Flashcards Studio

A Netherlands-based software firm, OndraTech BV, enters into a non-solicitation agreement with PixelEdge Philippines, a domestic distributor, to restrict recruitment of software engineers from competing firms in the Philippine market. Negotiations occur at a conference in Singapore, but the agreement is implemented through OndraTech’s Philippine distributor and its PH-based online portal, resulting in a reduced pool of Philippine engineers and broader market effects locally. (a) Identify the governing rule in Sec. 4 of RA 10667 on definitions and scope of application, with particular emphasis on extraterritorial reach. (b) Does the Philippine Competition Commission have jurisdiction over OndraTech BV and PixelEdge Philippines for conduct affecting the Philippines? Apply the rule. (c) If the same conduct occurred entirely outside the Philippines and produced no direct or substantial effects in the Philippines, would Sec. 4 apply? Explain the distinction between acts with effects in the Philippines and acts entirely abroad.