Title
ABS-CBN Corp. vs. National Telecommunications Commission
Case
G.R. No. 252119
Decision Date
Aug 25, 2020
ABS-CBN's franchise expired in 2020; NTC issued a cease-and-desist order, upheld by the Supreme Court, ruling no grave abuse of discretion and no provisional authority without a valid franchise.

Case Summary (G.R. No. 252119)

Applicable Law

• 1987 Philippine Constitution (Articles VI § 24 on origination of private bills; XII § 11 on public‐utility franchises)
• Republic Act No. 7966 (25-year legislative franchise for ABS-CBN, effective May 4, 1995–May 4, 2020)
• Act No. 3846, as amended (Radio Control Act requiring franchise for radio stations)
• NTC Rules of Practice and Procedure (2006)

Legislative Franchise and Renewal Attempts

• ABS-CBN’s franchise under RA 7966 expired on May 4, 2020.
• Franchise-renewal bills filed in the 16th, 17th, and 18th Congresses—eleven (11) in the House and two (2) in the Senate—plus related House resolutions (Nos. 639, 853) and House Joint Resolutions Nos. 28 and 29 seeking extensions.
• Senate adopted Resolution No. 40 on March 4, 2020, urging continued operation pending renewal.

NTC and DOJ Guidance Pending Renewal

• Feb. 24, 2020 Senate hearing: NTC had not historically closed stations for expired franchises and would consider DOJ advice on provisional authorities.
• Feb. 26, 2020 DOJ “guidance” letter: (a) established equitable practice to allow operation pending renewal; (b) Congress has auxiliary power to preserve pending rights; (c) NTC may provisionally authorize operations.
• Feb. 26, 2020 House Committee letter enjoined NTC to grant provisional authority from May 4, 2020 until franchise action by Congress.
• Mar. 16, 2020 NTC Memorandum Order automatically extended permits expiring during Enhanced Community Quarantine plus a 60-day grace period post-quarantine.

Cease and Desist Order

• May 3, 2020 Solicitor General Calida warned NTC against provisional authorities, citing graft risks.
• May 5, 2020 NTC issued Cease and Desist Order (CDO), solely citing franchise expiration, and directed ABS-CBN to stop operating its enumerated radio and TV stations.
• ABS-CBN complied and ceased broadcast operations.

Petition for Certiorari and Prohibition

• Filed May 7, 2020 with urgent applications for TRO/WPI before the Supreme Court under Rule 65, invoking 1987 Constitution.
• Main claims: (1) Grave abuse of discretion in pre-empting Congress by issuing CDO despite pending renewal bills; (2) Equal protection violation—NTC’s deviation from past practice; (3) Due process violation—no notice or hearing; (4) Curtailment of freedom of speech, press, and right to information amid public-health emergency.

Subsequent Congressional and Supreme Court Proceedings

• May 11, 2020 House Show Cause Order to NTC; NTC replied May 12, 2020, citing lack of authority to grant provisional authority.
• May 18, 2020 ABS-CBN filed Urgent Reiterative Motion citing newly filed House Bill No. 6732 for provisional franchise until October 31, 2020.
• May 19, 2020 Supreme Court resolution: implead House and Senate, require comments and replies; denied motion to consolidate with a related case.
• May 25, 2020 NTC comment with omnibus motion to discharge legislative bodies as parties.
• May 28 & June 1, 2020 Senate and House submissions seeking discharge as parties.

Issue Before the Court

Did the NTC commit grave abuse of discretion in issuing the May 5, 2020 Cease and Desist Order against ABS-CBN?

Supreme Court’s Ruling: Dismissal for Mootness

• Supervening Event: On July 10, 2020, the House Committee on Legislative Franchises formally denied all pending bills and resolutions for renewal or extension of ABS-CBN’s franchise, “laid o



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