ABS-CBN asks SC to dismiss quo warranto

MANILA, Philippines — Media network ABS-CBN yesterday asked the Supreme Court (SC) to dismiss the quo warranto petition filed by the Office of the Solicitor General (OSG), saying that Congress alone is empowered to revoke their legislative franchise. 

In its 58-page Comment Ad Cautelam, ABS-CBN Corp. and ABS-CBN Convergence Inc. asked the high court to deny the application of the OSG for a temporary restraining order (TRO) or writ of preliminary injunction.

The respondents also asked the SC to dismiss the petition on any or all of the foregoing grounds. 

ABS-CBN cited both jurisdictional and procedural grounds as basis in asking the SC to dismiss the petition that calls for the cancellation of their franchise. 

On the jurisdictional grounds, ABS-CBN said the petition for quo warranto under Rule 66 of the 1997 Rules of Civil Procedure may not be brought on the basis of misuse or abuse of a legislative franchise and that Congress is the one empowered to revoke the respective legislative franchises of respondents. Granting the petition would violate the fundamental principle of separation of powers, it said. 

“The petition must be dismissed outright. This Honorable Court does not have jurisdiction to revoke or forfeit respondents’ legislative franchises under the above-mentioned rule relied upon,” ABS-CBN said. 

While it cited as procedural grounds that the filing of the petition directly with the SC violates the doctrine of hierarchy of courts, it also disregards the fundamental rule that the high court is not a trier of facts.

“Also, assuming that the respondents committed the violations alleged in the petition, the Republic’s remedy lies before administrative tribunals,” the network added. 

The media group also believes that the quo warranto petition lacked merit because ABS-CBN did not violate its legislative franchise when it offered the Kapamilya Box Office (KBO) on its digital terrestrial television service, TVPlus.

Neither did ABS-CBN Convergence violate its franchise, it said. 

The ABS-CBN Philippine Depository Receipts (PDRs) also do not violate the foreign ownership restriction under the Constitution or the conditions of the ABS-CBN franchise. 

The respondents explained that the PDRs were registered with and approved by the Securities and Exchange Commission in 1999 and in 2014 before they were sold to the public.

After reviewing the provisions of the PDRs and ultimately finding that these provisions were compliant with Philippine law, the SEC issued Certificates of Permit to Offer Securities for Sale to ABS-CBN Holdings dated Oct. 4, 1999.

It also clarified that the PDRs do not grant ownership of ABS-CBN to foreigners. 

Yesterday, ABS-CBN said Filipinos would be robbed of a vital source of information if the gag order against the network would be implemented. 

The respondents submitted before the SC their comments on the quo warranto and gag order petitions filed by the OSG.