The Land Transportation Franchising and Regulatory Board (LTFRB) has formally issued an advisory against Rideshare startup Arcade City to cease operations as it was operating as another form of Transportation Network Company (TNC) without coordinating with the agency.
In its Media Advisory, LTFRB warned Arcade City to cease and desist from launching its mobile app on April 16, 2018, and to stop all the bookings made with this application/platform as those who are operating are considered colorum. If the ride-shared app platform continues to operate, the agency will be constrained to take legal actions against Arcade City and all responsible parties involved.
With the acquisition of Grab to Uber and its current problem to commuters on the process of bookings, it’s too obvious that some foreign companies are taking advantage for their best interest. Time and time again, if these startup platform wanted to take opportunity in venturing business in the country, there is no problem with that. The hard part, perhaps, is how they would go on the right process of application.
The key is LTFRB. Nothing more, nothing less.