DANIELLE ANNE C.

TERNIDA
BA-Broadcasting 2-3
Media Laws
Atty. Maria Cristina Gimenez

Activity: Problem Solving

APPLICATION: GMA Network Inc. (GMA 7) and PLDT's acquisition of a portion of the
broadcasting business has not materialized. About why? "Neither PLDT or SMART is
qualified to buy any broadcasting company, since both companies are not 100 percent
Filipino-owned." [Note: PLDT is 24.47% owned by a corporation owned and operated by
Indonesia's Salim family, while SMART is a wholly-owned PLDT subsidiary. Explain your
answer with factual and legal basis based on your learnings in this subject in a minimum
of 500 words.

Our country has faced numerous threats and problems against our national
freedom and rights since 1542, when the Spaniards claimed the island, to 1941, when
Japanese forces invaded the islands, to 1946, when the United States granted the new
Republic of the Philippines full independence, to the beginning of the Marcos regime in
1965, which declared martial law, suspended parliaments, arrested opposition leaders,
and imposed censorship regulations in 1972, and was lifted in 1981 as Marcos won the
reelection, to year 1986, when they had the mass protest because of the election results
that was in favour of Marcos, in which forced him into exile, the country fought and
continues to fight for the right of each and every Filipino.

When democracy was restored in 1986, President Corazon C. Aquino issued

Proclamation No. 3, suspending certain provisions of the 1973 Constitution and
promulgating in its stead a transitory constitution. A month later, President Aquino issued
Proclamation No. 9, s. 1986, which created a Constitutional Commission tasked with
writing a new charter to replace the 1973 Constitution.

On February 2, 1987, a National Plebiscite was held to ratify the new constitution.
President Aquino issued Proclamation No. 58 on February 11, 1987, announcing the
formal canvassing of results and the ratification of the new constitution. That same day,
the President, senior civilian leaders, and members of the Armed Forces swore allegiance
to the new charter, bringing the 1987 Constitution into full force and effect.

Article XVI of the 1987 Philippine Constitution ensures equality before the law and
equal protection under the law; forbids discrimination against any citizen on the basis of
religion, race, caste, sex, or place of birth; and guarantees equal opportunity to all citizens
in job affairs. This strengthened every Filipino's rights as we exercise and implement the
1987 Philippine Constitution in all aspects of our life, considering that the responsibility of
building the nation is in our hands.

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DANIELLE ANNE C. TERNIDA
BA-Broadcasting 2-3
Media Laws
Atty. Maria Cristina Gimenez

Our independence as Filipinos supports our ability to function in ways that make
our country more adaptable in shaping our identity. In this regard, Article III, Section 4
specifies that no legislation shall be passed abridging the freedom of speech, expression,
or the press, or the right of the people to congregate peacefully and petition the
government for redress of grievances.

In line with the freedom of speech, expression and of the press that was offered
and presented to the public, Section 11 of Article XII emphasized that no franchise,
certificate, or any other form of authorization for the operation of a public utility shall be
granted except to citizens of the Philippines or to corporations or associations organized
under the laws of the Philippines at least sixty per centum of whose capital is owned by
such citizens, nor shall such franchise, certificate, or authorization be exclusive in
character or for a longer period than fifty years. Neither shall any such franchise or right
be granted except under the condition that it shall be subject to amendment, alteration,
or repeal by the Congress when the common good so requires. The State shall encourage
equity participation in public utilities by the general public. The participation of foreign
investors in the governing body of any public utility enterprise shall be limited to their
proportionate share in its capital, and all the executive and managing officers of such
corporation or association must be citizens of the Philippines. Because of the battles that
we had in the past in defending our right and identity, Section 11 of Article XII, protects
our mass media, which includes print and broadcast media, because they serve as the
people's voice.

In addition to this, Article XVI, Section 11 states that the ownership and
management of mass media must be confined to Filipino citizens or companies,
cooperatives, or groups completely owned and managed by Filipino nationals. This will
enable broadcasting and media enterprises to fully function with the goal of helping the
country and its people. Furthermore, only Filipino citizens or companies or organizations
with at least seventy percent of the capital held by such citizens are permitted to operate
in the advertising sector under this clause.

It is not only the media that the 1987 Philippine Constitution protects but also the
people of the nation in which are in need of the information that the media has offered.
According to Article XVI, Section 10, the State shall provide the policy environment for
the full development of Filipino capability and the emergence of communication structures
appropriate to the needs and aspirations of the nation, as well as the balanced flow of
information into, out of, and across the country, in accordance with a policy that respects
freedom of speech and of the press.

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DANIELLE ANNE C. TERNIDA
BA-Broadcasting 2-3
Media Laws
Atty. Maria Cristina Gimenez

According to Article II, Section 24, the State recognizes the vital role of
communication and information in nation-building. The communication that the media has
delivered to the masses has molded and shaped the nation, from the information that it
has offered, being the voice of the masses, the bridge between the government and the
population, this has allowed the country to continuously walk towards improvement and
betterment.

The acquisition of a piece of the broadcasting company by GMA Network Inc.

(GMA 7) and PLDT has not occurred, given that PLDT is 24.47 percent managed and
owned by a firm owned and run by Indonesia's Salim family, and SMART is a wholly-
owned PLDT subsidiary. This was not approved because neither PLDT nor SMART are
qualified to buy any broadcasting company because both are not 100 percent Filipino-
owned. Nevertheless. it is not in accordance with the 1987 Philippine Constitution, which
emphasizes and protects the Filipino's right to lead and serve the country through the use
of broadcasting and print media.