Title
Regulation of retail business ownership
Law
Republic Act No. 1180
Decision Date
Jun 19, 1954
Republic Act No. 1180, enacted in 1954, regulates the retail business in the Philippines, prohibiting non-citizens and corporations not wholly owned by Filipino citizens from engaging in the retail business, with exceptions for those already engaged in the business before May 15, 1954.

Registration Requirements for Non-Citizen and Foreign-Owned Retail Operators

  • Within ninety days post-Act approval and annually by January 15, such entities must register with municipal or city treasurers.
  • Registration must include verified details: owners'/partners'/stockholders' names, addresses, nationalities, retail business nature, assets and liabilities, principal officials, and other data as requested by the Secretary of Commerce and Industry.

Provisions Upon Death of Non-Citizen Retail Business Owner

  • Heirs, administrators, or executors may continue the retail business solely for liquidation purposes.
  • The continuation period is limited to six months after the owner's death.

Definition and Scope of "Retail Business"

  • Defined as habitual direct selling of goods or commodities to the general public for consumption.
  • Exclusions: manufacturers, processors, laborers, or workers selling their own products if capital is not more than five thousand pesos; farmers or agriculturists selling their own farm products.

License as Evidence of Business Ownership

  • Licenses issued to Filipino citizens or wholly Filipino-owned entities conclusively prove ownership.
  • This conclusive evidence is not binding against the Government or the State.

Penalties for Violations

  • Violators face imprisonment of 3 to 5 years and fines ranging from 3,000 to 5,000 pesos.
  • For associations, partnerships, or corporations, penalties apply to responsible principals: partners, presidents, directors, managers, and officers.
  • Non-citizen offenders are subject to immediate deportation after serving sentences.
  • Public officers or employees who violate the Act face dismissal, perpetual disenfranchisement, and disqualification from public office.

Effectivity of the Act

  • The Act is effective immediately upon its approval on June 19, 1954.

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