Republic of the Philippines
HOUSE OF REPRESENTATIVES
Sixteenth Congress
Second Regular Session

5063

HOUSE BILL NO.

Introduced by REP. ROMAN T. ROMULO

EXPLANATORY NOTE

Honesty is the best policy and Time is Gold are two popular sayings that to this
representation best encapsulate the manner by which air carrier should deal with its
passengers,

However, there are reports and allegations that airline companies are not forthright to
the flying public with respect to the terms and conditions of their fares resulting in confusion.
This is made worse by the persistent delay and cancellation of fights

While the DOTC and DTI already promulgated Joint Administrative Order No. 1-Air
Bill Passenger Bill of Rights, it is necessary that a legislation on this matter be enacted by
the representatives of the people in order to further enhance the rights of passengers and
provide it more legal weight.

As such, this bill seeks to establish, under the conditions specified herein, the
different rights of airline passengers including when (a) they are denied boarding against
their will; (b) their flight is cancelled; (c) their flight is delayed; (d) their baggage are lost,
delayed or damaged and (e) when there is death or bodily injury. The right to full, fair, and
clear disclosure of the service offered are also provided in this proposal

In addition to the usual remedies granted to passengers, the proposed measure
also provides the passenger another right in the nature of additional compensation at a rate
equivalent to at least the value of the sector cancelled, delayed or denied boarding to be
paid in the form of cash or voucher, at the option of the passenger.

For these reasons, the passage of this bill is earnestly sought.

te

HON. ROMAN T. ROMULO
Lone District of Pasig


Republic of the Philippines
HOUSE OF REPRESENTATIVES
‘Sixteenth Congress
Second Regular Session

HOUSE BILL NO. 5069

Introduced by REP. ROMAN T. ROMULO.

AN ACT PROVIDING FOR A BILL OF RIGHTS FOR AIR PASSENGERS.

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

Section 1.This Act shall be known as the * Airline Passenger Bill of Rights Act of
2014."

Sec. 2. - Scope. - The Act establishes, under the conditions specified herein, the
different rights of airline passengers including when (a) they are denied boarding against
their will; (b) their flight is cancelled; (c) their flight is delayed; (d) their baggage are lost,
delayed or damaged and (e) when there is death or bodily injury. It shall apply to all flights
or portions of a flight into, from, and within the territory of the Philippines operated by
Philippine air carriers, and flights or portions of a flight from the territory of the Philippines
operated by foreign air carriers,

Sec. 3. - Definition of Terms.- As used in this Act, the following terms shall mean:

a. Air Carrier refers to 2 Philippine-based carrier operating scheduled or non-
scheduled domestic and/or international flights to or from or serving a point within the
Philippines, or a foreign carrier operating scheduled or non-scheduled international flights
from the Philippines. Air carriers are also generally referred to as airlines.

b. Cancellation is the act of calling off a flight. This shall include the following
instances: (1) Cancellation by the air carrier before the estimated time of departure (ETD)
with or without its fault; (2) Cancellation by the air carrier after an unduly long delay; (3)
Cancellation by the passenger holding a regular fareiticket, or In case such Terminal Delay
extends to at least five (5) hours after the ETD for causes attributable to the carrier,

c. Convention refers to the applicable international agreement, convention, or treaty
on carriage of goods or persons by air signed and/or ratified by the Philippines

d. Delay is the result of the deferment of a flight to a later time. “Terminal Delay" is a
delay that occurs while passengers are still inside the terminal waiting for boarding, while
“Tarmac Delay” is a delay that occurs while passengers are already on board the aircraft

e. Denied Check-in takes place when a passenger, who has presented
himself/herself for check-in at the appointed area and at the appointed time, is denied or not
processed for boarding a particular flight.

f. “Denied Boarding” takes place when a passenger, who holds a confirmed reserved
seat, and who has presented himself/herself for carriage at the proper time and place and
fully complied with the carrier's check-in and reconfirmation procedures, and who is
acceptable for carriage under the carrier’ tariff, was not allowed to board the aircraft


g. Overbooking" is the practice by air carriers of selling confirmed reserved space
beyond the actual seat capacity of the aircraft.

h. . Passenger’ shall refer herein to a person actually traveling by air. A person who
is named in the flight ticket shall be considered a passenger for the purpose of these rules,

Sec. 4. Right to Non-Discrimination in Access to Airport - All passengers shall have
equal access to transport and are in particular protected against discrimination based on
nationality, residence or disability.

Sec, 5. Right to Full, Fair, and Clear Disclosure of the Service Offered. - Consistent
with the mandated policy of the State to protect the interests of the consumers, which
includes protection from misleading and fraudulent sales promotion practices, all sales
promotion campaigns and activities of air carriers shall be carried out with honesty,
transparency and_faimess. As such, every passenger shall, before purchasing any ticket for
a contract of carriage, be entitled to the full, fair, and clear disclosure of all the terms and
Conditions of the contract of carriage about to be purchased, Passengers shall have the right
to be correctly informed of the ticket price, their rights and the circumstances of their journey
in a timely and relevant manner before the journey as well as during and after the travel in
case of disruption

Sec. 6. Right to be Processed for Check-In. -A passenger holding a confirmed ticket,
whether promotional or regular, with complete documentary requirements, and who has
complied with the check-in procedures, shall be processed accordingly at the check-in
counter within the check-in deadline. The airline shall, therefore, and subject to infrastructure
limitations, clearly designate the boundaries of its assigned check-in areals or counter/s
Passengers shall be given enough time before the published ETD within which to go through
the check-in and final security processes. The operating air carrier shall ensure that at
check-in a clearly legible notice containing the rights of passengers are displayed

The operating air carrier shall ensure that at check-in a clearly legible notice
Containing the following text is displayed in a manner clearly visible to passengers: "if you
are denied boarding or if your flight is canceled or delayed for at least two hours, ask at the
check-in counter or boarding gate for the text stating your rights, particularly with regard to
compensation and assistance"

An operating air carrier denying boarding or canceling a flight shall provide each
passenger affected with a written notice setting out the rules for compensation and
assistance. It shall also provide each passenger affected by a delay of at least two hours
with an equivalent notice.

Sec. 7 .Right to Board Aircraft for the Purpose of Flight. - Except when there is a
legal or other valid cause, a passenger checked in for a particular flight has the right to board
the aircraft for the purpose of flight

(a) In case an air carrier overbooks its flights, any expense, consequence, or
inconvenience caused to affected passengers must be borne by the air carrier, as follows:

(1) The air carrier shall determine the number of passengers in excess of the actual
seat capacity of the aircraft.


(2) The air carrier shall announce that the flight is overbooked, and that it is looking
for volunteers willing to give up their seats in exchange for air carrier compensation,

(3) The air carrier shall provide the interested passengers or volunteers a list of
amenities and offers, which they can choose from, which list of amenities shall always
include the option to be given priority booking in the next flight with available space or to be
endorsed to another air carrier upon payment of any fare difference, and provided that space
and other circumstances permit such accommodation, at the option of the passenger, and/or
a cash incentive.

(4) In case the number of volunteers is not enough to resolve the overbooking, the air
carrier shall increase the compensation package by certain degrees or by adding more
amenities/services until the required number of volunteers is met

(b) If boarding is denied to passengers against their will without any valid reason, the
operating air carrier shall be liable to provide the passenger the rights stated in Section 8 of
this Act. This is without prejudice to any other liability it may have incurred as a result of said
action

Sec. 8. Rights of Passengers in Case of Cancellation of Flight. The provisions of this
Section shall be the minimum entitlement of a passenger in case of cancellation, and shall
not prohibit the air carrier from granting more favorable conditions or recourses, as it may
deem proper and appropriate.

(a). Flights cancelled due to a cause attributable to air carrier shall give to a
passenger the right to:

(1) Be notified beforehand or as soon as possible of the situation via public
announcement, written/published notice and flight status update service either thru text or
email.

(2) Be pro
terminals/stations;

d a minimum level of care immediately, on the spot at

(3) Be offered free of charge: (a) sufficient meals and refreshments in a reasonable
relation to the waiting time; (b) hotel accommodation near the airport in cases where a stay
of one or more nights becomes necessary, or where a stay additional to that intended by the
Passenger becomes necessary; (c) transport between the airport and place of
accommodation. In addition, passengers shall be offered free of charge telephone calls, text
or fax messages, or e-mails and first aid, if necessary. In applying this provision, the
operating air carrier shall pay particular attention to the needs of persons with reduced
mobility and any persons accompanying them, as well as to the needs of _ unaccompanied
children:

(4) Be reimbursed within five days, either by cash, by electronic bank transfer, bank
orders or bank cheques or, with the signed agreement of the passenger, in travel vouchers
and/or other services, of the full cost of the ticket at the price at which it was bought, for the
part or parts of the journey not made, and for the part or parts already made if the flight is no
longer serving any purpose in relation to the passenger's original travel plan, together with,
when relevant, a return flight to the first point of departure, at the earliest opportunity;

(6) Be endorsed to another air carrier without paying any fare difference, at the option
of the passenger, and provided that space and other circumstances permit such
re-accommodation; or


(6) Rebook the ticket, without any additional charge. In rebooking said ticket, the
airline shall give priority to the affected passenger;

(7). In addition thereto, be entitled to an additional compensation at a rate which is
equivalent to at least the value of the sector cancelled to be paid in the form of cash or
voucher, at the option of the passenger. An air cartier liable for the compensations provided
in this | Section shall make the same available to the affected passenger at the air
carrier's counters at the airport on the date when the occasion entitling the passenger to
compensation occurred, or at the main office or any branch of the air carrier at the discretion
of the passenger. The air carrier shall tender a check for the amount specified, or cash, or
the document necessary to claim the compensation or benefits mentioned above.

(b) An operating air carrier shall not be obliged to pay compensation if it cancels the
flight because of force majeure, safety and/or security reasons not attributable to the air
carrier, as duly certified by the Civil Aviation Authority of the Philippines. In such a case, the
passenger shall have the right to be reimbursed for the full value of the fare or be rebooked,
Provided, That in case a carrier cancels a flight at least twenty-four (24) hours before the
ETD, it shall also not be liable to pay the compensation and to provide the foregoing
amenities, except that it shall be obliged to notify the passenger, and, in accordance with the
preceding provisions, to rebook, reimburse the passenger, at the option of the latter.

Sec. 9. Rights of Passengers in Case of Terminal Delay.- The provisions of this Sec-
tion shall be the minimum entitlement of a passenger in case of delay and shall not prohibit
the air carrier from granting more favorable conditions or recourses, as it may deem
appropriate,

(a) In case of Terminal Delay of at least two (2) hours after the ETD, whether or not
such is attributable to the carrier, a passenger shall have the right to:

(1) Be notified via public announcement of the reason for the delay and the
estimated time of departure as soon as this information is available;

(2) Be provided a minimum level of care immediately, on the spot at
terminals/stations while waiting for the beginning or the continuation of the delayed journey;

(3) Be offered free of charge: (a) sufficient meals and refreshments in a reasonable
relation to the waiting time; (b) free phone calls, text or e-mails, and first aid, if necessary, In
applying this Article, the operating air carrier shall pay particular attention to the needs of
persons with reduced mobility and any persons accompanying them, as well as to the needs
of unaccompanied children.

(4) Be refunded or rebooked his/her ticket in accordance with the preceding Section
when applicable or be endorsed to another carrier;

(5) In case such Terminal Delay extends to at least five (5) hours after the ETD for
causes attributable to the carrier, the flight shall be deemed cancelled for the purpose of
making available to the passenger the rights and amenities required to be provided in case
of actual cancellation, as provided for in Section 8.

(6). Where a passenger misses a connecting flight because his first fight was late,
the passenger shall in addition to the rights mentioned above shall be entitled to a
compensation equivalent to the value of the missed flight.


Sec. 10. Tarmac Delay - A passenger shall likewise have the right to be provided
with sufficient food and beverage, in cases of Tarmac Delay of at least two (2) hours after
the ETD, reckoned from the closing of the aircraft doors, or when the aircraft is at the gate
with the doors still open but passengers are not allowed to deplane. In case the delay ex-
ceeds five (5) hours, the passenger may request disembarkation.

Sec. 11. Right to Compensation for Delayed, Lost, and Damaged Baggage.- Subject
to considerations of safety, security, or any other legal and valid cause, a passenger shall
have the right to have his/her baggage carried on the same flight that such passenger takes
Provided, That in case a checked-in baggage has been off-loaded for operational, safety, or
security reasons, the air carrier shall inform the passenger at the soonest practicable time
and in such manner that the passenger will readily know of the off-loading. If the passenger's
baggage has been off-loaded, the air carrier should make the appropriate report and give the
passenger a copy thereof, even if it had already announced that the baggage would be on
the next flight.

The air carrier shall carry the off-loaded baggage in the next flight with available
space, and deliver the same to the passenger either personally or at his/her residence. For
every twenty-four (24) hours of delay in such delivery, the air carrier shall tender an amount
of Three Thousand Pesos (Php3,000.00) to the passenger, as compensation for the
inconvenience the latter experienced. Should such baggage, whether carried on the same or
a later flight, be lost or suffer any damage attributable to the air carrier, the passenger shall
be compensated in the following manner:

(a) For international fights, the relevant convention shall apply.

{b) For domestic flights, upon proof, a maximum amount equivalent to half of the
amount in the relevant convention (for international flights) in its Peso equivalent.

Sec. 12. Right to Compensation In Case of Death or Bodily Injury of a Passenger. -
For international flights, in case of death or bodily injury sustained by a passenger, the
relevant Convention and inter-carrier agreement shall apply. However, for an international
carriage performed under the 1966 Montreal inter-Carrier Agreement, which includes a
point in the United States of America as a point of origin, a point of destination or agreed
stopping place, the limit of liability for each passenger for death, wounding or other bodily
injury shall be the sum of Seventy-Five Thousand United States Dollars (US$75,000.00),
inclusive of legal fees and costs. Provided, in the case of a claim brought in a state where
a provision is made for a separate award for legal fees and costs, the limit shall be the sum
of Fifty-Eight Thousand United States Dollars (US$58,000.00), exclusive of legal fees and
costs.

For domestic flights, the compensation shall be based on the stipulated amount in
the relevant convention which governs international flights, the same to be given in Peso
denominations.

Sec. 13. Right to Immediate Payment of Compensation. - An air carrier liable for any
and all compensations provided by these rules shall make the same available to the affected
passenger at the air carrier's counters at the airport on the date when the occasion entitling
the passenger to compensation occurred, or at the main office or any branch of the air
carrier at the discretion of the passenger. The air carrier shall tender a check for the amount
specified, or cash, or the document necessary to claim the compensation or benefits
mentioned above. Provided, that such document shall be convertible to cash within fifteen


(15) days from the date when the occasion entiting the passenger to such compensation
occurred.

Sec. 14. Failure on the part of the air carrier to comply with any of ‘the obligations
stated in this Act shall after due hearing be a ground for the suspension or revocation of
the — franchise or license to operate of the air carrier.

Sec. 15. Implementing Rules and Regulations.- The Department of Transportation
and Communications shall within ninety (90) days from the affectivity of this Act issue the
necessary implementing rules and regulations of this Act.

Sec. 16, Separability Clause - If, for any reason, any part or provision of this Act is
declared unconstitutional, the parts or provisions not affected thereby shall remain in full
force and effect.

Sec. 17. Repealing Clause.- All laws, presidential decrees, executive orders, rules
and regulations or parts thereof inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

Sec. 18. Effectivity. - This Act shall take effect after fifteen (15) days following its
complete publication in the Official Gazette or in any newspaper of general application

Approved.