What is the principle regarding the applicability of Philippine laws to a foreign corporation lawfully doing business in the country?
A foreign corporation lawfully transacting business in the Philippines shall be bound by all laws, rules and regulations applicable to domestic corporations of the same class (SEC. 146, Revised Corporation Code of the Philippines). This mandate requires foreign entities to adhere to the same operational and regulatory standards as their domestic counterparts. However, this application of Philippine law does not extend to laws that govern the creation, formation, organization, or dissolution of corporations. It also exempts laws that fix the relations, liabilities, responsibilities, or duties of stockholders, members, or officers of corporations to each other or to the corporation itself, as these matters are governed by the foreign entity’s home country law.
30 October 2025
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Nicolas and De Vega Law Offices is a full-service law firm in the Philippines. You may visit us at the 16th Flr., Suite 1607 AIC Burgundy Empire Tower, ADB Ave., Ortigas Center, 1605 Pasig City, Metro Manila, Philippines. You may also call us at +632 84706126, +632 84706130, +632 84016392 or e-mail us at [email protected]. Visit our website https://ndvlaw.com/.
