February 2012 Philippine Supreme Court Decisions on Labor Law and Procedure

Here are select February 2012 rulings of the Supreme Court on labor law and procedure:

Appeal; factual finding of NLRC. Findings of fact of administrative agencies and quasi-judicial bodies, which have acquired expertise because their jurisdiction is confined to specific matters, are generally accorded not only respect but finality when affirmed by the Court of Appeals. Factual findings of quasi-judicial bodies like the NLRC, if supported by substantial evidence, are accorded respect and even finality by the Supreme Court, more so when they coincide with those of the Labor Arbiter. Such factual findings are given more weight when the same are affirmed by the Court of Appeals. In the present case, the Supreme Court found no reason to depart from these principles since the Labor Arbiter found that there was substantial evidence to conclude that Oasay had breached the trust and confidence of Palacio Del Gobernador Condominium Corporation, which finding the NLRC had likewise upheld. Sebastian F. Oasay, Jr. vs. Palacio del Gobernador Condominium Corporation and Omar T. Cruz, G.R. No. 194306, February 6, 2012.

Civil Service; Clark Development Corporation. Clark Development Corporation (CDC) owes its existence to Executive Order No. 80 issued by then President Fidel V. Ramos. It was meant to be the implementing and operating arm of the Bases Conversion and Development Authority tasked to manage the Clark Special Economic Zone. Expressly, CDC was formed in accordance with Philippine corporation laws and existing rules and regulations promulgated by the Securities and Exchange Commission pursuant to Section 16 of Republic Act 7227. CDC, a government owned or controlled corporation without an original charter, was incorporated under the Corporation Code. Pursuant to Article IX-B, Sec. 2(1) of the Constitution, the civil service embraces only those government owned or controlled corporations with original charter. As such, CDC and its employees are covered by the Labor Code and not by the Civil Service Law. Antonio B. Salenga, et al. vs. Court of Appeals, et al., G.R. No. 174941, February 1, 2012.

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May 2011 Philippine Supreme Court Decisions on Political Law

Here are selected May 2011 rulings of the Supreme Court of the Philippines on political law.

Constitutional Law

Declaration of unconstitutionality; doctrine of operative fact.  An unconstitutional act is not a law; it confers no rights; it imposes no duties; it affords no protection; it creates no office; it is inoperative as if it has not been passed at all.  The doctrine of operative fact is an exception this rule.  It applies as a matter of equity and fair play, and nullifies the effects of an unconstitutional law by recognizing that the existence of a statute prior to a determination of unconstitutionality is an operative fact and may have consequences that cannot always be ignored. It applies when a declaration of unconstitutionality will impose an undue burden on those who have relied on the invalid law.  The doctrine cannot be applied to this case, as to hold otherwise would be iniquitous to petitioner who was illegally dismissed from employment and would allow his employer to profit from a violation of an unconstitutional provision of law.  Claudio S. Yap v. Thenamaris Ship’s Management and Intermare Maritime Agencies, Inc., G.R. No. 179532. May 30, 2011.

Judicial review; review of executive policy.  Petitioner here seeks judicial review of a question of Executive policy, which the Court ruled is outside its jurisdiction.  Despite the definition of judicial power under Section 1, Article VIII of the Constitution, the determination of where, as between two possible routes, to construct a road extension is not within the province of courts.  Such determination belongs exclusively to the Executive branch.  Barangay Captain Beda Torrecampo v. Metropolitan Waterworks and Sewerage System, et al., G.R. No. 188296. May 30, 2011.

Administrative Law; Public Officers

Administrative cases; due process.  Petitioners argue that they were denied due process because their order of dismissal was not accompanied by any justification from the Board of Directors of Philippine Estates Authority, which merely relied on the findings of the Presidential Anti-Graft Commission.  The Court dismissed this argument on the basis that petitioners were given the opportunity to be heard in the course of PAGC’s investigation.  The essence of due process in administrative proceedings is the opportunity to explain one’s side or seek a reconsideration of the action or ruling complained of, and to submit any evidence a party may have in support of his defense. The demands of due process are sufficiently met when the parties are given the opportunity to be heard before judgment is rendered.  Petitioners here actively participated in the proceedings before PAGC where they were afforded the opportunity to explain their actions through their memoranda.  The essence of due process is the right to be heard and this evidently was afforded to them.  Theron V. Lacson v. The Hon. Executive Secretary, et al./Jaime R. Millan and Bernardo T. Viray v. The Hon. Executive Secretary, et al., G.R. No. 165399 & 165475/G.R. No. 165404 & 165489. May 30, 2011.

February 2011 Philippine Supreme Court Decisions on Political Law

Here are selected February 2011 rulings of the Supreme Court of the Philippines on political law.

Constitutional Law

Administrative cases; right to be presumed innocent. The trial court was correct in declaring that respondents had the right to be presumed innocent until proven guilty. This means that an employee who has a pending administrative case filed against him is given the benefit of the doubt and is considered innocent until the contrary is proven. In this case, respondents were placed under preventive suspension for 90 days from 23 May 2002 to 21 August 2002. After serving the period of their preventive suspension and without the administrative case being finally resolved, respondents should have been reinstated and entitled to the grant of step increment. The Board of Trustees of the Government Service Insurance System, et al. v. Albert M. Velasco, et al. G.R. No. 170463, February 2, 2011.

Equal Protection; valid classification. Petitioners argue that there is no substantial distinction between municipalities with pending cityhood bills in the 11th Congress and municipalities that did not have pending bills, such that the mere pendency of a cityhood bill in the 11th Congress is not a material difference to distinguish one municipality from another for the purpose of the income requirement. The SC held that the purpose of the enactment of R.A. No 9009 was merely to stop the “mad rush of municipalities wanting to be converted into cities” and the apprehension that before long the country will be a country of cities and without municipalities. It found that the imposition of the P100 million average annual income requirement for the creation of component cities was arbitrarily made as there was no evidence or empirical data, such as inflation rates, to support the choice of this amount.  The imposition of a very high income requirement of P100 million, increased from P20 million, was simply to make it extremely difficult for municipalities to become component cities. The SC also found that substantial distinction lies in the capacity and viability of respondent municipalities to become component cities of their respective provinces.  Congress, by enacting the Cityhood Laws, recognized this capacity and viability of respondent municipalities to become the State’s partners in accelerating economic growth and development in the provincial regions, which is the very thrust of the LGC, manifested by the pendency of their cityhood bills during the 11th Congress and their relentless pursuit for cityhood up to the present. League of Cities of the Phil. etc., et al. v. COMELEC, et al./League of Cities of the Phil. etc., et al. v. COMELEC, et al./League of Cities of the Phil. etc., et al. v. COMELEC, et al. G.R. No. 176951/G.R. No. 177499/G.R. No. 178056, February 15, 2011.

January 2011 Philippine Supreme Court Decisions on Political Law

Here are selected January 2011 rulings of the Supreme Court of the Philippines on political law:

Constitutional Law

Bill of Rights; Rights under custodial investigation. As found by the Court of Appeals, (1) there is no evidence of compulsion or duress or violence on the person of Nagares; (2) Nagares did not complain to the officers administering the oath during the taking of his sworn statement; (3) he did not file any criminal or administrative complaint against his alleged malefactors for maltreatment; (4) no marks of violence were observed on his body; and (5) he did not have himself examined by a physician to support his claim. Moreover, appellant’s confession is replete with details, which, according to the SC, made it highly improbable that it was not voluntarily given. Further, the records show that Nagares was duly assisted by an effective and independent counsel during the custodial investigation in the NBI. As found by the Court of Appeals, after Nagares was informed of his constitutional rights, he was asked by Atty. Esmeralda E. Galang whether he accepts her as counsel. During the trial, Atty. Galang testified on the extent of her assistance. According to her, she thoroughly explained to Nagares his constitutional rights, advised him not to answer matters he did not know, and if he did not want to answer any question, he may inform Atty. Galang who would be the one to relay his refusal to the NBI agents. She was also present during the entire investigation. Thus, the SC held that there was no duress or violence imposed on the person of Nagares during the custodial investigation and that Nagares was duly assisted by an independent counsel during such investigation in the NBI. People of the Philippines vs. Rodolfo Capitle and Arutor Nagares, G.R. No. 175330, January 12, 2010.

Bill of Rights; Double jeopardy. As a rule, a judgment of acquittal cannot be reconsidered because it places the accused under double jeopardy. On occasions, however, a motion for reconsideration after an acquittal is possible.  But the grounds are exceptional and narrow as when the court that absolved the accused gravely abused its discretion, resulting in loss of jurisdiction, or when a mistrial has occurred. In any of such cases, the State may assail the decision by special civil action of certiorari under Rule 65. Here, although complainant Vizconde invoked the exceptions, he was not able to bring his pleas for reconsideration under such exceptions. Complainant Vizconde cited the decision in Galman v. Sandiganbayan as authority that the Court can set aside the acquittal of the accused in the present case.  But the Court observed that the government proved in Galman that the prosecution was deprived of due process since the judgment of acquittal in that case was “dictated, coerced and scripted.”  It was a sham trial.  In this case, however, Vizconde does not allege that the Court held a sham review of the decision of the CA.  He has made out no case that the Court held a phony deliberation such that the seven Justices who voted to acquit the accused, the four who dissented, and the four who inhibited themselves did not really go through the process. Antonio Lejano vs. People of the Philippines / People of the Philippines vs. Hubert Jeffrey P. Webb, et al., G.R. No. 176389/G.R. No. 176864. January 18, 2011.

August 2010 Philippine Supreme Court Decisions on Political Law

Here are selected August 2010 rulings of the Supreme Court of the Philippines on political law:

Constitutional Law

Civil Service Commission; jurisdiction. The civil service encompasses all branches and agencies of the Government, including government-owned or controlled corporations with original charters, like the Government Service Insurance System (GSIS), or those created by special law. Thus, GSIS employees are part of the civil service system and are subject to the law and to the circulars, rules and regulations issued by the Civil Service Commission (CSC) on discipline, attendance and general terms and conditions of employment. The CSC has jurisdiction to hear and decide disciplinary cases against erring employees. Winston F. Garcia vs. Mario I. Molina, et al./Winston F. Garcia vs. Mario I. Molina, et al., G.R. No. 157383/G.R. No. 174137, August 18, 2010.

Double compensation. Section 8, Article IX-B of the Constitution provides that no elective or appointive public officer or employee shall receive additional, double or indirect compensation, unless specifically authorized by law, nor accept without the consent of the Congress, any present emolument, office or title of any kind from any foreign government.  Pensions and gratuities shall not be considered as additional, double or indirect compensation. This provision, however, does not apply to the present case as there was no double compensation to the petitioners. The questioned resolutions of the Monetary Board are valid corporate acts of petitioners that became the bases for granting them additional monthly representation and transportation allowance (RATA), as members of the Board of Directors of Philippine International Convention Center Inc. (PICCI), a government corporation whose sole stockholder is the Bangko Sentral ng Pilipinas (BSP). RATA is distinct from salary as a form of compensation.  Unlike salary which is paid for services rendered, RATA is a form of allowance intended to defray expenses deemed unavoidable in the discharge of office.  Hence, RATA is paid only to certain officials who, by the nature of their offices, incur representation and transportation expenses.  Indeed, aside from the RATA that they have been receiving from the BSP, the grant of RATA to each of the petitioners for every board meeting they attended, in their capacity as members of the Board of Directors of PICCI, in addition to their per diem, does not violate the constitutional proscription against double compensation. Gabriel C. Singson, et al. vs. Commission on Audit, G.R. No. 159355, August 9, 2010.

Eminent domain; voluntary agreement by landowner. Where the landowner agrees voluntarily to the taking of his property by the government for public use, he thereby waives his right to the institution of a formal expropriation proceeding covering such property. Failure for a long time of the owner to question the lack of expropriation proceedings covering a property that the government had taken constitutes a waiver of his right to gain back possession. The landowner’s remedy in such case is an action for the payment of just compensation, not ejectment. Here, the Court of Appeals erred in ordering the eviction of petitioner from the property that it has held as government school site for more than 50 years. The evidence on record shows that the respondents intended to cede the property to the City Government of Lipa permanently. In fact, they allowed the city to declare the property in its name for tax purposes. And when they sought to have the bigger lot subdivided, the respondents earmarked a specific portion for the City Government of Lipa. Under the circumstances, it may be assumed that the respondents had agreed to transfer ownership of the land to the government, whether to the City Government of Lipa or to the Republic of the Philippines, but the parties never formalized and documented such transfer. Consequently, petitioner should be deemed entitled to possession pending the respondents’ formal transfer of ownership to it upon payment of just compensation. Republic of the Philippines vs. Primo Mendoza and Maria Lucero, G.R. No. 185091, August 8, 2010.

March 2010 Philippine Supreme Court Decisions on Remedial Law

Here are selected March 2010 rulings of the Supreme Court of the Philippines on remedial law:

Civil Procedure

Actions; action for reformation of instrument; requisites. For an action for reformation of instrument to prosper, the following requisites must concur: (1) there must have been a meeting of the minds of the parties to the contract; (2) the instrument does not express the true intention of the parties; and (3) the failure of the instrument to express the true intention of the parties is due to mistake, fraud, inequitable conduct or accident.  Petitioner having admitted the existence and execution of the instrument, what remains to be resolved is whether the contract expressed the true intention of the parties; if not, whether it was due to mistake, fraud, inequitable conduct or accident.  The onus probandi is upon the party who insists that the contract should be reformed.  Notarized documents, like the deed in question [i.e., “Sale and Transfer of Rights over a Portion of a Parcel of Land”], enjoy the presumption of regularity which can be overturned only by clear, convincing and more than merely preponderant evidence.  This petitioner failed to discharge.  Flordeliza Emilio vs. Bilma Rapal, G.R. No. 181855, March 30, 2010.

Actions; annulment of judgment. The Court finds that petitioner properly availed of the remedy of a petition for annulment of judgment in challenging the Manila RTC Decision.  In his petition with the appellate court, he did not limit his ground to extrinsic fraud, as he invoked as well the Manila RTC’s lack of jurisdiction to annul the proceedings in the Pagadian RTC which is a court of co-equal and coordinate jurisdiction.  Since petitioner’s petition raised lack of jurisdiction, he did not have to allege that the ordinary remedies of new trial, reconsideration or appeal were no longer available through no fault of his.  This is so because a judgment rendered or final order issued by the RTC without jurisdiction is null and void and may be assailed any time either collaterally or in a direct action, or by resisting such judgment or final order in any action or proceeding whenever it is invoked.  Jose Cabaral Tiu v. First Plywood Corporation/Jose Cabaral Tiu vs. Timber Exports, Inc. Angel Domingo, Country Bankers Ins. Corp., Perfecto Mondarte, Jr. and Cesar Dacal, G.R. No. 176123/G.R. No.  185265, March 10, 2010

Actions; attack on title. The petitioners contend that this action for quieting of title should be disallowed because it constituted a collateral attack on OCT No. RO-9969-(O-20449), citing Section 48 of Presidential Decree No. 1529, viz:

Section 48. Certificate not subject to collateral attack.– A certificate of title shall not be subject to collateral attack. It cannot be altered, modified, or cancelled except in a direct proceeding in accordance with law.

The petitioners’ contention is not well taken.  An action or proceeding is deemed an attack on a title when its objective is to nullify the title, thereby challenging the judgment pursuant to which the title was decreed.  The attack is direct when the objective is to annul or set aside such judgment, or enjoin its enforcement. On the other hand, the attack is indirect or collateral when, in an action to obtain a different relief, an attack on the judgment is nevertheless made as an incident thereof.  Teofisto Oño, et al. vs. Vicente N. Lim, G.R. No. 154270, March 9,  2010

February 2010 Philippine Supreme Court Decisions on Political Law

Here are selected February 2010 rulings of the Supreme Court of the Philippines on political law:

Constitutional Law

Equal protection;  requisites. The equal protection clause does not require the universal application of the laws to all persons or things without distinction. What it simply requires is equality among equals as determined according to a valid classification. The test developed by jurisprudence here and yonder is that of reasonableness, which has four requisites:

(1) The classification rests on substantial distinctions;

(2) It is germane to the purposes of the law;

(3) It is not limited to existing conditions only; and

(4) It applies equally to all members of the same class.

The assailed Decision readily acknowledged that these deemed-resigned provisions satisfy the first, third and fourth requisites of reasonableness. It, however, proffers the dubious conclusion that the differential treatment of appointive officials vis-à-vis elected officials is not germane to the purpose of the law.  Eleazar P. Quinto and Gerino A. Tolentino, Jr. vs. Commission on Elections, G.R. No. 189698, February 22, 2010.

Expropriation;  private use.  It is well settled that the taking of private property by the Government’s power of eminent domain is subject to two mandatory requirements: (1) that it is for a particular public purpose; and (2) that just compensation be paid to the property owner. These requirements partake of the nature of implied conditions that should be complied with to enable the condemnor to keep the property expropriated.

More particularly, with respect to the element of public use, the expropriator should commit to use the property pursuant to the purpose stated in the petition for expropriation filed, failing which, it should file another petition for the new purpose. If not, it is then incumbent upon the expropriator to return the said property to its private owner, if the latter desires to reacquire the same. Otherwise, the judgment of expropriation suffers an intrinsic flaw, as it would lack one indispensable element for the proper exercise of the power of eminent domain, namely, the particular public purpose for which the property will be devoted. Accordingly, the private property owner would be denied due process of law, and the judgment would violate the property owner’s right to justice, fairness, and equity.

In light of these premises, we now expressly hold that the taking of private property, consequent to the Government’s exercise of its power of eminent domain, is always subject to the condition that the property be devoted to the specific public purpose for which it was taken. Corollarily, if this particular purpose or intent is not initiated or not at all pursued, and is peremptorily abandoned, then the former owners, if they so desire, may seek the reversion of the property, subject to the return of the amount of just compensation received. In such a case, the exercise of the power of eminent domain has become improper for lack of the required factual justification.  Mactan-Cebu International Airport Authority (MCIAA) and Air Transportation Office (ATO) vs. Bernardo Lozada, et al., G.R. No. 176625, February 25, 2010.

Gerrymandering; meaning. “Gerrymandering” is a term employed to describe an apportionment of representative districts so contrived as to give an unfair advantage to the party in power. Fr. Joaquin G. Bernas, a member of the 1986 Constitutional Commission, defined “gerrymandering” as the formation of one legislative district out of separate territories for the purpose of favoring a candidate or a party. The Constitution proscribes gerrymandering, as it mandates each legislative district to comprise, as far as practicable, a contiguous, compact and adjacent territory.

As stated by the Office of the Solicitor General, the Province of Dinagat Islands consists of one island and about 47 islets closely situated together, without the inclusion of separate territories. It is an unsubstantiated allegation that the province was created to favor Congresswoman Glenda Ecleo-Villaroman.  Rodolfo G. Navarro, et al. vs. Executive Secretary Eduardo Ermita, et al., G.R. No. 180050, February 10, 2010.

House of Representative Electoral Tribunal (HRET);  jurisdiction. The HRET has jurisdiction over the question of qualifications of petitioners Abayon and Palparan as nominees of Aangat Tayo and Bantay party-list organizations, respectively, who took the seats at the House of Representatives that such organizations won in the 2007 elections.

Section 17, Article VI of the Constitution provides that the HRET shall be the sole judge of all contests relating to, among other things, the qualifications of the members of the House of Representatives. Since party-list nominees are “elected members” of the House of Representatives no less than the district representatives are, the HRET has jurisdiction to hear and pass upon their qualifications. By analogy with the cases of district representatives, once the party or organization of the party-list nominee has been proclaimed and the nominee has taken his oath and assumed office as member of the House of Representatives, the COMELEC’s jurisdiction over election contests relating to his qualifications ends and the HRET’s own jurisdiction begins.  Electoral Tribunal, et al. /Congressman Jovito S. Palparan, Jr. vs. House of Representatives Electoral Tribunal (HRET), et al., G.R. No. 189466/G.R. No. 189506,. February 11, 2010.