Professional Documents
Culture Documents
Agreement
FACTS: This is in view of the most-favored nation clause
(MFN) of the TRIMS (trade-related investment
To recover from the devastation brought by World
measures), TRIPS (Trade Related aspects of
War 2, three(3) establishments were discussed at intellectual property rights), Trade in Services, and
Dumbarton Oaks and Bretton Woods and were par. 4 of Article III of GATT 1994.
eventually created. “shall be accorded treatment no less favorable than
that accorded to like products of national origin”
The first was the World Bank (WB) which was to
It is petitioners' position that the foregoing "national
address the rehabilitation and reconstruction of war-
treatment" and "parity provisions" of the WTO
ravaged and later developing countries; Agreement "place nationals and products of member
countries on the same footing as Filipinos and local
The second, the International Monetary Fund (IMF)
products," in contravention of the "Filipino First"
which was to deal with currency problems; and
policy of the Constitution. They allegedly render
The third, the International Trade Organization meaningless the phrase "effectively controlled by
Filipinos."
(ITO), which was to foster order and predictability in
Respondents’ arguments: On the other hand,
world trade and to minimize unilateral protectionist
respondents through the Solicitor General counter (1)
policies that invite challenge, even retaliation, from
that such Charter provisions are not self-executing
other states. and merely set out general policies; (2) that these
nationalistic portions of the Constitution invoked by
However, the ITO did not materialized. Instead, there
petitioners should not be read in isolation but should
was the general agreement on trades and tariffs
be related to other relevant provisions of Art. XII,
(GATT). particularly Secs. 1 and 13 thereof; (3) that read
properly, the cited WTO clauses do not conflict with
Principally the Kennedy Round, the Tokyo Round
Constitution; and (4) that the WTO Agreement
and the Uruguay Round, the world finally gave birth
contains sufficient provisions to protect developing
to that administering body — the World Trade
countries like the Philippines from the harshness of
Organization — with the signing of the "Final Act" in
sudden trade liberalization.
Marrakesh, Morocco and the ratification of the WTO
Agreement by its members.
The Uruguay Round Final Act, the Agreement ISSUE:
Establishing the Petitioners’ World Trade
Organization, the Ministerial Declarations and Whether, the provisions of the World Trade Organization
Decisions, and the Understanding on Commitments (WTO) and its three annexes contravene section 19 of article 2
in Financial Services are hereby submitted to the and section 10 and 12 of Article 12 of the Constitution
Senate for its concurrence pursuant to Section 21,
Article VII of the Constitution question the validity
of the concurrence of the WTO.
RULING:
Petitioners’ arguments: Arguing mainly (1) that the
WTO requires the Philippines "to place nationals and Declaration of principles not self-executing
products of member-countries on the same footing as
Filipinos and local products" and (2) that the WTO
"intrudes, limits and/or impairs" the constitutional These principles in Article II are not intended to be self-
powers of both Congress and the Supreme Court, the executing principles ready for enforcement through the
instant petition before this Court assails the WTO courts. 23They are used by the judiciary as aids or as guides in
Agreement for violating the mandate of the 1987 the exercise of its power of judicial review, and by the
Constitution to "develop a self-reliant and legislature in its enactment of laws. As held in the leading case
independent national economy effectively of Kilosbayan, Incorporated vs. Morato, the principles and
controlled by Filipinos . . . (to) give preference to state policies enumerated in Article II and some sections of
qualified Filipinos (and to) promote the Article XII are not "self-executing provisions, the disregard of
preferential use of Filipino labor, domestic which can give rise to a cause of action in the courts. They do
materials and locally produced goods." not embody judicially enforceable constitutional rights but
Petitioners aver that these sacred constitutional guidelines for legislation."
principles (Sec. 19 Art. 2, Section 10 and 12 Art. 12)
are desecrated by the following WTO provisions Economic Nationalism Should Be Read with
quoted in their memorandum: Petitioners argue that Other Constitutional Mandates to Attain
the “letter, spirit and intent” of the Constitution Balanced Development of Economy
mandating “economic nationalism” are violated by
the so-called “parity provisions” and “national On the other hand, Secs. 10 and 12 of Article XII, apart from
merely laying down general principles relating to the national
economy and patrimony, should be read and understood in as of the protection of "Filipino enterprises against unfair
relation to the other sections in said article, especially Secs. 1 foreign competition and trade practices."
and 13 thereof which read:
All told, while the Constitution indeed mandates a bias in
Sec. 1. The goals of the national economy are a more favor of Filipino goods, services, labor and enterprises, at the
equitable distribution of opportunities, income, and same time, it recognizes the need for business exchange with
wealth; a sustained increase in the amount of goods the rest of the world on the bases of equality and reciprocity
and services produced by the nation for the benefit of and limits protection of Filipino enterprises only against
the people; and an expanding productivity as the key foreign competition and trade practices that are unfair.
to raising the quality of life for all especially the
underprivileged. Constitution Does Not Rule Out Foreign Competition
The State shall promote industrialization and full The WTO reliance on "most favored nation," "national
employment based on sound agricultural treatment," and "trade without discrimination" cannot be
development and agrarian reform, through industries struck down as unconstitutional as in fact they are rules of
that make full and efficient use of human and natural equality and reciprocity that apply to all WTO members.
resources, and which are competitive in both Aside from envisioning a trade policy based on "equality and
domestic and foreign markets. However, the State reciprocity," 37 the fundamental law encourages industries
shall protect Filipino enterprises against unfair that are "competitive in both domestic and foreign markets,"
foreign competition and trade practices. thereby demonstrating a clear policy against a sheltered
domestic trade environment, but one in favor of the gradual
In the pursuit of these goals, all sectors of the development of robust industries that can compete with the
economy and all regions of the country shall be given best in the foreign markets.
optimum opportunity to develop. . . .
Constitution Designed to Meet
xxx xxx xxx Future Events and Contingencies
Sec. 13. The State shall pursue a trade policy that __________________________________________________
serves the general welfare and utilizes all forms and
arrangements of exchange on the basis of equality Feist Publications vs Rural Telephone Service
and reciprocity.
Facts:
As pointed out by the Solicitor General, Sec. 1 lays down the
basic goals of national economic development, as follows:
Rural Telephone Service Company is a certified
public utility that provides telephone service to
1. A more equitable distribution of opportunities, income and
several communities in northwest Kansas.
wealth;
Feist Publications, Inc., is a publishing company that
specializes in area-wide telephone directories.
2. A sustained increase in the amount of goods and services As the sole provider of telephone service in its
provided by the nation for the benefit of the people; and service area, Rural obtains subscriber information
quite easily. Persons desiring telephone service must
3. An expanding productivity as the key to raising the quality apply to Rural and provide their names and
of life for all especially the underprivileged. addresses; Rural then assigns them a telephone
number. Feist is not a telephone company, let alone
With these goals in context, the Constitution then ordains the one with monopoly status, and therefore lacks
ideals of economic nationalism (1) by expressing preference in independent access to any subscriber information. To
favor of qualified Filipinos "in the grant of rights, privileges obtain white pages listings for its area-wide directory,
and concessions covering the national economy and Feist approached each of the 11 telephone companies
patrimony" 27 and in the use of "Filipino labor, domestic operating in northwest Kansas and offered to pay for
materials and locally-produced goods"; (2) by mandating the the right to use its white pages listings.
State to "adopt measures that help make them competitive; 28 Of the 11 telephone companies, only Rural refused to
and (3) by requiring the State to "develop a self-reliant and license its listings to Feist.
independent national economy effectively controlled by Unable to license Rural's white pages listings, Feist
Filipinos." 29 In similar language, the Constitution takes into used them without Rural's consent.
account the realities of the outside world as it requires the Rural sued for copyright infringement in the District
pursuit of "a trade policy that serves the general welfare and Court for the District of Kansas taking the position
utilizes all forms and arrangements of exchange on the basis that Feist, in compiling its own directory, could not
of equality ad reciprocity"; 30 and speaks of industries "which use the information contained in Rural's white pages.
are competitive in both domestic and foreign markets" as well Rural asserted that Feist's employees were obliged to
travel door-to-door or conduct a telephone survey to On June 28, 1973, petitioner BJPI submitted to the
discover the same information for themselves. National Library an addendum to its certificate of
Feist responded that such efforts were economically copyright specifying the show's format and style of
impractical and, in any event, unnecessary because presentation.
the information copied was beyond the scope of On July 14, 1991, while watching television,
copyright protection. petitioner Francisco Joaquin, Jr., president of BJPI,
Decision of the district court: The District Court saw on RPN Channel 9 an episode of It's a Date,
granted summary judgment to Rural, explaining that which was produced by IXL Productions, Inc. (IXL).
"courts have consistently held that telephone On July 18, 1991, he wrote a letter to private
directories are copyrightable" and citing a string of respondent Gabriel M. Zosa, president and general
lower court decisions. manager of IXL, informing Zosa that BJPI had a
Court of Appeals: The Court of Appeals for the copyright to Rhoda and Me and demanding that IXL
Tenth Circuit affirmed "for substantially the reasons discontinue airing It's a Date.
given by the district court." rivate respondent Zosa sought to register IXL's
copyright to the first episode of It's a Date for which
Issues: it was issued by the National Library a certificate of
copyright August 14, 1991.
Whether, under their laws, the copyright in Rural's directory Upon complaint of petitioners, an information for
protects the names, towns, and telephone numbers copied by violation of P.D. No. 49 was filed against private
Feist. respondent Zosa at the Regional Trial Court of
Quezon City. However, private respondent Zosa
sought a review of the resolution of the Assistant City
Ruling:
Prosecutor before the Department of Justice.
Respondent Secretary of Justice Franklin M. Drilon
It is not protected by copyright. reversed the Assistant City Prosecutor's findings and
directed him to move for the dismissal of the case
As in The Trade-Mark Cases, the Court emphasized the against private respondents.
creative component of originality. It described copyright as Petitioner appealed. Petitioner’s argument:
being limited to "original intellectual conceptions of the Petitioners assert that the format of Rhoda and Me is
author." Originality remains the sine qua non of copyright; a product of ingenuity and skill and is thus entitled to
accordingly, copyright protection may extend only to those copyright protection. It is their position that the
components of a work that are original to the author. This, presentation of a point-by-point comparison of the
then, resolves the doctrinal tension: Copyright treats facts and formats of the two shows clearly demonstrates the
factual compilations in a wholly consistent manner. Facts, nexus between the shows and hence establishes the
whether alone or as part of a compilation, are not original and existence of probable cause for copyright
therefore may not be copyrighted. A factual compilation is infringement.
eligible for copyright if it features an original selection or
arrangement of facts, ISSUE:
We conclude that the names, towns, and telephone numbers Whether, under PD 49, the format or mechanics of the show
copied by Feist were not original to Rural and therefore were owned by petitioner is entitled to copyright protection which
not protected by the copyright in Rural's combined white and can be used to charge infringement against respondent.
yellow pages directory. As a constitutional matter, copyright
protects only those constituent elements of a work that possess
more than a de minimis quantum of creativity. Rural's white RULING:
pages, limited to basic subscriber information and arranged
alphabetically, fall short of the mark. Because Rural's white No.
pages lack the requisite originality, Feist's use of the listings
cannot constitute infringement. Section 2 of P.D. No. 49, otherwise known as the DECREE
ON INTELLECTUAL PROPERTY, enumerates the classes of
__________________________________________________ work entitled to copyright protection, to wit: The format or
mechanics of a television show is not included in the list of
JOAQUIN VS DRILON protected works in 2 of P.D. No. 49. For this reason, the
protection afforded by the law cannot be extended to cover
them. P.D. No. 49, 2, in enumerating what are subject to
FACTS: copyright, refers to finished works and not to concepts. The
copyright does not extend to an idea, procedure, process,
Petitioner BJ Productions, Inc. (BJPI) is the system, method of operation, concept, principle, or discovery,
holder/grantee of Certificate of Copyright No. M922, regardless of the form in which it is described, explained,
dated January 28, 1971, of Rhoda and Me, a dating illustrated, or embodied in such work.
game show aired from 1970 to 1977.
Copyright, in the strict sense of the term, is purely a statutory (c) To exhibit, perform, represent, produce, or
right. It is a new or independent right granted by the statute, reproduce the copyrighted work in any manner or by
and not simply a pre-existing right regulated by the statute. any method whatever for profit or otherwise; if not
Being a statutory grant, the rights are only such as the statute reproduced in copies for sale, to sell any manuscripts
confers, and may be obtained and enjoyed only with respect to or any record whatsoever thereof;
the subjects and by the persons and on terms and conditions
specified in the statute. Defendant-appellee, in his answer, countered that the
complaint states no cause of action. While not
What then is the subject matter of petitioners' copyright? This denying the playing of said copyrighted compositions
Court is of the opinion that petitioner BJPI's copyright covers in his establishment, appellee maintains that the mere
audio-visual recordings of each episode of Rhoda and Me, as singing and playing of songs and popular tunes even
falling within the class of works mentioned in P.D. 49, §2(M), if they are copyrighted do not constitute an
to wit: Cinematographic works and works produced by a infringement.
process analogous to cinematography or any process for The lower court, finding for the defendant, dismissed
making audio-visual recordings; the complaint.
__________________________________________________
__________________________________________________
copyrighted products of MANLY are not original creations
subject to the protection of RA 8293.
RULING:
ISSUE: