COMMONWEALTH ACT No.

146 Justice may designate such number of Judges of the Courts of First Instance, or such
number of attorneys of the legal division of the Commission, as may be necessary to sit
THE PUBLIC SERVICE LAW temporarily as Commissioners in the Public Service Commission.

(As amended, and as modified particularly by PD No. 1, Integrated Reorganization Plan The Public Service Commission shall sit individually or as a body en banc or in two
and EO 546) divisions of three Commissioners each. The Public Service Commissioner shall preside
when the Commission sits en banc and in one division. In the other division, the
Associate Commissioner with seniority of appointment in that division shall preside. Five
CHAPTER I
Commissioners shall constitute a quorum for sessions en banc and two Commissioners
ORGANIZATION
shall constitute a quorum for the sessions of a division. In the absence of a quorum, the
session shall be adjourned until the requisite number is present.
Section 1. This Act shall be known as the "Public Service Act."
All the powers herein vested upon the Commission shall be considered vested upon any
Section 2. There is created under the Department of Justice a commission which shall be of the Commissioners, acting either individually or jointly as hereinafter provided. The
designated and known as the Public Service Commission, composed of one Public Commissioners shall equitably divide among themselves all pending cases and those that
Service Commissioner and five Associate Commissioners, and which shall be vested with may hereafter be submitted to the Commissioner, in such manner and form as they may
the powers and duties hereafter specified. Whenever the word "Commission" is used in determine, and shall proceed to hear and determine the case assigned to each or to their
this Act, it shall be held to mean the Public Service Commission, and whenever the word respective divisions, or to the Commission en banc as follows: uncontested cases, except
"Commissioner" is used in this Act it shall be held to mean the Public Service those pertaining to the fixing of rates, shall be decided by one Commissioner; contested
Commissioner or anyone of the Associate Commissioners. The Public Service cases and all cases involving the fixing of rates shall be decided by the Commission in
Commissioner and the Associate Public Service Commissioners shall be natural born division and the concurrence of at least two Commissioners in the division shall be
citizens and residents of the Philippines, not under thirty years of age; members of the necessary for the promulgation of a decision or non-interlocutory order in these cases:
Bar of the Philippines, with at least five years of law practice or five years of employment Provided, however, That any motion for reconsideration of a decision or non-interlocutory
in the government service requiring a lawyer's diploma; and shall be appointed by the order of any Commissioner or division shall be heard directly by the Commission en banc
President of the Philippines, with the consent of the Commission on Appointments of the and the concurrence of at least four Commissioners shall be necessary for the
Congress of the Philippines: Provided, however, That the present Commissioner and the promulgation of a final decision or order resolving such motion for reconsideration. (As
personnel of the Commission shall continue in office without the necessity of re- amended by Republic Act Nos. 723 and 2677)
appointment. The Commissioners shall have the rank and privilege of retirement of
Judges of the Courts of First Instance. (As amended by Republic Act Nos. 178 and 2677)
Section 4. The Public Service Commissioner shall receive an annual compensation of
thirteen thousand pesos; and each of the Associate Commissioners an annual
Section 3. The Commissioner and Associate Commissioners shall hold office until they compensation of twelve thousand pesos. The Commissioners shall be assisted by one
reach the age of seventy years, or until removed in accordance with the procedures chief attorney, one finance and rate regulation officer, one chief utilities regulation
prescribed in section one hundred and seventy-three of Act Numbered Twenty-seven engineer, one chief accountant, one transportation regulation chief, one secretary of the
hundred and eleven, known as the Revised Administrative Code: Provided, however, Public Service Commission, and three public utilities advisers who shall receive an
That upon retirement any Commissioner of Associate Commissioner shall be entitled to annual compensation of not less than ten thousand eight hundred pesos each; five
all retirement benefits and privileges for Judges of the Courts of First Instance or under assistant chiefs of division who shall receive an annual compensation of not less than
the retirement law to which he may be entitled on the date of his retirement. In case of the nine thousand six hundred pesos each; twelve attorneys who shall receive an annual
absence, for any reason, of the Public Service Commissioner, the Associate compensation of not less than nine thousand pesos each; and a technical and
Commissioner with seniority of appointment shall act as Commissioner. If on account of confidential staff to be composed of two certified public accounts, two electrical
absence, illness, or incapacity of any of three Commissioners, or whenever by reason of engineers, two mechanical or communication engineers, and two special assistants who
temporary disability of any Commissioner or of a vacancy occurring therein, the requisite shall receive an annual compensation of not less than seven thousand two hundred
number of Commissioners necessary to render a decision or issue an order in any case is pesos each. (As amended by Republic Act Nos. 723, 2677 and 3792)
not present, or in the event of a tie vote among the Commissioners, the Secretary of
Section 5. The Public Service Commissioner, the Associate Public Service publications shall be competent evidence of the reports and decisions of the Commission
Commissioners, and all other officers and employees of the Public Service Commission therein contained without any further proof or authentication thereof.
shall enjoy the same privileges and rights as the officer and employees of the classified
civil service of the Government of the Philippines. They shall also be entitled to receive Section 9. No member or employee of the Commission shall have any official or
from the Government of the Philippines their necessary travelling expenses while professional relation with any public service as herein defined, or hold any office of profit
travelling on the business of the Commission, which shall be paid on proper voucher or trust with the Government of the Philippines.
therefor, approved by the Secretary of Justice, out of funds appropriated for the
contingent expenses of the Commission. Section 10. The Commission shall have its office in the City of Manila or at such other
place as may be designated, and may hold hearings on any proceedings at such times
When the exigency of the service so requires and with the approval of the Secretary of and places, within the Philippines, as it may provide by order in writing: Provided, That
Justice, and subject to the provisions of Commonwealth Act Numbered Two hundred during the months of April and May of each year, at least three Commissioners shall be
forty-six, as amended, funds may be set aside from the appropriations provided for the on vacation in such manner that once every two years at least three of them shall be on
Commission and/or from the fees collected under Section forty of this Act to defray the duty during April and May: Provided, however, That in the interest of public service, the
expenses to be incurred by the Public Service Commissioner or any of the Associate Secretary of Justice may require any or all the Commissioners not on duty to render
Commissioners, officers or employees of the Commission to be designated by the services and perform their duties during the vacation months. (As amended by Republic
Commissioner, with the approval of the Secretary of Justice, in the study of modern Act Nos. 176 and 3792)
trends in supervision and regulation of public services. (As amended by Republic Act No.
3792) Section 11. The Commission shall have the power to make needful rules for its
Government and other proceedings not inconsistent with this Act and shall adopt a
Section 6. The Secretary of Justice, upon recommendation of the Public Service common seal, and judicial notice shall be taken for such seal. True copies of said rules
Commissioner, shall appoint all subordinate officers and employees of the Commission and other amendments shall be promptly furnished to the Bureau of Printing and shall be
as may be provided in the Appropriation Act. The Public Service Commissioner shall forthwith published in the Official Gazette.
have general executive control, direction, and supervision over the work of the
Commission and of its members, body and personnel, and over all administrative CHAPTER II
business. (As amended by Republic Act Nos. 178 and 3792) JURISDICTION, POWERS AND DUTIES OF THE COMMISSION

Section 7. The Secretary of the Commission, under the direction of the Commissioner, Section 13. (a) The Commission shall have jurisdiction, supervision, and control over all
shall have charge of the administrative business of the Commission and shall perform public services and their franchises, equipment, and other properties, and in the exercise
such other duties as may be required of him. He shall be the recorder and official reporter of its authority, it shall have the necessary powers and the aid of the public force:
of the proceedings of the Commission and shall have authority to administer oaths in all Provided, That public services owned or operated by government entities or government-
matters coming under the jurisdiction of the Commission. He shall be the custodian of the owned or controlled corporations shall be regulated by the Commission in the same way
records, maps, profiles, tariffs, itineraries, reports, and any other documents and papers as privately-owned public services, but certificates of public convenience or certificates of
filed with the Commission or entrusted to his care and shall be responsible therefor to the public convenience and necessity shall not be required of such entities or corporations:
Commission. He shall have authority to designate from time to time any of his delegates And provided, further, That it shall have no authority to require steamboats, motor ships
to perform the duties of Deputy Secretary with any of the Commissioners. and steamship lines, whether privately-owned, or owned or operated by any Government
controlled corporation or instrumentality to obtain certificate of public convenience or to
Section 8. The Commission shall furnish the Secretary such of its findings and decisions prescribe their definite routes or lines of service.
as in its judgment may be of general public interest; the Secretary shall compile the same
for the purpose of publication in a series of volumes to be designated "Reports of the (b) The term "public service" includes every person that now or hereafter may
Public Service Commission of the Philippines," which shall be published in such form and own, operate, manage, or control in the Philippines, for hire or compensation,
manner as may be best adapted for public information and use, and such authorized with general or limited clientele, whether permanent, occasional or accidental,
and done for general business purposes, any common carrier, railroad, street
 railway, traction railway, sub-way motor vehicle, either for freight or passenger, or Section 15. With the exception of those enumerated in the preceding section, no public
both with or without fixed route and whether may be its classification, freight or service shall operate in the Philippines without possessing a valid and subsisting
carrier service of any class, express service, steamboat or steamship line, certificate from the Public Service Commission known as "certificate of public
pontines, ferries, and water craft, engaged in the transportation of passengers or convenience," or "certificate of public convenience and necessity," as the case may be, to
freight or both, shipyard, marine railways, marine repair shop, [warehouse] wharf the effect that the operation of said service and the authorization to do business will
or dock, ice plant, ice-refrigeration plant, canal, irrigation system, gas, electric promote the public interests in a proper and suitable manner.
light, heat and power water supply and power, petroleum, sewerage system, wire
or wireless communications system, wire or wireless broadcasting stations and The Commission may prescribe as a condition for the issuance of the certificate provided
other similar public services: Provided, however, That a person engaged in in the preceding paragraph that the service can be acquired by the Republic of the
agriculture, not otherwise a public service, who owns a motor vehicle and uses it Philippines or any instrumentality thereof upon payment of the cost price of its useful
personally and/or enters into a special contract whereby said motor vehicle is equipment, less reasonable depreciation; and likewise, that the certificate shall be valid
offered for hire or compensation to a third party or third parties engaged in only for a definite period of time; and that the violation of any of these conditions shall
agriculture, not itself or themselves a public service, for operation by the latter for produce the immediate cancellation of the certificate without the necessity of any express
a limited time and for a specific purpose directly connected with the cultivation of action on the part of the Commission.
his or their farm, the transportation, processing, and marketing of agricultural
products of such third party or third parties shall not be considered as operating a In estimating the depreciation, the effect of the use of the equipment, its actual condition,
public service for the purposes of this Act. the age of the model, or other circumstances affecting its value in the market shall be
taken into consideration.
(c) The word "person" includes every individual, co-partnership, joint-stock
company or corporation, whether domestic or foreign, their lessees, trustees, or The foregoing is likewise applicable to any extension or amendment of certificates
receivers, as well as any municipality, province, city, government-owned or actually in force and to those which may hereafter be issued, to permit to modify
controlled corporation, or agency of the Government of the Philippines, and itineraries and time schedules of public services, and to authorizations to renew and
whatever other persons or entities that may own or possess or operate public increase equipment and properties.
services. (As amended by Com. Act 454 and RA No. 2677)
Section 16. Proceedings of the Commission, upon notice and hearing. - The Commission
Section 14. The following are exempted from the provisions of the preceding section: shall have power, upon proper notice and hearing in accordance with the rules and
provisions of this Act, subject to the limitations and exceptions mentioned and saving
(a) Warehouses; provisions to the contrary :

(b) Vehicles drawn by animals and bancas moved by oar or sail, and tugboats (a) To issue certificates which shall be known as certificates of public
and lighters; convenience, authorizing the operation of public service within the Philippines
whenever the Commission finds that the operation of the public service proposed
(c) Airships within the Philippines except as regards the fixing of their maximum and the authorization to do business will promote the public interest in a proper
rates on freight and passengers; and suitable manner. Provided, That thereafter, certificates of public convenience
and certificates of public convenience and necessity will be granted only to
(d) Radio companies except with respect to the fixing of rates; citizens of the Philippines or of the United States or to corporations, co-
partnerships, associations or joint-stock companies constituted and organized
under the laws of the Philippines; Provided, That sixty per centum of the stock or
(e) Public services owned or operated by any instrumentality of the National
paid-up capital of any such corporations, co-partnership, association or joint-
Government or by any government-owned or controlled corporation, except with
stock company must belong entirely to citizens of the Philippines or of the United
respect to the fixing of rates. (As amended by Com. Act 454, RA No. 2031, and
States: Provided, further, That no such certificates shall be issued for a period of
RA No. 2677 )
more than fifty years.
(b) To approve, subject to constitutional limitations any franchise or privilege Commission, such extension is reasonable and practicable and will furnish
granted under the provisions of Act No. Six Hundred and Sixty-seven, as sufficient business to justify the construction and maintenance of the same and
amended by Act No. One Thousand and twenty-two, by any political subdivision when the financial condition of the said public service reasonably warrants the
of the Philippines when, in the judgment of the Commission, such franchise or original expenditure required in making and operating such extension.
privilege will properly conserve the public interests, and the Commission shall in
so approving impose such conditions as to construction, equipment, (i) To direct any railroad, street railway or traction company to establish and
maintenance, service, or operation as the public interests and convenience may maintain at any junction or point of connection or intersection with any other line
reasonably require, and to issue certificates of public convenience and necessity of said road or track, or with any other line of any other railroad, street railway or
when such is required or provided by any law or franchise. traction to promote, such just and reasonable connection as shall be necessary
to promote the convenience of shippers of property, or of passengers, and in like
(c) To fix and determine individual or joint rates, tolls, charges, classifications, or manner direct any railroad, street railway, or traction company engaged in
schedules thereof, as well as commutation, mileage, kilometrage, and other carrying merchandise, to construct, maintain and operate, upon reasonable
special rates which shall be imposed observed and followed thereafter by any terms, a switch connection with any private sidetrack which may be constructed
public service: Provided, That the Commission may, in its discretion, approve by any shipper to connect with the railroad, street railway or traction company line
rates proposed by public services provisionally and without necessity of any where, in the judgment of the Commission, such connection is reasonable and
hearing; but it shall call a hearing thereon within thirty days, thereafter, upon practicable and can be out in with safety and will furnish sufficient business to
publication and notice to the concerns operating in the territory affected: justify the construction and maintenance of the same.
Provided, further, That in case the public service equipment of an operator is
used principally or secondarily for the promotion of a private business, the net (j) To authorize, in its discretion, any railroad, street railway or traction company
profits of said private business shall be considered in relation with the public to lay its tracks across the tracks of any other railroad, street railway or traction
service of such operator for the purpose of fixing the rates. company or across any public highway.

(d) To fix just and reasonable standards, classifications, regulations, practices, (k) To direct any railroad or street railway company to install such safety devices
measurement, or service to be furnished, imposed, observed, and followed or about such other reasonable measures as may in the judgment of the
thereafter by any public service. Commission be necessary for the protection of the public are passing grade
crossing of (1) public highways and railroads, (2) public highways and streets
(e) To ascertain and fix adequate and serviceable standards for the railway, or (3) railways and street railways.
measurement of quantity, quality, pressure, initial voltage, or other condition
pertaining to the supply of the product or service rendered by any public service, (l) To fix and determine proper and adequate rates of depreciation of the property
and to prescribe reasonable regulations for the examination and test of such of any public service which will be observed in a proper and adequate
product or service and for the measurement thereof. depreciation account to be carried for the protection of stockholders, bondholders
or creditors in accordance with such rules, regulations, and form of account as
(f) To establish reasonable rules, regulations, instructions, specifications, and the Commission may prescribe. Said rates shall be sufficient to provide the
standards, to secure the accuracy of all meters and appliances for amounts required over and above the expense of maintenance to keep such
measurements. property in a state of efficiency corresponding to the progress of the industry.
Each public service shall conform its depreciation accounts to the rates so
(g) To compel any public service to furnish safe, adequate, and proper service as determined and fixed, and shall set aside the moneys so provided for out of its
regards the manner of furnishing the same as well as the maintenance of the earnings and carry the same in a depreciation fund. The income from
necessary material and equipment. investments of money in such fund shall likewise be carried in such fund. This
fund shall not be expended otherwise than for depreciation, improvements, new
construction, extensions or conditions to the properly of such public service.
(h) To require any public service to establish, construct, maintain, and operate
any reasonable extension of its existing facilities, where in the judgment of said
 (m) To amend, modify or revoke at any time certificate issued under the charge, schedule, regulation, practice, act or service thereof is in violation of any
provisions of this Act, whenever the facts and circumstances on the strength of provision of this Act or any certificate, order, rule, regulation or requirement
which said certificate was issued have been misrepresented or materially issued or established by the Commission. The Commission may also assess
changed. against any public service costs not to exceed twenty-five pesos with reference to
such investigation.
(n) To suspend or revoke any certificate issued under the provisions of this Act
whenever the holder thereof has violated or willfully and contumaciously refused (c) From time to time appraise and value the property of any public service,
to comply with any order rule or regulation of the Commission or any provision of whenever in the judgment of the Commission it shall be necessary so to do, for
this Act: Provided, That the Commission, for good cause, may prior to the hearing the purpose of carrying out any of the provisions of this Act, and in making such
suspend for a period not to exceed thirty days any certificate or the exercise of valuation the Commission may have access to and use any books, documents,
any right or authority issued or granted under this Act by order of the or records in the possession of any department, bureau, office, or board of the
Commission, whenever such step shall in the judgment of the Commission be government of the Philippines or any political subdivision thereof.
necessary to avoid serious and irreparable damage or inconvenience to the
public or to private interests. (d) To provide, on motion by or at the request of any consumer or user of a public
service, for the examination and test of any appliance used for the measuring of
(o) To fix, determine, and regulate, as the convenience of the state may require, any product or service of a public service, and for that purpose, by its agents,
a special type for auto-busses, trucks, and motor trucks to be hereafter experts, or examiners to enter upon any premises where said appliances may be,
constructed, purchased, and operated by operators after the approval of this Act; and other premises of the public service, for the purpose of setting up and using
to fix and determine a special registration fee for auto-buses, trucks, and motor on said premises any apparatus necessary therefor. and to fix the fees to be paid
trucks so constructed, purchased and operated: Provided, That said fees shall be by any consumer or user who may apply to the Commission for such examination
smaller than more those charged for auto-busses, trucks, and motor trucks of or test to be made, and if the appliance be found defective or incorrect to the
types not made regulation under the subsection. disadvantage of the consumer or user to require the fees paid to be refunded to
the consumer or user by the public service concerned.
Section 17. Proceedings of Commission without previous hearing. - The Commission
shall have power without previous hearing, subject to established limitations and (e) To permit any street railway or traction company to change its existing gauge
exception and saving provisions to the contrary: to standard steam railroad gauge, upon such terms and conditions as the
Commission shall prescribe.
(a) To investigate, upon its own initiative, or upon complaint in writing, any matter
concerning any public service as regards matters under its jurisdiction; to require (f) To grant to any public service special permits to make extra or special trips
any public service to furnish safe, adequate, and proper service as the public within the territory covered by its certificates of public convenience, and to make
interest may require and warrant; to enforce compliance with any standard, rule, special excursion trips outside of its own territory if the public interest or special
regulation, order or other requirement of this Act or of the Commission, and to circumstances required it: Provided, however, that in case a public service cannot
prohibit or prevent any public service as herein defined from operating without render such extra service on its own line or in its own territory, a special permit
having first secured a certificate of public convenience or public necessity and for such extra service may be granted to any other public service.
convenience, as the case may be and require existing public services to pay the
fees provided for in this Act for the issuance of the proper certificate of public (g) To require any public service to keep its books, records, and accounts so as
convenience or certificate of public necessity and convenience, as the case may to afford an intelligent understanding of the conduct of its business and to that
be, under the penalty, in the discretion by the Commission, of the revocation and end to require every such public service of the same class to adopt a uniform
cancellation of any acquired rights. system of accounting. Such system conform to any system approved and
confirmed by the Auditor General.
(b) To require any public service to pay the actual expenses incurred by the
Commission in any investigation if it shall be found in the same that any rate, tool,
(h) To require any public service to furnish annual reports of finances and make such order or recommendation with respect thereto as the public interest
operations. Such reports shall set forth in detail the capital stock issued, the may warrant or require.
amounts of said capital stock paid up and the form of payment thereof; the
dividends paid, the surplus, if any and the number of stockholders, the (l) To require every public service s herein defined to file within complete
consolidated and pending obligations and the interest paid thereon; the cost and schedules of every classification employed and of every individual or joint rate,
value of the property of the operator; concessions or franchises and equipment; toll fare or charge made, charged or exacted by it for any product supplied or
the number of employees and salaries paid to each class; the accidents to service rendered within the Philippines and, in the case of public carriers, to file
passengers, employees, and other person, and the causes thereof; the annual with it a statement showing the itineraries or routes served as specified in such
expenditures on improvements; the manner of their investment and nature of requirement.
such improvements; the receipts and profits in each of the branches of the
business and of whatever source; the operating and other expenses; the balance CHAPTER III
of profits and losses; and a complete statement of the annual financial operations OPERATORS OF PUBLIC SERVICES REGULATIONS AND PROHIBITIONS
of the operator, including an annual balance sheet. Such reports shall also
contain any information which the Commission may require concerning freight
and passenger rates, or agreements, compromises or contracts affecting the Section 18. It shall be unlawful for any individual, co-partnership, association, corporation
same. Said reports shall cover a period of twelve months, ending on December or joint-stock company, their lessees, trustees or receivers appointed by any court
thirty-first of each year, and shall be sworn to by the officer or functionary of the whatsoever, or any municipality, province, or other department of the Government of the
public service authorized therefor. The Commission shall also have power to Philippines to engage in any public service business without having first secured from the
require from time to time special reports containing such information as above Commission a certificate of public convenience or certificate of public convenience and
provided for or on other matters as the Commission may deem necessary or necessity as provided for in this Act, except grantees of legislative franchises expressly
advisable. exempting such grantees from the requirement of securing a certificate from this
Commission as well as concerns at present existing expressly exempted from the
jurisdiction of the Commission, either totally or in part, by the provisions of section thirteen
(i) To require every public service to file with the Commission a statement in of this Act.
writing, verified by the oaths of the owner or the president and the secretary
thereof, if a corporation, setting forth the name, title of office or portion, and post-
office address, and the authority, power and duties of every officer, member of Section 19. Unlawful Acts. - It shall be unlawful for any public service:
the board of directors, trustees executive committee, superintendent, chief or
head of construction and operation thereof, in such form as to disclose the source (a) To provide or maintain any service that is unsafe, improper, or inadequate or withhold
and origin of each administrative act, rule, decision, order or other action of the or refuse any service which can reasonably be demanded and furnished, as found and
operator of such public service; and, within ten days after any change is made in determined by the Commission in a final order which shall be conclusive and shall take
the title of, or authority, powers or duties appertaining to any such office or effect in accordance with this Act, upon appeal of otherwise.
position, or the person holding the same, filed with the Commission a like
statement, verified in like manner, setting forth such change. (b) To make or give, directly or indirectly, by itself or through its agents, attorneys or
brokers, or any of them, discounts or rebates on authorized rates, or grant credit for the
(j) To require any public service to comply with the laws of the Philippines and payment of freight charges, or any undue or unreasonable preference or advantage to
with any provincial resolution or municipal ordinance relating thereto and to any person of corporation or to any locality or to any particular description of traffic or
conform to the duties imposed upon it thereby or by the provisions of its own service, or subject any particular person or corporation or locality or any particular
character, whether obtained under any general or special law of the Philippines. description of traffic to any prejudice or disadvantage in any respect whatsoever; to
adopt, maintain, or enforce any regulation, practice or measurement which shall be found
(k) To investigate any or all accidents that may occur on the property of any or determined by the Commission to be unjust, unreasonable, unduly preferential or
public service or directly or indirectly arising from or connected with its unjustly discriminatory in a final order which shall be conclusive and shall take effect in
maintenance or operation in the Philippines; to require any public service to give accordance with the provisions of this Act, upon repeal or otherwise.
the Commission immediate and effective notice of all any such accidents, and to
(c) To refuse or neglect, when requested by the Director of Posts or his authorized evidence of indebtedness payable in more than one year from the issuance
representative, to carry public mail on the regular trips of any public land transportation thereof, provided that it shall be the duty of the Commission, after hearing, to
service maintained or operated by any such public service; upon such terms and approve any such issue maturing in more than one year from the date thereof,
conditions and for a consideration in such amount as may be agreed upon between the when satisfied that the same is to be made in accordance with law, and the
Director of Posts and the public service carrier of fixed by the Commission in the absence purpose of such issue be approved by the Commission. (f) To capitalize any
of an agreement between the Director of Posts and the carrier. In case the Director of franchise in excess of the amount, inclusive of any tax or annual charge, actually
Posts and public service carrier are unable to agree on the amount of the compensation paid to the Government of the Philippines or any political subdivision thereof as
to be paid for the carriage of the mail, the Director of Posts shall forthwith request the the consideration of said franchise; capitalize any contract for consolidation,
Commission to fix a just and reasonable compensation for such carriage and the same merger or lease, or issue any bonds or other evidence of indebtedness against or
shall be promptly fixed by the Commission in accordance with Section sixteen of this Act. as a lien upon any contract for consolidation, merger, or lease: Provided,
however, that the provisions of this section shall not prevent the issuance of
Section 20. Acts requiring the approval of the Commission. - Subject to established stock, bonds, or other evidence of indebtedness subject to the approval of the
limitations and exceptions and saving provisions to the contrary, it shall be unlawful for Commission by any lawfully merged or consolidated public services not in
any public service or for the owner, lessee or operator thereof, without the approval and contravention of the provisions of this section.
authorization of the Commission previously had -
(g) To sell, alienate, mortgage, encumber or lease its property, franchises,
(a) To adopt, establish, fix, impose, maintain, collect or carry into effect any certificates, privileges, or rights or any part thereof; or merge or consolidate its
individual or joint rates, commutation, mileage or other special rate, toll, fare, property, franchises privileges or rights, or any part thereof, with those of any
charge, classification or itinerary. The Commission shall approve only those that other public service. The approval herein required shall be given, after notice to
are just and reasonable and not any that are unjustly discriminatory or unduly the public and hearing the persons interested at a public hearing, if it be shown
preferential, only upon reasonable notice to the public services and other parties that there are just and reasonable grounds for making the mortgaged or
concerned, giving them a reasonable opportunity to be heard and the burden of encumbrance, for liabilities of more than one year maturity, or the sale, alienation,
the proof to show that the proposed rates or regulations are just and reasonable lease, merger, or consolidation to be approved, and that the same are not
shall be upon the public service proposing the same. detrimental to the public interest, and in case of a sale, the date on which the
same is to be consummated shall be fixed in the order of approval: Provided,
however, that nothing herein contained shall be construed to prevent the
(b) To establish, construct, maintain, or operate new units or extend existing
transaction from being negotiated or completed before its approval or to prevent
facilities or make any other addition to or general extension of the service.
the sale, alienation, or lease by any public service of any of its property in the
ordinary course of its business.
(c) To abandon any railroad station or stop the sale of passenger tickets, or
cease to maintain an agent to receive and discharge freight at any station now or
(h) To sell or register in its books the transfer or sale of shares of its capital stock,
hereafter established at which passenger tickets are now or may hereafter be
if the result of that sale in itself or in connection with another previous sale, shall
regularly sold, or at which such agent is now or may hereafter be maintained, or
be to vest in the transferee more than forty per centum of the subscribed capital
make any permanent change in its time tables or itineraries on any railroad or in
of said public service. Any transfer made in violation of this provision shall be void
its service.
and of no effect and shall not be registered in the books of the public service
corporation. Nothing herein contained shall be construed to prevent the holding of
(d) To lay any railroad or street railway track across any highway, so as to make shares lawfully acquired. (As amended by Com. Act No. 454.)
a new crossing at grade, or cross the tracks of any other railroad or street
railway, provided, that this subsection shall not apply to replacements of lawfully
(i) To sell, alienate or in any manner transfer shares of its capital stock to any
existing tracks.
alien if the result of that sale, alienation, or transfer in itself or in connection with
another previous sale shall be the reduction to less than sixty per centum of the
(e) Hereafter to issue any stock or stock certificates representing an increase of capital stock belonging to Philippine citizens. Such sale, alienation or transfer
capital; or issue any share of stock without par value; or issue any bonds or other
 shall be void and of no effect and shall be sufficient cause for ordering the Section 22. Observance of the orders, decisions, and regulations of the Commission and
cancellation of the certificate. of the terms and conditions of any certificate may also be enforced by mandamus or
injunction in appropriate cases, or by action to compel the specific performance of the
(j) To issue, give or tender, directly or indirectly, any free ticket free pass or free orders, decisions, and regulations so made, or of the duties imposed by law upon such
or reduced rate of transportation for passengers, except to the following persons: public service: Provided, that the Commission may compromise any case that arise under
(1) officers, agents, employees, attorneys, physicians and surgeons of said public this Act in such manner and for such amount as it may deem just and reasonable.
service, and members of their families; (2) inmates of hospitals or charity
institutions, and persons engaged in charitable work; (3) indigent, destitute, and Section 23. Any public service corporation that shall perform, commit, or do any act or
homeless persons when transported by charitable societies or hospitals, and the thing forbidden or prohibited or shall neglect, fail or omit to do or perform any act or thing
necessary agents employed in such transportation; (4) the necessary caretakers, herein to be done or performed, shall be punished by a fine not exceeding twenty-five
going and returning, of livestock, poultry, fruit, and other freight under uniform thousand pesos, or by imprisonment not exceeding five years, or both, in the discretion of
and non-discriminatory regulation; (5) employees of sleeping car corporations, the court.
express corporations and telegraph and telephone corporations, railway and
marine mail service employees, when traveling in the course of their official duly; Section 24. Any person who shall knowingly and willfully perform, commit, or do, or
(6) post-office inspectors, customs officers and inspectors, and immigration participate in performing, committing, or doing, or who shall knowingly and willfully cause,
inspectors when engaged in inspection; (7) witnesses attending any legal participate, or join with others in causing any public service corporation or company to do,
investigation in which the public service is an interested party; (8) persons injured perform or commit, or who shall advice, solicit, persuade, or knowingly and willfully
in accidents or wrecks, and physicians and nurses attending such persons; (9) instruct, direct, or order any officer, agent, or employee of any public service corporation
peace officers and men of regularly constituted fire departments. (As amended by or company to perform, commit, or do any act or thing forbidden or prohibited by this Act,
Com. Act No. 454.) shall be punished by a fine not exceeding two thousand pesos, or imprisonment not
exceeding two years, or both, in the discretion of the court: Provided, however, that for
(k) Adopt, maintain, or apply practices or measures, rules or regulations to which operating a private passenger automobile as a public service without having a certificate
the public shall be subject in its relations with the public service. of public convenience for the same the offender shall be subject to the penalties provided
for in section sixty-seven (j) of Act numbered thirty-nine hundred an ninety-two.
CHAPTER IV
PENALTIES FOR VIOLATIONS Section 25. Any person who shall knowingly and willfully neglect, fail, or omit to do or
perform, or who shall knowingly and willfully cause or join or participate with others in
Section 21. Every public service violating or failing to comply with the terms and causing any public service corporation or company to neglect, fail or omit to do or
conditions of any certificate or any orders, decisions or regulations of the Commission perform, or who shall advise, solicit, or persuade, or knowingly and willfully instruct,
shall be subject to a fine of not exceeding two hundred pesos per day for every day direct, or order any officer, agent, or employee of any public service corporation or
during which such default or violation continues; and the Commission is hereby company to neglect, fail, or omit to do any act or thing required to be done by this Act,
authorized and empowered to impose such fine, after due notice and hearing. shall be published by a fine not exceeding two thousand pesos or by imprisonment not
exceeding two years, or both, in the discretion of the court.
The fines so imposed shall be paid to the Government of the Philippines through the
Commission, and failure to pay the fine in any case within the same specified in the order Section 26. Any person who shall destroy, injure, or interfere with any apparatus or
or decision of the Commission shall be deemed good and sufficient reason for the appliance owned or operated by to in charge of the Commission or its agents, shall be
suspension of the certificate of said public service until payment shall be made. Payment deemed guilty of a misdemeanor and upon conviction shall be published by a fine not
may also be enforced by appropriate action brought in a court of competent jurisdiction. exceeding one thousand pesos or imprisonment not exceeding six months, or both in the
The remedy provided in this section shall not be a bar to, or affect any other remedy discretion of the court.
provided in this Act but shall be cumulative and additional to such remedy or remedies.
Any public service permitting the destruction, injury to, or interference with, any such (4) A legal representative of the estate of a deceased applicant may be
apparatus or appliances shall forfeit a sum not exceeding four thousand pesos for each substituted for the latter. If the right consists in the prosecution of unfinished
offense. proceedings upon an application for a certificate of public convenience of the
deceased before the Public service Commission, it is but logical that the legal
Section 27. This Act shall not have the effect to release or waive any right of action by representative be empowered and entitled in behalf of the estate to make the
the Commission or by any person for any right, penalty, or forfeiture which may have right effective in that proceeding.
arisen or which may arise, under any of the laws of the Philippines, and any penalty or
forfeiture enforceable under this Act shall not be a bar to or affect a recovery for a right, or (5) One who has been granted a legislative franchise to operate an ice plant,
affect or bar any criminal proceedings against any public service or person or persons although not yet an operator of such public utility, has sufficient interest or
operating such public services, its officers, directors, agents, or employees. personality either to oppose an established operator's application for an increase
in the capacity of his existing plant, or to ask for a joint hearing of said application
Section 28. Violations of the orders, decisions, and regulations of the Commission and of and the grantee's own application for the issuance of a certificate of public
the terms and conditions of any certificate issued by the Commission shall prescribe after convenience in order to operate under such franchise.
sixty days, and violations of the provisions of this Act shall prescribe after one hundred
and eighty days. (6) The fact that a party is the lessee of a line does not bar him from applying for
a certificate of its own in the same line. Even in cases where the owner of a
CHAPTER V certificate has sold it subject to the condition that he would not apply for a similar
PROCEDURE AND REVIEW service on the same line sold by him, it has been held that such an argument
does not bar the seller from applying and that the Public Service Commission, if it
finds that there is public need for the new service applied for, may properly grant
Section 29. All hearings and investigations before the Commission shall be governed by
the certificate requested. In other words the primary consideration is a finding by
rules adopted by the Commission, and in the conduct thereof the Commission shall not
the Commission that public interest and convenience require a given service and
be bound by the technical rules of legal evidence: Provided, That the Public Service
that parties may not by agreement deprive the Commission of its power.
Commissioner or associate commissioners may summarily punish for contempt by a fine
not exceeding two hundred pesos or by imprisonment not exceeding ten days, or both,
any person guilty of misconduct in the presence of the Commissioner or associate (7) A case involving the grant of a Certificate of Public Convenience to the
commissioners or so near the same as to interrupt the hearing or session or any respondent becomes moot and academic where the respondent ceases to be a
proceeding before them, including cases in which a person present at a hearing, session, bus operator, and it should be dismissed.
or investigation held by either of the commissioners refuses to be sworn as a witness or
to answer as such when lawfully required to do so. To enforce the provisions of this Section 30. (a) The Commission may issue subpoenas and subpoenas duces tecum, for
section, the Commission may, if necessary, request the assistance of the municipal police witnesses in any matter or inquiry pending before the Commission and require the
for the execution of any order made for said purpose. production of all books, papers, tariffs, contracts, agreements, and all other documents,
which the Commission may deem necessary in any proceeding. such process shall be
(1) While the Commission is authorized to make rules for the conduct of their issued under the seal of the Commission, signed by one of the Commissioners or by the
business, it could not set at naught the fundamental rule of all proceedings that secretary, and may be served by any person of full age, or by registered mail. In case of
only parties having a real interest will be heard. disobedience to such subpoena, the Commission may invoke the said of the Supreme
Court or of any Court of First Instance of the Philippines in requiring the attendance and
testimony of witness and the production of books, papers, and documents under the
(2) A party not affected or prejudiced cannot file an opposition.
provisions of this chapter, and the Supreme Court, or any Court of First Instance of the
Philippines within the jurisdiction of which such inquiry is carried on, may in case of
(3) One public service corporation cannot assume the name and be substituted in contumacy of refusal to obey a subpoena, issue to any public service subject to the
the place of another public service corporation. provisions of this Act, or to any person, an order requiring such public service or other
person to appear before the Commission and produce and papers if so ordered and give
evidence touching the matter; and any failure to obey such order of the court may be Section 32. The Commission may, in any investigation or hearing, by its order in writing
punished by such court as a contempt thereof. cause the deposition of witnesses residing within or without the Philippines to be taken in
the manner prescribed by the Rules of Court. Where witnesses reside in places distant
(b) Any person who shall neglect or refuse to answer any lawful inquiry or from Manila and it would be inconvenient and expensive for them to appear personally
produce the Commission books, paper, tariffs, contracts, agreements, and before the Commission, the Commission may, by proper order, commission any clerk of
documents or other things called for by said Commission, if in his power to do so, the Court of First Instance, municipal judge or justice of the peace of the Philippines to
in obedience to the subpoena or lawful inquiry of the Commission, upon take the deposition of witnesses in any case pending before the Commission. It shall be
conviction thereof by a court of competent jurisdiction, shall be punished by a fine the duty of the official so commissioned, to designated promptly a date or dates for the
not exceeding five thousand pesos or by imprisonment not exceeding one year, taking of such deposition, giving timely notice to the parties, and on said date to proceed
or both, in the discretion of the court. to take the deposition, reducing it to writing. After the depositions have been taken, the
official so commissioned shall certify to the depositions taken and forward them as soon
as possible to the Commission. It shall be the duty of the respective parties to furnish
(c) The Commissioner and associate commissioners, the chiefs of divisions, the
stenographers for taking and transcribing the testimony taken. in case the are no
attorneys of the Commission, and the deputy secretaries shall have the power to
stenographers available, the testimony shall be taken in long hand by such person as the
administer oaths in all matters under the jurisdiction of the Commission.
clerk of court, the municipal judge or justice of the peace may designate. The
Commission may also commission a notary public to take the depositions in the same
(d) Any person who shall testify falsely or make any false affidavit or oath before manner herein provided.
the Commission or before any of its members shall be guilty of perjury, and upon
conviction thereof in a court of competent jurisdiction, shall be punished as
The Commission may also, by proper order, authorize any of the attorneys of the legal
provided by law.
division or division chiefs of the Commission, if they be lawyers, to hear and investigate
any case filed, with the Commission and in connection therewith to receive such evidence
(e) Witnesses appearing before the Commission in obedience to subpoena or as may be material thereto. At the conclusion of the hearing or investigation, the attorney
subpoena duces tecum, shall be entitled to receive the same fees and mileage or division chief so authorized shall submit the evidence received by him to the
allowance as witnesses attending Courts of First Instance in civil cases. Commission to enable the latter to render its decision. (As amended by Rep. Act No.
723.)
(f) Any person who shall obstruct the Commission or either of the Commissioners
while engaged in the discharge of Official duties, or who shall conduct himself in Section 33. Every order made by the Commission shall be served upon the person or
a rude, disrespectful or disorderly manner before the Commission or either of the public service affected thereby, within ten days from the time said order is filed by
Commissioners, while engaged in the discharge of official duties, or shall orally or personal delivery or by ordinary mail, upon the attorney of record, or in case there be no
in writing be disrespectful to, offend or insult either of the Commissioners on attorney of record, upon the party interested; and in case such certified copy is sent by
occasion or by reason of the performance of official duties, upon conviction registered mail, the registry mail receipt shall be prima facie evidence of the receipt of
thereof by a court of competent jurisdiction, shall be punished for each offense by such order by the public service in due course of mail. All orders of the Commission to
a fine not exceeding one thousand pesos, or by imprisonment not exceeding six continue an existing service or prescribing rates to be charged shall be immediately
months, or both, in the discretion of the court. operative; all other orders shall become effective upon the dates specified thereon:
Provided, however, that orders, resolutions or decisions in converted matters and not
Section 31. No person shall be excused from testifying or from producing any book, referring to the continuance of an existing service or prescribing rates to be charged shall
document, or paper in any investigation or inquiry by or upon the hearing before the not be effective unless otherwise provided by the Commission, and shall take effect thirty
Commission, when ordered so to do by said Commission, except when the testimony or days after notice to the parties.
evidence required of him may tend to incriminate him. Without the consent of the
interested party no member or employee of the Commission shall be compelled or Section 34. Any interested party may request the reconsideration of any order, ruling, or
permitted to give testimony in any civil suit to which the Commission is not a party, with decision of the Commission by means of a petition filed not later than fifteen days after
regard to secrets obtained by him in the discharge of his official duty. the date of the notice of the order, ruling, or decision in question. The grounds on which
the request for reconsideration is based shall be clearly and specifically stated in the
petition. Copies of said petition shall be served on all parties interested in the matter. It Philippines. The employees of the office of the People's Counsel shall be appointed by
shall be the duty of the Commission to call a hearing to decide the same promptly, either the Secretary of Justice upon recommendation of the People's Counsel.
denying the petition or revoking or modifying the order, ruling or decision under
consideration. The People's Counsel and his assistants shall posses the qualifications of a provincial
fiscal. The People's Counsel shall receive compensation at the rate of seven thousand
Section 35. The Supreme Court is hereby given jurisdiction to review any order, ruling, or two hundred pesos per annum, and the first and second assistant's People's Counsel, at
decision of the Commission and to modify or set aside such order, ruling, or decision the rate of six thousand pesos per annum each.
when it clearly appears that there was no evidence before the Commission to support
reasonably such order, ruling, or decision, or that the same is contrary to law, or that it The People's Counsel, his assistants, and the employees of the Office of the People's
was without the jurisdiction of the Commission. The evidence presented to the Counsel shall not, during their continuance in office, intervene directly or indirectly in the
Commission, together with the record of the proceedings before the Commission, shall be management or control of, or be financially interested directly or indirectly in any public
certified by the secretary of the Commission to the Supreme Court. Any order, ruling, or service as defined in this Act.
decision of the Commission may likewise be reviewed by the Supreme Court upon a writ
of certiorari in proper cases. The procedure for review, except as herein provided, shall It shall be the duty of the People's Counsel (1) to institute proceedings before the
be prescribed by rules of the Supreme Court. Commission, in behalf of the public, for the purpose of fixing just and reasonable rates or
charges to be followed and observed by public services as herein defined, whenever he
Section 36. Any other, ruling, or decision of the may be reviewed on the application of has reason to believe that the existing rates or charges of such public services are unjust
any person or public service affected thereby, by certiorari in appropriate cases, or by and unreasonable or unjustly discriminatory; (2) to represent and appear for the public
petition, to be known as petition for review, which shall be filed within thirty days from the before the Commission or any court of the Philippines in every case involving the interest
notification of such order, ruling or decision, or in case of a petition is filed in accordance of users of the products of, or service furnished by any public service under the
with the preceding section for the reconsideration of such order, ruling or decision and the jurisdiction of the Commission; (3) to represent and appear for petitioners appearing
same is denied it shall be filed within fifteen days after notice of the order denying before the Commission for the purpose of complaining in matters of the rates and
reconsideration. Said petition shall be placed on file in the office of the Clerk of the services; (4) to investigate the service given by the rates charged by, and the valuation of
Supreme Court who shall furnish copies thereof to the Secretary of the Commission and the properties of the public services under the jurisdiction of the Commission, and such
other parties interested. other matters relating to said public services as affect the interests of users of the
products or service thereof, and to take all the steps necessary for the protection of the
Section 37. The institution of a writ of certiorari or other special remedies in the Supreme interests of the person or persons or of the public affected thereby. In connection with
Court shall in no case supersede or stay any order, ruling or decision of the Commission, such investigation he is hereby empowered to issue subpoena or subpoena duces tecum.
unless the Supreme Court shall so direct, and the appellant may be required by the
Supreme Court to give bond in such form and of such amount as may be deemed proper. The People's Counsel is authorized to call upon and obtain such assistance as he may
deem necessary in the performance of his duties from any officer or employee of any
Section 38. The chief of the legal division or any other attorneys of the Commission shall department, bureau, office, agency, or instrumentality of the government including
represent the same in all judicial proceedings. It shall be the duty of the Solicitor General corporations owned, controlled or operated by the government. (As amended by Rep. Act
to represent the Commission in any judicial proceedings if, for special reason, the No. 178.)
Commissioner shall request his intervention.
Section 39. Any preceding in any court of the Philippines directly affecting an order of the
There is hereby created under the administrative supervision of the Secretary of Justice Commission or to which the Commission is a party, shall have preference over all other
an office to be known as the Office of the People's Counsel in the Public Service civil proceedings pending in such court, except election cases.
Commission. The people's Counsel shall have two assistants and such number of
employees as may be necessary to perform the functions hereinafter specified. The CHAPTER VI
People's Counsel and his assistants shall be appointed by the President of the FEES
Philippines with the consent of the commission on appointments of the Congress of the
Section 40. The Commission is authorized and ordered to charge and collect from any (3) For each motor vehicle, truck, or trailer of two tons or more, but less
public service or applicant, as the case may be, the following fees as reimbursement of its than three tons gross transportation capacity, twenty pesos.
expenses in the authorization, supervision and/or regulation of public services:
(4) For each motor vehicle, truck, or trailer of three tons or more but less
(a) The charge of fifty pesos for the registration of: than four tons gross transportation capacity, thirty pesos.

(1) Applications under the provisions of Section sixteen (a), (b), (c), and (5) Motor vehicles, trucks, trailers or buses of four tons or more gross
(d), and twenty (a), (b) (c), (e), (f), and (h): Provided however, That in capacity shall pay at the rate of ten pesos per ton gross. The fees
case of transportation services an additional filing fee of five pesos shall provided in paragraphs (d) and (e) hereof shall be paid on or before
be charged for each additional unit or vehicle in excess of five units or September thirtieth of each year with a penalty of fifty per centum in case
vehicles applied for: And provided, finally, That no filing fee shall be of delinquency: Provided, further, That if the fees or any balance thereof
collected for the reduction of rates if the same does not alter or modify in are not paid within sixty days from the said date, the penalty shall be
any way the basic rates of the schedule. increased by one per centum for every month thereafter of delinquency:
Provided, however, That motor vehicles registered in the Motor Vehicles
(2) Applications for the approval or modification of maximum rates under Office after September thirtieth shall be exempt from payment for said
Section fourteen. year.

(b) Thirty pesos shall be collected from any operator of land transportation for the (e) For annual reimbursement of the expenses incurred by the Commission in the
registration of: supervision of other public services and/or in the regulation or fixing of their rates,
twenty centavos for each one hundred pesos or fraction thereof, of the capital
stock subscribed or paid, or if no shares have been issued, of the capital
(1) Applications under Section seventeen (f).
invested, or of the property and equipment, whichever is higher.
(2) Applications for the extension of time covering a period of thirty days
(f) For the issue or increase of capital stock, twenty centavos for each one
for the registration of motor vehicles previously authorized by the
hundred pesos or fraction thereof, of the increased capital.
Commission.

(g) For each permit authorizing the increase of equipment, the installation of new
(c) The charge of thirty pesos for the filing of other applications by any public
units or authorizing the increase of capacity. or the extension of means or general
service operator not specifically provided for in the preceding paragraphs of this
extension in the services, twenty centavos for each one hundred pesos or
section other than motions of a temporary or incidental character: Provided,
fraction of the additional capital necessary to carry out the permit.
however, That fifteen pesos only shall be collected for each certificate of public
convenience or certificate of public convenience and necessity in diploma form
issued to a public service operator. (h) For the inspection or certification made in the meter laboratory of the
Commission or each apparatus or meter used by any public service, four pesos,
and for examination made outside the meter laboratory of the Commission, the
(d) For annual reimbursement of the expenses incurred by the Commission for
additional expenses as may be incurred in making the examination shall also be
the supervision and regulation of the operations of motor vehicle services:
paid.
(1) For each automobile, ten pesos.
(i) For certification of copies of official documents in the files of the Commission,
fifty centavos plus fifty centavos for each page or folio so certified.
(2) For each motor vehicle, truck, or trailer of less than two tons gross
transportation capacity, ten pesos.
This section shall not be applicable to the Republic of the Philippines, nor to its
instrumentalities.
Aside from the appropriations for the Commission under the annual General Section 45. If, any reason, any section, subsection, sentence, clauses or terms of this
Appropriation Act, any unexpended balance of the fees collected by the Commission Act is held to the unconstitutional such decision shall not affect the validity of the other
under this section shall be constituted receipts automatically appropriated each year, and provisions of this Act.
together with any surplus in the standardizing meter laboratory revolving fund under
Commonwealth Act Numbered Three hundred forty-nine, shall be disbursed by the Public Section 46. Act numbered thirty-two hundred and forty-seven and Act numbered thirty-
Service Commissioner in accordance with special budgets to be approved by the five hundred and eighteen shall continue in force and effect; but all provisions of Act
Department of Justice, the Budget Commission and the Office of the President of the numbered thirty-one hundred and eight and amendments thereof, and all other acts or
Philippines for additional needed personal services, maintenance and operating parts or acts inconsistent with the provisions of this Act are hereby repealed.
expenses, acquisition of urgently needed vehicles, furniture and equipment, maintenance
of an adequate reference library, acquisition of a lot and building for the Commission, and Section 47. This Act shall take effect upon its approval.
other expenses necessary for efficient administration and effective supervision and
regulation of public services. (As amended by Com. Act No. 454 and RA No. 3792,
approved June 22, 1963.) Approved: November 7, 1936

CHAPTER VII
GENERAL AND TRANSITORY PROVISIONS

Section 41. A substantial compliance with the requirements of this Act shall be sufficient
to give effect to all the rules, orders, acts and regulations of the Commission and they
shall not be declared inoperative, illegal, or void for any omission of a technical nature in
respect thereto.

Section 42. Copies of all official documents and orders filled or deposited in the office of
the Commission, certified by either of the commissioners, or by the secretary to be true
copy of the original, under the seal of the Commission shall be evidence in like manner as
the originals in all courts of the Philippines.

Section 43. The Commission created under this Act shall succeed the Commission
created under Act numbered thirty-one hundred and eight in the dispatch, hearing, and
determination of all pending matters before the latter; and shall take charge of its
archives, books, furniture, equipment, and other properties of whatsoever nature.

Section 44. In addition to the sum appropriated for the former commission under Act
numbered forty-one hundred and thirty-two, the General Appropriation Act for nineteen
hundred and thirty-six, the sum of six thousand seven hundred and sixty-eight pesos and
thirty-four centavos is hereby appropriated out of any funds in the Philippines Treasury
not otherwise; and in addition to the sum appropriated under Act numbered thirty-eight,
the General Appropriation Act for nineteen hundred and thirty-seven, the sum of twenty-
three thousand six hundred and ten pesos, or so much thereof as may be necessary, is
hereby appropriated, out of any funds in the Philippines Treasury not otherwise
appropriated, for carrying out the purposes of this Act.