as follows:
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“Section 8. Remedies for Dispute Resolution. — The
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DTI shall exercise exclusive and original jurisdiction over
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disputes arising from the provisions of this Act. All disputes


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arising from the provisions of this Act shall be settled by the 
DTI in accordance with the following dispute resolution 
mechanisms:
c) Adjudication
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(2) In case a finding of nonconformity is arrived at OR
WHEN IT IS FOUND THAT THE 
MANUFACTURER, DISTRIBUTOR, AUTHORIZED 
DEALER OR RETAILER FAILED TO PROVIDE 
THE NECESSARY PARTS, COMPONENTS AND 
ASSEMBLIES OF THE MOTOR VEHICLE WITHIN 
FOURTEEN (14) CALENDAR DAYS FROM THE 
TIME THE VEHICLE WAS TAKEN FOR REPAIR 
DURING THE LEMON LAW RIGHTS PERIOD, the 
DTI shall rule in favor of the consumer and direct the 
manufacturer, distributor, authorized dealer or retailer to 
grant either of the following remedies to the consumer:
(i) 
Replace the motor vehicle with a similar or 
comparable motor vehicle in terms of 
specifications and values, subject to availability; 
or
(ii) 
Accept the return of the motor vehicle and pay 
the consumer the purchase price plus the 
collateral charges.


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SEC. 5. 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. 6. Repealing Clause. - All laws, decrees, orders, 
proclamations, rules and regulations or parts thereof which are 
inconsistent with this Act are hereby repealed or modified accordingly.
SEC. 7. 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,