• 
I. 
FIFTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
10 
,JilL -6 P 2 :03 
SENATE 
S. NO. 358 
Introduced by Senator Antonio "Sonny" F. Trillanes IV 
EXPLANATORY NOTE 
Competitive markets, when feasible, are demonstrably the most efficient way of allocating 
resources in the economy. With our unstable economic situation, however, it is not difficult to 
imagine how the basic commodities can be artificially raised. The exercise of market power by 
cartels has often led to onerous increases in prices and shortages of basic commodities which 
have burdened the consumers. 
This bill, therefore, seeks to amend Republic Act 7581, otherwise known as the "Price Act," by 
defining the situation constituting a prima facie case of cartelization in order to facilitate the 
enforcement of the prohibition against any form of cartel. The Price Act was passed to enable the 
government to address the problem of monopolies, cartels, unfair competition, and the hoarding 
of basic commodities, especially food. 
In view of the foregoing, early passage of this bill is earnestly requested. 
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2 
3 
FIFTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S.NO. 358 
10 
,JUL -6 F2 :03 
Introduced by Senator Antonio "Sonny" F. Trillanes IV 
AN ACT 
PENALIZING UNFAIR TRADE AND ANTI-COMPETITIVE PRACTICES IN 
RESTRAINT OF TRADE, UNFAffi COMPETITION, ABUSE OF DOMINANT POWER, 
STRENGTHENING THE POWERS OF REGULATORY AUTHORITIES AND 
APPROPRIATING FUNDS THEREFOR, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representative of the Philippines in 
Congress assembled: 
CHAPTER! 
TITLE AND DECLARATION OF POLICY 
4 
SECTION 1. Title. - This Act shall be known and cited as the "Competition Act of 
5 
2010", 
6 
7 
SEC. 2. Declaration of Policy. - Pursuant to the constitutional mandate that the State 
8 
shall regulate or prohibit monopolies when the public interest so requires and that no 
9 
combinations in restraint of trade or unfair competition shall be allowed, the State shall: 
lOa) promote and enhance free and full competition in trade, industry and all commercial economic 
11 
activities; 
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1 
b) prevent the concentration of economic power in a few persons who threaten to control the 
2 
production, trade, or industry, stifle competition, distort, manipulate or constrict the discipline of 
3 
free markets, or tamper with the free play of the market forces and eventually destroy free and 
4 
open markets; and, 
5 
c) penalize all forms of unfair trade, anti-competitive conduct and combinations in restraint of 
6 
trade, with the objective of protecting and advancing consumer welfare. 
7 
8 
9 
10 
CHAPTER 2 
SCOPE AND APPLICATION, DEFINITION OF TERMS 
11 
SEC. 3. Scope and Application. - This Act shall be enforceable within the territory of the 
12 
Republic of the Philippines and shall apply to all areas of trade, industry and commercial 
13 
economic activity. It shall likewise be applicable to international trade having substantial effects 
14 
in the Republic of the Philippines including those that result from acts done outside the Republic 
15 
of the Philippines. 
16 
The Act shall apply to: (a) all firms as defined hereunder and all their commercial 
17 
agreements, actions or transactions involving goods, services or intellectual property; and, (b) all 
18 
natural persons who, acting in their capacity as owner, manager or employee of a firm, shall 
19 
authorize, engage or aid in the commission of restrictive practices prohibited under this Act. 
2 


I 
SEC. 4. Definition of Terms. - As used in this Act, the following tenus shall be defined 
2 
as: 
3 
(a) Cartel shall mean a combination of firms, providing goods in relevant markets, acting or 
4 
joined together to obtain a shared monopoly to control production, sale and price, or to obtain 
5 
control in any particular industry or commodity, or a group of firms that agree to restrict trade to 
6 
their mutual benefit, which mayor may not be of an international scale. It shall also refer to 
7 
firms or section of firms having common interest designed to prevent extreme or unfair 
8 
competition and allocate markets, and to promote the exchange of knowledge resulting from 
9 
scientific and technical research, exchange of patent rights and standardization of products; 
10 
(b) Competition shall mean the process bywhich economic agents, acting independently in 
11 
a market, limit each other's ability to control the prevailing conditions in the market; 
12 
(c) Control refer to at least twenty percent (20%) ownership, directly or indirectly, of a firm 
13 
or a group of firms by another firm; 
14 
(d) Firm shall include any person, partnership, combination or association in any form, engaged 
15 
directly or indirectly in any economic activity: Provided, That, two firms, one of which is 
16 
controlled by the other, shall be treated as one firm: Provided, further, That two or more firms 
17 
that are controlled by a single firm shall. be treated as one firm; 
18 
( e) Goods shall include all types of goods and services; 
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(f) Market shall refer to a place or venue for commercial activity, which may extend beyond the 
2 
borders of the Republic of the Philippines, where articles are bought or sold. It shall also refer to 
3 
the geographical or economic extent of commercial demand; 
4 
(g) Monopoly shall mean a privilege or undue advantage of one or more firms, consisting in the 
5 
exclusive right to carry on a particular business or trade, and/or manufacture a particular product, 
6 
article or object of trade, commerce or industry. It is a form of market structure in which one or 
7 
only a few firms dominate the total sales of a product or service; 
8 
(h) Monopoly Power shall refer to a situation where a firm, either by itself or acting in collusion 
9 
with other firms, is in a position to control a relevant market for the sale of a particular good or 
10 
service by fixing its prices, excluding competitor firm, or controlling the market in a specific 
II 
geographical area; and, 
12 
(i) Relevant Market shall refer to the line of commerce in which competition has been 
13 
restrained. It shall also refer to the geographic area involved, including all reasonably 
14 
substitutable goods, and all nearby competitors, to which consumers could turn ifthe restraint or 
15 
abuse results in the significant increase in prices. 
16 
17 
CHAPTER 3 
18 
PROHmITED ACTS 
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SEC. 5. Cartels.- It shall be unlawful for firms providing goods in relevant markets to 
2 
join together to monopolize, or to control production in a particular industry or commodity, the 
3 
sale and price of such good, and to agree to restrict trade for their mutual benefit, which mayor 
4 
may not be on an international scale. This shall also include an association by agreement of firms 
5 
or sections of firms having common inte,rests designed to promote the interchange of knowledge 
6 
resulting from scientific and technical researches, exchange of patent rights and standardization 
7 
of products. 
8 
Restrictive agreements resulting from cartel-like behavior of firms, in any form, are 
9 
hereby per se deemed illegal. These shaH include, but not limited to, the foHowing: 
10 
(a) Agreements to fix selling price of goods or other terms of sale; 
11 
(b) Agreements to limit supply or output; 
12 
( c) Agreements to divide the market, whether by volume of sales or purchase or by 
13 
territory, by type of goods sold, by customers or sellers, or by any other means; 
14 
(d) Agreements exclude or limit dealings with particular suppliers or sellers from 
15 
supplying or selling goods, or customers from acquiring or buying goods; and, 
16 
(e) Agreements to fix setting price at auctions or in any other form of bidding. 
17 
There shall be a prima facie case for the existence of a cartel if and when the Department 
18 
of Trade and Industry (DTI) or concerned regulatory agency finds that two or more persons or 
19 
firms competing for the same relevant market perform uniform or complementary acts among 
20 
themselves which tend to bring about artificial and unreasonable increase in the price of any 
5 


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goods or when they simultaneously and unreasonably increase the prices of their competing 
2 
goods thereby lessening competition among themselves. 
3 
4 
5 
SEC. 6. Monopolies. - It shall be unlawful for any firm to willfully monopolize, or 
6 
knowingly attempt to monopolize, the trade of goods or any part of the trade or commerce within 
7 
the Republic of the Philippines or with any foreign country or territory. As prohibited in this Act, 
8 
the essential elements of the crime of monopolization are the possession of monopoly power and 
9 
its willful acquisition, maintenance or abuse to exclude competitors from any part of trade, 
10 
commerce or industry as distinguished 'from natural growth or development of a firm as a 
II 
consequence of a superior product, business acumen or historic accident: Provided, That, a firm 
12 
that has at least fifty percent (50%) of the relevant market as found and certified by the 
13 
Department of Trade and Industry (DTI) or the concerned regulatory agency shall be deemed a 
14 
monopoly or in dominant position. 
IS 
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SEC. 7. Monopoly Power or Abuse of Market Power by One in Dominant Position. - It 
17 
shall be unlawful for one or more firms with market power within relevant markets to abuse their 
18 
monopoly power or dominant position, by engaging in unfair methods of competition, or 
19 
engaging in unfair or deceptive trade practices, or entering into agreements, combinations in the 
20 
form of trust or otherwise, or conspiracy, with the purpose and effect to prevent, restrict, or 
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1 
distort competition. Abusive agreements such as, but not limited to, any of the following, shall 
2 
be deemed to fall under the crime of abuse of monopoly power or market power by one in 
3 
dominant position: 
4 
A. Price Fixing - Any agreement to fix the selling price of goods or other terms of sale, with the 
5 
purpose and effect of creating a monopoly or cartel, or lessening competition. 
6 
B. Bid Rigging - Any agreement to fix price at auctions or in any other form of bidding, with the 
7 
purpose and effect of creating a monopoly or cartel, or lessening competition. 
8 
In determining whether there is price fixing or bid rigging, the following circumstances 
9 
may be considered: 
10 
(1) generally, any considered evidence that two sellers of similar goods have agreed to set the 
11 
price of their goods, to sell only a certain amount of their goods, or to sell only to a limited 
12 
number of buyers or consumers; 
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(2) a drastic change in prices of goods and services involving more than one seller of similar 
14 
goods of different brands, particularly if the changes in prices take place in equal amount and 
15 
about the same time; 
16 
(3) a seller refusing to sel1 based on an agreement with a competitor; 
17 
(4) the same firm has repeatedly been, the low bidder who has been awarded contracts for a 
18 
certain service or a particular bidder seems to win bids on a fixed-rotation; 
19 
(5) there is an unusual and unexplainable difference between the winning bid and all other bids; 
20 
and, 
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(6) the same bidder bids substantially higher on some bids than on others, and there is no logical 
2 
cost reason to explain the difference. 
3 
C. Limitation and Control of Markets -Any agreement to limit or control production, markets, 
4 
technical development, or investment with the purpose and effect of creating a monopoly or 
5 
cartel, or lessening competition. 
6 
D. Market Allocation - Any agreement to divide the market, whether by volume of sales or 
7 
purchase or by territory, by type of goods sold, by customers or sellers or by any other means, 
8 
with the purpose and effect of creating a monopoly or cartel, or lessening competition. 
9 
E. Arrangements to Share Markets or Sonrces of Supply - Any agreement to share markets or 
10 
sources of supply of raw materials, with the purpose and effect of creating a monopoly or cartel, 
11 
or lessening competition. 
12 
F. Price Discrimination - Any agreement prescribing or charging, directly or indirectly, 
13 
discriminatory pricing terms or conditions in the supply or purchase of goods of like grade and 
14 
quality with the purpose and effect of creating a monopoly or cartel, or substantially lessening 
15 
competition: Provided, That nothing contained herein shall be construed to prohibit permissible 
16 
price differentials unless the same shall have the effect of preventing, restricting or distorting 
17 
competition: PrOVided, jurther, That for the purpose of this section, the following shall be 
18 
considered permissible price differentials: 
19 
(1) Socialized Pricing - Socialized pricing for the less fortunate sector of the economy; 
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(2) Volume Discounts - Price, differentials which reflect an allowance for differences in the cost 
2 
of manufacture, sale, or delivery resulting from differing methods or quantities in which the 
3 
goods are sold or delivered to the purchasers; 
4 
(3) Competitive Pricing - A price differential or other terms of sale in response to the 
5 
competitive price of payments, services or facilities furnished by a competitor; 
6 
(4) Bona fide Selection of Customers - The selection of customers on bona fide transaction; 
7 
and, 
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(5) Price Differentials Due to Changing Market Conditions or Marketability of Goods -
9 
Price changes from time to time in response to changing conditions affecting the market or the 
10 
marketability of the goods concerned such as, but not limited to, actual or imminent deterioration 
11 
of perishable goods, obsolescence of seasonal goods, distress sales under court process, or sale 
12 
on good faith in discontinuance of business. 
13 
G. Exclusivity Arrangement - Any agreement imposing restrictions on the lease or contract for 
14 
sale or trade of goods concerning where" to whom, or in what forms goods may be sold or traded, 
15 
such as, but not limited to fixing prices, or giving preferential discounts, or rebate upon such 
16 
price, or imposing conditions not to deal with competing firms, where the purpose of such 
17 
agreement is to lessen competition: Provided, That nothing contained herein shall prohibit or 
18 
render unlawful permissible franchising, licensing or exclusive distributorship agreements. 
19 
H. Tie-In Arrangements - Any agreement making the supply of particular goods dependent 
20 
upon the purchase or lease of other goods from the supplier or his consignee, where the purpose 
9 


1 
and effect of such sale or lease or such condition is to substantially lessen competition or to 
2 
create a monopoly or cartel. 
3 
I. Boycott - Any concerted refusal to sdl or conspiracy not to sell or to stop doing business on 
4 
the part of the suppliers of any goods, u~less for a legitimate purpose, such as but not limited to: 
5 
(1) Defaultiug Borrowers - refusal by one or more credit institutions to extend loans to 
6 
defaulting debtors; 
7 
(2) Defaulting Buyers - refusal by one or more manufacturers or sellers to sell on credit to 
8 
defaulting customers; and, 
9 
(3) Violators of Intellectual Property Rights - refusal by manufacturers or sellers to have any 
10 
commercial dealings with one or more firms who violate the intellectual property rights of the 
11 
owners of patents, copyrights, trademarks and other intellectual property. 
12 
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15 
CHAPTER 4 
PENALTIES 
16 
SEC. 8. Penalties. - Without prejudice to the violation of other laws, any firm that shall 
17 
be found to have violated Sections 5, 6 and 7 of this Act, or any combination thereof, shall, for 
18 
each and every violation, be punished by fa fine of not less One million pesos (Phpl,OOO,OOO.OO) 
19 
and not exceeding Ten million pesos (phplO,OOO,OOO.OO) if a natural person; by a fine of not less 
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than Ten million pesos (PhplO,OOO,OOO.OO) but not exceeding One hundred million pesos 
2 
(PhpIOO,OOO,OOO.OO) if a firm, and by imprisonment not exceeding ten (10) years, or both, at the 
3 
discretion of the court. 
4 
5 
CHAPTERS 
6 
ENFORCEMENT 
7 
8 
SEC. 9. Preliminary Inquiry. - The Department of Justice (DOJ), in coordination with 
9 
the Department of Trade and Industry (DTI), other regulatory and/or appropriate government 
10 
agency, shall motu propio, upon the filing of a verified complaint by an interested party or upon 
11 
referral by the concerned regulatory agency, initiate a preliminary inquiry for the enforcement of 
12 
this Act based on reasonable grounds. 
13 
14 
SEC. 10. Powers of Concerned Regulatory Agencies. - Notwithstanding the provisions 
15 
of the preceding section, the exercise of regulatory powers by different government agencies 
16 
over an industry or a sub-sector of an in~ustry shall be cumulative and shall not be construed in 
17 
any way as derogating from the power and authority of the concerned agency. The government 
18 
agencies shall cooperate and coordinate with one another in the exercise of their powers in order 
19 
to prevent overlap, to share confidential information, or for other effective measures. 
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SEC. 11. Power to Investigate. - The DOJ may, through its duly authorized inquiring 
2 
officer, by written notice, require a firm or natural person to produce a specified document, or to 
3 
provide specified information which the DOJ considers as relevant its investigation. The 
4 
inquiring officer, upon the authority granted by the Secretary of Justice, shall engage the services 
5 
of consultants or experts to aid in the. inquiry. He shall also make use of any available or 
6 
analogous means under existing laws and procedures to determine if any provision of this Act 
7 
has been violated. For this purpose, he. shall have the power to punish for contempt any firm 
8 
which does not comply with the notice or order for document, information or such other relevant 
9 
matters and to impose a fine not exceeding One hundred thousand pesos (phplOO,OOO.OO) for 
lOnon-compliance with each notice or order. 
11 
12 
SEC. 12. Self-incrimination and Privileged Communication Exclusion. - Pursuant to 
13 
the preceding section, a person subject of any investigation by the DOJ shall produce the 
14 
specified document or information when so required by written notice: Provided, That no person 
15 
shall be excused from disclosing any document or information to the inquiring officer on the 
16 
ground that the disclosure of the information or document may be incrimination: Provided, 
17 
however, That such document or information produced by the person subject of investigation 
18 
shall not be admissible as evidence against him in criminal proceedings: Provided, finally, That 
19 
such document or information shall be admissible in evidence in civil proceedings including 
20 
those arising from or in connection to th,e implementation of this Act. 
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Nothing in this section shall compel the disclosure of privileged communication: 
2 
Provided, That the person who refuses to disclose the information or produce the document or 
3 
other material required by the inquiring officer in relation to the preliminary inquiry being 
4 
conducted shall nevertheless he obliged to give the name and address of the firm to whom, or by 
5 
whom, or on whose behalf, such privileged communication was made. 
6 
7 
SEC. 13. Immunity from Suit ~ Any person or firm which cooperates or furnishes any 
8 
information, document or data to the DOJ before or during the conduct of the preliminary inquiry 
9 
that constitutes material evidence as determined by the DOJ under this Act shall be immune from 
10 
any suit or charge including from affected parties and third parties: Provided., further, That any 
11 
person or firm which cooperates or furnishes information, document or data to the DOJ in 
12 
connection to an investigation being conducted shall not be subjected to any form of reprisal or 
13 
discrimination: PrOVided, furthermore, That such reprisal or discrimination shall be considered a 
14 
violation of this Act and subjected to the penalties provided for under Section 8: Provided, 
15 
finally, That, notwithstanding the provisions of Section 17 hereof, the firm which cooperates 
16 
with the DOJ in its investigation shall be entitled to a reward equivalent to twenty percent (20%) 
17 
of any monies paid by tbe firm subject ofthe inquiry, or the monetary relief recovered from court 
18 
action. 
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SEC. 14. Termination of Preliminary Inquiry. - The Department of Justice, after 
2 
considering the statements made, or documents or articles produced, in the course of an inquiry 
3 
conducted by it, shall terminate the preliminary inquiry by issuing a resolution ordering its 
4 
closure if no violation or infringement of this Act is found; or by issuing a nolo contendere 
5 
resolution; or to, singly or cumulatively, (a) endorse the findings to the regulatory agency for the 
6 
imposition of administrative fines; (b) institute a civil case for damages; or (c) file a criminal 
7 
case for violation of this Act or other relevant laws: Provided, That, for purposes of this Act, the 
8 
preliminary inquiry referred to in Section 9 of this Act shall fulfill the requirements of a 
9 
preliminary investigation: Provided, further, That the resolution shall not be subjected to any 
10 
petition for review. 
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SEC. 15. Nolo Contendere Resolution. - Any firm under inquiry under the provisions of 
13 
this Act may submit to a nolo contendere resolution at any time before the termination of the 
14 
preliminary inquiry by: a) the payment of an amount within the range of penalties provided for 
15 
under Section 8; b) by entering into an undertaking to effectively stop and rectify the acts 
16 
complained against, make restitution to the affected parties, whether or not the parties are 
17 
complainants or witnesses; and, c) by submitting regular compliance reports as may be directed: 
18 
Provided, That, five percent (5%) of the amounts paid under this section shall equitably accrue to 
19 
the government agencies involved in the inquiry: PrOVided, further, That a nolo contendere 
20 
resolution shall not bar any inquiry for the same or similar acts if continued or repeated. 
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SEC. 16. Courl Action. - In addition to any criminal action, the DOJ, when instituting the 
2 
civil action, shall bring it in the name of the Republic of the Philippines, as parens patriae, on 
3 
behalf of persons residing in the Philippines, to secure treble damages for any monetary injury 
4 
sustained by such natural persons by reason of any violation of this Act plus the cost of suit and a 
5 
reasonable attorney's fee. 
6 
7 
SEC. 17. Effect of Final Judgment. - The final judgment in an action brought under the 
8 
preceding section shall be res judicata as to any claim by any person on whose behalf such 
9 
action was brought: Provided, That such person notifies the court having jurisdiction of the case 
10 
within the period given by the court. Provided, That such period shall not be less than ninety (90) 
11 
days. 
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SEC. 18. Distribution of Monetary Relief Recovered - The monetary relief recovered in 
14 
a civil action under Section 15 of this Act shall be distributed in the following manner: (1) as 
15 
determined and to be authorized by the Regional Trial Court having jurisdiction of the case; (2) 
16 
ten percent (10%) of the total amount of monetary relief shall accrue to the DOJ to be used in the 
17 
enforcement of this Act; and, (3) the remainder of which total amount of monetary relief shall be 
18 
deemed a civil penalty by the Regional Trial Court and shall be deposited to the National 
19 
Treasury as part of the general fund of the government: Provided, That any distribution 
20 
procedcre adopted by the Regional Trial Court shall afford each person having an interest in the 
15 


, 
1 
monetary relief a reasonable opportunity to secure his appropriate portion of the net monetary 
2 
relief obtained. 
3 
4 
SEC. 19. Evidential Effect of a Final Judgment - Any final judgment rendered in any 
5 
civil or criminal action brought by the DO] on behalf of the People ofthe Philippines under this 
6 
Act to the effect that a defendant has violated any or all of the provisions of this Act shall be 
7 
prima facie evidence against such defendant in any civil action brought by any other party 
8 
against such defendant under this Act as to all matters respecting which said judgment would be 
9 
an estoppel as between the parties concerned. 
10 
11 
12 
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CHAPTER 6 
OTHER PROVISIONS 
14 
SEC. 20. Statute of Limitation,s. - Any civil or criminal action to enforce any cause of 
IS 
action arising from a violation of any provision of this Act shall be forever barred unless 
16 
commenced within ten years (10) years after the cause of action accrues. The running of the 
17 
statute of limitation shaH be suspended during the pendency of any proceeding. 
18 
19 
SEC. 21. Imposition of Fines by Regulatory Agency. - Notwithstanding any provisions 
20 
of law, regulatory agencies shall, in the conduct of their functions or duties, have the power to 
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impose fines in the amount not less than One hundred thousand pesos (phplOO,OOO.OO) and not 
2 
exceeding Five million pesos (Php5,000,000.00), if a natural person; and not less than Five 
3 
million pesos (Php5,000,000.00) and not exceeding Fifty million pesos (Php50,000,000.00) if a 
4 
firm for each violation of or non-compliance with an order or notice of the regulatory agency. 
5 
Ten percent (10%) of such fines shall accrue to the budget of the regulatory agency for the 
6 
exclusive use in the enforcement ofthis Act. 
7 
8 
SEC. 22. Prohibition on the Issuance of Temporary Restraining Orders, Preliminary 
9 
Injunctions and Preliminary Mandatory Injunctions. - Except for the Supreme Court, no other 
10 
court shall issue any temporary restraining order, preliminary injunction or preliminary 
11 
mandatory injunction against the regulatory agency in the exercise of its duties or functions: 
12 
Provided, That, this prohibition shall apply in all cases, disputes or controversies instituted by a 
13 
private party, including, but not limited to, cases filed by regulated firms or those claiming to 
14 
have rights through such firms: Provided, however, That, this prohibition shall not apply when 
15 
the matter is of extreme urgency involving a constitutional issue, such that the non-issuance of a 
16 
temporary restraining order will result in 'grave injustice and irreparable injury to the public: 
17 
Provided, further, That, the applicant shall file a bond, in an amount to be fixed by the court, but 
18 
in no case shall it be less than half of the imposable fines provided for under Section 21 of this 
19 
Act: Provided, finally, That in the event that the court finally decides that the applicant was not 
20 
entitled to the relief applied for, the bond shall accrue in favour of the regulatory agency. 
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Any temporary restraining order, preliminary injunction or preliminary mandatory 
2 
injunction issued in violation of this section is void and of no force and effect. Any judge who 
3 
violates this section shall be penalized by suspension of at least one (1) year without pay in 
4 
addition to other criminal, civil or administrative penalties. 
5 
The Supreme Court may designate regional trial courts to act as commissioners with the 
6 
sole function of receiving facts of the· case involving the acts of the regulatory agency. The 
7 
designated Regional Trial Court shall, within thirty (30) days from the date of receipt of the 
8 
referral, forward its findings of facts to the Supreme Court for appropriate action. 
9 
10 
SEC. 23. Intellectual Property Rights. - The implementation of the provisions ofthis Act 
11 
shall be without prejudice to the rights, liabilities and remedies under Republic Act No. 8293, 
12 
otherwise known as the Intellectual P'roperty Code of the Philippines: Provided, That, the 
13 
exercise of intellectual property rights shall not in any way be used to justify violations of this 
14 
Act. 
15 
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SEC. 24. Guidelines. - The DOJ, in consultation with the DTI, shall prepare the necessary 
17 
guidelines for the implementation of this Act: PrOVided, That, where the guidelines would apply 
18 
to an industry or a sub-sector of industry·. that is subject to the jurisdiction of a regulatory agency, 
19 
the DOJ . shall, in preparing the guidelines, consult with the concerned regulatory agency: 
20 
Provided, forther, That the DOJ may revise such guidelines it deems necessary: Provided, 
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however, That such revised guidelines' shall only take effect following its publication in two 
2 
newspapers of general circulation. 
3 
4 
SEC. 25. Separability Clause.- .If any clause, sentence, section or part of this Act shall 
5 
be adjudged by a court of competent jurisdiction to be invalid, such judgment shall not affect, 
6 
impair or invalidate the remainder of this Act, but shall be confined in its operation to the clause, 
7 
sentence paragraph, section, or part thereof directly involved in the controversy. 
8 
9 
SEC. 26. Repealing Clause.- All provisions of law, orders, decrees, executive orders, 
10 
including rules and regulations or parts thereof, which are contrary to or inconsistent with the 
11 
provisions of this Act are hereby repealed or modified accordingly. 
12 
13 
SEC. 27. Effectivity Clause. - This Act shall take effect fifteen (15) days following its 
14 
publication in the Official Gazette or in at least two (2) national newspapers of general 
15 
circulation. 
Approved, 
19