Seafarers seek SC ruling against new 'discriminatory' bond requirement

MANILA, Philippines — A labor group has petitioned the Supreme Court to declare unconstitutional the bond requirement provision under the Magna Carta for Seafarers, arguing that it imposes an unfair financial burden on seafarers.
The petition, filed on Thursday, March 20, by Federation of Free Workers President and lawyer Sonny Matula, challenges Section 59 of the Magna Carta. This provision requires seafarers to post a financial guarantee before they can execute favorable decisions on monetary claims, a condition not imposed on land-based workers.
“Petitioner contends that the bond requirement serves no legitimate purpose other than to delay the delivery of justice to seafarers who have already endured long and costly legal battles,” the petition stated.
The Magna Carta for Seafarers or Republic Act 12021 was signed into law in September 2024.
What Section 59 says. Under Section 59, if a case involving the execution of judgment and monetary reward is still under appeal or review, enforcement of the decision is only allowed if the challenging party provides a financial guarantee.
This bond ensures that funds can be returned if the decision is overturned. The bond must remain in place until the appeal or review is resolved.
If the seafarer ultimately wins, the losing party must reimburse the full cost of the bond. However, if the seafarer loses, no refund is issued.
Why it's being questioned. The labor group argues that this provision discriminates against seafarers by imposing a financial risk not faced by other workers.
“This provision unfairly burdens seafarers with a financial risk that other workers do not face. In the event of an adverse ruling, a seafarer forfeits the amount posted as a bond, whereas no equivalent financial obligation is imposed on non-seafarer workers under similar circumstances,” the petition read.
Seafarers further contend that this requirement contradicts the Magna Carta’s purpose of protecting their livelihoods and well-being.
“Requiring seafarers to post a bond before they can enforce a favorable decision places an additional financial burden on them, effectively limiting their ability to obtain redress. Instead of protecting seafarers, this requirement weakens their position by subjecting them to a legal hurdle not imposed on other workers,” they argued.
The petition emphasizes that this distinction is irrelevant to safeguarding seafarers and instead undermines their rights by delaying justice and adding financial strain.
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