Scope of Application
- Applies to motor vehicles (delivery vans, trucks) registered in the name of a company.
- Vehicles exclusively used for the company’s own business operations, not for public transport or common carriage.
Definition of Public Service Vehicle under the Public Service Act
- Public service vehicles include common carriers operated for hire or compensation.
- Includes motor vehicles used for freight or passengers with general business purposes.
- Requires Certificate of Public Convenience (CPC) issued by the LTFRB for public service operation.
Key Provision on Franchise Requirement
- Only vehicles operating as public carriers or offering public service must secure an LTFRB franchise.
- Company-owned vehicles used exclusively for internal business operations do not qualify as public service vehicles.
- Such company vehicles are not required to obtain a franchise from the LTFRB.
Legal Basis
- Reference to Section 13, paragraph B of the Public Service Act clarifying the nature of public service vehicles.
- Reinforces that private business use vehicles are outside the franchise requirement.
Implications for Enforcement
- LTO and its deputized agents should refrain from apprehending company vehicles solely for lack of LTFRB franchise if used for company operations.
- Prevents unnecessary penalties and operational disruption to businesses.
Instruction for Compliance
- Mandates guidance and strict compliance with the clarified interpretation by relevant agencies.
- Authorized by the Assistant Secretary of the LTO, Virginia P. Torres.