TNVS liability

Dear Atty. Joji,

As a frequent user of ride-hailing applications, I sometimes wonder about the risks involved in availing of their services. For instance, what happens if a passenger gets injured in an accident during the trip, or if personal belongings are lost or damaged while inside the vehicle? In such cases, to what extent may Transportation Network Vehicle Services (TNVS) be held liable?

Pauline

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Dear Pauline,

Section 2 of DO No. 2018-013 defines a Transportation Network Vehicle Service (TNVS) as a TNC-accredited private vehicle owner, which is a common carrier, using the internet-based technology application or digital platform technology transporting passengers from one point to another, for compensation. The order also emphasized that the TNVS cannot operate as a common carrier outside of, or independent from the use of the internet-based technology of the TNC to which they are accredited.

As gleamed from the definition above, a TNVS is considered as a common carrier under the Philippine law. Article 1733 of the New Civil Code provides: “Common carriers, from the nature of their business and for reasons of public policy, are bound to observe extraordinary diligence in the vigilance over the goods and for the safety of the passengers transported by them, according to all the circumstances of each case.” Further, Article 1756 of the same code provides that “in case of death of or injuries to passengers, common carriers are presumed to have been at fault or to have acted negligently, unless they prove that they observed extraordinary diligence as prescribed in articles 1733 and 1755.”

Further, in the case of LTFRB v. Valenzuela, G.R. No. 242860, 11 March 2019, the Supreme Court ruled that the accountability of the TNVS, as a common carrier, attaches from the time the TNVS is online and offers its services to the riding public.

From the foregoing, a TNVS under ride-hailing applications, as public transport providers, shall observe the diligence required of common carriers in accordance with the New Civil Code and possesses all the liabilities of a common carrier and since they are considered as such under Philippine law.

Hope this helps.

Atty. Joji Alonso