Atty. Melecio V. Emata

July 24, 2002 SEC OPINION Atty. Melecio V. Emata Ground Flr., Door B, Lagasca Building 8259 Constancia St. Makati City S i r : This has reference to your letter dated 19 June 2002 requesting opinion on the queries posed therein relative to laws and regulations on foundations. Regarding the first, second and third queries, please be informed that a foundation is a non-stock corporation. Thus, the provisions on non-stock corporation will apply on a foundation and the regulation provides for a minimum contribution of One Hundred Thousand Pesos (P100,000.00). As to the number of incorporators, the same must not be less than five (5) nor more than fifteen (15). The number of trustees should not be less than five but may exceed fifteen (15). Majority of the incorporators and trustees must be residents of the Philippines. Finally, the nationality of the corporation is determined by the percentage of the membership's nationality. Hence, where 60% of the members are Filipino and the remaining is foreign, the foundation is of Philippine nationality under the "control test principle". Please be guided accordingly. Very truly yours, (SGD.) BENITO A. CATARAN Director