Title
Ban on Contracts to Attorneys-in-Fact Modified
Law
Dpwh Department Order No. 88
Decision Date
Apr 24, 1990
The modification of the ban on letting contracts for infrastructure projects now includes Branch Managers, reinforcing the principle that a contractor's license is non-transferable and preventing circumvention of previous prohibitions.

Q&A (DPWH DEPARTMENT ORDER NO. 88)

The main purpose of DPWH Department Order No. 88 is to modify the ban on the letting of infrastructure contracts to attorneys-in-fact by including Branch Managers in the prohibition to prevent circumvention of the ban.

DPWH Department Order No. 88 modifies Department Order No. 102, series of 1989.

Contractors were employing or utilizing Branch Managers as a means to circumvent the prohibition against attorneys-in-fact entering into infrastructure contracts.

The license issued to a contractor is personal to the licensee and is non-transferable.

Both attorneys-in-fact and Branch Managers are prohibited from letting contracts for infrastructure projects.

Allowing a Branch Manager of a licensed construction firm to engage in the construction business and enter contracts constitutes a violation of the non-transferability of the contractor’s license.

The order took effect immediately upon its adoption on April 24, 1990.

An attorney-in-fact is a person authorized to act on behalf of the licensee, but under this order, such authorization is restricted and cannot be used for entering into infrastructure contracts.

By prohibiting the transfer or delegation of contract letting through attorneys-in-fact or Branch Managers, it ensures that only the licensed contractor personally handles their projects, maintaining the integrity and accountability of the licensing system.


Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.