No it did not. It side step the issue of its validity although it did suspend it.
"NOW, THEREFORE, effective immediately and continuing until
further orders from this Court, You, Respondents, your agents,
representatives, or persons acting in your place or stead, are hereby
ENJOINED from enforcing or implementing DOJ Department Circular
No. 41 and Watchlist Order Nos. ASM-11-237 dated August 9, 2011, 2011-
422 dated September 6, 2011 and 2011-573 dated October 27, 2011."
No reason was given by the SC.

So the Sc may still change their mind you know. It did not automatically scrap circular nor directly declare it be unconstitutional.