Marble Corporation of the Philippines

September 7, 1982 Marble Corporation of the Philippines 79, 9th St. 11th Ave. Grace Park, Caloocan City Attention : Mr . Conrado N . Sinco Sir : This has reference to your letter dated September 6, 1982, informing this Commission that the above-mentioned Corporation has purchased a parcel of land situated at Meycauayan, Bulacan for the purpose of using the same as site for your marble plant. The Meycauayan Register of Deeds, however, refuses to register said property in the name of the corporation on the ground that your Articles of Incorporation had not specifically empowered the corporation to purchase real property. prcd It is your view that any domestic corporation has the power to purchase or lease real property for the conduct of its business. You, therefore, require the opinion of this Commission whether said act of purchasing real property is within the inherent powers of the corporation. In reply thereto, please be informed that the pertinent provision of Sec. 36 of the Corporation Code provides, and we quote: "SECTION 36. Corporate powers and capacity . Every corporation incorporated under this Code has the power and capacity: xxx xxx xxx 7. To purchase, receive, take or grant, hold, convey, sell, lease, pledge, mortgage and otherwise deal with such real and personal property, including securities and bonds of other corporations, as the transaction of the lawful business of the corporation may reasonably and necessarily require, subject to the limitations prescribed by law and the Constitution." llcd From the aforequoted provision, it is clear and indubitable that every corporation has the power, among others, to purchase or acquire real property as may be reasonably necessary to enable it to carry out the purpose for which it was organized. Therefore, whether or not such power is included in what the corporation could do and perform, it is, nevertheless, deemed to be within the scope of its corporate powers by express declaration of the applicable law, as ruled by this Commission in a previous opinion, ( Ltr. to Atty. Gregorio Aquilizan of Central Steel Manufacturing Co. Inc. dtd. Jan. 14, 1963 ,SEC Folio, pp. 139-140) Please be guided accordingly. Very truly yours, (SGD.) JULIO A. SULIT, JR. Associate Commissioner