This case has been cited 2 times or more.
|
2015-09-28 |
VILLARAMA, JR., J. |
||||
| Citing LTFRB v. Stronghold Insurance Company, Inc.,[19] TPVI argues that the right of first refusal and right to top provisions contravene the public policy on competitive public bidding and are valid only in specific cases. In this case, SPC owns a power generation asset (LBGT) and has interest only over the land on which the LBGT is located. TPVI underscores that the right to top in the LBGT does not stand in the same footing as the right to top granted under the other Land Lease Agreements entered into by PSALM, considering the nature of the gas turbine facility it owns. TPVI further contends that aside from SPC's continuous breach of its obligation to operate the Naga LBGT, the right to top provision in the LBGT-LLA provides SPC with the ability to prevent any entity from successfully bidding for and ultimately owning the LBGT and leasing the land. Hence, the Government does not stand to benefit from the right to top provision in the LBGT-LLA. | |||||