WHEREAS, in
the pursuit of economic growth and development, it has become
imperative for the Republic of the Philippines to enter into contracts
or transactions with international banking, financial and other foreign
enterprises;chanroblesvirtualawlibrary
WHEREAS, recognizing this need, existing legislation expressly
authorize the Republic of the Philippines to contract foreign
obligations, including borrowings in foreign currency, and to guarantee
foreign obligations of corporations and other entities owned or
controlled by the Government of the Philippines;chanroblesvirtualawlibrary
WHEREAS, circumstances in the international market may require that
sovereign states entering into contracts or transactions make express
waivers of sovereign immunity in connection with such contracts or
transactions;chanroblesvirtualawlibrary
WHEREAS, it is in the national interest that a procedure be prescribed
with respect to the waiver of sovereign immunity of the Republic of the
Philippines in respect of international contracts or transactions
entered into by it: chanroblesvirtualawlibrary
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:cralaw:red
Section 1. Procedure for, and Conditions of, Waiver
of Sovereign Immunity. — In instances where the law expressly
authorizes the Republic of the Philippines to contract or incur a
foreign obligation, it may consent to be sued in connection therewith.
The President of the Philippines or his duly designated representative
may, in behalf of the Republic of the Philippines, contractually agree
to waive any claim to sovereign immunity from suit or legal proceedings
and from set-off, attachment or executive with respect to its property,
and to be sued in any appropriate jurisdiction in regard to such
foreign obligation.
For purposes of this decree, a foreign obligation means any direct,
indirect, or contingent obligation or liability capable of pecuniary
estimation and payable in a currency other than Philippine currency.
Section 2. Validity of existing Waivers. — Nothing in
this Decree shall be construed to revoke or repeal any waiver of
sovereign immunity from suit or legal proceedings or from set-off,
attachment or execution granted under or pursuant to other provisions
of law.
Section 3. Effectivity. — This Decree shall take
effect immediately.
Done in the City of Manila,
this 16th day of January in the year of Our Lord, nineteen hundred and
eighty-one.
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