Dear Atty. Joji,

Over the weekend, I went to a mall to buy a pair of shoes that was displayed with a discounted price tag. However, when I got to the cashier, I was told that the discount had already ended and that I needed to pay the higher regular price reflected in their system. Since I had only set aside enough money for the discounted amount, I decided not to push through with the purchase. Are stores legally allowed to do this?

Elle

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Dear Elle,

The quick answer is no, we have a law against this practice. By law, they cannot ask the consumers to pay more than what the price tag states. The Price Tag Law which can be found in Republic Act 7394, also known as the Consumer Act of the Philippines provides:

ARTICLE 81. Price Tag Requirement. — It shall be unlawful to offer any consumer product for retail sale to the public without an appropriate price tag, label or marking publicly displayed to indicate the price of each article and said products shall not be sold at a price higher than that stated therein and without discrimination to all buyers.

ARTICLE 82. Manner of Placing Price Tags. — Price tags, labels or markings must be written clearly, indicating the price of the consumer product per unit in pesos and centavos.

ARTICLE 83. Regulations for Price Tag Placement. — The concerned department shall prescribe rules and regulations for the visible placement of price tags for specific consumer products and services. There shall be no erasures or alterations of any sort of price tags, labels or markings.

The provisions above clearly states that it is unlawful not to have an appropriate price tag, label, or marking indicating clearly the price of a product that must not be sold at a price higher than the stated price. In fact, The Consumer Act does not distinguish between face-to-face and online transactions, as such online sellers are also obligated to comply with this law as well. Penalties for the violation of the said law include fines, jail time, and a possible revocation of the business permit.

Further, Article 159 of the Consumer Act and Sections 2 and 18 of Executive Order 913, mandates DTI to protect the rights of consumers by providing a fair, timely, and professional response to complaints for violations of the Consumer Act and other Trade and Industry/Fair Trade Laws. As such, consumers have the right to file complaints with the Department of Trade and Industry if they encounter any violations of the above-mentioned law.

Hope this helps.

Atty. Joji Alonso