Said grantee shall manufacture and supply ice up to the limit and capacity of its plant.

Sec. 2. If the grantee does not commence the manufacture and distribution of ice and/or construction and operation of cold storage facilities within one year from the approval of this Act, this franchise shall be null and void, unless such failure has been caused by force majeure or any other cause beyond the grantee's control.

Sec. 3. This franchise is granted subject to the provisions of the Constitution and of Commonwealth Act Numbered One hundred forty-six, as amended, insofar as the rates are concerned.

Sec. 4. The books, records and accounts of the grantee shall be open to the inspection of the municipal treasurer or his authorized representative, and it shall be the duty of the grantee to submit to the said treasurer quarterly reports in duplicate showing the gross receipts for the preceding quarter, one of which shall be forwarded by the said treasurer to the Auditor General, who shall keep the same on file.

Sec. 5. The grantee, with the approval of the Congress of the Philippines first had, may sell, lease, grant, convey, assign, give in usufruct, or transfer this franchise and all property and rights acquired thereunder to any qualified individual, association or corporation competent to operate the business hereby authorized.

Sec. 6. In the event of any competing individual, association or corporation receiving from the Congress of the Philippines a similar franchise in which there shall be any term, or terms more favorable than those granted herein or tending to place the herein grantee at any disadvantage, then such term or terms shall ipso facto become part of the terms hereof and shall operate equally in favor of the grantee as in the case of said competing individual, association of persons, or corporation.

Sec. 7. This Act shall take effect upon its approval.

Approved: June 22, 1963

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