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"We sail for the Glory of God and Country" 15-2 V. Sotto Street corner McArthur Blvd.

Cebu City, Philippines Tel Nos. (032) 422-6559 and telefax no. 343-7411; and 422-6559 February 20, 2014

Alexander Tan President of Island Shipping Corporation Sir: Re: Cockfighting LEGAL OPINION 1. Is cockfighting illegal per se? Answer: No, in fact it is considered as a sport by our local laws. P.D. 1802 creating the Philippine Gamefowl Commission provides that a recognition of the entertainment and attraction to tourism aspects of cockfighting must be coupled with continuous government regulation of such sport. Thus, it is not an absolutely prohibited but merely a regulated sport. (Emphasis supplied) 2. What is policy of the state concerning cockfighting? Answer: The policy of the state concerning the above-mentioned sport is embodied in P.D. 449 or the "Cockfighting Law of 1974, to wit: Section 3. Declaration of Policy. It is hereby declared a policy of the government to insure within the framework of the New Society maximum development and promotion of wholesome recreation and amusement to bring about the following goals: (a) To effectively control and regulate cockfighting towards its establishment as a national recreation, relaxation and source of entertainment; (b) To provide additional revenue for our tourism program; and (c) To remove and prevent excessive and unreasonable business operation and profit considerations in the management of cockpits and, instead preserve Philippine
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customs and traditions and thereby enhance our national identity . (Emphasis supplied) 3. What is required in case a person or a group of persons is/are planning to hold a derby? Answer: It is my humble opinion that the only requirement in holding a derby is to secure a permit in the concerned local government unit. The Local Government Code of the Philippines empowers the local government to regulate cockfighting within their territorial jurisdiction, to wit: SEC. 447. - Powers, Duties, Functions and Compensation. (a) The sangguniang bayan, as the legislative body of the municipality, shall enact ordinances, approve resolutions and appropriate funds for the general welfare of the municipality and its inhabitants pursuant to Section 16 of this Code and in the proper exercise of the corporate powers of the municipality as provided for under Section 22 of this Code, and shall: xxx (3) Subject to the provisions of Book II of this Code, grant franchises, enact ordinances authorizing the issuance of permits or licenses, or enact ordinances levying taxes, fees and charges upon such conditions and for such purposes intended to promote the general welfare of the inhabitants of the municipality, and pursuant to this legislative authority shall: xxx (v) Any law to the contrary notwithstanding, authorize and license the establishment, operation, and maintenance of cockpits, and regulate cockfighting and commercial breeding of gamecocks: Provided, That existing rights should not be prejudiced. (Emphasis supplied) 4. What about the conduct of international cockfight derbies? Answer: In case of international cockfight derbies, the organizer must secure a permit from the Games and Amusement Board. Under the law, the powers of the Games and Amusement Board include: This Board issues, upon compliance with requirements therefor, permits for the holding of international cockfight derbies, accredits cockpit officiating personnel, supervises the actual holding of such promotions and prescribes policy guidelines for the issuance by the Bureau of Animal Industry (BAI) of permits for the importation of foreign-bred gamecocks for competition purposes during such derbies. (Emphasis supplied) 5. Is there a need to register the group of people organizing the event in the Securities and Exchange Commission (SEC) as a business entity, i.e. corporation, before it can hold derbies?
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Answer: It is of my opinion that there is no need to register the organizers as a business entity in the Securities and Exchange Commission before it can hold a derby. The only requirement is to secure the necessary permits in the local government unit or the Games and Amusement Board, as the case maybe. Sincerely yours,

ATTY. JUDIEL M. PAREJA Corporate Counsel

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