The Land Transportation Office recently announced that it is preparing for the holidays, and part of this prep included its new policy against drivers of Transport Network Vehicle Services (TNVS) who cancel bookings amid the Christmas rush. Now, an official memo has been released regarding the matter.
The Land Transportation Franchising and Regulatory Board has issued LTFRB Memorandum Circular 2025-055, which penalizes booking cancellations among TNVS drivers for violating Section IV.2 of Joint Administrative Order (JAO) 2014-01, specifically the Refusal to Convey Passengers.
Under JAO 2014-01, first offenses will entail a P5,000 fine, while the second, P10,000. Third and subsequent offenses will result in a P15,000 penalty plus the cancellation of the Certificate of Public Convenience (CPC) where the unit is authorized. The CPC is essentially the document that allows TNVS companies to operate.
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“Matindi ang epekto ng biglaan at garapalang booking cancellation sa mga TNVS dahil ang pinag-uusapan dito ay kahalagahan ng oras ng mananakay na maaring makompromiso ng ganitong modus,” said LTFRB chairperson Atty. Vigor Mendoza II.
“This is also a matter of safety and welfare of the passengers because it involves hope of convenience and all of a sudden, the booking is cancelled,” he added. “What if it also involves emergency situations tapos bigla-bihlang cancel ng walang dahilan.”
The memorandum specifies violations as cancellations done to avoid short-distance or non-profitable trips in favor of those with higher fare charges, as well as when they involve discrimination. It also penalizes cancellations in transit without any valid reason.
TNCs are required to submit to the LTFRB monthly reports containing the number and/or percentage of cancellations arranged by different categories. This allows the agency to look into possible behavior patterns or problem areas that some companies refuse to serve and act accordingly. The TNCs’ failure to comply will also result in fines, suspensions, or even cancellation of accreditation.
The memorandum exempts booking cancellations that include natural calamities and issues relating to car maintenance or passenger behavior.
What do you think of this move by the LTO and LTFRB, readers? Sound off in the comments.
