In estimating the depreciation the effect of the use

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In estimating the depreciation, the effect of the use of the equipment, its actual condition, the age of the model, or other circumstances affecting its value in the market shall be taken into consideration. The foregoing is likewise applicable to any extension or amendment of certificates actually in force and to those which may hereafter be issued, to permits to modify itineraries and time schedules of public services and to authorizations to renew and increase equipment and properties. Sec. 16 (a), Commonwealth Act. 146 – The Commission is empowered to issue certificates of public convenience whenever it finds that the operation of the public service proposed and the authorization to do business will promote the public interests in a proper and suitable manner. Sec. 6, Art. XII, 1935 Consti – the State may, in the interest of national welfare and defense, establish and operate industries and means of transportation and communication, and, upon payment of just compensation, transfer to public utilities and other private enterprises to be operated by the Government. Sec. 8, Art. XIII, 1935 Consti – no franchise, certificate, or any other form of authorization for the operation of a public utility shall be for a longer period than fifty (50) years. Facts: Pangasinan Trans Co. (PTC) has been engaged in the business of transporting passengers for the past 20 years. This is done in the provinces of Pangasinan, Tarlac, Nueva Ecija, and Zambales, by means of motor vehicles commonly known as TPU buses, in accordance with the terms and conditions of the certificates of public convenience issued in its favor by the former Public Utility Commission. On August 1939, PTC filed with the Public Service Commission (PSC) an application for authorization to operate ten additional new Brockway trucks on the ground that they were needed to comply with the terms and conditions of its existing certificates and as a result of the application of the Eight Hour Labor Law. PSC granted the application with two conditions that the certificate of public convenience will only be valid in the duration of 25 years from the promulgation and that the PTC may be acquired by the Commonwealth of the Philippines or by any instrumentality thereof upon payment of the cost price of its useful equipment, less reasonable depreciation to be fixed by the Commission at the time of its acquisition. o PTC did not agree to these conditions and filed a motion for reconsideration but was thereafter denied. The present petition for a writ of certiorari was instituted praying that the court, after hearing, render a decision declaring Sec. 1 of Commonwealth
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Act No. 454 unconstitutional and void; that, if the court should be of the opinion that Sec. 1 is constitutional, a decision be rendered declaring that the provisions thereof are not applicable to valid and subsisting certificates issued prior June 8, 1939 (effectivity of Sec. 1).
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  • Fall '19
  • Government, Separation of Powers, Supreme Court of the United States, The Court, Sc

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