LTFRB suspends firm for fare haggling

MANILA, Philippines — The Land Transportation Franchising and Regulatory Board (LTFRB) has suspended the operations of a new ride-hailing firm for asking passengers to haggle fare rates.

In a temporary cease and desist order, LTFRB Chairman Teofilo Guadiz directed RL Soft Corp., which operates the app inDrive, to stop operations starting Jan. 23.

Guadiz gave RL Soft 15 days to comply and present proof of compliance.

The LTFRB found that while on the inDrive app, commuters and drivers are asked to negotiate the price of the ride instead of complying with the fare matrix set by the board.

“The LTFRB remains committed to ensuring the safety and fair practices within the transportation industry. Haggling of fares not only goes against the principles of transparency but also jeopardizes the welfare of both passengers and drivers,” Guadiz said.

He noted that they are conducting a thorough investigation to determine the extent of the violation.

Guadiz reminded transport network companies to adhere to the terms and conditions set in their accreditation.

“The LTFRB will continue to enforce policies that prioritize the safety, fairness and efficiency of transportation services for the benefit of the commuting public,” he said.

The board approved the accreditation of RL Soft in November 2023.