Cadets at the commemoration of seafarer’s day — BW File Photo
Republic Act (RA) 10706 or the Seafarers Protection Act, signed on Nov. 26 and published in a newspaper on Monday, states that ambulance chasing is the act of soliciting, personally or through an agent, from seafarers or their heirs, the pursuit of any claim against their employers for the purpose of recovery of monetary claim or benefit, including legal interest, arising from accident, illness or death, in exchange for a fee which shall be retained or deducted from the monetary claim or benefit granted to or awarded to the seafarers or their heirs.
“As some unscrupulous individuals who have taken advantage of the plight of our seafarers who met an accident, illness or death in the course of their service by exploiting the compensation system, our seafarers have fallen prey to an unfair scheme where ambulance chasers charge exorbitant fees, with the promise of huge monetary award,” the law read.
RA 10706 declares ambulance chasing illegal and states that violators face a P50,000 to P100,000 fine and/or imprisonment of one to two years. The same penalties shall be imposed upon any person in collusion with this illicit enterprise.
The new law also mandates that the fees collected by an individual who appears or represents seafarers in cases of recovery of monetary claim or benefit, including legal interest, arising from accident, illness or death, should not exceed 10% of the compensation or benefit awarded to the seafarer or his heirs.
Fees, according to RA 10706, are the total amount of compensation of the person who appears for or represents the seafarer or his heirs for services rendered.
The Maritime Industry Authority and the Philippine Overseas Employment Administration were tasked to promulgate within 90 days the necessary rules and regulations for the effective implementation of RA 10706.
Senator Juan Edgardo M. Angara said some lawyers take advantage of the plight of our seafarers in the course of their service.
“To exploit the compensation system, these law practitioners have purposely sought excessive labor claims not commensurate to their actual entitlement,” Mr. Angara, one of the law’s authors, said.
Mr. Angara said ambulance chasers not only resort to this “unacceptable practice” but also charge “exorbitant legal fees” and seek up to 40% of the total money claims granted. — Kathryn Mae P. Tubadeza
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