REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF TRADE AND INDUSTRY

FAIR TRADE ENFORCEMENT BUREAU
ADJUDICATION BUREAU
MAKATI CITY, NCR

BRAINIAN BIENES,
Complainant,

FTEB Case No. CC 2019-LAG-075

For: Violation of RA 7394/
The Consumer Act of the Philippines

-versus-

GIGAHERTZ PHILLIPPINES-SM CALAMBA and

ASUS TECHNOLOGY PHILIPPINES, INC.,
Respondents
x - - - - - - - - - - - - - - - - - - x

POSITION PAPER

COMPLAINANT, by herself, comes now to the Honorable Adjudication

Fair Trade Enforcement Bureau under the Department of Trade and
Industry, respectfully files this Position Paper, in compliance with
the Order of this Honorable Office, and states that:

PREFATORY STATEMENT

The complainant in this case is BRAINIAN DISTA BIENES, of legal

age, single, and residing at 1035 Barangay Malinta, Los Baños, Laguna
4030 where she could be served summons and other legal processes of
this Honorable Office.

The Respondents are GIGAHERTZ PHILLIPPINES, with office at

SM Calamba City, Laguna and ASUS TECHNOLOGY PHILIPPINES, INC., with
office at Hanston Bldg., Emerald Avenue, F. Ortigas Road, Pasig City,
Metro Manila, where their representatives could be served summons and
other legal processes of this Honorable Office.

STATEMENT OF FACTS

1.) I am a secondary teacher at Los Baños National High School

Poblacion at Barangay Timugan, Los Baños, Laguna since 2013. My work
entails encoding certain documents thus the need for the use of a
laptop for speed and portability in encoding grades, lectures, lesson
plans, and reports, which are all integral and important to my
profession as teacher;

2.) On 28 February 2019, I had filed a verified complaint for

Violation of RA 7394 / Consumer Act of the Philippines against the
herein two ( 2 ) respondents with the Department of Trade and Industry
(DTI), with branch office at Victoria, Laguna, in relation to the
laptop computer, brand ASUS that was sold to me, as brand new, by the
respondents on 05/09/2017 by respondent Gigahertz-SM Calamba, through
its sales agent Ericson Cipriano, which was manufactured and
distributed by Asus Technology Philippines, Inc., which facts that are
not denied by them;

Page 1 of 4
3.) After my purchase of the ASUS laptop unit, I had experienced
several glitches within the period of warranty. These were remedied,
or tried to be remedied, by the respondent Gigahertz-SM Calamba.

4.) On 28 January 2019, I wrote a letter of complaint to the seller of

the said laptop unit, enumerating several glitches, namely;
a) Continuous sound is heard when the computer is turned on;
b) Number key ( 7 ) continuously appeared;
b) Touch pad is not functioning well;
d) once the laptop computer is turned on, the date/time on the
screen is blinking;
e) I requested a check on the Bluetooth connection from the
laptop computer to cell phone. These glitches hampered my
jobsince I use the laptopunit in my classes;.
My letter was received by Erwin de la Pena of Gigahertz at
SM Calamba on 28 January 2018. I had to return the laptop unit for
about five (5) times for repairs and replacementcertain of parts,
which were not satisfactory since other glitches would soon appear
thereafter;

5.) That these glitches I have encountered has also been experienced
by my elder sister BRAINDHA BIENES TOLENTINO, hereto attached is the
latter’s affidavit marked as Annex “A” and made an integral part
hereof;

6.) I was so frustrated and dismayed by the constant need for repairs
and service on the laptop computer that I had filed a case for
violation of the Consumer Act of the Philippines, thus this instant
complaint;

7.) In said complaint, I had prayed, as one of the reliefs, the

replacement of the laptop computer sold to meby the respondents and
for the payment of actual damages, unrealized income in relation to
herinterrupted, frustrating, and sometimes non-use of the laptop unit,
legal fees, actual, moral, and exemplary damages in the total sum of
one hundred fifty thousand pesos (₱150,000.00 );

8.) On 30 January 2019, Department of Trade and Industry Director

Ronnel O. Abrenica wrote to Director Susana R. Palo, Provincial
Director, DTI-Laguna at Victoria, Laguna “relative to my request to
replace the laptop he purchased from Gigahertz Philippines”;

9.) On 28 February 2019, I filed a formal complaint against the two

(2) above-named respondents at DTI Laguna, Victoria, Laguna,
enumerating the sections to the Consumer Act of the Philippines that
they have violated;

10.) In my complaint I stated the relief/s that I intend to be

compensated, which are:

 replacement of the ASUS laptop unit, or any other model with the
same capacity and features;

 Monetary compensation as actual, moral, and exemplary damages in

the sum of one hundred fifty thousand pesos (₱150,000.00) for
the time and effort in trying to have the product remedied and /
or properly repaired by the respondents, for their irresponsible
way of having dealt with my concern, and for the manner which
the respondents took actionto the same;

Page 2 of 4
  Legal fees, in the sum of five thousand pesos (₱5,000.00);

11.) Despite the receipt of a copy of the complaint from DTI Laguna,
the respondents never answered my complaint and thereafter, thus,
DTI Laguna scheduled a mediation and conciliation proceeding between
myself as complainant and the respondents. The result of mediation
dated 14 February 2019, stated as follows:

“Gigahertz representative as respondent will request replacement [of

laptop] approval untilFeb. 22( 2019) Friday. Respondent will directly
contact the complainant. DTI will be updated as well.”

12.) It is hereby emphasized that the period of compliance by this

Honorable Office for the respondent Gigahertz is “one (1) day from
execution of the said compromise agreement, which was signed on
14 February 2019 by Maria Clara B. Conopio, Mediation Officer at
DTI Laguna.Respondents never replied nor complied with it, completely
disregarding and totally ignoring the power and authority of this
Honorable Office to regulate the sale and distribution of consumer
products and protect the rightsof the Complainant as a consumer,
compellingher to sue and claim for the above-stated sum for actual,
moral, and exemplary damages;

Hereto attached is a photocopy of the record of mediation as

issued by DTI Laguna and is part of the records of the said office,
hereto attached and marked as Annex “B” and made an integral part
hereof;

13.) It appears from the foregoing and because of the respondents’

failure to answer said complaint, and both respondents admitted their
responsibility to replace the laptop unit, also admitting the fact of
the Complainant having purchased the same andits consequent repairs
when it had glitches and was quite defective though it was still under
warranty. This is a blatant violation of the Consumer Act of the
Philippines and consumer rights, which is enforced and upheld by this
Honorable Office, but was disregarded by the respondents;

14.) It is hereby emphasized that both respondents failed

withoutanyvalid nor legal reason intheir commitment before DTI Laguna
to replace the laptop and therefore are also liable for the payment of
damages that Complainant had stated in her complaint. Further, both
respondents should be meted the penalties in accordance with the
provisions of the Consumer Act of the Philippines.

PRAYER

Complainant respectfully reiteratesher prayer in her complaint in

that the ASUS laptop unit be replaced by the respondents and that both
shall pay monetary compensation, individually and severally, the
corresponding actual, legal fees, moral and exemplary damages in
relation to their negligence in the matter of the instant complaint,
the disregard of the regulatory power of this Honorable Office to
discipline and regulate consumer product sellers / manufacturers, in
the amount of one hundred and fifty thousand pesos (₱150,000.00), and
legal fees of five thousand pesos (₱5,000.00) for the blatant and
irresponsible violation of the Consumer Act of the Philippines, to
complainant’s damage and extreme prejudice;

It is also respectfully prayed of this Honorable Office to grant

Complainant such other reliefs and remedies, just and equitable in the
premises.

Page 3 of 4
Respectfully submitted.

___ March 2019, Los Baños, Laguna for Makati City.

_____________________
BRAINIAN DISTA BIENES
Complainant

Copy furnished by registered mail:

The President / General Manager

Gigahertz Philippines – SM Calamba City
No. 276, 2nd Floor, SM City
Barangay Real, Calamba City, Laguna

Los Baños Laguna Post Office Registry number: _________________

The President / General Manager

ASUS Technologies Philippines, Inc.
Hanston Bldg., Emerald Avenue, F. Ortigas Road Pasig City, NCR

Los Baños Laguna Post Office Registry number: _________________

Page 4 of 4