ARTICLE 81. Price Tag Requirement.

— It shall Violation of price tag law = penalty

be
unlawful to offer any consumer product for ARTICLE 84. Additional Labeling Requirements
retail sale to for
the public without an appropriate price tag, Food. — The following additional labeling
label or requirements
marking publicly displayed to indicate the price shall be imposed by the concerned department
of each for food:
article and said products shall not be sold at a a) expiry or expiration date, where
price applicable;
higher than that stated therein and without b) whether the consumer product is
discrimination to all buyers: Provided, That semiprocessed,
lumber sold, fully processed, ready-to-cook, ready-to-eat,
displayed or offered for sale to the public shall prepared food or just plain mixture;
be tagged c) nutritive value, if any;
or labeled by indicating thereon the price and d) whether the ingredients use are natural or
the synthetic, as the case may be;
corresponding official name of the wood: e) such other labeling requirements as the
Provided, concerned department may deem necessary
further, That if consumer products for sale are and
too small reasonable.
or the nature of which makes it impractical to
place a ARTICLE 86. Labeling of Drugs. — The Generics
price tag thereon price list placed at the nearest Act
point shall apply in the labeling of drugs
where the products are displayed indicating the
retail
price of the same may suffice. ARTICLE 87. Additional Labeling Requirements
for
ARTICLE 82. Manner of Placing Price Tags. — Cosmetics. — The following additional
Price requirements
tags, labels or markings must be written clearly, may be required for cosmetics:
indicating the price of the consumer product a) expiry or expiration date;
per unit in b) whether or not it may be an irritant;
pesos and centavos. c) precautions or contra-indications; and
d) such other labeling requirements as the
ARTICLE 83. Regulations for Price Tag concerned department may deem necessary
Placement. — and
The concerned department shall prescribe rules reasonable.
and
regulations for the visible placement of price ARTICLE 94. Labeling Requirements of
tags for Cigarettes.
specific consumer products and services. There — All cigarettes for sale or distribution within
shall be the
no erasures or alterations of any sort of price country shall be contained in a package which
tags, labels shall bear
or markings. the following statement or its equivalent in
Filipino:
“Warning” Cigarette Smoking is Dangerous to a) that it did not place the product on the
Your market;
Health”. Such statement shall be located in b) that although it did place the product on the
conspicuous market such product has no defect;
place on every cigarette package and shall c) that the consumer or a third party is solely at
appear in fault.
conspicuous and legible type in contrast by
typography, ARTICLE 98. Liability of Tradesman or Seller. —
layout or color with other printed matter on the ARTICLE 99. Liability for Defective Services. —
package. Any advertisement of cigarette shall ARTICLE 100. Liability for Product and Service
contain Imperfection. —
the name warning as indicated in the label. ARTICLE 101. Liability for Product Quantity
Imperfection.
CHAPTER V ARTICLE 102. Liability for Service Quality
Liability for Product and Service Imperfection. —
ARTICLE 103. Repair Service Obligation.
ARTICLE 97. Liability for the Defective Products.
— CHAPTER VI
Any Filipino or foreign manufacturer, producer, Advertising and Sales Promotion
and any ARTICLE 108. Declaration of Policy.
importer, shall be liable for redress, ARTICLE 110. False, Deceptive or Misleading
independently of Advertisement
fault, for damages caused to consumers by
defects CHAPTER VII
resulting from design, manufacture, Regulation of Repair and Service Firms
construction, ARTICLE 127. Minimum Requirements for
assembly and erection, formulas and handling Accreditation.
and
making up, presentation or packing of their TITLE IV
products, as Consumer Credit Transaction
well as for the insufficient or inadequate ARTICLE 131. Declaration of Policy
information on ARTICLE 132. Determination of Finance Charges
the use and hazards thereof. ARTICLE 139. General Requirement on Credit
A product is defective when it does not offer Cost
the safety Disclosure
rightfully expected of it, taking relevant ARTICLE 140. Credit Sale, Required Disclosures.
circumstances ARTICLE 141. Required Disclosure on Open-end
into consideration, including but not limited to: Credit Plan.
a) presentation of product; ARTICLE 142. Required Disclosures on
b) use and hazards reasonably expected of it; Consumer
c) the time it was put into circulation. Loans Not Under Open-End Credit Plan
A product is not considered defective because ARTICLE 143. Form and Timing of Disclosure
another ARTICLE 144. Periodic Statement of Charges
better quality product has been placed in the ARTICLE 145. Exempted Transaction. —
market. ARTICLE 146. Sale of Consumer Products On
The manufacturer, builder, producer or Installment Payment
importer shall
not be held liable when it evidences:
 Financial Rehabilitation and audited financial statements as
Insolvency Act (FRIA) of 2010 advances for future subscriptions.

SECTION 2  (w) Liquidator shall refer to the

natural person or juridical entity
appointed as such by the court and
 encourage debtors, both juridical
entrusted with such powers and
and natural persons and their
duties as set forth in this Act
creditors to collectively and
realistically resolve and adjust
-if the liquidator is a juridical
competing claims and property rights
entity, it must designate a
 ensure a timely, fair, transparent, natural person who
effective and efficient rehabilitation possesses all the
or liquidation of debtors qualifications and none of the
  ensure or maintain certainty and disqualifications as its
predictability in commercial affairs, representative
preserve and maximize the value of
the assets of these debtors, -juridical entity and the
recognize creditor rights and respect representative are solidarily
priority of claims, and ensure liable for all obligations and
equitable treatment of creditors who responsibilities of the
are similarly situated liquidator
 Rehabilitation is not feasible, it is in  ii) Rehabilitation Plan shall refer to a
the interest of the State to facilitate a plan by which the financial well-
speedy and orderly liquidation of being and viability of an insolvent
these debtors’ assets and the debtor can be restored using various
settlement of their obligations. means including, but not limited to,
debt forgiveness, debt rescheduling,
DEBTORS- partnership, sole, reorganization or quasi-
normal debtor reorganization, dacion en pago,
LIQUIDATION- pro-rata (equal debt-equity conversion and sale of
treatment to creditors) hindi the business (or parts of it) as a
mababayaran lahat ng credit going concern, or setting-up of new
business entity as prescribed in
SEC. 3. Nature of Proceedings Section 62 hereof, or other similar
. arrangements as may be approved
 publication of the notice of the by the court or creditors
commencement of the proceedings  (gg) Rehabilitation shall refer to the
in any newspaper of general restoration of the debtor to a
circulation in the Philippines condition of successful operation
 summary and non-adversarial and solvency, if it is shown that its
manner consistent with the declared continuance of operation is
policies of this Act economically feasible and its
creditors can recover by way of the
present value of payments projected
 (s) Liabilities shall refer to monetary in the plan, more if the debtor
claims against the debtor, including continues as a going concern than if
stockholder’s advances that have it is immediately liquidated.
been recorded in the debtor’s - Court supervise
rehabilitation ( corpo.
 Rehab) – voluntary outstanding as of the
proceedings by debtor commencement
- 1. Step, file for petition for
rehabilitation and must be date except as may be provided herein.
approved by the owner,
majority, majority of vote
- Out of court  SEC. 62. Contents of a
- (r)Involuntary Rehabilitation Plan. — The
proceedings shall refer to Rehabilitation Plan shall, as a
proceedings initiated by minimum:
creditors.
- SEC.  (a) specify the underlying
13. Circumstances assumptions, the financial goals
Necessary to Initiate and the procedures proposed to
Involuntary
accomplish such goals;
Proceedings.
- (rr) Voluntary
proceedings shall refer to  (b) compare the amounts
proceedings initiated by expected to be received by the
the debtor. creditors under the Rehabilitation
- SEC. 12. Petition to Plan with those that they will
Initiate Voluntary receive if liquidation ensues
Proceedings by Debtor. within the next one hundred
SEC. 14. Petition to Initiate Involuntary twenty (120) days;
Proceedings.
 (c) contain information sufficient
to give the various classes of
 (q) include a Stay or Suspension creditors a reasonable basis for
Order which shall: determining whether supporting
the Plan is in their financial
(1) suspend all actions or interest when compared to the
proceedings, in court or otherwise, immediate liquidation of the
for the enforcement of claims against debtor, including any reduction of
the debtor; principal interest and penalties
payable to the creditors;
(2) suspend all actions to enforce
any judgment, attachment or other
 (d) establish classes of voting
provisional remedies against the
creditors;
debtor;
 (e) establish subclasses of voting
(3) prohibit the debtor from selling,
creditors if prior approval has
encumbering, transferring or
been granted by the court;
disposing in any manner any of its
properties except in the ordinary
course of business; and  (f) indicate how the insolvent
debtor will be rehabilitated
(4) prohibit the debtor from making including, but not limited to, debt
any payment of its liabilities forgiveness, debt rescheduling,
reorganization or quasi-
 reorganization, dacion en pago,  (m) identify the debtor’s role in
debt-equity conversion and sale the implementation of the Plan;
of the business (or parts of it) as
a going concern, or setting-up of  (n) state any rehabilitation
a new business entity or other covenants of the debtor, the
similar arrangements as may be breach of which shall be
necessary to restore the financial considered a material breach of
well-being and viability of the the Plan;
insolvent debtor;
 (o) identify those responsible for
 (g) specify the treatment of each the future management of the
class or subclass described in debtor and the supervision and
subsections (d) and (e); implementation of the Plan, their
affiliation with the debtor and their
 (h) provide for equal treatment of remuneration;
all claims within the same class
or subclass, unless a particular  (p) address the treatment of
creditor voluntarily agrees to less claims arising after the
favorable treatment; confirmation of the Rehabilitation
Plan;
 (i) ensure that the payments
made under the plan follow the  (q) require the debtor and its
priority established under the counter-parties to adhere to the
provisions of the Civil Code on terms of all contracts that the
concurrence and preference of debtor has chosen to confirm;
credits and other applicable laws;
 (r) arrange for the payment of all
 (j) maintain the security interest outstanding administrative
of secured creditors and preserve expenses as a condition to the
the liquidation value of the Plan’s approval unless such
security unless such has been condition has been waived in
waived or modified voluntarily; writing by the creditors
concerned;
 (k) disclose all payments to
creditors for pre-commencement  (s) arrange for the payment of all
debts made during the outstanding taxes and
proceedings and the justifications assessments, or an adjusted
thereof; amount pursuant to a
compromise settlement with the
 (l) describe the disputed claims BIR or other applicable tax
and the provisioning of funds to authorities;
account for appropriate payments
should the claim be ruled valid or  (t) include a certified copy of a
its amount adjusted; certificate of tax clearance or
evidence of a compromise
settlement with the BIR;
  (u) include a valid and binding court within forty (40) days from the
resolution of a meeting of the initial hearing the report provided in
debtor’s stockholders to increase Section 24 hereof
the shares by the required
amount in cases where the Plan hh) Rehabilitation receiver shall refer to
contemplates an additional the person or persons, natural or
issuance of shares by the debtor; juridical, appointed as such by the court
pursuant to this Act and which shall be
 (v) state the compensation and entrusted with such powers and duties
status, if any, of the rehabilitation as set forth herein.
receiver after the approval of the
Plan; and SEC. 29. Qualifications of a
Rehabilitation Receiver. — The
 (w) contain provisions for rehabilitation receiver shall have the
conciliation and/or mediation as a following minimum qualifications:
prerequisite to court assistance
or intervention in the event of any (a) A citizen of the Philippines or a
disagreement in the interpretation resident of the Philippines in the six (6)
or implementation of the months immediately preceding his
Rehabilitation Plan. nomination;

(b) Of good moral character and with

acknowledged integrity, impartiality and
SEC. 22. Action at the Initial Hearing. — independence;
At the initial hearing, the court shall:
(c) Has the requisite knowledge of
(a) determine the creditors who have insolvency and other relevant
made timely and proper filing of their commercial laws, rules and procedures,
notice of claims; as well as the relevant training and/or
experience that may be necessary to
(b) hear and determine any objection to enable him to properly discharge the
the qualifications or the appointment of duties and obligations of a rehabilitation
the rehabilitation receiver and, if receiver; and
necessary, appoint a new one in
accordance with this Act; (d) Has no conflict of
interest: Provided, That such conflict of
(c) direct the creditors to comment on interest may be waived, expressly or
the petition and the Rehabilitation Plan, impliedly, by a party who may be
and to submit the same to the court and prejudiced thereby.
to the rehabilitation receiver within a
period of not more than twenty (20) Other qualifications and disqualifications
days; and of the rehabilitation receiver shall be set
forth in procedural rules, taking into
(d) direct the rehabilitation receiver to consideration the nature of the business
evaluate the financial condition of the of the debtor and the need to protect the
debtor and to prepare and submit to the interest of all stakeholders concerned.