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Adrian Ayalin

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<div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">MANILA — The Supreme Court 2nd Division has declared that buyers of defective brand-new motor vehicles may choose to enforce their rights under any available law, whether the Philippine Lemon Law or the Consumer Act.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">In 2016, Marilou Tan bought a Toyota Fortuner from Toyota Balintawak, Inc. (TBI) but when she and her husband were driving home after the purchase, they noticed a jerky movement when changing transmission gears. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">After informing TBI, Tan was told that the transmission assembly needed to be replaced at no extra cost, but she refused and demanded that the vehicle be replaced or she be refunded.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">TBI argued that under Republic Act No. 10642 or the Philippine Lemon Law, TBI was allowed up to four repair attempts before replacing the vehicle.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">Under Republic Act No 7349 or the Consumer Act of the Philippines however, consumers have the option to request for a replacement unit or immediate refund if a defect cannot be corrected within 30 days.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">In her complaint before the Department of Trade and Industry, Tan demanded for replacement as the defect will only be repaired after two and a half months. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">The DTI ruled in favor of Tan, but TBI brought the matter to the Court of Appeals. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">The CA ruled in favor of TBI, stating the Lemon Law was applicable as it applies specifically to brand-new vehicles. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">Without Tan’s participation, the DTI filed a petition for review on certiorari before the Supreme Court.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">In the decision of the high court promulgated on October 11, 2023, the petition was dismissed because the DTI secretary was not the proper party to file the case.</span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">But the court took the opportunity to settle the matter and held that the Lemon Law is not an exclusive remedy. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">“As such, the court agrees with the position taken by the DTI Secretary, wherein RA 10642 is an alternative remedy granted to the consumer and the consumer is free to choose to enforce his or her rights under RA 7394 or any other law,” the court said in the decision penned by Associate Justice Antonio Kho, Jr. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">The court noted in the decision that the case was also deemed moot because of the repair of the vehicle by reprogramming the Engine Control Unit of the vehicle which got rid of the problem. </span></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><br/></div><div dir="ltr" style="line-height:1.38;margin-top:0pt;margin-bottom:0pt"><span style="color:#000000;background-color:transparent;text-decoration:none;vertical-align:baseline;white-space:pre-wrap">“Nevertheless, since the case is capable of repetition yet evading review and for the guidance of the bench and the bar, the Court deems it proper to state that with respect to brand new vehicles, the consumer may choose between RA 10642, RA 7394, and other remedies available under any other law,” the court said.</span></div><div><br/></div><div><strong>RELATED STORIES: </strong></div><div><a 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<p>The Supreme Court 2nd Division has declared that buyers of defective brand-new motor vehicles may choose to enforce their rights under any available law, whether the Philippine Lemon Law or the Consumer Act.</p>

The Supreme Court 2nd Division has declared that buyers of defective brand-new motor vehicles may choose to enforce their rights under any available law, whether the Philippine Lemon Law or the Consumer Act.

Supreme Court: buyers of defective brand-new vehicles can opt for replacement units

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Supreme Court: buyers of defective brand-new vehicles can opt for replacement units

Adrian Ayalin,

ABS-CBN News

Published Sep 26, 2024 03:09 PM PHT

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Lemon Law

Consumer Act

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