Beruflich Dokumente
Kultur Dokumente
SYLLABUS
3. ID.; ID.; ID.; RATIONALE. The clear object of Article 2 of the Civil
Code is to give the general public adequate notice of the various laws
which are to regulate their actions and conduct as citizens. Without
such notice and publication, there would be no basis for the application
of the maxim "ignorantia legis non excusat." It would be the height of
injustice to punish or otherwise burden a citizen for the transgression
of a law of which he had no notice whatsoever, not even a constructive
one.
2. ID.; ID.; ID.; ID.; REQUIREMENT IN ART. 2 CIVIL CODE DOES NOT
HAVE THE JUDICIAL FORCE OF A CONSTITUTIONAL COMMAND. The
Chief Justices qualified concurrence goes no further than to affirm that
publication is essential to the effectivity of a legislative or executive
act of a general application. He is not in agreement with the view that
such publication must be in the Official Gazette. The Civil Code itself in
its Article 2 expressly recognizes that the rule as to laws taking effect
after fifteen days following the completion of their publication in the
Official Gazette is subject to this exception, "unless it is otherwise
provided." Moreover, the Civil Code is itself only a legislative
enactment, Republic Act No. 386. It does not and cannot have the
juridical force of a constitutional command. A later legislative or
executive act which has the force and effect of law can legally provide
for a different rule.
DECISION
ESCOLIN, J.:
a] Presidential Decrees Nos. 12, 22, 37, 38, 59, 64, 103, 171, 179,
184, 197, 200, 234, 265, 286, 298, 303, 312, 324, 325, 326, 337,
355, 358, 359, 360, 361, 368, 404, 406, 415, 427, 429, 445, 447,
473, 486, 491, 503, 504, 521, 528, 551, 566, 573, 574, 594, 599,
644, 658, 661, 718, 731, 733, 793, 800, 802, 835, 836, 923, 935,
961, 1017-1030, 1050, 1060-1061, 1085, 1143, 1165, 1166, 1242,
1246, 1250, 1278, 1279, 1300, 1644, 1772, 1808, 1810, 1813-1817,
1819-1826, 1829-1840, 1842-1847.
b] Letter of Instructions Nos.: 10, 39, 49, 72, 107, 108, 116, 130,
136, 141, 150, 153, 155, 161, 173, 180, 187, 188, 192, 193, 199,
202, 204, 205, 209, 211-213, 215-224, 226-228, 231-239, 241-245,
248-251, 253-261, 263-269, 271-273, 275-283, 285-289, 291, 293,
297-299, 301-303, 309, 312-315, 325, 327, 343, 346, 349, 357, 358,
362, 367, 370, 382, 385, 386, 396-397, 405, 438-440, 444-445, 473,
486, 488, 498, 501, 399, 527, 561, 576, 587, 594, 599, 600, 602,
609, 610, 611, 612, 615, 641, 642, 665, 702, 712-713, 726, 837-839,
878-879, 881, 882, 939-940, 964, 997, 1149-1178, 1180-1278.
c] General Orders Nos.: 14, 52, 58, 59, 60, 62, 63, 64 & 65.
The respondents, through the Solicitor General, would have this case
dismissed outright on the ground that petitioners have no legal
personality or standing to bring the instant petition. The view is
submitted that in the absence of any showing that petitioners are
personally and directly affected or prejudiced by the alleged non-
publication of the presidential issuances in question 2 said petitioners
are without the requisite legal personality to institute this mandamus
proceeding, they are not being "aggrieved parties" within the meaning
of Section 3, Rule 65 of the Rules of Court, which we quote:chanrobles
virtual lawlibrary
Upon the other hand, petitioners maintain that since the subject of the
petition concerns a public right and its object is to compel the
performance of a public duty, they need not show any specific interest
for their petition to be given due course.
The issue posed is not one of first impression. As early as the 1910
case of Severino v. Governor General, 3 this Court held that while the
general rule is that "a writ of mandamus would be granted to a private
individual only in those cases where he has some private or particular
interest to be subserved, or some particular right to be protected,
independent of that which he holds with the public at large," and "it is
for the public officers exclusively to apply for the writ when public
rights are to be subserved [Mithchell v. Boardmen, 79 M.e., 469],"
nevertheless, "when the question is one of public right and the object
of the mandamus is to procure the enforcement of a public duty, the
people are regarded as the real party in interest and the relator at
whose instigation the proceedings are instituted need not show that he
has any legal or special interest in the result, it being sufficient to
show that he is a citizen and as such interested in the execution of the
laws [High, Extraordinary Legal Remedies, 3rd ed., sec. 431]."cralaw
virtua1aw library
Thus, in said case, this Court recognized the relator Lope Severino, a
private individual, as a proper party to the mandamus proceedings
brought to compel the Governor General to call a special election for
the position of municipal president in the town of Silay, Negros
Occidental. Speaking for this Court, Mr. Justice Grant T. Trent
said:chanrobles virtual lawlibrary
"We are therefore of the opinion that the weight of authority supports
the proposition that the relator is a proper party to proceedings of this
character when a public right is sought to be enforced. If the general
rule in America were otherwise, we think that it would not be
applicable to the case at bar for the reason that it is always dangerous
to apply a general rule to a particular case without keeping in mind the
reason for the rule, because, if under the particular circumstances the
reason for the rule does not exist, the rule itself is not applicable and
reliance upon the rule may well lead to error.
"No reason exists in the case at bar for applying the general rule
insisted upon by counsel for the Respondent. The circumstances which
surround this case are different from those in the United States,
inasmuch as if the relator is not a proper party to these proceedings
no other person could be, as we have seen that it is not the duty of
the law officer of the Government to appear and represent the people
in cases of this character."cralaw virtua1aw library
"Art. 2. Laws shall take effect after fifteen days following the
completion of their publication in the Official Gazette, unless it is
otherwise provided, . . ."cralaw virtua1aw library
The clear object of the above quoted provision is to give the general
public adequate notice of the various laws which are to regulate their
actions and conduct as citizens. Without such notice and publication,
there would be no basis for the application of the maxim "ignorantia
legis non excusat." It would be the height of injustice to punish or
otherwise burden a citizen for the transgression of a law of which he
had no notice whatsoever, not even a constructive one.chanrobles
virtual lawlibrary
"The courts below have proceeded on the theory that the Act of
Congress, having been found to be unconstitutional, was not a law;
that it was inoperative, conferring no rights and imposing no duties,
and hence affording no basis for the challenged decree. Norton v.
Shelby County, 118 U.S. 425, 442; Chicago, I. & L. Ry. Co. v. Hackett,
228 U.S. 559, 566. It is quite clear, however, that such broad
statements as to the effect of a determination of unconstitutionality
must be taken with qualifications. The actual existence of a statute,
prior to such a determination, is an operative fact and may have
consequences which cannot justly be ignored. The past cannot always
be erased by a new judicial declaration. The effect of the subsequent
ruling as to invalidity may have to be considered in various aspects
with respect to particular conduct, private and official. Questions of
rights claimed to have become vested, of status, of prior
determinations deemed to have finality and acted upon accordingly, of
public policy in the light of the nature both of the statute and of its
previous application, demand examination. These questions are among
the most difficult of those which have engaged the attention of courts,
state and federal, and it is manifest from numerous decisions that an
all-inclusive statement of a principle of absolute retroactive invalidity
cannot be justified."cralaw virtua1aw library
SO ORDERED.
Separate Opinions
5. Nor can I agree with the rather sweeping conclusion in the opinion
of Justice Escolin that presidential decrees and executive acts not thus
previously published in the Official Gazette would be devoid of any
legal character. That would be, in my opinion, to go too far. It may be
fraught, as earlier noted, with undesirable consequences. I find myself
therefore unable to yield assent to such a pronouncement.
I concur with the main opinion of Mr. Justice Escolin and the
concurring opinion of Mme. Justice Herrera. The Rule of Law connotes
a body of norms and laws published and ascertainable and of equal
application to all similarly circumstanced and not subject to arbitrary
change but only under certain set procedures. The Court has
consistently stressed that "it is an elementary rule of fair play and
justice that a reasonable opportunity to be informed must be afforded
to the people who are commanded to obey before they can be
punished for its violation," 1 citing the settled principle based on due
process enunciated in earlier cases that "before the public is bound by
its contents, especially its penal provisions, a law, regulation or
circular must first be published and the people officially and specially
informed of said contents and its penalties."cralaw virtua1aw library
Article 2 of the Civil Code provides that "laws shall take effect after
fifteen days following the completion of their publication in the Official
Gazette, unless it is otherwise provided." Two things may be said of
this provision: Firstly, it obviously does not apply to a law with a built-
in provision as to when it will take effect. Secondly, it clearly
recognizes that each law may provide not only a different period for
reckoning its effectivity date but also a different mode of notice. Thus,
a law may prescribe that it shall be published elsewhere than in the
Official Gazette.
SYLLABUS
DECISION
CONCEPCION, J.:
"3. Several complaints have actually been received from students who
have enjoyed scholarships, full or partial, to the effect that they could
not transfer to other schools since their credentials would not be
released unless they would pay the fees corresponding to the period of
the scholarships. Where the Bureau believes that the right of the
student to transfer is being denied on this ground, it reserves the right
to authorize such transfer."cralaw virtua1aw library
that defendant herein received a copy of this memorandum; that
plaintiff asked the Bureau of Private Schools to pass upon the issue on
his right to secure the transcript of his record in defendant University,
without being required to refund the sum of P1,033.87; that the
Bureau of Private Schools upheld the position taken by the plaintiff and
so advised the defendant; and that, this notwithstanding, the latter
refused to issue said transcript of record, unless said refund were
made, and even recommended to said Bureau that it issue a written
order directing the defendant to release said transcript of record, "so
that the case may be presented to the court for judicial action." As
above stated, plaintiff was, accordingly, constrained to pay, and did
pay under protest, said sum of P1,033.87, in order that he could take
the bar examinations in 1953. Subsequently, he brought this action for
the recovery of said amount, aside from P2,000 as moral damages,
P500 as exemplary damages, P2,000 as attorneys fees, and P500 as
expenses of litigation.
The issue in this case is whether the above quoted provision of the
contract between plaintiff and the defendant whereby the former
waived his right to transfer to another school without refunding to the
latter the equivalent of his scholarships in cash, is valid or not. The
lower court resolved this question in the affirmative, upon the ground
that the aforementioned memorandum of the Director of Private
Schools is not a law; that the provisions thereof are advisory, not
mandatory in nature; and that, although the contractual provision
"may be unethical, yet it was more unethical for plaintiff to quit
studying with the defendant without good reasons and simply because
he wanted to follow the example of his uncle." Moreover, defendant
maintains in its brief that the aforementioned memorandum of the
Director of Private Schools is null and void because said officer had no
authority to issue it, and because it had been neither approved by the
corresponding department head nor published in the official gazette.
"There is one more point that merits refutation and that is whether or
not the contract entered into between Cui and Arellano University on
September 10, 1951 was void as against public policy. In the case of
Zeigler v. Illinois Trust and Savings Bank, 245 Ill. 180, 19 Ann. Case
127, the court said: In determining a public policy of the state, courts
are limited to a consideration of the Constitution, the judicial decisions,
the statutes, and the practice of government officers. It might take
more than a government bureau or office to lay down or establish a
public policy, as alleged in your communication, but courts consider
the practices of government officials as one of the four factors in
determining a public policy of the state. It has been consistently held
in America that under the principles relating to the doctrine of public
policy, as applied to the law of contracts, courts of justice will not
recognize or uphold a transaction which in its object, operation, or
tendency, is calculated to be prejudicial to the public welfare, to sound
morality, or to civic honesty (Ritter v. Mutual Life Ins. Co., 169 U. S.
139; Heding v. Gallaghere, 64 L.R.A. 811; Veazy v. Allen, 173 N.Y.
359). If Arellano University understood clearly the real essence of
scholarships and the motives which prompted this office to issue
Memorandum No. 38, s. 1949, it should have not entered into a
contract of waiver with Cui on September 10, 1951, which is a direct
violation of our Memorandum and an open challenge to the authority
of the Director of Private Schools because the contract was repugnant
to sound morality and civic honesty. And finally, in Gabriel v. Monte de
Piedad, Off. Gazette Supp. Dec. 6, 1941, p. 67 we read: In order to
declare a contract void as against public policy, a court must find that
the contract as to consideration or the thing to be done, contravenes
some established interest of society, or is inconsistent with sound
policy and good morals, or tends clearly to undermine the security of
individual rights. The policy enunciated in Memorandum No. 33, s.
1949 is sound policy. Scholarships are awarded in recognition of merit
not to keep outstanding students in school to bolster its prestige. In
the understanding of that university scholarships award is a business
scheme designed to increase the business potential of an educational
institution. Thus conceived it is not only inconsistent with sound policy
but also good morals. But what is morals? Manresa has this definition.
It is good customs; those generally accepted principles of morality
which have received some kind of social and practical confirmation.
The practice of awarding scholarships to attract students and keep
them in school is not good customs nor has it received some kind of
social and practical confirmation except in some private institutions as
in Arellano University. The University of the Philippines which
implements Section 5 of Article XIV of the Constitution with reference
to the giving of free scholarships to gifted children, does not require
scholars to reimburse the corresponding value of the scholarships if
they transfer to other schools. So also with the leading colleges and
universities of the United States after which our educational practices
or policies are patterned. In these institutions scholarships are granted
not to attract and to keep brilliant students in school for their
propaganda value but to reward merit or help gifted students in whom
society has an established interest or a first lien." (Emphasis
supplied.)
SYLLABUS
DECISION
REYES, J.B.L., J.:
The relationship between the children of the first marriage and Tasiana
Ongsingco has been plagued with several court suits and counter-
suits; including the three cases at bar, some eighteen (18) cases
remain pending determination in the courts. The testate estate of
Josefa Tangco alone has been unsettled for more than a quarter of a
century. In order to put an end to all these litigations, a compromise
agreement was entered into on 12 October 1963, 2 by and between"
[T]he heir and son of Francisco de Borja by his first marriage, namely,
Jose de Borja personally and as administrator of the Testate Estate of
Josefa Tangco," and" [T]he heir and surviving spouse of Francisco de
Borja by his second marriage, Tasiana Ongsingco Vda. de Borja,
assisted by her lawyer, Atty. Luis Panaguiton, Jr." The terms and
conditions of the compromise agreement are as
follows:jgc:chanrobles.com.ph
"A G R E E M E N T
The heir and son of Francisco de Borja by his first marriage namely,
Jose de Borja personally and as administrator of the Testate Estate of
Josefa Tangco,
AND
WITNESSETH
THAT it is the mutual desire of all the parties herein to terminate and
settle, with finality, the various court litigations, controversies, claims,
counterclaims, etc., between them in connection with the
administration, settlement, partition, adjudication and distribution of
the assets as well as liabilities of the estates of Francisco de Borja and
Josefa Tangco, first spouse of Francisco de Borja.
THAT with this end in view, the parties herein have agreed voluntarily
and without any reservations to enter into and execute this agreement
under the following terms and conditions:chanrob1es virtual 1aw
library
1. That the parties agree to sell the Poblacion portion of the Jalajala
properties situated in Jalajala, Rizal, presently under administration in
the Testate Estate of Josefa Tangco (SP. Proc. No. 7866, Rizal), more
specifically described as follows:chanrob1es virtual 1aw library
7. That this agreement shall take effect only upon the fulfillment of the
sale of the properties mentioned under paragraph 1 of this agreement
and upon receipt of the total and full payment of the proceeds of the
sale of the Jalajala property Poblacion, otherwise, the non-fulfillment
of the said sale will render this instrument NULL AND VOID AND
WITHOUT EFFECT THEREAFTER.
This provision evidences beyond doubt that the ruling in the Guevara
case is not applicable to the cases at bar. There was here no attempt
to settle or distribute the estate of Francisco de Borja among the heirs
thereto before the probate of his will. The clear object of the contract
was merely the conveyance by Tasiana Ongsingco of any and all her
individual share and interest, actual or eventual, in the estate of
Francisco de Borja and Josefa Tangco. There is no stipulation as to any
other claimant, creditor or legatee And as a hereditary share in a
decedents estate is transmitted or vested immediately from the
moment of the death of such causante or predecessor in interest (Civil
Code of the Philippines, Art. 777) 3 there is no legal bar to a successor
(with requisite contracting capacity) disposing of her or his hereditary
share immediately after such death, even if the actual extent of such
share is not determined until the subsequent liquidation of the estate.
4 Of course, the effect of such alienation is to be deemed limited to
what is ultimately adjudicated to the vendor heir. However, the
aleatory character of the contract does not affect the validity of the
transaction; neither does the coetaneous agreement that the
numerous litigations between the parties (the approving order of the
Rizal Court enumerates fourteen of them, Rec. App. pp. 79-82) are to
be considered settled and should be dismissed, although such
stipulation, as noted by the Rizal Court, gives the contract the
character of a compromise that the law favors, for obvious reasons, if
only because it serves to avoid a multiplicity of suits.
Art. 2037. A compromise has upon the parties the effect and authority
of res judicata; but there shall be no execution except in compliance
with a judicial compromise.
It is argued by Tasiana Ongsingco that while the agreement Annex A
expressed no definite period for its performance, the same was
intended to have a resolutory period of 60 days for its effectiveness. In
support of such contention, it is averred that such a limit was
expressly stipulated in an agreement in similar terms entered into by
said Ongsingco with the brothers and sister of Jose de Borja, to wit,
Crisanto, Matilde and Cayetano, all surnamed de Borja, except that the
consideration was fixed at P600,000 (Opposition, Annex/Rec. of
Appeal, L-28040, pp. 39-46) and which contained the following
clause:jgc:chanrobles.com.ph
"III. That this agreement shall take effect only upon the consummation
of the sale of the property mentioned herein and upon receipt of the
total and full payment of the proceeds of the sale by the herein owner
heirs-children of Francisco de Borja, namely, Crisanto, Cayetano and
Matilde, all surnamed de Borja; Provided that if no sale of the said
property mentioned herein is consummated, or the non-receipt of the
purchase price thereof by the said owners within the period of sixty
(60) days from the date hereof, this agreement will become null and
void and of no further effect."cralaw virtua1aw library
This brings us to the plea that the Court of First In stance of Rizal had
no jurisdiction to approve the compromise with Jose de Borja (Annex
A) because Tasiana Ongsingco was not an heir in the estate of Josefa
Tangco pending settlement in the Rizal Court, but she was an heir of
Francisco de Borja, whose estate was the object of Special Proceeding
No. 832 of the Court of First Instance of Nueva Ecija. This
circumstance is irrelevant, since what was sold by Tasiana Ongsingco
was only her eventual share in the estate of her late husband, not the
estate itself; and as already shown, that eventual share she owned
from the time of Franciscos death and the Court of Nueva Ecija could
not bar her selling it. As owner of her undivided hereditary share,
Tasiana could dispose of it in favor of whomsoever she chose Such
alienation is expressly recognized and provided for by article 1088 of
the present Civil Code:chanrob1es virtual 1aw library
Art. 1088. Should any of the heirs sell his hereditary rights to a
stranger before the partition, any or all of the co-heirs may be
subrogated to the rights of the purchaser by reimbursing him for the
price of the sale, provided they do so within the period of one month
from the time they were notified in writing of the sale of the
vendor."cralaw virtua1aw library
Tasiana Ongsingco further argues that her contract with Jose de Borja
(Annex "A") is void because it amounts to a compromise as to her
status and marriage with the late Francisco de Borja. The point is
without merit, for the very opening paragraph of the agreement with
Jose de Borja (Annex "A") describes her as "the heir and surviving
spouse of Francisco de Borja by his second marriage, Tasiana
Ongsingco Vda. de de Borja", which is in itself definite admission of
her civil status. There is nothing in the text of the agreement that
would show that this recognition of Ongsingcos status as the surviving
spouse of Francisco de Borja was only made in consideration of the
cession of her hereditary rights.
In her brief, Tasiana Ongsingco also pleads that the time elapsed in
the appeal has affected her unfavorably, in that while the purchasing
power of the agreed price of P800,000 has diminished, the value of the
Jalajala property has increased. But the fact is that her delay in
receiving the payment of the agreed price for her hereditary interest
was primarily due to her attempts to nullify the agreement (Annex
"A") she had formally entered into with the advice of her counsel,
Attorney Panaguiton. And as to the devaluation de facto of our
currency, what We said in Dizon Rivera v. Dizon, L-24561, 30 June
1970, 33 SCRA 554, that "estates would never be settled if there were
to be a revaluation with every subsequent fluctuation in the values of
currency and properties of the estate", is particularly opposite in the
present case.
Coming now to Case G.R. No. L-28611, the issue is whether the
Hacienda de Jalajala (Poblacion), concededly acquired by Francisco de
Borja during his marriage to his first wife, Josefa Tangco, is the
husbands private property (as contended by his second spouse,
Tasiana Ongsingco), or whether it forms part of the conjugal
(ganancial) partnership with Josefa Tangco The Court of First Instance
of Rizal (Judge Herminio Mariano, presiding) declared that there was
adequate evidence to overcome the presumption in favor of its
conjugal character established by Article 160 of the Civil Code.
The evidence reveals, and the appealed order admits, that the
character of the Hacienda in question as owned by the conjugal
partnership De Borja-Tangco was solemnly admitted by the late
Francisco de Borja no less than two times: first, in the Reamended
Inventory that, as executor of the estate of his deceased wife Josefa
Tangco, he filed in the Special Proceedings No. 7866 of the Court of
First Instance of Rizal on 23 July 1953 (Exhibit "2"); and again, in the
Reamended Accounting of the same date, also filed in the proceedings
aforesaid (Exhibit "7"). Similarly, the plaintiff Tasiana O. Vda. de
Borja, herself, as oppositor in the Estate of Josefa Tangco, submitted
therein an inventory dated 7 September 1954 (Exhibit "3") listing the
Jalajala property among the "Conjugal Properties of the Spouses
Francisco de Borja and Josefa Tangco." And once more, Tasiana
Ongsingco, as administratrix of the Estate of Francisco de Borja, in
Special Proceedings No. 832 of the Court of First Instance of Nueva
Ecija, submitted therein in December, 1955, an inventory wherein she
listed the Jalajala Hacienda under the heading "Conjugal Property of
the Deceased Spouses Francisco de Borja and Josefa Tangco, which
are in the possession of the Administrator of the Testate Estate of the
Deceased Josefa Tangco in Special Proceedings No 7866 of the Court
of First Instance of Rizal" (Exhibit "4").
Notwithstanding the four statements aforesaid, and the fact that they
are plain admissions against interest made by both Francisco de Borja
and the Administratrix of his estate, in the course of judicial
proceedings in the Rizal and Nueva Ecija Courts, supporting the legal
presumption in favor of the conjugal community, the Court below
declared that the Hacienda de Jalajala (Poblacion) was not conjugal
property, but the private exclusive property of the late Francisco de
Borja. It did so on the strength of the following evidences: (a) the
sworn statement by Francisco de Borja on 6 August 1951 (Exhibit "F")
that
"He tomado posesion del pedazo de terreno ya delimitado (equivalente
a 1/4 parte, 337 hectareas) adjunto a mi terreno personal y exclusivo
(Poblacion de Jalajala, Rizal)."cralaw virtua1aw library
The Court below, reasoning that not only Franciscos sworn statement
overweighed the admissions in the inventories relied upon by
defendant-appellant Jose de Borja, since probate courts can not finally
determine questions of ownership of inventoried property, but that the
testimony of Gregorio de Borja showed that Francisco de Borja
acquired his share of the original Hacienda with his own private funds,
for which reason that share can not be regarded as conjugal
partnership property, but as exclusive property of the buyer, pursuant
to Article L-1396 (4) of the Civil Code of 1889 and Article 148 (4) of
the Civil Code of the Philippines.
x x x
No error having been assigned against the ruling of the lower court
that claims for damages should be ventilated in the corresponding
special proceedings for the settlement of the estates of the deceased,
the same requires no pronouncement from this Court.
N BANC
SYLLABUS
DECISION
MAKASIAR, J.:
"x x x
"9. That for sometime prior and up to June 28, 1967, the defendant
PHILEX, with gross and reckless negligence and imprudence and
deliberate failure to take the required precautions for the due
protection of the lives of its men working underground at the time, and
in utter violation of the laws and the rules and regulations duly
promulgated by the Government pursuant thereto, allowed great
amount of water and mud to accumulate in an open pit area at the
mine above Block 43-S-1 which seeped through and saturated the 600
ft. column of broken ore and rock below it, thereby exerting
tremendous pressure on the working spaces at its 4300 level, with the
result that, on the said date, at about 4 oclock in the afternoon, with
the collapse of all underground supports due to such enormous
pressure, approximately 500,000 cubic feet of broken ores, rocks, mud
and water, accompanied by surface boulders, blasted through the
tunnels and flowed out and filled in, in a matter of approximately five
(5) minutes, the underground workings, ripped timber supports and
carried off materials, machines and equipment which blocked all
avenues of exit, thereby trapping within its tunnels of all its men
above referred to, including those named in the next preceding
paragraph, represented by the plaintiffs herein;
"10. That out of the 48 mine workers who were then working at
defendant PHlLEXs mine on the said date, five (5) were able to escape
from the terrifying holocaust; 22 were rescued within the next 7 days;
and the rest, 21 in number, including those referred to in paragraph 7
herein above, were left mercilessly to their fate, notwithstanding the
fact that up to then, a great many of them were still alive, entombed
in the tunnels of the mine, but were not rescued due to defendant
PHlLEXs decision to abandon rescue operations, in utter disregard of
its bounded legal and moral duties in the premises;
"x x x;
"13. That defendant PHILEX not only violated the law and the rules
and regulations duly promulgated by the duly constituted authorities
as set out by the Special Committee above referred to, in their Report
of Investigation, pages 7-13, Annex `B hereof, but also failed
completely to provide its men working underground the necessary
security for the protection of their lives notwithstanding the fact that it
had vast financial resources, it having made, during the year 1966
alone, a total operating income of P38,220,254.00, or net earnings,
after taxes of P19,117,394.00, as per its 11th Annual Report for the
year ended December 31, 1966, and with aggregate assets totalling
P45,794,103.00 as of December 31, 1966;
A motion to dismiss dated May 14, 1968 was filed by Philex alleging
that the causes of action of petitioners based on an industrial accident
are covered by the provisions of the Workmens Compensation Act
(Act 3428, as amended by RA 772) and that the former Court of First
Instance has no jurisdiction over the case. Petitioners filed an
opposition dated May 27, 1968 to the said motion to dismiss claiming
that the causes of action are not based on the provisions of the
Workmens Compensation Act but on the provisions of the Civil Code
allowing the award of actual, moral and exemplary damages,
particularly:chanrobles.com:cralaw:red
"Art. 2178. The provisions of articles 1172 to 1174 are also applicable
to a quasi-delict.
"(b) Art. 1173 The fault or negligence of the obligor consists in the
omission of that diligence which is required by the nature of the
obligation and corresponds with the circumstances of the persons, of
the time and of the place. When negligence shows bad faith, the
provisions of Articles 1171 and 2201, paragraph 2 shall apply.
"Art. 2201. . . .
"In case of fraud, bad faith, malice or wanton attitude, the obligor shall
be responsible for all damages which may be reasonably attributed to
the non-performance of the obligation.
On December 16, 1968, respondent Judge dismissed the case for lack
of jurisdiction and ruled that in accordance with the established
jurisprudence, the Workmens Compensation Commission has
exclusive original jurisdiction over damage or compensation claims for
work-connected deaths or injuries of workmen or employees,
irrespective of whether or not the employer was negligent, adding that
if the employers negligence results in work-connected deaths or
injuries, the employer shall, pursuant to Section 4-A of the Workmens
Compensation Act, pay additional compensation equal to 50% of the
compensation fixed in the Act.chanrobles virtual lawlibrary
II
In the first assignment of error, petitioners argue that the lower court
has jurisdiction over the cause of action since the complaint is based
on the provisions of the Civil Code on damages, particularly Articles
2176, 2178, 1173, 2201 and 2231, and not on the provisions of the
Workmens Compensation Act. They point out that the complaint
alleges gross and brazen negligence on the part of Philex in failing to
take the necessary security for the protection of the lives of its
employees working underground. They also assert that since Philex
opted to file a motion to dismiss in the court a quo, the allegations in
their complaint including those contained in the annexes are deemed
admitted.
In the second assignment of error, petitioners asseverate that
respondent Judge failed to see the distinction between the claims for
compensation under the Workmens Compensation Act and the claims
for damages based on gross negligence of Philex under the Civil Code.
They point out that workmens compensation refers to liability for
compensation for loss resulting from injury, disability or death of the
working man through industrial accident or disease, without regard to
the fault or negligence of the employer, while the claim for damages
under the Civil Code which petitioners pursued in the regular court,
refers to the employers liability for reckless and wanton negligence
resulting in the death of the employees and for which the regular court
has jurisdiction to adjudicate the same.
Philex cites the case of Manalo v. Foster Wheeler (98 Phil. 855 [1956])
where it was held that "all claims of workmen against their employer
for damages due to accident suffered in the course of employment
shall be investigated and adjudicated by the Workmens Compensation
Commission," subject to appeal to the Supreme Court.chanrobles
virtual lawlibrary
Philex maintains that the fact that an employer was negligent, does
not remove the case from the exclusive character of recoveries under
the Workmens Compensation Act; because Section 4-A of the Act
provides an additional compensation in case the employer fails to
comply with the requirements of safety as imposed by law to prevent
accidents. In fact, it points out that Philex voluntarily paid the
compensation due the petitioners and all the payments have been
accepted in behalf of the deceased miners, except the heirs of Nazarito
Floresca who insisted that they are entitled to a greater amount of
damages under the Civil Code.
WE hold that the former Court of First Instance has jurisdiction to try
the case.
In the present case, there exists between Philex and the deceased
employees a contractual relationship. The alleged gross and reckless
negligence and deliberate failure that amount to bad faith on the part
of Philex, constitute a breach of contract for which it may be held liable
for damages. The provisions of the Civil Code on cases of breach of
contract when there is fraud or bad faith, read:jgc:chanrobles.com.ph
"In cases of fraud, bad faith, malice or wanton attitude, the obligor
shall be responsible for all damages which may be reasonably
attributed to the non-performance of the obligation."cralaw virtua1aw
library
Furthermore, Articles 2216 et seq., Civil Code, allow the payment of all
kinds of damages, as assessed by the court.
The claimant for damages under the Civil Code has the burden of
proving the causal relation between the defendants negligence and
the resulting injury as well as the damages suffered. While under the
Workmens Compensation Act, there is a presumption in favor of the
deceased or injured employee that the death or injury is work-
connected or work-aggravated; and the employer has the burden to
prove otherwise (De los Angeles v. GSIS, 94 SCRA 308; Cario v.
WCC, 93 SCRA 551; Maria Cristina Fertilizer Corp. v. WCC, 60 SCRA
228).
In Pacaa WE said:jgc:chanrobles.com.ph
"As applied to this case, petitioner Esguerra cannot maintain his action
for damages against the respondents (defendants below), because he
has elected to seek compensation under the Workmens Compensation
Law, and his claim (case No. 44549 of the Compensation Commission)
was being processed at the time he filed this action in the Court of
First Instance. It is argued for petitioner that as the damages
recoverable under the Civil Code are much more extensive than the
amounts that may be awarded under the Workmens Compensation
Act, they should not be deemed incompatible. As already indicated,
the injured laborer was initially free to choose either to recover from
the employer the fixed amounts set by the Compensation Law or else,
to prosecute an ordinary civil action against the tortfeasor for higher
damages. While perhaps not as profitable, the smaller indemnity
obtainable by the first course is balanced by the claimants being
relieved of the burden of proving the causal connection between the
defendants negligence and the resulting injury, and of having to
establish the extent of the damage suffered; issues that are apt to be
troublesome to establish satisfactorily. Having staked his fortunes on a
particular remedy, petitioner is precluded from pursuing the alternate
course, at least until the prior claim is rejected by the Compensation
Commission. Anyway, under the proviso of Section 6 aforequoted, if
the employer Franklin Baker Company recovers, by derivative action
against the alleged tortfeasors, a sum greater than the compensation
he may have paid the herein petitioner, the excess accrues to the
latter."cralaw virtua1aw library
WE hold that although the other petitioners had received the benefits
under the Workmens Compensation Act, such may not preclude them
from bringing an action before the regular court because they became
cognizant of the fact that Philex has been remiss in its contractual
obligations with the deceased miners only after receiving
compensation under the Act. Had petitioners been aware of said
violation of government rules and regulations by Philex, and of its
negligence, they would not have sought redress under the Workmens
Compensation Commission which awarded a lesser amount for
compensation. The choice of the first remedy was based on ignorance
or a mistake of fact, which nullifies the choice as it was not an
intelligent choice. The case should therefore be remanded to the lower
court for further proceedings. However, should the petitioners be
successful in their bid before the lower court, the payments made
under the Workmens Compensation Act should be deducted from the
damages that may be decreed in their favor.
Article 10 of the New Civil Code states: "In case of doubt in the
interpretation or application of laws, it is presumed that the law-
making body intended right and justice to prevail."cralaw virtua1aw
library
More specifically, Article 1702 of the New Civil Code likewise directs
that. "In case of doubt, all labor legislation and all labor contracts shall
be construed in favor of the safety and decent living of the
laborer."cralaw virtua1aw library
Article 173 of the New Labor Code does not repeal expressly nor
impliedly the applicable provisions of the New Civil Code, because said
Article 173 provides:jgc:chanrobles.com.ph
It is patent, therefore, that recovery under the New Civil Code for
damages arising from negligence, is not barred by Article 173 of the
New Labor Code. And the damages recoverable under the New Civil
Code are not administered by the System provided for by the New
Labor Code, which defines the "System" as referring to the
Government Service Insurance System or the Social Security System
(Art. 167 [c], [d] and [e] of the New Labor Code).
The Court, through the late Chief Justice Fred Ruiz Castro, in People v.
Licera, ruled:jgc:chanrobles.com.ph
Since the first sentence of Article 173 of the New Labor Code is merely
a re-statement of the first paragraph of Section 5 of the Workmens
Compensation Act, as amended, and does not even refer, neither
expressly nor impliedly, to the Civil Code as Section 5 of the
Workmens Compensation Act did, with greater reason said Article 173
must be subject to the same interpretation adopted in the cases of
Pacaa, Valencia and Esguerra aforementioned as the doctrine in the
aforesaid three (3) cases is faithful to and advances the social justice
guarantees enshrined in both the 1935 and 1973 Constitutions.
The dissent seems to subordinate the life of the laborer to the property
rights of the employer. The right to life is guaranteed specifically by
the due process clause of the Constitution. To relieve the employer
from liability for the death of his workers arising from his gross or
wanton fault or failure to provide safety devices for the protection of
his employees or workers against the dangers which are inherent in
underground mining, is to deprive the deceased worker and his heirs
of the right to recover indemnity for the loss of the life of the worker
and the consequent loss to his family without due process of law. The
dissent in effect condones and therefore encourages such gross or
wanton neglect on the part of the employer to comply with his legal
obligation to provide safety measures for the protection of the life,
limb and health of his worker. Even from the moral viewpoint alone,
such attitude is un-Christian.
"Idolatrous reverence" for the letter of the law sacrifices the human
being. The spirit of the law insures mans survival and ennobles him.
In the words of Shakespeare, "the letter of the law killeth; its spirit
giveth life."cralaw virtua1aw library
C
It is curious that the dissenting opinion clings to the myth that the
courts cannot legislate.
That myth had been exploded by Article 9 of the New Civil Code, which
provides that "No judge or court shall decline to render judgment by
reason of the silence, obscurity or insufficiency of the laws."cralaw
virtua1aw library
Hence, even the legislator himself, through Article 9 of the New Civil
Code, recognizes that in certain instances, the court, in the language
of Justice Holmes, "do and must legislate" to fill in the gaps in the law;
because the mind of the legislator, like all human beings, is finite and
therefore cannot envisage all possible cases to which the law may
apply. Nor has the human mind the infinite capacity to anticipate all
situations.chanrobles.com : virtual law library
But about two centuries before Article 9 of the New Civil Code, the
founding fathers of the American Constitution foresaw and recognized
the eventuality that the courts may have to legislate to supply the
omissions or to clarify the ambiguities in the American Constitution
and the statutes.
"To make a rule of conduct applicable to an individual who but for such
action would be free from it is to legislate yet it is what the judges
do whenever they determine which of two competing principles of
policy shall prevail.
"x x x
"It does not seem to need argument to show that however we may
disguise it by veiling words we do not and cannot carry out the
distinction between legislative and executive action with mathematical
precision and divide the branches into waterlight compartments, were
it ever so desirable to do so, which I am far from believing that it is, or
that the Constitution requires."cralaw virtua1aw library
True, there are jurists and legal writers who affirm that judges should
not legislate, but grudgingly concede that in certain cases judges do
legislate. They criticize the assumption by the courts of such law-
making power as dangerous for it may degenerate into Judicial
tyranny. They include Blackstone, Jeremy Bentham, Justice Black,
Justice Harlan, Justice Roberts, Justice David Brewer, Ronald Dworkin,
Rolf Sartorious, Macklin Fleming and Beryl Harold Levy. But said
Justices, jurists or legal commentators, who either deny the power of
the courts to legislate in-between gaps of the law, or decry the
exercise of such power, have not pointed to examples of the exercise
by the courts of such law-making authority in the interpretation and
application of the laws in specific cases that gave rise to judicial
tyranny or oppression or that such judicial legislation has not protected
public interest or individual welfare, particularly the lowly workers or
the under-privileged.chanrobles virtualawlibrary
chanrobles.com:chanrobles.com.ph
On the other hand, there are numerous decisions interpreting the Bill
of Rights and statutory enactments expanding the scope of such
provisions to protect human rights. Foremost among them is the
doctrine in the cases of Miranda v. Arizona (384 US 436 1964), Gideon
v. Wainright (372 US 335), Escubedo v. Illinois (378 US 478), which
guaranteed the accused under custodial investigation his rights to
remain silent and to counsel and to be informed of such rights as even
as it protects him against the use of force or intimidation to extort
confession from him. These rights are not found in the American Bill of
Rights. These rights are now institutionalized in Section 20, Article IV
of the 1973 Constitution. Only the peace-and-order adherents were
critical of the activism of the American Supreme Court led by Chief
Justice Earl Warren.
The requisites of double jeopardy are not spelled out in the Bill of
Rights. They were also developed by judicial decisions in the United
States and in the Philippines even before people v. Ylagan (58 Phil.
851-853).
Again, the equal protection clause was interpreted in the case of Plessy
v. Ferguson (163 US 537) as securing to the Negroes equal but
separate facilities, which doctrine was revoked in the case of Brown v.
Maryland Board of Education (349 US 294), holding that the equal
protection clause means that the Negroes are entitled to attend the
same schools attended by the whites equal facilities in the same
school which was extended to public parks and public buses. De-
segregation, not segregation, is now the governing principle.
Among other examples, the due process clause was interpreted in the
case of People v. Pomar (46 Phil. 440) by a conservative, capitalistic
court to invalidate a law granting maternity leave to working women
according primacy to property rights over human rights. The case of
People v. Pomar is no longer the rule.
As early as 1904, in the case of Lochner v. New York (198 US 45, 76,
49 L. ed. 937, 949), Justice Holmes had been railing against the
conservatism of Judges perverting the guarantee of due process to
protect property rights as against human rights or social justice for the
working man. The law fixing maximum hours of labor was invalidated.
Justice Holmes was vindicated finally in 1936 in the case of West Coast
Hotel v. Parish (300 US 377-79; 81 L. ed. 703) where the American
Supreme Court upheld the rights of workers to social justice in the
form of guaranteed minimum wage for women and minors, working
hours not exceeding eight (8) daily, and maternity leave for women
employees.
Unlike the American Constitution, both the 1935 and 1973 Philippine
Constitutions expressly vest in the Supreme Court the power to review
the validity or constitutionality of any legislative enactment or
executive act.
SO ORDERED.
Separate Opinions
This case involves a complaint for damages for the death of five
employees of PHILEX Mining Corporation under the general provisions
of the Civil Code. The Civil Code itself, however, provides for its non-
applicability to the complaint. It is specifically provided in Article 2196
of the Code, found in Title XVIII Damages,
that:jgc:chanrobles.com.ph
shall exclude all other rights and remedies accruing to the employee,
his personal representatives, dependents or nearest of kin against the
employer.
under the Civil Code and other laws, because of said injury."
(Paragraphing and Italics supplied)
"Such stipulation shall not prejudice the right of the laborers to the
benefits of the Workmens Compensation Law of the place where the
accident occurs, should such law be more favorable to them." (Italics
supplied)
It will be seen that, within the Act itself, the exclusory character of the
Act was amended. At that time, if he had so desired, the legislator
could have amended the first paragraph of Section 5 so that the
employee would have the option to sue the employer under the Act, or
under the Civil Code, should the latter be more favorable to him.
(b) The Workmens Compensation Act, which took effect in 1927,
grants compensation to an injured employee without regard to the
presence or absence of negligence on the part of the employer. The
compensation is deemed an expense chargeable to the industry
(Murillo v. Mendoza, 66 Phil. 689 [1938]).
In time, it must have been thought that it was inequitable to have the
amount of compensation, caused by negligence on the part of the
employer, to be the same amount payable when the employer was not
negligent. Based on that thinking, Section 4-A 1 was included into the
Act, on June 20, 1952, through RA 772. Said Section 4-A increased the
compensation payable by 50% in case there was negligence on the
part of the employer. That additional section evidenced the intent of
the legislator not to give an option to an employee, injured with
negligence on the part of the employer, to sue the latter under the
provisions of the Civil Code.
To grant the petition and allow the victims of industrial accidents to file
damages suits based on torts would be a radical innovation not only
contrary to the express provisions of the Workmens Compensation Act
but a departure from the principles evolved in the long history of
workmens compensation. At the very least, it should be the legislature
and not this Court which should remove the exclusory provision of the
Workmens Compensation Act, a provision reiterated in the present
Labor Code on employees compensation.
The problems associated with the application of the fellow servant rule,
the assumption of risk doctrine, the principle of contributory
negligence, and the many other defenses so easily raised in protracted
damage suits illustrated the need for a system whereby workers had
only to prove the fact of covered employment and the fact of injury
arising from employment in order to be compensated.
"By the turn of the century it was apparent that the toll of industrial
accidents or both the avoidable and unavoidable variety had become
enormous, and government was faced with the problem of who was to
pay for the human wreckage wrought by the dangers of modern
industry. If the accident was avoidable and could be attributed to the
carelessness of the employer, existing tort principles offered some
measure of redress. Even here, however, the woeful inadequacy of the
fault principle was manifest. The uncertainty of the outcome of torts
litigation in court placed the employee at a substantial disadvantage.
So long as liability depended on fault there could be no recovery until
the finger of blame had been pointed officially at the employer or his
agents. In most cases both the facts and the law were uncertain. The
witnesses, who were usually fellow workers of the victim, were torn
between friendship or loyalty to their class, on the one hand, and fear
of reprisal by the employer, on the other. The expense and delay of
litigation often prompted the injured employee to accept a compromise
settlement for a fraction of the full value of his claim. Even if suit were
successfully prosecuted, a large share of the proceeds of the judgment
were exacted as contingent fees by counsel. Thus the employer
against whom judgment was cast often paid a substantial damage bill,
while only a part of this endured to the benefit of the injured employee
or his dependents. The employees judgment was nearly always too
little and too late.
x x x
x x x
"In order that the compensation principle may operate properly and
with fairness to all parties it is essential that the anticipated accident
cost be predictable and that it be fixed at a figure that will not disrupt
too violently the traffic in the product of the industry affected. Thus
predictability and moderateness of cost are necessary from the broad
economic viewpoint. . . .
Endnotes:
EN BANC
SYLLABUS
DECISION
SANCHEZ, J.:
On June 18, 1966, the Chief Executive signed into law House Bill 1247,
known as Republic Act 4790, now in dispute. The body of the statute,
reproduced in haec verba, reads:jgc:chanrobles.com.ph
It came to light later that barrios Togaig and Madalum just mentioned
are within the municipality of Buldon, Province of Cotabato, and that
Bayanga, Langkong, Sarakan, Kat-bo, Digakapan, Magabo, Tabangao,
Tiongko, Colodan, and Kabamakawan are parts and parcel of another
municipality, the municipality of Parang, also in the Province of
Cotabato and not of Lanao del Sur.chanroblesvirtuallawlibrary
Prompted by the coming elections, Comelec adopted its resolution of
August 15, 1967, the pertinent portions of which
are:jgc:chanrobles.com.ph
This triggered the present original action for certiorari and prohibition
by Bara Lidasan, a resident and taxpayer of the detached portion of
Parang, Cotabato, and a qualified voter for the 1967 elections. He
prays that Republic Act 4790 be declared unconstitutional; and that
Comelecs resolutions of August 15, 1967 and September 20, 1967
implementing the same for electoral purposes, be nullified.
2. Suggestion was made that Republic Act 4790 may still be salvaged
with reference to the nine barrios in the municipalities of Butig and
Balabagan in Lanao del Sur, with the mere nullification of the portion
thereof which took away the twelve barrios in the municipalities of
Buldon and Parang in the other province of Cotabato. The reasoning
advocated is that the limited title of the Act still covers those barrios
actually in the province of Lanao del Sur.
". . . But when the parts of the statute are so mutually dependent and
connected, as conditions, considerations, inducements, or
compensations for each other, as to warrant a belief that the
legislature intended them as a whole, and that if all could not be
carried into effect, the legislature would not pass the residue
independently, then, if some parts are unconstitutional, all the
provisions which are thus dependent, conditional, or connected, must
fall with them." 11
This bill, if enacted into law, will enable the inhabitants concerned to
govern themselves and enjoy the blessings of municipal
autonomy."cralaw virtua1aw library
For the reasons given, we vote to declare Republic Act 4790 null and
void, and to prohibit respondent Commission from implementing the
same for electoral purposes.
Separate Opinions
With regret and with due recognition of the merit of the opinion of the
Court, I find myself unable to give my assent. Hence these few words
to express my stand.
Republic Act No. 4790 deals with one subject matter, the creation of
the municipality of Dianaton in the province of Lanao del Sur. The title
makes evident what is the subject matter of such an enactment. The
mere fact that in the body of such statute barrios found in two other
municipalities of another province were included does not of itself
suffice for a finding of nullity by virtue of the constitutional provision
invoked. At the most, the statute to be free from the insubstantial
doubts about its validity must be construed as not including the
barrios, located not in the municipalities of Butig and Balabagan,
Lanao del Sur, but in Parang and Buldon, Cotabato.
Wherein does the weakness of the statute lie then? To repeat, several
barrios of two municipalities outside Lanao del Sur were included in
the municipality of Dianaton of that province. That itself would not
have given rise to a constitutional question considering the broad,
well-high plenary powers possessed by Congress to alter provincial
and municipal boundaries. What justified resort to this Court was the
congressional failure to make explicit that such barrios in two
municipalities located in Cotabato would thereafter form part of the
newly created municipality of Dianaton, Lanao del Sur.
This mode of interpreting Republic Act No. 4790 finds support in basic
principles underlying precedents, which if not precisely controlling,
have a persuasive ring. In Radiowealth v. Agregado, 8 certain
provisions of the Administrative Code were interpreted and given a
"construction which would be more in harmony with the tenets of the
fundamental law." In Sanchez v. Lyon Construction, 9 this Court had a
similar ruling: "Article 302 of the Code of Commerce must be applied
in consonance with [the relevant] provisions of our Constitution." The
above principle gained acceptance at a much earlier period in our
constitutional history. Thus in a 1913 decision, In re Guaria: 10 "In
construing a statute enacted by the Philippine Commission we deem it
our duty not to give it a construction which would be repugnant to an
Act of Congress, if the language of the statute is fairly susceptible of
another construction not in conflict with the higher law. In doing so,
we think we should not hesitate to disregard contentions touching the
apparent intention of the legislator which would lead to the conclusion
that the Commission intended to enact a law in violation of the Act of
Congress. However specious the argument may be in favor of one of
two possible constructions, it must be disregarded if on examination it
is found to rest on the contention that the legislator designed an
attempt to transcend the rightful limits of his authority, and that his
apparent intention was to enact an invalid law."cralaw virtua1aw
library
It would follow then that both Philippine and American decisions unite
in the view that a legislative measure, in the language of Van Devanter
"should not be given a construction which will imperil its validity where
it is reasonably open to construction free from such peril." 15 Republic
Act No. 4790 as above construed incurs no such risk and is free from
the peril of nullity.
Endnotes:
4. Congressional Record, Vol. I, No. 40, p. 8; Vol. I, No. 50, pp. 40-41.
5. Section 18, Article VI of the Constitution,
provides:jgc:chanrobles.com.ph
8. Emphasis ours.
9. Emphasis supplied.
State v. Burr. 238 p. 585, the statute entitled "An act to amend Secs.
4318 and 4327 of the Codes of Montana relating to changing the
boundaries of Fergus and Judith Basin counties" was rendered void
because the body of the act included the boundaries of Petroleum
county.
State v. Nelson, 98 So. 715, the title of the act purporting to alter or
re-arrange the boundaries of Decatur city and the body of the act
which actually diminished the boundary lines of the city were
considered by the court as dealing with incongruous matters. The
reading of the former would give no clear suggestion that the latter
would follow and be made the subject of the act. Jackson, Clerk v.
Sherrod, 92 So. 481; City of Ensley v. Simpson, 52 So. 61, cited,
Fairview v. City of Detroit, 113 NW 368, where the title gave notice
that the entire village of Fairview is annexed to Detroit when the body
affected only a portion.
14. In the case of Fuqua v. City of Mobile, 121 So. 696, it was
asserted that the portion of the statute excluding a territory from
Mobile which was not expressed in the title "An act to alter and
rearrange the boundary lines of the city of Mobile in the state of
Alabama" should be the only portion invalidated. The court, using the
test whether or not after the objectionable feature is stricken off there
would still remain an act complete in itself, sensible, capable of being
executed, ruled that there can be no segregation of that portion
dealing with the excluded territory from that dealing with additional
territory because these two matters are all embraced and intermingled
in one section dealing with the corporate limits of the city.
4. 66 Phil. 483.
6. L-26511, October 29, 1960. The other cases that may be cited
follows People v. Carlos (1947), 78 Phil. 535; Nuval v. de la Fuente
(1953), 92 Phil. 1074; Ichong v. Hernandez (1951), 101 Phil. 1155;
Cordero v. Cabatuando, L-14542, Oct. 31, 1962; Municipality of Jose
Panganiban v. Shell Company, L-18349, July 30, 1966.
9. 87 Phil. 309 (1950), Cf. City of Manila v. Arellano Law Colleges, Inc.
(1950), 85 Phil. 663.
10. 24 Phil. 37. Justice Carson who penned the opinion cited Black on
Interpretation of Laws to this effect: "Hence it follows that the courts
will not so construe the law as to make it conflict with the constitution,
but will rather put such an interpretation upon it as will avoid conflict
with the constitution and give it full force and effect, if this can be
done without extravagance. If there is doubt, or uncertainty as to the
meaning of the legislature, if the words or provisions of the statute are
obscure, or if the enactment is fairly susceptible of two or more
constructions, that interpretation will be adopted which will avoid the
effect of unconstitutionality, even though it may be necessary, for this
purpose, to disregard the more usual or apparent impact of the
language employed."cralaw virtua1aw library
13. United States v. National Dairy Product Corp. 373 US 29, 32.
EN BANC
SYLLABUS
1. DECLARATORY RELIEF; CONDITIONS SINE QUA NON BEFORE
RELIEF CAN BE AVAILED OF. In order that a declaratory relief may
be available, the following conditions must be present: (1) there must
be a justiciable controversy; (2) the controversy must be between
persons whose interests are adverse; (3) the party seeking declaratory
relief must have a legal interest in the controversy; and (4) the issue
involved must be ripe for judicial determination (Tolentino v. The
Board of Accountancy, Et Al., G. R. No. L-3062, September 28, 1951;
Delumen, Et. Al. v. Republic of the Philippines, 50 Off. Gaz., No. 2, pp.
578, 578-579; Edades v. Edades, Et Al., G. R. No. L-8964, July 31,
1956).
10. ID.; MAIL FRAUD ORDERS, PURPOSE OF. Mail fraud orders are
designed to prevent the use of the mails as a medium for
disseminating printed matters which on grounds of public policy are
declared non- mailable. As applied to lotteries, gift enterprises and
similar schemes, justification lies in the recognized necessity to
suppress their tendency to inflame the gambling spirit and to corrupt
public morals (Com. v. Lund, 15 A. 2d., 839, 143 Pa. Super. 208).
Since in gambling it is inherent that something of value be hazarded
for a chance to gain a larger amount, it follows ineluctably that where
no consideration is paid by the contestant to participate, the reason
behind the law can hardly be said to obtain.
DECISION
CASTRO, J.:
Foreseeing the extensive use of the mails not only as amongst the
media for publicizing the contest but also for the transmission of
communications relative thereto, representations were made by Caltex
with the postal authorities for the contest to be cleared in advance for
mailing, having in view sections 1954(a), 1982 and 1983 of the
Revised Administrative Code, the pertinent provisions of which read as
follows:jgc:chanrobles.com.ph
"In view of the foregoing considerations, the Court holds that the
proposed Caltex Hooded Pump Contest announced to be conducted
by the petitioner under the rules marked as Annex B of the petition do
(sic) not violate the Postal Law and the respondent has no right to bar
the public distribution of said rules by the mails."cralaw virtua1aw
library
The parties are now before us, arrayed against each other upon two
basic issues: first, whether the petition states a sufficient cause of
action for declaratory relief; and, second, whether the proposed
"Caltex Hooded Pump Contest" violates the Postal Law. We shall take
these up in seriatim.
Against this backdrop, the stage was indeed set for the remedy prayed
for. The appellees insistent assertion of its claim to the use of the
mails for its proposed contest, and the challenge thereto and
consequent denial by the appellant of the privilege demanded,
undoubtedly spawned a live controversy. The justiciability of the
dispute cannot be gainsaid. There is an active antagonistic assertion of
a legal right on one side and a denial thereof on the other, concerning
a real not a mere theoretical question or issue. The contenders
are as real as their interest are substantial. To the appellee, the
uncertainty occasioned by the divergence of views on the issue of
construction hampers or disturbs its freedom to enhance its business.
To the appellant, the suppression of the appellees proposed contest
believed to transgress a law he has sworn to uphold and enforce is an
unavoidable duty. With the appellees bent to hold the contest and the
appellants threat to issue a fraud order therefor if carried out, the
contenders are confronted by the ominous shadow of an imminent and
inevitable litigation unless their differences are settled and stabilized
by a tranquilizing declaration (Pablo y Sen, Et. Al. v. Republic of the
Philippines, G. R. No. L-6868, April 30, 1955). And, contrary to the
insinuation of the appellant, the time is long past when it can rightly
be said that merely the appellees "desires are thwarted by its own
doubts, or by the fears of others" which admittedly does not confer
a cause of action. Doubt, if any there was, has ripened into a
justiciable controversy when, as in the case at bar, it was translated
into a positive claim of right which is actually contested (III Moran,
Comments on the Rules of Court, 1963 ed., pp. 132-133, citing:
Woodward v. Fox West Coast Theaters, 36 Ariz., 251, 284 Pac. 350).
It is not amiss to point out at this juncture that the conclusion we have
herein just reached is not without precedent. In Liberty Calendar Co.
v. Cohen, 19 N. J., 399, 117 A. 2d., 487, where a corporation engaged
in promotional advertising was advised by the county prosecutor that
its proposed sales promotion plan had the characteristics of a lottery,
and that if such sales promotion were conducted, the corporation
would be subject to criminal prosecution, it was held that the
corporation was entitled to maintain a declaratory relief action against
the county prosecutor to determine the legality of its sales promotion
plan. In pari materia, see also: Bunis v. Conway, 17 App. Div. 2d.,
207, 234 N.Y.S. 2d., 435; Zeitlin v. Arnebergh, supra.; Thrillo, Inc. v.
Scott, 15 N.J. Super. 124, 82 A. 2d., 903.
In fine, we hold that the appellee has made out a case for declaratory
relief.
"In respect to the last element of consideration, the law does not
condemn the gratuitous distribution of property by chance, if no
consideration is derived directly or indirectly from the party receiving
the chance, but does condemn as criminal schemes in which a valuable
consideration of some kind is paid directly or indirectly for the chance
to draw a prize."cralaw virtua1aw library
Nowhere in the said rules is any requirement that any fee be paid, any
merchandise be bought, any service be rendered, or any value
whatsoever be given for the privilege to participate. A prospective
contestant has but to go to a Caltex station, request for the entry form
which is available on demand, and accomplish and submit the same
for the drawing of the winner. Viewed from all angles or turned inside
out, the contest fails to exhibit any discernible consideration which
would brand it as a lottery. Indeed, even as we heed the stern
injunction, "look beyond the fair exterior, to the substance, in order to
unmask the real element and pernicious tendencies which the law is
seeking to prevent" ("El Debate", Inc. v. Topacio, supra, p. 291), we
find none. In our appraisal, the scheme does not only appear to be,
but actually is, a gratuitous distribution of property by chance.
"The fact that the holder of the drawing expects thereby to receive, or
in fact does receive, some benefit in the way of patronage or
otherwise, as a result of the drawing, does not supply the element of
consideration. Griffith Amusement Co. v. Morgan, Tex. Civ. App., 98
S.W. 2d., 844." (54 C.J.S., p. 849).
Thus enlightened, we join the trial court in declaring that the "Caltex
Hooded Pump Contest" proposed by the appellee is not a lottery that
may be administratively and adversely dealt with under the Postal
Law.chanrobles virtual lawlibrary
Taking this cue, we note that in the Postal Law, the term in question is
used in association with the word "lottery." With the meaning of lottery
settled, and consonant to the well-known principle of legal
hermeneutics noscitur a sociis which Opinion 217 aforesaid also
relied upon although only in so far as the element of chance is
concerned it is only logical that the term under construction should
be accorded no other meaning than that which is consistent with the
nature of the word associated therewith. Hence, if lottery is prohibited
only if it involves a consideration, so also must the term "gift
enterprise" be so construed. Significantly, there is not in the law the
slightest indicium of any intent to eliminate that element of
consideration from the "gift enterprise" therein included.
SECOND DIVISION
DECISION
ANTONIO, J.:
"Reposing special trust and confidence in your civic spirit, and trusting
that you will be an effective agent in the detection of crimes and in the
preservation of peace and order in the province of Batangas, especially
with respect to the suppression of trafficking in explosives, jueteng,
illegal cockfighting, cattle rustling, robbery and the detection of
unlicensed firearms, you are hereby appointed a SECRET AGENT of the
undersigned, the appointment to take effect immediately, or as soon
as you have qualified for the position. As such Secret Agent, your
duties shall be those generally of a peace officer and particularly to
help in the preservation of peace and order in this province and to
make reports thereon to me once or twice a month. It should be
clearly understood that any abuse of authority on your part shall be
considered sufficient ground for the automatic cancellation of your
appointment and immediate separation from the service. In
accordance with the decision of the Supreme Court in G.R. No. L-
12088 dated December 23, 1969, you will have the right to bear a
firearm, particularly described below, for use in connection with the
performance of your duties.
"By virtue hereof, you may qualify and enter upon the performance of
your duties by taking your oath of office and filing the original thereof
with us.
Provincial Governor
Kind: ROHM-Revolver
Make: German
SN: 64
Cal: .22"
The accused contended before the court a quo that in view of his
above-mentioned appointments as Secret Agent and Confidential
Agent, with authority to possess the firearm subject matter of the
prosecution, he was entitled to acquittal on the basis of the Supreme
Courts decisions in People v. Macarandang 2 and People v. Lucero. 3
The trial court, while conceding that on the basis of the evidence of
record the accused had really been appointed Secret Agent and
Confidential Agent by the Provincial Governor and the PC Provincial
Commander of Batangas, respectively, with authority to possess and
carry the firearm described in the complaint, nevertheless held the
accused in its decision dated December 27, 1968, criminally liable for
illegal possession of a firearm and ammunition on the ground that the
rulings of the Supreme Court in the cases of Macarandang and Lucero
were reversed and abandoned in People v. Mapa, supra. The court
considered as mitigating circumstances the appointments of the
accused as Secret Agent and Confidential Agent.
It will be noted that when appellant was appointed Secret Agent by the
Provincial Government in 1962, and Confidential Agent by the
Provincial Commander in 1964, the prevailing doctrine on the matter
was that laid down by Us in People v. Macarandang (1959) and People
v. Lucero (1958). Our decision in People v. Mapa reversing the
aforesaid doctrine came only in 1967. The sole question in this appeal
is: Should appellant be acquitted on the basis of Our rulings in
Macarandang and Lucero, or should his conviction stand in view of the
complete reversal of the Macarandang and Lucero doctrine in Mapa?
The Solicitor General is of the first view, and he accordingly
recommends reversal of the appealed judgment.
EN BANC
Amos G. Bellis, born in Texas, was "a citizen of the State of Texas and
of the United States." By his first wife, Mary E. Mallen, whom he
divorced, he had five legitimate children: Edward A. Bellis, George
Bellis (who pre-deceased him in infancy), Henry A. Bellis, Alexander
Bellis and Anna Bellis Allsman; by his second wife, Violet Kennedy,
who survived him, he had three legitimate children: Edwin G. Bellis,
Walter S. Bellis and Dorothy Bellis; and finally, he had three
illegitimate children: Amos Bellis, Jr., Maria Cristina Bellis and Miriam
Palma Bellis.chanroblesvirtualawlibrarychanrobles virtual law library
The People's Bank and Trust Company, as executor of the will, paid all
the bequests therein including the amount of $240,000.00 in the form
of shares of stock to Mary E. Mallen and to the three (3) illegitimate
children, Amos Bellis, Jr., Maria Cristina Bellis and Miriam Palma Bellis,
various amounts totalling P40,000.00 each in satisfaction of their
respective legacies, or a total of P120,000.00, which it released from
time to time according as the lower court approved and allowed the
various motions or petitions filed by the latter three requesting partial
advances on account of their respective
legacies.chanroblesvirtualawlibrarychanrobles virtual law library
On January 17, 1964, Maria Cristina Bellis and Miriam Palma Bellis
filed their respective oppositions to the project of partition on the
ground that they were deprived of their legitimes as illegitimate
children and, therefore, compulsory heirs of the
deceased.chanroblesvirtualawlibrarychanrobles virtual law library
After the parties filed their respective memoranda and other pertinent
pleadings, the lower court, on April 30, 1964, issued an order
overruling the oppositions and approving the executor's final account,
report and administration and project of partition. Relying upon Art. 16
of the Civil Code, it applied the national law of the decedent, which in
this case is Texas law, which did not provide for
legitimes.chanroblesvirtualawlibrarychanrobles virtual law library
In this regard, the parties do not submit the case on, nor even discuss,
the doctrine of renvoi, applied by this Court in Aznar v. Christensen
Garcia, L-16749, January 31, 1963. Said doctrine is usually pertinent
where the decedent is a national of one country, and a domicile of
another. In the present case, it is not disputed that the decedent was
both a national of Texas and a domicile thereof at the time of his
death.2 So that even assuming Texas has a conflict of law rule
providing that the domiciliary system (law of the domicile) should
govern, the same would not result in a reference back (renvoi) to
Philippine law, but would still refer to Texas law. Nonetheless, if Texas
has a conflicts rule adopting the situs theory (lex rei sitae) calling for
the application of the law of the place where the properties are
situated, renvoi would arise, since the properties here involved are
found in the Philippines. In the absence, however, of proof as to the
conflict of law rule of Texas, it should not be presumed different from
ours.3 Appellants' position is therefore not rested on the doctrine of
renvoi. As stated, they never invoked nor even mentioned it in their
arguments. Rather, they argue that their case falls under the
circumstances mentioned in the third paragraph of Article 17 in
relation to Article 16 of the Civil
Code.chanroblesvirtualawlibrarychanrobles virtual law library
Article 16, par. 2, and Art. 1039 of the Civil Code, render applicable
the national law of the decedent, in intestate or testamentary
successions, with regard to four items: (a) the order of succession; (b)
the amount of successional rights; (e) the intrinsic validity of the
provisions of the will; and (d) the capacity to succeed. They provide
that -
ART. 16. Real property as well as personal property is subject to the
law of the country where it is
situated.chanroblesvirtualawlibrarychanrobles virtual law library
prevails as the exception to Art. 16, par. 2 of the Civil Code afore-
quoted. This is not correct. Precisely, Congress deleted the phrase,
"notwithstanding the provisions of this and the next preceding article"
when they incorporated Art. 11 of the old Civil Code as Art. 17 of the
new Civil Code, while reproducing without substantial change the
second paragraph of Art. 10 of the old Civil Code as Art. 16 in the new.
It must have been their purpose to make the second paragraph of Art.
16 a specific provision in itself which must be applied in testate and
intestate succession. As further indication of this legislative intent,
Congress added a new provision, under Art. 1039, which decrees that
capacity to succeed is to be governed by the national law of the
decedent.chanroblesvirtualawlibrarychanrobles virtual law library
Appellants would also point out that the decedent executed two wills -
one to govern his Texas estate and the other his Philippine estate -
arguing from this that he intended Philippine law to govern his
Philippine estate. Assuming that such was the decedent's intention in
executing a separate Philippine will, it would not alter the law, for as
this Court ruled in Miciano v. Brimo, 50 Phil. 867, 870, a provision in a
foreigner's will to the effect that his properties shall be distributed in
accordance with Philippine law and not with his national law, is illegal
and void, for his national law cannot be ignored in regard to those
matters that Article 10 - now Article 16 - of the Civil Code states said
national law should govern.chanroblesvirtualawlibrarychanrobles
virtual law library
The parties admit that the decedent, Amos G. Bellis, was a citizen of
the State of Texas, U.S.A., and that under the laws of Texas, there are
no forced heirs or legitimes. Accordingly, since the intrinsic validity of
the provision of the will and the amount of successional rights are to
be determined under Texas law, the Philippine law on legitimes cannot
be applied to the testacy of Amos G.
Bellis.chanroblesvirtualawlibrarychanrobles virtual law library
Endnotes:
1
He later filed a motion praying that as a legal heir he be included in
this case as one of the oppositors-appellants; to file or adopt the
opposition of his sisters to the project of partition; to submit his brief
after paying his proportionate share in the expenses incurred in the
printing of the record on appeal; or to allow him to adopt the briefs
filed by his sisters - but this Court resolved to deny the motion.
2
San Antonio, Texas was his legal residence.
3
Lim vs. Collector, 36 Phil. 472; In re Testate Estate of Suntay, 95
Phil. 500.
Wala 124110
THIRD DIVISION
SYLLABUS
5. ID.; ID.; ID.; ID.; EXCEPTION. Thus, a party injured by the filing
of a court case against him, even if he is later on absolved, may file a
case for damages grounded either on the principle of abuse of rights,
or on malicious prosecution. As earlier stated, a complaint for damages
based on malicious prosecution will prosper only if the three (3)
elements aforecited are shown to exist. In the case at bar, the second
and third elements were not shown to exist. It is well-settled that one
cannot be held liable for maliciously instituting a prosecution where
one has acted with probable cause. "Probable cause is the existence of
such facts and circumstances as would excite the belief, in a
reasonable mind, acting on the facts within the knowledge of the
prosecutor, that the person charged was guilty of the crime for which
he was prosecuted. In other words, a suit will lie only in cases where a
legal prosecution has been carried on without probable cause. The
reason for this rule is that it would be a very great discouragement to
public justice, if prosecutors, who had tolerable ground of suspicion,
were liable to be sued at law when their indictment miscarried" (Que
v. Intermediate Appellate Court, 169 SCRA 137 [1989]). The presence
of probable cause signified, as a legal consequence, the absence of
malice. In the instant case, it is evident that petitioners were not
motivated by malicious intent or by sinister design to unduly harass
private respondent, but only by a well-founded anxiety to protect their
rights when they filed the criminal complaint against
private Respondent. "To constitute malicious prosecution, there must
be proof that the prosecution was prompted by a sinister design to vex
and humiliate a person, that it was initiated deliberately by the
defendant knowing that his charges where false and groundless.
Concededly, the mere act of submitting a case to the authorities for
prosecution does not make one liable for malicious prosecution. Proof
and motive that the institution of the action was prompted by a
sinister design to vex and humiliate a person must be clearly and
preponderantly established to entitle the victims to damages."cralaw
virtua1aw library
DECISION
BIDIN, J.:
When presented for payment, the check was dishonored for the reason
"Account Closed." Thereafter, petitioner Albenson, through counsel,
traced the origin of the dishonored check. From the records of the
Securities and exchange Commission (SEC), Albenson discovered that
the president of Guaranteed, the recipient of the unpaid mild steel
plates, was one "Eugenio S. Baltao." Upon further inquiry, Albenson
was informed by the Ministry of Trade and Industry that E.L.
Woodworks, a single proprietorship business, was registered in the
name of one "Eugenio Baltao." In addition, upon verification with the
drawee bank, Pacific Banking Corporation, Albenson was advised that
the signature appearing on the subject check belonged to one
"Eugenio Baltao"
On February 14, 1983, Albenson filed with the Office of the Provincial
Fiscal of Rizal a complaint against Eugenio S. Baltao for violation of
Batas Pambansa Bilang 22. Submitted to support said charges was an
affidavit of petitioner Benjamin Mendiona, an employee of Albenson. In
said affidavit, the above-mentioned circumstances were stated.
Because of the alleged unjust filing of a criminal case against him for
allegedly issuing a check which bounced in violation of Batas
Pambansa Bilang 22 for a measly amount of P2,575.00, respondent
Baltao filed before the Regional Trial Court of Quezon City a complaint
for damages against herein petitioners Albenson Enterprises, Jesse
Yap, its owner, and Benjamin Mendiona, its employee.
In its decision, the lower court observed that "the check is drawn
against the account of E.L. Woodworks, not of Guaranteed Industries
of which plaintiff used to be President. Guaranteed Industries had been
inactive and had ceased to exist as a corporation since 1975 . . . The
possibility is that it was with Gene Baltao or Eugenio Baltao III, a son
of plaintiff who had a business on the ground floor of Baltao Building
located on V. Mapa Street, that the defendants may have been dealing
with. . . ." (Rollo, pp. 41-42).
5. costs.
Petitioners contend that the civil case filed in the lower court was one
for malicious prosecution. Citing the case of Madera v. Lopez (102
SCRA 700 [1981]), they assert that the absence of malice on their part
absolves them from any liability for malicious prosecution. Private
respondent, on the other hand, anchored his complaint for Damages
on Article 19, 20 and 21 * of the Civil Code.
Thus, under any of these three (3) provisions of law, an act which
causes injury to another may be made the basis for an award of
damages.
There is a common element under Articles 19 and 21, and that is, the
act must be intentional. However, Article 20 does not distinguish: the
act may be done either "willfully", or "negligently." The trial court as
well as the respondent appellate court mistakenly lumped these three
(3) articles together, and cited the same as the bases for the award of
damages in the civil complaint filed against petitioners,
thus:jgc:chanrobles.com.ph
"With the foregoing legal provisions (Articles 19, 20, and 21) in focus,
there is not much difficulty in ascertaining the means by which
appellants first assigned error should be resolved, given the admitted
fact that when there was an attempt to collect the amount of
P2,575.00, the defendants were explicitly warned that plaintiff Eugenio
S. Baltao is not the Eugenio Baltao defendants had been dealing with
(supra, p.5). When the defendants nevertheless insisted and persisted
in filing a case a criminal case no less against plaintiff, said
defendants ran afoul of the legal provisions (Articles 19, 20, and 21 of
the Civil Code) cited by the lower court and heretofore quoted
(supra)."cralaw virtua1aw library
Assuming, arguendo, that all the three (3) articles, together and not
independently of each one, could be validly made the bases for an
award of damages based on the principle of "abuse of right", under the
circumstances, We see no cogent reason for such an award of
damages to be made in favor of private Respondent.
The criminal complaint filed against private respondent after the latter
refused to make good the amount of the bouncing check despite
demand was a sincere attempt on the part of petitioners to find the
best possible means by which they could collect the sum of money due
them. A person who has not been paid an obligation owed to him will
naturally seek ways to compel the debtor to pay him. It was normal
for petitioners to find means to make the issuer of the check pay the
amount thereof. In the absence of a wrongful act or omission or of
fraud or bad faith, moral damages cannot be awarded and that the
adverse result of an action does not per se make the action wrongful
and subject the actor to the payment of damages, for the law could
not have meant to impose a penalty on the right to litigate (Rubio v.
Court of Appeals, 141 SCRA 488 [1986]).
In the case at bar, private respondent does not deny that the mild
steel plates were ordered by and delivered to Guaranteed at Baltao
building and as part payment thereof, the bouncing check was issued
by one Eugenio Baltao. Neither had private respondent conveyed to
petitioner that there are two Eugenio Baltaos conducting business in
the same building - he and his son Eugenio Baltao III. Considering that
Guaranteed, which received the goods in payment of which the
bouncing check was issued is owned by respondent, petitioner acted in
good faith and probable cause in filing the complaint before the
provincial fiscal:chanrob1es virtual 1aw library
Thus, a party injured by the filing of a court case against him, even if
he is later on absolved, may file a case for damages grounded either
on the principle of abuse of rights, or on malicious prosecution. As
earlier stated, a complaint for damages based on malicious prosecution
will prosper only if the three (3) elements aforecited are shown to
exist. In the case at bar, the second and third elements were not
shown to exist. It is well-settled that one cannot be held liable for
maliciously instituting a prosecution where one has acted with
probable cause. "Probable cause is the existence of such facts and
circumstances as would excite the belief, in a reasonable mind, acting
on the facts within the knowledge of the prosecutor, that the person
charged was guilty of the crime for which he was prosecuted. In other
words, a suit will lie only in cases where a legal prosecution has been
carried on without probable cause. The reason for this rule is that it
would be a very great discouragement to public justice, if prosecutors,
who had tolerable ground of suspicion, were liable to be sued at law
when their indictment miscarried" (Que v. Intermediate Appellate
Court, 169 SCRA 137 [1989]).chanrobles virtualawlibrary
chanrobles.com:chanrobles.com.ph
Furthermore, the adverse result of an action does not per se make the
act wrongful and subject the actor to the payment of moral damages.
The law could not have meant to impose a penalty on the right to
litigate, such right is so precious that moral damages may not be
charged on those who may even exercise it erroneously. And an
adverse decision does not ipso facto justify the award of attorneys
fees to the winning party (Garcia v. Gonzales, 183 SCRA 72 [1990]).
SO ORDERED.
Endnotes:
[G.R. No. 1299. November 16, 1903. ]
SYLLABUS
DECISION
TORRES, J. :
In a decision dated February 9, 1903, the judge of the Sixth Judicial
District, deciding a case brought by the plaintiff against the defendant
for the recovery of wages due and unpaid, gave judgment against the
latter for the sum of $600 and the costs of suit, less the sum of $50,
Mexican.
On August 27, 1902, Don Vicente Perez filed in the Court of First
Instance of Laguna a complaint, which was amended on the 17th of
January of this year, asking that the court determine the amount due
the plaintiff, at the customary rate of compensation for interpreting in
these Islands, for services rendered the Tabacalera Company, and
that, in view of the circumstances of the case, judgment be rendered
in his favor for such sum. The complaint also asked that the defendant
be condemned to the payment of damages in the sum of $3,200, gold,
together with the costs of suit. In this complaint it was alleged that
Don Eugenio Pomar, as general agent of the Compania General de
Tabacos in the said province, verbally requested the plaintiff on the
8th of December, 1901, to act as interpreter between himself and the
military authorities, that after the date mentioned the plaintiff
continued to render such services up to and including May 31, 1902;
that he had accompanied the defendant, Pomar during that time at
conferences between the latter and the colonel commanding the local
garrison, and with various officers and doctors residing in the capital,
and at conferences with Captain Lemen in the town of Pilar, and with
the major in command at the town of Pagsanjan, concerning the
shipment of goods from Manila, and with respect to goods shipped
from the towns of Santa Cruz, Pilar, and Pagsanjan to this city; that
the plaintiff during this period of time was at the disposal of the
defendant, Pomar, and held himself in readiness to render services
whenever required; that on this account his private business, and
especially a soap factory established in the capital, was entirely
abandoned; that to the end that such services might be punctually
rendered, the agent, Pomar, assured him that the Tabacalera
Company always generously repaid services rendered it, and that he
therefore did not trouble himself about his inability to devote the
necessary amount of time to his business, the defendant going so far
as to make him flattering promises of employment with the company,
which he did not accept; that these statements were made in the
absence of witnesses and that therefore his only proof as to the same
was Mr. Pomars word as a gentleman; that the employees of the
company did not understand English, and by reason of the plaintiffs
mediation between the agent and the military authorities large profits
were obtained, as would appear from the account and letterpress
books of the agency corresponding to those dates. In the amended
complaint it was added that the defendant, on behalf of the company,
offered to remunerate the plaintiff for the services rendered in the
most advantageous manner in which such services are compensated,
in view of the circumstances under which they were requested; and
that the plaintiff, by rendering the company such services, was obliged
to abandon his own business, the manufacture of soap, and thereby
suffered damages in the sum of $3,200, United States currency.
From the oral testimony introduced at the trial, it appears that the
plaintiff, Perez, did on various occasions render Don Eugenio Pomar
services as interpreter of English; and that he obtained passes and
accompanied the defendant upon his journeys to some of the towns in
the Province of Laguna. It does not appear from the evidence,
however, that the plaintiff was constantly at the disposal of the
defendant during the period of six months or that he rendered services
as such interpreter continuously and daily during that period of time.
It does not appear that any written contract was entered into between
the parties for the employment of the plaintiff as interpreter, or that
any other innominate contract was entered into; but whether the
plaintiffs services were solicited or whether they were offered to the
defendant for his assistance, inasmuch as these services were
accepted and made use of by the latter, we must consider that there
was a tacit and mutual consent as to the rendition of the services. This
gives rise to the obligation upon the person benefited by the services
to make compensation therefor, since the bilateral obligation to render
service as interpreter, on the one hand, and on the other to pay for
the services rendered, is thereby incurred. (Arts. 1088, 1089, and
1262 of the Civil Code). The supreme court of Spain in its decision of
February 12, 1889, holds, among other things, "that not only is there
an express and tacit consent which produces real contracts but there is
also a presumptive consent which is the basis of quasi contracts, this
giving rise to the multiple juridical relations which result in obligations
for the delivery of a thing or the rendition of a service."cralaw
virtua1aw library
The consideration for the contract is also evident, it being clear that a
mutual benefit was derived in consequence of the service rendered. It
is to be supposed that the defendant accepted these services and that
the plaintiff in turn rendered them with the expectation that the
benefit would be reciprocal. This shows the concurrence of the three
elements necessary under article 1261 of the Civil Code to constitute a
contract of lease of service, or other innominate contract, from which
an obligation has arisen and whose fulfillment is now demanded.
Article 1254 of the Civil Code provides that a contract exists the
moment that one or more persons consent to be bound. With respect
to another or others, to deliver some thing or to render some service.
Article 1255 provides that the contracting parties may establish such
covenants, terms, and conditions as they deem convenient, provided
they are not contrary to law, morals, or public policy. Whether the
service was solicited or offered, the fact remains that Perez rendered
to Pomar services as interpreter. As it does not appear that he did this
gratuitously, the duty is imposed upon the defendant, he having
accepted the benefit of the service, to pay a just compensation
therefor, by virtue of the innominate contract of facio ut des implicitly
established.
The obligations arising from this contract are reciprocal, and, apart
from the general provisions with respect to contracts and obligations,
the special provisions concerning contracts for lease of services are
applicable by analogy.
In contracts the will of the contracting parties is law, this being a legal
doctrine based upon the provisions of articles 1254, 1258, 1262, 1278,
1281, 1282, and 1289 of the Civil Code. If it is a fact sufficiently
proven that the defendant, Pomar, on various occasions consented to
accept an interpreters services, rendered in his behalf and not
gratuitously, it is but just that he should pay a reasonable
remuneration therefor, because it is a well-known principle of law that
no one should be permitted to enrich himself to the damage of
another.
Upon the supposition that the recovery of the plaintiff should not
exceed 200 Mexican pesos, owing to the inconsiderable number of
times he acted as interpreter, it is evident that the contract thus
implicitly entered into was not required to be in writing and that
therefore it does not fall within article 1280 of the Civil Code; nor is it
included within the provisions of section 335 of the Code of Civil
Procedure, as this innominate contract is not covered by that section.
The contract of lease of services is not included in any of the cases
expressly designated by that section of the procedural law, as affirmed
by the Appellant. The interpretation of the other articles of the Code
alleged to have been infringed has also been stated fully in this
opinion.
For the reasons stated, we are of the opinion that judgment should be
rendered against Don Eugenio Pomar for the payment to the plaintiff
of the sum of 200 Mexican pesos, from which will be deducted the sum
of 50 pesos due the defendant by the plaintiff. No special declaration is
made as to the costs of this instance. The judgment below is
accordingly affirmed in so far as it agrees with this opinion, and
reversed in so far as it may be in conflict therewith. Judgment will be
entered accordingly twenty days after this decision is filed.
Separate Opinions
tHIRD dIVISION
After a careful study of the records, this Office sustains the action
taken by the Superintendent in penalizing the adviser of the Club as
well as the officers and members thereof by dropping them from
membership therein. However, this Office is convinced that Violets M.
Delmo had acted in good faith, in her capacity as Club Treasurer, in
extending loans to the officers and members of the Student
partnership Club. Resolution No. 2 authorizing the Club treasurer to
discharge finds to students in need of financial assistance and other
humanitarian purposes had been approved by the Club adviser, Mr.
Jesse Dagoon, with the notation that approval was given in his
capacity as adviser of the Club and extension of the Superintendent's
personality. Aside from misleading the officers and members of the
Club, Mr. Dagoon, had unsatisfactorily explained why he failed to give
the Constitution and By-Laws of the Club to the Superintendent for
approval despite his assurance to the Club president that he would do
so. With this finding of negligence on the part of the Club adviser, not
to mention laxity in the performance of his duties as such, this Office
considers as too severe and unwarranted that portion of the
questioned order stating that Violeta Delmo "shall not be a candidate
for any award or citation from this school or any organization in this
school." Violeta Delmo, it is noted, has been a consistent full scholar of
the school and she alone has maintained her scholarship. The decision
in question would, therefore, set at naught all her sacrifice and
frustrate her dreams of graduating with honors in this year's
commencement exercises.chanroblesvirtualawlibrary chanrobles virtual
law library
In view of all the foregoing, this Office believes and so holds and
hereby directs that appellant Violeta. M. Delmo, and for that matter all
other Club members or officers involved in this case, be not deprived
of any award, citation or honor from the school, if they are otherwise
entitled thereto. (Rollo, pp. 28-30)
On April 27, 1966, the petitioner received by mail the decision of the
Director and all the records of the case. On the same day, petitioner
received a telegram stating the following:
The Director asked for the return only of the records but the petitioner
allegedly mistook the telegram as ordering him to also send the
decision back. On the same day, he returned by mail all the records
plus the decision of the Director to the Bureau of Public
Schools.chanroblesvirtualawlibrary chanrobles virtual law library
The next day, the petitioner received another telegram from the
Director order him to furnish Delmo with a copy of the decision. The
petitioner, in turn, sent a night letter to the Director informing the
latter that he had sent the decision back and that he had not retained
a copy thereof..chanroblesvirtualawlibrary chanrobles virtual law
library
To delay the matter further, the petitioner on May 5, 1966, wrote the
Director for a reconsideration of the latters" decision because he
believed that Delmo should not be allowed to graduate with honors.
The Director denied the petitioner's
request.chanroblesvirtualawlibrary chanrobles virtual law library
On July 12, 1966, the petitioner finally instructed the Registrar of the
school to enter into the scholastic records of Delmo the honor, "Magna
Cum Laude." chanrobles virtual law library
On July 30, 1966, Delmo, then a minor, was joined by her parents in
flag action for damages against the petitioner. During the pendency of
the action, however, Delmo passed away, and thus, an Amended and
Supplemental Complaint was filed by her parents as her sole and only
heirs.chanroblesvirtualawlibrary chanrobles virtual law library
The trial court after hearing rendered judgment against the petitioner
and in favor of the spouses Delmo. The court said:
Another badge of the defendan'ts want of good faith is the fact that,
although, he kaew as early as April 27,1966 that per on of r
Bernardino, Exhibit "L," he was directed to give honors to Miss Delmo,
he kept Id information to . He told the Court that he knew that the
letter of Director Bernardino directed him not to deprive Miss Delmo
the honors due her, but she (sic) says that he has not finished reading
the letter-decision, Exhibit "L," of Director Bernardino 0, him to give
honors to Miss Delmo. (Tsn, Feb. 5, 1974, testimony of Mr. Ledesma,
pp. .33-35). It could not be true that he has not finished reading the
letter-decision, Exh. "L," because said letter consisted of only three
pages, and the portion which directed that Miss Delmo "be not
deprived of any award, citation or honor from the school, if otherwise
entitled thereto is found at the last paragraph of the same. How did he
know the last paragraph if he did not read the
letter.chanroblesvirtualawlibrary chanrobles virtual law library
Defendants actuations regarding Miss Delmo's cam had been one of
bias and prejudice. When his action would favor him, he was deliberate
and aspect to the utter prejudice and detriment of Miss Delmo. Thus,
although, as early as April 27, 1966, he knew of the exoneration of
Miss Delino by Director Bernardino, he withheld the information from
Miss Delmo. This is eloquently dramatized by Exh. "11" and Exh. "13"
On April 29,1966, Director Bernardino cabled him to furnish Violeta
Delmo copy of the Decision, Exh. "L," but instead of informing Miss
Delmo about the decision, since he said he mailed back the decision on
April 28,1966, he sent a night letter on April 29,1966, to Director
Bernardino, informing the latter that he had returned the decision
(Exh. "l3"), together with the record. Why a night letter when the
matter was of utmost urgency to the parties in the case, because
graduation day was only four days ahead? An examination of the
telegrams sent by the defendant shows that he had been sending
ordinary telegram and not night letters. (Exh. "5", Exhibit "7"). At
least, if the defendant could not furnish a copy of the decision, (Exh.
"L"), to Miss Delmo, he should have told her about it or that Miss
Delmo's honors and citation in the commencement be announced or
indicated. But Mr. Ledesma is one who cannot admit a mistake. Very
ungentlemanly this is home out by his own testimony despite his
knowledge that his decision to deprive Miss Delmo of honors due to
her was overturned by Director Bernardino, he on his wrong belief. To
quote the defendant,1 believed that she did not deserve those
honors(Tsn Feb. 5, 1974, p. 43,Empasized supplied). Despite the
telegram of Director Bernardino which the defendant received hours
before the commencement executory on May 3-4,1966, he did not
obey Director Bernardino because he said in his testimony that he
would be embarrassment . Tan Feb 5,1974, P. 46). Evidently, he knew
only his embarrassment and not that of r Bernardino whose order was
being flagrantly and wantonly disregarded by bim And certainly, not
the least of Miss Delmo's embarrassment. His acts speak eloquently of
ho bad faith and unjust of mindwarped by his delicate sensitivity for
having been challenged by Miss Delmo, a mere
student.chanroblesvirtualawlibrarychanrobles virtual law library
The trial court awarded P20,000.00 to the estate of Violeta Delmo and
P10,000.00 to her parents for moral damages; P5,000.00 for nominal
damages to Violeta's estate; exemplary damages of P10,000.00 and
P2,000.00 attorney's fees.chanroblesvirtualawlibrarychanrobles virtual
law library
The issues raised in this petition can be reduced to the sole question of
whether or not the respondent Court of Appeals erred in affirming the
trial court's finding that petitioner is liable for damages under Article
27 of the New Civil Code.chanroblesvirtualawlibrary chanrobles virtual
law library
We find no reason why the findings of the trial and appellate courts
should be reversed. It cannot be disputed that Violeta Delmo went
through a painful ordeal which was brought about by the petitioner's
neglect of duty and callousness. Thus, moral damages are but proper.
As we have affirmed in the case of (Prudenciado v. Alliance Transport
System, Inc., 148 SCRA 440, 448):
Third, assuming that defendant could not furnish Miss Delmo of a copy
of the decision, he could have used his discretion and plain common
sense by informing her about it or he could have directed the inclusion
of Miss Delmo's honor in the printed commencement program or
announced it during the commencement
exercises.chanroblesvirtualawlibrary chanrobles virtual law library
Fifth, defendant did not even extend the courtesy of meeting Mr.
Pacifico Delmo, father of Miss Delmo, who tried several times to see
defendant in his office thus Mr. Delmo suffered extreme
disappointment and humiliation.chanroblesvirtualawlibrarychanrobles
virtual law library
SO ORDERED.