



Sec.
3. Prior Approval of the National
Telecommunications Commission. — The grantee shall secure from the
National Telecommunications Commission the appropriate permits and
licenses
for its stations and shall not use any frequency in the radio spectrum
without having been authorized by the Commission. The Commission,
however,
shall not unreasonably withhold or delay the grant of any such
authority.
Sec.
4. Responsibility to the Public.
— The grantee shall provide reasonable public service time to enable
the
government, through the said broadcasting stations, to reach the
population
on important public issues; provide at all times sound and balanced
programming;
assist in the functions of the public information and education;
conform
the ethics of honest enterprise, and not use its stations for the
broadcasting
of obscene and indecent language, speech, act, or for the dissemination
of deliberately false information or willful
misrepresentation, or to the detriment of the public interest or to
incite,
encourage, or assist in subversive or treasonable acts.
Sec.
5. Right of Government.
—A special right is hereby reserved to the President of the
Philippines,
in times of war, rebellion, public peril, calamity, emergency, disaster
or disturbance of peace and order, to temporarily take over and operate
the station of the grantee, to temporarily suspend the operation of any
station in the interest of public safety, security and public welfare,
or to authorize the temporary use and operation thereof by any agency
of
the government, upon due compensation to the grantee, for the use of
said
stations, transmitter system, facilities and equipment during the
period
when they shall be so operated.
Sec.
6. Term of Franchise.
— This franchise shall be for a term of twenty-five (25) years from the
date of approval of this Act, unless sooner revoked or cancelled. In
the
event the grantee fails to operate continuously for two (2) years, this
franchise shall be deemed ipso facto revoked.
Sec.
7. Acceptance and Compliance.
— Acceptance of this franchise shall be given in writing within sixty
(60)
days after approval of this Act. Refusal or failure to accept the
franchise
or to operate within the prescribed period shall render the franchise
void.
Sec.
8. Tax Provision. — Being
a part of the government, the grantee shall be exempt from paying all
taxes
and fees.
Sec.
9. Self-regulation by and
Undertaking of Grantee. — The grantee shall not require any
previous
censorship of any speech, play act or scene or other matter to be
broadcast
and/or telecast from its stations: Provided, That the grantee, during
any
broadcast and telecast shall cut off from the air the speech, play, act
or scene, or other matter being broadcast if the tendency thereof is to
promote and/or incite treason, rebellion, or sedition; or the language
used therein or the theme thereof is indecent or immoral; and willful
failure
to do so shall constitute a valid cause for the cancellation of this
legislative
franchise.
Sec.
10. Warranty in Favor of National
and Local Governments. — The grantee shall hold the national,
provincial
and municipal governments of the Philippines free from all claims,
accounts,
demands or actions arising out of accidents and injuries, whether to
property
or to a person, caused by the construction or operation of the stations
of the grantee.
Sec.
11. Sale, Lease, Transfer,
Usufruct, etc. — The grantee shall not lease, transfer, grant the
usufruct
of, sell nor assign the franchise herein granted or the rights and
privileges
acquired thereunder to any person, firm, company, corporation or
entity,
nor merge with any corporation or entity without the prior approval of
the Congress of the Philippines. Neither shall the controlling interest
of the grantee be transferred, whether as a whole or in a parts and
whether
simultaneously or contemporaneously to any such private person, firm,
company,
corporation or entity without the prior approval of the Congress of the
Philippines. Any such person or entity to which this franchise is sold,
transferred or assigned, shall be subject to all the same conditions,
terms,
restrictions and limitations of this Act.
Sec.
12. Separability Clause.
— If any of the sections or provisions of this Act is held invalid, all
the other provisions not affected thereby shall remain valid.
Sec.
13. Repealability and Non-Exclusivity
Clause. — This franchise shall be subject to amendment, alteration
or repeal by the Congress of the Philippines when the public interest
so
requires and shall not be interpreted as an exclusive grant of the
privileges
herein provided for.
Sec.
14. General Broadcast Policy.
— The grantee shall comply with and be subject to the provision of a
general
broadcast policy law that may hereinafter be enacted.
Sec.
15. Reportorial Requirement.
— The grantee shall submit an annual report to the Congress of the
Philippines
on its compliance with the terms and conditions of the franchise and
its
operations within sixty (60) days from the end of every year.
Sec.
16. Effectivity Clause.
— This Act shall take effect fifteen 915) days after its publication in
at least two (2) newspapers of general circulation in the Philippines.


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