MANILA, Philippines - Starting June 15, domestic airlines face suspension and fees if they bump off passengers from an overbooked flight and disallow refunds and re-booking of airline tickets.
This final order was imposed by the Civil Aeronautics Board (CAB) after considering the numerous consumer complaints against local airlines that have been aggressively expanding flight frequencies and offering promotional fares in the past years.
This marks the first time the CAB amended its 40-year old regulation on compensation for denied boarding and delayed or cancelled flights.
The CAB first issued these orders last May 4. Following required consultation process with stakeholders--including representatives of airlines who presented their position papers during a board meeting last May 11--the CAB resolved “to sustain” its orders which will be published on June 1 in a newspaper. As a rule, these CAB resolutions will take effect 15 days after publication.