Title
HLURB Ad Rules for Subdivision and Condo Ads
Law
Hlurb Administrative Order No. 01, S. 2015
Decision Date
Jan 30, 2015
The "2014 Revised Implementing Rules and Regulations on Advertisements" ensures that announcements and advertisements for housing and land projects in the Philippines are fair, truthful, and do not mislead the public, with violations resulting in penalties and sanctions imposed by the Housing and Land Use Regulatory Board (HLURB).

Objectives

  • Ensures truthful, fair information in project advertisements to prevent misleading or deceptive representations.
  • Aims to safeguard the public and prospective buyers regarding development, construction, sales, and operations of projects.

Definitions

  • Advertisement: Any promotional information disseminated through various media or sales activities related to a project.
  • Announcement: Initial notification information about a project not intended for marketing or selling.
  • Broker, Dealer, Developer, Salesman: Persons/entities registered with HLURB involved in buying or selling of lots or units.
  • Cease and Desist Order: HLURB-issued order against violations of relevant laws or regulations.
  • Project Types: Includes subdivisions (residential, commercial, industrial, farmlot), condominiums, memorial parks, and columbaria.
  • Sale: Broadly defined to include all dispositions or attempts thereof, such as contracts, options, solicitations, or cooperative membership as related to land.

Truth in Advertising

  • All advertisements and announcements must reflect actual facts without misleading or deceptive elements.
  • Representations must conform to HLURB rules regarding payment schemes, design standards, and amenities.

Announcement of Project

  • Only owners or developers may announce projects before a license to sell is issued.
  • Such announcements must not contain sales or marketing content.
  • Violations equate to selling without a license, incurring penalties.

Approval of Advertisement

  • Advertising allowed only after a license to sell is issued and HLURB approval of advertisement materials.
  • HLURB may suspend or revoke advertisement approvals for violations.

Material Facts and Prohibited Information

  • Advertisements must disclose material facts to allow informed buyer decisions.
  • Prohibited statements or information as per HLURB guidelines are disallowed.

Warranties and Liabilities

  • Advertisement representations form part of enforceable sales warranties against owners/developers.
  • Failure to deliver promised facilities or improvements constitutes breach of contract with legal sanctions.

Monitoring

  • HLURB exercises visitorial powers to monitor announcements and advertisements.
  • Can act motu proprio or upon verified complaints and impose sanctions for violations.

Penalty Clause

  • Violations of advertising rules are penalized under Executive Order No. 648 and P.D. No. 957.
  • Each unlawful publication or broadcast is a separate violation subject to sanctions.
  • Remedies under these rules are in addition to other legal remedies.

Authority to Issue Guidelines

  • HLURB Chief Executive Officer empowered to issue implementing or interpretive guidelines via circulars.
  • Guidelines must not contradict or exceed these Rules.

Repealing, Separability, and Effectivity

  • Inconsistent HLURB issuances on advertisements repealed.
  • Provisions are separable; invalidity of one does not affect others.
  • Rules take effect 15 days after publication in a national newspaper or Official Gazette.

Transitory Provision

  • Existing non-complying announcements or advertisements must cease use within 60 days from effectivity.
  • Use may resume only after HLURB-approved amendments.

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