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RA 776 CHAPTER IV.—Certificate of Public Convenience and Necessity

Section 11–24 · 14 provisions

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails.Read the official text ↗

Nature, terms and conditions.

Section 11

SEC. 11. Nature, terms and conditions.—A Certificate of Public Convenience and Necessity is a permit issued by the Board authorizing a person to engage in air commerce and/or air transportation, foreign and/or domestic. Any permit may be altered, amended, modified, suspended, cancelled or revoked by the Board in whole or in part, upon complaint or petition or upon the Board's initiative as hereinafter provided, whenever the Board finds such action to be in the public interest. There shall be attached to the exercise of the privileges granted by the permit, or amendment thereto, such reasonable terms, conditions or limitations as, in the judgment of the Board, the public interest may require. No permit shall confer any proprietary, property, or exclusive right in the use of any air space, civil airway, landing area or government air-navigation facility. The permit shall, among others, specify the terminal and intermediate points, if any, between which the air carrier is authorized to operate; the service to be rendered; the time of arrival and departure at each point, and the frequency of flights: Provided, That no change in routes, rates, schedules, or frequency nor supplemental or additional flights to those covered by an Air Commerce Permit or franchise shall be effected without prior approval of the Civil Aeronautics Board. Insofar as the operation is to take place without the Philippines, the permit shall designate the terminal and intermediate points only insofar as the Board shall deem practicable, and otherwise shall designate only the general route or routes to be followed. No carrier shall abandon any route, or part thereof for which a permit has been issued, unless upon findings by the Civil Aeronautics Board that such an abandonment is uneconomical and is in the public interest.

Citizenship requirement.

Section 12

SEC. 12. Citizenship requirement.—Except as otherwise Provided in the Constitution and existing treaty or treaties, Permit authorizing a person to engage in domestic air commerce and/or air transportation shall be issued to citizens of the Philippines.

Conduct of proceedings.

Section 13

SEC. 13. Conduct of proceedings.—The Board shall con¬duct its proceedings in such manner as will be conducive to the proper dispatch of business and to the ends of justice. All hearings and investigations before the Civil Aeronautics Board shall be governed by the rules of procedure adopted by the Board, and in the conduct thereof the Board shall not be bound by the technical rules of evidence.

Delegation of authority to conduct hearings.

Section 14

SEC. 14. Delegation of authority to conduct hearings.— The Board may designate in writing any of its members or any of its officer to conduct hearings and investigations on any matter pending before the Board and for that purpose the person so designated shall have authority to administer oaths, issue subpoena and subpoena duces tecum, require the attendance and testimony of witnesses, examine witnesses, make ocular inspection of or enter into any airline establishment, building, place or premise in the performance of its official business.

Application for permit.

Section 15

SEC. 15. Application for permit.—Application for permit shall be made to the Board in writing and shall be verified. Said application shall be in such form, shall contain such information, and shall be accompanied by such proof of service upon such interested persons as the Board shall by regulation require.

Notice.

Section 16

SEC. 16. Notice.—Upon the filing of any such application, the Board shall give due notice thereof: (1) to the public, by posting a notice of such application in the Office of the Civil Aeronautics Board and by publication once a week for three consecutive weeks, at the expense of the applicant, in a newspaper of general circulation; and (2) to such other persons as the Board may by regulation determine: Provided, however, That notice or publication may be dispensed with by the Board whenever, in its judgment, the public interest so requires. Any interested person may file with the Board a memorandum in support of, or in opposition to, the issuance of the permit.

Time and place of meeting.

Section 17

SEC. 17. Time and place of meeting.—Within a week after the last publication of the application as provided in section 16 of this Act, the Board or its duly designated representative shall set the time and the place for the meeting of the parties interested in said application or their attorneys, and shall notify said parties or their attorneys in writing to appear: Provided, That, if publication has been dispensed with, the Board shall immediately set the time and place for the meeting of the parties.

Non-appearance.

Section 18

SEC. 18. Non-appearance.—If a party interested in the application fails to appear or if no party appears at the designated time and place, the Board or its duly designated representative may proceed ex parte or, in his discretion, adjourn the proceeding for a future date, giving notice to the absent-party or parties of the adjournment.

Depositions.

Section 19

SEC. 19. Depositions.—The Board or its duly designated representatives may, in any investigation or hearing, by order in writing, cause the depositions of witnesses re¬siding within or without the Philippines to be taken in the manner prescribed by the Rules of Court. Witnesses whose depositions are necessary shall be entitled to mileage fees at the same rates as those allowed in the Courts of First Instance.

Hearings and records of proceedings.

Section 20

SEC. 20. Hearings and records of proceedings.—Hearings on all applications shall he open to the public unless the Board shall determine otherwise for reasons of national security. Proceedings shall be recorded in such form and manner as may be determined by the Board and the record of proceedings shall become part of the records of the application.

Issuance of permit.

Section 21

SEC. 21. Issuance of permit.—The Board shall issue a permit authorizing the whole or any part of the service covered by the application, if it finds: (1) that the applicant is fit, willing and able to perform such service properly in conformity with the provisions of this Act and foe rules, regulations, and requirements issued thereunder; and (2) that such service is required by the public conve¬nience and necessity; otherwise the application shall be denied.

Modification, suspension or revocation.

Section 22

SEC. 22. Modification, suspension or revocation.—The Board, upon petition or complaint or upon its own initiative, may, by order entered after notice and opportunity for hearing, alter, amend, modify or suspend any permit in whole or in part, if public convenience and necessity so require; or may revoke any permit, in whole or in part, for intentional failure to comply with any provision of this Act or any order, rule or regulation issued thereunder, or any term, condition or limitation of such permit: Provided, That the Board, for good cause, may, by order without notice and hearing suspend, for a period not to exceed thirty days, any permit or the exercise of any privilege or authority issued or granted under this Act whenever such step shall, in the judgment of the Board, be necessary to avoid serious or irreparable damage or inconvenience to the public. Any interested person may file with the Board a protest or memorandum in support of or in opposition to the alteration, amendment, modification, suspension, or revocation of any permit.

Transfer of permit.

Section 23

SEC. 23. Transfer of permit.—No permit may be transferred unless such transfer is approved by the Board as being consistent with the public interest.

Effective date and duration of permit.

Section 24

SEC. 24. Effective date and duration of permit.—Each permit shall be effective from the date specified therein and shall continue in effect until suspended or revoked or until the Board shall certify that operation thereunder has ceased: Provided, That, if any service authorized by a permit is not inaugurated within a period of ninety days after the date of authorization as shall be fixed by the Board or after such other period as may be designated by the Board, the Board may by order direct that such permit shall thereupon cease to be effective to the extent of such service: Provided, further, That no permit shall be issued for a period of more than twenty-five (25) years.

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Provisions on this page are reproduced verbatim from official open data. See the attribution line.

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).