Posted on 07/22/2013 6:30:26 PM PDT by TexGrill
MANILA, Philippines - International forwarding firm Federal Express (FedEx) said Monday it will continue operating in the Philippines until a final ruling is issued by the Supreme Court on its operations.
In a statement, FedEx said it is operating as an independent body in the Philippines under a International Freight Forwarder License issued by the Civil Aviation Board (CAB).
The license was issued on May 2, 2011 and is valid until May 1, 2016, FedEx said.
The company issued the statement in reaction to a report that the Court of Appeals (CA) had voided its permit, effectively stopping the firm’s operations in the Philippines.
The CA ruled with finality that FedEx operations in the country violate the constitutional ban on foreign ownership of firms delivering public utility services.
Pending the final decision of the Supreme Court, the CAB has confirmed that FedEx, together with all of the more than 30 other foreign-owned airfreight forwarders, can continue to operate under the license.
(Excerpt) Read more at abs-cbnnews.com ...
If governments want to give up access to FedEx and cause their businesses to lose business, so be it.
If I were FedEx, I would cease operations as soon as the last parcel from these hell holes is delivered.
Plenty of other freight from plenty of other places to take up the slack.
U.S. courts or Philippine courts?
Philippine courts.
I wonder that they can get any foriegn investors to take the chance at all.
We have a vacation/retirement home in the Philippines but it is wholly owned by my wife, a Philippine citizen.
I imagine there is a lot of corruption that goes on with any foreign-based operation seeking a 51% Philippine partner.
“We have a vacation/retirement home in the Philippines but it is wholly owned by my wife, a Philippine citizen.”
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While no foreigner can own property or business here, one CAN lease property, and own a home that he builds on it.
I knew a Brit that got a 99 yr. lease and proceeded to build three houses. Unfortunately, he died before the any house was completed.
I do not know the rules for international corporations operating here.
I have no desire to own property here. I have a son that is
both an American and Philippine citizen. He can own the property for a future family. He is not yet 3 yrs old.
“The other 51% has to be owned by Philippine citizen/s.”
I head to the RP every year and I heard about that requirement. Reminds me of one of my Fil friends who intentionally acquired an RP passport so he could get a hold of a commercial property near Subic and his attorney said he shouldn’t have done that.
Yes there is.
One reason that these laws persist.
This is a long standing problem. These laws are very old, dating from 1946, and in some cases earlier.
They have indeed limited economic development, which is widely acknowledged in the country.
But they persist due to both a general public xenophobia, particularly against Chinese, to a long leftist tradition of anti colonial agitation, and because it suits wealthy interests as a barrier to entry and a source of graft.
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