fy RECEIVED

Republic of the Philippines
1 are, AUG 9 7 2019

HOUSE OF REPRESENTATIVES
Quezon City, Philippines

EIGHTEENTH CONGRESS
First Regular Session

3621
HOUSE BILL NO.

INTRODUCED BY REPRESENTATIVE ALFRED VARGAS

AN ACT
PROVIDING FOR THE PROTECTION OF THE RIGHTS OF AIRLINE
PASSENGERS

EXPLANATORY NOTE

In this modern time, air travel has been one of the most preferred modes of
transportation. Millennials are adventure seekers and are considered frequent
travelers. This is the reason why the importance of the rights of airline
passengers must be given importance.

‘The importance of this industry, however, is not merely measured by the amount
of profit it brings into the national economy. Time and again, it has been said that
air transportation is “a business intended to serve the traveling public. Primarily,
it is imbued with public interest. Thus, the rights of airline passengers occupy a
prime position in this industry hierarchy of values.

The Major Rights of an Air Passenger are: (1) Right to be provided with accurate
information before purchase, (2) Right to receive the full value of the service
purchased, and (3) Right to compensation.

News media has been provided with stories about dismayed air passengers.
People frequently allow the brunt of the incompetence and negligence of those in
the airport management system. Flights are delayed or cancelled without
appropriate warning to the public and they are used to it.

Moreover, passengers are unjustifiably charged with hidden fees. Therefore, the
airline industry has rendered unsatisfactory, if not poor kind of public service.

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

LFRED VARGAS:



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Philippines

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. Ss

INTRODUCED BY REPRESENTATIVE ALFRED VARGAS

AN ACT
PROVIDING FOR THE PROTECTION OF THE RIGHTS OF AIRLINE
PASSENGERS

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

CHAPTER!
GENERAL PROVISIONS

Sec 1. Short Title. - This Act shall be known and cited as the “Air Passenger Bill
of Rights Act.”

Sec. 2. Declaration of Policy.- \t is hereby declared that:

a) The State shall pursue a trade policy that serves the general welfare
and utilizes all forms and arrangements of exchange on the basis of equality and
reciprocity;

b) The State recognizes the indispensable role of the private sector,
encourages private enterprise, and provides incentives to needed investments;

©) The State adopts and implements a policy of full disclosure of all its
transactions involving public interest according to Article II, Section 28 of the
1987 Philippine Constitution and that the right of the people to information on
matters of public concern shall be recognized;

d) The State and the airline industry are the duty bearers and the air
passengers are the right holders in this bill of rights and as such, the State and
the air carriers shall protect and fulfill these rights and shall refrain from
interfering with the enjoyment of such rights;

e) The State shall fulfill its obligation in taking positive actions to facilitate
the enjoyment of these rights;

f) The State has the duty to balance the interests of the airline industry
that delivers the services to the public and the public that it serves.

Sec. 3. Definition of Terms.- For the purpose of this Act, the term:

a) “Air Carrier” refers to a Philippine air carrier operating scheduled or
non-scheduled domestic and/or international flights to or from or serving a
point within the Philippines, or a foreign air carrier operating scheduled or non-
scheduled international flights from the Philippines.


b) “Baggage” refers to any personal property carried by the passenger
which has been checked-in with the air carrier. “Off-loaded Baggage” refers to
checked baggage that has either not been put in or been subsequently removed
from the cargo hold of the aircraft.

¢) “Cancellation” refers to the act of calling off a flight. This shall include
the following instances:

1, Cancellation by the air carrier as provided under Section 10 hereof;

2. Cancellation by the air carrier after an unduly long delay;

3. Cancellation by the passenger or a situation deemed cancelled as
provided under this Act.

d) “Check-in Deadline” refers to the point in time before the published
ETD on or before which a passenger must present himself/herself to the air
carrier at the latter’s check-in counter.

e) “Check-in period” refers to the time when the air carrier's check-in
counters are open for accepting and processing passengers checking in for their
flights.

f) “Confirmed Reserved Seat" refers to a seat on a specific date and on a
specific flight and class of services of an air carrier, which has been requested by
a passengers, and which air carrier or its agent has verified, by appropriate
notation on the ticket, as being reserved for the accommodation of the
passenger.

g) “Convention” refers to the applicable international agreement,
convention, or treaty on carriage of goods or persons by air, signed and ratified
by the Philippines.

h) “Delay” refers the deferment of a flight to a later time. “Terminal Delay”
refers to 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 and before take-off.

{) “Denied Boarding” refers to a situation where 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 air carrier's tariff, was no
allowed to board the aircraft.

j) “Fare” refers to the payment in consideration for the carriage of a
passenger but shall not include charges for ancillary services. “Regular Fare” is
any fare that is offered on a regular basis, non-discounted, and generally offers
the advantage of cancelling, changing flight time or schedule, rerouting,
rebooking, and others, whether for a fee or penalty or not. “Promotional Fare" is
any fare that is generally lower than a regular fare and is offered for a specific
period. This includes, but not limited to, offers of “no frills” fare, wherein the
non-essential features for flights have been removed to keep the price low (ie
free food, drinks onboard flights), and discounted fares which require prior
approval by the Civil Aeronautics Board (CAB).

k) “General Sales Agent” means a person not a bona fide employee of an
air carrier, who pursuant to an authority from the air carrier, by itself or through
an 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,
provides, furnishes, contracts, or arranges for, such air transportation.

1) “Government Requisition of Space” refers to a formal written request by
the government or its agencies to an air carrier for the use of an aircraft, or any
part thereof, for regulatory, safety, security, and/or emergency purposes. Such



request shall be submitted by the requesting agency to CAB who in turn shall
make a formal written request to the air carrier concerned, detailing the number,
identities and affiliation of the persons requesting for space and the date, time
and destination of the flight.

m) “Overbooking” refers to the generally accepted practice which is
common in the aviation industry whereby airlines are selling confirmed reserved
seat beyond the actual seat capacity of the aircraft.

n) “Passenger” refers to a person actually travelling by air. A person who
is named in the flight ticket, itinerary receipt, or any other equivalent document
shall be considered a passenger for the purpose of this Act.

0) “Person with Disability” or “PWD” refers to those suffering from
restriction of different abilities, as a result of a mental, physical or sensory
impairment, to perform an activity in the manner or within the range considered
normal for a human being.

p) “Philippine air carrier” means an air carrier who is a citizen of the
Philippines.

q) “Senior citizen” refers to any resident citizen of the Philippines at least
sixty (60) years old.

Sec. 4. Scope of Application. - This Act shall apply to all aspects of
contract of carriage for flights or portions of a flight, within the territory of the
Philippines or from the territory of the Philippines, operated by Philippine air
carriers, flights or portions of a flight from the territory of the Philippines
operated by foreign air carriers, as well as charter flights and the conduct of
individual ticketing.

Provided, that the compensation provisions shall not apply to air carriers
flying into the territory of the Philippines, if the laws of the country of origin
provide similar or higher compensation. Otherwise, this Act shall apply in full.

Sec. 5. Applicability of International Laws and Pertinent Conventions. -
In case of conflict between the provisions of this Act and the provisions of any
treaty or convention where the Philippines is a signatory, the provisions of the
latter shall prevail. Where the Philippines is not a signatory the provisions of any
treaty or convention shall have suppletory effect in the implementation of this
Act insofar as the same are not contrary to the provisions herein contained.

CHAPTER I
CONTRACT OF CARRIAGE BY AIR

Sec. 6. Contract of Air Carriage. - By the contract of air carriage, an air
carrier obliges to transport the person of the passenger or his baggage, if any,
form one place to another, through airspace, without any damage or injury upon
the latter's person, or loss, damage or unreasonable deterioration of his baggage,
if any, and when the passenger obliges himself to pay a just and reasonable fare.

Sec. 7. Perfection of the Contract of Carriage The contract of air
carriage is perfected from the moment the air carrier and the Passenger give
their respective consent to the agreement.


There is consent when the air carrier issues a confirmation of airline
ticket in favor of the passenger, who accepts and holds it in his possession, with
the corresponding full payment of the fare by the passenger.

Sec. 8. Diligence Required of the Carrier. ~ Air carriers, due to the nature
of their business being imbued with public policy and interest, are obliged to
observe extraordinary diligence in the performance of their obligations under
the contract of air carriage from the time that the passenger boards until the
passenger disembarks from the aircraft. Passengers are required to observe
ordinary diligence while the contract of air carriage is effective.

Sec. 9. Presumption of Negligence. ~ \n case of damage or injury to the
person of the passenger, or loss, damage, or unreasonable deterioration of his
baggage, if any, the air carrier shall be presumed negligent, unless it proves that
it exerted extraordinary diligence to avert the same.

In the case of carriage of goods and baggage, the presumption of
negligence shall not apply if the loss, damage, or unreasonable deterioration is
caused or occasioned by any of the following:

a) Flood, storm, earthquake, lightning, or other natural disaster or
calamity;

b) Act of the public enemy in war, whether international or civil;

©) Act or omission of the shipper or owner of the baggage/goods;

d) The character of the goods or defects in the packing or in the
containers;

e) Order or act of competent public authority.

Sec. 10. Cancellation by an Air Carrier. ~ An air carrier may cancel a
flight for any of the following:

a) infrastructure limitation as certified by the Civil Aviation Authority of
the Philippines (CAAP);

b) safety reasons due to a technical problem as certified by the CAAP:

c) security reasons as declared by competent authority; or

d) during the occurrence of a fortuitous event.

The Passengers affected may avail the applicable remedies provided
under this Act.

Sec. 11. Overbooking.- Consistent with the globally-recognized revenue-
management options of air carriers, overbooking shall be responsively, properly
and rationally practiced and done in utmost good faith. The CAB is hereby
authorized to set the ceiling for overbooking. All passengers that have been sold
overbooked tickets shall have the right to be informed that they are merely
“Chance” passengers for that particular flight.

Sec. 12, Construction.- In case of doubt, the contract of air carriage shall
be construed liberally in favor of the passenger and strictly against the air
carrier.


CHAPTER Ill
RIGHTS AND OBLIGATIONS OF THE PASSENGERS

A. RIGHT TO FULL AND TRUTHFUL INFORMATION OF THE CONDITIONS OF
THE CONTRACT OF CARRIAGE

Sec. 13. Clear, Truthful, and Understandable Information. - \n addition
to the information enumerated under Section 15 hereof, every Passenger shall,
before purchasing any ticket for a contract of carriage, have the right to the full
access and fair and clear disclosure of information, in English and in Filipino,
from the air carrier or general sales agents on the following terms and conditions
of the contract of carriage:

a) Fare and other fees and ancillary charges (taxes, insurance, fuel
surcharge, seat reservation, etc.)

b) Travel restrictions

) Baggage allowance and limitations

d) Check-in and boarding requirements and deadlines

e) Air carrier's responsibilities and passenger's rights and compensation
for delayed and cancelled flights, and for death and injuries and lost, delayed or
damaged baggage

f) Air carrier's liability limitations

g) Procedures for claims against the air carrier

h) Services and amenities provided by the air carrier

i) | fthe ticket purchased is part of the overbooked portion of that flight

j) Other crucial and necessary conditions of the contract of carriage

Sec. 14. Method of Disclosure.- An air carrier shall cause the disclosure
under the immediately preceding Section to be printed on or attached to the
passenger ticket, boarding pass, or incorporate such terms and conditions of
carriage by reference.

Incorporation by reference means that the ticket or boarding pass shall
clearly state that the complete terms and conditions of carriage are available for
perusal or review in the air carrier's website, or in some other document that
may be sent to or delivered by post or electronic mail to the Passenger upon
his/her request.

The air carriers are required under this Act to post in their website, or
other online accounts, the information which the passenger has a right of full
access and disclosure.

In case of booking through a ticketing office or agent, the disclosure shall
be explained by the agent in a language that is easily understood by the
passenger and/or purchaser.

By confirming purchase of this ticket, you agree to the terms and
conditions which include:

a. (Refund policy)

b. (Rebooking policy)

c. (No-show policy)

d. (Other important information specific to the ticket purchased)

Sa pagpili ng tiket na ito, kayo ay sumasang-ayon sa mga kondisyon at
retriksyon kabilang na ang:


a. (Panuntunan sa pagsasauli ng ibinayad)
b. (Panuntunan sa pagpalit ng tiket)

c. (Panuntunan sa hindi pagdating sa tamang oras)

d. (Iba pang importanteng impormasyon ukol sa tiket)

Sec. 15, Advertisement. ~ Advertisements of fares shall be clear, truthful,
and not misleading and shall capacitate the passenger fully understands the
consequences of purchasing such ticket.

‘The advertisement of the promotional fares shall be made only after the
same has been approved by the CAB.

A notice indicating where more information on the route, fare, or
promotion may be found shall be included as part of the advertisement. The
following disclosures are required to be part of the airline advertisement in print
medium:

a. Conditions and restrictions attached to the fare type;

b. Refund and rebooking policies;

c. Government taxes and fuel surcharges;

d. Other fees and charges;

e. Contact details of the air carrier which includes phone numbers,
websites, emails, and online accounts;

f. Other information that is necessary to apprise the passenger of the
conditions and full price of the ticket which may include incorporation by
reference of websites and other available information portal or office where the
passenger can read or ask the full terms and conditions of the fare and his as
passenger; and

g. In case of promotional fares, the number of seats offered on a per sector
basis, the CAB permit or approval number and the duration of the promo.

B. RIGHT TO FAIR AND REASONABLE FARE AND TO THE FULL VALUE OF
THE SERVICE PURCHASED

Sec. 16. Right to Receive the Full Value of the Service Purchased. ~
Passengers shall have the right to reasonable fare and to receive the full value of
the services that they purchased. Air carriers shall not deny nor diminish any
service that the passenger has paid for. This right includes the convenience on
the part of the passenger during the flight

Sec. 17. Right to Refund. Every passenger holding a refundable airline
ticket shall have the right to the refund of unused tickets in accordance with the
terms and conditions of the refund policy of the air carrier less service charge.
‘The refund includes the amount paid for the optional fees offered by the air
carrier, if any.

Sec. 18. Right to Cancel a Flight. - Every passenger has a right to cancel a
flight subject to the following conditions:

In case of refundable tickets, if the cancelation of the confirmed flight
happens more than twenty-four (24) hours before the ETD, the passenger shall
be reimbursed by the air carrier for an amount equivalent to seventy-five
percent (75%) of the fare and full reimbursement of the charges for ancillary


services not availed of, including but not limited to baggage fees and terminal
fees.

Ifthe passenger holding the refundable ticket cancels the confirmed flight
less than twenty-four (24) hours before the ETD or does not show up altogether,
the ticket shall be considered flown with the fare deemed forfeited unless the
refund policy of the air carrier otherwise provides.

Sec. 19. Right to Rebook a Flight. Every passenger holding a rebookable
ticket shall have the right to rebook the flight in accordance with the terms and
conditions set forth in the rebooking policy of the air carrier, as approved by the
CAB

Sec. 20. 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 set
by the air carrier. For this purpose, the CAB shall therefore, consistent with
global aviation practice and subject to infrastructure limitations, provide a
uniform schedule of the opening of check-in counters and check-in deadline for
both local and international flights giving the passenger enough time to be
processed for check-in.

The air carrier, therefore, and subject to infrastructure limitations, shall
clearly designate the boundaries of its assigned check-in areas or counters in a
manner convenient to the passengers.

The air carrier shall ensure that all its passengers, including those who
are in queue prior to the check-in deadline, for a particular flight have already
checked-in before accepting its passengers from previously delayed or cancelled
flights followed by the chance passengers in that order when there are still
available seats.

Sec. 21. Right to Board Aircraft for the Purpose of Flight. - Except when
the passenger is at fault, or due to legal or valid causes such as, but not limited to,
immigration issues, safety, security, and health concerns when there is a legal or
other valid cause, a passenger who has checked-in for a particular flight has the
right to board the aircraft for the purpose of flight. A passenger shall be
considered at fault if such passenger is acting in violation of a law or the contract
of air carriage affecting the safety and security of another passenger or crew
during the voyage.

C. RIGHT AGAINST ANY ACT OF DISCRIMINATION AND VEXATION

Sec. 22. Right to Equal Protection. - Every passenger is entitled to all the
rights set forth in this Act and in all aspects of the contract of carriage regardless
of race, sex, gender, education, income, social status, language, physical
characteristics, mental characteristics, sensory impairments, religion, marital
status, political belief, and other circumstances.


Sec. 23. Right to be Respected, - Passengers shall have the right to be
respected at all times by the air carrier. The employees and crews of the air
carrier shall serve the passengers with utmost courtesy and respect.

D. RIGHT TO SAFETY

Sec. 24. Access to Emergency Measures, Medical Assistance, Safety
Devices and Essential Services. - Every Passenger has a right to have access and
to use emergency and safety devices, medical assistance, and proper application
of first aid procedures during emergency situations or when his or her health
requires it. Air carriers shall train flight personnel and crews in handling and
responding to emergency situations and shall provide at least one (1) flight crew
who is certified to apply first aid procedures. The air carrier shall always inform
its Passengers of emergency measures in cases of evacuation before the start or
during the first hour of the flight.

Every passenger shall have access to essential services such as adequate
food and potable water, clean and safe lavatory facilities, and cabin ventilation
and comfortable cabin temperatures.

E. RIGHT TO REDRESS AND COMPENSATION

Sec. 25. Right to bring action, satisfaction or relief of a wrong or
injury. - Every passenger has a right to take action against the air carrier for any
wrong or injury caused to the passenger by reason of the contract of carriage
under this Act and applicable treaties or conventions.

Sec. 26. Right to Immediate Payment of Compensation. - A passenger
shall have the right to be compensated, promptly and expeditiously, in case of
flight delay or cancellation, death or injury upon his person, and loss or
deterioration to his baggage and property, as the case may be.

Sec. 27. Rights of a Passenger for Delayed Flights. ~ Every passenger
has the right to be compensated for flights not flown within a reasonable time
from ETD. The provisions of this Section 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 resources, as it may deem appropriate.

a) Terminal Delay

In case the flight is delay for at least three (3) hours after the ETD, and
such is attributable to the air 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: (i) sufficient meals and refreshments
in a reasonable relation to the waiting time; (ii) free phone calls, text or internet
service (e-mails), and first aid if necessary. In applying this Section 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; and



4. Ask for refund or rebooking in accordance with Sections 17 and
19 hereof; or

5. Ask for endorsement to another air carrier subject to payment of
reasonable administrative charges

In case the flight is delayed for at least six (6) hours after ETD for causes
attributable to the air carrier, the flight shall be deemed cancelled and the
affected passenger shall be entitled to the remedies provided under Section 28
(a).

b) Tarmac Delay

Every passenger shall likewise have the right to adequate food and
beverage in cases of tarmac delay of at least two (2) hours after ETD, reckoned
from the closing of the aircraft doors or when the aircraft is still at the gate with
the doors still open but the passengers are not allowed to deplane. In case the
delay exceeds five (5) hours the Passenger may request disembarkation.

In the case of a multi-sector journey where the air carrier is at fault, in
addition to the right and entitlements stated under this Section, a passenger shall
be entitled to an additional compensation at a rate which is equivalent to at least
the value of the sector cancelled by reason of the delay. Provided, that, in case of
connecting flights with another air carrier, the passenger has allotted sufficient
connecting time of a least three (3) hours for international flights and two (2)
hours for domestic flights. Provided, further that the passenger shall not be
entitled to the compensation of the value of the sector deemed cancelled, if the
passenger is endorsed to another air carrier and the passenger is able to
complete his journey.

Sec. 28. Rights of a Passenger for Cancelled Flights or Flights Deemed
Cancelled. - Every passenger has a right to compensation in cases of flight
cancellation subject to the following rules:

(a) Ifa Might is cancelled due to a cause attributable to air carrier, a
passenger shall have 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 provided a minimum level of care immediately, on the spot at
terminals/stations;

3. Be offered free of charge

i. sufficient meals and refreshments in a reasonable relation to
the waiting time;

{i, 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; and

ili, transportation service 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 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; and

4. Be entitled to any of the following:



i, Refund the fare the passenger paid for the ticket. If the payment
is made in cash, the passenger shall 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. If payment
is made through credit card, the reimbursement should be credited back to the
payor's credit card account within a reasonable period based on the
internationally accepted credit card crediting system without additional cost to
the passenger. The passenger shall be reimbursed of the full cost of the ticket at
the price at which it was bought, subject to provisions of Section 10 and Section
18 hereof; or

ii, 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-accommodating; or

iii. Rebook the ticket without any additional charge. In the case of a
multi-sector journey, in addition to the rights and entitlements stated under this
Section, a passenger shall be entitled to an additional compensation at a rate
which is equivalent to at least the value of the sector cancelled. Provided, that, in
case of connecting flights with another air carrier, the passenger has allotted
sufficient connecting time of a least three (3) hours for international flights and
two (2) hours for domestic flights. Provided, further that the passenger shall not
be entitled to the compensation of the value of the sector deemed cancelled, if
the passenger is endorsed to another air carrier and the passenger is able to
complete his journey.

(b) In case the air carrier cancels the flight due to i) infrastructure
limitation as certified by CAAP; ii) safety reasons due to a technical limitation; iii)
security reasons; or iv) during the occurrence of a fortuitous event, a passenger
shall have the right to:

1, Rebook to a future flight, subject to the payment of the fare
difference, if any, and reasonable administrative costs approved by CAB: or

2. Reimbursement of the value of the fare, subject to the payment
of reasonable administrative costs approved by CAB; or

3. Endorsement to another air carrier upon payment of any fare
difference and be provided space and other circumstances that the
accommodation permits, at the option of the passenger.

Sec. 29. Rights of PASSENGERS Denied Boarding. A passenger who has
checked-in for a particular flight cannot be denied from boarding the aircraft
except for legal or other valid causes such as, but not limited to, immigration
issues, safety, security, and health concerns.

In a case where a passenger is denied boarding because the number of
volunteers is not met on occasion of overbooking, government requisition of
space, downgrading of an aircraft or legal orders, the flight in respect to the
affected passenger shall be deemed cancelled and the compensation shall be
governed by the following rules:

a) If the denial of boarding the aircraft is by reason of overbooking
or aircraft downgrading, the passenger concerned shall be compensated in
accordance with the provisions of Section 28 (a):

b) If the denial of boarding the aircraft is for some legal or
justifiable reason relating to the security, or safety of other passengers, or


applicable regulations as sanctioned by CAAP, or legal order of other authorities,
the passenger concerned shall be entitled to refund, rebooking or endorsement
to another air carrier subject to payment of fare difference or any administrative
charges as approved by CAB;

c) If the denial of boarding the aircraft is due to government
requisition of space, the affected passenger shall be entitled to the remedies in
the preceding paragraph. The requesting agency shall reimburse the air carrier
of the costs it incurred in compensating affected passengers.

d) In the case where a passenger is denied boarding for acting in
violation of a law or the contract of air carriage affecting the safety and security
of another passenger or crew during the voyage, such passenger shall not be
entitled to any relief provided under this Act.

Sec. 30. Priority in Filling-up of Empty Seats in the Air CARRIER’S Next
Flight. - Before the vacant seats in a particular flight of the air carrier can be
given to chance passengers, the same shall be offered first to the bumped-off
passengers of the air carrier’s preceding flight or flights and thereafter to the air
carrier's chance passengers and to the bumped-off passengers endorsed by
another air carrier.

Sec. 31. Right to Compensation for Delayed, Lost, and Damaged
Baggage. A passenger shall have the right to have his/her baggage carried on
the same flight that such passenger takes, subject to considerations of safety,
security, or any other legal and valid cause.

a) 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 (i.e. that his/her baggage has been off0loaded and the
reason therefor). 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 equivalent to the rates approved by the CAB
that shall not be less than Two Thousand Pesos (P2,000.00), as compensation for
the inconvenience the latter experienced. A fraction of a day shall be considered
as one day for purposes of calculating the compensation.

For the purposes of this section, the twenty four (24)-hour period shall
commence one (1) hour from the arrival of the original flights of the passenger.

b) 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:

1) For international flights, the relevant convention shall apply.


2) For domestic flights, upon proof, a maximum amount equivalent to half
of the amount in the relevant convention (for international flights) in its
Philippine currency equivalent.

For compensation purposes, a passenger's baggage is presumed to have been
permanently and totally lost, if within a period of seven (7) days, counted from
the time the passenger should have received the same, the baggage is not
delivered to the passenger or consignee.

Sec. 32. Compensation for Death and Bodily Injuries.-

a) In the case of international flights, the rules of the relevant
convention shall apply as to compensation for death or bodily injuries sustained
bya passenger in the contract of carriage.

b) For domestic flights, the passenger shall be entitled to the
compensation under the contract of carriage of the provision of applicable
convention, in its Philippine currency equivalent, whichever is higher.

CHAPTER IV
RIGHTS, DUTIES AND OBLIGATIONS OF THE AIR CARRIERS

Sec. 33. Prevention of Harm to Passengers and Maintenance of
Aircraft- The air carrier shall prevent harm and hazards to passengers by
ensuring that it follows all regulations on the airworthiness of the aircraft,
complies with rules on hazardous materials, protects the passengers from
unreasonable harm, and actively responds to harm caused by the aircraft
structure, materials, and chemicals.

Sec. 34, Designation of an “All-Flight” or “Per Route” Counters. - Air
carriers may operate all-flight counters which will serve passengers without
regard to destination. As far as practicable, the air carrier shall, in addition to all-
flight counters, open a separate counter dedicated for a flight nearing check-in
deadline to facilitate the checking-in of passengers at least an hour before the
published ETD.

Sec. 35. Special Accommodation of PWDs, Persons with Special Needs,
Senior Citizens, Pregnant Women and Unaccompanied Children. - To ensure
that the full enjoyment of the rights enumerated under this Act, the provisions of
the following laws and their implementing rules and regulations, whenever
applicable, shall form part of this Act as far as the passengers in this Section are
concerned:

a) Republic Act No. 7277 or the Magna Carta for Disabled Persons as
amended by Republic Act No. 9442 and its implementing rules and regulations;

b) Batas Pambansa Bilang 344 or the Accessibility Law;

c) Republic Act No. 7432 as amended by Republic Act No. 9257 and
Republic Act No. 9994 or the Expanded Senior Citizens Act of 2010 and its
implementing rules and regulations.


The contract of air carriage shall clearly enumerate the necessary terms
and conditions affecting the rights of PWDs, senior citizens, persons requiring
special needs, pregnant women and unaccompanied children.

Air carriers and its agents, in coordination with the agencies charged with
protecting the rights and welfare of the above mentioned passengers, shall
implement a system allowing this group of person enough and convenient
opportunity to comply with aviation requirements and their special needs,
facilities and assistance by reason of their individual circumstances throughout
the flight.

For this purpose, when airport facilities allow, air carriers shall designate
at least one (1) check-in counter dedicated to persons with disabilities (PWDs),
senior citizens, persons requiring special assistance, pregnant women, and
unaccompanied children between 7 and 15 years old.

Sec. 36, Responsibility of the Air Carrier when the Number of
Passengers is Beyond the Capacity of the Aircraft. ~ \f a certain flight has more
ticketed passengers than the allowed capacity of the aircraft by reason of
overbooking, government requisition of space, as well as the downgrading of the
aircraft for safety or unforeseen operational reasons, the air carrier shall
perform the following:

a) Determine the number of passengers in excess of the actual seat
capacity of the aircraft;

b) Announce that the flight is overbooked, and that it is looking for
volunteers willing to give up their seats in exchange for compensation;

c) Provide the interested passengers or volunteers the options under
Section 29 hereof, which shall always include priority booking in the next flight
with available space and/or cash incentive.

No flight shall be delayed pursuant to the settlement of the air carrier's
obligation under this Section.

Sec. 37. Duty of the Air Carrier in the Event of Flight Deviation.- Flight
deviation happens when there is a change in the airport of origin or destination.
If such is the case, the air carrier shall provide the necessary transportation for
ferrying the passenger from the originally-designated airport of departure to the
actual airport of departure or from the airport of actual destination to the airport
of the originally-designated destination, as the case may be.

If by reason of the deviation certain a right of a passenger has been
violated, the applicable provisions of this Act shall govern the rules on remedies
and compensation.

Sec. 38. Provision of Assistance Desk. - Air carriers shall provide
Customer Service Representatives (CSR) who can address common problems on
the spot which includes arranging for meals, hotel rooms and accommodation for
stranded passenger, arrange luggage resolutions and settle other routine claims
or complaints.

Sec. 39. Operational Spare. ~ An air carrier shall, in adopting its flight
schedules, exert all efforts to manage the disposition of its aircraft in such a ways
as to be able to reallocate aircraft to take the place of another aircraft in case the


latter cannot carry the passengers due to operational requirement, aircraft
maintenance, and other similar situations.

CHAPTER V
OBLIGATION OF THE CAAP, CAB AND AIRPORT OPERATORS

Sec. 40. Availability of Check-in Counters. - The CAAP, airport
authorities or airport operators, as the case may be, shall provide adequate
number of check-in counters of every air carrier operating in a particular airport.

‘They shall ensure that the number of check-in counters of an air carrier in
a particular airport shall be proportionate to the volume of passengers who are
checking-in for a particular flight.

Sec. 41. Assignment of Technical Personnel in Airports. - The CAAP
shall ensure that every commercial airport is manned by technical personnel
capable of verifying and certifying reports of technical or infrastructure
problems or other reasons leading to delays and cancellations. The technical
personnel concerned shall submit a periodic report of all delays and
cancellations and the corresponding reasons thereof to the CAAP Central Office.

Sec. 42. Complaints Desk. The CAB shall provide the necessary
personnel to cater the unresolved complaints of passenger in every commercial
airport. It shall be the duty of the assigned personnel to report all complaints to
the CAB at the earliest time possible taking into account the nature if the relief
sought by the passenger.

CHAPTER VI
REMEDIES AND GRIEVANCE PROCEDURES.

Sec. 43. Amicable Settlement. - The passenger and air carrier shall
exhaust all efforts toward settling their disputes amicably in accordance to the
provisions set forth in this Act. If no amicable settlement reached, the
government, through the CAB, may take cognizance of the case.

CHAPTER VI
PENAL PROVISIONS

Sec. 44. Penalties. - Any violation of this Act shall be penalized in
accordance with the pertinent of Republic Act No. 776 or the Civil Aeronautics
Act of the Philippines, Republic Act no. 7394 or the Consumer Act of the
Philippines, Republic Act No. 9442, Batas Pambansa Bilang 344 and Republic Act
No. 9994, as the case may be. 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
‘suspension of its license to operate.

Grave and repetitive violations after the lifting of the suspension license
to operate shall be a ground for revocation of such license to operate.


Sec. 45. Review of Penalties. - The Department of Transportation,
Department of Trade and Industry (DT!), CAAP and the CAB shall, after three (3)
years from the effectivity of this Act and every three (3) years thereafter, review
the applicability and enforcement of the provision of this Act and shall initiate
amendment as may be necessary.

CHAPTER VIL
FINAL PROVISIONS

Sec. 46. Implementing Rules and Regulations. - Within 90 days from
the effectivity of this Act, the DOTC, DTI, CAAP and the CAB, in consultation with
accredited passenger organizations shall, promulgate the necessary rules and
regulations to effectively implement the provisions of this Act.

Sec. 47. Congressional Oversight Committee. - A Congressional
Oversight Committee, hereinafter referred to as the “Committee”, is hereby
constituted. The Committee shall be composed of the Chairman of the Senate
Committee on Public Services and Chairman of the House Committee on
Transportation and four (4) additional members from each House to be
designated by the Senate President and the Speaker of the House of
Representatives, respectively. The Committee shall monitor and ensure the
implementation of this Act. The Committee is also empowered to require DOT,
DTI, CAAP and CAB, to submit all pertinent information including, but not limited
to, complaints filed by the passengers and the complaints resolved by the air
carriers and the CAB.

The Congressional Oversight Committee shall be in existence for a period
of five (5) years, and thereafter, its oversight functions shall be exercised by the
Senate Committee on Public Services and the House Committee on
‘Transportation.

Sec. 48. Appropriations. - The Secretary of Transportation shall
immediately include in the Department's program the needed operational
requirement in upholding of the enumerated rights in this Act, the initial funding
of which shall be charged against the current appropriations for the CAB.
Thereafter, such sums as may be necessary for the continued implementation of
this Act shall be included in the annual General Appropriations Act.

Sec. 49. Separability Clause.- if for any reason any provision of this Act
is declared unconstitutional or invalid, such parts or portions not affected
thereby shall remain in full force and effect

Sec. 50. Repealing Clause.- All laws, executive orders, presidential
decrees, issuance, rules and regulations or parts thereof inconsistent with the
provisions of this Act are hereby repeated or modified accordingly.

Sec. 51. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in at least two (2) national newspapaer of
general circulation.

Approved,