You are here

Another plea vs seafarers' bond rule filed at SC

Another plea vs seafarers' bond rule filed at SC
Ian Laqui - May 6, 2025 https://www.philstar.com/headlines/2025/05/06/2441037/another-plea-vs-se...

Seafarers from Magsaysay MOL Marine Inc. load boxes of relief goods onto a Philippine Coastguard commissioned ship on Dec. 28, 2011. AFP / Noel Celis
MANILA, Philippines — A provision in the Magna Carta for Seafarers that requires seafarers to post financial guarantees for enforcing monetary claims has been challenged before the Supreme Court.

The petition was filed on Tuesday, May 6, by the Concerned Seafarers of the Philippines and other groups. It was lodged by lawyer and congressional aspirant Neri Colmenares, a former Bayan Muna representative.

The petition seeks to declare Section 59 of the law unconstitutional and void. It also asks the High Court to issue a temporary restraining order and a writ of preliminary injunction against the implementation of the Magna Carta and its implementing rules and regulations.

"We questioned the law for practically lowering the amount of compensation for injuries suffered by seafarers and by requiring seafarers to post a bond in order to access compensation already awarded to them by the NLRC (National Labor Relations Commission)," Colmenares said in a statement.

According to the petition, Section 59 of the Magna Carta violates the equal protection clause of the 1987 Constitution.

The petitioners argued that as a labor dispute, there is no justifiable reason to treat cases involving seafarers—who are overseas Filipino workers at sea—differently from those of land-based OFWs and local workers, particularly by denying them the benefit of a final and enforceable labor tribunal decision when they win their case.

They also argued that Section 59 of the Magna Carta violates the principle that public funds must be used solely for public purposes, since the "Aksyon Fund" under the Department of Migrant Workers may be used to cover the bond required for seafarers to enforce favorable monetary judgments pending appeal.

“Clearly, the AKSYON Fund under Section 59 is used for the benefit of a private enterprise; it is not for a public purpose, it is not for a social justice purpose. As such, it violates the limitation that public funds can only be used for a public purpose,” the petition read.

“Considering the analysis that it is ultimately the manning agencies/foreign principals that benefit from the AKSYON Fund, Section 59 did not create any new benefits for seafarers, but rather deprives OFWs of much-needed funds,” it added.

What Section 59 of the Magna Carta says. Under Section 59, a seafarer who wins a monetary judgment must post a bond to enforce it if the decision is under appeal.

This bond serves as security for repayment should the appeal succeed.

The seafarer is required to maintain the bond until the conclusion of the appeal or review process.

If the seafarer ultimately prevails, the losing party bears the bond's cost; however, if the seafarer loses, they forfeit the amount.

Other petitions. This is the second petition challenging the provision in the Magna Carta.

The first was filed by the Federation of Free Workers on March 20, arguing that it imposes a financial burden on seafarers.

They also contended that the requirement contradicts the Magna Carta’s intent to protect seafarers’ livelihoods and well-being.