"';l ,'~ ,>","". ... 
FIFTEENTH CONGRESS OF THE 
) 
O§lFiCtOF -';i'. 
"',1 :'r:;:,i.'P\' 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S. NO. 186 
.. ~ 
Introduced by Senator Antonio "Sonny" F. Trillanes IV 
EXPLANATORY NOTE 
The tourism industry has significantly contributed to our country's economic growth and 
development. The influx of millions of foreign travelers who wish to enjoy the natural 
beauty of our country contributed to the increase in tourist expenditure revenue which 
translates to profits for our tourism establishments such as hotels and resorts, and 
employment to thousands of Filipinos in the tourism industry. In 2007, the Secretary of 
Tourism, Sec. Durano, revealed that visitor revenue grew to an average of 20.1 percent 
over the last three years 1 . 
However, in order for us to sustain this growth and for us to encourage others who would 
want to explore the natural splendor of our country, we need to enhance the country's 
reputation as a tourist-friendly country. We must establish a thriving and responsible 
travel industry which provides quality services, not only to foreign travelers but'domestic 
travelers as well. 
This bill seeks to ensure that travel agents only provide the highest quality service, one 
which is fair, effective, responsive and courteous by regulating their profession. The bill 
also seeks to protect the interests of both foreign and local travelers. 
In view of the foregoing, immediate approval of this measure is earnestly sought. 
I Data retrieved from !!lIp:!!www.dotpcYc.gov.ph!Visilor%20Jnforma!ion!lllhlllLes.html#anchorG09±0 on 
July 1, 2008. 
1 


. ", 
FIFTEENTH CONGRESS OF TJIE 
) 
~)&:!f'.~\~~ (Ji r It.: 
_/:~ \; " !'l..:~V 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Sessiou 
) 
SENATE 
S. NO. lB6 
Introduced by Senator Antonio "Sonny" F. Trillanes IV 
. ANACT 
DEFINING AND REGULATING THE TRAVEL AGENTS PROFESSION 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled. 
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Section 1. Short Title. - This Act shall be known as the "Travel Agents Act of 
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2010" 
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Sec. 2. Declaration of Policy. It is the policy of the State to promote Philippine 
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tourism as an indispensable element of the national economy. Thus, the State shall 
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enhance the reputation of the country as a tourist-friendly country in Asia by protecting 
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the interests ofthe local and foreign travelers in the Philippines. 
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Sec. 3. Definition of Terms. - As used in this section, the term-
(1) 
"Philippine Tourism Authority or PTA" pertains to the existing 
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implementation arm of the Department of Tourism. 
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(2) 
(3) 
"License" means a license granted under this Act. 
"Licensee" means any person who holds a license granted to him or any 
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other person in its behalf. 
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(4) 
"Secretary" pertains to the secretary ofthe Department of Tourism (DOT). 
Sec. 4. Application of This Act 
(1) 
Nothing in this Act shall be construed as reqUirIng any executor, 
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administrator, trustee, liquidator, official receiver, trustee in bankruptcy of a bankrupt 
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estate, trustee under a composition or scheme of arrangement or under a deed of 
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arrangement or under a deed of assignment, committee of the estate or person of a 
mentally ill person, or manager of the propelty of an incapable person, for the purpose of 
performing his functions, exercising his powers or canying out his duties as such, to hold 
a license; 
(2) 
Notwithstanding anything in subsection (I), it shall not be lawful for any 
of the persons referred to in that subsection in whom is vested the management of the 
business of any travel agent to carry on that business at any time after the expiration of 
three (3) months from the date on which the management of that business was so vested, 
unless that person holds a license; 
(3) 
Nothing in this Act shall be construed as relieving any person from the 
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obligation to take out a license under any written law for the performance of any 
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function, the exercise of any power, or the carrying out of any duty for which a license 
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shall not have been required if this Act had not been passed or to pay the fee payable in 
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respect of any such license. 
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(4) 
Nothing in this Act shall be construed as requiring the Official Assignee 
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perfomling his duties as the trustee in bankruptcy of the property of a bankrupt to hold a 
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license. 
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Sec. 5. Definition of tile Functions of a Travel Agent. -
(I) 
Subject to this section, a person carries on the business of a travel agent if 
(a) 
sells tickets entitling an individual to travel, or otherwise arranges for a 
person a right of passage on any conveyance (not being a prescribed 
conveyance); 
(b) 
sells to, or arranges or makes available for, a person rights of passage 
to, and hotel or other accommodation at, one or more places (being 
places within or outside the Philippines, or some of which are within 
and others of which are outside the Philippines); 
(c) 
purchases for resale the right of passage on any conveyance (not being 
prescribed conveyance); 
(d) 
carries out such activity as may be prescribed; or 
(e) 
holds himself out as, or advertises that he is, willing to carry on any 
activity referred to in paragraph (a), (b), (c) or (d). 
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(2) 
An individual does not can-yon the business of a travel agent by reason 
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only of carrying on in the course of his employment any activity referred to in subsection 
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(I). 
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(3) 
A person does not carry on the business of a travel agent in respect of any 
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activity referred to in-
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(4) 
(a) 
subsection (I)(a) if he can-ies on the activity in respect of a 
conveyance of which he is the owner; or 
(b) 
subsection (I )(b) if he carries on the activity in respect of a 
conveyance and place of accommodation of which he is the owner. 
A person does not carry on the business of a travel agent by reason only of 
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holding himself out as, or advertising that he is, willing to can-yon any activity to which 
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subsection (3)(a) or (b) applies. 
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Sec. 6. Tile Role of tile Pllilippille Tourism Autilority. - The Department of 
IS 
Tourism thru the Philippine Tourism Authority or PTA shall be responsible for the 
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administration of this Act and may authorize any of its officers to exercise any of the 
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powers confen-ed upon and perform any of the functions imposed upon PTA by this Act 
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on its behalf. 
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Sec. 7. PersollS Carrying Oil Business of Travel Agent to be Licellsed. -
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(I) 
No person shall can-yon the business of a travel agent unless he is the 
holder of a license granted to him or any other person on his behalf. 
(2) 
Any person who contravenes or fails to comply with subsection (I) shall 
be guilty of an offense and shall be liable on conviction to a fine not exceeding P20,000 
or to imprisonment for a term not exceeding two (2) years or to both. 
Sec. 8. Applicatioll for License. 
(I) 
Any person who desires to obtain a license shall make an application to 
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the PTA in such form as the PTA may require. 
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(2) 
Upon receiving an application under subsection (1), PTA shall consider 
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the application and may grant a license, with or without conditions, or refuse to grant a 
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license. 
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(3) 
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PTA shall refuse to grant a license if-
(a) 
satisfactory evidence has not been produced of the good fame and 
character of the applicant or, if the applicant is a company, of its 
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officers holding a managerial or an executive position or, if the 
applicant is a finn, of the members of the firm; 
(b) 
satisfactory evidence has not been produced to show that the applicant 
is a fit and proper person to hold a license; 
(c) 
the applicant or, if the applicant is a film, any member of the finn, has 
been convicted of any offense involving fraud or moral turpitude or, if 
the applicant is a company, any of its officers holding a managerial or 
an executive position has been convicted of any offense involving 
fraud or moral turPitude; or, 
( d) 
PTA considers it in the public interest to do so. 
(4) 
PTA may at any time vary or cancel any of the existing conditions of a 
license or impose conditions or additional cpnditions thereto. 
(5) 
PTA shall, prior to taking any action under subsection (4), notify its 
intention to take such action to the licensee concerned and shall give the licensee an 
opportunity to submit reasons why the conditions of his license should not be so varied or 
cancelled. 
(6) 
Where a license is subject to conditions, the licensee shall comply with 
those conditions. 
(7) 
Any person who is aggrieved by a decision of the PTA under this section 
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may, within one month of being notified of the decision of the PTA, appeal against such 
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decision to the Secretary of the Department of Tourism whose decision shall be final. 
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Sec. 9. Limit as to Number of Licenses Granted. - PTA may, with the approval 
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of the Secretary of the Department of Tourism, limit the number of licenses to be granted 
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under this Act. 
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Sec. 10. Amlual License Fee. Every licensee shall pay such license fee as may be 
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prescribed by PTA. 
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Sec. 11. Displayillg of License. 
(1) 
Every licensee shall exhibit his license or a certified copy thereof in a 
conspicuous place at his principal place of business and at every branch where the 
licensee carries on the business of a travel agent. 
(2) 
Any person -
(a) 
who contravenes or fails to comply with subsection (l); or 
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(b) 
who, not being the holder of a license, keeps up or exhibits on or near 
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his office, house or place of business or exhibits anywhere or allows to 
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remain unoblitenited any sign, writing, painting or other mark 
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implying that such office, house or place of business is that of a person 
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licensed to carry on the business of a travel agent, 
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shall be guilty of an offense and shall be liable on conviction to a fine not exceeding 
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P20,000 or to imprisonment for a tenl1 not exceeding two (2) years or to both. 
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SCI;. 12. Revocation and Suspel/sion of License. 
(I) PTA may by order revoke or suspend a license -
(a) 
if PTA is satisfied that the licensee-
(i) 
has ceased to carryon the business for which he has been 
licensed or, if the licensee being a company, goes into liquidation 
or is wound up or otherwise dissolved; 
(ii) 
improperly obtained his license contrary to the provisions of this 
Act; 
(iii) is no longer a fit and proper person to continue to hold the 
license; 
(iv) has been convicted of any offense involving dishonesty or moral 
turpitude or, if the licensee is a company, any of its officers 
holding a managerial or an executive position or, if the licensee 
is a firm, any member of the firm has been convicted of any 
offense involving fraud or moral turpitude; 
(v) 
is carrying on or has carried on the business of a travel agent in 
such a manner as renders him unfit to continue to hold a license; 
(vi) is contravening or has contravened any of the provisions of this 
Act or any regulations made thereunder; or 
(vii) has been convicted of any offense under this Act or any 
regulations made therelmder or, if the licensee is a company, any 
of its officers holding a managerial or an executive position has 
been convicted of any offense under this Act or any regulations 
made thereunder; or 
(b) 
if PTA considers it in the public interest to do so. 
(2) PTA shall, before revoking or suspending any license under subsection (1), 
give the licensee concerned notice in writing of its intention to do so, 
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specifying a date, not less than 21 days after the date of the notice, upon 
which such revocation or suspension shall take effect and calling upon the 
licensee concerned to show cause to the PTA why his license should not be 
revoked or suspended. 
(3) When PTA has revoked· or suspended a license under subsection (1 ), PTA 
shall forthwith inform the licensee concerned by notice in writing of the 
revocation or suspension. 
(4) The person whose license has been revoked or suspended may, within 14 days 
after the receipt of the notice referred to in subsection (3), or such extended 
period of time as the Secretary of the Department of Tourism may allow, 
appeal in writing against the revocation or suspension to the Secretary whose 
decision shall be final. 
(5) An order of revocation or suspension shall not take effect until the expiration 
of a period of 14 days after PTA has informed the licensee concerned of the 
order. 
(6) If within that period the licensee concerned gives due notice of appeal to the 
Secretary, the order shall not take effect unless the order is confirmed by the 
Secretary or the appeal is for any reason dismissed by the Secretary or is 
withdrawn. 
Sec. 13. Effect of revocatioll and sllspensioll of licel/se. 
(\) 
Where an order of revocation or suspension becomes effective under 
section 12, the licensee concerned shall forthwith cease to carry on the business of a 
travel agent. 
(2) 
Subsection (I) shall not prejudice the enforcement by any person of any 
right or claim against the licensee concerned or by the licensee concerned of any right or 
claim against any person arising out of or concerning any matter or thing done prior to 
the revocation or suspension ofthe license. 
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Sec 14. Fllrnishing incorrect particlliars in applicatioll. - Any person who in 
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any application for a license makes any statement which is not correct in any material 
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particular shaH be guilty of an offence and shall be liable on conviction to a fine not 
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exceeding PIO,OOO. 
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Sec. 15. Wrongful conversion alldfalse accounts. 
(I) 
Any licensee who -
(a) 
fraudulently converts to his own use or to the use of any other person-
(i) 
any money or part thereof received by him on behalf of any 
person in respect of any transaction in his capacity as a travel 
agent; or 
(ii) 
any money or part thereof so received which are held by him in 
trust pending the completion of any transaction; 
(b) 
frandulently omits to account for, deliver or pay-
(i) 
any such money or pmt thereof so received by him on behalf of 
any person to such person; or 
(ii) any such money or pmt thereof so received by him which are or 
were held by him in trust as aforesaid pending the completion of 
the transaction to the person or persons entitled to such money; 
or 
(c) 
fraudulently renders an account knowing such account to be false in 
any material paIiicular of -
(i) 
any such money or paIi thereof so received by him on behalf of 
any person; 
(ii) 
any money so received by him which is or was held by him in 
trust pending the completion of any transaction or any paIi of 
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such money; or 
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(iii) expenses, commission or other charges incidental to any 
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transaction or proposed or contemplated transaction as a travel 
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agent, 
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shall be guilty of an offence and shall be liable on conviction to imprisonment for a term 
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not exceeding 3 years. 
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(2) 
Nothing in this section shall be construed to limit or in any way affect the 
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provisions of any other written law. 
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Sec. 16. Power to searcll premises. - Any officer of PTA or any police officer, on 
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being satisfied upon any information and after any further inquiry which he thinks 
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necessary that there is good reason to believe that any place is used for the carrying on of 
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the business of a travel agent by a person who is not the holder of a license, may with 
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such assistance and by such force as is necessary, by day or by night -
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(a) 
enter or go to the place and search the place and all persons found therein; 
(b) 
seize all documents and things reasonably supposed to have been used or 
intended to be used in connection with the business of a travel agent which 
are found in the place or on such persons; and 
(c) 
detain all such persons until they and the place have been searched. 
Sec. 17. Power to arrest. -
(I) 
Any police officer or any officer of PTA duly authorized in writing in that 
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behalf by the Board may without warrant arrest any person whom he reasonably suspects 
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to have committed an offence under this Act. 
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(2) 
Any police officer or any officer of PTA duly authorized in writing in that 
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behalf by PTA arresting a person under subsection (1) may search that person and take 
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possession of all miicles found on him which, there is reason to believe, were used in 
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connection with the offense. 
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(3) 
Every person so arrested shall be taken to the PTA office or a police 
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station. 
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(4) 
No woman shall be searched except by a woman. 
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Sec. 18. Power to Investigate. - In any case relating to the commission of an 
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offense under this Act, any police officer and any officer of PTA duly authorized in 
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writing in that behalf by the PTA may seize items or evidence connected with the 
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commission of the offense. 
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Sec. 19. Powers of the PTA. -
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Any police officer and any officer of the PTA duly authorized in writing in that 
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behalf by the PTA shall, for the purposes of the execution of this Act, have power to do 
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all or any of the following: 
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(1) 
to enter, inspect and exmuine, by day or by night, the place of business of 
any licensee; 
(2) 
to require the production of recor<ls, accounts and documents kept by a 
licensee and to inspect, exmuine and copy any of them; and 
(3) 
to make such inquiry as may be necessary to ascertain whether the 
provisions of this Act are complied with so far as regards any person 
employed by a licensee to assist in the work of a travel agent. 
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Sec. 20. Obstruction of search, etc. -
Any person who -
(l) refuses ~ny police officer or any officer of the Board authorized to enter or 
search access to any place; 
(2) assaults, obstructs, hinders or delays him in effecting any entrance which he is 
entitled to effect under this Act, or in the execution of any duty imposed or 
power conferred by this Act; 
(3) fails to comply with any lawful demand ofa police officer or an officer of the 
Board in the execution of his duty under this Act; or 
(4) refuses or neglects to give any information which may reasonably be required 
of him and which he has it in his power to give, shall be guilty of an offence 
and shall be liable on conviction to a fine not exceeding PIO,OOO or to 
imprisonrnent for a term not exceeding 12 months or to both. 
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Sec. 21. Liability of directors, partners, etc. -
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(1) Where an offense under this Act has been committed by a company, any person, who 
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at the time of the commission of the offence was a director, secretary, manager or other 
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officer of the company or who was purporting to act in any such capacity, shall be 
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deemed to be guilty of that offense and shall be liable to be proceeded against and 
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punished accordingly unless he proves that the offense was committed without his 
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consent or connivance and that he exercised such diligence to prevent the commission of 
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the offense as he ought to have exercised having regard to the nature of his function in 
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that capacity and to all the circumstances. 
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(2) 
Any person who would have been guilty of an offense if anything had been done 
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or omitted to be done by him personally shall be guilty of the offense and shall be liable 
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to the same penalty if snch thing had been done or omitted to be done by his partner, 
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agent or servant in the course of partnership business or in the course of his employment, 
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as the case may be, unless he proves that the offense was committed without his 
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knowledge or consent and that he took all reasonable precautions to prevent the doing or 
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omission to do such thing. 
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(3) 
Nothing in subsection (2) shall relieve any partner, agent or servant from any 
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liability for an offense. 
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Sec. 22. Disclosure of information -
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(I) 
A person shall not disclose any information obtained by him in connection 
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with the administration or execution of this Act, unless the disclosure is made-
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(a) 
with the consent of the person from whom the information was 
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obtained 
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(b) 
in connection with the administration or execution of this Act; 
(c) 
for the purposes o~ any legal proceedings arising out of this Act or of 
any report of such proceedings; or 
(d) 
for the purpose of objecting to an application for a license or of any 
investigation conducted under this Act. 
(2) 
Any person who contravenes subsection (1) shall be guilty of an offense 
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and shall be liable on conviction to a fine not exceeding P5,000 or to imprisonment for a 
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term not exceeding 6 months or to both. 
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Sec. 23. Service of notices, orders and subpoenas. - Any notice, order, 
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determination, certificate or subpoena that may be given, made or issued under this Act 
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may be served -
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(I) by delivering it personally to the person to whom it is addressed; or 
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(2) 
where it is addressed to the licensee -
(a) 
by delivering it to any place shown on the application for the license as 
the licensee's place of residence or business and by leaving it there 
with some person for that licensee; or 
(b) 
by posting it by registered post in an envelope duly stamped and 
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addressed to the person to whom it is addressed at any place shown on 
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the application for the license as the licensee's place of residence or 
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business, 
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and shall be deemed to have been served upon its being so delivered or, in the case of a 
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notice, order, certificate or subpoena served as referred to in paragraph (b )(ii), shall be 
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deemed to have been served when it would be delivered in the ordinary course of post. 
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Sec. 24. Service of notice, summons, writ or other proceedings on PTA. - Any 
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notice, summons, writ or other procyedings required to be served on PTA may be served 
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by being left with some person apparently employed in the administration of this Act at 
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the PTA office or, in the case of a notice, by posting it by registered post in an envelope 
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duly stamped and addressed to PTA at its office, and shall be deemed to have been served 
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upon its being left or, in the case of a notice served by so posting it, shall be prima facie 
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deemed to have been served when it would be delivered in the ordinary course of post. 
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Sec. 25. Authellticatioll of documellts. - Every summons, process, demand, order, 
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notice, statement, direction or document requiring authentication by PTA may be 
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sufficiently authenticated without the seal of the PTA if signed by the General Manager 
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of PTA. 
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Sec. 26. Sallctioll for proseclltioll. - No court shall take cognizance of any 
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offense under this Act or any regulations made hereinafter except with the sanction in 
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writing of the Public Prosecutor. 
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Sec. 27. COllduct of proceedillgs. - Proceedings in respect of any offense under 
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this Act or any regulations made hereinafter may be conducted by any officer autllorized 
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in writing in that behalf by the General Manager of PTA. 
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Sec. 28. Compositioll of offel~ses. -
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(I) 
The PTA may, in its discretion, compound any offense under this Act or 
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any regulations made hereinafter which is prescribed as a compoundable offense by 
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collecting from a person reasonably suspected of having committed the offense a sum not 
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exceeding PS,OOO. 
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(2) 
The PTA may, with the approval of the Secretary, make regulations to 
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prescribe the offenses which may be compounded. 
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Sec. 29. Reglllatiol/s. -
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(1 ) 
PTA may, with the approval of the Secretary, make regulations generally 
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for the carrying out of the provisions of this Act and, in particular, may make regulations 
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for all or any of the following purposes: 
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(a) 
prescribing the information and documents to be fhmished by an 
applicant for a license; 
(b) 
prescribing the forms to be used under this Act; 
(c) 
prescribing the procedure to be followed on applications and other 
proceedings under this Act; 
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(d) 
prescribing the books, accounts (including trust accounts) and records 
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to be kept by a licensee and the form and mode of keeping such books, 
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accounts and recOI:ds; 
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(2) 
(e) 
prescribing the fees payable in respect of licenses granted under this 
Act; 
(f) 
prescribing the conditions for a license granted under this Act; 
(g) 
regulating the conduct of travel agents in their business and 
prescribing a code of conduct for travel agents; and 
(h) 
to exempt any persons or classes of persons from the provisions of this 
Act. 
Such regulations may provide that a contravention thereof shall be 
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punishable with a fine not exceeding P20,000 or with imprisonment for a tenn not 
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exceeding 12 months or with both and, in the case of a continuing offense, with a further 
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fine not exceeding PI ,000 for every day during which the offense continues after 
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conviction. 
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Sec. 30. Separability Clause. - If any provision of this Act is declared 
18 
unconstitutional or invalid, the remainder thereof not affected thereby shall continue to be 
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in full force and effect. 
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Sec. 31. Repealing Clause. - All laws, decrees, orders, rules and regulations or 
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other issuance or parts thereof inconsistent with the provision of this Act are hereby 
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repealed, amended or modified accordingly. 
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Sec. 32. Effectivity. - This Act shall take effect fifteen (15) days after its 
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publication in at least two (2) newspapers of general circulation. 
Approved, 
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