QuestionsQuestions (LTFRB MEMORANDUM CIRCULAR NO. 96-015)
It sets the requirements for the acceptance for filing and approval of applications for the sale and transfer of Certificates of Public Convenience (CPCs) to operate public land transport services, including documentary annexes needed by the Board.
A duplicate (not xerox) copy of the Deed of Sale or document of conveyance for the CPC sold/transferred, duly notarized, must be attached.
Because the Board grants approval only if the franchise subject of the sale and transfer has not yet expired; otherwise the transfer would be meaningless or void for lack of a subsisting franchise right.
No. Fractional sale of franchises is not allowed; the sale must cover all units specified under the franchise.
The sale must cover all units specified under the said CPC/franchise; partial or incomplete coverage is not allowed.
A certification from the Land Transportation Office that all authorized units under the CPC being transferred/sold have been properly registered with the LTO for the year preceding the date of the transaction.
A certification that the CPC holder selling/transferring the franchise has no outstanding obligations (including fines/penalties) under his/her/its CPC with the Board.
It requires that there be no outstanding obligations, including fines and penalties, attached to the franchise for sale/transfer.
No application/petition for approval by the Board of the sale and transfer of CPCs will be accepted for filing and hearing unless the specified annexes/documents are attached.
A copy of the CPC/decision in the name of the seller/vendor with the date of expiry clearly legible in the document must be attached.
It indicates that selling/transfer of the franchise could have a disqualifying effect on the original grantee for future franchise holdings, reflecting a policy discouraging certain transfers.
It states that it takes effect pursuant to Presidential Memorandum Circular No. 11 dated October 9, 1992.
It takes effect fifteen (15) days after filing of three (3) copies with the U.P. Law Center.
The DOTC Memorandum prescribed conditions for the grant of applications for the sale and transfer of CPCs; LTFRB Circular 96-015 implements those conditions by prescribing acceptance and documentary requirements.
To prove that all authorized units are properly registered with the LTO for the immediately preceding year, ensuring compliance and operational legitimacy before transfer.
It means the notarized Deed of Sale is mandatory proof of the transaction and must be submitted as part of the evidence for the petition, not merely presented later or substituted by other documents.