Law Summary
Application of Existing Radio and Broadcasting Laws
- Relevant provisions of prior laws regulating radio stations and broadcasting—including Act Nos. 3846 and 3997, and Commonwealth Act No. 146—apply to the stations operated under this permit as far as practicable.
Bond Requirement
- The grantee must post a bond amounting to fifty thousand pesos to guarantee compliance with the permit conditions.
Equalization Clause for Competing Permits
- If a competing individual, partnership, or corporation receives a similar permit with more favorable terms, such terms automatically apply to the Bolinao Electronics Corporation’s permit to prevent disadvantage.
Taxation
- The grantee is subject to the same taxes on real estate, buildings, and personal property as other individuals or corporations, excluding taxes specifically on the temporary permit.
Government’s Right to Take Over Stations
- Should the government decide to operate any authorized stations, the grantee must transfer ownership of such stations along with all serviceable equipment at cost minus reasonable depreciation.
Restrictions on Censorship and Liability
- The grantee cannot impose prior censorship on broadcast content.
- The grantee is not liable for illegal or infringing material broadcast by others.
- However, broadcasts may be cut off if they incite treason, rebellion, sedition, or contain indecent or immoral content.
Restrictions on Transfer, Sale, and Merger
- The temporary permit cannot be leased, transferred, assigned, sold, or merged without prior approval from Congress.
- Any entity receiving the permit through transfer or assignment is subject to Philippine corporation laws and all original permit conditions and restrictions.
Effectivity
- The Act takes effect immediately upon approval on June 14, 1950.