Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Third Regular Session

HOUSE BILL no 8360

Introduced by Representative MICHAEL L. ROMERO

EXPLANATORY NOTE

A postpaid suspension scheme (temporary disconnection) has a clear beginning
and end date. This suspension fee currently is being charge exclusive of the
monthly service fees (MSF). Even after the suspension has been lifted, it still
incurs additional charges for the account holder.

The Statement of Account (SOA) itself is an important component of the services,
which acts as an envoy of the service provider and serves an evidence of the
services and payments.

This House Bill seeks to safeguard the interests and general welfare of the
consumer-subscriber, to establish fair standards of conduct for all business and
industry.

Towards this end, the State shall implement measures to achieve these noble
objectives.

is earnestly requested.



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Third Regular Session

. 8360
HOUSE BILL NO. ___

Introduced by Representative MICHAEL L. ROMERO

AN ACT

PROHIBITING ALL TELECOMMUNICATIONS COMPANY (SERVICE
PROVIDER) TO CHARGE AND COLLECT MONTHLY SERVICE
FEES (MSF) DURING THE PERIOD OF SUSPENSION OF ANY

POSTPAID SUBSCRIPTION (PERIOD OF TEMPORARY
DISCONNECTION), TO FOSTER CONSUMER-SUBSCRIBER
PROTECTION AND WELFARE, PROVIDING PENALTIES AND

SANCTIONS, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in

Congress assembled:

SECTION 1. DECLARATION OF POLICY - it is hereby a declared policy
of the state to:

a. Protect the interests of the consumers-subscribers;

b. Nurture the general welfare and create justifiable standards of protocol
for all business and industries;

c. Safeguard against all forms of deception, unfair and unethical practices
and schemes;

d. Foster the proper implementation of the rights of the consumer; and


e. Accelerate the imposition of all existing policies and guidelines of the
RA7394 (Consumer act of the Philippines).

SECTION 2. PROHIBITING THE CHARGING AND COLLECTION OF
MONTHLY SERVICE FEES (MSF) DURING THE PERIOD OF A POSTPAID
SUBSCRIPTIONS SUSPENSION (TEMPORARY DISCONNECTION) :

a. All telecommunications company / service provider shall be prohibited
from charging and collecting monthly service fees (MSF) during the
period of a postpaid subscription’s suspension (temporary
disconnection);

b. This prohibition shall apply to all postpaid subscriptions under a
service contract, regardless of the duration of its contract; and

¢. This prohibition shall apply regardless of the tenure of the contract

consummated by the subscriber.

SECTION 3. PENALTIES AND SANCTIONS:
For every violation of this act; or for every failure to comply with;

The Telecommunications company /Service provider shall pay a fine of not less
than Two hundred thousand pesos (P200,000.00) for the first offense; a fine of
not less than Five hundred thousand pesos (P500,000.00) for the second

offense.
In case of subsequent offenses;

The penalty shall be a fine of not less than One million pesos (P1,000,000.00),
and revocation of the franchise to operate.

SECTION 4. TRANSITORY PROVISION - Existing industries, businesses
and offices affected by the implementation of this Act shall be given six (6)


months transitory period from the effectivity of the IRR or such other
period as may be determined, to comply with the requirements of this Act.

SECTION 5. IMPLEMENTING RULES AND REGULATIONS — The
departments and agencies charged, to be led by the Bureau of
Communication Services (BCS) of the PCOO, Department of Trade and
Industry (DTI), Department of Information and Communications
Technology (DICT) and the National Telecommunication Commission
(NTC) with carrying out the provisions of this Act, shall within sixty (60)
days after the effectivity of this Act, formulate the necessary rules and

regulations for its effective implementation.

SECTION 6. REPEALING CLAUSE - All laws, decrees, executive orders,
rules and regulations, or parts thereof inconsistent with the provisions of

this Act are hereby repealed or modified accordingly.

SECTION 7. SEPARABILITY CLAUSE - If, for any reason, any section or
provision of this Act is held unconstitutional or invalid, the other sections
or provisions hereof shall not be affected thereby.

SECTION 8. EFFECTIVITY CLAUSE - This Act shall take effect after
fifteen (15) days from its publication in the Official Gazette or in at least

two (2) national newspapers of general circulation whichever comes earlier.

Approved,