Isabela State University

Cabagan, Campus

HM 321 LEGAL ASPECTS IN HOSPITALITY AND TOURISM

1.Title of the Module

Chapter 4: Law Regulating Accommodation Establishments

2. Introduction

The tourism and hospitality industry operates within a comprehensive domestic and
international, legal and regulatory framework. This course examines this framework and covers key
principles of law applicable to hospitality, tourism and related industries. Various legislation on
business organization and several international law issues such as consumer protection, product and
service liability, employment and law access to the natural environment will be covered.

3. Learning Outcome:

• Identify the laws affecting the accommodation sector.

• Identify the rights of the hotel guest.
• Explain how quality and safety standards are maintained by hotels and similar establishments by
meeting minimum requirements of the law.

4. Learning Content:

Chapter 4: Law Regulating Accommodation Establishments

 Nature and Description of Business

 Rules on the Operation and Management of Resorts
 National Building Code of the Philippines
 Building Permits
 DOT Memorandum Circular No. 2006-09

Chapter 4: Law Regulating Accommodation Establishments

  Nature and Description of Business

Business entities engaged in the operation of tourist accommodation establishments may be organized
as a single proprietorship or a corporation.

a. Hotel- a building edifice or premises or a completely independent part thereof, which is used for
the regular reception, accommodation or lodging of travellers and tourist and the provision of
services incidental thereto for a free.

b. Resort- A resort is a self-contained destination that can provide for all of your travel needs in one
location. You can find food, drinks, entertainment, shopping, and other activities all without
needing to leave the property. Resorts also have great recreational facilities like swimming pools,
courts and areas for various sports, and other activities.

c. Tourist Inn- a lodging establishment catering to transients which does not meet the minimum
requirements of an economy hotel.

d. Apartel- any building or edifice containing several independent and furnished or semi-furnished
apartments, regularly leased to tourist and travellers for dwelling in a more or less long term basis
and offering basic to its tenants, similar to hotel.

e. Pension House- a private or family operated tourist boarding house, tourist guest house,
employing non-professional domestic helpers regularly catering to tourists and travellers
containing several independent lettable rooms, providing common facilities, such as toilets,
bathrooms, showers, living and dining rooms and or kitchen and where a combination of board
and lodging may be provided.

f. Motel- any structure with several separate unit, primarily located along the highway with
individual or common parking space at which motorists may obtain lodging and in some
instances, with meals.

STAR GRADING SYSTEMS FOR HOTELS AND APARTMENT HOTELS

Section 1. Five Star Grading Systems. There are Five(5) levels of accommodations standards ranging
from one to five. The star bans for Hotel, Resorts, and Apartment Hotels are as follows:
1. One Star: 25-40% achievements(251 to 400 points)-
These enterprises appeal to budget minded travelers. There is a limited range of facilities and
services.

2. Two star: 40-55% achievements (401to 550 points)-

These enterprises appeal to the tourist seeking more than basic accommodation. They are
expanded facilities and highest level of comfort.
3. Three Star: 55-70% achievements (551 to 700) –
These enterprises offer a very good level of accommodation. There are more
spacious public area, higher quality facilities and a greater range of services.

4. Four Star: 70-85% achievements(701-850 points)

These properties are upscale in all areas. Accommodation is refined and stylish. Services is
responsive, often including an extensive array of facilities.
 5. Five Star: 75-100% achievements (851-1000 points)
These properties reflect the characteristics of luxury and sophistication. The facilities are
world class in every manner and the meticulous service exceeds all the guest expectation.

Rules on the Operation and Management Resorts

a. Sanitation measures shall be adopted in accordance with the standards prescribed under P.D 856 Code
on Sanitation of the Philippines.

b. All resorts shall provide the services of a sufficient number of well-trained lifeguards duly accredited
by either the Philippine National Red Cross, the Water Life Saving Association of the Philippines or any
recognized recognition training or promoting safety objectives and adequate security whenever there are
guests.

c. All resorts shall provide the service of a physician either on call or on full time basis, depending on
their volume of operation and accessibility to hospitals or medical centers. In addition, resorts shall
employ, adequate first aiders who have completed a course in first aid duly certified by the National Red
Cross or any organization accredited by the same. Adequate first aid medicines and necessary lifesaving
equipment shall be provided within the premises.

d. There should be placed on a beach or lakeside resort an adequate number of buoys which shall be
spread within the area to be determined by the resort owner of keeper as safe for swimming purposes and
in compliance with existing regulations and or local ordinances on the placing of such buoys.

e. Precautionary Measure

1. In no case shall the resort management allow swimming at the beach front beyond 10:00 pm
and appropriate notice shall be posted to inform the resort guests of this regulation.

2. Night swimming at the pool shall be allowed only if there are adequate lifeguards on duty and
when the pool premises are sufficiently lighted.

3. Management shall post sufficient and visible signs in strategic areas in the resort or at the
beach to warn guests of the presence of artificial or natural hazards, danger or occurrences
threat.

f. Prohibited acts and practices

1. No pets or animals shall be allowed to bathe/swim along beaches. Likewise, pukot fishing and washing
of fish nets shall be strictly prohibited in beach resorts.

2. Resorts owners shall prohibit ambulant vendors from peddling their waves within the resort premises in
order to provide their guests a certain degree of privacy to enable them to relax and enjoy their stay.

3. Littering in resort shall be strictly prohibited. Resort owners shall keep their premises clean and shall
adopt their own anti-littering measures.
4. Without prejudice to existing ones, no resort shall be established or constructed within a radius of five
(5) kilometres from any pollution-causing factory or plant.
Display of DOT Accreditation Seal. The valid DOT accreditation seal shall be displayed in a
conspicuous place of the establishment.
Non-Transferability of DOT Accreditation Seal. The rights and privileges over the accreditation shall
be non-transferable.

Periodic Inspection. The Department may send an inspection team to the establishment for the purpose
of finding out whether it is being kept and/or managed in a manner conformable to the standards set by
the Department. The inspection shall be conducted at a reasonable time of the day with due regard and
respect accorded to the right to privacy of parties concerned.

Defects and Deficiencies Found During the Inspection. When certain defects and deficiencies have
been found in the course of inspection, the Department shall give direction to the keeper, manager, or
operator to rectify the defects or deficiencies within a reasonable period of time.

Penalty for Failure to Remedy the Defects, etc. If the management fails to remedy the defects or
deficiencies, the Department may withdraw the certificate of accreditation of the establishment.

Advertisements. All DOT-accredited hotels, resorts, tourist inns, and apartment hotels which shall
advertise its business or services through print media must specify in the advertisement item itself the
DOT accreditation number.

National Building Code of the Philippines (NBCP)

P.D 1906, February 19, 1977

Section 102. Declaration of Policy. It is hereby declared to be the policy of the State to safeguard life,
health, property, and public welfare, consistent with the principles of sound environmental management
and control; and to this end, make it the purpose of this Code to provide for all buildings and structures, a
framework of minimum standards and requirements to regulate and control their location, site, design
quality of materials, construction, use, occupancy, and maintenance.

Section 103. Scope and Application.

(a) The provisions of this Code shall apply to the design, location, sitting, construction, alteration, repair,
conversion, use, occupancy, maintenance, moving, demolition of, and addition to public and private
buildings and structures, except traditional indigenous family dwellings as defined herein.

(b) Building and/or structures constructed before the approval of this Code shall not be affected thereby
except when alterations, additions, conversions or repairs are to be made therein in which case, this Code
shall apply only to portions to be altered, added, converted or repaired.

Section 104. General Building Requirements.

(a) All buildings or structures as well as accessory facilities thereto shall conform in all respects to the
principles of the safe construction and must be suited to the purpose for which they are designed.
(b) Buildings or structures intended to be used for the manufacture and/or production of any kind of
article or product shall observe adequate environmental safeguards.
(c) Buildings or structures and all parts thereof as well as all facilities found therein shall be maintained in
safe, sanitary and good working condition.

Section 105. Site Requirements. The land or site upon which will be constructed any building or
structure, or any ancillary or auxiliary facility thereto, shall be sanitary, hygienic or safe. In the case of
sites or buildings intended for use as human habitation or abode, the same shall be at a safe distance, as
determined by competent authorities, from streams or bodies of water and/or sources ofr considered to be
polluted; from a volcano or volcanic site and/or any other building considered to be a potential source of
fire or explosion.

The ffg. Rules and Regulations are Vital in enforcing the

National Building Code of the Philippines (NBCP)

1. PD 856  "Code on Sanitation of the Philippines".

2. Ecological Solid Waste management Act of 2000 (R.A 9003)
3. Fire Code of the Philippines P.D 1185
4. Philippine Environmental Code PD 1152
5. Environmental Impact System
6. The Law on Enhance Mobility of Disabled Persons B.P 334

BUILDING PERMITS
Section 301 BUILDING PERMITS: No persons, firm or corporation, including any agency or
instrumentality of the government shall ERECT, CONSTRUCT, ALTER, REPAIR, MOVE CONVERT
or DEMOLISH any building or structure or cause the same to be done without first obtaining a building
permit therefore from building official assigned on the place where the subject building is located or the
building work is to be done.

Light and Ventilation under Article 801

(a) Subject to the provisions of the Civil Code of the Philippines on Basement of Light and View and to
the provisions of this part of the Code, every building shall be designed, constructed, and equipped to
provide adequate light and ventilation.

(b) All buildings shall face a street or public alley or a private street which has been duly approved.

SANITATION Section 901. General.

Subject to the provisions of Book II of the Civil Code of the Philippines on Property, Ownership, and its
Modification, all buildings hereafter erected, altered, remodeled, relocated or repaired for human
habitation shall be provided with adequate and potable water supply, plumbing installation, and suitable
wastewater treatment or disposal system, storm water drainage, pest and vermin control, noise abatement
device, and such other measures required for the protection and promotion of health of persons occupying
the premises and other living nearby.

DOT MC No. 2006_09 - Adoption of Safety and Security Measures in Hotels, Resorts and Other
Similar Accommodation Establishments

DOT MEMORANDUM CIRCULAR NO. 2006-09

Series of 2006

ADOPTION OF SAFETY AND SECURITY MEASURES IN HOTELS, RESORTS AND OTHER

SIMILAR ACCOMODATION ESTABLISHMENTS

In line with the Department's thrust of ensuring the safe, convenient and enjoyable stay and travel of both
local and foreign tourists as mandated by Executive Order 120, all Department of Tourism accredited
hotels, resorts and other accommodation establishments are hereby enjoined to adopt and implement the
following guidelines on safety and security measures:

1. Guests' visitors and joiners shall be registered. The guest booking/information sheets shall be
properly accomplished and verified through valid official documents, like passport, company ID, driver’s
license, Social Security System, etc.;

2. Efficient recording of information on vehicles (make/model, color, plate number and name for
taxi cabs) ferrying tourists/guests to and from the hotel shall be provided;

3. Efficient ID system for all personnel shall be established;

4. Proper selection of manpower and security personnel shall be conducted;

5. Crisis management Team whose members have continuous training on hotel security and
emergency response, both on man-made and natural disasters shall be organized. The response shall also
include evacuation and first aid;

6. Security spotters shall provide to monitor the movement and other activities of guests/visitors,
hotel staff and loiterers. Perimeter roving guard shall also be detailed and establish a record scheme to
monitor his task;

7. All public areas of the establishment shall be provided with an electronic surveillance system,
fully equipped with modern and high resolution imaging CCTV gadgets manned by a security officer;

8. Electronic access control device shall be provided in the elevator for high-rise hotels and other
similar accommod’ation establishments;

9. Hotel Managers and/or Security Officer shall undergo annual training program on security and
emergency procedures in the coordination with the Association of Hotel Security Officers of the
Philippines, Inc. (AHSOP) or any concerned government agency; and

10. Linkages with local PNP Commands, hospitals and other concerned agencies shall be
institutionalized to respond to emergency situations.

The above-mentioned establishments shall submit within sixty (60) days from the effectivity of this
Circular a written report of compliance, after which the Department shall conduct on the spot inspection
of the same.

Failure to comply with this Memorandum Circular shall be a valid ground to review the accreditation of
the establishment by the Department of Tourism.

For strict compliance.

Manila, 23 August 2006

JOSEPH H. DURANO
Secretary
5. Teaching and Learning Activities

These are activities related to the concepts and thinking skills that were covered in the
module. It also includes questions or an activity that integrates the idea, help learners to connect to
the module question, assess progress, and look ahead. Likewise, this may contain additional
problems that could be used for homework or tests, or additional readings that allow students to
apply new knowledge and skills in a different context.

Activity1: (30 items)

Discuss the relation of the following laws on the enforcement of the National Building Code with
respect to the operation and construction of accommodation establishments.
A. Code of Sanitation
B. Philippine Environment Code
C. Fire Code of the Philippines
D. Environmental Impact System.

6. Recommended learning materials and resources for supplementary reading.

Books:
First Edition 2020 Edition Legal Aspects in Tourism and Hospitality
Danny Araneta Cabulay, Christine Palaflox Carpio- Aldeguer

Mindshapers Co. Inc.

Legal Aspects in Tourism and Hospitality by:
Atty. Kenneth Lloyd G. Dela Cruz
Mario H. Maranan, DPA, LLB
Jovid Maricar D. Maranan
Cristina N. Caluza, MBA

Websites:

7. Flexible Teaching Learning Modality (FTLM) adopted

Online (synchronous)

Facebook page, google classroom, google meet, zoom meeting,

//module, case study, exercises, problems sets, etc

8. Assessment Task
 This allows the students to pull together what they have learned and the skills they have
developed in order to answer the module question. In this part, students are given Self-
assessment Questions (SAQs) and asked to consider broader aspects of the question, such as
social and economic.

1. What is the importance of accreditation of accommodation establishment by the DOT?

2. Why is waste management important in accommodation establishment?

9. References (at least 3 references preferably copyrighted within the last 5 years, alphabetically
arranged)

First Edition 2020 Edition Legal Aspects in Tourism and Hospitality

Danny Araneta Cabulay, Christine Palaflox Carpio- Aldeguer

10. Learning Resources

Key readings and other learning materials for students to study, to learn the key concepts covered
in the module.

Learning resources are texts, videos, software, and other materials that the teacher.

Read more about Top 50 Business Etiquette and Rules at https://bit.ly/3dwLkSJ

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https://lawphil.net/judjuris/juri2015/oct2015/gr_208802_2015.html

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