Practice question
A qualifying public utility corporation has a ten-member governing body and forty percent genuine foreign capital, with all shares of one ordinary voting class. Five governing-body members are foreign. No exception applies. Which Section 11 issue arises?
- Foreign participation is unlimited once the capital threshold is met.
- Five of ten exceeds the proportionate forty-percent foreign capital share.
- Only the corporation’s logo matters.
- Every director must automatically be a government employee.
- The Constitution requires exactly fifty percent foreign directors.
Legal references
- 1987 Constitution: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/3/353 Article XII, Section 11.
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