THE PHILIPPINES POLITICO-LEGAL SYSTEM

Legal System
Political-legal environment is a
collection of factors which can affect the
business. It usually pertains to the
regulations and laws that have to be
followed to ensure safe business
practices.
Elements of Politico-Legal
Environment
Government
The type of government running a
country is a powerful influence on any
business.
Legal
Businesses must understand the relevant
laws relating to companies, competition,
intellectual property, foreign exchange,
labour, and so on.
Political
Political uncertainty, political movements
against certain products, service and
organisations, politicalisation of trade
unions, etc.
Philippine Setting
Government and Politics
Democratic republic where the
president is both head of state and
head of government
Government consist of three
independent branches, the
executive, legislative, and judiciary
Branches of the Government
Executive headed by the
President
Legislative headed by the
Philippine Congress (Senate and
the House of Representatives)
Judicial made up of Supreme
Court and lower courts

Commercial Laws regulates the

process of doing commerce. Examples
are:

Philippine Code of Commerce

includes provisions on:

merchandise

commerce

maritime commerce

certain types of commercial

contracts

insolvency law

commercial registries

bookkeeping
Philippine Code of Corporations
includes provisions on:
Incorporation and organization of
corporations

board of directors, trustees

and officers

power of corporations

meetings of the corporation

stocks and stockholders

corporate books and records

merger and consolidation

dissolution

Foreign corporations
Labor Code of the Philippines
Working hour
Minimum wage
Minimum age limit
Investment Laws
Regulates the processes by and
conditions under which investors
may invest and operate in the
country
Board of Investments, Securities
and Exchange Commission

Examples are Foreign Investments

Act of 1991, Omnibus Investments
Code of 1987
Environmental Laws
Examples are Clean Air Act,
Clean Water Act.