The Department of Trade and Industry issued Department Administrative Order (DAO) No. 16-03 or the “Implementing Rules and Regulations of Republic Act No. 10909, “An Act Prohibiting Business Establishments from giving Insufficient or No Change to Consumers and Providing Penalties Therefor” last December 21, 2016.
The DAO is aimed at protecting the consumers against deceptive, unfair and unconscionable sales acts and practices, among other things.
Business establishments are prohibited from shortchanging a consumer, even if such change is only a small amount. Also, they are to give only change in the present currency. It shall also be prohibited to ask consumers for permission to be exempted from the rule because of unavailability of small bills or coins. Penalties range from Php 500.00 to Php 25,000.00.
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