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Advocates Philippines
LTFRB Cracks Down On Ride-Hailing Driver Cancellations
FILE
The Land Transportation Franchising and Regulatory Board (LTFRB) is putting its foot down on a problem many commuters know all too well—drivers suddenly canceling bookings, especially in traffic-heavy areas or during the busy holiday rush.

Following President Ferdinand Marcos Jr.’s directive to protect commuters, and under the guidance of DOTr Secretary Giovanni Lopez, the LTFRB has released a new memorandum (MC 2025-055) that penalizes Transport Network Vehicle Service (TNVS) drivers who cancel rides without valid reason.

LTFRB Chairman Vigor Mendoza II said this move was prompted by the rising number of complaints from frustrated passengers. Many say drivers cancel rides when the trip is too short, the route is inconvenient, or traffic is too heavy.

Here’s What the New Penalties Look Like:
• 1st Offense: ₱5,000 fine
• 2nd Offense: ₱10,000 fine + 30-day impounding
• 3rd & succeeding offenses: ₱15,000 fine + cancellation of franchise

Chairman Mendoza stressed that sudden cancellations are more than just inconvenient—they can put passengers in unsafe situations.

“Oras ng mananakay ang nasasayang. What if may emergency tapos biglang kinansel nang walang rason?” he said.

When Drivers Can Be Penalized
The new rules apply when drivers cancel rides because:
• The trip is too short or not profitable
• They want a higher fare from another booking
• They discriminate against senior citizens, PWDs, or other vulnerable passengers
• They cancel while already in transit without valid reason

They show a pattern of cancellations based on area, time, or passenger profile

To help monitor this, Transport Network Companies (TNCs) must now submit monthly reports detailing cancellation data and the actions taken against erring drivers.

Exceptions Still Apply

Cancellations due to flooding, car trouble, or problematic passenger behavior are allowed.

TNCs Also Face Penalties

If ride-hailing companies fail to act on erring drivers or don’t submit required reports, they could face fines, suspension, or cancellation of accreditation.

The new memo takes effect immediately after publication.
Bottom line: Commuters should expect fewer sudden cancellations—and a more reliable ride-hailing experience—this holiday season and beyond.
Dec 12, 2025
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