Grant of Radio Broadcasting Franchise to Victorino E. Day

June 19, 1959

REPUBLIC ACT NO. 2299

AN ACT GRANTING VICTORINO E. DAY A FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE RADIO BROADCASTING STATIONS IN THE CITY OF ZAMBOANGA FOR EDUCATIONAL, CULTURAL AND COMMERCIAL PURPOSES

SECTION 1.  Subject to the provisions of the Constitution, as well as of Act Numbered Three thousand eight hundred forty-six, entitled "An Act providing for the regulation of radio stations and radio communications in the Philippine Islands, and for other purposes;" Act Numbered Three thousand nine hundred ninety-seven, known as the Radio Broadcasting Law; Commonwealth Act Numbered One hundred forty-six, known as the Public Service Act, and their amendments, and other applicable laws, not inconsistent with this Act, Victorino E. Day is hereby granted a franchise to construct, maintain and operate for educational, cultural and commercial purposes and in the public interest, radio broadcasting stations in the City of Zamboanga. cdt

SECTION 2.  This franchise shall continue for a period of twenty-five years from the date the said stations shall be put in operation and is granted upon the express condition that the same shall be void unless the construction of at least one station be begun within one year from the date of approval of this Act and be completed within two years from said date.

SECTION 3.  This franchise is likewise made upon the express condition that the grantee shall provide adequate public service time to enable the Government, through his stations, to reach the population on important issues, shall assist in the function of public information and education shall conform to the ethics of honest enterprise, and shall not use his stations for the dissemination of deliberately false information or willful misrepresentation, or to the detriment of the public health, or to incite, encourage or assist in subversive or treasonable acts.

SECTION 4.  In the event of any competing individual, partnership or corporation receiving from the Congress of the Philippines a similar franchise in which there shall be any term or terms more favorable than those herein granted or tending to place the herein grantee at any disadvantage, then such term or terms shall ipso facto become a part of the terms hereof and shall operate equally in favor of the grantee as in the case of said competing individual, partnership or corporation.

SECTION 5. The grantee's radio broadcasting stations shall not be put in actual operation until the Secretary of Public Works and Communications shall have allotted to the grantee the frequency and wave lengths to be used under this franchise and issued to the grantee license for such use.

SECTION 6.  In the event that the Government should desire to maintain and operate for itself any or all of the stations herein authorized the grantee shall turn over such station or stations to the Government with all the serviceable equipment therein at cost, less reasonable depreciation.

SECTION 7.  The radio broadcasting stations of the grantee shall be so constructed and operated and the wave lengths so selected as to avoid interference with existing radio stations and to permit of the expansion of the grantee's services.

SECTION 8.  A special right is reserved to the President of the Philippines in time of war, rebellion, public peril, calamity, disaster or disturbance of peace and order, to cause the closing of said stations or to authorize the temporary use and operation thereof by any department of the Government without compensating the grantee for the use of said stations during the period when they shall be so operated.

SECTION 9.  The grantee shall be liable to pay the same taxes unless exempted therefrom, on his real estate, buildings and personal property exclusive of the franchise, as other persons or corporations are now or hereafter may be required by law to pay. He shall be liable further to pay all other taxes as provided in the National Internal Revenue Code by reason of this franchise.

SECTION 10. The franchise hereby granted shall be subject to amendment, alteration or repeal by the Congress of the Philippines when the public interest so requires.

SECTION 11.  Acceptance of this franchise shall be given in writing by the grantee within six months after the approval of this Act. When so accepted, the grantee shall be empowered to exercise the privileges granted thereby.

SECTION 12. The grantee shall file a bond in the amount of fifty thousand pesos to guaranty the full compliance with and the fulfillment of the conditions under which this franchise is granted. If after two years from the date of acceptance of this franchise, the grantee shall have fulfilled said conditions or soon thereafter as the grantee shall have fulfilled the same, the bond aforesaid shall be cancelled by the Secretary of Public Works and communications.

SECTION 13.  The grantee, his successors or assigns, shall hold the National, provincial, city and municipal governments of the Republic of the Philippines harmless from all claims, accounts, demands or actions arising out of accidents or injuries, whether to property or persons, caused by the construction or operation of his radio stations.

SECTION 14.  The grantee shall not require any previous censorship of any speech, play or other matter to be broadcast from his stations, but if any such speech, play or other matter should constitute a violation of the law or infringement of a private right, the grantee shall be free from any liability, civil or criminal, for such speech, play or other matter: Provided, That the grantee during any broadcast may cut off from the air the speech, play or other matter being broadcast if the tendency is to propose and/or incite treason, rebellion or sedition or the language used therein or the theme thereof is indecent or immoral.

SECTION 15.  The grantee shall not lease, transfer, grant the usufruct of, sell or assign this franchise nor the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other company or corporation organized for the same purpose, without the approval of the Congress of the Philippines first had. Any corporation to which this franchise may be sold, transferred or assigned shall be subject to the corporation laws of the Philippines now existing or hereafter enacted, and any person, firm, company, corporation or other commercial or legal entity to which this franchise is sold, transferred or assigned shall be subject to all conditions, terms, restrictions and limitations of this franchise as fully and completely and to the same extent as if the franchise had been originally granted to the said person, firm, company, corporation or other commercial or legal entity. aisa dc

SECTION 16.  Wherever in this franchise the term "grantee" is used, it shall be held and understood to mean "Victorino E. Day," his representatives, successors or assigns, unless the context indicates otherwise.

SECTION 17.  This franchise shall not be interpreted as an exclusive grant of the privileges herein provided for.

SECTION 18.  This Act shall take effect upon its approval.

Approved: June 19, 1959

Published in the Official Gazette, Vol. 55, No. 31, p. 6001 on August 3, 1959