BIZ BUZZ: Term limit tussle heats up

It looks like the legal battle between GMA Network Inc. and the Securities and Exchange Commission (SEC) over boardroom term is far from over.

A court has denied GMA’s plea for a temporary restraining order (TRO) against the SEC’s controversial term limit rule for independent directors.

The case, now pending before a Makati court, stems from GMA’s petition to nullify SEC Memorandum Circular No. 7, which imposes tenure limits on independent directors.

But here’s the twist: while the TRO was denied, the court still set a hearing for a possible writ of preliminary injunction on April 16—meaning the fight is very much alive.

Behind the scenes, the regulator is standing firm. The SEC, through the Office of the Solicitor General, has already opposed GMA’s petition in open court.

GMA, for its part, argues that the rule forces companies into a scramble—particularly in replacing long-serving independent directors without sufficient vetting time.

The network cited the need to delay its 2026 annual stockholders’ meeting to December, buying time to comply with the rule while the case unfolds.

Still, the SEC appears unmoved, pushing ahead with reforms aimed at strengthening corporate governance and independence.

For now, it’s a waiting game. Next week’s hearing could determine whether GMA gets temporary relief—or if the SEC’s rule continues to bite.

One thing is clear: This isn’t just about one network. It’s a broader test of how far regulators can go in reshaping boardroom power.

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