WHEREAS,
the statutory definition in Republic Act No. 1180, otherwise known as
the Retail Trade Nationalization Law, of the term "retail business" is
vague and ambiguous, and this ambiguity has given rise to conflicting
theories as to its precise scope; chanroblesvirtualawlibrary
WHEREAS, it is believed to be not within the intendment of the said
nationalization law to include within its scope sales made to
industrial or commercial users or consumers;chanroblesvirtualawlibrary
WHEREAS, it is likewise in the interest of the national economy to
exclude from the provisions of the said law the business of restaurants
located in hotels, irrespective of the amount of capital, as long as
the restaurant is merely incidental to the hotel business;chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby
order and decree: chanroblesvirtualawlibrary
Section 1. Section 4 of Republic Act No. 1180 is
hereby amended to read as follows:cralaw:red
"Section 4. As used in this Act, the term 'retail
business' shall mean any act, occupation or calling of habitually
selling direct to the general public merchandise, commodities or goods
for consumption, but shall not include:cralaw:red
"(a) a manufacturer, processor, laborer or worker
selling to the general public the products manufactured, processed, or
produced by him if his capital does not exceed five thousand
pesos. chanroblesvirtualawlibrary
"(b) a farmer or agriculturist selling the product of
his farm.
"(c) a manufacturer or processor selling to the
industrial and commercial users or consumers who use the products
bought by them to render service to the general public and/or to
produce or manufacture goods which are in turn sold to them.
"(d) a hotel-owner or keeper operating a restaurant
irrespective of the amount of capital, provided that the restaurant is
necessarily included in, or incidental to, the hotel business."
Section 2. This decree shall take effect immediately.
DONE in the City of Manila,
this 28th day of May, in the year of Our Lord, nineteen hundred and
seventy-five.
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