Title
Drugstores Association of the Philippines, Inc. vs. National Council on Disability Affairs
Case
G.R. No. 194561
Decision Date
Sep 14, 2016
A law granting PWDs a 20% medicine discount was upheld as constitutional, deemed a valid exercise of police power, and compliant with due process and equal protection.

Case Summary (G.R. No. 194561)

Regulatory Framework

The joint IRR of RA 9442 (2008) defines PWD and establishes discount obligations for drugstores and related establishments. NCDA A.O. No. 1 (2008) prescribes PWD identification card (IDC) issuance procedures. DOF Revenue Regulations No. 1-2009 details how establishments claim tax deductions for PWD discounts. DOH A.O. No. 2009-0011 (2009) prescribes prescription and record‐keeping requirements for medicine discounts.

Procedural History

Petitioners sought prohibition and preliminary injunction before the CA to annul RA 9442’s medicine‐discount mandate and related administrative issuances. The CA (July 26, 2010) upheld constitutionality but suspended NCDA A.O. No. 1 pending proof of publication; it later lifted the suspension (Nov. 19, 2010). Petitioners elevated the case by Petition for Review on Certiorari to the SC.

Issues

  1. Whether the 20% PWD discount is an invalid exercise of eminent domain requiring just compensation, rather than a valid exercise of police power.
  2. Whether the discount mandate violates substantive due process because PWD entitlement documents lack medical determination.
  3. Whether definitions of “disability” under the statutes and issuances are unconstitutionally vague.
  4. Whether the discount mandate violates equal protection by burdening only drugstores.

Validity Under Police Power

The SC held that the discount is a legitimate exercise of police power, aimed at public welfare and social justice. Citing analogous 20% senior‐citizen discounts, the Court emphasized that police power may impose reasonable burdens on property and business interests if related to the general welfare. The 1987 Constitution’s social‐function clause (Art. XII, Sec. 6) and priority for disabled in health services (Art. XIII, Sec. 11) support the measure.

Substantive Due Process

The Court found no due process violation. RA 9442’s IRR, NCDA A.O. No. 1 and DOH A.O. No. 2009-0011 establish procedural safeguards for IDC issuance and discount application. Medical certificates by licensed physicians are required for non‐apparent disabilities; for visible disabilities, certificates from qualified non‐medical officials are permitted. Prescription and record‐keeping requirements prevent abuse.

Non-Vagueness of Definitions

The statutory and administrative definitions of “disability” are sufficiently specific. Supplementary lists in NCDA and DOH issuances identify disability categories (e.g., psychosocial, chronic illness, visual). The Court acc

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