GOVERNMENT PROCUREMENT LAW, CONSUMER PROTECTION ACT, AND
LEMON LAW EXERCISES
1. The Government Procurement Act applies to the procurement of the following, except:
A. Infrastructure projects
B. Goods
C. Consulting services
D. None of the choices is an exception
2. First Statement: Specifications for the Procurement of Goods shall be based on relevant
characteristics and/or performance requirements.
Second Statement: Reference to brand names shall be preferred.
A. Both statements are correct
B. Both statements are incorrect
C. Only the first statement is correct
D. Only the second statement is correct
3. First Statement: A bidder may modify his bid even after the deadline for the receipt of bids.
Second Statement: The modification shall be submitted in a sealed envelope duly identified as a
modification of the original bid and stamped received by the BAC.
A. Both statements are correct
B. Both statements are incorrect
C. Only the first statement is correct
D. Only the second statement is correct
4. In the examination of the technical components:
A. A Pass/Fail criterion is used
B. The bids are ranked from highest to lowest
C. The bids are ranked from lowest to highest
D. Any of the choices
5. In the procurement of Consultation Services, the bidder with the Highest Rated Bid shall be
invited for negotiations. If negotiations fail, the second rank bidder shall be invited for
negotiations. This process shall be repeated:
A. Upto three times until the bid is awarded to the winning bidder
B. Upto five times until the bid is awarded to the winning bidder
C. Upto ten times until the bid is awarded to the winning bidder
D. Until the bid is awarded to the winning bidder
6. After Bid Evaluation, the next step in the Competitive Bidding Process will be:
A. Invitation to Bid
B. Pre-Bid Conference
C. Post-Qualification
D. Posting of the Performance Bond
7. The stage where the bidder with the Lowest Calculated Bid or the Highest Rated Bid undergoes
verification and validation whether he passed all the requirements and conditions as specified in
the Bidding Documents.
A. Bid Evaluation
B. Post Qualification
C. Award of the Contract
D. Posting of the Performance Bond
8. Negotiated Procurement may be resorted to after how many failed biddings?
A. One
B. Two
C. Three
D. Five
9. The procurement process from the opening of bids up to the award of contract generally shall not
exceed:
A. 1 month
B. 3 months
C. 6 months
D. 12 months
10. In contracts for Consulting Services, the Consultant may terminate its agreement with the Procuring
Entity if the latter is in material breach of its obligations pursuant to the contract and has not
remedied the same within ____ days following its receipt of the Consultant’s notice specifying such
breach.
A. 30 calendar days
B. 30 working days
C. 60 calendar days
D. 60 working days
11. In case of ambiguity in the provisions of the Consumer Protection Act and its IRR, the rule of
construction to be followed shall be:
A. The greatest reciprocity of interest
B. The best interest of the consumer
C. The best interest of the seller
D. The least transmission of rights
12. An act or practice may violate the Consumer Protection Act whether it occurs before, during or after
the transaction. This applies to:
A. Deceptive Sales Acts or Practices
B. Unfair or Unconscionable Sales Act or Practices
C. Both Deceptive Sales Acts or Practices and Unfair or Unconscionable Sales Act or Practices
D. Neither Deceptive Sales Acts nor Unfair or Unconscionable Sales Act or Practices
13. This requires a prior permit from the Department of Trade and Industry before being conducted by
sellers or business entities:
A. Chain Distribution Plans
B. Home Solicitation Sales
C. Referral Sales
D. All of the choices
14. Prohibited Acts on Labeling generally does not apply to wholesalers or retail distributors of
consumer products. Choose which one is not an exception to this rule:
A. If they are not engaged in the packaging or labeling of consumer products
B. If they prescribe the means in which the consumer products are packaged or labeled
C. If they have knowledge, but refuse to disclose the source of the mislabeled or mispackaged
products.
D. All of the choices are exceptions to the rule
15.The indication of the possible irritants in the label as an additional labeling requirement under the
Consumer Protection Act applies to:
A. Foods
B. Cosmetics
C. Drugs
D. All of the choices
16. Which is incorrect? A product is deemed mislabeled if the label fails to state conspicuously:
I. The word “danger” with a bright red or orange color with a black symbol on all hazardous
products
II. The word “warning” or “caution” on substances which are extremely flammable, corrosive or
highly toxic
III. The word “poison” for any hazardous substance which is defined as highly toxic
A. I, II and III
B. I and II only
C. I and III only
D. II and III only
17. A contract of sale with conditions and warranties shall be governed primarily by:
A. The Consumer Protection Act
B. The Civil Code
C. The Recto Law
D. The Law on Personal Relations
18. First Statement: A distributor of products covered by the Warranty provisions of the Consumer
Act must report the sales made within 60 days from the date of purchase.
Second Statement: Failure of the distributor to make the required report or send the form required
by the manufacturer, producer, or importer shall relieve the latter of its liability under the
warranty.
A. Both statements are correct
B. Both statements are incorrect
C. Only the first statement is correct
D. Only the second statement is correct
19. Service Firms shall guarantee workmanship and replacement of spare parts for a period:
A. Not less than 60 days
B. Not less than 90 days
C. Not less than 60 days nor more than 90 days
D. Not less than 90 days nor more than 120 days
20. The consumer may invoke his rights under the Lemon Law if, at any time within the Lemon Law rights
period, there has been at least __ separate repair attempts and the same complaint and the nonconformity
issue remains unresolved.
A. 2
B. 3
C. 4
D. 5