Section 3. Penalties for Offenses/Violation against/of CDOs
Merchandising Materials, Point-of-Sale Materials (POS)
- The 1st Offense Penalty will be imposed when CDO’d materials are monitored as being displayed on the day after the last day of pull-out period as indicated above; 31st calendar day for Metro Manila and key cities and 61st calendar day for areas in rural Philippines upon receipt of the CDO notice by the Advertiser and/or Ad Agency or their official representative.
- The 2nd Offense Penalty will be imposed when CDO’d materials are monitored as being displayed on the 15th calendar day after the 1st Offense Penalty has been imposed and such notice of violation was received by the Advertiser and/or Ad Agency or their official representative.
- The 3rd Offense penalty will be imposed when CDO’d materials are monitored displayed on the 7th calendar day after the 2nd Offense penalty has been imposed and such notice of violation was received by the Advertiser and/or Ad Agency or their official representative.
Other Ads and Totality of Penalties
An Advertiser shall be penalized every time the material in violation continues to be aired/published/displayed/posted after the prescribed deadline of pull-out/pull-down of materials in violation.
Each violation regardless of medium committed by the Advertiser/Ad Agency of the CDO and its corresponding deadline shall merit a penalty and shall be cumulatively considered. The next offense penalty shall be imposed three (3) calendar days after (i) the previous penalty has been imposed and (ii) the Advertiser has been notified. To illustrate, a billboard issued a CDO must be pulled down seven (7) calendar days from receipt of CDO. If on the 8th calendar day, the billboard is still displayed, this merits a 1st offense penalty. If on the 12th calendar day, it is still displayed, this merits a 2nd offense penalty. If on the 31st calendar day, a POS material in violation is still displayed, this merits a 3rd offense penalty.
If the Complainant monitored a material beyond the imposed date of CDO, the Complainant should notify the ASC in writing. The ASC will then inform the concerned Advertiser/Ad Agency and they have three (3) work days to respond to the monitoring report. The Complainant’s monitoring report and the Advertiser/Ad Agency’s response will be forwarded to the Tech Com for review and ruling.
The Tech Com shall prioritize CDO sanction cases. In case of unavoidable delay on the part of the Tech Com to decide or in the absence of an applicable rule, the Tech Com shall have discretion to issue the penalty that is fair under the circumstances.