The Consumer Act of the Philippines regulates warranties on consumer products and the after-sales obligations of sellers and service firms. It distinguishes two kinds. An EXPRESS WARRANTY is one the seller voluntarily gives, and the law regulates its form: the terms must be clearly and conspicuously stated in simple and readily understood language, identifying the party making the warranty, what is covered, what the warrantor will do and at whose expense, the period, and the step-by-step procedure for claiming. An IMPLIED WARRANTY arises by operation of law regardless of what the seller says, and includes the warranty that the seller has a right to sell, that the buyer will enjoy legal and peaceful possession, and that the product is free from hidden faults or defects that render it unfit for the use for which it was intended or that diminish its fitness such that the buyer would not have bought it or would have paid less. On remedies, where a defect is covered, the consumer is entitled to have the product REPAIRED within a reasonable time and free of charge; if the repair fails or is not made within that time, the consumer may demand REPLACEMENT with an equivalent product, or a REFUND of the purchase price less a reasonable amount attributable to use, at the consumer's election in the circumstances the law and its rules provide. The warranty period runs from the delivery of the product, and the period is extended or restarted in the manner the rules specify for the time the product is under repair. The Act also addresses SERVICE AND PARTS: it requires that warranty obligations be honored by the manufacturer, distributor, or seller as the case may be, and imposes on the sellers of consumer products with a warranty the duty to make service and spare parts available for the period the rules prescribe, so that a consumer is not left with an unrepairable product; sellers must also honor the warranty regardless of where within the country the product was bought, subject to the terms. Enforcement runs to the Department of Trade and Industry, which may act on consumer complaints administratively, order repair, replacement, or refund, and impose fines and other sanctions, alongside the consumer's ordinary civil action. So a consumer has express and implied warranties, a repair-then-replace-or-refund remedy, and a right to available service and spare parts, enforceable administratively before the DTI.
Two Kinds of Warranty
An EXPRESS warranty is voluntarily given, and must be stated clearly and conspicuously in simple language — who warrants, what is covered, what will be done and at whose expense, for how long, and the step-by-step claim procedure. An IMPLIED warranty arises by operation of law whatever the seller says.
What the Implied Warranty Covers
- That the seller has the right to sell;
- That the buyer will have legal and peaceful possession; and
- That the product is free from hidden defects making it unfit for its intended use, or so diminishing its fitness that the buyer would not have bought it or would have paid less.
Repair, Then Replace or Refund
The consumer is first entitled to REPAIR within a reasonable time, free of charge. If the repair fails or is not timely made, the consumer may demand REPLACEMENT with an equivalent product or a REFUND less a reasonable amount for use. The period runs from delivery and is extended for time spent under repair.
Service and Spare Parts
Warranty obligations must be honored by the manufacturer, distributor, or seller as the case may be, and sellers must keep service and spare parts available for the prescribed period, so a consumer is not left with an unrepairable product.
Enforcement
The DTI may act on complaints administratively, order repair, replacement, or refund, and impose fines — alongside the consumer's ordinary civil action.
Frequently Asked Questions
What is the difference between an express and an implied warranty? An express warranty is one the seller voluntarily gives, subject to form requirements. An implied warranty arises by operation of law regardless of what the seller says, covering the right to sell, peaceful possession, and freedom from hidden defects.
Can I demand a refund instead of a repair? The first remedy is repair within a reasonable time and free of charge. If the repair fails or is not made within that time, you may demand replacement with an equivalent product or a refund of the price less a reasonable amount for use.
Must sellers keep spare parts available? Yes. Sellers of consumer products with a warranty must make service and spare parts available for the period the rules prescribe, so consumers are not left with an unrepairable product.
Where do I complain about a dishonored warranty? With the Department of Trade and Industry, which may act administratively on consumer complaints and order repair, replacement, or refund and impose fines, in addition to any civil action.
This commentary is for general informational purposes only and does not constitute legal advice. For guidance specific to your situation, please consult a licensed attorney.
If you have questions about your rights or options under Philippine law, our firm is available to assist. You may reach us via Viber or WhatsApp, call us at 0995 433 5550, or send an email to vivasnobles@gmail.com. We look forward to hearing from you.