Duration and Conditionality of the Permit
- The temporary permit remains valid as long as the government has not established similar radio communication services in the selected locations.
- Construction or installation of the stations must begin within two years from the Act's approval date.
- Completion of the construction or installation must occur within three years from the Act's approval date.
- Failure to meet these timelines renders the permit void.
Scope of Business Activity
- The grantee and its successors or assigns are restricted to engaging in domestic telecommunications business within the Philippines.
- The permit specifically secures the right to construct, install, maintain, and operate the stated radio stations in locations justified by the grantee’s business interests.
Prohibition on Charging Fees
- The radio stations established under this permit cannot charge fees.
- Communication through these stations must be related strictly to the grantee’s business activities.
Requirement to Avoid Interference
- The radio stations must be constructed and operated in a manner that avoids interference with other radio stations in the Philippines.
Indemnification of Government
- The grantee and its successors or assigns must hold all levels of Philippine government harmless from any claims or actions arising from accidents or injuries related to the construction or operation of the radio stations.
Bond Requirement
- A bond of fifty thousand pesos must be filed by the grantee to guarantee compliance with the conditions of the permit.
Compliance with Corporation Laws
- The grantee and its successors or assigns are subject to existing and future corporation laws of the Philippines.
Frequency Assignments
- Authorized operation is limited to the medium frequency, high frequency, and very high frequency bands.
- Frequency assignments are to be made by the Secretary of Public Works and Communications or any licensing authority.
Transfer and Assignment Restrictions
- The permit or rights may not be leased, transferred, sold, granted as usufruct, assigned, or merged without prior approval of the Philippine Congress.
- Any entity acquiring the permit must comply with all terms, conditions, and laws applicable to the original grantee.
Presidential Reserved Rights
- The President of the Philippines may close the grantee’s radio stations or authorize temporary government use in situations of war, insurrection, public peril, emergency, calamity, or disaster.
- Just compensation must be paid in such cases.
Amendments and Non-Exclusivity
- The Congress may amend, alter, or repeal the permit based on public interest.
- The permit is not an exclusive grant of privileges.
Effectivity
- The Act takes effect immediately upon approval.