The Commonwealth era was interrupted when the Japanese occupied the Philippines in January 2, 1942. The Commonwealth government, lead by Manuel L. Quezon and Sergio S. Osmeña went into exile in the U.S., Quezon died of tuberculosis while in exile and Osmeña took over as president. At the same time, the Japanese forces installed a puppet government in Manila headed by Jose P. Laurel as president.

This government is known as the Second Philippine Republic. On October 20, 1944, the Allied forces led by Gen. Douglas MacArthur landed on the island of Leyte to liberate the Philippines from the Japanese. Japan formally surrendered in September 2, 1945.

After liberation, the Commonwealth government was restored. Congress convened in its first regular session on July 9, 1945. It was the first time the people’s representatives have assembled since their election on November 11, 1941.

Manuel Roxas was elected Senate President, and Elpidio Quirino was chosen President Pro Tempore. Jose Zulueta was speaker of the house, while Prospero Sanidad became speaker pro Tempore. The first law of this congress, enacted as commonwealth act 672, organized the central bank of the Philippines.

The commonwealth deal also tackled the issue of collaboration. In September 1945 the counter intelligence corps presented the people who were accused of having collaborated with, or given aid to, the Japanese. Included were prominent Filipinos who had been active in the puppet government that the Japanese had been established. ”A Peoples Court" was created to investigate and decide on the issue.

Amidst this sad state of affairs, the third commonwealth elections were held on April 23, 1946. Sergio Osmeña and Manuel Roxas vied for the Presidency. Roxas won thus becoming the last president of the Philippine Commonwealth. The Commonwealth era formally ended when the United States granted independence to the Philippines, as scheduled on July 4, 1946.