Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL No. 2401

Introduced by Representatives
ESTRELLITA B. SUANSING and HORACIO P. SUANSING, JR.

AN ACT
ESTABLISHING THE RIGHTS OF PASSENGERS OF TAXIS, TOURIST
CAR TRANSPORT SERVICES (TCTS), AND OTHER SIMILAR VEHICLES
FOR HIRE (VFH)

EXPLANATORY NOTE

The public transportation system in the Philippines is deemed unsafe,
unreliable and uncomfortable yet most Filipinos utilize public transportation
because it is more practical compared to maintaining a private vehicle and
paying for fuel. Among the public transportations available, the taxi cab and
other vehicle for hire provide safer, faster and more convenient way of
travelling. These are mostly in demand during holiday season, rainy season,
and during late nights wherein other modes of public transportation are not
available and passenger safety is a primary concern.

This measure aims to establish the rights of the passengers of taxi, tourist
car transport services, and other similar vehicles for hire by providing
transportation service standards to ensure their safe travel including,
among others: (a) being served by a properly dressed and courteous driver,
(b) requiring the plate number of the covered vehicle and emergency
numbers by the Philippine National Police and other concerned agencies to
be prominently displayed inside the vehicle, (c) requiring the covered vehicle
to have a duly calibrated and sealed fare meter placed where the passenger
could easily see it, (d) requiring the display of the current Motor Vehicle
Inspection Report and posting of a sticker marked 'LPG" or "CNG" in clearly
visible locations of the covered vehicle powered by liquefied petroleum gas or
compressed natural gas; (e) requiring covered vehicles to be equipped with a
functioning automatic door lock system, which the passenger can open at
any time without interference from the driver; (f) mandating the prominent
display inside the covered vehicle of the rights, remedies, and procedures
available to passengers; (g) requiring the LTFRB to conduct and resolve
passenger complaints not later that seven (7) working days after mediation
or adjudication; (h) providing for separate and joint penalties for violations
committed by operators and drivers of covered vehicles, including the
education seminar of the erring operator or driver; and (i) requiring the
LTFRB and other concerned government agencies, local government units,


and private agencies and organizations concerned to conduct a nationwide
information, education and communication campaign.

With this proposed measure, it is hoped that the rights of passengers shall
be protected while also improving the public service standard in the
transport sector.

In view of the foregoing, the immediate approval of this bill is earnestly
sought.

HORACIO JANSING, JR.
1st District of Nueva Ecjja 24 District Of Sultan Kudarat

' This bill was originally filed in the 16% Congress. It was refiled during the 17% Congress, First Regular Session
and was approved on Third Reading on October 8, 2018.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL no.2401

Introduced by Representatives
ESTRELLITA B. SUANSING and HORACIO P. SUANSING, JR.

AN ACT
ESTABLISHING THE RIGHTS OF PASSENGERS OF TAXIS, TOURIST CAR
TRANSPORT SERVICES (TCTS), AND OTHER SIMILAR VEHICLES FOR
HIRE (VFH)

Be it 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 “Bill of Rights of
Taxi, Tourist Car Transport Service and Vehicle for Hire Passengers”.

SEC. 2. Declaration of Policy. -It shall be the policy of the State to establish
a world-class public transportation system. To this end, the State shall
establish transportation service standards that shall address the basic rights
of taxi, Tourist Car Transport Service (TCTS) and Vehicle for Hire (VFH)
passengers.

SEC. 3. Definition of Terms. - As used in this Act:

a) Taxi refers to a public utility vehicle as defined and duly franchised
by the Land Transportation Franchising and Regulatory Board
(LTFRB), offering transportation services to the public for a fee on an
exclusive basis;

b) Tourist Car Transport Services (TCTS) refers to metered taxi, coupon
taxi or rent-a-car transport service (four-door sedan or utility
vehicle), duly franchised by the LTFRB, that provides transport
services for tourists;

c) Covered vehicle refers to any taxi, TCTS or VFH as defined under this
Act;

d) Multiple hiring refers to the act of a driver in accepting more than one
client in a single journey, whether or not the clients come from the
same point of origin or bound for similar or different destination,
unless the clients are informed of such arrangement and they

1


)

h)

consented thereto prior to the trip, as may be authorized by the
LTFRB;

Seminar refers to an activity prescribed by the LTFRB or Land
Transportation Office (LTO) for erring drivers and operators as a
requirement for reinstatement of license or continued operation of
franchise; and

Vehicle for Hire (VFH) refer to a public utility vehicle similar to a taxi,
including Transport Network Vehicle Service (TNVS), whether a
sedan, Asian Utility Vehicle, Sports Utility Vehicle or van, which is
granted authority or franchise by the LTFRB to offer transportation
services to the public for a fee, regardless of fare-setting mechanism,
mode of payment or manner of engagement, whether online or
street-hailing.

Transport Network Vehicle Service (TNVS) refers to a Public Utility
Vehicle accredited with a Transport Network Corporation (TNC),
which is granted authority or franchise by the LTFRB to run a public
transport service.

Transport Network Corporation (TNC) refers to an organization
whether a corporation, partnership, or sole proprietor that provides
pre-arranged transportation services for compensation using an
internet-based technology application or digital platform technology
to connect passengers with drives using their personal vehicles.

SEC. 4, Standards of Service. - Only a duly licensed professional driver and
duly certified by the Driver’s Academy of the LTFRB can be authorized to drive
a covered vehicle. All covered vehicles shall be clean, safe, smoke and foul
odor-free, air conditioned and roadworthy.

SEC. 5. Rights of Passengers. - Whenever applicable depending on the
type of covered vehicle, passengers shall have the right to:

a)

b)

Be served by a driver who is properly dressed. Taxi and TCTS
operators should ensure that their drivers wear the prescribed
uniform and company identification card (ID) at all times while on
duty. In addition, the LTFRB shall issue an official ID to each taxi,
TCTS and VFH driver showing therein the driver’s name and picture
and the operator’s information and contact numbers. The
prescribed ID cards must be prominently displayed inside the
vehicle within the view of the passenger, unless digitally provided as
may be authorized by the LTFRB;

Be served by a courteous driver who shall provide assistance, if
requested;


j

c) Be served by a driver who is not under the influence of alcohol or
dangerous drugs;

d) Be informed of the plate number of the covered vehicle and
emergency numbers for assistance by the Philippine National Police
(PNP) and other concerned agencies as prominently displayed on the
side door or in any other conspicuous place within the vehicle;

¢) Be picked up and transported to their stated destination, regardless
of the length of the journey or traffic condition, by any available on-
duty driver, subject to applicable traffic regulations;

f) Direct the route, or expect the most economical route, except where
such route will endanger the lives of the occupants or will cause
damage to the vehicle;

g) Where applicable, view the fare meter that shall be duly calibrated
and sealed by the proper authorities;

h) Pay the rate or fare exactly as posted in the meter or booking
application, subject to other government sanctioned fees;

i) Be given the exact amount of change;

Be issued a printed, electronic or digital official receipt in
accordance with the requirement of the National Internal Revenue
Code and applicable regulations issued by the Bureau of Internal
Revenue;

k) Travel with animal assistant or portable mobility aid, if the
passenger is with disability;

}) Refuse multiple hiring especially for taxis, unless passengers are
informed of such arrangement and they consented thereto prior to
the trip, as may be authorized by the LTFRB;

m) A quiet or silent atmosphere throughout the trip upon request;

n) Decide on the orientation of air conditioning and lighting systems
inside the covered vehicle; and

0)

Be provided a substitute vehicle or be assisted to secure one in case
of mechanical or engine trouble or other similar instances that
hinder the continuation of carriage. Where substitution of another
vehicle by the same operator is available, no additional fare shall be
charged against the passenger. However, if the above option is not
possible or practical, the passenger shall only pay the amount
appearing in the meter less the flag-down or booking fee for meter-
oriented fare vehicles. In the case of other covered vehicles, the fare
due to the driver of the vehicle being substituted or replaced shall


be in proportion to the distance travelled, minus the booking free, if
applicable;

SEC. 6. Vehicle Equipped with a Liquefied Petroleum Gas (LPG) or

ressed Natural Gas (CNG) Fuel System. - A covered vehicle equipped
with a liquefied petroleum gas or compressed natural gas fuel system must
display a current Motor Vehicle Inspection Report (MVIR) issued by the LTO.
Operators of any covered vehicle running on LPG or CNG must maintain the
safe condition of every unit of taxi through regular maintenance. A sticker
marked “LPG” or “CNG” issued by the LTFRB must be posted to every covered
vehicle equipped with an LPG or CNG fuel system, positioned in a clearly
visible location as close as practicable to the front and rear registration plates.

SEC. 7. Door Locks. - Every operator shall ensure that each covered vehicle
that it operates is equipped with a functioning automatic door lock system.
The central lock system of every covered vehicle must be disabled to allow the
passenger to open the doors at any time without interference from the driver,
with the exception of the rear left door of the vehicle which the driver may set
on child-lock orientation. The operation of a covered vehicle without the
required lock system as prescribed in this Section shall constitute a violation
and shall be punishable in accordance with Section 10 of this Act.

SEC. 8. Passengers’ Rights Notification. - The passengers’ rights
enumerated in Section 5 of this Act, as well as the remedies and procedures
available to the passenger as promulgated by the LTFRB, shall be prominently
displayed inside the covered vehicle or shall be digitally provided or
transmitted, as may be authorized by the LTFRB.

SEC. 9. Filing of Complaint for Violation of Rights. - A passenger whose
rights have been violated may file a complaint against the driver or operator
of the covered vehicle with the LTFRB, which shall conduct the investigation
and resolve the complaint not later than seven (7) working days after
mediation, or seven (7) working days after adjudication, under such rules and
regulations as it may provide.

The complaint instituted under the provisions of this Act shall not bar the
filing of a civil or criminal complaint for violation of any law, rule or regulation
resulting from the same act or omission, whenever applicable.

SEC. 10. Penalties and Fines. - In addition to the penalties imposed by any
applicable law, rule or regulation, the violation of any of the provisions of this

Act shall be punishable as follows:
a) A driver who violates any applicable provision of this Act shall be

liable and penalized as follows:
1. First Offense — A fine of One Thousand Pesos (P1,000.00) and
suspension of driver’s license for a period of seven (7)
calendar days;


2. Second Offense ~ A fine of Three Thousand Pesos (P3,000.00)
and suspension of driver’s license for a period of six (6)
months; and

3. Third and Succeeding Offense - A fine of Five Thousand
Pesos (P5,000.00) and suspension of driver’s license for a
period of one (1) year; and

b) The operator who violates any applicable provision of this Act shall
pay a fine of Five Thousand Pesos (P5,000.00), Ten Thousand Pesos
(P10,000.00), and Fifteen Thousand Pesos (P15,000.00) for the first,
second and third offense, respectively, without prejudice to the
revocation of franchise or permit.

The liability of the operator with respect to the fines imposed upon
an insolvent driver shall be subsidiary.

In all cases, the erring driver or operator shall undergo an education
seminar provided under this Act. The attendance by the concerned
drivers and operators in such seminars shall be mandatory, failure
of which shall be a ground for non-reinstatement of the driver’s
license of the driver or suspension of the franchise of the operator,
as the case may be.

SEC. 11. Review of Penalties. - The fines herein imposed may be increased
by the LTFRB once every five (5) years following the effectivity of this Act,
which amount shall not be more than ten percent (10%) of the amount it seeks
to increase.

SEC. 12. Nationwide Public Information Campaign. - The LTFRB, in
coordination with the Philippine Information Agency (PIA), the Department of
Transportation (DOT:), private agencies and organizations concerned, shall
undertake a nationwide information, education, and communication
campaign for the attainment of the objectives of this Act. It shall likewise
coordinate with the local government units (LGUs) for the purpose of seeking
the assistance of citizens groups and community organizations for the
promotion of public safety awareness in observance of this Act.

SEC. 13. Implementing Rules and Regulations. - Within sixty (60) days
from the effectivity of this Act, the DOTr, in coordination with the LTFRB, LTO,
PNP and Metropolitan Manila Development Authority, shall promulgate the
necessary implementing rules and regulations to effectively carry out the
provisions of this Act.

SEC. 14. Separability Clause. - If any provision or part hereof is held
unconstitutional, the other provisions not otherwise affected shall remain
valid and subsisting.

SEC. 15. Repealing Clause. - All laws, decrees, issuances, executive orders,
letters of instruction, administrative orders, rules and regulations, or parts
thereof, contrary to or inconsistent with the provisions of this Act are hereby
repealed, amended, or modified accordingly.


awne

SEC. 16. Effectivity Clause. - This Act shall take effect fifteen (15) days after
its publication in the Official Gazette or in any newspaper of general
circulation.

Approved,