MANILA PRINCE HOTEL

Vs.
GSIS, MANILA HOTEL CORPORATION
G. R. NO. 122156 February 3, 1997
Bellosillo, J;

FACTS:

When respondent Government Service Insurance System (GSIS) pursuant to the

privatization program of the government decided to sell through public bidding 30%
to 51% of its shares of Manila Hotel Corporation. The winning bidder is to provide
management expetise and international marketing/reservation System and financial
support for more profit of MHC.

In a close bidding, two bidders participated: Manila Prince Hotel, A Filipino

Corporation, who offered to buy 51% for P41.58 per share and Renong Berhad, a
Malaysian Firm company who offered to buy P44.00 per share with the same number
of shares as MPH. Pending the award of the winning bidder. Manila Prince Hotel
matched the bid of Renong Berhad with the same number of shares.

Petitioner invoking Section 10, Par. 2 of Article XII of the 1987 Constitution and
submits that Manila hotel has been identified with the Filipino nation and has
practically become a historical monument which reflects the Philippine heritage and
culture. And that the bid should be awarded to Manila Prince Hotel, a Filipino
Company following the “Filipino First Policy” of the constitution.

Respondents finds Sec. 10, Par. 2 of Article XII of Constitution as non-self-executing

provision on the basis that it was a statement of principle and police Thereby, there
is a need for legislation.

ISSUES:

Whether of not Sec. 10, par. 2 Article XII is a self-executing provision.

HELD:

The court ruled in favor of the petitioner on the basis of Sec. 10 par. 2 Article XII is a
self-executing provision, it is a mandatory, positive command which is complete in
itself and do not need any further guidelines or implementing laws or rules for its
enforcement.