Council enacts amnesty program to end lease violations in public market

August 22, 2021 Metro BLISTT

The Baguio City Council has approved on third and final reading an ordinance granting an amnesty program that seeks to put an end to various lease violations in the market stalls or booths that are managed by the city government.
Citing the results of investigations conducted by the Public Order and Safety Division (POSD) and the results of the verification done by the City Treasury Office-Market Division, Councilor Betty Lourdes Tabanda stated that numerous occupants of the market stalls are renting or leasing from the registered leaseholders while some are occupying the stalls due to the death of the leaseholders or by virtue of transfer by sale, mortgage, or waiver.
Such acts are in violation of the city’s Market Code under Tax Ordinance No. 2000-01. Sections 157 and 160 of the
tax ordinance categorically state that the leaseholders shall physically or personally conduct business in the stall subject of the lease.
Section 157 further stipulates that the leaseholder shall not sell, lease, or transfer to other individuals nor permit others to conduct business therein. Section 161 likewise prohibits the subleasing of stalls and the use of dummies.
According to the ordinance, any of these violations shall be sufficient for the cancellation of the contract of lease with the city.
Under the ordinance, an amnesty program for a period of three months shall be granted to concerned stall occupants
and/or actual leaseholders to rectify or act on their violations. After the said period, all arising violations shall be dealt with in accordance with the provisions of the city’s existing tax ordinance.
For the transfer of leasehold rights, the transferee, upon presenting a Deed of Sale, Waiver of Rights, or acknowledgment by the registered leaseholder of the transfer, shall be issued a Contract of Lease, provided that the transferee is personally or physically conducting business in the stall/booth.
For a stall whose registered leaseholder is already deceased, the compulsory heirs of the deceased person must execute an Extra-Judicial Settlement or Waiver of Rights designating a person (who may not necessarily be a compulsory heir) to be the next registered leaseholder.
For a leaseholder who is sub-leasing or mortgaging their stall or using a dummy, they must terminate this relationship.