> Price tag
Violations
At around 11 P.M. on March 10, 2006 (Friday), I bought a
Budecort® Refill Canister (200mcg/dose metered Aerosol) at the
South Star Drug Store-Panganiban branch. While waiting at the
counter, I noticed that the saleslady whom I learned to be Abigael
Peñola, was busy removing the price sticker from the medicine box
in front of me. When I confronted her, she told me that she was
removing the price sticker since the new price of Budecort
is already Php595.90. I requested her to show me another box so
that I will know the original price tag stuck on it. What she
showed me had a price sticker of Php520.90, which was the same
price which my wife paid for the same medicine about two to three
months ago.
I complained and told the saleslady that she cannot arbitrarily
change the price by removing the original price tag (sticker) and
charge me with a new price. My contention was that this it was a
violation of Republic Act 71 or the Price Tag law “that
requires all consumer products sold in retail to the public to
bear an appropriate price tag, label or marking indicating the
price of the article.” Such consumer products shall not be sold at
a price higher than that stated therein. Erasures or alterations
in price tag are allowed only in price reduction sales promotion
campaign. Another employee by the name of Helen Ayo discourteously
dismissed my complaint and countered that they don’t give a damn
since they were just following the instruction of their employer.
I was irked by the arrogance and condescending attitude displayed
by the store personnel that I found it futile to argue further.
Since I badly need the medicine for an asthmatic member of the
family I reluctantly paid Php595.90 and prodded them to issue an
official receipt. While getting out of the said establishment, it
made me wonder just how can an establishment like South Star Drug
blatantly violate the consumer protection laws and get away with
it?
***
WHY IS THERE A NEED FOR PRICE TAG? The price tag is needed in
order to provide buyers with adequate information and guide to
enable them to compare quality and prices of goods and patronize
stores selling quality products at low prices. It also expedites
transactions, and minimizes haggling which is a waste of time,
money and energy of both the buyer and the seller.
A Price tag therefore, should be clearly written; state the price
of the commodity per unit (piece, kilogram, meter, liter, etc.) in
Philippine currency; and bear no erasures or alterations of any
sort!
The penalty for the violations are:
· A violation for the first time shall subject the person to a
fine of not less than two hundred pesos but not more than Five
Thousand pesos, or by imprisonment of not less than one month but
not more than six months or both, at the discretion of the court;
· A violation for the second time shall also carry with it the
penalty of revocation of business permit and license.
On the other hand, Republic Act 7581 or the Price Act of 1992
provides for “the protection of consumers against undue price
increases of basic necessities that include drugs and medicines.”
Section 5 of the Price Act specifically details the illegal
acts of price manipulation which include profiteering, hoarding,
and cartel. Violators can be penalized by Imprisonment of a period
of not less than five years nor more than fifteen years, and shall
be imposed a fine of not less tha Five thousand pesos nor more
than Two million pesos!
In this instance, the said drug store would seem to have committed
the illegal act of profiteering. The Price Act states “that
there shall be a prima facie evidence of profiteering whenever a
basic necessity or prime commodity being sold has no price tag………or
whenever the price sold to the general public is more than ten
percent (10%) of its price in the immediately preceding month. In
this case, technically it took less than a minute (for the
saleslady to remove the price sticker) to effect an increase in
the selling price of 14.4%! (Php595.90.00 minus Php520.90 equals
Php75.00). But more importantly, the blatant act of removing the
price tag in order to charge a higher price by itself, constituted
a clear violation of the law.
This column intends to file a formal complaint to the Bureau of
Food and Drug (BFAD) of the Department of Health, and the
Department of Trade & Industry these being the agencies mandated
to take action regarding this matter under Republic Act 7394 or
the Consumer Act of the Philippines. My intention is not to
embarrass the said drug store nor harass its erring personnel, but
rather to uphold the consumer rights and welfare through effective
and timely implementation of the existing laws.
Although this column believes that legitimate businesses are
entitled to a fair return on their investments, I cannot condone
profiteering at the expense of the hapless and helpless consumers.
The least that the South Star Drug management could have done is
to show some decency by not instructing its employees to alter the
price tags of their medicines in front of the customers. And
perhaps, it would be good business if their employees were also
properly taught simple courtesy and good manners in dealing with
the public. Customer satisfaction, after all, is still the best
and most effective sales promotion strategy!
***
CONDOLENCE to the bereaved Lee family for the passing away of
their beloved mother Simeona last march 9, 2006 in Manila: to my
kumpareng Oscar who is the Fire Marshall of the Naga White
Fire Volunteers and proprietor of Universal Hopia & Bakery, Daniel
of the Chin Po Tong Fire Brigade and proprietor of New York
Bakery, and fellow elder Bong of the Naga Community In Christ
and General-Manager of A. M. Mahusay Hardware. Internment will be
held on March 17, 2006 at one o’clock in the afternoon at the Sto.
Niño Memorial Park.
QUOTES
“No pain can compare to what one feels when a loved one has
just passed away. It is as if life has stopped, and God has left
you. But I discovered God’s grace is sufficient after all.” -
Dr. Luis P. Gatmaitan
Jesus said, “ Don’t be troubled. You trust God, now you trust
in me. There are many rooms in my Father’s home, and I am going to
prepare a place for you. If this were not so, I would tell you
plainly. When everything is ready, I will come and get you, so
that you will always be with me where I am.” - John 14:1-3
