AN ACT CREATING THE PHILIPPINE LICENSING BOARD FOR CONTRACTORS
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AN ACT CREATING THE PHILIPPINE LICENSING BOARD FOR CONTRACTORS
Republic Act No. 4566
June 19, 1965
Case Overview and Summary
Summary of Republic Act No. 4566 (Contractors' License Law):Title and Administration
- This Act is known as the "Contractors' License Law".
- It creates the Philippine Licensing Board for Contractors under the Board of Examiners. (Sec. 1-2)
- The Board consists of a Chairman and two members appointed by the President. (Sec. 2)
- Members must have 10+ years of experience in contracting, be Filipino citizens, residents for 8+ years, 35+ years old, and of good moral character. (Sec. 3)
- The Chairman and members have 3-year terms, with initial staggered terms. (Sec. 4)
- The Board has powers to issue, suspend, and revoke licenses, investigate violations, issue subpoenas, adopt a code of ethics, and make rules with Presidential approval. (Sec. 5)
Application of the Act
- Defines key terms like "persons", "contractor", "general engineering contractor", "general building contractor", and "specialty contractor". (Sec. 9)
- Exempts authorized government representatives, finished product installations, personal property work, minor work under ₱10,000, architects/engineers acting professionally, and material suppliers. (Sec. 10-15)
Classifications
- Contracting business includes general engineering, general building, and specialty contracting. (Sec. 16)
- The Board can classify contractors and limit their scope of operations. Contractors can be classified in multiple categories. (Sec. 17)
- Specialty contractors can perform incidental work in other trades. (Sec. 18)
Licensing
- The Board can examine and qualify applicants for contractors' licenses. (Sec. 19)
- Applicants must have 2+ years of experience, knowledge of relevant laws and business principles. Firms can qualify through a responsible managing officer. (Sec. 20)
- Licensees must notify the Board within 10 days of personnel changes or face suspension. (Sec. 21-22)
- The Board issues licenses upon application, fee payment, and examination/investigation. (Sec. 23)
- Provisions for partnership continuance after death, and exemption from examination for experienced contractors. (Sec. 24-25)
Records and Disciplinary Action
- The Board publishes a list of licensed contractors annually. (Sec. 26)
- Licensees must report changes in personnel, name, style or address within 30 days. (Sec. 27)
- Causes for disciplinary action include abandonment, plan violations, misrepresentation, aiding unlicensed practice, non-compliance, fraud, and participation in violations by a firm. (Sec. 28)
Disciplinary Proceedings
- The Board investigates complaints against contractors and can suspend or revoke licenses. (Sec. 29)
- Accusations must be filed within 1 year, except for fraud (2 years after discovery). (Sec. 30)
- The Board can lift suspensions upon compliance, and renew revoked licenses after 1 year if conditions are met. (Sec. 31)
- The Board retains jurisdiction over lapsed, suspended or surrendered licenses. (Sec. 32)
Enforcement and Penalties
- Law enforcement officers must enforce the Act and report violations. (Sec. 33)
- The Board can secure injunctions against unlicensed contractors. (Sec. 34)
- Unlicensed practice, misrepresentation, impersonation or use of revoked license is punishable by ₱500-5,000 fine. (Sec. 35)
Miscellaneous Provisions
- Bidding documents must include licensing requirements. (Sec. 36)
- Individual licenses are required for responsible managing partners/employees. (Sec. 37)
- Joint licenses are required for joint venture bids by multiple licensees. (Sec. 38)
Fees
- ₱50 for original license, ₱60 for examination, ₱50 for annual renewal. (Sec. 39)
Renewal of Licenses
- Licenses must be renewed annually by June 30, with late fee of ₱20 after that date. (Sec. 40)
- Licenses suspended for over 1 year cannot be renewed. (Sec. 41)
Special Provisions
- Separability clause for unconstitutional provisions. (Sec. 42)
- Repeals inconsistent laws. (Sec. 43)
- Effectivity upon approval. (Sec. 44)
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AN ACT CREATING THE PHILIPPINE LICENSING BOARD FOR CONTRACTORS
Republic Act No. 4566
•June 19, 1965
REPUBLIC ACT No. 4566
AN ACT CREATING THE PHILIPPINE LICENSING BOARD FOR CONTRACTORS, PRESCRIBING ITS POWERS, DUTIES AND FUNCTIONS, PROVIDING FUNDS THEREFOR, AND FOR OTHER PURPOSES.
Section 1. Title of Act. This Act shall be known as the "Contractors' License Law."
ARTICLE IAdministration
Section 2. Composition of the Board. To carry out the purpose of this Act, there is hereby created a "Philippine Licensing Board for Contractors", under the office of the Board of Examiners, hereinafter referred to as the Board, consisting of a Chairman and two other members who shall be appointed by the President of the Philippines, with the consent of the Commission on Appointments.
Section 3. Qualifications of members. Each member of the Board shall be of recognized standing in his branch of the contracting business for ten years, or more, a citizen and resident of the Philippines for at least eight years immediately prior to his appointment, at least thirty-five years of age and possessed of a good moral character.
Section 4. Term of office. The Chairman and members of the...
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