A collection of Philippine laws, statutes and codes not included or cited in the main indices of the Chan Robles Virtual Law Library.
Republic Acts :
REPUBLIC ACT NO. 7349 - AN ACT GRANTING TO SILANGAN AIRWAYS, INC., A FRANCHISE TO ESTABLISH, OPERATE AND MAINTAIN TRANSPORT SERVICES FOR CARRIAGE OF PASSENGERS, MAILS, GOODS, AND PROPERTY BY BOTH DOMESTIC AND INTERNATIONAL
Section 1. Nature and Scope of Franchise. — Subject to the
provisions of the Constitution and applicable laws, rules and
regulations, there is hereby granted to the Silangan Airways, Inc.,
hereunder referred to as the grantee, its successors or assigns a
franchise to establish, operate and maintain transport services for
carriage of passengers, mails, goods and property by air both domestic
Sec. 2. Prior Approval of the Civil Aeronautics
Board. — The grantee shall secure from the Civil Aeronautics Board the
appropriate permits and licenses for its operations.
Sec. 3. Responsibility to the Public. — Excepting cases of force majeure and whenever weather conditions permit, the grantee shall maintain scheduled and/or non/scheduled and/or charter air transport services to any and all points and places throughout the Philippines and between the Philippines and other countries at such frequencies as traffic needs may require: provided, however, that at least twenty-five percent (25%) of all frequencies shall be for the domestic market.
Sec. 4. Rates for Services. — The grantee shall fix just and reasonable rates for the transportation of passengers, mails, goods and freight, subject to the regulations and approval of the Civil Aeronautics Board and other proper regulatory agencies of the Government.
Sec. 5. Term of Franchise. — This franchise shall be for a term of forty (40) years from the date of the approval of this Act, unless sooner revoked or cancelled. In the event that the grantee fails to operate continuously for two (2) years, this franchise shall be deemed ipso facto revoked.
Sec. 6. Landing Facilities. — The grantee may use the landing and other airport facilities on land and water as may be maintained or owned by the Government within the Philippines on the grantee's lines subject to such terms and conditions, restrictions and national policy considerations as the Philippine Government may prescribe, and reciprocally, the Philippine Government shall have the right to use the landing and other airport facilities as may be maintained or owned by the grantee in the Philippines.
Sec. 7. Contracts. — The grantee is authorized to enter into transportation contracts with the Philippine Government, including the carrying of mail, upon terms and conditions to be mutually agreed upon. The grantee shall give preferential consideration to contracts with the Philippine Government. The grantee may likewise enter into transportation maintenance and/or servicing contracts, and such other contracts relating to air transport with other foreign-owned airlines particularly with those who have international routes.
Sec. 8. Right of Government. — In case of war, insurrection, domestic trouble, public calamity, or national emergency, the Philippine Government, upon order of the President, shall have the right to take over and operate the equipment of the grantee, paying for its use or damages.
Sec. 9. Public Equity Participation. — In
compliance with the constitutional to democratic ownership of public
utilities, the herein grantee shall make public offering through the
stock exchange of at least thirty percent (30%) of its common stock
within a period of ten (10) years from the date of effectivity of this
Act: provided, that no single person or entity shall be allowed to own
more than five percent (5%) of the stock offerings.
Approved: April 2, 1992