Law Summary
Duration and Conditions of the Permit
- The permit is valid as long as the government has not established similar services in the selected locations.
- Maximum validity period: 25 years.
- Construction or installation of the radio stations must commence within one year of approval and be completed within two years.
- Failure to meet these timelines voids the permit.
Limitations on Telecommunications Business
- The grantee is prohibited from engaging in domestic telecommunications business without specific congressional approval.
- The permit solely grants rights to operate private radio stations for the grantee’s own interests.
Prohibition on Charging Fees
- The grantee shall not charge fees for communications transmitted via these radio stations.
- Communication is limited exclusively to the grantee’s business.
Non-Interference with Other Radio Stations
- The grantee must construct and operate radio stations to avoid interference with other radio operations in the Philippines.
Indemnity to Government
- Arcadia Manufacturing, Inc. shall hold the national, provincial, city, and municipal governments harmless from any claims or damages resulting from accidents or injuries caused by construction or operation of the radio stations.
Compliance with Philippine Corporation Laws
- The grantee is subject to existing or future corporation laws applicable in the Philippines.
Frequency Assignments
- The grantee is authorized to operate its radio stations on medium frequency, high frequency, and very high frequency bands.
- Frequency assignments are made by the Secretary of Public Works and Communications.
Restrictions on Transfer and Assignment
- The permit and associated rights cannot be leased, transferred, sold, granted in usufruct, assigned, or merged without prior Congressional approval.
- Any entity acquiring the permit must comply with Philippine corporation laws and all conditions of the permit.
Presidential Authority During Emergencies
- The President has the special right, during war, insurrection, public peril, emergency, calamity, or disaster, to close the radio stations or authorize temporary government use.
- Just compensation must be paid in such cases.
Congressional Reservation of Rights
- Congress reserves the right to amend, alter, or repeal the permit if public interest so requires.
- The permit is not an exclusive grant of privilege.
Effectivity of the Act
- The law takes effect upon approval.
- It was enacted without executive approval on August 4, 1969.