Grant of Radio Station Franchise to San Pablo Oil Factory, Inc.

June 17, 1961

REPUBLIC ACT NO. 3257

AN ACT GRANTING THE SAN PABLO OIL FACTORY, INC., A FRANCHISE TO ESTABLISH, MAINTAIN AND OPERATE FIXED POINT-TO-POINT, PRIVATE COASTAL, PRIVATE NAUTICAL AND LAND-BASED RADIO STATIONS FOR THE TRANSMISSION AND RECEPTION OF RADIO COMMUNICATIONS IN SAN PABLO CITY, IN BALESIN ISLANDS, AND IN SUCH OTHER PLACES WITHIN THE PHILIPPINES WHERE IT MAY OPERATE ITS BUSINESS

SECTION 1. The San Pablo Oil Factory, Inc., is hereby granted a franchise to establish, maintain and operate private fixed point-to-point, private coastal, private nautical and land-based radio stations in San Pablo City, in Balesin Islands, and in such other places within the Philippines where it may operate its business, subject to the approval of the Secretary of Public Works and Communications, for the transmission and reception of wireless messages on radiotelegraphy or radiotelephony, each station to be provided with a radio transmitting apparatus and a radio receiving apparatus.

SECTION 2. This franchise shall continue to be in force during the time that the Government has not established similar service at the places selected by the grantee, and is granted upon the express condition that the same shall be void unless the construction or installation of said stations be begun within two years from the date of approval of this Act and be completed with four years from said date.

The President of the Philippines shall have the power and authority to permit the location of the said private fixed point-to-point and private coastal radio stations or any of them on lands of the public domain upon such terms as he may prescribe.

SECTION 3. The grantee shall not engage in domestic business or telecommunications in the Philippines without further assent of the Congress of the Philippines, it being understood that the purpose of this franchise is to secure to the grantee the right to establish, maintain and operate private fixed point-to-point, private coastal, private nautical and land-based radio stations at the places herein above stated for no other purpose than to promote the trade and business interests of the grantee.

SECTION 4. The Secretary of Public Works and Communications shall allot to the grantee the frequencies and wave lengths to be used thereunder, but the grantee may use the international distress frequency of five hundred kilocycles and the high distress frequency of eight thousand two hundred and eighty kilocycles, whenever necessary.

SECTION 5. No fees shall be charged by the grantee, as the radio stations that may be established by virtue of this Act shall engage in communications regarding the grantee's trade and business only. cd i

SECTION 6. The grantee shall so establish and operate its radio stations as not to interfere with the operation of other radio stations maintained and operated in the Philippines.

SECTION 7. The grantee shall hold the national, provincial, and municipal governments of the Philippines harmless from all claims, accounts, demands, or actions arising out of accidents or injuries, whether to property or to persons, caused by the construction or operation of its radio stations.

SECTION 8. The grantee shall be subject to the corporation laws of the Philippines now existing or which may hereafter be enacted.

SECTION 9. The grantee shall not lease, transfer, grant the usufruct of, sell or assign this franchise, or the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other person, company, 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. casia

SECTION 10. A special right is hereby reserved to the President of the Philippines in time of war, insurrection, public peril, calamity, disaster, or disturbance of peace or order to cause the closing of the grantee's radio stations or to authorize the temporary use or possession thereof by any department of the Government, with minimum fair compensation.

SECTION 11. This franchise shall be subject to amendment, alteration, or repeal by the Congress of the Philippines when the public interest so requires, and shall not be interpreted as an exclusive grant of the privileges herein provided for.

SECTION 12. This Act shall take effect upon its approval.

Approved: June 17, 1961.

Published in the Official Gazette, Vol. 58, No. 8, p. 1481 on February 19, 1962