CONSUMER PROTECTION ONLINE

The private sector notes that there is a need for the DTI to issue new policies adjusting
to trends happening online. This includes online sales permit approvals where its current
30-day rule may be too long. In addition, there is a need for this service to start accepting
applications online.

Consumer complaints require parties to appear in person at the DTI office. However,
there are cases where the buyer and seller may come from different provinces and this
will be difficult to implement. Hence the need for an online dispute resolution process.

On 20 October 2008, the DTI, Department of Health, and Department of Agriculture

enacted a joint memorandum circular on consumer protection for e-commerce
transactions. (DTI-DOH-DA Joint Administrative Order (AO) No. 1 - “Rules and
Regulations for Consumer Protection in a Transaction Covered by the Consumer Act of
the Philippines (R.A. 7394) through Electronic Means under the E-commerce Act (R.A.
8792)” or the E-Consumer Protection Guidelines).

Part of the guidelines include mandating minimum requirements that e-commerce sites
must comply with, e.g., privacy policy, information about retailer, seller, distributor,
products and services, and consumer transaction, including the setting-up of a help desk
to internally resolve consumer complaints.

This lack of an established online process for handling of merchant and consumer
complaints affects confidence in doing e-commerce.

The DTI is encouraged to set up a single platform for complaints-handling, including an

application that can route the complaint to the concerned government entity and monitor
the complaints until its resolution.

The DTI is working with Congress (Senate and House of Representatives) to amend the
Consumer Act of the Philippines that will include e-commerce-related provisions.

Trust is essential for e-commerce to prosper. There is a seeming lack of seal providers
to authenticate e-commerce sites offering products and services online.

How to File your ComplaintIn today's complex market place, you should expect quality products and
services at fair prices. Whensomething goes wrong, however, you need to let the company or storeowner
know about your problem. Notonly this as the fastest way to get our complaint resolved, but it also gives
the company a chance to keepyou as a satisfied customer and gain new customers by learning from
mistakes. Most companies welcomethis opportunity.
Handling your own complaint is easy.

We recommend the following steps:

1. IDENTIFY PROBLEM - Identify the problem and what you believe would be fair settlement. Do you
wantyour money back? (Refund) Would you like the product repaired? (Repair) Will exchange do?
(Replace)

2. GATHER DOCUMENTATION - Gather documentation regarding your complaint. Sales receipts,

repairorders, warranties, cancelled checks, or contracts will back up complaint and help the company
solve yourproblem

3. GO BACK TO WHERE YOU MADE THE PURCHASE - Contact the person who sold you the item or
performed the service. Calmly and accurately explain the problem and what action you would like taken.
If that person is not helpful, ask for the supervisor or manager and repeat your complaint.

A large percentage of consumerproblems are resolved at this level. Chances are yours will be too.

4. WRITE A FORMAL LETTER OF COMPLAINT - If you are not satisfied with the response of the
company,don't give up. There is still another recourse, and that is to write a formal letter of complaint to
theconsumer protection agency concerned. You should state your name and address; the name and
address of the establishment against whom you are complaining; the circumstances regarding the
complaint includingnames, dates, palces, etc. You should enclosed supporting documents such as official
receipts, deed of saleand the like, and should be prepared to make an appearance when called especially
during the mediationconference.