The Philippine business landscape has dramatically changed, thanks to the increasing number of foreign investors in the country. Even local businesses are now open to the idea of doing business with foreign corporations. It is to be expected that in years to come, there will be an impressive growth of foreign participants in boosting the Philippine economy. So what are implementing rules governing foreign corporations? 

Sec. 129. Law applicable. - Any foreign corporation lawfully doing business in the Philippines shall be bound by all laws, rules and regulations applicable to domestic corporations of the same class, except such only as provide for the creation, formation, organization or dissolution of corporations or those which fix the relations, liabilities, responsibilities, or duties of stockholders, members, or officers of corporations to each other or to the corporation. (73a)

Sec. 130. Amendments to articles of incorporation or by-laws of foreign corporations. - Whenever the articles of incorporation or by-laws of a foreign corporation authorized to transact business in the Philippines are amended, such foreign corporation shall, within sixty (60) days after the amendment becomes effective, file with the Securities and Exchange Commission, and in the proper cases with the appropriate government agency, a duly authenticated copy of the articles of incorporation or by-laws, as amended, indicating clearly in capital letters or by underscoring the change or changes made, duly certified by the authorized official or officials of the country or state of incorporation. The filing thereof shall not of itself enlarge or alter the purpose or purposes for which such corporation is authorized to transact business in the Philippines. (n)

Sec. 131. Amended license. - A foreign corporation authorized to transact business in the Philippines shall obtain an amended license in the event it changes its corporate name, or desires to pursue in the Philippines other or additional purposes, by submitting an application therefor to the Securities and Exchange Commission, favorably endorsed by the appropriate government agency in the proper cases. (n)

Sec. 132. Merger or consolidation involving a foreign corporation licensed in the Philippines. - One or more foreign corporations authorized to transact business in the Philippines may merge or consolidate with any domestic corporation or corporations if such is permitted under Philippine laws and by the law of its incorporation: Provided, That the requirements on merger or consolidation as provided in this Code are followed.

Whenever a foreign corporation authorized to transact business in the Philippines shall be a party to a merger or consolidation in its home country or state as permitted by the law of its incorporation, such foreign corporation shall, within sixty (60) days after such merger or consolidation becomes effective, file with the Securities and Exchange Commission, and in proper cases with the appropriate government agency, a copy of the articles of merger or consolidation duly authenticated by the proper official or officials of the country or state under the laws of which merger or consolidation was effected: Provided, however, That if the absorbed corporation is the foreign corporation doing business in the Philippines, the latter shall at the same time file a petition for withdrawal of its license in accordance with this Title. (n)

Sec. 133. Doing business without a license. - No foreign corporation transacting business in the Philippines without a license, or its successors or assigns, shall be permitted to maintain or intervene in any action, suit or proceeding in any court or administrative agency of the Philippines; but such corporation may be sued or proceeded against before Philippine courts or administrative tribunals on any valid cause of action recognized under Philippine laws. (69a)

Sec. 134. Revocation of license. - Without prejudice to other grounds provided by special laws, the license of a foreign corporation to transact business in the Philippines may be revoked or suspended by the Securities and Exchange Commission upon any of the following grounds:

1. Failure to file its annual report or pay any fees as required by this Code;

2. Failure to appoint and maintain a resident agent in the Philippines as required by this Title;

3. Failure, after change of its resident agent or of his address, to submit to the Securities and Exchange Commission a statement of such change as required by this Title;

4. Failure to submit to the Securities and Exchange Commission an authenticated copy of any amendment to its articles of incorporation or by-laws or of any articles of merger or consolidation within the time prescribed by this Title;

5. A misrepresentation of any material matter in any application, report, affidavit or other document submitted by such corporation pursuant to this Title;

6. Failure to pay any and all taxes, imposts, assessments or penalties, if any, lawfully due to the Philippine Government or any of its agencies or political subdivisions;

7. Transacting business in the Philippines outside of the purpose or purposes for which such corporation is authorized under its license;

8. Transacting business in the Philippines as agent of or acting for and in behalf of any foreign corporation or entity not duly licensed to do business in the Philippines; or

9. Any other ground as would render it unfit to transact business in the Philippines. (n)

When taking a loan, one thing that you usually worry about, aside from the principal amount you have to pay is the interest rate. It can double like crazy once you fail to pay on a regular basis. Some people find it difficult to repay what they owe. This is why it is difficult to recover from debt when there is only one option left to consider. Lending firms are warned regarding unreasonable interest rates. It is also unlawful for them to take your personal property such as your car, jewelry and other valuable possessions in exchange of the money owed. 

Sec. 2. No person or corporation shall directly or indirectly take or receive in money or other property, real or personal, or chooses in action, a higher rate of interest or greater sum or value, including commissions, premiums, fines and penalties, for the loan or renewal thereof or forbearance of money, goods, or credits, where such loan or renewal or forbearance is secured in whole or in part by a mortgage upon real estate the title to which is duly registered, or by any document conveying such real estate or an interest therein, than twelve per centum per annum or the maximum rate prescribed by the Monetary Board and in force at the time the loan or renewal thereof or forbearance is granted: Provided, That the rate of interest under this section or the maximum rate of interest that may be prescribed by the Monetary Board under this section may likewise apply to loans secured by other types of security as may be specified by the Monetary Board.

Sec. 3. No person or corporation shall directly or indirectly demand, take, receive or agree to charge in money or other property, real or personal, a higher rate or greater sum or value for the loan or forbearance of money, goods, or credits where such loan or forbearance is not secured as provided in Section two hereof, than fourteen per centum per annum or the maximum rate or rates prescribed by the Monetary Board and in force at the time the loan or forbearance is granted.

Sec. 4. No pawnbroker or pawnbroker's agent shall directly or indirectly stipulate, charge, demand, take or receive any higher rate or greater sum or value for any loan or forbearance than two and one-half per centum per month when the sum lent is less than one hundred pesos; two per centum per month when the sum lent is one hundred pesos or more, but not exceeding five hundred pesos; and fourteen per centum per annum when it is more than the amount last mentioned; or the maximum rate or rates prescribed by the Monetary Board and in force at the time the loan or forbearance is granted. A pawnbroker or pawnbroker's agent shall be considered such, for the benefits of this Act, only if he be duly licensed and has an establishment open to the public.

It shall be unlawful for a pawnbroker or pawnbroker's agent to divide the pawn offered by a person into two or more fractions in order to collect greater interest than the permitted by this section.

It shall also be unlawful for a pawnbroker or pawnbroker's agent to require the pawner to pay an additional charge as insurance premium for the safekeeping and conservation of the article pawned.

Sec. 4-a. The Monetary Board may eliminate, exempt from, or suspend the effectivity of, interest rate ceilings on certain types of loans or renewals thereof or forbearances of money, goods, or credit, whenever warranted by prevailing economic and social conditions.

Sec. 4-b. In the exercise of its authority to fix the maximum rate or rates of interest under this Act, the Monetary Board shall be guided by the following:

1. The existing economic conditions in the country and the general requirements of the national economy;

2. The supply of and demand for credit;

3. The rate of increase in the price levels; and 

4. Such other relevant criteria as the Monetary Board may adopt.

Sec. 5. In computing the interest on any obligation, promissory note or other instrument or contract, compound interest shall not be reckoned, except by agreement: Provided, That whenever compound interest is agreed upon, the effective rate of interest charged by the creditor shall not exceed the equivalent of the maximum rate prescribed by the Monetary Board, or, in default thereof, whenever the debt is judicially claimed, in which last case it shall draw six per centum per annum interest or such rate as may be prescribed by the Monetary Board. No person or corporation shall require interest to be paid in advance for a period of more than one year: Provided, however, That whenever interest is paid in advance, the effective rate of interest charged by the creditor shall not exceed the equivalent of the maximum rate prescribed by the Monetary Board.

A real estate purchase will not be complete without the deed of absolute sale. This legal form transfers property to one party including property rights. The deed serves as a proof that the transfer occurred. Once you have signed the documents, it means you have fully understood that all rights to the property will be transferred from the seller to the buyer. 

It is also important to note that the deed of absolute sale should have no stipulated conditions attached other than the buyer's payment. 

You need to have an independent surveyor or judge that will determine the property's current market value to prevent over-paying. You will also have to make sure that the document is legally binding and should vividly describe the property that will be transferred. A sample of deed of absolute sale is provided below:

DEED OF ABSOLUTE SALE 

KNOW ALL MEN BY THESE PRESENTS:

This DEED OF ABSOLUTE SALE is made, executed and entered into by:

        (NAME OF SELLER), of legal age, single/married to (Name of spouse if any), Filipino, and with residence and postal address at (Address of Seller), hereinafter referred to as the SELLER

-AND- 

       (NAME OF BUYER), Filipino and with residence and postal address at (Address of Buyer), hereinafter referred to as the BUYER.

WITNESSETH; 

       WHEREAS, the SELLER is the registered owner of a parcel of land with improvements located at (Address of property to be sold) and covered by Transfer Certificate of Title No. (TCT Number) containing a total area of (Land Area of Property in Words) (000) SQUARE METERS, more or less, and more particularly described as follows:

TRANSFER CERTIFICATE OF TITLE NO. 0000

       "(Insert the  technical description of the property on the title) Example: A PARCEL OF LAND (Lot 20 Blk 54 of consolidation subdivision plan (LRC) Pcs-13265, being a portion of the consolidation of Lots 4751-A and 4751-B (LRC) Psd-50533,  Lot 3, Psd-100703, Lot 1, Psd-150980, LRC Rec. Nos. Nos. N-27024, 51768, 89632, N-11782, N-13466, and 21071 situated in the Bo. of San Donisio, Mun of Paranaque,  Prov of Rizal, Is. of Luzon. Bounded on NE., point 4 to 1 by Road Lot 22, on...to the point of beginning; containing an area of (280) square meters more or less..."

       WHEREAS, the BUYER has offered to buy and the SELLER has agreed to sell the above mentioned property for the amount of (Amount in words) (P 000,000.00) Philippine Currency;

       NOW THEREFORE, for and in consideration of the sum of (Amount in words) (P 000,000.00) Philippine Currency, hand paid by the vendee to the vendor, the SELLER DO HEREBY SELL, TRANSFER, and CONVEY by way of Absolute Sale unto the said BUYER, his heirs and assigns, the certain parcel of land together with all the improvements found thereon, free from all liens and encumbrances of whatever nature including real estate taxes as of the date of this sale.

 (NAME OF SELLER)                       (NAME OF BUYER)

          Seller                                        Buyer  

WITH MARITAL CONSENT:

________________________             _________________________

 Name of Seller's Spouse                      Name of Buyer's Spouse

  

SIGNED IN THE PRESENCE OF:

 

__________________________               ____________________________

 

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)

_____________________________ )  SS.

 

BEFORE ME, a Notary Public for and in the City of ___________________,  personally appeared:

 

Name                           CTC Number               Date/Place Issued   

 

(Name of Seller)                      10000000             Jan 15, 20__ / Angeles City

(Name of Buyer)                      10000000             Jan 9, 20__ / Manila          

 

Known to me and to me known to be the same persons who executed the foregoing instrument and acknowledged to me that the same are their free act and voluntary deed.

This instrument, consisting of (__) pages, including the page on which this acknowledgment is written, has been signed on the left margin of each and every page thereof by the concerned parties and their witnesses, and sealed with my notarial seal.

WITNESS  MY HAND AND SEAL on this ___day of __________________20__ at_______________.

Notary Public

Doc. No. ........;

Page No. .......;

Book No. .......;

Series of 20__.

You lost your job.

A family member got hospitalized causing you to use the money intended for paying rent.

You will certainly agree that being faced with financial issues is stressful. Every tenant has encountered problems with paying rent on time or in full. It is no secret. The mere fact that your landlord will penalize you for paying late is enough to cause panic.

The good news is, you can still deal with late rent payments.

Arrange A Partial Rent Payment

Being evicted is the last thing you want to happen, but rules are rules. There is still something you can do to avoid eviction and that is to negotiate a partial or delayed rent payment. Do not wait for your landlord to remind you of the payment you failed to make. Be proactive and inform your landlord that can't afford to pay rent this month. The mere fact that you made an effort to inform them is a sign of your willingness to settle delayed rent payment.

Keep in mind that delayed payment can also affect your landlord in more ways than one. What if the payment will be used for paying the utility bills? What if the payment will be intended for paying their kids' tuition fees? Giving your landlord a written assurance that you are going to pay the full rent will give both parties peace of mind.

First, you need to ask your landlord in writing to give you a few extra days or weeks to settle the payment. You will need to explain why you are having difficulties making a timely payment.

If it is possible, you can offer to pay at least some of the rent on time. Your landlord also needs an assurance that you will deliver what you have promised so a written agreement will be deemed necessary. Be sure to indicate the date and keep your promise. As a rule of thumb, late payment will also incur late fee. Be sure to be prepared for it.

The Problem Will Not Go Away Unless You Do Something About it

If you are tempted to ignore the problem, thinking that it will just go away, you may have to think twice.

Your landlord keeps a record of the payment tenants made. This means they can easily track late payments. You will not solve the problem if you will develop a habit of ignoring reminders through emails or phone calls. Not cool.

Sending A Check You Know Will Bounce Is A Big No-No!

If you are toying with the idea of sending a bad check, it is estafa hiding in plain sight, a lawsuit that is waiting to happen. Instead of solving the problem, you are only fueling your landlord's anger. A bounced check only worsens your problem as the landlord may be left with no choice but to terminate your tenancy.

If you have been a good tenant, asking a small favor from your landlord won't hurt. Once you have made a rent payment, make it a habit to pay on time.

As a consumer you have the right to: safety, basic needs, information, representation, redress, consumer education, choose and healthy environment. Making informed buying decisions will ensure that you are getting the right products and services. If you want to make an online purchase, the first thing you need to check is the DTI sales promotion permit of the online store. It is not enough that you read reviews or feedback from previous buyers because you also need protection against online scams. While you may not have the luxury of time to check the items you are purchasing, it still pays to get some essential information such as the product’s expiry date, brand name, name and address of the manufacturer and English or Filipino translation if the labels are written in other languages. Perhaps you are already familiar with the ‘No Return, No Exchange’ policy and if ever you bought a defective product, you should insist on replacing or refunding the item.

Republic Act No. 7394 or the Consumer Act of the Philippines provides detailed information about consumer rights and practices.

“ARTICLE 5. Declaration of Policy. — It shall be the duty of the State:

a) to develop and provide safety and quality standards for consumer products, including performance or use-oriented standards, codes of practice and methods of tests;
b) to assist the consumer in evaluating the quality, including safety, performance and comparative utility of consumer products;
c) to protect the public against unreasonable risks of injury associated with consumer products;
d)to undertake research on quality improvement of products and investigation into causes and prevention of product related deaths, illness and injuries;
e) to assure the public of the consistency of standardized products.
ARTICLE 6.  Implementing Agencies. — The provisions of this Article and its implementing rules and regulations shall be enforced by:
a)   the Department of Health with respect to food, drugs, cosmetics, devices and substances;
b)   the Department of Agriculture with respect to products related to agriculture, and;
c)   the Department of Trade and Industry with respect to other consumer products not specified above.

ARTICLE 7.   Promulgation and Adoption of Consumer Product Standards. — The concerned department shall establish consumer product quality and safety standards which shall consist of one or more of the following:

a)    requirements as to performance, composition, contents, design, construction, finish, packaging of a consumer product;
b)    requirements as to kind, class, grade, dimensions, weights, material;
c)  requirements as to the methods of sampling, tests and codes used to check the quality of the product;
d)  requirements as to precautions in storage, transporting and packaging;
e)  requirements that a consumer product be marked with or accompanied by clear and adequate safety warnings or instructions, or requirements respecting the form of warnings or instructions.

For this purpose, the concerned department shall adopt existing government domestic product quality and safety standards: Provided, That in the absence of such standards, the concerned department shall form specialized technical committees composed of equal number of representatives from each of the Government, business and consumer sectors to formulate, develop and purpose consumer product quality and safety standards. The said technical committees shall consult with the private sector, which may, motu proprio, develop its own quality and safety standards that shall be subject to review and approval of the concerned government agency or agencies after public hearings have been conducted for that purpose; and shall likewise consider existing international standards recognized by the Philippine Government.

ARTICLE 8.   Publication of Consumer Product Standards. — The concerned department shall, upon promulgation of the above standards, publish or cause the publication of the same in two (2) newspapers of general circulation at least once a week for a period of not less than one (1) month. It may likewise conduct an information campaign through other means deemed effective to ensure the proper guidance of consumers, businesses, industries and other sectors concerned.”

When you have sluggish internet speed like that of a ghost dragging heavy chains, the first thing that comes to mind is to let your internet service lay to rest. Aside from the country’s traffic situation that will make you want to crawl in a big black hole, the slow internet speed is one of the reasons for Pinoy woes. These days, many individuals are relying heavily on internet for business and personal transactions.

Sluggish internet speed can have a negative impact on the economy. However, a strong and effective plan to address internet speed woes has not yet been formulated. Voters are also looking for digital leaders who can do something about the country’s slow internet speed. The internet service is one of the overlooked issues in the country, but little do these leaders know that students and entrepreneurs alike have heavy reliance on the internet.

The Kabataan Party Representative Terry Ridon proposed Free Public Wi-Fi Act or House Bill 5791. This house bill also aims to improve the internet service in the country and since a large number of voters are also turning to social media to get updates on election candidates, a faster internet speed can definitely address such concerns.

It is a sad fact that next to Afghanistan, the Philippines has the second slowest download speed among 22 countries in Asia. This is based on a 2015 study conducted by Ookla, an Internet Performance data provider. On average, the country can only offer 3.64 megabits per second (mbps) and this is not even half the average speed of other countries in the whole world. The cost of the Internet service also gives additional burden to subscribers.

The most number of internet users in the country belongs to young voters. This is why a presidential candidate who has the ability to put an end to the Internet woes of the country can be a good option to consider. Other countries such as Singapore have an average speed of 12.7 mbps and due to the fact that there are 44 million active users of various social media platforms such as Twitter, Facebook and Instagram, our country is trailing behind.

Netizens who have long been hoping for a much reliable internet speed will surely breathe a sigh of relief if there is a digital leader who will take a stand and make a change. While pushing for fast internet speed may not be the all and end all of presidential campaigns, it can still make a huge difference.

Aside from knowing the essential elements of a rental contract, tenants and landlords are also interested to know the law on tenant eviction in the Philippines. The rental law varies from country to country and with that being said, tenant eviction cannot take place if it does not coincide with the local law.  More often than not, non-payment is the most common reason for tenant eviction but before a landlord can evict a tenant, certain obligations must also be taken into consideration.  A landlord must ensure that the unit is habitable. The owner must also be compliant with health laws and building statutes.

A property owner or landlord cannot evict a tenant immediately without delivering three day notice. It is against the law to change the locks without the tenant’s consent. If the tenant’s eviction is due to non-payment and the tenant decides to pay the rent, then the problem has been resolved. However, if the tenant refuses to pay or leaves the property, the issue will be taken to court. For both parties, the process can be very expensive and time-consuming.

A landlord must also keep in mind that eviction does not happen in an instant. If the tenant fails to pay for three consecutive months, the landlord has the right to sue the tenant. The landlord needs to wait for the tenant’s response to a writ given by the court indicating abandonment. The police will be the one to evict a tenant under court order.

Aside from non-payment, a landlord has the right to evict a tenant for subleasing a property or unit without prior consent from the landlord. If the landlord decides to repair or use the unit, the tenant must also vacate the property at a given time. In theory, the tenant is given three month formal notice, which can be delivered by mail or handed personally to the tenant. If the property will only undergo repair, the tenant has the right to rent the property again. For condemned buildings or units, the landlord should give a fifteen day notice to the tenant to leave the unit.

While it can be frustrating to evict a tenant who refuses to pay rent after the grace period, the landlord should not take the matter into his own hands. Instead, call the police to evict the tenant to avoid facing serious consequences. Landlords are also encouraged to make the tenant leave the property voluntarily because taking the matter to court is costly and can take so much of your precious time.

Real estate regulations have already been put in place to reduce if not eradicate cases of land scams in the Philippines. Unfortunately, these regulations cannot deter scammers from victimizing individuals who only want to make a wise investment by means of purchasing real estate property. For unsuspecting buyers, being presented with a land title is enough to win their trust. What else could go wrong when buyers already see hard proof that a piece of land has undergone a correct legal process or so they thought.

With the alarming numbers of cases where hapless and unsuspecting victims fall prey to fake land title scams, being keen on land title details is a skill every land buyer should possess. If you have just caught a glimpse of what a land title looks like without taking some time to inspect every detail, you can subject yourself into a confusing situation once you are presented with a land title. However, when you arm yourself with appropriate knowledge on identifying fake from authentic land titles, then there is no reason you cannot be on the right track.

Check The Titles’ Physical Quality

One thing that sets authentic land titles from fake ones is their identifying marks. While fake titles may appear to be an exact replica of its authentic counterpart, there are physical qualities that make authentic land titles distinct. This means that no matter how skilled a scam artist may become in copying land title, they just cannot easily copy or duplicate the authentic land title’s physical quality.

Never mistake fake land titles for authentic ones by checking these following physical qualities:

•    The color of an old title is light yellow, but for new titles or e-Titles, the color should be pale straw.
•    The texture can be compared to a bank check.
•    Faint watermark that reads “LRA” can be seen on the title.
•    Dots and tiny fibers are visible.
•    The fibers shine slightly when under UV light.

There are also key details on the land title that must be present to verify its authenticity. An original certificate of title (OCT) should bear “Judicial Form No. 108-D” at the top. For a Transfer Certificate of Title (TCT), it should have “Judicial Form No. 109-D”. A red serial number label and black for the owner’s duplicate must be present. For the last two digits of the page number, which can be found on the upper right hand side of the title, it should correspond to the last two digits of the TCT number. The red or blue border is slightly embossed and not flatly printed.

For e-Titles, the information should be encoded and printed. For both new and old titles, there should be a dark red seal on the lower left hand side that should not blot even when tested with a little amount of water.  The land title should consist of 2 signatures from the Administrator and the Registrar. However, the Registrar’s signature must be present in TCT. Administrative titles should bear one signature from CENRO or PENRO officer and another signature from the registrar.

Although a contract is just a piece of paper that you sign to seal the deal, you can still end up in court due to misinterpretation. A poorly written contract is not necessarily the reason a person can face a lawsuit. Even if your contract has been prepared by one of the biggest law firms in the country, it is still not immune to criminal charges if the obligations that are stated have not been fulfilled. There are basic elements in a contract, which need to be present before any deals can be made. 

A contract refers to an agreement of two or more contracting parties on a particular venture whereby one person binds himself, with respect to the other, to render services or give something. 

The contract must not be obtained through undue influence, coercion, misrepresentation and fraud. As a general rule, the party who has suffered due to breach of contract can claim money damages from the other. The breaching party will also be ordered by the court to perform obligations that are stipulated in the contract.  

Contracts cannot completed without the following requisites:

(1) Contracting parties' consent; 

(2) subject matter of the contract; and 

(3) the cause of the obligation. 

The Basic Elements of Contracts

Consent

In general, when a consent is given, the contract is considered perfected. It can be deemed an oral contract that binds both contracting parties. One person must have a definite offer and the other must have an absolute acceptance of the offer. 

Object of the Agreement

The subject matter refers to the object of the contract. If a thing is deemed outside the commerce of man, it will not be accepted as the object of the contract. Contracts are made to transfer the rights of property, render services and others. However, the object of the contract must not be contrary to law, good customs, morals and public order. 

Consideration

The cause of the contract will be based on the type of contracts. For instance, onerous contract's cause is the promise of service or thing by the other person. Remunatory contract's cause is the benefit or service, which is being remunerated. For contracts of pure beneficence, the cause is the benefactor's liberality. The cause can only be defined based on the nature of the contract. 

An oral contract may not suffice even if both parties have made an agreement. A written contract is a strong proof that a deal or agreement has been made. It includes the necessary details that can be used in court when the obligations have not been met.