Authorizing the President of the Philippines to Conduct Negotiations for the Acquisition, Management and Operation of Public Utility

June 8, 1939

COMMONWEALTH ACT NO. 449

AN ACT AUTHORIZING THE PRESIDENT OF THE PHILIPPINES TO CONDUCT NEGOTIATIONS FOR THE ACQUISITION, MANAGEMENT AND OPERATION BY THE GOVERNMENT OF THE PHILIPPINES, OF THE MANILA ELECTRIC COMPANY, THE MANILA GAS CORPORATION, THE PHILIPPINE LONG DISTANCE TELEPHONE COMPANY, AND ANY OTHER PUBLIC UTILITY CONCERN WHOSE MANAGEMENT AND OPERATION BY THE GOVERNMENT ARE, IN HIS JUDGMENT, REQUIRED BY PUBLIC INTEREST

SECTION 1. In pursuance of the policy enunciated in Article XII, section six, of the Constitution of the Philippines, to wit: "The State may, in the interest of national welfare and defense, establish and operate industries and means of transportation and communication, and, upon payment of just compensation, transfer of public ownership utilities and other private enterprises to be operated by the Government," the President of the Philippines is authorized by himself or a duly appointed agent to negotiate the transfer to Philippine Government ownership, upon payment of just and reasonable compensation, of the Manila Electric Company, the Manila Gas Corporation, the Philippine Long Distance Telephone Company, and any other public utility whose management and operation by the Government of the Philippines are, in his judgment, required by public interest. Any stipulation, agreement or contract made or entered into by the President of the Philippines or his duly designated representative for the acquisition of such public utilities, as herein authorized, shall be submitted to the National Assembly for approval. DICSaH

SECTION 2. This Act shall take effect on its approval.

Approved, June 8, 1939.