Philippine Bar review · Question

Practice question: Reciprocity

Multiple Choice Medium Jurisprudence

Practice question

A foreign private investor seeks exactly 50% of an entity operating critical infrastructure after classification. Assume no aggregate foreign-ownership or other restriction is at issue. Does Section 25's more-than-50% reciprocity condition arise solely from this holding?
  1. Yes, because exactly 50% means more than 50%.
  2. Yes, because any foreign shareholding triggers the stated threshold.
  3. Yes, because Section 25 prohibits every foreign investment.
  4. No, and the holding is exempt from every other law.
  5. No. Exactly 50% does not exceed the specified threshold.

Legal references

  • RA 11659, Section 25; https://lawphil.net/statutes/repacts/ra2022/ra_11659_2022.html
  • 2023 IRR of RA 11659, Section 45; https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/97017

Answer this question in flashcards to review your response and continue practicing.