Question & AnswerQ&A (EXECUTIVE ORDER NO. 298)
Only Filipino citizens and associations, partnerships, or corporations wholly owned by Filipino citizens are allowed to engage in the retail business, either directly or indirectly.
Yes, if they were actually engaged in retail business as of May 15, 1954, they can continue until the death or voluntary retirement of the individual, or for ten years from the approval of the Act or until the expiration of the corporate or partnership term, whichever comes first.
Violations include breach of laws on nationalization, economic control, weights and measures, labor, or other laws relating to trade, commerce, and industry.
No, no license shall be issued to any person or entity not wholly owned by Filipino citizens to establish or open additional stores or branches.
They must present for registration to the municipal or city treasurer a verified statement within 90 days after approval of the Act and every January 15 thereafter, detailing ownership, nationality, business nature, assets, liabilities, and principal officials.
They are entitled to continue the retail business only for liquidation purposes for a period not exceeding six months after the death.
'Retail business' means the act, occupation, or calling of habitually selling merchandise, commodities, or goods directly to the general public for consumption, excluding manufacturers, processors, laborers, or workers selling products they made if capital does not exceed PHP 5,000, and farmers selling farm products.
Every license to engage in retail business issued to Filipino citizens or wholly Filipino-owned entities is conclusive evidence of ownership, except against the government or the state.
Imprisonment of three to five years, a fine of PHP 3,000 to PHP 5,000; for associations, partnerships, or corporations, penalties apply to responsible officers. Foreign offenders face deportation after sentence, and public officials face dismissal, disenfranchisement, and disqualification from office.
The Act took effect upon its approval on June 19, 1954.