Case Digest (G.R. No. 175769-70) Core Legal Reasoning Model
Core Legal Reasoning Model
Facts:
In ABS-CBN Broadcasting Corporation v. Philippine Multi-Media System, Inc., decided January 19, 2009, petitioner ABS-CBN, franchised under Republic Act No. 7966, operates free-to-air television via Channels 2 (VHF) and 23 (UHF) in Metro Manila and through regional affiliates. Respondent PMSI, holding a franchise under Republic Act No. 8630 and a Provisional Authority from the NTC, operates the Dream Broadcasting System, a direct-to-home (DTH) satellite service offering ABS-CBN’s signals alongside other free-to-air and premium channels. On April 25, 2001, ABS-CBN demanded PMSI cease rebroadcasting Channels 2 and 23; PMSI replied that NTC Memorandum Circular No. 4-08-88’s must-carry rule required carriage of all authorized broadcast signals within Grade “A” or “B” contours. After failed negotiations, ABS-CBN filed on May 13, 2002 an IPO complaint for infringement of broadcasting rights (IP Code Sec. 211) and copyright (IP Code Sec. 177), obtaining a temporary restraining order Jul Case Digest (G.R. No. 175769-70) Expanded Legal Reasoning Model
Expanded Legal Reasoning Model
Facts:
- Parties
- ABS-CBN Broadcasting Corporation (ABS-CBN)
- Licensed under Republic Act No. 7966 to construct, operate and maintain TV/radio stations (Channels 2 and 23, among others).
- Broadcasts via VHF/UHF in Metro Manila, satellite to provinces; owns regional stations with localized programming.
- Philippine Multi-Media System, Inc. (PMSI) and Individual Respondents
- Operator of Dream Broadcasting System, delivering direct-to-home (DTH) satellite TV under Republic Act No. 8630 and NTC Provisional Authority.
- Board members: Cesar G. Reyes, Francis Chua, Manuel F. Abellada, Raul B. De Mesa, Aloysius M. Colayco.
- PMSI’s Transmission of ABS-CBN Signals and Initial Dispute
- PMSI included ABS-CBN Channels 2 and 23 in its lineup upon commencing operations.
- On April 25, 2001, ABS-CBN demanded PMSI cease rebroadcasting; PMSI invoked NTC Memorandum Circular No. 04-08-88 (“must-carry rule”).
- Negotiations broke down (April 2002) over PMSI’s inability to prevent unauthorized rebroadcast and alleged adverse effect on regional stations.
- Regulatory and Administrative Proceedings
- IPO Complaint and TRO
- May 13, 2002: ABS-CBN filed complaint for violation of property rights and copyright with IPO (IPV No. 10-2002-0004).
- July 2, 2002: IPO Bureau of Legal Affairs (BLA) granted TRO; PMSI suspended retransmission and filed certiorari with CA (SP No. 71597).
- NTC Correspondence and Rules
- December 20, 2002: NTC Commissioner letter deemed DTH services covered by must-carry rule.
- July 24, 2003: NTC directed PMSI to restore IBC-13 signal under must-carry rule.
- October 10, 2003: NTC Memorandum Circular No. 10-10-2003 prohibited transmission without provider authorization; November 3, 2003 letter affirmed continued validity of MC 04-08-88.
- IPO and Appellate Decisions
- December 22, 2003: BLA decision found PMSI infringed ABS-CBN’s rights; ordered permanent cease and desist.
- PMSI appealed to IPO Director-General (Appeal No. 10-2004-0002).
- December 20, 2004: IPO Director-General reversed BLA, held no infringement.
- ABS-CBN sought CA review (SP Nos. 88092 & 90762, latter for contempt); July 12, 2006 CA Decision affirmed IPO Director-General and dismissed ABS-CBN’s petitions; MR denied December 11, 2006.
Issues:
- Whether PMSI’s carrying of ABS-CBN Channels 2 and 23 infringed ABS-CBN’s broadcasting rights and copyright under the IP Code (RA 8389 as amended)?
- Whether NTC Memorandum Circular No. 04-08-88’s must-carry rule covers direct-to-home (DTH) satellite operators like PMSI?
- Whether the must-carry rule effects a taking of private property without just compensation, violating Article III, Section 9 of the Constitution?
- Whether the CA erred in dismissing ABS-CBN’s petition for contempt without requiring respondents to comment?
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)