Republic of the Philippines 13 AUG 2012
HOUSE OF REPRESENTATIVES fu.

Batasang Pambansa, Quezon City eee |

FIFTEENTH CONGRESS
Third Regular Session

6468
House Brito. O46

INTRODUCED BY REP. JOSEPH VICTOR G. EJERCITO

EXPLANATORY NOTE

Clearly stipulated under the 1987 Philippine Constitution, Article
XVI, Section 9, which provides:

“The State shall protect consumers from trade malpractice and
from substandard or hazardous product”.

The Philippine airline industry has been growing by leaps and
bounds as air travel becomes the preferred mode of transportation
because it is the most convenient way of reaching a destination. At
present, the number of airline passengers continues to soar and multiply
annually.

But growth of the industry is not without a price. Simultaneous with
the increase in passenger figures is resurgence in the number of problems
faced by the airline passenger. Everyday, passengers are faced with
difficulties, ranging from poor services, delays and cancellation of flights,
baggage loss, disappearance of reservations, and many others.

This bill seeks to address these problems by establishing a national

policy of fair treatment of airline travelers that prohibits unfair and
deceptive practices and unfair methods of competition by air carriers.

a"

REP. JOSEPH VICTOR G. EJERCITO



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Batasang Pambansa, Quezon City

FIFTEENTH CONGRESS
Third Regular Session

HOUSE BILL NO. 8468

INTRODUCED BY REP. JOSEPH VICTOR G. EJERCITO

AN ACT ESTABLISHING THE RIGHTS OF AIRLINE PASSENGERS BY
PROVIDING STANDARDS FOR AIRLINE CARRIER SERVICES

Be enacted by the Senate and the House of Representatives of the
Philippines in Congress assembled:

SECTION 1. Short Title. - This Act shall be known as the “Airline
Passenger Bill of Rights Act’.

SECTION 2. Definition of Terms. — For the purpose of this Act, the terms:

(A)

(B)
(Cc)

(0)

()
()

“Air Carrier" means any citizen of the Philippines who
undertakes, whether directly or indirect ly or by a lease or any
other arrangement, to engage in air transportation.

“air Transportation” means domestic, overseas, or foreign air
transportation.

“Confirmed Reserved Space” means a space on a specific date
and on a specific flight and class of service carrier which has
been requested by a passenger and which the carrier or its agent
has verified, by appropriate notation on the ticket or in any other
manner provided by the carrier, as being reserved for the
accommodation of the passenger.

“Foreign Air Carrier” means any person, not a citizen of the
Philippines, who undertakes, whether directly or indirectly or by
any other arrangement, to engage in foreign air transportation.
“Secretary” means the Secretary of Transportation and
Communications. :

“Ticket Agent” means any person, not a carrier or a foreign air
carrier and not a bona fide employee of an air carrier or foreign
air carrier, who, as principal agent, sells or offers for sale any air
transportation, or negotiates for, or holds himself out by
solicitation, advertisement, or otherwise as one who sells,


(G)

SECTII
(A)

(B)

(Cc)

(4)
(2)

(3)

(4)

(5)

provides, furnishes, contracts or arranges for, such
transportation.

“Chronically Delayed Flight” means a regularly scheduled flight in
air transportation that has failed to arrive within 30 minutes of
the scheduled arrival time of the flight at least 40 percent of the
time during the most recent-month period for which data is
available.

ION 3. Standards for Air Carrier Passenger Services. -

Passenger Complaints. ~ A covered air carrier shall establish and
implement procedures for handling complaints from passengers
of the air carrier.

Duty of the Secretary. - On the initiative of the Secretary of the
complaint of an air carrier, foreign air carrier, or ticket agent,
and if the Secretary considers it is in the public interest, the
Secretary may investigate and decide whether an air carrier,
foreign air carrier, or ticket agent has been engaged in an unfair
or deceptive practice or an unfair method of competition in air
transportation or the sale of air transportation. If the Secretary,
after notice and opportunity for a hearing, finds that an air
carrier foreign air carrier, or ticket agent is engaged in an unfair
or deceptive practice or an unfair method of competition, the
Secretary shall order the air carrier, foreign air carrier, or ticket
agent to stop the practice or method.

Specific Practices. - For purposes of paragraph (B), the terms
‘unfair or deceptive practice’ and ‘unfair method of competition’
include an air carrier's failure -

To inform a ticketed passenger, upon request, whether the
flight on which the passenger is ticketed is overloaded;

To permit a passenger's holding a confirmed reserved space
on a flight to use portions of that passenger's ticket for travel,
rather than the entire ticket, regardless of the reason any
other option of the ticket is not used;

To deliver a passenger's checked baggage within twenty-four
(24) hours after arrival of the flight on which the passenger
traveled and on which the passenger checked the baggage,
except for reasonable delays in delivery of such baggage;

To provide a consumer full access to all fares for that carrier,
regardless of the technology the consumer uses to access the
fares if such information is requested by that consumer;

To disclose, without being requested, the on-time
performance for a chronically delayed flight of the air carrier
whenever a customer makes a reservation or purchases a
ticket on such a flight;


(6)

(7)

(8)

(9)

(10)

(1)

To publish lowest fare information, and information on
schedules and itineraries, with respect to regularly scheduled
flights of the air carrier in air transportation. Such information
shall be updated in a timely manner and shall be made
available to the public on the Internet website of the air
carrier;
To provide notice to each passenger holding a confirmed
reserved space on a flight with reasonable prior notice when a
schedule flight will be delayed for any reason other than
reasons for national security;
To inform the passenger accurately and truthfully of the
reason for the delay, cancellation or diversion of a flight. In
complying with this provision, the air carrier shall use
overhead announcements, on aircraft announcements, and
postings on airport television monitors;
To refund the full purchase price of the unused ticket if the
passenger requests a refund within forty-eight (48) after the
ticket is purchased;
To disclose to consumer information that would enable them
to make informed decisions about the comparative value of
frequent flyer programs among airlines, including -
(a) The number of seats redeemable on each flight; and
(b) The percentage of successful and failed redemption on
each airline and on each flight;
To provide for the essential needs of passengers at all times
during which the aircraft is on the ground in the event of a
departure delay, including the needs of passengers for food,
water, sanitary facilities, medical access, adequate ventilation,
and comfortable cabin temperatures.

SECTION 4. Report. The Secretary shall include information about
violation of Section 3 by air carriers in Air Travel Consumer Report which
shall be published monthly by the Department of Transportation and
Communications.

SECTION 5. Procedures for Departure Delays. -

(A)

(B)

Procedures to Permit Pilots to Return to Airport Terminals. -

The Secretary shall work in coordination with air carriers to

ensure that a pilot operating an aircraft in a flight in air

transportation that is affected by a long departure delay is

permitted to return the aircraft to the airport terminal to allow

the passengers to exit the aircraft without losing the position

of the flight in the departure sequence.

Contingency Plans for Weather Emergencies. —

(1) Coordination of Plans - The Secretary shall review the
emergency contingency plans of air carriers and ensure


that the plans will effectively address weather
emergencies in a coordinated manner.

(2) Meeting - In carrying out this subsection, the Secretary
shall convene a meeting of representatives of air
carriers, airports and the Civil Aviation Authority of the
Philippines (CAAP) to develop to develop procedures to
better respond to weather emergencies resulting in long
departure delays.

SECTION 6. Implementing Rules and Regulations. — Within ninety (90)
days after the enactment of this Act, the Secretary in consultation with
the Civil Aviation Authority of the Philippines and the Civil Aeronautics
Board shall make rules and regulations implementing the provisions of
this Act.

SECTION 6. Penalties. - Any violation of Section 3 of this Act shall result
to a suspension of the certificate of public convenience of the domestic
carrier, or the license to operate a foreign air carrier, or a fine of Two
Hundred Thousand Pesos (P 200,000) or both.

In case of grave and repetitive violations, the penalty shall be
revocation of the Certificate of Convenience of the domestic carrier or the
license to operate of a Foreign Air Office and the Civil Aeronautics Board,
shall have conducted a hearing into the manner.

SECTION 7. Separability Clause. - If any provision or part hereof, is held
invalid or unconstitutional, the remainder of the law or the provision
thereof shall remain valid and subsisting.

SECTION 8. Repealing Clause. - Any law, presidential decree, issuance,
executive order, letter of instruction, administrative order, rule or
regulation contrary to or inconsistent with, the provisions of this Act is
hereby repealed, modified, or amended accordingly.

SECTION 9. Effectivity Clause. - This Act shall take effect fifteen (15)

days after its publication in at least two (2) newspapers of general
circulation.

Approved.