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ICE OF 
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THIRTEENTH CONGRESS OF THE 
First Regular Session 
REPUBLIC OF THE PHILIPPINES 
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SENATE 
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S. No. 
INTRODUCED BY HON. MANUEL B. VILLAR, JR. 
EXPLANATORY NOTE 
The general public has at many times fallen victim to the negligence of some 
contractors whose projects are substandard. 
This bill provides for a five year warranty for government infrastructure 
contracts to remedy the problem of inferior quality projects. Under this 
measure, a warranty period of five years, starting from the time of construction 
until its final acceptance by the government. 
It shall hold the contractor liable for any defects or damages which may occur 
within the warranty period, except those caused by force majeure. This shall 
ensure that government infrastructure projects are undertaken according to the 
required specifications and engineering aspects, so that the project shall be 
durable and will last a long time. 
In view of the foregoing, immediate passage of this bill is earnestly sought, 


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THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
SENATE 
S. No: 
INTRODUCED BY HON. MANUEL B. VILLAR. JR. 
PROVIDING FOR A FIVE (5) YEAR WARRANTY PERIOD FOR GOVERNMENT 
INFRASTRUCTURE CONTRACTS, AMENDING FOR THE PURPOSE 
PRESIDENTIAL DECREE NO. 1534, "PRESCRIBING POLICIES, GUIDELINES, 
PROVIDING PENALTIES FOR VIOLATIONS THEREOF AN FOR 
OTHER PURPOSES 
RULES AND REGULATIONS FOR GOVERNMENT INFRASTRUCTURE CONTRACTS 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 
1. Section 7 of Presidential Decree No. 1594 is hereby amended as follow: 
"SEC. 7. Responsibility of the Contractor. - The contractor shall assume 
full responsibility for the contract work FROM THE TIME PROJECT 
CONSTRUCTION COMMENCED until FIVE (5) YEARS FROM its final 
acceptance by the government and shall be held responsible for any 
damage or destruction of work except those occasioned by force majeure, 
WITHOUT PREJUDICE TO OTHER PROVISIONS OF EXISTING LAWS. 
Except likewise for force majeure, the contractor shall be fully 
responsible for the safety, protection, security, and convenience of his 
personnel, third parties, and the public at large, as well as the works, 
equipment, installation and the like to be affected by his construction 
work." 
SECTION 2. The contractor shall undertake the repair works, at his own 
expense, any defect or damage to the infrastructure projects on account of the use of 
materials of inferior quality within sixty (60) days upon demand by the Secretary of the 
Department of Public Works and Highways. In case of failure or refusal to comply with 
the directive, the government shall undertake such repair works and shall be entitled 
to reimbursement of expenses therein upon demand. 
SECTION 3. Any contractor who fails to comply with the preceding section shall 
suffer the penalty of a fine of not less than One Hundred Thousand Pesos 
(P100,OOO.OO) and/or imprisonment of not less than two (2) years or both at the 
discretion of the court; Provided, further that he shall also suffer perpetual 
disqualification from participating in any public bidding in addition to the cancellation 
of his license as a contractor. 


SECTION 4. Any provisions of law, decree, order or rules and regulations 
inconsistent with the provisions of this Act are hereby deemed repealed or modified 
accordingly. 
SECTION 5. This Act shall take effect fifteen (15) days after its publication in a 
newspaper of general circulation. 
Approved,