Question & AnswerQ&A (OP MEMORANDUM CIRCULAR NO. 9)
The main purpose is to reduce government expenditures by prohibiting GOCCs from referring their cases to the Office of the Solicitor General or private lawyers, and directing them to refer their cases exclusively to the Office of the Government Corporate Counsel (OGCC), except under certain exceptional circumstances.
Referral to the Office of the Solicitor General under exceptional circumstances must be authorized by the President or by the head of the office concerned and approved by the President.
GOCC stands for Government-Owned or Controlled Corporations, including their subsidiaries, other corporate off-springs, and government acquired asset corporations.
GOCCs are enjoined from hiring private lawyers or law firms to handle their cases and legal matters except in exceptional cases where written conformity of the Solicitor General or Government Corporate Counsel and written concurrence of the Commission on Audit are secured.
The Office of the Government Corporate Counsel (OGCC) handles all legal matters of GOCCs as a rule.
Yes, pending cases and requests already referred to the OSG can be retained and acted upon by the OSG, but the OSG must inform the OGCC for monitoring and coordination.
Written conformity and acquiescence of the Solicitor General or the Government Corporate Counsel, and the written concurrence of the Commission on Audit are required before hiring private lawyers or law firms.
Yes, the memorandum applies to GOCCs, their subsidiaries, other corporate off-springs, and government acquired asset corporations.
Failure to inform the OGCC could lead to lack of proper monitoring and coordination, which the memorandum seeks to avoid; although specific penalties are not detailed in this memorandum.
The circular took effect immediately on its adoption date, August 27, 1998.