President Rodrigo Duterte has directed the Solicitor General, Department of Justice Secretary, and all legal departments to review all contracts entered by the government with other countries and private entities.
“He directed the the Solicitor General, the Department of Justice Secretary, and all legal departments to review, evaluate, scrutinize every contract entered by the government and/or each agencies with private corporations and/or other countries,” Presidential Spokesperson Salvador Panelo said during April 2 press conference.
He added that the review is to determine whether there are onerous provisions in the contract the will put the Filipino people in disadvantage or in violation of the Constitution.
When asked about the context of the President’s order, Panelo said because during the Ramos administration Maynilad and the government entered a contract which prohibited the government from interfering to the terms of the contract.
He said that the above mentioned prohibition was the reason why the government lost in the arbitration tribunal and was made to pay around 3.5 billion pesos because according to tribunal decision the government intervened to the contract which caused damages to Maynilad.