PHILIPPINES Law and Practice Contributed by: Valeriano Del Rosario, Daphne Ruby Grasparil, Patrick Sarmiento and Maria Francesca Bautista, VeraLaw
Articles 1266 and 1267 of the Civil Code also provide that a person responsible for fulfilling an obligation is released from it if, without that person’s fault, the obligation becomes legally or physically impossible or if the difficulty of fulfilling the obligation is manifestly beyond the parties’ contemplation. 9.2 Enforcement of the IMO 2020 Rule Limiting the Sulphur Content of Fuel Oil MARINA is the body that monitors and enforces the IMO 2020 sulphur content limitation in fuel oil. It has been previously reported by MARINA that Philippine- flagged vessels that ply international routes are already compliant with IMO 2020. However, as regards ves - sels plying domestic waters, MARINA Memorandum Circular No SR 2020-06 gave these vessels until 1 January 2025 to comply with the 0.50% m/m fuel oil sulphur content, per IMO 2020. This Memorandum Circular also provides for the penalty for using fuel oil with sulphur content above the limit. The authors are not aware of any proceedings before MARINA relating to the violation of the limit. 9.3 Trade Sanctions The Philippines has recognised international trade sanctions, but only those specific to anti-terrorism financing. The Philippines enacted Republic Act No 10168 specifically to make the financing of terrorism a crime against the Filipino people, against humanity and against the law of nations. The Philippines also follows the UN-mandated con - trols on exportation, transit and brokerage assistance of dual-use items related to proliferation of weapons of mass destruction. Republic Act No 10697, other - wise known as the “Strategic Trade Management Act”, was set in place to fulfil the Philippines’ international commitments and obligations, including those under United Nations Security Council Resolution (UNSCR) 1540 concerning the non-proliferation of weapons of mass destruction. There are, however, no direct sanctions imposed by the Philippines against Russia. As a matter of fact, while not having any direct sanctions in place, the Philippines was adversely affected by trade sanctions on Russia imposed by the United Nations and other
countries because these resulted in the replacement and repatriation of several Filipino seafarers. 9.4 International Conflict Similar to the rest of the world, the Philippines has felt the negative impact of the Ukraine–Russia war on the prices of fuel and commodities. The Philippine maritime labour sector was greatly affected by the war in two ways. Considering that the Philippines provides about 30% of the officers and crew on international ships, the ships that were trapped in the Black Sea employed numerous Filipino seafarers who had no easy way home. The Ukrainian seafarers were being repatriated to join the war, and the Russian seafarers were also affected by the sanc - tions imposed on the Russian government. These fac - tors created a short-term shortage of seafarers, and Filipinos were considered for replacement to respond to the shortage in marine personnel. 10. Additional Maritime or Shipping Issues 10.1 Other Jurisdiction-Specific Shipping and Maritime Issues The Philippines is one of the largest providers of sea - farers and marine officers for international vessels. These seafarers make a substantial contribution to the Philippines’ economy. Prior to COVID-19, the Philippines deployed 507,730 seafarers internation - ally. During the pandemic, the number went down by almost 50%, but after the first year the number steadily increased. In terms of seafarers’ remittance, the country earned USD6.852 billion in 2023 and USD6.941 billion in 2024, the latter figure comprising at least 20% of all US dollar remittances from Filipino overseas workers. In January to October 2025, seafar - ers’ remittance reached USD5.841 billion (Overseas Filipino Remittances, Bangko Sentral Ng Pilipinas, 4 January 2026). This industry has not been without challenges, one of which is the rising number of seafarers’ claims for dis - ability benefits. Owing to the Philippines’ labour laws’ bias favouring employees and laws on immediate execution of judgment awards, ambulance chasers
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