Dear PAO,

We do our weekly supply run at a small grocery store near our house. However, we’ve noticed that if the change is less than one peso, the cashier would sometimes reason out that they do not have available coins for change. Occasionally, they would give us candies instead if the change is less than four pesos. Is this practice allowed? Is there anything that we can do with regard to situations like these?

Katrina

Dear Katrina,

The No Shortchanging Act of 2016 (Republic Act 10909) prohibits business establishments from giving insufficient or no change to consumers. The law specifically provides that:

“Sec. 4. Regulated Acts. – It shall be the duty of the business establishment to give the exact change to the consumer without waiting for the consumer to ask for the same.

“(a) In General. – It shall be unlawful for any business establishment to shortchange a consumer, even if such change is only for a small amount. Nothing in this Act shall be construed as a restriction for business establishments to give an amount greater than the sufficient change.

“(b) Other Prohibitions. – It shall also be unlawful for any business establishment which sells goods or provides services to give the change in any form other than the present currency or to ask the consumers for permission to be exempted from the provisions of this Act for any reason, including the nonavailability of small bills or coins. Xxx”

Accordingly, it is evident that business establishments are legally obligated to provide the exact change to their consumers and are not allowed, under any circumstance, to shortchange them. This means that even a small grocery store must return your change, no matter how small the amount — down to the last centavo. Additionally, a cashier cannot offer candies or any other item in lieu of change, as Republic Act 10909 clearly states that change must be given only in the current legal currency. Furthermore, claiming lack of small bills or coins is not a valid excuse and does not absolve the establishment from liability under the law.

Should you wish to file a complaint against the business establishment, Rule VI, Department Administrative Order 16-03, Series of 2016 (IRR of RA 10909) issued by the Department of Trade and Industry (DTI) on 21 December 20216, outlines the complaint procedures. First, you must submit a letter of complaint together with documentary evidence to the DTI no later than 10 working days after the violation was committed. Thereafter, DTI shall conduct an investigation within 10 working days from the day the sworn complaint was received.

If a prima facie case exists based on your complaint and after the investigation, a formal charge will be filed by DTI against the establishment. The DTI adjudication officer shall issue a notice/summon requiring the respondent to file a written answer within 10 working days after receipt. Finally, the DTI adjudication officer will decide after a full investigation/hearing not later than 30 days from receipt of your verified complaint or formal charge.

We hope that we are able to answer your queries. This advice is based solely on the facts you have narrated and our appreciation of the same. Our opinion may vary when other facts are changed or elaborated.

We appreciate your trust and support.

Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to [email protected].