Solidary Liability in Overseas Employment Contracts

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POEA MEMORANDUM CIRCULAR NO. 14: Solidary Liability in Overseas Employment Contracts

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Title Source: Supreme Court: Solidary Liability in Overseas Employment Contracts

Law: Poea Memorandum Circular No. 14

Decision Date: Mar 7, 1996

The Migrant Workers and Overseas Filipinos Act mandates that employment contracts for overseas workers must include a provision for joint and solidary liability of both employers and recruitment agencies, ensuring accountability for all claims.

Law Summary

Scope and Application

Applies to all contracts submitted for accreditation of principals and processing of overseas employment documents.
Ensures accountability on the part of both employers and agencies involved in overseas deployment.

Procedural Requirement

Employment contracts must include the joint and solidary liability clause as a prerequisite.
This requirement is subject to compliance before approval of contracts for overseas employment.

Enforcement and Compliance

Immediate implementation mandated by the Philippine Overseas Employment Administration (POEA).
Failure to incorporate the provision may result in denial of contract approval.

Legal Basis

Derived from Section 60 of the Rules and Regulations implementing the Migrant Workers and Overseas Filipinos Act of 1995.
Reflects legislative intent to protect overseas Filipinos by ensuring responsibility of employers and agencies.

Important Legal Concept: Solidary Liability

Solidary liability means each liable party can be held responsible for the full amount of any claim.
Facilitates easier and more effective enforcement of overseas employment rights and claims against multiple responsible parties.

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