PROVIDING FOR INCENTIVES IN THE PURSUIT OF ECONOMIC DEVELOPMENT PROGRAMS BY RESTRICTING THE USE OF DOCUMENTS AND INFORMATION VITAL TO THE NATIONAL INTEREST IN CERTAIN PROCEEDINGS AND PROCESSES.

• Number: Presidential Decree No. 1718
• Sections: 10

Preamble

WHEREAS, the Government promotes, encourages and assists the

business sector in its active participation in development programs designed to

implement prescribed policies of the State;

WHEREAS, in pursuance of such programs and in order to

achieve the desired goals and objectives, the Government has authorized certain

activities, measures, and undertakings to be done by the private sector; and

WHEREAS, the Government should provide protection to all

persons and entities carrying out the economic development programs against the

enforcement of certain requirements, orders and judgements of foreign

authorities which operate to impose upon this nation their own economic

policies, concepts and ideas; perpetuate the economic advantages of the

industrial countries over the developing nations; favor foreign competitors; and

embarrass, disrupt, or damage business carried on in the country;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the

Republic of the Philippines, by virtue of the powers vested in me by the

Constitution, do hereby order and decree:

Section 1

SECTION 1. It is hereby declared a policy of the State that

any and all documents and information possessed by or in the custody of

Philippine corporations, entities or individuals doing business in the pursuit

of the national economic development programs of the Government and/or engaged

in the development, promotion, protection and export of Philippine products to

increase foreign currency revenues, are vital to the national interest and

should not be utilized by any foreign person or government to the prejudice

and/or detriment of said corporations entities or individuals, including their

officers and employees.

Section 2

SEC. 2. To implement this policy, no person shall take or

cause to be taken, send or cause to be sent, or remove or caused to be removed

from the territorial jurisdiction of the Philippines, or deliver in any manner

or form to any foreign person or government or its agent or representative; any

document or information as herein defined relating in any manner to any business

carried on in the Philippines, unless such taking sending or removal is

consistent with and forms part of a regular practice of furnishing to a head

office or parent company or organization outside of the Philippines, or is in

connection with the proposed business transactions requiring the furnishing of

the document or information, or is required or necessary for negotiations or

conclusion of business transactions, or is in compliance with an international

agreement to which the Philippines is a party, or is made pursuant to the

authority granted by the designated representative(s) of the President as herein

described.

Section 3

SEC. 3. For the purposes of this Decree, the tern “document

or information" shall include, but not be limited to, the originals (and all

copies which are non-identical whether by means of notation or otherwise) of all

written, printed, typed, recorded, graphic, or photographic matter, or any other

type of memorial, formal or informal, located in the Philippines (including

sound recordings and information stored in computers) whether or not" in the

possession, custody, or control of the person against whom the foreign

requirement, order, direction, or subpoena is directed, including, but not

limited to telexes, records, books of account, reports, minutes, memoranda,

telegrams diaries, appointment books, log books, desk calendars, notes,

inter-office or intra-office communications, bulletins, charts, circulars, maps,

expense accounts, working papers, surveys, bid materials, stenographers

notebooks, sales reports, price lists, and all other writings and papers similar

to the foregoing, however denominated, including any record or device by means

of which material is recorded or stored, and resume, digest or extract of any

such material.

Section 4

SEC. 4. No action enforcement of any foreign judgment

rendered against any Philippine corporation, entity or individual shall be

entertained or given due course by any Philippine court or administrative body

without prior written clearance from the designated representative(s) of the

President in any of the following:

A judgment for multiple damages or for an amount arrived at by doubling,

trebling or otherwise multiplying a sum assessed as compensation for the loss or

damage sustained by the person in whose favor judgment is rendered arising out

of an alleged anti-trust proceedings;

A judgment based on a provision or rule of law which relates to, or is

concerned with, the prohibition or regulation of agreements, arrangements or

practices designed to restrain, distort or restrict competition in the carrying

on of business of any description, or otherwise relates to, or is concerned

with, the promotion of competition:

A judgment on a claim for contribution in respect of damages awarded by a

judgment falling within paragraph (a) or (b); or

Any proceeding in which any of the restricted documents or information has

been made the basis of or used in evidence to support the judgment

therein.

Section 5

SEC. 5. Any person who is served or issued any requirement,

order, directive or subpoena of any legislative, administrative or judicial

authority in any jurisdiction outside of the Philippines involving said

documents or information shall inform the designated representative(s) of the

President of the Philippines of such service/requirement who shall then

determine whether or not compliance shall be made. For this purpose, the

President of the Philippines shall promulgate rules, regulations and/or

instructions necessary to carry and/or implement the objective of this Decree.

Section 6

SEC. 6. Any person who shall violate the provisions of this

Decree or any order issued by the President/Prime Minister pursuant to this

Decree shall, upon conviction, be punished by imprisonment of not more than

three (3) years or a fine of not more than P100,000.00 or both, in the

discretion of the court, in case the offender is a corporation, partnership or

any juridical entity, the penalty shall be imposed on the officer or officers

authorizing, permitting or tolerating the violation.

Section 7

SEC. 7. All provisions of existing laws, orders, and

regulations contrary to or inconsistent with this Decree are hereby repealed or

modified accordingly.

Section 8

SEC. 8. If, for any reason, any section or provision of this

Decree is declared to be unconstitutional or invalid, the other sections or

provisions of this Decree which are not affected thereby shall continue in full

force and effect.

Section 9

SEC. 9. This Decree shall take effect immediately.

Done in the City of Manila, this 21st day of August, in the year of Our Lord,

nineteen hundred and eighty.

(Sgd.) FERDINAND E. MARCOS

President of the

Philippines

By the President:

(Sgd.) JOAQUIN T. VENUS, JR.

Presidential

Assistant