Admin Case Digest

ADMINISTRATIVE LAW CASE DIGESTS
DELEGATION OF POWERS TO ADMINISTRATIVE AGENCIES COMPANIA GENERAL DE TABACOS DE FILIPINAS vs. THE BOARD OF PUBLIC UTILITY COMMISSIONERS G.R. No. L-11216 Marc 6! 1"16 Fac#$% COMPANIA GENERAL DE TABACOS DE FILIPINAS is a foreign corporation organized nder t!e "a#s of Spain and engaged in $ siness in t!e %!i"ippine Is"ands as a co&&on carrier of passengers and &erc!andise $' #ater( )n * ne +, -.-/, t!e 0oard of % $"ic 1ti"it' Co&&issioners iss ed and ca sed to $e served an order to s!o# ca se #!' t!e' s!o "d not $e re2 ired to present detai"ed ann a" reports respecting its finances and operations respecting t!e vesse"s o#ned and operated $' it, in t!e for& and containing t!e &atters indicated $' t!e &ode" attac!ed to t!e petition. T!e' are ordered to present ann a""' on or $efore Marc! first of eac! 'ear a detai"ed report of finances and operations of s c! vesse"s as are operated $' it as a co&&on carrier #it!in t!e %!i"ippine Is"ands, in t!e for& and containing t!e &atters indicated in t!e &ode" of ann a" report #!ic! acco&panied t!e order to s!o# ca se !erein. COMPANIA GENERAL DE TABACOS DE FILIPINAS denied t!e a t!orit' of t!e $oard to re2 ire t!e report as3ed for on t!e gro nd t!at t!e provision of Act No. 456+ re"ied on $' said $oard as a t!orit' for s c! re2 ire&ent #as, if constr ed as conferring s c! po#er, inva"id as constit ting an n"a#f " atte&pt on t!e part of t!e Legis"at re to de"egate "egis"ative po#er to t!e $oard. It is c &$erso&e and nnecessari"' pro"i7 and t!at t!e preparation of t!e sa&e
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#o "d entai" an i&&ense a&o nt of c"erica" #or3.8 ISSUE% W!et!er or not it is constit tiona" to re2 ire COMPANIA GENERAL DE TABACOS DE FILIPINAS #o &a$$ a '(#a)*(' r(&or# #o # ( 0oard of % $"ic 1ti"it' Co&&issioners of t!e %!i"ippine Is"ands9 W!et!er t!e po#er to re2 ire t!e detai"ed report is strict"' "egis"ative, or ad&inistrative, or &ere"' re"ates to t!e e7ec tion of t!e "a#9 HELD% T!e order appea"ed fro& is set aside and t!e ca se is ret rned to t!e 0oard of % $"ic 1ti"it' Co&&issioners #it! instr ctions to dis&iss t!e proceeding. RULING% T!e section of Act No. 456+ nder #!ic! t!e 0oard of % $"ic 1ti"it' Co&&issioners re"ies for its a t!orit', so far as pertinent to t!e case at !and, reads as fo""o#s( Sec. -:. T!e 0oard s!a"" !ave po#er, after !earing, pon notice, $' order in #riting, to re2 ire ever' p $"ic ti"it' as !erein defined( ;e< To f rnis! ann a""' a detai"ed report of finances and operations, in s c! for& and containing s c! &atters as t!e 0oard &a' fro& ti&e to ti&e $' order prescri$e. T!e stat te #!ic! a t!orizes a 0oard of % $"ic 1ti"it' Co&&issioners to re2 ire detai"ed reports fro& p $"ic ti"ities, "eaving t!e nat re of t!e report, t!e contents t!ereof, t!e genera" "ines #!ic! it s!a"" fo""o#, t!e princip"e pon #!ic! it s!a"" proceed, indeed, a"" ot!er &atters #!atsoever, to t!e e7c" sive discretion of t!e $oard, is not e7pressing its o#n #i"" or t!e #i"" of t!e State #it! respect to t!e p $"ic ti"ities to #!ic! it refers.
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S c! a provision does not dec"are, or set o t, or indicate #!at infor&ation t!e State re2 ires, #!at is va" a$"e to it, #!at it needs in order to i&pose correct and = st ta7ation, s pervision or contro", or t!e facts #!ic! t!e State & st !ave in order to dea" = st"' and e2 ita$"' #it! s c! p $"ic ti"ities and to re2 ire t!e& to dea" = st"' and e2 ita$"' #it! t!e State. T!e Legis"at re see&s si&p"' to !ave a t!orized t!e 0oard of % $"ic 1ti"it' Co&&issioners to re2 ire #!at infor&ation t!e $oard #ants. It #o "d see& t!at t!e Legis"at re, $' t!e provision in 2 estion, de"egated to t!e 0oard of % $"ic 1ti"it' Co&&issioners a"" of its po#ers over a given s $=ect>&atter in a &anner a"&ost a$so" te, and #it!o t "a'ing do#n a r "e or even &a3ing a s ggestion $' #!ic! t!at po#er is to $e directed, g ided or app"ied. T!e tr e distinction is $et#een t!e de"egation of po#er to &a3e t!e "a#, #!ic! necessari"' invo"ves a discretion as to #!at s!a"" $e, and conferring a t!orit' or discretion as to its e7ec tion, to $e e7ercised nder and in p rs ance of t!e "a#. T!e first cannot $e done? to t!e "atter no va"id o$=ection can $e &ade. T!e S pre&e Co rt !e"d t!at t!ere #as no de"egation of "egis"ative po#er, it said( T!e Congress &a' not de"egate its p re"' "egis"ative po#ers to a co&&ission, $ t, !aving "aid do#n t!e genera" r "es of action nder #!ic! a co&&ission s!a"" proceed, it &a' re2 ire of t!at co&&ission t!e app"ication of s c! r "es to partic "ar sit ations and t!e investigation of facts, #it! a vie# to &a3ing orders in a partic "ar &atter #it!in t!e r "es "aid do#n $' t!e Congress. In section 46 ;of t!e Co&&erce Act<, Congress !as a t!orized t!e co&&ission to re2 ire ann a" reports. The act itself prescribes in detail what those reports shall contain. In ot!er #ords, Congress
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!as "aid do#n genera" r "es for t!e g idance of t!e Co&&ission, "eaving to it merely the carrying out of details in t!e e7ercise of t!e po#er so conferred. T!is, #e t!in3, is not a de"egation of "egis"ative a t!orit'. In t!e case at $ar t!e provision co&p"ained of does not "a# 8do#n t!e genera" r "es of action nder #!ic! t!e co&&ission s!a"" proceed.8 nor does it itse"f prescri$e in detai" #!at t!ose reports s!a"" contain. %ractica""' ever't!ing is "eft to t!e = dg&ent and discretion of t!e 0oard of % $"ic 1ti"it' Co&&issioners, #!ic! is nrestrained as to #!en it s!a"" act, #!' it s!a"" act, !o# it s!a"" act, to #!at e7tent it s!a"" act, or #!at it s!a"" act pon. T!e Legis"at re, $' t!e provision in 2 estion, !as a$dicated its po#ers and f nctions in favor of t!e 0oard of % $"ic 1ti"it' Co&&issioners #it! respect to t!e &atters t!erein referred to, and t!at s c! Act is in vio"ation of t!e Act of Congress of * "' -, -.64. T!e Legis"at re, $' t!e provision referred to, !as not as3ed for t!e infor&ation #!ic! t!e State #ants $ t !as a t!orized and $oard to o$tain t!e infor&ation #!ic! t!e $oard #ants. US /$ Ta0. Ho 11"222 G.R. 13122 Fac#$% At its specia" session of -.-., t!e %!i"ippine Legis"at re passed Act No. 4@:@, entit"ed 8An Act pena"izing t!e &onopo"' and !o"ding of, and spec "ation in, pa"a', rice, and corn nder e7traordinar' circ &stances, reg "ating t!e distri$ tion and sa"e t!ereof, and a t!orizing t!e Governor> Genera", #it! t!e consent of t!e Co nci" of State, to iss e t!e necessar' r "es and reg "ations t!erefor, and &a3ing an appropriation for t!is p rpose8.
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Section 5 defines #!at s!a"" constit te a &onopo"' or !oarding of pa"a', rice or corn #it!in t!e &eaning of t!is Act, $ t does not specif' t!e price of rice or define an' $asic for fi7ing t!e price. A g st -, -.-., t!e Governor>Genera" iss ed a proc"a&ation fi7ing t!e price at #!ic! rice s!o "d $e so"d. T!en, on A g st @, -.-., a co&p"aint #as fi"ed against t!e defendant, Ang Tang Ao, c!arging !i& #it! t!e sa"e of rice at an e7cessive price. 1pon t!is c!arge, !e #as tried, fo nd g i"t' and sentenced. T!e officia" records s!o# t!at t!e Act #as to ta3e effect on its approva"? t!at it #as approved * "' 56, -.-.? t!at t!e Governor>Genera" iss ed !is proc"a&ation on t!e -st of A g st, -.-.? and t!at t!e "a# #as first p $"is!ed on t!e -5t! of A g st, -.-.? and t!at t!e proc"a&ation itse"f #as first p $"is!ed on t!e 46t! of A g st, -.-.. I$$4(% W)N t!e de"egation of "egis"ative po#er to t!e Governor Genera" #as va"id. H(*'% 0' t!e )rganic La#, a"" Legis"ative po#er is vested in t!e Legis"at re, and t!e po#er conferred pon t!e Legis"at re to &a3e "a#s cannot $e de"egated to t!e Governor>Genera", or an'one e"se. T!e Legis"at re cannot de"egate t!e "egis"ative po#er to enact an' "a#. T!e case of t!e 1nited States S pre&e Co rt, s pra dea"t #it! r "es and reg "ations #!ic! #ere pro& "gated $' t!e Secretar' of Agric "t re for Govern&ent "and in t!e forest reserve. T!ese decisions !o"d t!at t!e "egis"ative on"' can enact a "a#, and t!at it cannot de"egate it "egis"ative a t!orit'. T!e "ine of c"eavage $et#een #!at is and #!at is not a de"egation of "egis"ative
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po#er is pointed o t and c"ear"' defined. As t!e S pre&e Co rt of Wisconsin sa's( T!at no part of t!e "egis"ative po#er can $e de"egated $' t!e "egis"at re to an' ot!er depart&ent of t!e govern&ent, e7ec tive or = dicia", is a f nda&enta" princip"e in constit tiona" "a#, essentia" to t!e integrit' and &aintenance of t!e s'ste& of govern&ent esta$"is!ed $' t!e constit tion. W!ere an act is c"ot!ed #it! a"" t!e for&s of "a#, and is co&p"ete in and of itse"f, it &a' $e provided t!at it s!a"" $eco&e operative on"' pon so&e certain act or event, or, in "i3e &anner, t!at its operation s!a"" $e s spended. T!e "egis"at re cannot de"egate its po#er to &a3e a "a#, $ t it can &a3e a "a# to de"egate a po#er to deter&ine so&e fact or state of t!ings pon #!ic! t!e "a# &a3es, or intends to &a3e, its o#n action to depend. It & st $e conceded t!at, after t!e passage of act No. 4@:@, and $efore an' r "es and reg "ations #ere pro& "gated $' t!e Governor>Genera", a dea"er in rice co "d se"" it at an' price, even at a peso per 8ganta,8 and t!at !e #o "d not co&&it a cri&e, $eca se t!ere #o "d $e no "a# fi7ing t!e price of rice, and t!e sa"e of it at an' price #o "d not $e a cri&e. T!at is to sa', in t!e a$sence of a proc"a&ation, it #as not a cri&e to se"" rice at an' price. Aence, it & st fo""o# t!at, if t!e defendant co&&itted a cri&e, it #as $eca se t!e Governor>Genera" iss ed t!e proc"a&ation. T!ere #as no act of t!e Legis"at re &a3ing it a cri&e to se"" rice at an' price, and #it!o t t!e proc"a&ation, t!e sa"e of it at an' price #as to a cri&e. W!en Act No. 4@:@ is ana"'zed, it is t!e vio"ation of t!e proc"a&ation of t!e Governor>Genera" #!ic! constit tes t!e cri&e. Wit!o t t!at proc"a&ation, it #as
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no cri&e to se"" rice at an' price. In ot!er #ords, t!e Legis"at re "eft it to t!e so"e discretion of t!e Governor>Genera" to sa' #!at #as and #!at #as not 8an' ca se8 for enforcing t!e act, and #!at #as and #!at #as not 8an e7traordinar' rise in t!e price of pa"a', rice or corn,8 and nder certain ndefined conditions to fi7 t!e price at #!ic! rice s!o "d $e so"d, #it!o t regard to grade or 2 a"it', a"so to sa' #!et!er a proc"a&ation s!o "d $e iss ed, if so, #!en, and #!et!er or not t!e "a# s!o "d $e enforced, !o# "ong it s!o "d $e enforced, and #!en t!e "a# s!o "d $e s spended. T!e Legis"at re did not specif' or define #!at #as 8an' ca se,8 or #!at #as 8an e7traordinar' rise in t!e price of rice, pa"a' or corn,8 Neit!er did it specif' or define t!e conditions pon #!ic! t!e proc"a&ation s!o "d $e iss ed. In t!e a$sence of t!e proc"a&ation no cri&e #as co&&itted. T!e a""eged sa"e #as &ade a cri&e, if at a"", $eca se t!e Governor>Genera" iss ed t!e proc"a&ation. T!e act or proc"a&ation does not sa' an't!ing a$o t t!e different grades or 2 a"ities of rice, and t!e defendant is c!arged #it! t!e sa"e 8of one ganta of rice at t!e price of eig!t' centavos ;%6.@6< #!ic! is a price greater t!an t!at fi7ed $' E7ec tive order No. /5.8 We are c"ear"' of t!e opinion and !o"d t!at Act No. 4@:@, in so far as it nderta3es to a t!orized t!e Governor> Genera" in !is discretion to iss e a proc"a&ation, fi7ing t!e price of rice, and to &a3e t!e sa"e of rice in vio"ation of t!e price of rice, and to &a3e t!e sa"e of rice in vio"ation of t!e proc"a&ation a cri&e, is nconstit tiona" and void. ALEGRE v. COLLECTOR OF CUSTOMS FACTS% %etitioner is engaged in t!e prod ction of abaca and its e7portation to foreign &ar3ets. Ae app"ied to t!e respondent
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for a per&it to e7port one ! ndred $a"es of abaca to Eng"and, $ t #as denied. Ae #as advised $' t!e respondent t!at !e #o "d not $e per&itted to e7port t!e abaca in 2 estion #it!o t a certificate fro& t!e Bi$er Standardization 0oard. So !e fi"ed a petition for a #rit of &anda& s, a""eging t!at t!e provisions of t!e Ad&inistrative Code for t!e grading, inspection and certification of fi$ers, in partic "ar, sections -++4 and -4CC of t!at Code, are nconstit tiona" and void. ISSUE% W!et!er or not t!e a t!orit' vested in t!e Bi$er Standardization 0oard is a de"egation of "egis"ative po#er. HELD% N). T!e Legis"at re !as enacted a "a# #!ic! provides for t!e inspection, grading and $a"ing of !e&p $efore t!e' can $e e7ported to ot!er co ntries and t!e creation of a $oard for t!at p rpose, vesting it #it! t!e po#er and a t!orit' to do t!e act a" #or3. S c! a t!orit' is not a de"egation of "egis"ative po#er and is not!ing &ore t!an a de"egation of ad&inistrative po#er in t!e Bi$er 0oard to carr' o t t!e p rpose and intent of t!e "a#. In t!e ver' nat re of t!ings, t!e Legis"at re co "d not inspect, grade and $a"e t!e !e&p, and fro& necessit', t!e po#er to do t!at #o "d !ave to $e vested in a $oard or co&&ission. T!e petitionerDs contention #o "d "eave t!e "a#, #!ic! provides for t!e inspection, grading and $a"ing of !e&p, #it!o t an' &eans of its enforce&ent. If t!e "a# cannot $e enforced $' s c! a $oard or co&&ission, !o# and $' #!o& co "d it $e enforced9 T!e criticis& t!at t!ere is partia"it' or even fra d in t!e
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ad&inistration of t!e "a# is not an arg &ent against its constit tiona"it'. %E)%LE v. VERA Ca*a*a0. /$. W)**)a6$ EGR C+@66, 4 Dece&$er -.C6F Facts: T!e Nationa" Traffic Co&&ission, in its reso" tion of -+ * "' -.C6, reso"ved to reco&&end to t!e Director of % $"ic Wor3s and to t!e Secretar' of % $"ic Wor3s and Co&& nications t!at ani&a"> dra#n ve!ic"es $e pro!i$ited fro& passing a"ong Rosario Street e7tending fro& %"aza Ca"deron de "a 0arca to Das&ariGas Street, fro& +(56 a.&. to -4(56 p.&. and fro& -(56 p.&. to /(56 p.&.? and a"ong Riza" Aven e e7tending fro& t!e rai"road crossing at Antipo"o Street to Ec!ag e Street, fro& + a.&. to -- p.&., fro& a period of one 'ear fro& t!e date of t!e opening of t!e Co"gante 0ridge to traffic. T!e C!air&an of t!e Nationa" Traffic Co&&ission, on -@ * "' -.C6, reco&&ended to t!e Director of % $"ic Wor3s t!e adoption of t!e &eas re proposed in t!e reso" tion, in p rs ance of t!e provisions of Co&&on#ea"t! Act /C@, #!ic! a t!orizes said Director of % $"ic Wor3s, #it! t!e approva" of t!e Secretar' of % $"ic Wor3s and Co&& nications, to pro& "gate r "es and reg "ations to reg "ate and contro" t!e se of and traffic on nationa" roads. )n 4 A g st -.C6, t!e Director of % $"ic Wor3s, in !is first indorse&ent to t!e Secretar' of % $"ic Wor3s and Co&& nications, reco&&ended to t!e "atter t!e approva" of t!e reco&&endation &ade $' t!e C!air&an of t!e Nationa" Traffic Co&&ission, #it! t!e &odification t!at t!e c"osing of Riza" Aven e to traffic to ani&a">dra#n ve!ic"es $e "i&ited to t!e portion t!ereof e7tending fro& t!e rai"road crossing at Antipo"o Street to Azcarraga Street. )n -6 A g st -.C6,
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t!e Secretar' of % $"ic Wor3s and Co&& nications, in !is second indorse&ent addressed to t!e Director of % $"ic Wor3s, approved t!e reco&&endation of t!e "atter t!at Rosario Street and Riza" Aven e $e c"osed to traffic of ani&a">dra#n ve!ic"es, $et#een t!e points and d ring t!e !o rs as indicated, for a period of - 'ear fro& t!e date of t!e opening of t!e Co"gante 0ridge to traffic. T!e Ma'or of Mani"a and t!e Acting C!ief of %o"ice of Mani"a !ave enforced and ca sed to $e enforced t!e r "es and reg "ations t! s adopted. Ma7i&o Ca"a"ang, in !is capacit' as a private citizen and as a ta7pa'er of Mani"a, $ro g!t $efore t!e S pre&e co rt t!e petition for a #rit of pro!i$ition against A. D. Wi""ia&s, as C!air&an of t!e Nationa" Traffic Co&&ission? Vicente Bragante, as Director of % $"ic Wor3s? Sergio 0a'an, as Acting Secretar' of % $"ic Wor3s and Co&& nications? E "ogio Rodrig ez, as Ma'or of t!e Cit' of Mani"a? and * an Do&ing ez, as Acting C!ief of %o"ice of Mani"a I$$4($% W!et!er or not t!ere is a de"egation of "egis"ative po#er9 R4*)0.% T!ere is no nd e de"eagation of "egis"ative po#er. Co&&on#ea"t! Act /C@ does not confer "egis"ative po#ers to t!e Director of % $"ic Wor3s. T!e a t!orit' conferred pon t!e& and nder #!ic! t!e' pro& "gated t!e r "es and reg "ations no# co&p"ained of is not to deter&ine #!at p $"ic po"ic' de&ands $ t &ere"' to carr' o t t!e "egis"ative po"ic' "aid do#n $' t!e Nationa" Asse&$"' in said Act, to #it, Hto pro&ote safe transit pon and avoid o$str ctions on, roads and streets designated as nationa" roads $' acts of t!e Nationa" Asse&$"' or $' e7ec tive orders of t!e %resident of t!e %!i"ippinesI and to c"ose t!e& te&porari"' to an' or a"" c"asses of
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traffic H#!enever t!e condition of t!e road or t!e traffic &a3es s c! action necessar' or advisa$"e in t!e p $"ic convenience and interest.I T!e de"egated po#er, if at a"", t!erefore, is not t!e deter&ination of #!at t!e "a# s!a"" $e, $ t &ere"' t!e ascertain&ent of t!e facts and circ &stances pon #!ic! t!e app"ication of said "a# is to $e predicated. To pro& "gate r "es and reg "ations on t!e se of nationa" roads and to deter&ine #!en and !o# "ong a nationa" road s!o "d $e c"osed to traffic, in vie# of t!e condition of t!e road or t!e traffic t!ereon and t!e re2 ire&ents of p $"ic convenience and interest, is an ad&inistrative f nction #!ic! cannot $e direct"' disc!arged $' t!e Nationa" Asse&$"'. It & st depend on t!e discretion of so&e ot!er govern&ent officia" to #!o& is confided t!e d t' of deter&ining #!et!er t!e proper occasion e7ists for e7ec ting t!e "a#. 0 t it cannot $e said t!at t!e e7ercise of s c! discretion is t!e &a3ing of t!e "a#. CERVANTES /. AUDITOR GENERAL 1G.R. No. L-+,+5! Ma7 26! 1"+22 T!is is a petition to revie# a decision of A ditor Genera" den'ing petitionerJs c"ai& for 2 arters a""o#ance as &anager of t!e Nationa" A$aca and ot!er Bi$ers Corp. ;NABC)<. ISSUES -. W!et!er or not E7ec tive )rder No. .5 e7ercising contro" over Govern&ent )#ned and Contro""ed Corporations ;G)CC< i&p"e&ented nder R.A. No. /- is va"id or n "" and void. 4. W!et!er or not R.A. No. /a t!orizing presidentia" contro" over G)CCs is Constit tiona".
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FACTS > > %etitioner #as genera" &anager in -.C. of NABC) #it! ann a" sa"ar' of %-/,666.66 NABC) 0oard of Directors granted %C66K&o. L arters a""o#ance to petitioner a&o nting to %-,:/6 for -.C.. T!is a""o#ance #as disapproved $' t!e Centra" Co&&ittee of t!e govern&ent enterprise co nci" nder E7ec tive )rder No. .5 pon reco&&endation $' NABC) a ditor and conc rred in $' t!e A ditor genera" on t#o gro nds a< It vio"ates t!e c!arter of NABC) "i&iting &anagerJs sa"ar' to %-/,666K'ear. $< NABC) is in precario s financia" condition.
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DECISION
-. R.A. No. /- is constit tiona". It is
not i""ega" de"egation of "egis"ative po#er to t!e e7ec tive as arg ed $' petitioner $ t a &andate for t!e %resident to strea&"ine G)CCJs operation. 4. E7ec tive )rder .5 is va"id $eca se it #as pro& "gated #it!in t!e 'ear period given. 5. %etition for revie# DISMISSED #it! costs %ANGASINAN TRANS. C). v. SERVICE C)M L)VINA v. M)REN) %ELAEM v. A1DIT)R GENERAL SEPARATION OF POWERS Ma0)*a E*(c#r)c Co6&a07 /. Pa$a7 Tra0$&or#a#)o0 Co6&a07! I0c.! Fac#$%
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%10LIC

T!e pre"i&inar' and $asic 2 estion presented $' t!e petition of t!e Mani"a E"ectric Co&pan', re2 esting t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators, to fi7 t!e ter&s pon #!ic! certain transportation co&panies s!a"" $e per&itted to se t!e %asig $ridge of t!e Mani"a E"ectric Co&pan' and t!e co&pensation to $e paid to t!e Mani"a E"ectric Co&pan' $' s c! transportation co&panies, re"ates to t!e va"idit' of section -- of Act No. -CC: and to t!e "ega" rig!t of t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators, to act on t!e petition. Act No. -CC: a$ove referred to is entit"ed. 8An Act granting a franc!ise to C!ar"es M. S#ift to constr ct, &aintain, and operate an e"ectric rai"#a', and to constr ct, &aintain, and operate an e"ectric "ig!t, !eat, and po#er s'ste& fro& a point in t!e Cit' of Mani"a in an easter"' direction to t!e to#n of %asig, in t!e %rovince of Riza".8 )pposition #as entered to t!e petition $' a n &$er of p $"ic ti"it' operators. I$$4(% Va"idit' of SEC. -- of ACT No. -CC:9 H(*'% T!e "a# ca""s for ar$itration #!ic! represents a &et!od of t!e partiesD o#n c!oice. A s $&ission to ar$itration is a contract. T!e parties to an ar$itration agree&ent &a' not o st t!e co rts of = risdiction of t!e &atters s $&itted to ar$itration. T!ese are fa&i"iar r "es #!ic! find s pport in artic"es -@46 and -@4- of t!e Civi" Code. We can a"so perceive a distinction $et#een a private contract for s $&ission to ar$itration and agree&ents to ar$itrate fa""ing #it!in t!e ter&s of a stat te enacted for s c! p rpose and affecting ot!ers t!an t!e parties to a partic "ar franc!ise. Aere,
EH +,-
!o#ever, #!atever e"se &a' $e said in e7ten ation, it re&ains tr e t!at t!e decision of t!e $oard of ar$itrators is &ade fina", #!ic! if "itera""' enforced #o "d "eave a p $"ic ti"it', not a part' to t!e contract a t!orized $' Act No. -CC:, #it!o t reco rse to t!e co rts for a = dicia" deter&ination of t!e 2 estion in disp te. We r n co nter to t!is di"e&&a. Eit!er t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators, e7ercise = dicia" f nctions, or t!e &e&$ers of t!e S pre&e Co rt, sitting as $oard of ar$itrators, e7ercise ad&inistrative or quasi = dicia" f nctions. T!e first case #o "d appear not to fa"" #it!in t!e = risdiction granted t!e S pre&e Co rt. Even conceding t!at it does, it #o "d pres ppose t!e rig!t to $ring t!e &atter in disp te $efore t!e co rts, for an' ot!er constr ction #o "d tend to o st t!e co rts of = risdiction and render t!e a#ard a n ""it'. 0 t if t!is $e t!e proper constr ction, #e #o "d t!en !ave t!e ano&a"' of a decision $' t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators, ta3en t!erefro& to t!e co rts and event a""' co&ing $efore t!e S pre&e Co rt, #!ere t!e S pre&e Co rt #o "d revie# t!e decision of its &e&$ers acting as ar$itrators. taT!e present petition a"so f rnis!es an apt i"" stration of anot!er ano&a"', for #e find t!e S pre&e Co rt as a co rt as3ed to deter&ine if t!e &e&$ers of t!e co rt &a' $e constit ted a $oard of ar$itrators, #!ic! is not a co rt at a""." T!e S pre&e Co rt of t!e %!i"ippine Is"ands represents one of t!e t!ree divisions of po#er in o r govern&ent. It is = dicia" po#er and = dicia" po#er on"' #!ic! is e7ercised $' t!e S pre&e Co rt. * st as t!e S pre&e Co rt, as t!e g ardian of constit tiona" rig!ts, s!o "d not sanction s rpations $' an' ot!er depart&ent of t!e govern&ent, so s!o "d it as strict"' confine its o#n sp!ere of inf" ence to t!e po#ers e7press"' or $'
Pa.( 3

i&p"ication conferred on it $' t!e )rganic Act. T!e S pre&e Co rt and its &e&$ers s!o "d not and cannot $e re2 ired to e7ercise an' po#er or to perfor& an' tr st or to ass &e an' d t' not pertaining to or connected #it! t!e ad&inistering of = dicia" f nctions. T!e )rganic Act provides t!at t!e S pre&e Co rt of t!e %!i"ippine Is"ands s!a"" possess and e7ercise = risdiction as !eretofore provided and s c! additiona" = risdiction as s!a"" !ereafter $e prescri$ed $' "a# ;sec. 4:<. W!en t!e )rganic Act spea3s of t!e e7ercise of 8= risdiction8 $' t!e S pre&e Co rt, it co "d not on"' &ean t!e e7ercise of 8= risdiction8 $' t!e S pre&e Co rt acting as a co rt, and co "d !ard"' &ean t!e e7ercise of 8= risdiction8 $' t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators. T!ere is an i&portant distinction $et#een t!e S pre&e Co rt as an entit' and t!e &e&$ers of t!e S pre&e Co rt. A 8oar' o9 ar8)#ra#or$ )$ 0o# a :co4r#: )0 a07 &ro&(r $(0$( o9 # ( #(r6! a0' &o$$($$($ 0o0( o9 # ( ;4r)$')c#)o0 < )c # ( Or.a0)c Ac# co0#(6&*a#($ $ a** 8( (=(rc)$(' 87 # ( S4&r(6( Co4r#.lawph a# Confir&ing t!e decision to t!e $asic 2 estion at iss e, t!e S pre&e Co rt !o"ds t!at section -- of Act No. -CC: contravenes t!e &a7i&s #!ic! g ide t!e operation of a de&ocratic govern&ent constit tiona""' esta$"is!ed, and t!at it #o "d $e i&proper and i""ega" for t!e &e&$ers of t!e S pre&e Co rt, sitting as a $oard of ar$itrators, t!e decision of a &a=orit' of #!o& s!a"" $e fina", to act on t!e petition of t!e Mani"a E"ectric Co&pan'. As a res "t, t!e &e&$ers of t!e S pre&e Co rt dec"ine to proceed f rt!er in t!e &atter. N)0LE*AS v. TEEAANNEE PA> M. GARCIA! /$. HON. CATALINO MACARAIG! ?R.! Fac#$% Ad&inistrative co&p"aint fi"ed $' one %az M. Garcia against t!e Aonora$"e Cata"ino Macaraig, *r., for&er"' * dge of t!e Co rt of Birst Instance of Lag na, 0ranc! VI. Respondent too3 !is oat! as * dge of t!e Co rt of Birst Instance of Lag na and San %a$"o Cit' on * ne 4., -.+6. T!e co rt #as a ne#"' created CBI $ranc! and it !ad to $e organized fro& scratc!. 1nder Section -.6 of t!e Revised Ad&inistrative Code, space for !is co rtroo&, ot!er ite&s and s pp"ies & st $e f rnis!ed $' t!e provincia" govern&ent. T!e provincia" officia"s of Lag na, !o#ever, infor&ed t!e respondent t!at t!e province #as not in a position to do so. Borces and circ &stances $e'ond !is contro" prevented !i& fro& disc!arging !is = dicia" d ties. W!en respondent rea"ized t!at it #o "d $e so&eti&e $efore !e co "d act a""' preside over !is co rt, !e app"ied for an e7tended "eave. Secretar' of * stice, !o#ever, prevai"ed pon respondent to forego !is "eave and instead to assist !i&, #it!o t $eing e7tended a for&a" detai", #!enever respondent #as not $ s' attending to t!e needs of !is co rt. I$$4(% W!et!er or not respondent s!o "d $e c!arged for dis!onest', vio"ation of !is oat! of office, gross inco&petence, and vio"ation of RA 4.: of t!e * diciar' Act of -.C@. R4*)0.% Co rt is convinced t!at t!e co&p"aint & st $e dis&issed. Co&p"ainantDs t!eor' is t!at respondent co""ected or received sa"aries as = dge #!en in fact !e !as never acted as s c!, since t!e date !e too3 !is oat! p to t!e fi"ing of t!e
Pa.( @
EH +,-

co&p"aint. In t!e sense t!at respondent !as not 'et perfor&ed an' = dicia" f nction, it &a' $e ad&itted t!at respondent !as not rea""' perfor&ed t!e d ties of = dge. W!at is "ost sig!t of, !o#ever, is t!at after ta3ing !is oat! and for&a""' ass &ing t!is position as = dge, respondent !ad a perfect rig!t to earn t!e sa"ar' of a = dge even in t!e e7tre&e s pposition t!at !e did not perfor& an' = dicia" f nction. In t!is case, govern&ent officia"s or officers in d t' are $o nd to f rnis! !i& t!e necessar' p"ace and faci"ities for !is co rt and t!e perfor&ance of !is f nctions !ave fai"ed to provide !i& t!ere#it! #it!o t an' fa "t on !is part. Ad&itted"' respondent !as not prepared and s $&itted an' of t!e reports of acco&p"is!&ents and stat s of cases in !is sa"a #!ic! are s a""' re2 ired of = dges nder e7isting "a#s as #e"" as t!e corresponding circ "ars of t!e Depart&ent of * stice for t!e reason t!at Ae !as not 'et started perfor&ing an' = dicia" f nctions. None of t!ose "a#s and circ "ars app"' to !i& for a"" of t!e& conte&p"ate = dges #!o are act a""' !o"ding tria"s and !earings and &a3ing decisions and ot!ers. )n t!e ot!er !and, respondent co "d not $e $"a&ed for ta3ing !is oat! as !e did, for !e !ad a va"id confir&ed appoint&ent in !is favor. T!e "ine $et#een #!at a = dge &a' do and #!at !e &a' not do in co""a$orating or #or3ing #it! ot!er offices or officers nder t!e ot!er great depart&ents of t!e govern&ent & st a"#a's $e 3ept c"ear and =ea"o s"' o$served, "east t!e princip"e of separation of po#ers on #!ic! o r govern&ent rests $' &andate of t!e peop"e t!r t!e Constit tion $e grad a""' eroded. It is of grave i&portance to t!e = diciar' nder o r present constit tiona" sc!e&e of govern&ent t!at no = dge or even t!e "o#est co rt in t!is Rep $"ic s!o "d p"ace !i&se"f in a position #!ere !is act ations on &atters s $&itted to !i& for action or
EH +,-
reso" tion #o "d $e s $=ect to revie# and prior approva" and, #orst sti"", reversa", $efore t!e' can !ave "ega" effect, $' an' a t!orit' ot!er t!an t!e Co rt of Appea"s or t!is S pre&e Co rt, as t!e case &a' $e. Need"ess to sa', t!is Co rt fee"s ver' strong"' t!at, it is $est t!at t!is practice is discontin ed. Macar)o*a /. A$40c)o0 A.M. No. -55>* Ma' 5-, -.@4 FACTS% A co&p"aint for partition #as fi"ed $' p"aintiffs in Civi" Case No. 56-6 in CBI against 0ernardita R. Macario"a concerning t!e properties "eft $' t!e deceased Brancisco Re'es, t!eir co&&on fat!er. A decision #as rendered $' respondent * dge As ncion in said civi" case a#arding t!eir s!are on t!e properties to $ot! t!e p"aintiffs and Macario"a T!e decision $eca&e and s $se2 ent"', a pro=ect of partition #as s $&itted to * dge As ncion #!ic! #as approved $' t!e "atter not#it!standing t!e fact t!at t!e pro=ect of partition #as not signed $' t!e parties t!e&se"ves $ t on"' $' t!e respective co nse" of p"aintiffs and defendant. Ao#ever, $ot! co nse"s of t!e respective parties ass red t!at t!e %ro=ect of %artition, !ad $een &ade after a conference and agree&ent of t!e p"aintiffs in Civi" Case No. 56-6 and Macario"a approving t!e %ro=ect of %artition, and t!at $ot! "a#'ers !ad represented to t!e co rt t!at t!e' are given f "" a t!orit' to sign $' t!e&se"ves t!e %ro=ect of %artition. )ne of t!e properties &entioned in t!e pro=ect of partition #as Lot --@C or rat!er one>!a"f t!ereof #!ic! according to t!e decision #as t!e e7c" sive propert' of t!e deceased Brancisco Re'es, #as ad= dicated in said pro=ect of partition to t!e p"aintiffs L z, Anacorita
Pa.( "

R perto, Ade"a, and %risci""a a"" s rna&ed Re'es in e2 a" s!ares, and #!en t!e pro=ect of partition #as approved $' t!e tria" co rt, t!e ad= dicatees ca sed Lot --@C to $e s $divided into five "ots deno&inated as Lot --@C>A to --@C>E inc" sive. Lot --@C>D #as conve'ed to Enri2 eta D. Anota, a stenograp!er in * dge As ncionDs co rt, #!i"e Lot --@C>E #as so"d to Dr. Arcadio Ga"apon #!o #as iss ed transfer certificate of tit"e No. 455@. T!ereafter, Dr. Arcadio Ga"apon and !is #ife so"d a portion of Lot --@C>E to * dge As ncion and !is #ife, Victoria S. As ncion, #!ic! partic "ar portion #as dec"ared $' t!e "atter for ta7ation p rposes. Spo ses As ncion and spo ses Ga"apon t!en conve'ed t!eir respective s!ares and interest in Lot --@C>E to 8T!e Traders Man fact ring and Bis!ing Ind stries Inc. At t!e ti&e of said sa"e t!e stoc3!o"ders of t!e corporation #ere Do&inador Arigpa Tan, A &i"ia *a"andoni Tan, *ai&e Arigpa Tan, * dge As ncion, and t!e "atterDs #ife, Victoria S. As ncion, #it! * dge As ncion as t!e %resident and Mrs. As ncion as t!e secretar'. Co&p"ainant 0ernardita R. Macario"a fi"ed t!e instant co&p"aint a""eging fo r ca ses of action( t!at respondent * dge As ncion vio"ated Artic"e -C.-, paragrap! /, of t!e Ne# Civi" Code in ac2 iring $' p rc!ase a portion of Lot No. --@C>E #!ic! #as one of t!ose properties invo"ved in Civi" Case No. 56-6 decided $' !i& t!at !e "i3e#ise vio"ated Artic"e -C, paragrap!s I and / of t!e Code of Co&&erce, Section 5, paragrap! A, of R.A. 56-., ot!er#ise 3no#n as t!e Anti>Graft and Corr pt %ractices Act, Section -4, R "e OVIII of t!e Civi" Service R "es, and Canon 4/ of t!e Canons of * dicia" Et!ics, $' associating !i&se"f #it! t!e Traders Man fact ring and Bis!ing Ind stries, Inc., as a stoc3!o"der and a ran3ing officer #!i"e !e #as a = dge of t!e Co rt of Birst Instance of Le'te? t!at respondent #as g i"t' of codd"ing an i&postor and acted in disregard of = dicia" decor & $' c"ose"' fraternizing #it! a certain Do&inador Arigpa Tan #!o open"' and p $"ic"' advertised !i&se"f as a practising attorne' #!en in tr t! and in fact !is na&e does not appear in t!e Ro""s of Attorne's and is not a &e&$er of t!e %!i"ippine 0ar? and t!at t!ere #as a c "pa$"e defiance of t!e "a# and tter disregard for et!ics $' respondent * dge.
T!e case #as referred to * stice Ceci"ia M Goz %a"&a of t!e Co rt of Appea"s, for investigation, report and reco&&endation. After !earing, t!e said Investigating * stice s $&itted !er report reco&&ending t!at respondent * dge s!o "d $e repri&anded or #arned in connection #it! t!e first ca se of action a""eged in t!e co&p"aint, and for t!e second ca se of action, respondent s!o "d $e #arned in case of a finding t!at !e is pro!i$ited nder t!e "a# to engage in $ siness. )n t!e t!ird and fo rt! ca ses of action, * stice %a"&a reco&&ended t!at respondent * dge $e e7onerated. Co&p"ainant !erein t!en instit ted an action $efore t!e Co rt of Birst #!ic! #as doc3eted as Civi" Case No. C45C, see3ing t!e ann "&ent of t!e pro=ect of partition &ade p rs ant to t!e decision in Civi" Case No. 56-6 and t!e t#o orders iss ed $' respondent * dge approving t!e sa&e, as #e"" as t!e partition of t!e estate and t!e s $se2 ent conve'ances #it! da&ages. T!e action #as dis&issed. Aence, t!is petition
Pa.( 1,
EH +,-

RULING% TAE RES%)NDENT ASS)CIATE *1STICE )B TAE C)1RT )B A%%EALS IS AERE0P REMINDED T) 0E M)RE DISCREET IN AIS %RIVATE AND 01SINESS ACTIVITIES. -. T!ere is no &erit in t!e contention of co&p"ainant 0ernardita R. Macario"a, nder !er first ca se of action, t!at respondent * dge E"ias 0. As ncion vio"ated Artic"e -C.-, paragrap! /, of t!e Ne# Civi" Code in ac2 iring $' p rc!ase a portion of Lot No. --@C>E #!ic! #as one of t!ose properties invo"ved in Civi" Case No. 56-6. In t!e aforesaid Artic"e app"ies on"' to t!e sa"e or assign&ent of t!e propert' #!ic! is t!e s $=ect of "itigation to t!e persons dis2 a"ified t!erein. Bor t!e pro!i$ition to operate, t!e sa"e or assign&ent of t!e propert' & st ta3e p"ace d ring t!e pendenc' of t!e "itigation invo"ving t!e propert'. o respondent = dge p rc!ased a portion of Lot --@C>E, t!e decision in Civi" Case No. 56-6 #!ic! !e rendered on * ne @, -.:5 #as a"read' fina", not in "itigation an'&ore. o B rt!er&ore, respondent = dge did not $ ' t!e "ot in direct"' fro& t!e p"aintiffs in Civi" Case No. 56-6 $ t fro& Dr. Arcadio Ga"apon #!o ear"ier p rc!ased Lot --@C>E fro& t!e p"aintiffs. o Civi" Case No. C45C is of no &o&ent. It can no "onger a"ter, c!ange or affect t!e aforesaid facts t!at t!e 2 estioned sa"e to respondent * dge, no# Co rt of Appea"s * stice, #as effected and cons &&ated "ong after t!e fina"it' of t!e aforesaid decision or orders. Macario"a contended t!at t!e sa"e of Lot --@C>E to Dr. Arcadio Ga"apon $' %risci""a Re'es, Ade"a Re'es and L z R. 0a3 na#a #as on"' a &ere sc!e&e to concea" t!e i""ega" and net!ica" transfer of said "ot to respondent * dge as a consideration for t!e approva" of t!e pro=ect of partition. o no evidence s!o#ing t!at Dr. Arcadio Ga"apon acted as a &ere 8d &&'8 of respondent in ac2 iring Lot --@C>E fro& t!e Re'eses. Macario"a contended t!at respondent * dge acted i""ega""' in approving t!e pro=ect of partition a"t!o g! it #as not signed $' t!e parties. o Respondent s!o "d !ave re2 ired t!e signat re of t!e parties &ore partic "ar"' t!at of Mrs. Macario"a on t!e pro=ect of partition s $&itted to !i& for approva"? !o#ever, #!atever error #as co&&itted $' respondent in t!at respect #as done in good fait! as according to * dge As ncion !e #as ass red $' Att'. 0onifacio Ra&o, t!e co nse" of record of Mrs. Macario"a, T!at !e #as a t!orized $' !is c"ient to s $&it said pro=ect of partition. W!i"e it is tr e t!at s c! #ritten a t!orit' if t!ere #as an', #as not presented $' respondent in evidence, nor did Att'. Ra&o appear to corro$orate t!e state&ent of respondent, !is affidavit $eing t!e on"' one t!at #as presented, certain act ations of Mrs. Macario"a "ead t!is investigator to $e"ieve
Pa.( 11
EH +,-

t!at s!e 3ne# t!e contents of t!e pro=ect of partition and t!at s!e gave !er confor&it' t!ereto. W!i"e it is. tr e t!at respondent * dge did not vio"ate paragrap! /, Artic"e -C.- of t!e Ne# Civi" Code in ac2 iring $' p rc!ase a portion of Lot --@C>E #!ic! #as in "itigation in !is co rt, it #as, !o#ever, i&proper for !i& to !ave ac2 ired t!e sa&e. Ae s!o "d $e re&inded of Canon 5 of t!e Canons of * dicia" Et!ics. in co&&erce territor'. in a deter&inate
o T!e provision parta3es of t!e nat re of a po"itica" "a# as it reg "ates t!e re"ations!ip $et#een t!e govern&ent and certain p $"ic officers and e&p"o'ees, "i3e = stices and = dges. o %o"itica" La# !as $een defined as t!at $ranc! of p $"ic "a# #!ic! dea"s #it! t!e organization and operation of t!e govern&enta" organs of t!e State and define t!e re"ations of t!e state #it! t!e in!a$itants of its. It &a' $e reca""ed t!at po"itica" "a# e&$races constit tiona" "a#, "a# of p $"ic corporations, ad&inistrative "a# inc" ding t!e "a# on p $"ic officers and e"ections. Specifica""', Artic"e -C of t!e Code of Co&&erce parta3es &ore of t!e nat re of an ad&inistrative "a# $eca se it reg "ates t!e cond ct of certain p $"ic officers and e&p"o'ees #it! respect to engaging in $ siness( !ence, po"itica" in essence. o It is significant to note t!at t!e present Code of Co&&erce is t!e Spanis! Code of Co&&erce of -@@/, #it! so&e &odifications &ade $' t!e 8Co&&ission de Codificacion de "as %rovincias de 1"tra&ar,8 #!ic! #as e7tended to t!e %!i"ippines $' t!e Ro'a" Decree of A g st :, -@@@, and too3 effect as "a# in t!is = risdiction on Dece&$er -, -@@@. 1pon t!e transfer of sovereignt' fro& Spain to t!e 1nited States and "ater on fro& t!e 1nited States to t!e Rep $"ic of t!e
Pa.( 12
4. Respondent * dge vio"ated paragrap!s - and /, Artic"e -C of t!e Code of Co&&erce #!en !e associated !i&se"f #it! t!e Traders Man fact ring and Bis!ing Ind stries, Inc. as a stoc3!o"der and a ran3ing officer, said corporation !aving $een organized to engage in $ siness.
Ar#)c*( 1+ Q T!e fo""o#ing cannot engage in co&&erce, eit!er in person or $' pro7', nor can t!e' !o"d an' office or !ave an' direct, ad&inistrative, or financia" intervention in co&&ercia" or ind stria" co&panies #it!in t!e "i&its of t!e districts, provinces, or to#ns in #!ic! t!e' disc!arge t!eir d ties( -. * stices of t!e S pre&e Co rt, = dges and officia"s of t!e depart&ent of p $"ic prosec tion in active service. T!is provision s!a"" not $e app"ica$"e to &a'ors, & nicipa" = dges, and & nicipa" prosec ting attorne's nor to t!ose #!o $' c!ance are te&porari"' disc!arging t!e f nctions of = dge or prosec ting attorne'. 777 777 777 /. T!ose #!o $' virt e of "a#s or specia" provisions &a' not engage
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%!i"ippines, Artic"e -C of t!is Code of Co&&erce & st $e dee&ed to !ave $een a$rogated $eca se #!ere t!ere is c!ange of sovereignt', t!e po"itica" "a#s of t!e for&er sovereign, #!et!er co&pati$"e or not #it! t!ose of t!e ne# sovereign, are a to&atica""' a$rogated, n"ess t!e' are e7press"' re>enacted $' affir&ative act of t!e ne# sovereign. o No ena$"ing or affir&ative act t!at contin ed t!e effectivit' of t!e aforestated provision of t!e Code of Co&&erce after t!e c!ange of sovereignt' fro& Spain to t!e 1nited States and t!en to t!e Rep $"ic of t!e %!i"ippines. Conse2 ent"', Artic"e -C of t!e Code of Co&&erce !as no "ega" and $inding effect and cannot app"' to t!e respondent. Respondent * dge didnJt vio"ated paragrap! A, Section 5 of Rep $"ic Act No. 56-., ot!er#ise 3no#n as t!e Anti>Graft and Corr pt %ractices Act. No s!o#ing t!at respondent participated or intervened in !is officia" capacit' in t!e $ siness or transactions of t!e Traders Man fact ring and Bis!ing Ind stries, Inc. T!e $ siness of t!e corporation in #!ic! respondent participated !as o$vio s"' no re"ation or connection #it! !is = dicia" office No provision in $ot! t!e -.5/ and -.+5 Constit tions of t!e %!i"ippines, nor is t!ere an e7isting "a# e7press"' pro!i$iting &e&$ers of t!e * diciar' fro& engaging or !aving interest in an' "a#f " $ siness. We !o"d t!at t!e Civi" Service Act of -./. ;R.A. No. 44:6< and t!e Civi" Service R "es pro& "gated t!ere nder, partic "ar"' Section -4 of R "e OVIII, do not app"' to t!e &e&$ers of t!e * diciar'. 1nder Section :+ * diciar' Act of -.C@, t!e po#er to re&ove or dis&iss = dges #as t!en vested in t!e %resident of t!e %!i"ippines, not in t!e Co&&issioner of Civi" Service, and on"' on t#o gro nds, na&e"', serio s &iscond ct and inefficienc', and pon t!e reco&&endation of t!e S pre&e Co rt, #!ic! a"one is a t!orized, pon its o#n &otion, or pon infor&ation of t!e Secretar' ;no# Minister< of * stice to cond ct t!e corresponding investigation. C"ear"', t!e aforesaid section defines t!e gro nds and prescri$es t!e specia" proced re for t!e discip"ine of = dges. And nder Sections /, : and +, Artic"e O of t!e -.+5 Constit tion, on"' t!e S pre&e Co rt can discip"ine = dges of inferior co rts as #e"" as ot!er personne" of t!e * diciar'.
5. T!e 5rd and Ct! ca ses of action are
not re"ated to t!e s $=ect. IN RE( R)D1LB) MANMAN) POWERS AND FUNCTIONS OF ADMINISTRATIVE BODIES A. RULE-MAAING POWER PHILIPPINE LAWYERS VS AGRAVA G. R. No. L-12+26 F(8r4ar7 16! 1"-" T!is is t!e petition fi"ed $' t!e %!i"ippine La#'erJs Association for pro!i$ition and in= nction against Ce"edonio Agrava, in
Pa.( 15
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!is capacit' as Director of t!e %!i"ippines %atent )ffice. Fac#$% )n Ma' 4+, -./+, respondent Agrava iss ed a circ "ar anno ncing t!at !e !ad sc!ed "ed for * ne 4+, -./+ an e7a&ination for t!e p rpose of deter&ining #!o are 2 a"ified to practice as patent attorne's $efore t!e %!i"ippines %atent )ffice, t!e said e7a&ination to cover patent "a# and = rispr dence and t!e r "es of practice $efore said office. According to t!e circ "ar, &e&$ers of t!e %!i"ippine 0ar, engineers and ot!er persons #it! s fficient scientific and tec!nica" training are 2 a"ified to ta3e t!e said e7a&ination. It #o "d appear t!at !eretofore, respondent Director !as $een !o"ding si&i"ar e7a&inations. %etitioner contends t!at an'one !as passed t!e $ar e7a&s and is "icensed $' t!e S pre&e Co rt to practice "a#, !as good standing, t! s d "' 2 a"ified to practice $efore t!e %atent )ffice, and t!erefore t!e act of re2 iring &e&$ers of t!e 0ar in good standing to ta3e and pass an e7a&ination given $' t!e %atent )ffice as a condition precedent to $e a""o#ed to practice $efore said office is a c"ear e7cess of !is = risdiction and vio"ation of t!e "a#. )n t!e ot!er !and, respondent c"ai&ed t!at !e is e7press"' a t!orized $' t!e "a# to re2 ire persons desiring to practice or to do $ siness $efore !i& to s $&it an e7a&ination, even if t!e' are a"read' &e&$ers of t!e $ar. Ae contends t!at o r %atent La#, Rep $"ic Act No. -:/, is patterned after t!e 1nited States %atent La#? and of t!e 1nited States %atent )ffice in %atent Cases prescri$es an e7a&ination si&i"ar to t!at #!ic! !e !ad prescri$ed and sc!ed "ed. ;a< Attorne' at "a#. Q An' attorne' at "a# in good standing ad&itted to practice $efore an' 1nited States Co rt or t!e
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!ig!est co rt of an' State or Territor' of t!e 1nited States #!o f "fi""s t!e re2 ire&ents and co&p"ied #it! t!e provisions of t!ese r "es &a' $e ad&itted to practice $efore t!e %atent )ffice and !ave !is na&e entered on t!e register of attorne's. ;c< Re2 ire&ent for registration. Q No person #i"" $e ad&itted to practice and register n"ess !e s!a"" app"' to t!e Co&&issioner of %atents in #riting on a prescri$ed for& s pp"ied $' t!e Co&&issioner and f rnis! a"" re2 ested infor&ation and &ateria"? and s!a"" esta$"is! to t!e satisfaction of t!e Co&&issioner t!at !e is of good &ora" c!aracter and of good rep te 7 7 7 In order t!at t!e Co&&issioner &a' deter&ine #!et!er a person 7 7 7 !as t!e 2 a"ifications specified, satisfactor' proof of good &ora" c!aracter and rep te, 7 7 7 an e7a&ination #!ic! is !e"d fro& ti&e to ti&e & st $e ta3en and passed. T!e Respondent states t!at t!e pro& "gation of t!e R "es of %ractice of t!e 1nited States %atent )ffice in %atent Cases is a t!orized $' t!e 1nited States %atent La# itse"f #!ic! provides( T!e Co&&issioner of %atents, s $=ect to t!e approva" of t!e Secretar' of Co&&erce &a' prescri$e r "es and reg "ations governing t!e recognition of agents, attorne's, or ot!er persons representing app"icants or ot!er parties $efore !is office, and &a' re2 ire of s c! persons, agents, or attorne's, $efore $eing recognized as representatives of app"icants or ot!er persons, t!at t!e' s!a"" s!o# t!e' are of good &ora" c!aracter and in good rep te, are possessed of t!e necessar' 2 a"ifications to ena$"e t!e& to render to app"icants or ot!er persons va" a$"e service, and are "i3e#ise to co&petent to advise and assist app"icants or ot!er persons in t!e presentation or prosec tion of t!eir app"ications or ot!er $ siness $efore t!e )ffice. 7 7 7 Respondent Director conc" des t!at Section +@ of Rep $"ic Act No. -:/ $eing
Pa.( 1+

si&i"ar to t!e provisions of "a# = st reprod ced, t!en !e is a t!orized to prescri$e t!e r "es and reg "ations re2 iring t!at persons desiring to practice $efore !i& s!o "d s $&it to and pass an e7a&ination. We reprod ce said Section +@, Rep $"ic Act No. -:/, for p rposes of co&parison( SEC. +@. R "es and reg "ations. Q T!e Director s $=ect to t!e approva" of t!e Secretar' of * stice, s!a"" pro& "gate t!e necessar' r "es and reg "ations, not inconsistent #it! "a#, for t!e cond ct of a"" $ siness in t!e %atent )ffice. I$$4(B$% WAETAER )R N)T MEM0ERS )B TAE 0AR SA)1LD BIRST TANE AND %ASS AN EOAMINATI)N GIVEN 0P TAE %ATENT )BBICE 0EB)RE AE C)1LD 0E ALL)WED T) %RACTICE LAW IS TAE SAID )BBICE. #!et!er or not appearance $efore t!e patent )ffice and t!e preparation and t!e prosec tion of patent app"ications, etc., constit te or is inc" ded in t!e practice of "a#. WAETAER )R N)T DIRECT)R )B TAE %ATENT )BBICE IS A1TA)RIMED T) C)ND1CT AN EOAMINATI)N B)R %ATENT ATT)RNEPS IS C)NTRARP T) LAW. D(c)$)o0% T!e petition for pro!i$ition is granted and t!e respondent Director is !ere$' pro!i$ited fro& re2 iring &e&$ers of t!e %!i"ippine 0ar to s $&it to an e7a&ination or tests and pass t!e sa&e $efore $eing per&itted to appear and practice $efore t!e %atent )ffice. Ratio Decidendi( T!e S pre&e Co rt !as t!e e7c" sive and constit tiona" po#er #it! respect to ad&ission to t!e practice of "a# in t!e %!i"ippines- and to an' &e&$er of t!e %!i"ippine 0ar in good standing &a' practice "a# an'#!ere and $efore an'
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entit', #!et!er = dicia" or 2 asi>= dicia" or ad&inistrative, in t!e %!i"ippines. T!e practice of "a# is not "i&ited to t!e cond ct of cases or "itigation in co rt? it e&$races t!e preparation of p"eadings and ot!er papers incident to actions and socia" proceedings, t!e &anage&ent of s c! actions and proceedings on $e!a"f of c"ients $efore = dges and co rts, and in addition, conve'ing. In genera", a"" advice to c"ients, and a"" action ta3en for t!e& in &atters connected #it! t!e "a# corporation services, assess&ent and conde&nation services conte&p"ating an appearance $efore a = dicia" $od', t!e forec"os re of a &ortgage, enforce&ent of a creditorJs c"ai& in $an3r ptc' and inso"venc' proceedings, and cond cting proceedings in attac!&ent, and in &atters of estate and g ardians!ip !ave $een !e"d to constit te "a# practice as do t!e preparation and drafting of "ega" instr &ents, #!ere t!e #or3 done invo"ves t!e deter&ination $' t!e trained "ega" &ind of t!e "ega" effect of facts and conditions. ;/ A&. * r. p. 4:4, 4:5<. ;E&p!asis s pp"ied<. %ractice of "a# nder &odern conditions consists in no s&a"" part of #or3 perfor&ed o tside of an' co rt and !aving no i&&ediate re"ation to proceedings in co rt. It e&$races conve'ancing, t!e giving of "ega" advice on a "arge variet' of s $=ects, and t!e preparation and e7ec tion of "ega" instr &ents covering an e7tensive fie"d of $ siness and tr st re"ations and ot!er affairs. A"t!o g! t!ese transactions &a' !ave no direct connection #it! co rt proceedings, t!e' are a"#a's s $=ect to $eco&e invo"ved in "itigation. T!e' re2 ire in &an' aspects a !ig! degree of "ega" s3i"", a #ide e7perience #it! &en and affairs, and great capacit' for adaptation to diffic "t and co&p"e7 sit ations. T!ese c sto&ar' f nctions of an attorne' or co nse"or at "a# $ear an inti&ate re"ation to t!e ad&inistration of = stice $' t!e co rts. No va"id distinction,
Pa.( 1-

so far as concerns t!e 2 estion set fort! in t!e order, can $e dra#n $et#een t!at part #!ic! invo"ves advice and drafting of instr &ents in !is office. It is of i&portance to t!e #e"fare of t!e p $"ic t!at t!ese &anifo"d c sto&ar' f nctions $e perfor&ed $' persons possessed of ade2 ate "earning and s3i"", of so nd &ora" c!aracter, and acting at a"" ti&es nder t!e !eav' tr st o$"igations to c"ients #!ic! rests pon a"" attorne's. ;Moran, Co&&ents on t!e R "es of Co rt, Vo". 5 ;-./5 ed.<, p. ::/>:::, citing In re )pinion of t!e * stices ;Mass.<, -.C N.E. 5-5, 2 oted in R!ode Is. 0ar Assoc. vs. A to&o$i"e Service Assoc. ;R. I. < -+. A. -5., -CC<. ;E&p!asis o rs<. T!e practice of "a# inc" des s c! appearance $efore t!e %atent )ffice, t!e representation of app"icants, oppositors, and ot!er persons, and t!e prosec tion of t!eir app"ications for patent, t!eir oppositions t!ereto, or t!e enforce&ent of t!eir rig!ts in patent cases. In conc" sion, #e !o"d t!at nder t!e present "a#, &e&$ers of t!e %!i"ippine 0ar a t!orized $' t!is Tri$ na" to practice "a#, and in good standing, &a' practice t!eir profession $efore t!e %atent )ffice, for t!e reason t!at & c! of t!e $ siness in said office invo"ves t!e interpretation and deter&ination of t!e scope and app"ication of t!e %atent La# and ot!er "a#s app"ica$"e, as #e"" as t!e presentation of evidence to esta$"is! facts invo"ved? t!at part of t!e f nctions of t!e %atent director are = dicia" or 2 asi>= dicia", so & c! so t!at appea"s fro& !is orders and decisions are, nder t!e "a#, ta3en to t!e S pre&e Co rt. FRANCISCO PASCUAL v THE COMMISSIONER OF CUSTOMS G.R. No. L-1,"3" ?40( 5,! 1"-" FACTS%
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T!ere are t#o cases ;Seiz re Identification Nos. -@.. and -..6< #!ic! #ere $ro g!t on appea" to t!e S pre&e Co rt fro& t!e decisions of t!e respondent Co&&issioner of c sto&s, affir&ing t!e decisions of t!e Acting Co""ector of C sto&s for t!e %ort of Mani"a #!ic! decreed t!e forfeit re of t#o s!ip&ents fro& Aong Nong to Mani"a, one #it! C4 and t!e ot!er #it! 4+ pac3ages of foreign &ade candies, for i""ega" vio"ations of Centra" 0an3 Circ "ars Nos. CC and C/ in re"ation to section -5:5 ;f< of t!e Revised Ad&inistrative Code ;forfeit re of pro!i$ited &erc!andise< #!ic! re2 ires a "icense fro& t!e Monetar' 0oard or re"ease certificates to $e a$"e to receive goods fro& an' foreign co ntr'. Appellants Contentions: 1. T!e i&ported goods do not invo"ve do""ar re&ittances or t!e sa"e of foreign e7c!ange ;as #as conte&p"ated in circ "ar CC< and t!at Congress !as not a t!orized t!e Centra" 0an3 to iss e reg "ations governing i&ports t!at do not re2 ire t!e sa"e of foreign e7c!ange, $eca se according to !i&, it #o "d not !ave enacted into "a# Rep $"ic Act No. -C-6. 2. Circ "ars Nos. CC and C/ #ere pro& "gated $' t!e Monetar' 0oard #it!o t t!e conc rrence of at "east five &e&$ers and #it!o t t!e approva" of t!e %resident ISSUE% W!et!er or not t!e si7t'>nine ;:.< pac3ages of candies in 2 estion are s $=ect to forfeit re for vio"ation of Centra" 0an3 Circ "ars Nos. CC and C/ in re"ation to section -5:5 ;f< of t!e Revised Ad&inistrative Code ;forfeit re of &erc!andise pro!i$ited $' "a#<. HELD%
Pa.( 16

T!e decision of t!e Co&&issioner of C sto&s decreeing t!e forfeit re of t!e candies is ABBIRMED. T!e i&portations, ass &ed to invo"ve t!e sa"e of foreign e7c!ange, #ere in vio"ation of circ "ars CC and C/ for fai" re to o$tain t!e corresponding do""ar a""ocation or foreign e7c!ange "icense fro& t!e Centra" 0an3 as re2 ired $' Circ "ar No. CC of said $an3. S(c#)o0 3+! R(&48*)c Ac# No. 26a4# or)C(' # ( Mo0(#ar7 Boar', #it! t!e approva" of t!e %resident, to te&porari"' s spend or restrict sa"es of e7c!ange and to s $=ect a"" transactions in go"d and foreign e7c!ange to "icense d ring an e7c!ange crisis in order to protect t!e internationa" reserve and to give t!e Monetar' 0oard and t!e Govern&ent ti&e in to ta3e constr ctive &eas res to co&$at s c! a crisis. Circ "ar No. CC, pro!i$iting t!e re"ease $' t!e Co&&issioner of C sto&s of an' ite& of i&port #it!o t t!e presentation of a re"ease certificate iss ed $' t!e Centra" 0an3 or an' a t!orized agent $an3 in a for& prescri$ed $' t!e Monetar' 0oard, and Circ "ar No. C/, re2 iring 8an' person or entit' #!o intends to i&port or receive goods fro& an' foreign co ntr' for #!ic! no foreign e7c!ange is re2 ired or #i"" $e re2 ired of t!e $an3s, to app"' for a "icense fro& t!e Monetar' 0oard to a t!orize s c! i&port,8 are &eas res ta3en to c!ec3 t!e nreg "ated f"o# of foreign e7c!ange fro& t!e co ntr' and are #it!in t!e po#ers of t!e Monetar' 0oard. Contention Number 1( T!e contention t!at T!e Monetar' 0oard #as not a t!orized $' congress ass &es t!at t!e i&portations do not re2 ire t!e sa"e of foreign e7c!ange, a fact #!ic! appe""ant Brancisco %asc a" fai"ed to esta$"is!. It is a recognized genera" &ercanti"e practice t!at i&portations invo"ve t!e sa"e of foreign e7c!ange. T!is $eing so, i&portations t!at do not invo"ve t!e sa"e
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of foreign e7c!ange & st $e s!o#n or proved. In defa "t of s c! s!o#ing or proof as in fact t!e petitioner fai"ed to prove in t!e instant case, it #o "d $e safe to ass &e t!at t!e i&portations in 2 estion invo"ve t!e sa"e of foreign e7c!ange #!ic! is covered $' Circ "ar No. CC of said $an3 ;#!ic! are &eas res ta3en to c!ec3 t!e nreg "ated f"o# of foreign e7c!ange, t!e a t!orit' of #!ic! #as conferred to t!e Monetar' 0oard $' Congress $' virt e of Section +C, R.A. 4:/ ;see a$ove<. Contention Number 2: . is not s pported $' evidence. Circ "ar Nos. CC and C/ !ave $een p $"is!ed in t!e )fficia" Gazette. As s c!, pres &ption t!at an officia" d t' !as $een reg "ar"' perfor&ed, t!e ordinar' co rse of $ siness fo""o#ed, and t!e "a# co&p"ied #it!. DOMINGO B. TEODON vs. MEMBERS OF THE BOARD OF ADMINISTRATORS! PHILIPPINE VETERANS ADMINISTRATION FACTS% T!e petitioner s stained p!'sica" in= ries in "ine of d t' as a for&er &e&$er of a recognized g eri""a organization #!ic! participated active"' in t!e resistance &ove&ent against t!e ene&', and as a res "t of #!ic! petitioner s ffered a per&anent, p!'sica" disa$i"it'. Bor !aving $een per&anent"' incapacitated fro& #or3, !e fi"ed !is c"ai& for disa$"i"it' pension #it! t!e %!i"ippine Veterans Ad&inistration nder t!e VeteransD 0i"" of Rig!ts, Rep $"ic Act No. :/. Ao#ever, respondents in t rn #o "d "i&it t!e a&o nt of pension received $' !i& in accordance #it! t!e r "es and reg "ations pro& "gated $' t!e&. %etitioner fi"ed !is s it for &anda& s $efore t!e CBI of Mani"a a""eging t!at !e fi"ed !is c"ai& for disa$i"it' pension nder
Pa.( 13

t!e VeteransD 0i"" of Rig!ts, Rep $"ic Act No. :/, for !aving $een per&anent"' incapacitated fro& #or3 and t!at !e #as first a#arded on"' %4/.66 &ont!"', t!ereafter increased to %/6.66 a &ont! contrar' to t!e ter&s of t!e $asic "a# as t!ereafter a&ended. 5 Ais c"ai&, t!erefore, #as for a pension effective Ma' -6, -.// at t!e rate of %/6.66 a &ont! p to * ne 4-, -./+ and at t!e rate of %-66.66 a &ont!, p" s %-6.66 a &ont!, for eac! of !is n&arried &inor c!i"dren $e"o# -@ 'ears of age fro& * ne 44, -./+ p to * ne 56, -.:5? and t!e difference of %/6.66 a &ont!, p" s %-6.66 a &ont! for eac! of !is fo r n&arried &inor c!i"dren $e"o# -@ 'ears of age fro& * "' -, -.:5. Ae #o "d "i3e#ise see3 for t!e pa'&ent of &ora" and e7e&p"ar' da&ages as #e"" as attorne'Ds fees. Respondent, #!i"e ad&itting, #it! 2 a"ification, t!e facts as a""eged in t!e petition, #o "d re"' pri&ari"' in its specia" and affir&ative defenses, on petitioner not !aving e7!a sted its ad&inistrative re&edies and !is s it $eing in effect one against t!e govern&ent, #!ic! cannot prosper #it!o t its consent. T!e CBI fo nd for respondents. Aence t!is petition. ISSUE% W.).N. r "es and reg "ations pro& "gated $' ad&inistrative agencies can prevai" over a stat e. HELD% %etition is affir&ed. CBI is reversed. T!e Co rt cited t!e case of 0egosa v. C!air&an, %!i"ippine Veterans Ad&inistration, pro& "gated = st a &ont! $efore t!e case at $ar, #!ere it categorica""' !e"d t!at a veteran s ffering fro& per&anent disa$i"it' is not to $e denied #!at !as $een granted !i&
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specifica""' $' "egis"ative enact&ent, #!ic! certain"' is s perior to an' reg "ation t!at &a' $e pro& "gated $' t!e %!i"ippine Veterans Ad&inistration, pres &a$"' in t!e i&p"e&entation t!ereof. It added t!at t!e decision of t!e CBI #!ere it !e"d t!at Ht!e respondent 0oard !as a t!orit' nder t!e %ension "a# to process app"ications for pension, sing as g ide t!e r "es and reg "ations t!at it adopted nder t!e "a# and t!eir decisions, n"ess s!o#n c"ear"' to $e in error or against t!e "a# or against t!e genera" po"ic' of t!e 0oard, s!o "d $e &aintained8 is c"ear"' erroneo s. T!e Co rt a"so cited 1nited States v. T pasi Mo"ina, #!ic! !e"d t!at 8)f co rse t!e reg "ations adopted nder "egis"ative a t!orit' $' a partic "ar depart&ent & st $e in !ar&on' #it! t!e provisions of t!e "a#, and for t!e so"e p rpose of carr'ing into effect its genera" provisions. 0' s c! reg "ations, of co rse, t!e "a# itse"f cannot $e e7tended. So "ong, !o#ever, as t!e reg "ations re"ate so"e"' to carr'ing into effect t!e provisions of t!e "a#, t!e' are va"id.8 As #e"" as its r "ing in %eop"e v. Santos, #!erein it !e"d t!at an ad&inistrative order $etra's inconsistenc' or rep gnanc' to t!e provisions of t!e Act, 8t!e &andate of t!e Act & st prevai" and & st $e fo""o#ed.8 Bina""', t!e Co rt said t!ere & st $e strict co&p"iance #it! t!e "egis"ative enact&ent. Its ter&s & st $e fo""o#ed. T!e stat te re2 ires ad!erence to, not depart re fro&, its provisions. No deviation is a""o#a$"e. In t!e terse "ang age of t!e present C!ief * stice, an ad&inistrative agenc' 8cannot a&end an act of Congress.8 Respondents can $e s stained, t!erefore, on"' if it co "d $e s!o#n t!at t!e r "es and reg "ations pro& "gated $' t!e& #ere in accordance #it! #!at t!e VeteransD 0i"" of Rig!ts provides.
Pa.( 1@

B(0)#o Ma04(* /$. G(0(ra* A4')#)0. O99)c( G.R. No. L-2@"-2 D(c(68(r 2"! 1"31 FACTS% %etitioner 0enito C. Man e" app"ied for retire&ent, effective Dece&$er 5-, -.:+, according to "a#, 5 after !aving to !is credit &ore t!an ;46< 'ears of service in t!e govern&ent, inc" ded in #!ic! #ere fo r s ccessive ter&s as Ma'or of Linga'en, %angasinan fro& *an ar' -, -./4 to Dece&$er 5-, -.:+. S c! app"ication #as approved on Dece&$er /, -.:+. Ae !ad "i3e#ise so g!t t!e co&& tation of !is vacation and sic3 "eave, fi"ing #it! t!e M nicipa" Treas rer of Linga'en, %angasinan on Dece&$er 44, -.:+ a co&& nication to t!at effect. In !is &e&orand & fi"ed #it! respondent Genera" A diting )ffice to #!ic! t!e &atter #as referred, !e stressed t!at !e #as entit"ed to n sed vacation and sic3 "eave earned fro& Ma' 5-, -./+ ;date of effectivit' Rep $"ic Act No. -:-:< to Dece&$er 5-, -.:+, or a period of -6 'ears and + &ont!s, and since !is !ig!est sa"ar' #as %:66.66 a &ont!, t!e tota" a&o nt #!ic! s!o "d accr e to !i& is %:,666.66, ;one &ont! for ever' 'ear<. ISSUE% W!et!er or not an e"ective officia" &a' $e entit"ed in t!e event t!at !e vo" ntari"' retires or $e separated fro& t!e service #it!o t fa "t on !is part to t!e co&& tation of !is vacation and sic3 "eave HELD% -. It is e7press"' provided nder Section 4@: of t!e Revised Ad&inistrative Code t!at vacation and sic3 "eave s!a"" $e c & "ative, an' part t!ereof not ta3en #it!in t!e ca"endar 'ear earned $eing
EH +,-
carried over t!e s cceeding 'ears #it! t!e e&p"o'ee vo" ntari"' retiring or $eing separated fro& t!e service #it!o t fa "t on !is part, $eing entit"ed to t!e co&& tation of a"" s c! acc & "ated vacation or sic3 "eave to !is credit provided t!at it s!a"" in no case e7ceed ten ;-6< &ont!s. 8)fficia"s and e&p"o'ees retired nder t!is Act s!a"" $e entit"ed to t!e co&& tation of t!e n sed vacation and sic3 "eave, $ased on t!e !ig!est rate received, #!ic! t!e' !ave to t!eir credit at t!e ti&e of retire&ent.8 4. W!' t!en did respondent decide ot!er#ise9 It &a' !ave $een d e to a &isreading of Section 4-@+ of t!e Revised Ad&inistrative Code. W!at & st !ave &is"ed respondent #as a fai" re to ta3e d e note t!at t!is section dea"s so"e"' #it! a sit ation #!en a & nicipa" &a'or is a$sent fro& !is office $eca se of i""ness. It does not cover t!erefore t!e specific case !ere presented of t!e rig!t of t!e e"ective officia" to a co&& tation of !is vacation and sic3 "eave pon !is retire&ent or separation fro& t!e service t!ro g! no fa "t of !is o#n. Moreover it & st !ave fe"t = stified in vie# of t!e endorse&ent of t!e Co&&ission of t!e Civi" Service, #!o app"ied Section . of Civi" Service R "e OVI, inc" ded in #!ic! is t!e e7press in= nction t!at t!e "eave is not c & "ative. B rt!er ref"ection o g!t to !ave ca tioned it t!at certain"' t!is r "e is far fro& $eing app"ica$"e as on its face it is $ased on t!e aforesaid Section 4-@+, #!ic! as noted is not in point. 8T!e recognition of t!e po#er of ad&inistrative officia"s to pro& "gate r "es in t!e i&p"e&entation of t!e stat te, necessari"' "i&ited to #!at is provided for in t!e "egis"ative enact&ent, &a' $e fo nd in t!e ear"' case of 1nited States v. 0arrias decided in -.6@. T!en ca&e, in a -.-C decision, 1nited States v. T pasi Mo"ina, a de"ineation of t!e scope of s c! co&petence. T! s( D)f
Pa.( 1"

co rse t!e reg "ations adopted nder "egis"ative a t!orit' $' a partic "ar depart&ent & st $e in !ar&on' #it! t!e provisions of t!e "a#, and for t!e so"e p rpose of carr'ing into effect its genera" provisions. 5. Not!ing can $e c"earer t!erefore t!an t!at t!e c"ai& of petitioner to a co&& tation of !is vacation and sic3 "eave not e7ceeding ten ;-6< &ont!s & st $e p!e"d, inas& c! as t!e facts s!o# t!at t!e tota" a&o nt so g!t to $e paid to !i& #as precise"' in accordance #it! t!e contro""ed "ega" provisions. T!e r "ing no# on revie# & st $e versed and petitionerDs p"ea granted. WAEREB)RE, t!e r "ing of Marc! -, -.:@ of respondent office ref sing to a""o# in a dit t!e c"ai& of petitioner 0enito C. Man e" for co&& tation of !is "eave earned as Ma'or for t!e period *an ar' -, -./4 to Dece&$er 5-, -.:+ is reversed and t!e app"ication of petition for s c! co&& tation granted. Wit!o t prono nce&ent as to costs. L4&a0.co /$ Co4r# o9 A&&(a*$ I$$4(% Can t!e %rofessiona" Reg "ation Co&&ission "a#f ""' pro!i$it t!e e7a&iness fro& attending revie# c"asses, receiving !ando t &ateria"s, tips, or t!e "i3e 5 da's $efore t!e date of t!e e7a&ination9 Fac#$% %RC iss ed Reso" tion No. -6/ as parts of its 8Additiona" Instr ctions to E7a&iness,8 to a"" t!ose app"'ing for ad&ission to ta3e t!e "icens re e7a&inations in acco ntanc'. %etitioners, a"" revie#ees preparing to ta3e t!e "icens re e7a&inations in acco ntanc', fi"ed #it! t!e RTC a co&p"aint for in= nction #it! a pra'er
EH +,-
#it! t!e iss ance of a #rit of a pre"i&inar' in= nction against respondent %RC to restrain t!e "atter fro& enforcing t!e a$ove>&entioned reso" tion and to dec"are t!e sa&e nconstit tiona". R4*(% We rea"ize t!at t!e 2 estioned reso" tion #as adopted for a co&&enda$"e p rpose #!ic! is 8to preserve t!e integrit' and p rit' of t!e "icens re e7a&inations.8 Ao#ever, its good ai& cannot $e a c"oa3 to concea" its constit tiona" infir&ities. )n its face, it can $e readi"' seen t!at it is nreasona$"e in t!at an e7a&inee cannot even attend an' revie# c"ass, $riefing, conference or t!e "i3e, or receive an' !and>o t, revie# &ateria", or an' tip fro& an' sc!oo", co""ege or niversit', or an' revie# center or t!e "i3e or an' revie#er, "ect rer, instr ctor, officia" or e&p"o'ee of an' of t!e afore&entioned or si&i"ar instit tions. T!e nreasona$"eness is &ore o$vio s in t!at one #!o is ca g!t co&&itting t!e pro!i$ited acts even #it!o t an' i"" &otives #i"" $e $arred fro& ta3ing f t re e7a&inations cond cted $' t!e respondent %RC. B rt!er&ore, it is inconceiva$"e !o# t!e Co&&ission can &anage to !ave a #atc!f " e'e on eac! and ever' e7a&inee d ring t!e t!ree da's $efore t!e e7a&ination period. It is an ai7io& in ad&inistrative "a# t!at ad&inistrative a t!orities s!o "d not act ar$itrari"' and capricio s"' in t!e iss ance of r "es and reg "ations. To $e va"id, s c! r "es and reg "ations & st $e reasona$"e and fair"' adapted to t!e end in vie#. If s!o#n to $ear no reasona$"e re"ation to t!e p rposes for #!ic! t!e' are a t!orized to $e iss ed, t!en t!e' & st $e !e"d to $e inva"id. Reso" tion No. -6/ is not on"' nreasona$"e and ar$itrar', it a"so infringes on t!e e7a&ineesD rig!t to "i$ert' g aranteed $' t!e Constit tion. Respondent %RC !as no a t!orit' to dictate on t!e revie#ees as to !o# t!e'
Pa.( 2,

s!o "d prepare t!e&se"ves for t!e "icens re e7a&inations. T!e' cannot $e restrained fro& ta3ing a"" t!e "a#f " steps needed to ass re t!e f "fi""&ent of t!eir a&$ition to $eco&e p $"ic acco ntants. T!e' !ave ever' rig!t to &a3e se of t!eir fac "ties in attaining s ccess in t!eir endeavors Mo0#(c)**o /$. CSC G.R. No. -5-./C. * ne 4@, 466FACTS% %etitioners assai" t!e va"idit' of CSC Me&orand & Circ "ar No. 44, Series of -..-, on t!e gro nd t!at its iss ance a&o nted to an a$ se of respondents po#er to pro& "gate r "es and reg "ations p rs ant to t!e Civi" Service La#. E&p"o'ee positions in t!e Metropo"itan Ce$ Water District ;MCWD< #ere re> c"assified d ring t!e "atter part of -../ to confor& #it! position descriptions and corresponding sa"ar' grades in t!e civi" service. According"', #!i"e t!e personne" str ct re of t!e MCWD #as $eing &odified, t!ree of its e&p"o'ees >> petitioners Ase"a 0. Monteci""o, Mari"o *oan V. )rtega and C!arris!e Dosdos >> app"ied for pro&otiona" appoint&ent to t!e position of Secretar' to t!e Assistant Genera" Manager or %rivate Secretar' C, as t!e position "ater ca&e to $e 3no#n. At t!e ti&e of t!eir app"ication, petitioners !ad $een occ p'ing t!e position of Depart&ent Secretar' and #ere e&p"o'ed in t!e MCWD for si7 to seven 'ears. W!en t!eir appoint&ents #ere for#arded to t!e Civi" Service Co&&ission Bie"d )ffice ;CSC B)< $' MCWD Genera" Manager D "ce A$ani""a, t!e CSC B) ref sed to approve petitioners appoint&ents as per&anent on t!e gro nd t!at t!e position app"ied for #as a pri&ari"' confidentia" and co>ter&ino s position. T!is r "ing #as p!e"d $' t!e
EH +,-
CSC Regiona" )ffice and affir&ed on appea" $' respondent. ISSUE% W)N CSC a$ sed its r "e>&a3ing po#er HELD% ABBIRMED. Respondent #as e7press"' e&po#ered to dec"are positions in t!e Civi" Service as &a' proper"' $e c"assified as pri&ari"' confidentia" nder Section -4, C!apter 5, 0oo3 V of t!e Ad&inistrative Code of -.@+. To o r &ind, t!is signifies t!at t!e en &eration fo nd in Section :, Artic"e IV of t!e Civi" Service Decree, #!ic! defines t!e non> career service, is not an e7c" sive "ist. Respondent co "d s pp"e&ent t!e en &eration, as it did #!en it iss ed Me&orand & Circ "ar No. 44, s. of -..-, $' specif'ing positions in t!e civi" service, #!ic! are considered pri&ari"' confidentia" and t!erefore t!eir occ pants are co>ter&ino s #it! t!e officia" t!e' serve. T!e assai"ed &e&orand & circ "ar can not $e dee&ed as an na t!orized a&end&ent of t!e "a#. )n t!e contrar', it #as iss ed p rs ant to a po#er e7press"' vested $' "a# pon respondent. As s c!, it & st $e respected $' t!is Co rt as a va"id iss ance of a constit tiona""' independent $od'.
SMART VS NLRC 1G.R. No. 1-1",@ A4.4$# 12! 2,,52 FACTS% % rs ant to its r "e>&a3ing and reg "ator' po#ers, t!e Nationa" Te"eco&& nications Co&&ission ;NTC< iss ed on * ne -:, 4666 Me&orand & Circ "ar No. -5>:>4666, pro& "gating r "es and reg "ations on t!e $i""ing of te"eco&& nications services. )n A g st 56, 4666, t!e NTC iss ed a Me&orand & to a"" ce"" "ar &o$i"e te"ep!one service ;CMTS< operators
Pa.( 21

#!ic! contained &eas res to &ini&ize if not tota""' e"i&inate t!e incidence of stea"ing of ce"" "ar p!one nits. T!e Me&orand & directed CMTS operators to( a. strict"' co&p"' #it! Section 0;-< of MC -5>:>4666 re2 iring t!e presentation and verification of t!e identit' and addresses of prepaid SIM card c sto&ers? $. re2 ire a"" 'o r respective prepaid SIM cards dea"ers to co&p"' #it! Section 0;-< of MC -5>:>4666? c. den' acceptance to 'o r respective net#or3s prepaid andKor postpaid c sto&ers sing sto"en ce""p!one nits or ce""p!one nits registered to so&e$od' ot!er t!an t!e app"icant #!en proper"' infor&ed of a"" infor&ation re"ative to t!e sto"en ce""p!one nits? d. s!are a"" necessar' infor&ation of sto"en ce""p!one nits to a"" ot!er CMTS operators in order to prevent t!e se of sto"en ce""p!one nits? and e. re2 ire a"" 'o r e7isting prepaid SIM card c sto&ers to register and present va"id identification cards. Anot!er Me&orand & dated )cto$er :, 4666 addressed to a"" p $"ic te"eco&& nications entities, reads( T!is is to re&ind 'o t!at t!e va"idit' of a"" prepaid cards so"d on 6+ )cto$er 4666 and $e'ond s!a"" $e va"id for at "east t#o ;4< 'ears fro& date of first se p rs ant to MC -5>:>4666. In addition, a"" CMTS operators are re&inded t!at a"" SIM pac3s sed $' s $scri$ers of prepaid cards so"d on 6+ )cto$er 4666 and $e'ond s!a"" $e va"id for at "east t#o ;4< 'ears fro& date of first se. A"so, t!e $i""ing nit s!a"" $e on a si7 ;:< seconds p "se effective 6+ )cto$er 4666. Is"aco& and %i"te" fi"ed an an action for dec"aration of n ""it' of NTC Me&orand & Circ "ar No. -5>:>4666 ;t!e 0i""ing Circ "ar< and t!e NTC Me&orand & dated )cto$er :, 4666,
EH +,-
#it! pra'er for t!e iss ance of a #rit of pre"i&inar' in= nction and te&porar' restraining order. 0ot! a""eged, inter alia, t!at t!e NTC a$ 0o ;4r)$')c#)o0 #o r(.4*a#( # ( $a*( o9 co0$46(r .oo'$ $4c a$ # ( &r(&a)' ca** car'$ $)0c( $4c ;4r)$')c#)o0 8(*o0.$ #o # ( D(&ar#6(0# o9 Tra'( a0' I0'4$#r7 40'(r # ( Co0$46(r Ac# o9 # ( P )*)&&)0($E # a# # ( B)**)0. C)rc4*ar )$ o&&r($$)/(! co09)$ca#or7 a0' /)o*a#)/( o9 # ( co0$#)#4#)o0a* &ro )8)#)o0 a.a)0$# '(&r)/a#)o0 o9 &ro&(r#7 <)# o4# '4( &roc($$ o9 *a<? # a# # ( C)rc4*ar <)** r($4*# )0 # ( )6&a)r6(0# o9 # ( /)a8)*)#7 o9 # ( &r(&a)' c(**4*ar $(r/)c( 87 40'4*7 &ro*o0.)0. # ( /a*)')#7 a0' (=&)ra#)o0 o9 # ( &r(&a)' SIM a0' ca** car'$E a0' # a# # ( r(F4)r(6(0#$ o9 )'(0#)9)ca#)o0 o9 &r(&a)' car' 847(r$ a0' ca** 8a*a0c( a00o40c(6(0# ar( 40r(a$o0a8*(. Aence, t!e' pra'ed t!at t!e 0i""ing Circ "ar $e dec"ared n "" and void ab initio. %etitioners G"o$e Te"eco&, Inc and S&art Co&& nications, Inc. fi"ed a =oint Motion for Leave to Intervene and to Ad&it Co&p"aint>in>Intervention #!ic! #as granted. Co rt iss ed a te&porar' restraining order. Motion to dis&iss and reconsideration #ere denied $' t!e RTC. Respondent NTC t! s fi"ed a specia" civi" action for certiorari and pro!i$ition #it! t!e Co rt of Appea"s #!ic! #as granted, !ence t!is petition. ISSUE% W!et!er or not va"idit' or constit tiona"it' of a r "e or reg "ation iss ed $' t!e ad&inistrative agenc' in t!e perfor&ance of its 2 asi>"egis"ative f nction is nder t!e = risdiction of reg "ar co rts. HELD% CA reversed. Regiona" Tria" Co rt !as = risdiction to !ear and decide t!e case.
Pa.( 22

A'6)0)$#ra#)/( a.(0c)($ &o$$($$ F4a$)-*(.)$*a#)/( or r4*(-6aG)0. &o<(r$ a0' F4a$)-;4')c)a* or a'6)0)$#ra#)/( a';4')ca#or7 &o<(r$. H4a$)-*(.)$*a#)/( or r4*(-6aG)0. &o<(r is t!e po#er to &a3e r "es and reg "ations #!ic! res "ts in de"egated "egis"ation t!at is #it!in t!e confines of t!e granting stat te and t!e doctrine of non>de"ega$i"it' and separa$i"it' of po#ers. T!e r "es and reg "ations t!at ad&inistrative agencies pro& "gate, #!ic! are t!e prod ct of a de"egated "egis"ative po#er to create ne# and additiona" "ega" provisions t!at !ave t!e effect of "a#, s!o "d $e #it!in t!e scope of t!e stat tor' a t!orit' granted $' t!e "egis"at re to t!e ad&inistrative agenc'. It is re2 ired t!at t!e reg "ation $e ger&ane to t!e o$=ects and p rposes of t!e "a#, and $e not in contradiction to, $ t in confor&it' #it!, t!e standards prescri$ed $' "a#. T!e' & st confor& to and $e consistent #it! t!e provisions of t!e ena$"ing stat te in order for s c! r "e or reg "ation to $e va"id. Constit tiona" and stat tor' provisions contro" #it! respect to #!at r "es and reg "ations &a' $e pro& "gated $' an ad&inistrative $od', as #e"" as #it! respect to #!at fie"ds are s $=ect to reg "ation $' it. It &a' not &a3e r "es and reg "ations #!ic! are inconsistent #it! t!e provisions of t!e Constit tion or a stat te, partic "ar"' t!e stat te it is ad&inistering or #!ic! created it, or #!ic! are in derogation of, or defeat, t!e p rpose of a stat te. In case of conf"ict $et#een a stat te and an ad&inistrative order, t!e for&er & st prevai". Not to $e conf sed #it! t!e 2 asi> "egis"ative or r "e>&a3ing po#er of an ad&inistrative agenc' is its F4a$);4')c)a* or a'6)0)$#ra#)/( a';4')ca#or7 &o<(r. T!is is t!e po#er to !ear and deter&ine 2 estions of fact to #!ic! t!e "egis"ative po"ic' is to app"' and to decide in accordance #it! t!e standards "aid do#n $' t!e "a# itse"f in enforcing and ad&inistering t!e sa&e
EH +,-
"a#. T!e ad&inistrative $od' e7ercises its 2 asi>= dicia" po#er #!en it perfor&s in a = dicia" &anner an act #!ic! is essentia""' of an e7ec tive or ad&inistrative nat re, #!ere t!e po#er to act in s c! &anner is incidenta" to or reasona$"' necessar' for t!e perfor&ance of t!e e7ec tive or ad&inistrative d t' entr sted to it. In carr'ing o t t!eir 2 asi>= dicia" f nctions, t!e ad&inistrative officers or $odies are re2 ired to investigate facts or ascertain t!e e7istence of facts, !o"d !earings, #eig! evidence, and dra# conc" sions fro& t!e& as $asis for t!eir officia" action and e7ercise of discretion in a = dicia" nat re. I0 F4($#)o0)0. # ( /a*)')#7 or co0$#)#4#)o0a*)#7 o9 a r4*( or r(.4*a#)o0 )$$4(' 87 a0 a'6)0)$#ra#)/( a.(0c7! a &ar#7 0((' 0o# (= a4$# a'6)0)$#ra#)/( r(6(')($ 8(9or( .o)0. #o co4r#. T )$ &r)0c)&*( a&&*)($ o0*7 < (r( # ( ac# o9 # ( a'6)0)$#ra#)/( a.(0c7 co0c(r0(' <a$ &(r9or6(' &4r$4a0# #o )#$ F4a$)-;4')c)a* 940c#)o0! a0' 0o# < (0 # ( a$$a)*(' ac# &(r#a)0(' #o )#$ r4*(-6aG)0. or F4a$)-*(.)$*a#)/( &o<(r. A.1. INTERNAL RULES MAGLUNOB VS THE NATIONAL ABACA I OTHER FIBERS CORPORATION 1NAFCO2 G.R. No. L-62,5 F(8r4ar7 26! 1"-+ FACTS% %etitioner>appe""ants p"ead t!at t!e' are "and"ess #ar veterans and recognized and deserving g eri""as 2 a"ified to ac2 ire p $"ic "ands nder RA No. :/ and as s c! to enter pon, occ p', sett"e and ta3e possession of parts of t!e parce" of "and invo"ved !erein. T!e' contend t!at p rs ant to Rep. Acts. Nos. @ and :/, t!e directive of t!e %resident of t!e
Pa.( 25

%!i"ippines dated and t!e r "es and reg "ations pro& "gated t!ere nder, t!e' are entit"ed to !ave an a#ard of t!e parts of t!e parce" of "and t!e' !ave $een in possession. According to t!e&, NABC) is d t' $o nd "ega""' to &a3e s c! a#ard, t!e petitioners pra' for a #rit to co&pe" t!e respondent corporation to respect t!eir rig!t over t!e parts of t!e parce" of "and occ pied $' t!e& and to e7ec te "ease contracts or deeds of sa"e to give effect to s c! rig!t in co&p"iance #it! t!e orders of t!e %resident referred to. )n t!e ot!er !and, respondent a""eges t!at t!e parce" of "and descri$ed in t!e co&p"aint is o#ned, as evidenced $' Torrens transfer certificate of tit"e iss ed $' t!e Register of Deeds in and for t!e %rovince of Davao, &anaged and financed $' t!e B r 3a#a %"antation Co&pan', separate, apart and distinct fro& t!at of t!e respondent. Rep. Acts Nos. @ and :/ and t!e directives of t!e %resident invo3ed $' t!e petitioners confer no specific "ega" rig!t pon t!e petitioners and i&pose no &inisteria" d t' pon t!e respondent to a#ard to #ar veterans and deserving g eri""as parts of t!e parce" of "and o#ned $' t!e B r 3a#a %"antation Co&pan'. T!e' f rt!er assert t!at petitioners are !ave no specific "ega" rig!t to ac2 ire t!e parce" of "and in 2 estion and t!e respondent !as no &inisteria" d t' to a#ard to t!e& t!e parts of t!e parce" of "and a""eged"' occ pied $' t!e&? t!at Rep. Act No. @ gives on"' a t!orit' to t!e %resident of t!e %!i"ippines 8to designate an e7isting office, agenc' or instr &enta"it' of t!e Govern&ent, to ta3e over and ad&inister t!e properties ac2 ired nder t!e provisions of t!is Act and t!e disposition of t!ese properties s!a"" $e &ade in accordance #it! t!e e7isting "a#s?8 Last"', RA No. :/ gives to t!e persons &entioned in sections - and 4 of t!e Act, a"" ot!er 2 a"ifications $eing e2 a", 8preference to p rc!ase p $"ic
EH +,-
"ands and govern&ent>o#ned or &anaged agric "t ra" far&s or s $divisions, to o$tain !o&esteads, concessions and franc!ises, and ot!er privi"eges for t!e e7p"oitation of t!e nationa" reso rces #!ic! are per&issi$"e and &ade avai"a$"e $' e7isting "a#s or t!e "i3e?8 Ao#ever, granting t!at petitioners !ave a preferentia" rig!t, t!e' !ave "ost it, $eca se since t!e passage of t!e "a# &ore t!an t!ree 'ears !ave a"read' e"apsed. In vie# of t!is ans#er and pon &otion of co nse" for t!e respondent a pre"i&inar' !earing #as !e"d as if a &otion to dis&iss !ad $een fi"ed. ISSUE% W)N RA No. :/ grants specific "ega" rig!t to petitioners? W)N t!e respondent !as specific "ega" d t' en=oined $' "a# to perfor& in connection t!ere#it!. RULING% After !earing t!e co rt dis&issed t!e co&p"aint on t!e gro nd t!at t!e parce" of "and in 2 estion $e"ongs e7c" sive"' to a corporation #!ose $oard of directors !appens to $e t!e sa&e $oard of directors of t!e respondent NABC) and for t!at reason t!e respondent cannot a"ienate t!e "ands in 2 estion to t!e petitioners. A &otion for reconsideration #as denied. Bro& t!e order of dis&issa" t!e petitioners !ave appea"ed. If NABC) is t!e &anager of t!e parce" of "and or is &anaging t!e p"antation t!erein, it is not t!e rea" part' in interest or t!e part' against #!o& t!e action s!o "d $e $ro g!t . At t!e pre"i&inar' !earing nder section /, R "e @, t!e part' asserting a fact & st prove it $' co&petent evidence. T!e d p"icate for t!e o#ner of t!e Torrens certificate of tit"e & st !ave $een presented or t!e origina" in t!e office of t!e Registrar of Deeds & st !ave $een e7!i$ited to t!e
Pa.( 2+

Co rt. Nevert!e"ess, t!ere is anot!er gro nd #!ic! &a3es it nnecessar' to re&and t!e case for f rt!er proceedings to ascertain #!o is t!e o#ner of t!e parce" of "and invo"ved in t!e "itigation, $eca se granting t!at t!e parce" of "and is inc" ded a&ong t!ose t!at s!o "d $e disposed of in accordance #it! t!e provisions of Rep $"ic Act No. :/, sti"" t!e petitioners !ave no specific "ega" rig!t and t!e respondent !as no specific "ega" d t' en=oined $' "a# to perfor& in connection t!ere#it!. It is on"' a preference and t!at invo"ves a discretion to deter&ine #!et!er t!e app"icants for "ease or sa"e of parts of a parce" of "and nder t!e &anage&ent of t!e respondent are entit"ed to s c! "ease or p rc!ase nder t!e provisions of Rep $"ic Act No. :/. Going over t!e provisions of t!e directives referred to in t!e petition for &anda& s #e fai" to find an' #!ic! confers pon t!e petitioners a specific "ega" rig!t and i&poses a d t' pon t!e respondent enforcea$"e $' &anda& s. And it & st $e so, $eca se e7ec tive orders or directives of t!e %resident are ad&inistrative in nat re and t!e' cannot, genera""', confer an' rig!t $eca se t!is is on"' conferred $' "a#. 1pon t!e second gro nd, t!e order appea"ed fro& dis&issing t!e petition for &anda& s is affir&ed, #it!o t costs. INTERPROVINCIAL AUTOBUS CO.! INC. /$. COLLECTOR OF INTERNAL REVENUE JG.R. No. L-63+1. ?a04ar7 51! 1"-6K FACTS% %"aintiff>petitioner is a co&&on carrier engaged in transporting passengers and freig!t $' &eans of T%1 $ ses. So&eti&e in t!e 'ear -.C- t!e provincia" reven e agent for Misa&is )ccidenta" e7a&ined t!e st $s of t!e freig!t receipts t!at !ad $een iss ed $' t!e
EH +,-
%"aintiff. T!e co&pan' #as not a$"e to preserve t!e receipt st $s fro& -.5: to -.5@ $ t #as a$"e to preserve t!ose for -.5. and -.C6. T!e provincia" reven e agent for Misa&is )ccidenta" ascertained t!e n &$er of receipts $' referring to t!e cond ctorJs dai"' report for t!e said period -.5: to -.5@. 0ot! t!e said dai"' reports of %"aintiffJs cond ctors and t!e avai"a$"e st $s ')' 0o# $#a#( # ( /a*4( of t!e goods transported t!ere nder. Ao#ever, respondent a$$46(' t!at t!e va" e of t!e goods covered $' eac! of t!e freig!t receipts a&o nted to &ore t!an %/, and assessed a doc &entar' sta&p ta7 of %6.6C on eac! of t!e receipts. T!e ta7 t! s assessed a&o nted to %+,++:.4C, #!ic! #as co""ected fro& t!e deposit of t!e %"aintiff in t!e %N0. %"aintiff de&anded t!e ref nd of t!e a&o nt, and pon ref sa" of t!e Defendant, %"aintiff fi"ed t!e action. T!e CBI rendered = dg&ent in favor of t!e %"aintiff. T!e CA reversed t!e decision of t!e CBI and a$so"ved t!e Defendant> Respondent fro& t!e co&p"aint. Aence, t!is appea". ISSUES%
(1)
Did t!e Secretar' of Binance infringe or vio"ate an' rig!t of t!e ta7pa'er #!en !e directed t!at t!e ta7 is to $e co""ected in a"" cases #!ere t!e $i"" of "ading or receipt 'o($ 0o# $#a#( # a# # ( $ )&6(0# )$ <or# P- or *($$, or, in t!e "ang age of t!e etitioner>Appellant, #!en !e ;Secretar'< created a &r($46&#)o0 o9 *)a8)*)#7 to t!e ta7 if t!e receipt fai"s to state s c! va" e9
RULING% -.< N).

Pa.( 2-

T!e so rce of t!is arg &ent ste&s fro& t!e va"idit' of Depart&ent of Binance Reg "ation No. 4: #!ic! provides( HSEC. -4-. 0asis of t!e ta7 and affi7t re of sta&ps. Q 0i""s of "ading are (=(6&# fro& t!e doc &entar' sta&p ta7 i&posed $' paragrap!s ;2< and ;r< of section -CC. of t!e Ad&inistrative Code #!en t!e va" e of t!e goods s!ipped )$ P- or *($$. U0*($$ # ( 8)** o9 *a')0. $#a#($ t!at t!e goods are #ort! %/ or "ess, it & st $e !e"d t!at t!e ta7 is d e, and interna" reven e officers #i"" see to it t!at t!e ta7 is paid in a"" cases #!ere t!e $i"" of "ading does not state t!at t!e s!ip&ent is #ort! %/ or "ess.I T!e a$ove reg "ations #ere pro& "gated nder t!e a t!orit' of section +. ;0< of t!e Ad&inistrative Code ;origina""' section 4 of Act 4@65<, #!ic! e7press"' provides( HT!e Depart&ent Aead s!a"" !ave po#er to pro& "gate, #!enever !e &a' see fit to do so, a"" r "es, reg "ations, orders, circ "ars, &e&orand &s, and ot!er instr ctions, not contrar' to "a#, necessar' to reg "ate t!e proper #or3ing and !ar&onio s and efficient ad&inistration of eac! and a"" of t!e offices and dependencies of !is Depart&ent, and for t!e strict enforce&ent and proper e7ec tion of t!e "a#s re"ative to &atters nder t!e = risdiction of said Depart&ent? $ t none of said r "es or orders s!a"" prescri$e pena"ties for t!e vio"ation t!ereof, e7cept as e7press"' a t!orized $' "a# .I So, did t!e Secretar' vio"ate an' rig!t9 ;s!ort ans#er( N).< It cannot $e denied t!at t!e r(.4*a#)o0 is 6(r(*7 a ')r(c#)/( #o # ( #a= o99)c(r$? it does not p rport to c!ange or &odif' t!e "a#? it does not create a "ia$i"it' to t!e sta&p ta7 #!en t!e va" e of t!e goods does not appear on t!e face of t!e receipt. T!e practica" sef "ness of t!e directive $eco&es evident #!en acco nt is ta3en of t!e fact
EH +,-
t!at ta7 officers are in no position to #itness t!e iss ance of receipts and c!ec3 t!e va" e of t!e goods for #!ic! t!e' are iss ed. If ta7 officers #ere to assess or co""ect t!e ta7 on"' #!en t!e' find t!at t!e va" e of t!e goods covered $' t!e receipts is &ore t!an five pesos, t!e assess&ent and co""ection of t!e ta7 #o "d $e #e"">nig! i&possi$"e, as it is i&possi$"e for ta7 co""ectors to deter&ine fro& t!e receipts a"one, if t!e' do not contain t!e va" e of t!e goods, #!et!er t!e goods receipted for e7ceed %/, or not. T!e reg "ation i&p"ied"' re2 ired t!e state&ent of t!e va" e of t!e goods in t!e receipts? so t!at t!e co""ection of t!e ta7 can $e enforced. T!is t!e %etitioner> Appe""ant fai"ed to do and !e no# c"ai&s t!e nreasona$"eness of t!e provision as a $asis for !is e7e&ption. We find t!at t!e reg "ation is not on"' sef ", practica" and necessar' for t!e enforce&ent of t!e "a# on t!e ta7 on $i""s of "ading and receipts, $ t a"so reasona$"e in its provisions. T!e reg "ation a$ove 2 oted fa""s #it!in t!e scope of t!e ad&inistrative po#er of t!e Secretar' of Binance, as a t!orized in Section +. ;0< of t!e Revised Ad&inistrative Code, $eca se it is essentia" to t!e strict enforce&ent and proper e7ec tion of t!e "a# #!ic! it see3s to i&p"e&ent. Sa)' r(.4*a#)o0$ a/( # ( 9orc( a0' (99(c# o9 *a<. HIn t!e ver' nat re of t!ings in &an' cases it $eco&es i&practica$"e for t!e "egis"ative depart&ent of t!e Govern&ent to provide genera" reg "ations for t!e vario s and var'ing detai"s for t!e &anage&ent of a partic "ar depart&ent of t!e Govern&ent. It t!erefore $eco&es convenient for t!e "egis"ative depart&ent of t!e Govern&ent, $' La#, in a &ost genera" #a', to provide for t!e cond ct, contro" and &anage&ent of t!e #or3 of t!e partic "ar depart&ent of t!e Govern&ent? to a t!orize certain persons, in c!arge of t!e &anage&ent,
Pa.( 26

contro", and direction of t!e partic "ar depart&ent, #o a'o&# c(r#a)0 r4*($ a0' r(.4*a#)o0$ &ro/)')0. 9or # ( '(#a)* o9 # ( 6a0a.(6(0# a0' co0#ro* o9 $4c '(&ar#6(0#. S c! reg "ations !ave nifor&"' $een !e"d to !ave t!e force of "a#, #!enever t!e' are fo nd to $e in consonance and in !ar&on' #it! t!e genera" p rposes and o$=ects of t!e "a# S c! reg "ations, once esta$"is!ed and fo nd to $e in confor&it' #it! t!e genera" p rposes of t!e "a#, are = st as $inding pon a"" of t!e parties, as if t!e reg "ations !ad $een #ritten in t!e origina" "a# itse"f.I Bor t!e foregoing considerations, t!e = dg&ent of t!e Co rt of Appea"s is dec"ared void ;for "ac3 of = risdiction> SC rea""' !as e7c" sive appe""ate = ris. in cases invo"ving t!e "ega"it' of an' ta7,etc< and t!at of t!e Co rt of Birst Instance, reversed and t!e R($&o0'(0#A&&(**(( 10(/(r# (*($$ )$2 a8$o*/(' fro& t!e co&p"aint. Wit! costs against t!e %etitioner>Appe""ant. A.2. PENAL REGULATIONS HELD% US /$. BARRIOS N) FACTS% In t!e Co rt of Birst Instance of t!e cit' of Mani"a t!e defendant #as c!arged #it! a vio"ation of paragrap!s +6 and @5 of Circ "ar No. 5.+ of t!e Ins "ar Co""ector of C sto&s, d "' p $"is!ed in t!e )fficia" Gazette and approved $' t!e Secretar' of Binance and * stice. After a de& rrer to t!e co&p"aint #as overr "ed, it #as proved t!at, $eing t!e captain of t!e "ig!ter Ma de, !e #as &oving !er and directing !er &ove&ent, #!en !eavi"' "aden, in t!e %asig River, $' $a&$oo po"es in t!e !ands of t!e cre#, and #it!o t stea&, sai", or an' ot!er e7terna" po#er. Para.ra& 3, o9 C)rc4*ar No. 5"3 r(a'$ a$ 9o**o<$%
EH +,-
D8No !eavi"' "oaded casco, "ig!ter, or ot!er si&i"ar craft s!a"" $e per&itted to &ove in t!e %asig River #it!o t $eing to#ed $' stea& or &oved $' ot!er ade2 ate po#er.8 %aragrap! @5 reads, in part, as fo""o#s( 8Bor t!e vio"ation of an' of t!e foregoing reg "ations, t!e person offending s!a"" $e "ia$"e to a fine of not "ess t!an %/ and not &ore t!an %/66, in t!e discretion of t!e co rt.8 T!e co nse" of t!e appe""ant attac3ed t!e va"idit' of paragrap! +6 on t#o gro nds( Birst, t!at it is na t!orized $' section -. of Act No. 5//? and, second, t!at if t!e Acts of t!e %!i"ippine Co&&ission $ear t!e interpretation of a t!orizing t!e Co""ector to pro& "gate s c! a "a#, t!e' are void, as constit ting an i""ega" de"egation of "egis"ative po#er. ISSUE% W)N it is an nd e de"egation of "egis"ative po#er to a t!orize t!e Co""ector to pro& "gate s c! "a#.
R4*($ 9or *oca* 0a/).a#)o0 &r($cr)8(' 87 # ( co**(c#or o9 a &or# a$ ar8or 6a$#(r &4r$4a0# #o $#a#4#or7 a4# or)#7 6a7 8( $4$#a)0(' a$ 0o# a0 40'4( (=(rc)$( o9 a '(*(.a#(' *(.)$*a#)/( &o<(r. T ( 9)=)0. o9 &(0a*#)($ 9or cr)6)0a* o99(0$($ )$ # ( (=(rc)$( o9 a *(.)$*a#)/( &o<(r < )c ca0 0o# 8( '(*(.a#(' #o a $48or')0a#( a4# or)#7. 0' sections -, 4, and 5 of Act No. --5:, passed Apri" 4., -.6C, t!e Co""ector of C sto&s is a t!orized to "icense craft engaged in t!e "ig!terage or ot!er e7c" sive"' !ar$or $ siness of t!e ports of t!e Is"ands, and, #it! certain
Pa.( 23

e7ceptions, a"" vesse"s engaged in "ig!tering are re2 ired to $e so "icensed. Sections / and @ s pports t!is conc" sion. !"#C. $. The Collector of Customs for the hilippine %slands is hereby authori&ed, empowered, and directed to promptly ma'e and publish suitable rules and regulations to carry this law into effect and to regulate the business herein licensed. !"#C. (. Any person who shall )iolate the pro)isions of this Act, or of any rule or regulation made and issued by the Collector of Customs for the hilippine %slands, under and by authority of this Act, shall be deemed guilty of a misdemeanor, and upon con)iction shall be punished by imprisonment for not more than si* months, or by a fine of not more than one hundred dollars, +nited "tates currency, or by both such fine and imprisonment, at the discretion of the court: ro)ided, That )iolations of law may be punished either by the method prescribed in section se)en hereof, or by that prescribed in this section, or by both.! T!ere is no diffic "t' in s staining t!e reg "ation of t!e Co""ector as co&ing #it!in t!e ter&s of section /. Lig!terage, &entioned in t!e Act, is t!e ver' $ siness in #!ic! t!is vesse" #as engaged, and #!en !eavi"' "aden #it! !e&p s!e #as navigating t!e %asig River $e"o# t!e 0ridge of Spain, in t!e cit' of Mani"a. T!e necessit' of confiding to so&e "oca" a t!orit' t!e fra&ing, c!anging, and enforcing of !ar$or reg "ations is. recognized t!ro g!o t t!e #or"d, as eac! region and (ac ar8or r(F4)r($ &(c4*)ar r4*($ 6or( 6)04#( # a0 co4*' 8( (0ac#(' 87 # ( c(0#ra* *a<6aG)0. &o<(r! a0' < )c ! < (0 G(&# <)# )0 # ()r &ro&(r $co&(! ar(
EH +,-
)0 # ()r 0a#4r( &o*)c( r(.4*a#)o0$ 0o# )0/o*/)0. a0 40'4( .ra0# o9 *(.)$*a#)/( &o<(r. T!e co&p"aint in t!is instance #as fra&ed #it! reference, as its a t!orit', to sections 5-- and 5-. E-. and 5--F of Act No. 5//, of t!e %!i"ippine C sto&s Ad&inistrative Act, as a&ended $' Acts Nos. -45/ and -C@6. 1nder Act No. -45/, t!e Co""ector is not on"' e&po#ered to &a3e s ita$"e reg "ations, $ t a"so to 8fi7 pena"ties for vio"ation t!ereof,8 not e7ceeding a fine of %/66. T!is provision of t!e stat te does, indeed, present a serio s 2 estion. 8)ne of t!e sett"ed &a7i&s in constit tiona" "a# is, t!at t!e po#er conferred pon t!e "egis"at re to &a3e "a#s can not $e de"egated $' t!at depart&ent to an' ot!er $od' or a t!orit'. W!ere t!e sovereign po#er of t!e State !as "ocated t!e a t!orit', t!ere it & st re&ain? and $' t!e constit tiona" agenc' a"one t!e "a#s & st $e &ade nti" t!e constit tion itse"f is c!anged. T!e po#er to #!ose = dg&ent, #isdo&, and patriotis& t!is !ig! prerogative !as $een entr sted can not re"ieve itse"f of t!e responsi$i"it' $' c!oosing ot!er agencies pon #!ic! t!e po#er s!a"" $e deve"oped, nor can it s $stit te t!e = dg&ent, #isdo&, and patriotis& of an' ot!er $od' for t!ose to #!ic! a"one t!e peop"e !ave seen fit to confide t!is sovereign tr st.8 ;Coo"e'Ds Constit tiona" Li&itations, :t! ed., p. -5+.< T!is doctrine is $ased on t!e et!ica" princip"e t!at s c! a de"egated po#er constit tes not on"' a rig!t $ t a d t' to $e perfor&ed $' t!e de"egate $' t!e instr &enta"it' of !is o#n = dg&ent acting i&&ediate"' pon t!e &atter of "egis"ation and not t!ro g! t!e intervening &ind of anot!er. In t!e case of t!e 1nited States vs. 0reen ;C6 Bed. Rep., C64<, an Act of Congress a""o#ing t!e Secretar' of War to &a3e s c! r "es and reg "ations as &ig!t $e necessar' to protect i&prove&ents of t!e Mississippi
Pa.( 2@

River, and providing t!at a vio"ation t!ereof s!o "d constit te a &isde&eanor, #as s stained on t!e gro nd t!at t!e &isde&eanor #as dec"ared not nder t!e de"egated po#er of t!e Secretar' of War, $ t in t!e Act of Congress, itse"f. So a"so #as a grant to !i& of po#er to prescri$e r "es for t!e se of cana"s. ;1. S. vs. )r&s$ee, +C Bed. Rep., 46+.< 0 t a "a# a t!orizing !i& to re2 ire a"terations of an' $ridge and to i&pose pena"ties for vio"ations of !is r "es #e !e"d inva"id, as vesting in !i& a po#er e7c" sive"' "odged in Congress. ;1. S. vs. Rider, /6 Bed. Rep., C6:.< T!e s $=ect is considered and so&e cases revie#ed $' t!e S pre&e Co rt of t!e 1nited States, in re No""oc3 ;-:/ 1. S., /4:<, #!ic! p!e"d t!e "a# a t!orizing a co&&issioner of interna" reven e to designate &ar3s and sta&ps on o"eo&argarine pac3ages, an i&proper se of #!ic! s!o "d t!ereafter constit te a cri&e or &isde&eanor, t!e co rt sa'ing ;p. /55<( 8T!e cri&ina" offense is f ""' and co&p"ete"' defined $' t!e Act and t!e designation $' t!e Co&&issioner of t!e partic "ar &ar3s and $rands to $e sed #as a &ere &atter of detai". T!e reg "ation #as in e7ec tion of, or s pp"e&entar' to, $ t not in conf"ict #it!, t!e "a# itse"f. . . .8 In Massac! setts it !as $een decided t!at t!e "egis"at re &a' de"egate to t!e governor and co nci" t!e po#er to &a3e pi"ot reg "ations. ;Martin vs. Wit!erspoon et a"., -5/ Mass., -+/.< In t!e case of T!e 0oard of Aar$or Co&&issioners of t!e %ort of E re3a vs. E7ce"sior Red#ood Co&pan' ;@@ Ca"., C.-<, it #as r "ed t!at !ar$or co&&issioners can not i&pose a pena"t' nder stat tes a t!orizing t!e& to do so, t!e co rt sa'ing( 8Conceding t!at t!e "egis"at re co "d de"egate to t!e p"aintiff t!e a t!orit' to &a3e r "es and reg "ations #it! reference to t!e navigation of A &$o"dt
EH +,-
0a', t!e pena"t' for t!e vio"ation of s c! r "es and reg "ations is a &atter p re"' in t!e !ands of t!e "egis"at re.8 Aaving reac!ed t!e conc" sion t!at Ac# No. 1156 )$ /a*)', so far as sections / and @ are concerned. We are a"so of t!e opinion t!at none of t!e s $se2 ent stat tes cited operate to repea" t!e aforesaid section of Act No. --5:. So & c! of t!e = dg&ent of t!e Co rt of Birst Instance as convicts t!e defendant of a vio"ation of Acts Nos. 5// and -45/ is !ere$' revo3ed, and !e is !ere$' convicted of a &isde&eanor and p nis!ed $' a fine of 4/ do""ars, #it! costs of $ot! instances. So ordered. THE UNITED STATES! /$.FRANA TUPASI MOLINA Facts: Bran3 T pasi Mo"ina #as c!arged of a cri&e of per= r', in vio"ation of Section 5, Act no. -:.+, #!en defendant signed a petition to $e per&itted to ta3e t!e e7a&ination for t!e position of & nicipa" po"ice&an and &ade a fa"se dec"aration nder oat! t!at !e #as 2 a"ified to t!e e7a&inations for & nicipa" po"ice and !ave not $een c!arged of an' cri&e D ring tria", prosec tion presented evidence t!at t!e defendant #as sentenced and i&prisoned for dist r$ing p $"ic peace. Defendant arg es t!at said Act #as not app"ica$"e in t!e present case since t!is Act #as only a t!orizing t!e appoint&ent of co&&issioners, to &a3e officia" investigations, fi7ing t!eir po#ers, for t!e pa'&ent of #itness fees, and for t!e p nis!&ent of per= r' in officia" investigations. I$$4(%
Pa.( 2"

W)N "o#er co rt co&&itted error in app"'ing section 5 of Act -:.+. H(*'% No 1nder Section 5 of Act No. -:.+ it provides t!at( HAn' person #!o, !aving ta3en an oat! $efore a co&petent tri$ na", officer, or person, in an' case in #!ic! a "a# of t!e %!i"ippine Is"ands a t!orizes an oat! to $e ad&inistered, t!at !e #i"" testif', dec"are, depose, or certif' tr "', or t!at an' #ritten testi&on', dec"aration, deposition or certificate $' !i& s $scri$ed is tr e, #i""f ""' and contrar' to s c! oat! states or s $scri$es an' &ateria" &atter #!ic! !e does not $e"ieve to $e tr e, is g i"t' or per= r', and s!a"" $e p nis!ed, etc.I Act No. 4-:., provides for t!e reorganization of t!e & nicipa" po"ice of t!e & nicipa"ities or provinces and s $provinces, it f rt!er provides t!at, s $=ect to t!e approva" of t!e Secretar' of Co&&erce and %o"ice, t!e Director of Consta$ "ar' s!a"" prepare genera" reg "ations for t!e good govern&ent, discip"ine, and inspection of t!e & nicipa" po"ice, 8co&p"iance #!ere#it! s!a"" $e o$"igator' for a"" &e&$ers of t!e organization.8 Section . of said Act provides t!at( 8To $e e"igi$"e for e7a&ination, a candidate s!a"" !ave t!e fo""o#ing re2 ire&ents( . . . ;:< Aave no cri&ina" record.8 In accordance #it! t!e re2 ire&ents of said "a#, t!e Director of Consta$ "ar' prepared an e7a&ination &an a", prescri$ing at t!e sa&e ti&e r "es for cond cting e7a&inations, #!ic! e7a&ination &an a" #as approved $' t!e Secretar' of Co&&erce and %o"ice, and t!ere$' #as given t!e force of "a#. We !ave, t!erefore, a "a# #!ic! a t!orizes t!e ad&inistration of an oat! in t!e present case.
EH +,-
A vio"ation of a reg "ation prescri$ed $' an e7ec tive officer of t!e Govern&ent in confor&it' #it! and $ased pon a stat te a t!orizing s c! reg "ation, constit tes an offense and renders t!e offender "ia$"e to p nis!&ent in accordance #it! t!e provisions of "a#. In t!e ver' nat re of t!ings in &an' cases it $eco&es i&practica$"e for t!e *(.)$*a#)/( '(&ar#6(0# o9 # ( Go/(r06(0# #o &ro/)'( .(0(ra* r(.4*a#)o0$ 9or # ( /ar)o4$ a0' /ar7)0. '(#a)*$ 9or # ( 6a0a.(6(0# o9 a &ar#)c4*ar '(&ar#6(0# o9 # ( Go/(r06(0#. It t!erefore $eco&es convenient for t!e "egis"ative depart&ent of t!e Govern&ent, $' "a#, in a &ost genera" #a', to provide for t!e cond ct, contro", and &anage&ent of t!e #or3 of t!e partic "ar depart&ent of t!e Govern&ent? to a t!orize certain persons, in c!arge of t!e &anage&ent, contro", and direction of t!e partic "ar depart&ent, to adopt certain r "es and reg "ations providing for t!e detai" of t!e &anage&ent and contro" of s c! depart&ent. S c! reg "ations !ave nifor&"' $een !e"d to !ave t!e force of "a#, #!enever t!e' are fo nd to $e in consonance and in !ar&on' #it! t!e genera" p rposes and o$=ects of t!e "a#. We !e"d in t!e &an' cases t!at said section 5 #as a provision p nis!ing t!e cri&e of per= r' genera""'. We find no reason, eit!er in "a# or in t!e arg &ent of t!e appe""ant in t!e present case, to &odif' or reverse o r conc" sions in t!at case. T!e defendant #as g i"t' of t!e cri&e c!arged. PP. /. MACEREN GR No. L-52166 FACTS% T!is is a case invo"ving t!e va"idit' of a -.:+ reg "ation, pena"izing e"ectro fis!ing in fres! #ater fis!eries,
Pa.( 5,

pro& "gated $' t!e Secretar' of Agric "t re and Nat ra" Reso rces and t!e Co&&issioner of Bis!eries nder t!e o"d Bis!eries La# and t!e "a# creating t!e Bis!eries Co&&ission. *ose 0 enavent ra, Godofredo Re'es, 0en=a&in Re'es, Nazario A2 ino and Car"ito de" Rosario #ere c!arged $' a Consta$ "ar' investigator in t!e & nicipa" co rt of Sta. Cr z, Lag na #it! !aving vio"ated Bis!eries Ad&inistrative )rder No. @C>-. T!e "o#er co rt !e"d t!at e"ectro fis!ing cannot $e pena"ize $eca se e"ectric c rrent is not an o$no7io s or poisono s s $stance as conte&p"ated in section I I of t!e Bis!eries La# and t!at it is not a s $stance at a"" $ t a for& of energ' cond cted or trans&itted $' s $stances. T!e "o#er co rt f rt!er !e"d t!at, since t!e "a# does not c"ear"' pro!i$it e"ectro fis!ing, t!e e7ec tive and = dicia" depart&ents cannot consider it n"a#f ". As "ega" $ac3gro nd, it s!o "d $e stated t!at section -- of t!e Bis!eries La# pro!i$its 8t!e se of an' o$no7io s or poisono s s $stance8 in fis!ing. Section +: of t!e sa&e "a# p nis!es an' person #!o ses an o$no7io s or poisono s s $stance in fis!ing #it! a fine of not &ore t!an five ! ndred pesos nor &ore t!an five t!o sand, and $' i&prison&ent for not "ess t!an si7 &ont!s nor &ore t!an five 'ears. It is note#ort!' t!at t!e Bis!eries La# does not e7press"' p nis! .e"ectro fis!ing.8 T!e Secretar' of Agric "t re and Nat ra" Reso rces, pon t!e reco&&endation of t!e Bis!eries Co&&ission, iss ed Bis!eries Ad&inistrative )rder No. @C>-, a&ending section 4 of Ad&inistrative )rder No. @C, $' restricting t!e $an against e"ectro fis!ing to fresh water fisheries ;:5 ).G. ..:5<.
EH +,-
T! s, t!e p!rase 8in an' portion of t!e %!i"ippine #aters8 fo nd in section 4, #as c!anged $' t!e a&endator' order to read as fo""o#s( 8in fresh water fisheries in t!e %!i"ippines, s c! as rivers, "a3es, s#a&ps, da&s, irrigation cana"s and ot!er $odies of fres! #ater.8 ISSUE% WHETHER OR NOT THE SECRETARY OF AGRICULTURE EDCEEDED ITS AUTHORITY IN ISSUING ADMINISTARTIVE ORDERS. HELD% T!e Co rt is of t!e opinion t!at t!e Secretar' of Agric "t re and Nat ra" Reso rces and t!e Co&&issioner of Bis!eries e7ceeded t!eir a t!orit' in iss ing Bis!eries Ad&inistrative )rders Nos. @C and @C>- and t!at t!ose orders are not #arranted nder t!e Bis!eries Co&&ission, Rep $"ic Act No. 5/-4. T!e reason is t!at t!e Bis!eries La# does not e7press"' pro!i$it e"ectro fis!ing. As e"ectro fis!ing is not $anned nder t!at "a#, t!e Secretar' of Agric "t re and Nat ra" Reso rces and t!e Co&&issioner of Bis!eries are po#er"ess to pena"ize it. In ot!er #ords, Ad&inistrative )rders Nos. @C and @C>-, in pena"izing e"ectro fis!ing, are devoid of an' "ega" $asis. Aad t!e "a#&a3ing $od' intended to p nis! e"ectro fis!ing, a pena" provision to t!at effect co "d !ave $een easi"' e&$odied in t!e o"d Bis!eries La#. T!at "a# p nis!es ;-< t!e se of o$no7io s or poisono s s $stance, or e7p"osive in fis!ing? ;4< n"a#f " fis!ing in deepsea fis!eries? ;5< n"a#f " ta3ing of &arine &o" sca, ;C< i""ega" ta3ing of sponges? ;/< fai" re of "icensed fis!er&en to report t!e 3ind and 2 antit' of fis! ca g!t, and ;:< ot!er vio"ations.
Pa.( 51

No#!ere in t!at "a# is e"ectro fis!ing specifica""' p nis!ed. Ad&inistrative )rder No. @C, in p nis!ing e"ectro fis!ing, does not conte&p"ate t!at s c! an offense fai"s #it!in t!e categor' of 8ot!er vio"ations8 $eca se, as a"read' s!o#n, t!e pena"t' for e"ectro fis!ing is t!e pena"t' ne7t "o#er to t!e pena"t' for fis!ing #it! t!e se of o$no7io s or poisono s s $stances, fi7ed in section +:, and is not t!e sa&e as t!e pena"t' for 8ot!er vio"ations8 of t!e "a# and reg "ations fi7ed in section @5 of t!e Bis!eries La#. T!e "a#&a3ing $od' cannot de"egate to an e7ec tive officia" t!e po#er to dec"are #!at acts s!o "d constit te an offense. It can a t!orize t!e iss ance of reg "ations and t!e i&position of t!e pena"t' provided for in t!e "a# itse"f. ;%eop"e vs. E7conde -6- %!i". -- 4/, citing -- A&. * r. .:/ on p. -- 54<. Ao#ever, at present, t!ere is no &ore do $t t!at e"ectro fis!ing is p nis!a$"e nder t!e Bis!eries La# and t!at it cannot $e pena"ized &ere"' $' e7ec tive revo" tion $eca se %residentia" Decree No. +6C, #!ic! is a revision and conso"idation of a"" "a#s and decrees affecting fis!ing and fis!eries and #!ic! #as pro& "gated on Ma' -:, -.+/ ;+).G. C4:.<, e7press"' p nis!es e"ectro fis!ing in fres! #ater and sa"t #ater areas. n e7a&ination of t!e r "e>&a3ing po#er of e7ec tive officia"s and ad&inistrative agencies and, in partic "ar, of t!e Secretar' of Agric "t re and Nat ra" Reso rces ;no# Secretar' of Nat ra" Reso rces< nder t!e Bis!eries La# s stains t!e vie# t!at !e e7 !is a t!orit' in pena"izing e"ectro fis!ing $' &eans of an ad&inistrative order. Ad&inistrative agent are c"ot!ed #it! r "e>&a3ing po#ers $eca se t!e "a#&a3ing $od' finds it i&practica$"e, if not i&possi$"e, to anticipate and provide
EH +,-
for t!e & "tifario s and co&p"e7 sit ations t!at &a' $e enco ntered in enforcing t!e "a#. A"" t!at is re2 ired is t!at t!e reg "ation s!o "d $e ger&ane to t!e defects and p rposes of t!e "a# and t!at it s!o "d confor& to t!e standards t!at t!e "a# prescri$es ;%eop"e vs. E7conde -6- %!i". --4/? Director of Borestr' vs. M G?oz, L>4C+.:, * ne 4@, -.:@, 45 SCRA --@5, --.@? Ge 3e3o vs. Araneta, -64 %!i". +6:, +-4<. T!e "a#&a3ing $od' cannot possi$"' provide for a"" t!e detai"s in t!e enforce&ent of a partic "ar stat te ;1.S. vs. T pasi Mo"ina, 4. %!i". --., -4/, citing 1.S. vs. Gri&a d 446 1.S. /6:? Interprovincia" A to$ s Co., Inc. vs. Co"". of Interna" Reven e, .@ %!i". 4.6, 4./>:<. T!e grant of t!e r "e>&a3ing po#er to ad&inistrative agencies is a re"a7ation of t!e princip"e of separation of po#ers and is an e7ception to t!e nonde"eption of "egis"ative, po#ers. Ad&inistrative reg "ations or 8s $ordinate "egis"ation ca"c "ated to pro&ote t!e p $"ic interest are necessar' $eca se of 8t!e gro#ing co&p"e7it' of &ode& "ife, t!e & "tip"ication of t!e s $=ects of govern&enta" reg "ations, and t!e increased diffic "t' of ad&inistering t!e "a#8 Ca"a"ang vs. Wi""ia&s, +6 %!i". +4:? %eop"e vs. Rosent!a" and )s&eG?a, :@ %!i". 54@<. Ad&inistrative reg "ations adopted nder "egis"ative a t!orit' $' a partic "ar depart&ent & st $e in !ar&on' #it! t!e provisions of t!e "a#, and s!o "d $e for t!e so"e p rpose of carr'ing into effect its genera" provisions. 0' s c! reg "ations, of co rse, t!e "a# itse"f cannot $e e7tended. ;1.S. vs. T pasi Mo"ina, s pra<. An ad&inistrative agenc' cannot a&end an act of Congress ;Santos vs. Estenzo, -6. %!i". C-., C44? Teo7on vs. Me&$ers of t!e d of Ad&inistrators, L>4/:-., * ne 56, -.+6, 55 SCRA /@/? Man e" vs. Genera" A diting )ffice, L>4@./4, Dece&$er 4.,
Pa.( 52

-.+-, C4 SCRA ::6? De" ao vs. Castee", L>4-.6:, A g st 4., -.:., 4. SCRA 5/6<. T!e r "e>&a3ing po#er & st $e confined to detai"s for reg "ating t!e &ode or proceeding to carr' into effect t!e "a# as it !is $een enacted. T!e po#er cannot $e e7tended to a&ending or e7panding t!e stat tor' re2 ire&ents or to e&$race &atters not covered $' t!e stat te. R "es t!at s $vert t!e stat te cannot $e sanctioned. ;1niversit' of Santo To&as vs. 0oard of Ta7 A .5 %!i". 5+:, 5@4, citing -4 C.*. @C/>C:. As to inva"id reg "ations, see of Interna" Reven e vs. Vi""af"or :. %!i". 5-., Wise R Co. vs. Meer, +@ %!i". ://, :+:? De" Marc! vs. %!i". Veterans Ad&inistrative, L>4+4.., * ne 4+, -.+5, /- SCRA 5C6, 5C.<. A.5 INTERPRETATIVE RULES H)*a'o /$. Co**(c#or GR L>.C6@, 5- )cto$er -./: Fac#$% E&i"io Ai"ado fi"ed !is inco&e ta7 ret rn for -./- #it! t!e treas rer of 0aco"od Cit', c"ai&ing a ded cti$"e ite& of %-4,@5+.:/ fro& !is gross inco&e p rs ant to Genera" Circ "ar V>-45 iss ed $' t!e Co""ector of Interna" Reven e. T!e Secretar' of Binance, t!ro g! t!e Co""ector, iss ed Genera" Circ "ar V>-5. #!ic! revo3ed and dec"ared void Circ "ar V>-45? and "aid do#n t!e r "eEsF t!at "osses of propert' #!ic! occ rred in Wor"d War II fro& fires, stor&s, s!ip#rec3 or ot!er cas a"t', or fro& ro$$er', t!eft, or e&$ezz"e&ent are ded cti$"e in t!e 'ear of act a" "oss or destr ction of said propert'. T!e ded ctions #ere disa""o#ed. I$$4(% W!et!er Interna" Reven e La#s #ere enforced d ring t!e #ar and #!et!er Ai"ado can c"ai& co&pensation for
EH +,-
destr ction of !is propert' d ring t!e #ar. H(*'% %!i"ippines Interna" Reven e La#s are not po"itica" in nat re and as s c! #ere contin ed in force d ring t!e period of ene&' occ pation and in effect #ere act a""' enforced $' t!e occ pation govern&ent. S c! ta7 "a#s are dee&ed to $e "a#s of t!e occ pied territor' and not of t!e occ p'ing ene&'. As of t!e end of -.C/, t!ere #as no "a# #!ic! Ai"ado co "d c"ai& for t!e destr ction of !is properties d ring t!e $att"e for t!e "i$eration of t!e %!i"ippines. 1nder t!e %!i"ippine Re!a$i"itation Act of -.C@, t!e pa'&ent of c"ai&s $' t!e War Da&age Co&&ission depended pon its discretions non>pa'&ent of #!ic! does not give rise to an' enforcea$"e rig!t. Ass &ing t!at t!e "oss ;ded cti$"e ite&< represents a portion of t!e +/S of !is #ar da&age c"ai&, t!e a&o nt #o "d $e at &ost a proper ded ction of !is -./6 gross inco&e ;not on !is -./- gross inco&e< as t!e "ast insta""&ent and notice of discontin ation of pa'&ent $' t!e War Da&age VICTORIAS MILLING COMPANY! INC.! v. SOCIAL SECURITY COMMISSION )n )cto$er -/, -./@, t!e Socia" Sec rit' Co&&ission iss ed its Circ "ar No. 44 of t!e fo""o#ing tenor( . Effective Nove&$er -, -./@, a"" E&p"o'ers in co&p ting t!e pre&i &s d e t!e S'ste&, #i"" ta3e into consideration and inc" de in t!e E&p"o'eeDs re& neration a"" $on ses and overti&e pa', as #e"" as t!e cas! va" e of ot!er &edia of re& neration. A"" t!ese #i"" co&prise t!e E&p"o'eeDs re& neration or earnings, pon #!ic! t!e 5>-K4S and 4>-K4S contri$ tions #i"" $e $ased, p to a &a7i& & of %/66 for an' one &ont!.
Pa.( 55

1pon receipt of a cop' t!ereof, petitioner Victorias Mi""ing Co&pan', Inc., t!ro g! co nse", #rote t!e Socia" Sec rit' Co&&ission in effect protesting against t!e circ "ar as contradictor' to a previo s Circ "ar No. +, dated )cto$er +, -./+ e7press"' e7c" ding overti&e pa' and $on s in t!e co&p tation of t!e e&p"o'ersD and e&p"o'eesD respective &ont!"' pre&i & contri$ tions, and s $&itting, 8In order to assist 'o r S'ste& in arriving at a proper interpretation of t!e ter& Dco&pensationD for t!e p rposes of8 s c! co&p tation, t!eir o$servations on Rep $"ic Act --:and its a&end&ent and on t!e genera" interpretation of t!e #ords 8co&pensation8, 8re& neration8 and 8#ages8. Co nse" f rt!er 2 estioned t!e va"idit' of t!e circ "ar for "ac3 of a t!orit' on t!e part of t!e Socia" Sec rit' Co&&ission to pro& "gate it #it!o t t!e approva" of t!e %resident and for "ac3 of p $"ication in t!e )fficia" Gazette. )verr "ing t!ese o$=ections, t!e Socia" Sec rit' Co&&ission r "ed t!at Circ "ar No. 44 is not a r "e or reg "ation t!at needed t!e approva" of t!e %resident and p $"ication in t!e )fficia" Gazette to $e effective, $ t a &ere ad&inistrative interpretation of t!e stat te, a &ere state&ent of genera" po"ic' or opinion as to !o# t!e "a# s!o "d $e constr ed. Not satisfied #it! t!is r "ing, petitioner co&es to t!is Co rt on appea". T!e sing"e iss e invo"ved in t!is appea" is #!et!er or not Circ "ar No. 44 is a r "e or reg "ation, as conte&p"ated in Section C;a< of Rep $"ic Act --:- e&po#ering t!e Socia" Sec rit' Co&&ission 8to adopt, a&end and repea" s $=ect to t!e approva" of t!e %resident s c! r "es and reg "ations as &a' $e necessar' to carr' o t t!e provisions and p rposes of t!is Act.8 T!ere can $e no do $t t!at t!ere is a distinction $et#een an ad&inistrative
EH +,-
r "e or reg "ation and an ad&inistrative interpretation of a "a# #!ose enforce&ent is entr sted to an ad&inistrative $od'. W!en an ad&inistrative agenc' pro& "gates r "es and reg "ations, it 8&a3es8 a ne# "a# #it! t!e force and effect of a va"id "a#, #!i"e #!en it renders an opinion or gives a state&ent of po"ic', it &ere"' interprets a pre>e7isting "a# ;%ar3er, Ad&inistrative La#, p. -.+? Davis, Ad&inistrative La#, p. -.C<. R "es and reg "ations #!en pro& "gated in p rs ance of t!e proced re or a t!orit' conferred pon t!e ad&inistrative agenc' $' "a#, parta3e of t!e nat re of a stat te, and co&p"iance t!ere#it! &a' $e enforced $' a pena" sanction provided in t!e "a#. T!is is so $eca se stat tes are s a""' co c!ed in genera" ter&s, after e7pressing t!e po"ic', p rposes, o$=ectives, re&edies and sanctions intended $' t!e "egis"at re. T!e detai"s and t!e &anner of carr'ing o t t!e "a# are often ti&es "eft to t!e ad&inistrative agenc' entr sted #it! its enforce&ent. In t!is sense, it !as $een said t!at r "es and reg "ations are t!e prod ct of a de"egated po#er to create ne# or additiona" "ega" provisions t!at !ave t!e effect of "a#. ;Davis, op. cit., p. -.C.< . A r "e is $inding on t!e co rts so "ong as t!e proced re fi7ed for its pro& "gation is fo""o#ed and its scope is #it!in t!e stat tor' a t!orit' granted $' t!e "egis"at re, even if t!e co rts are not in agree&ent #it! t!e po"ic' stated t!erein or its innate #isdo& ;Davis, op. cit., -./> -.+<. )n t!e ot!er !and, ad&inistrative interpretation of t!e "a# is at $est &ere"' advisor', for it is t!e co rts t!at fina""' deter&ine #!at t!e "a# &eans. Circ "ar No. 44 in 2 estion #as iss ed $' t!e Socia" Sec rit' Co&&ission, in vie# of t!e a&end&ent of t!e provisions of t!e Socia" Sec rit' La# defining t!e ter& 8co&pensation8 contained in Section @ ;f< of Rep $"ic Act No. --:- #!ic!, $efore its a&end&ent, reads as fo""o#s( .
Pa.( 5+

;f< Co&pensation Q A"" re& neration for e&p"o'&ent inc" de t!e cas! va" e of an' re& neration paid in an' &edi & ot!er t!an cas! e7cept ;-< t!at part of t!e re& neration in e7cess of %/66 received d ring t!e &ont!? ;4< $on ses, a""o#ances or overti&e pa'? and ;5< dis&issa" and a"" ot!er pa'&ents #!ic! t!e e&p"o'er &a' &a3e, a"t!o g! not "ega""' re2 ired to do so. Rep $"ic Act No. -+.4 c!anged t!e definition of 8co&pensation8 to( ;f< Co&pensation Q A"" re& neration for e&p"o'&ent inc" de t!e cas! va" e of an' re& neration paid in an' &edi & ot!er t!an cas! e7cept t!at part of t!e re& neration in e7cess of %/66.66 received d ring t!e &ont!. It #i"" t! s $e seen t!at #!ereas prior to t!e a&end&ent, $on ses, a""o#ances, and overti&e pa' given in addition to t!e reg "ar or $ase pa' #ere e7press"' e7c" ded, or e7e&pted fro& t!e definition of t!e ter& 8co&pensation8, s c! e7e&ption or e7c" sion #as de"eted $' t!e a&endator' "a#. It t! s $eca&e necessar' for t!e Socia" Sec rit' Co&&ission to interpret t!e effect of s c! de"etion or e"i&ination. Circ "ar No. 44 #as, t!erefore, iss ed to apprise t!ose concerned of t!e interpretation or nderstanding of t!e Co&&ission, of t!e "a# as a&ended, #!ic! it #as its d t' to enforce. It did not add an' d t' or detai" t!at #as not a"read' in t!e "a# as a&ended. It &ere"' stated and circ "arized t!e opinion of t!e Co&&ission as to !o# t!e "a# s!o "d $e constr ed. T!e case of eople ). ,olliffe ;G.R. No. L> .//5, pro& "gated on Ma' 56, -./.< cited $' appe""ant, does not s pport its contention t!at t!e circ "ar in 2 estion is a r "e or reg "ation. W!at #as t!ere said
EH +,-
#as &ere"' t!at a reg "ation &a' $e incorporated in t!e for& of a circ "ar. S c! state&ent si&p"' &eant t!at t!e s $stance and not t!e for& of a reg "ation is decisive in deter&ining its nat re. It does not "a' do#n a genera" proposition of "a# t!at an' circ "ar, regard"ess of its s $stance and even if it is on"' interpretative, constit tes a r "e or reg "ation #!ic! & st $e p $"is!ed in t!e )fficia" Gazette $efore it co "d ta3e effect. T!e case of eople ). -ue o .ay ;/6 ).G. 4@/6< a"so cited $' appe""ant is not app"ica$"e to t!e present case, $eca se t!e pena"t' t!at &a' $e inc rred $' e&p"o'ers and e&p"o'ees if t!e' ref se to pa' t!e corresponding pre&i &s on $on s, overti&e pa', etc. #!ic! t!e e&p"o'er pa's to !is e&p"o'ees, is not $' reason of non>co&p"iance #it! Circ "ar No. 44, $ t for vio"ation of t!e specific "ega" provisions contained in Section 4+;c< and ;f< of Rep $"ic Act No. --:-. We find, t!erefore, t!at Circ "ar No. 44 p rports &ere"' to advise e&p"o'ers> &e&$ers of t!e S'ste& of #!at, in t!e "ig!t of t!e a&end&ent of t!e "a#, t!e' s!o "d inc" de in deter&ining t!e &ont!"' co&pensation of t!eir e&p"o'ees pon #!ic! t!e socia" sec rit' contri$ tions s!o "d $e $ased, and t!at s c! circ "ar did not re2 ire presidentia" approva" and p $"ication in t!e )fficia" Gazette for its effectivit'. It !ard"' need $e said t!at t!e Co&&issionDs interpretation of t!e a&end&ent e&$odied in its Circ "ar No. 44, is correct. T!e e7press e"i&ination a&ong t!e e7e&ptions e7c" ded in t!e o"d "a#, of a"" $on ses, a""o#ances and overti&e pa' in t!e deter&ination of t!e 8co&pensation8 paid to e&p"o'ees &a3es it i&perative t!at s c! $on ses and overti&e pa' & st no# $e inc" ded in t!e e&p"o'eeDs re& neration in p rs ance of t!e a&endator' "a#. It is
Pa.( 5-

tr e t!at in previo s cases, t!is Co rt !as !e"d t!at $on s is not de&anda$"e $eca se it is not part of t!e #age, sa"ar', or co&pensation of t!e e&p"o'ee. 0 t t!e 2 estion in t!e instant case is not #!et!er $on s is de&anda$"e or not as part of co&pensation, $ t #!et!er, after t!e e&p"o'er does, in fact, give or pa' $on s to !is e&p"o'ees, s c! $on ses s!a"" $e considered co&pensation nder t!e Socia" Sec rit' Act after t!e' !ave $een received $' t!e e&p"o'ees. W!i"e it is tr e t!at ter&s or #ords are to $e interpreted in accordance #it! t!eir #e""> accepted &eaning in "a#, nevert!e"ess, #!en s c! ter& or #ord is specifica""' defined in a partic "ar "a#, s c! interpretation & st $e adopted in enforcing t!at partic "ar "a#, for it can not $e gainsaid t!at a partic "ar p!rase or ter& &a' !ave one &eaning for one p rpose and anot!er &eaning for so&e ot!er p rpose. S c! is t!e case t!at is no# $efore s. Rep $"ic Act --:specifica""' defined #!at 8co&pensation8 s!o "d &ean 8/or the purposes of this Act8. Rep $"ic Act -+.4 a&ended s c! definition $' de"eting sa&e e7e&ptions a t!orized in t!e origina" Act. 0' virt e of t!is e7press s $stantia" c!ange in t!e p!raseo"og' of t!e "a#, #!atever prior e7ec tive or = dicia" constr ction &a' !ave $een given to t!e p!rase in 2 estion s!o "d give #a' to t!e c"ear &andate of t!e ne# "a#. IN VIEW )B TAE B)REG)ING, t!e Reso" tion appea"ed fro& is !ere$' affir&ed, #it! costs against appe""ant. So ordered. %AILI%%INE 0L))MING MILLS v. SSS A. HUASI-?UDICIAL FUNCTIONS 1. INSPECTION! INVESTIGATION AND AD?UDICATION ANG TIBAY /$. THE COURT OF INDUSTRIAL RELATIONS
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G.R. No. L-+6+"6 F(8r4ar7 23! 1"+, FACTS% Teodoro Tori$io o#ns and operates Ang Ti$a' a "eat!er co&pan' #!ic! s pp"ies t!e %!i"ippine Ar&'. D e to a""eged s!ortage of "eat!er, Tori$io ca sed t!e "a'off of &e&$ers of Nationa" La$or 1nion Inc. ;NL1<. NL1 averred t!at Tori$ioJs act is not va"id as it is not #it!in t!e Co""ective 0argaining Agree&ent. T!e' a"so a""eged t!at t!ere are t#o "a$or nions in Ang Ti$a'? NL1 and Nationa" Wor3erJs 0rot!er!ood ;NW0<. T!e' f rt!er contend t!at NW0 is do&inated $' Tori$io !i&se"f !ence !e favors it over NL1. NL1 pra's for a ne# tria" as t!e' #ere a$"e to co&e p #it! ne# evidenceKdoc &ents t!at t!e' #ere not a$"e to o$tain $efore, as t!e' #ere inaccessi$"e and t!e' #ere not a$"e to present it $efore in t!e Co rt of Ind stria" Re"ations. ISSUE% W!et!er or not t!ere !as $een a d e process of "a#. HELD% T!e SC r "ed t!at t!ere s!o "d $e a ne# tria" in favor of NL1. T!e Co rt of Ind stria" Re"ations is a specia" co rt #!ose f nctions are specifica""' stated in t!e "a# of its creation ;Co&&on#ea"t! Act No. -65<. It is &ore an ad&inistrative t!an a part of t!e integrated = dicia" s'ste& of t!e nation. It !as = risdiction over t!e entire %!i"ippines, to consider, investigate, decide, and sett"e an' 2 estion, &atter controvers' or disp te arising $et#een, andKor affecting e&p"o'ers and e&p"o'ees or "a$orers, and reg "ate t!e re"ations $et#een t!e&, s $=ect to, and in accordance #it!, t!e provisions of Co&&on#ea"t! Act No. -65 ;Section -<.
Pa.( 56

In fine, it &a' appea" to vo" ntar' ar$itration in t!e sett"e&ent of ind stria" disp tes? &a' e&p"o' &ediation or conci"iation for t!at p rpose, or rec r to t!e &ore effective s'ste& of officia" investigation and co&p "sor' ar$itration in order to deter&ine specific controversies $et#een "a$or and capita" ind str' and in agric "t re. T!ere is in rea"it' !ere a &ing"ing of e7ec tive and = dicia" f nctions, #!ic! is a depart re fro& t!e rigid doctrine of t!e separation of govern&enta" po#ers. T!e fact, !o#ever, t!at t!e Co rt of Ind stria" Re"ations &a' $e said to $e free fro& t!e rigidit' of certain proced ra" re2 ire&ents does not &ean t!at it can, in = stifia$"e cases $efore it, entire"' ignore or disregard t!e f nda&enta" and essentia" re2 ire&ents of d e process in tria"s and investigations of an ad&inistrative c!aracter. T!ere are pri&ar' rig!ts #!ic! & st $e respected even in proceedings of t!is c!aracter? ;-< T!e rig!t to a !earing, #!ic! inc" des t!e rig!t of t!e part' interested or affected to present !is o#n case and s $&it evidence in s pport t!ereof. ;4< Not on"' & st t!e part' $e given an opport nit' to present !is case and to add ce evidence tending to esta$"is! t!e rig!ts #!ic! !e asserts $ t t!e tri$ na" must consider t!e evidence presented. ;5< W!i"e t!e d t' to de"i$erate does not i&pose t!e o$"igation to decide rig!t, it does i&p"' a necessit' #!ic! cannot $e disregarded, na&e"', t!at of !aving so&et!ing to s pport its decision. A decision #it! a$so" te"' not!ing to s pport it is a n ""it', a p"ace #!en direct"' attac!ed. ;C< Not on"' & st t!ere $e so&e evidence to s pport a finding or conc" sion $ t t!e evidence & st $e Hs $stantia".I S $stantia" evidence is &ore t!an a &ere scinti""a? it &eans s c! re"evant evidence as a reasona$"e &ind &ig!t accept as ade2 ate to s pport a conc" sion.
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;/< T!e decision & st $e rendered on t!e evidence presented at t!e !earing, or at "east contained in t!e record and disc"osed to t!e parties affected. ;:< T!e Co rt of Ind stria" Re"ations or an' of its = dges, t!erefore, & st act on its or !is o#n independent consideration of t!e "a# and facts of t!e controvers', and not si&p"' accept t!e vie#s of a s $ordinate in arriving at a decision. ;+< T!e Co rt of Ind stria" Re"ations s!o "d, in a"" controversia" 2 estions, render its decision in s c! a &anner t!at t!e parties to t!e proceeding can 3no# t!e vario s iss es invo"ved, and t!e reasons for t!e decisions rendered. T!e perfor&ance of t!is d t' is insepara$"e fro& t!e a t!orit' conferred pon it. In t!e rig!t of t!e foregoing f nda&enta" princip"es, it is s fficient to o$serve t!at, e7cept as to t!e a""eged agree&ent $et#een t!e Ang Ti$a' and t!e Nationa" Wor3erDs 0rot!er!ood, t!e record is $arren and does not satisf' t!e t!irst for a fact a" $asis pon #!ic! to predicate, in a nationa" #a', a conc" sion of "a#. T!e SC f rt!er !e"d t!at t!at t!e interest of = stice #o "d $e $etter served if t!e &ovant is given opport nit' to present at t!e !earing t!e doc &ents referred to in !is &otion and s c! ot!er evidence as &a' $e re"evant to t!e &ain iss e invo"ved. T! s, t!e &otion for a ne# tria" #as granted, and t!e entire record of t!e case #as re&anded to t!e Co rt of Ind stria" Re"ations, #it! instr ction t!at it reopen t!e case, receive a"" s c! evidence as &a' $e re"evant and ot!er#ise proceed in accordance #it! t!e re2 ire&ents set fort! !ereina$ove. IN RE CONTEMPT PROCEEDINGS AGAINST ARMANDO RAMOS! ?ESUS L. CARMELO /. ARMANDO RAMOS Fac#$%
Pa.( 53

Ma'or of Mani"a iss ed an e7ec tive order creating a co&&ittee 8to investigate t!e ano&a"ies invo"ving t!e "icense inspectors and ot!er personne" of t!e License Inspection Division of t!e )ffice of t!e Cit' Treas rer and of t!e License and %er&its Division of t!is )ffice. %etitioner is t!e c!air&an of t!e co&&ittee. T!e co&&ittee iss ed s $poenas to Ar&ando Ra&os, a private citizen #or3ing as a $oo33eeper in t!e Casa de A"$a, re2 iring !i& to appear $efore it. C"ai&ing t!at Ra&osD ref sa" tended 8to i&pede, o$str ct, or degrade t!e ad&inistrative proceedings,8 petitioner fi"ed in t!e Co rt of Birst Instance of Mani"a a petition to dec"are Ar&ando Ra&os in conte&pt. After !earing, d ring #!ic! petitioner #as re2 ired to s!o# a prima facie case, t!e tria" co rt dis&issed t!e petition. T!e "o#er co rt !e"d t!at t!ere is no "a# e&po#ering co&&ittees created $' & nicipa" &a'ors to iss e s $poenas and de&and t!at #itnesses testif' nder oat!. It appears t!at in a state&ent given to investigators of t!e )ffice of t!e Ma'or, Ra&os ad&itted !aving &isappropriated on severa" occasions, s &s of &one' given to !i& $' t!e o#ner of Casa de A"$a for t!e pa'&ent of t!e "atterDs ta7es for -./:>-./. and t!at t!is fact !ad not $een discovered ear"ier $eca se Ra&os sed to entertain e&p"o'ees in t!e Cit' Treas rerDs office at Casa de A"$a #!ere Ra&os #as a $oo33eeper as stated a$ove. I$$4(% T!e &ain iss e in t!is case is W)N t!e po#er, if an', of co&&ittee, "i3e t!e co&&ittee of #!ic! petitioner is t!e c!air&an, to s $poena #itnesses to appear $efore it and to as3 for t!eir p nis!&ent in case of ref sa"9 H(*'% %etition is $ereft of &erit.
EH +,-
T!e r "e is t!at R "e :C of t!e R "es of Co rt app"ies on"' to inferior and s perior co rts and does not co&pre!end conte&pt co&&itted against ad&inistrative officia"s or $odies "i3e t!e one in t!is case, n"ess said conte&pt is c"ear"' considered and e7press"' defined as conte&pt of co rt, as is done in paragrap! 4 of Section /@6 of t!e Revised Ad&inistrative Code. Section /@6 of t!e Revised Ad&inistrative Code #!ic! provides as fo""o#s( %o#ers incidenta" to ta3ing of testi&on'. Q W!en a t!orit' to ta3e testi&on' or evidence is conferred pon an ad&inistrative officer or pon an' non= dicia" person, co&&ittee, or ot!er $od', s c! a t!orit' s!a"" $e nderstood to co&pre!end t!e rig!t to ad&inister oat!s and s &&ons #itnesses and s!a"" inc" de a t!orit' to re2 ire t!e prod ction of doc &ents nder a subpoena duces tecum or ot!er#ise, s $=ect in a"" respects to t!e sa&e restrictions and 2 a"ifications as app"' in = dicia" proceedings of a si&i"ar c!aracter. )ne #!o invo3es t!is provision of t!e "a# & st first s!o# t!at !e !as 8a t!orit' to ta3e testi&on' or evidence8 $efore !e can app"' to t!e co rts for t!e p nis!&ent of !osti"e #itnesses. T!ere is not!ing said in t!e e7ec tive order of t!e Ma'or creating t!e co&&ittee a$o t s c! a grant of po#er. A"" t!at t!e order gives to t!is $od' is t!e po#er to investigate ano&a"ies invo"ving certain cit' e&p"o'ees. SC does not agree #it! t!e petitioner t!at a de"egation of s c! po#er to investigation i&p"ies a"so a de"egation of t!e po#er to ta3e testi&on' or evidence of #itnesses #!ose appearance &a' $e re2 ire $' t!e co&p "sor' process of s $poena. B rt!er&ore, it is do $tf " #!et!er t!e provisions of section /@6 of t!e Ad&inistrative Code are app"ica$"e to t!e
Pa.( 5@

Cit' of Mani"a as t!ese pertain to nationa" $ rea s or offices of t!e govern&ent. Even granting t!at t!e Ma'or !as t!e i&p"ied po#er to re2 ire t!e appearance of #itnesses $efore !i&, t!e r "e, is t!at t!e Ma'or can not de"egate t!is po#er to a $od' "i3e t!e co&&ittee of t!e petitioner. VIVO / MONTESA G.R. No. L-2+-36 ?4*7 2"! 1"6@ Fac#$% T!e private respondents * an, %edro, * "io, Marce"o, *ose, Man e" and 0enito, a"" s rna&ed 8Ca"acda'8 arrived in t!e %!i"ippines fro& Aong3ong, t!e first fo r on -@ Nove&$er -./., and t!e "ast t!ree on : Dece&$er -./.. 1pon t!eir arriva" t!e' so g!t ad&ission as Bi"ipino citizens. After investigation, a $oard of specia" in2 ir', in its decisions of + and -- Dece&$er -./., fo nd t!e& to $e t!e "egiti&ate sons of a Bi"ipino citizen, one Isaac Ca"acda', and t! s ad&itted t!e& into t!is co ntr'. T!e 0 rea of I&&igration t!en iss ed to eac! of t!e& an identification certificate as a Bi"ipino citizen. So&eti&e in Be$r ar', -.:5, !o#ever, Isaac Ca"acda' confessed $efore an i&&igration officia" t!at t!e seven respondents #ere not !is sons. Ae retracted !is confession in Marc!, -.:5, in an investigation in t!e Depart&ent of * stice, #it! t!e e7p"anation t!at, in a fit of anger, !e disc"ai&ed, nder oat!, paternit' of t!e respondents $eca se t!e' ref sed to give !i& &one' ;Anne7 8I8 to Ans#er<. )n . Ma' -.:5, Co&&issioner of I&&igration Martiniano Vivo iss ed #arrants of arrest against t!e !erein private respondents, stating in said #arrants t!eir deporta$i"it' nder Section 5+ ;a< ;-< and Section 5+ ;a< ;4< in re"ation to Section 4.;a< ;-+< of t!e %!i"ippine I&&igration Act of -.C6, as a&ended, for !aving entered t!e %!i"ippines 8$' &eans of fa"se and
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&is"eading state&ents and t!at t!e' #ere not "a#f ""' ad&issi$"e at t!e ti&e of entr', not $eing proper"' doc &ented for ad&ission.8 T!e #arrants directed an' i&&igration office or officer of t!e "a# to $ring t!e respondents $efore t!e Co&&issioner, for t!e& to s!o# ca se, if an' t!ere $e, #!' t!e' s!o "d not $e deported. Man e" Ca"acda' #as s $se2 ent"' arrested. T!e ot!ers re&ained at "arge. )n 4: Apri" -.:/, t!e respondents fi"ed $efore t!e respondent co rt a petition, doc3eted as Civi" Case No. :6.6:, pra'ing for t!ree principa" re"iefs, na&e"'( to restrain t!e arrest of t!ose petitioners #!o !ave not $een arrested? to re"ease Man e" Ca"acda' #!o !ad $een arrested? and to pro!i$it t!e deportation of a"" t!e petitioners, a"" pon t!e c"ai& t!at t!e' are Bi"ipino citizens. RTC granted t!e petition. I$$4(% W!et!er or not t!e RTC !as = risdiction to restrain t!e deportation proceedings H(*'% We agree #it! petitioning Co&&issioner t!at t!e co rt $e"o# is #it!o t = risdiction to restrain t!e deportation proceedings of respondents Ca"acda's. T!ese proceedings are #it!in t!e = risdiction of t!e I&&igration a t!orities nder Sections 4@ and 5+ of t!e %!i"ippine I&&igration Act ;C.A. No. :-5<. T!at = risdiction is not to""ed $' a c"ai& of Bi"ipino citizens!ip, #!ere t!e Co&&issioner or Co&&issioners !ave re"ia$"e evidence to t!e contrar'? and $a)' o99)c(r$ $ o4*' 8( .)/(0 o&&or#40)#7 #o '(#(r6)0( # ( )$$4( o9 c)#)C(0$ )& 8(9or( # ( co4r#$ )0#(r9(r( )0 # ( (=(rc)$( o9 # ( &o<(r o9 ;4')c)a* r(/)(< o9 a'6)0)$#ra#)/( '(c)$)o0$.
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in 0iranda )s. 1eportation 2oard, .C %!i". /5-, /55, t!is Co rt said( W!i"e t!e = risdiction of t!e Deportation 0oard as an instr &ent of t!e C!ief E7ec tive to deport ndesira$"e a"iens e7ists on"' #!en t!e person arrested is an a"ien, !o#ever, t!e &ere p"ea of citizens!ip does not divest t!e 0oard of its = risdiction over t!e case. %etitioners s!o "d &a3e 8a s!o#ing t!at !is c"ai& is frivo"o s8 ;Ng B ng Ao vs. W!ite, 4/. 1.S., 4+/<, and & st prove $' s fficient evidence t!at t!e' are Bi"ipino citizens. ENess"er vs. Strec3er ;-.5.< 56+ 1.S., 4-, 5/>5:.F If s c! is t!e pri&ar' d t' of petitioners, it fo""o#s t!at t!e Deportation 0oard !as t!e necessar' po#er to pass pon t!e evidence t!at &a' $e presented and deter&ine in t!e first instance if petitioners are Bi"ipino citizens or not. T!is is in!erent>in, or essentia" to t!e efficient e7ercise of, t!e po#er of t!e Deportation 0oard ;La rencio vs.Co""ector of C sto&s, 5/ %!i"., 5+<. It is #e"" to note !ere t!at #!en t!e petition for certiorari and pro!i$ition ;t!e respondent = dge considered it as s c!< #as fi"ed, deportation proceedings !ad $een started against t!e respondents ;petitioners $e"o#< $ t !ad not $een co&p"eted. In vie# of t!e non>co&p"etion of t!e proceedings, t!e 0oard of Co&&issioners !as not rendered as 'et an' decision. T!e respondents Ca"acda's, t!erefore, are not $eing deported. 0efore t!e 0oard reac!es a decision, it !as to cond ct a !earing #!ere t!e &ain iss e #i"" $e t!e citizens!ip or a"ienage of t!e respondents. T!erefore, t!ere is not!ing so far for t!e co rts to revie#. It is c"ear fro& t!e order co&p"ained of t!at t!e co rt $e"o# &isappre!ended t!e i&port of t!e #arrants iss ed $' t!e Co&&issioner !erein. Said #arrants re2 ired t!e respondents to $e $ro g!t to t!e i&&igration a t!orities, not to $e deported, $ t 8to s!o# ca se, if an'
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t!ere $e, #!' !e s!o "d not $e deported fro& t!e %!i"ippines8, as e7press"' recited t!erein. T!ere #as no case of 8s &&ari"' arresting and deporting8 t!e respondents Ca"acda's, as n#arranted"' ass &ed $' t!e co rt $e"o#. T!e Ca"acda's !ave a"" ded in t!is Co rt to certain doc &ents in s pport of t!eir c"ai& to %!i"ippine citizens!ip. T!e proper proced re is for said respondents to appear $efore t!e I&&igration officia"s and t!ere s $&it t!ese doc &ents as evidence on t!eir part to s!o# ca se #!' t!e' s!o "d not $e deported. IN VIEW )B TAE B)REG)ING, t!e #rit pra'ed for is !ere$' granted, t!e order iss ed in Civi" Case No. :6.6: of t!e Co rt of Birst Instance of Mani"a is set aside, and t!e proceedings ordered discontin ed. 0 t t!e #arrants of arrest !eretofore iss ed $' t!e petitioner, I&&igration Co&&issioner, against !erein respondents Ca"acda's are dec"ared n "" and void, #it!o t pre= dice to said respondents $eing re2 ired to f rnis! $onds in s c! reasona$"e s &s as t!e I&&igration Co&&issioners &a' fi7, in order to g arantee t!eir appearance at t!e !earings and ot!er proceedings in t!eir case, nti" fina" deter&ination of t!eir rig!t to sta' in t!e %!i"ippines %LDT v. %SC EVANGELISTA v. ?ARENCIO FACTS% T!is is an origina" action for certiorari and pro!i$ition #it! pre"i&inar' in= nction, nder R "e :/ of t!e R "es of Co rt, see3ing to ann " and set aside t!e order of respondent * dge, t!e Aonora$"e Ai"arion *. *arencio, %residing * dge of t!e Co rt of Birst Instance of Mani"a, dated * "' -, -.:@, in Civi" Case No. +556/,
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entit"ed 8Bernando Mana"astas vs. Sec. Ra&on D. 0agatsing, etc % rs ant to !is specia" po#ers and d ties nder Section :C of t!e Revised Ad&inistrative Code, 1 t!e %resident of t!e %!i"ippines created t!e %residentia" Agenc' on Refor&s and Govern&ent )perations ;%ARG)< nder E7ec tive )rder No. C of *an ar' +, -.::. 2 % rposed"', !e c!arged t!e Agenc' #it! t!e fo""o#ing f nctions and responsi$i"ities( 5 $. To investigate a"" activities invo"ving or affecting i&&ora" practices, graft and corr ptions, s& gg"ing ;p!'sica" or tec!nica"<, "a#"essness, s $version, and a"" ot!er activities #!ic! are pre= dicia" to t!e govern&ent and t!e p $"ic interests, and to s $&it proper reco&&endations to t!e %resident of t!e %!i"ippines. c. To investigate cases of graft and corr ption and vio"ations of Rep $"ic Acts Nos. -5+. and 56-., and gat!er necessar' evidence to esta$"is! pri&a facie, acts of graft and ac2 isition of n"a#f ""' a&assed #ea"t! ... . !. To receive and eva" ate, and to cond ct fact>finding investigations of s#orn co&p"aints against t!e acts, cond ct or $e!avior of an' p $"ic officia" or e&p"o'ee and to fi"e and prosec te t!e proper c!arges #it! t!e appropriate agenc'. Bor a rea"istic perfor&ance of t!ese f nctions, t!e %resident vested in t!e Agenc' a"" t!e po#ers of an investigating co&&ittee nder Sections +- and /@6 of t!e Revised Ad&inistrative Code, inc" ding t!e po#er to s &&on #itnesses $' s $poena or s $poena duces tecum, ad&inister oat!s, ta3e testi&on' or evidence re"evant to t!e investigation. + W!ere pon, on * ne +, -.:@, petitioner L irico Evange"ista, as 1ndersecretar' of t!e Agenc', iss ed to respondent
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Bernando Mana"astas, t!en Acting Cit' % $"ic Service )fficer of Mani"a, a s $poena ad testificandum co&&anding !i& 8to $e and appear as #itness at t!e )ffice of t!e %RESIDENTIAL AGENCP )N REB)RMS AND G)VERNMENT )%ERATI)NS ... t!en and t!ere to dec"are and testif' in a certain investigation pending t!erein.8 ISSUE% W!et!er t!e Agenc', acting t!r its officia"s, en=o's t!e a t!orit' to iss e s $poenas in its cond ct of fact>finding investigations. HELD% PES. It !as $een essa'ed t!at t!e "ife $"ood of t!e ad&inistrative process is t!e f"o# of fact, t!e gat!ering, t!e organization and t!e ana"'sis of evidence. 3 Investigations are sef " for a"" ad&inistrative f nctions, not on"' for r "e &a3ing, ad= dication, and "icensing, $ t a"so for prosec ting, for s pervising and directing, for deter&ining genera" po"ic', for reco&&ending, "egis"ation, and for p rposes no &ore specific t!an i"" &inating o$sc re areas to find o t #!at if an't!ing s!o "d $e done. @ An ad&inistrative agenc' &a' $e a t!orized to &a3e investigations, not on"' in proceedings of a "egis"ative or = dicia" nat re, $ t a"so in proceedings #!ose so"e p rpose is to o$tain infor&ation pon #!ic! f t re action of a "egis"ative or = dicia" nat re &a' $e ta3en " and &a' re2 ire t!e attendance of #itnesses in proceedings of a p re"' investigator' nat re. It &a' cond ct genera" in2 iries into evi"s ca""ing for correction, and to report findings to appropriate $odies and &a3e reco&&endations for actions. 1, We recognize t!at in t!e case $efore 1s, petitioner Agenc' dra#s its s $poena po#er fro& E7ec tive )rder No. C, para. / #!ic!, in an effect ating &ood, e&po#ered it to 8s &&on #itness,
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ad&inister oat!s, and ta3e testi&on' re"evant to t!e investigation8 11 #it! t!e a t!orit' 8to re2 ire t!e prod ction of doc &ents nder a s $poena duces tecum or ot!er#ise, s $=ect in a"" respects to t!e sa&e restrictions and 2 a"ifications as app"' in = dicia" proceedings of a si&i"ar c!aracter.8 12 S c! s $poena po#er operates in e*tenso to a"" t!e f nctions of t!e Agenc' as "aid o t in t!e afore2 oted s $> paragrap!s ;$<,;e<, and ;!<. It is not $ordered $' nor is it &ere"' e7ercisa$"e, as respondents #o "d !ave it, in 2 asi> = dicia" or ad= dicator' f nction nder s $>paragrap! ;$<. T!e f nctions en &erated in a"" t!ese s $>paragrap!s ;$<, ;e<, and ;!< inter"in3 or intert#ine #it! one anot!er #it! t!e principa" ai& of &eeting t!e ver' p rpose of t!e creation of t!e Agenc', #!ic! is to foresta"" and erode nefario s activities and ano&a"ies in t!e civi" service. To !o"d t!at t!e s $poena po#er of t!e Agenc' is confined to &ere 2 asi>= dicia" or ad= dicator' f nctions #o "d t!erefore i&peri" or inactiviate t!e Agenc' in its investigator' f nctions nder s $> paragrap!s ;e< and ;!<. More t!an t!at, t!e ena$"ing a t!orit' itse"f ;E7ec tive )rder No. C, para. /< fi7es no distinction #!en and in #!at f nction s!o "d t!e s $poena po#er $e e7ercised. Si&i"ar"', We see no reason to depart fro& t!e esta$"is!ed r "e t!at for$ids differentiation #!en t!e "a# itse"f &a3es none. T!ere is no do $t t!at t!e fact>finding investigations $eing cond cted $' t!e Agenc' pon s#orn state&ents i&p"icating certain p $"ic officia"s of t!e Cit' Govern&ent of Mani"a in ano&a"o s transactions 25 fa"" #it!in t!e Agenc'Ds sp!ere of a t!orit' and t!at t!e infor&ation so g!t to $e . CIVIL AERONAUTICS BOARD /$. PHILIPPINE AIR LINES! INC. G.R. No. L-+,2+- 1"3- A&r)* 5,
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Fac#$% T!e %!i"ippine Air"ines Inc provides $ot! do&estic and internationa" air service. In its do&estic service %AL provides, a&ong ot!ers, services $et#een T g egarao and Mani"a ;designated as B"ig!t 4-5< and $et#een 0ag io and Mani"a ;designated as B"ig!t 46/<. )n Ma' -4, -.+6, %AL !ad an e7cess of t#ent' ;46< passengers fro& 0ag io to Mani"a #!o cannot $e acco&&odated in its reg "ar f"ig!t. To acco&&odate t!ese t#ent' passengers, %AL re2 ired t!e aircraft operating B"ig!t 4-5 ;T g egarao to Mani"a< to pass 0ag io Cit' on its #a' to Mani"a and pic3 p t!ese passengers. B"ig!t 4-5 at t!at ti&e #as carr'ing on"' five ;/< passengers. C"ai&ing t!at %AL s!o "d !ave first o$tained t!e per&ission of t!e CIVIL AER)NA1TICS 0)ARD ;CA0< $efore operating t!e f"agstop and t!at s c! fai" re is a vio"ation of Rep $"ic Act No. ++:, t!e CA0 i&posed a fine of %/,666.66 pon %AL in a reso" tion. 1pon &otion for reconsideration fi"ed $' %AL, t!e CA0 red ced t!e fine to %4,/66.66 %AL, in its &otion for reconsideration, arg ed t!at t!ere is not!ing in Rep $"ic Act No. ++: in genera", nor in Section C4;3< t!ereof in partic "ar, #!ic! e7press"' e&po#ers CA0 to i&pose a fine and order its pa'&ent in t!e &anner p rs ed in t!is case and nder CA0 Reso" tion No. -6.;+6<. It f rt!er stressed t!at 8t!e po#er and a t!orit' to i&pose fines and pena"ties is a = dicia" f nction e7ercised t!ro g! t!e reg "ar co rts of = stice, and t!at s c! po#er and a t!orit' cannot $e de"egated to t!e Civi" Aerona tics 0oard &' &ere i&p"ication or interpretation8. I$$4(%
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W!et!er or not CA0 possesses t!e necessar' "ega" a t!orit' to i&pose a fine. R4*)0.% We !ave no 2 arre" #it! appe""ant %ALDs contention t!at t!e C.A.0. !as no po#er to i&pose fines in t!e nat re of cri&ina" pena"t' and t!at on"' co rts of = stice can do so. It co "d easi"' $e discerned fro& a scr tin' of t!e provision on C!apter VII of Rep $"ic Act ++:, on 8Vio"ation and pena"ties8 t!at #!enever t!e "a# provides a pena"t' for a vio"ation invo"ving fine andKor i&prison&ent ;cri&ina" in nat re<, t!e #ords 8in t!e discretion of t!e co rt8 a"#a's appear ;Sec. C4 ;E< ;B< ;G< ;N< Rep $"ic Act ++:< for t!e ver' si&p"e reason t!at t!e C.A.0. is not a t!orized to i&pose a cri&ina" pena"t', $ t in t!ose cases #!ere t!e vio"ation is p nis!a$"e $' a fine or civi" pena"t', t!e "a# does not inc" de t!e #ords 8in t!e discretion of t!e co rt. T!ere e7ists $ t an insignificant do $t in ) r &ind t!at t!e C.A.0. is f ""' a t!orized $' "a# ;Rep $"ic Act ++:< to i&pose 9)0($ )0 # ( 0a#4r( o9 c)/)* &(0a*#7 for vio"ations of its r "es and reg "ations. To deprive t!e C.A.0. of t!at po#er #o "d a&o nt to an a$s rd interpretation of t!e pertinent "ega" provision $eca se t!e CA0 is given f "" po#er on its o#n initiative to deter&ine #!et!er to 8i&pose, re&it, &itigate, increase or co&pro&ise8 8fines and civi" pena"ties8, a po#er #!ic! is e7press"' given to t!e Civi" Aerona tics Ad&inistrator #!ose orders or decision &a' $e revie#ed, revised, reversed, &odified or affir&ed $' t!e CA0. 0esides, to deprive t!e C.A.0. of its po#er to i&pose civi" pena"ties #o "d negate its effective genera" s pervision and contro" over air carriers if t!e' can = st disregard #it! i&p nit' t!e r "es and reg "ations designed to ins re p $"ic safet' and convenience in air transportation. If ever'ti&e t!e C.A.0. #o "d "i3e to
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i&pose a civi" pena"t' on an erring air"ine for vio"ation of its r "es and reg "ations it #o "d !ave to resort to co rts of = stice in protracted "itigations t!en it co "d not serve its p rpose of e7ercising a co&petent, efficient and effective s pervision and contro" over air carriers in t!eir vita" ro"e of rendering p $"ic service $' affording safe and convenient air transit. T!ere is no do $t t!at t!e fine i&posed on appe""ant %AL in CA0 reso" tion -6.;+6< and -54;+6< is t!at fine or civi" pena"t' conte&p"ated and &entioned in t!e foregoing provisions of Rep $"ic Act ++: and not a fine in t!e nat re of cri&ina" pena"t' as conte&p"ated in t!e Revised %ena" Code, $eca se t!e 8fine8 in t!is case #as i&posed $' t!e C.A.0. $eca se of appe""ant %ALDs vio"ation of C.A.0. r "es on f"agstops #it!o t previo s a t!orit' on 8Ma' -4, -.+6 and on previo s occasions8, said C.A.0. e7p"aining c"ear"' in its reso" tion No. -54;+6< t!at t!e 8i&position of t!e fine is not so & c! on e7acting pena"t' for t!e vio"ation co&&itted as t!e need to stress pon t!e air carriers to desist fro& #anton disregard of e7isting r "es, reg "ations or re2 ire&ents of t!e govern&ent reg "ating agenc'. In ot!er #ords, it is an ad&inistrative pena"t' #!ic! ad&inistrative officers are e&po#ered to i&pose #it!o t cri&ina" prosec tion. Rep $"ic Act ++: created t!e Civi" Aerona tics 0oard ;CA0< and t!e Civi" Aerona tics Ad&inistration. In t!e e7ercise and perfor&ance of t!eir po#ers and d ties, t!e' s!a"" consider a&ong ot!er t!ings, 8as $eing in t!e p $"ic interest, and in accordance #it! t!e p $"ic convenience and necessit'8 certain dec"ared po"icies #!ic! inc" de Q ;c< T!e reg "ation of air transportation in s c! &anner as to recognize and preserve t!e in!erent advantage of, ass re t!e !ig!est degree of safet' in, and foster so nd
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econo&ic condition in, s c! transportation, and to i&prove t!e re"ation $et#een, and coordinate transportation $', air carriers? ;f< To pro&ote safet' of f"ig!t in air co&&erce in t!e %!i"ippines T!e CA0 !as t!e po#er to 8investigate, pon co&p"aint or pon its o#n initiative, #!et!er an' individ a" or air carrier, do&estic or foreign, is vio"ating an' provision of t!is act, or t!e r "es and reg "ations iss ed t!ere nder, and s!a"" ta3e s c! action, consistent #it! t!e provisions of t!is Act, as &a' $e necessar' to prevent f rt!er vio"ation of s c! provision, or r "es and reg "ations so iss ed8 ;Section -6;D< Rep $"ic Act ++:<. Li3e#ise, t!e CA0 !as t!e po#er to 8revie#, revise, reverse, &odif' or affir& on appea" an' ad&inistrative decision or order8 of t!e Civi" Aerona tics Ad&inistrator on &atters pertaining to 8i&position of civi" pena"t' or fine in connection #it! t!e vio"ation of an' provision of t!is Act or r "es and reg "ations iss ed t!ere nder.8 It !as t!e po#er a"so 8eit!er on its o#n initiative or pon revie# on appea" fro& an order or decision of t!e Civi" Aerona tics Ad&inistrator, to deter&ine #!et!er to i&pose, re&it, &itigate, increase, or co&pro&ise, s c! fine and civi" pena"ties, as t!e case &a' $e. ANTIPOLO REALTY CORPORATION v. THE NATIONAL HOUSING AUTHORITY FACTS% *ose Aernando ac2 ired o#ners!ip over Lot. No. -/, 0"oc3 IV of t!e %onderosa Aeig!ts S $division fro& t!e petitioner Antipo"o Rea"t' Corporation. )n 4@ A g st -.+C, Mr. Aernando transferred !is rig!ts over Lot No. -/ to private respondent Virgi"io P son. Ao#ever, for fai" re of Antipo"o Rea"t' to deve"op t!e
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s $division pro=ect, Mr. P son paid on"' t!e arrearages pertaining to t!e period p to, and inc" ding, t!e &ont! of A g st -.+4 and stopped a"" &ont!"' insta""&ent pa'&ents fa""ing d e t!ereafter. )n )cto$er -C -.+:, t!e president of Antipo"o Rea"t' sent a notice to private respondent P son advising t!at t!e re2 ired i&prove&ents in t!e s $division !ad a"read' $een co&p"eted, and re2 esting res &ption of pa'&ent of t!e &ont!"' insta""&ents on Lot No. -/. Mr. P son ref sed to pa' t!e Septe&$er -.+4>)cto$er -.+: &ont!"' insta""&ents $ t agreed to pa' t!e post )cto$er -.+: insta""&ents. Antipo"o Rea"t' responded $' rescinding t!e Contract to Se"", and c"ai&ing t!e forfeit re of a"" insta""&ent pa'&ents previo s"' &ade $' Mr. P son. Mr. P son $ro g!t !is disp te #it! Antipo"o Rea"t' $efore p $"ic respondent NAA. After !earing, t!e NAA rendered a decision on . Marc! -.+@ ordering t!e reinstate&ent of t!e Contract to Se"". Antipo"o Rea"t' fi"ed a Motion for Reconsideration asserting t!at t!e = risdiction to !ear and decide Mr. P sonDs co&p"aint #as "odged in t!e reg "ar co rts, not in t!e NAA. T!e &otion for reconsideration #as denied $' respondent NAA, #!ic! s stained its = risdiction to !ear and decide t!e P son co&p"aint. Aence, t!is petition. ISSUE% W (# (r or 0o# NHA a$ ;4r)$')c#)o0 o/(r # ( &r($(0# co0#ro/(r$7. HELD% NHA <a$ 4& (*' 87 # ( SC. It is $' no# co&&onp"ace "earning t!at &an' ad&inistrative agencies e7ercise and perfor& ad= dicator' po#ers and f nctions, t!o g! to a "i&ited e7tent on"'. Li&ited de"egation of = dicia" or 2 asi>
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= dicia" a t!orit' to ad&inistrative agencies is #e"" recognized in o r = risdiction, $asica""' $eca se t!e need for specia" co&petence and e7perience !as $een recognized as essentia" in t!e reso" tion of 2 estions of co&p"e7 or specia"ized c!aracter and $eca se of a co&panion recognition t!at t!e doc3ets of o r reg "ar co rts !ave re&ained cro#ded and c"ogged. In genera" t!e 2 ant & of = dicia" or 2 asi>= dicia" po#ers #!ic! an ad&inistrative agenc' &a' e7ercise is defined in t!e ena$"ing act of s c! agenc'. In ot!er #ords, t!e e7tent to #!ic! an ad&inistrative entit' &a' e7ercise s c! po#ers depends "arge"', if not #!o""', on t!e provisions of t!e stat te creating or e&po#ering s c! agenc'. In t!e e7ercise of s c! po#ers, t!e agenc' concerned & st co&&on"' interpret and app"' contracts and deter&ine t!e rig!ts of private parties nder s c! contracts. S(c#)o0 5 o9 Pr($)'(0#)a* D(cr(( No. "-3, 3no#n as 8T!e S $division and Condo&ini & 0 'ersD Decree8, states t!at Na#)o0a* Ho4$)0. A4# or)#7. Q T!e Nationa" Ao sing A t!orit' s!a"" !ave e7c" sive = risdiction to reg "ate t!e rea" estate trade and $ siness in accordance #it! t!e provisions of t!is decree. Pr($)'(0#)a* D(cr(( No. 15++, c"arified and spe""ed o t t!e 2 asi>= dicia" di&ensions of t!e grant of reg "ator' a t!orit' to t!e NAA in t!e fo""o#ing &anner( SECTION 1. In t!e e7ercise of its f nctions to reg "ate t!e rea" estate trade and $ siness and in addition to its po#ers provided for in %residentia" Decree No. ./+, t!e Nationa" Ao sing A t!orit' s!a"" !ave e7c" sive = risdiction to !ear and decide cases of t!e fo""o#ing nat re( A. 1nso nd rea" estate $ siness practices( 0. C"ai&s invo"ving ref nd and any other claims filed by sub3 di)ision lot or condominium unit buyer against the pro4ect owner, de)eloper, dealer,
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bro'er or salesman5 and C. Cases in)ol)ing specific performance of contractual and statutory obligations filed by buyers of subdi)ision lots or condominium units against the owner, de)eloper, dealer, bro'er or salesman. T!e need for and t!erefore t!e scope of t!e reg "ator' a t!orit' t! s "odged in t!e NAA are indicated in t!e second and t!ird prea&$ "ar paragrap!s of t!e stat te. T!ere is no 2 estion t!at nder %residentia" Decree No. ./+, t!e NAA #as "ega""' e&po#ered to deter&ine and protect t!e rig!ts of contracting parties nder t!e "a# ad&inistered $' it and nder t!e respective agree&ents, as #e"" as to ens re t!at t!eir o$"igations t!ere nder are fait!f ""' perfor&ed. RADIO COMMUNICATIONS OF THE PHILIPPINES! INC. 1RCPI2 vs. NATIONAL TELECOMMUNICATIONS COMMISSION 1NTC2 a0' ?UAN A. ALEGRE G.R. No. "5253 No/(68(r 6! 1""2 Fac#$% %rivate respondent * an A. A"egreDs #ife, Dr. *i&ena A"egre, sent t#o ;4< R1SA te"egra&s t!ro g! petitioner RC%IDs faci"ities in Taft Ave., Mani"a at .(66 in t!e &orning of -+ Marc! -.@. to !is sister and $rot!er>in>"a# in Va"encia, 0o!o" and anot!er sister>in>"a# in Espirit , I"ocos Norte. 0ot! te"egra&s did not reac! t!eir destinations on t!e e7pected dates. So, private respondent fi"ed a "etter> co&p"aint against RC%I #it! Nationa" Te"eco&& nications Co&&ission ;NTC< for poor service, #it! a re2 est for t!e i&position of t!e appropriate p nitive sanction against t!e co&pan'. Ta3ing cognizance of t!e co&p"aint, NTC
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directed RC%I to ans#er t!e co&p"aint and set t!e initia" !earing. NTC !e"d t!at RC%I #as ad&inistrative"' "ia$"e for deficient and inade2 ate service nder Section -.;a< of C.A. -C: and i&posed t!e pena"t' of fine pa'a$"e #it!in t!irt' ;56< da's fro& receipt in t!e aggregate a&o nt of one t!o sand pesos. Aence, RC%I fi"ed t!is petition for revie# invo3ing C.A. -C: Sec. -.;a< #!ic! "i&its t!e = risdiction of t!e % $"ic Service Co&&ission ;prec rsor of t!e NTC< to t!e fi7ing of rates. ISSUE% W!et!er or not % $"ic Service Co&&ission ;prec rsor of t!e NTC< !as = risdiction to i&pose fines HELD% T!e decision appea"ed fro& is reversed and set aside for "ac3 of = risdiction of t!e NTC to render it. NTC !as no = risdiction to i&pose a fine. 1nder Section 4- of C. A. -C:, as a&ended, t!e Co&&ission #as e&po#ered to i&pose an ad&inistrative fine in cases of vio"ation of or fai" re $' a p $"ic service to co&p"' #it! t!e ter&s and conditions of an' certificate or an' orders, decisions or reg "ations of t!e Co&&ission. %etitioner operated nder a "egis"ative franc!ise, so t!ere #ere no ter&s nor conditions of an' certificate iss ed $' t!e Co&&ission to vio"ate. Neit!er #as t!ere an' order, decision or reg "ation fro& t!e Co&&ission app"ica$"e to petitioner t!at t!e "atter !ad a""eged"' vio"ated, diso$e'ed, defied or disregarded. No s $stantia" c!ange !as $een $ro g!t a$o t $' E7ec tive )rder No. /C: invo3ed $' t!e So"icitor Genera"Ds )ffice
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to $o"ster NTCDs = risdiction. T!e E7ec tive )rder is not an e7p"icit grant of po#er to i&pose ad&inistrative fines on p $"ic service ti"ities, inc" ding te"egrap!ic agencies, #!ic! !ave fai"ed to render ade2 ate service to cons &ers. Neit!er !as it e7panded t!e coverage of t!e s pervisor' and reg "ator' po#er of t!e agenc'. T!ere appears to $e no a"ternative $ t to reiterate t!e sett"ed doctrine in ad&inistrative "a# t!at( Too $asic in ad&inistrative "a# to need citation of = rispr dence is t!e r "e t!at = risdiction and po#ers of ad&inistrative agencies, "i3e respondent Co&&ission, are "i&ited to t!ose e7press"' granted or necessari"' i&p"ied fro& t!ose granted in t!e "egis"ation creating s c! $od'? and an' order #it!o t or $e'ond s c! = risdiction is void and ineffective ;G"o$e Wire"ess case<. EP>A /$. CHR! (#. A* G.R. No. 1,1+36 A&r)* 1+! 1""2 Fac#$% E%MA ;petitioner< p rc!ase a parce" of "and fro& Bi"oi" Refiner' Corporation, and $efore petitioner co "d ta3e possession of t!e area, severa" individ a"s !ad entered t!e pre&ises and p"anted agric "t ra" prod cts t!erein #it!o t per&ission fro& E%MA or its predecessor, Bi"oi". E%MA paid a %-6,666>financia"> assistance to t!ose #!o accepted t!e sa&e and signed 2 itc"ai&s. A&ong t!e& #ere private respondents ;TERESITA VALLES, L)RET) ALEDIA<. Ten 'ears "ater, respondent Teresita, Loreto and %edro, fi"ed in t!e respondent Co&&ission on A &an Rig!ts ;CAR< a =oint co&p"aint pra'ing for 8= stice and ot!er re"iefs and re&edies8. A""eged in t!eir co&p"aint #as t!e infor&ation t!at E%MA $ ""dozed t!e area #it! acts in vio"ation of t!eir ! &an rig!ts. CAR iss ed an )rder of in= nction co&&anding E%MA to desist fro&
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co&&itting s c! acts . T#o #ee3s "ater, E%MA again $ ""dozed t!e area. T!e' a""eged"' !andc ffed private respondent Teresita Va""es, pointed t!eir firear&s at t!e ot!er respondents, and fired a s!ot in t!e air. CAR C!air&an Mar' Concepcion 0a tista iss ed anot!er in= nction )rder reiterating !er first order and e7panded it to inc" de t!e Secretar' of % $"ic Wor3s and Aig!#a's, t!e contractors, and t!eir s $ordinates. E%MA fi"ed in t!e CAR a &otion to "ift t!e )rder of In= nction for "ac3 of a t!orit' to iss e in= nctive #rits and te&porar' restraining orders, $ t sa&e #as denied $' t!e Co&&ission ;CAR<. Aence, E%MA, fi"ed in SC t!is specia" civi" action of certiorari and pro!i$ition #it! a pra'er for t!e iss ance of a restraining order andKor pre"i&inar' in= nction, a""eging t!at t!e CAR acted in e7cess of its = risdiction and #it! grave a$ se of discretion. A te&porar' restraining order ;TR)< #as iss ed ordering t!e CAR to cease and desist fro& enforcing andKor i&p"e&enting t!e 2 estioned in= nction orders. In its co&&ent on t!e petition, t!e CAR as3ed for t!e i&&ediate "ifting of t!e restraining order. T!e CAR contends t!at itJs principa" f nction nder Section -@, Art. -5 of t!e -.@+ Constit tion, 8is not "i&ited to &ere investigation8 $eca se it is &andated, a&ong ot!ers to pro)ide appropriate legal measures for the protection of human rights of all persons #it!in t!e %!i"ippines, as #e"" as Bi"ipinos residing a$road, and pro)ide for pre)enti)e measures and legal aid ser)ices to the under pri)ileged whose human rights ha)e been )iolated or need protection. I$$4(% W)N CAR !ave = risdiction to iss e a #rit of in= nction or restraining order against s pposed vio"ators of ! &an rig!ts, to
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co&pe" t!e& to cease and desist fro& contin ing t!e acts co&p"ained of. H(*'% %etition for certiorari and pro!i$ition is GRANTED. T!e orders of in= nction iss ed $' t!e respondent Co&&ission on A &an Rig!t are ANN1LLED and SET ASIDE and t!e TR) #!ic! t!is Co rt iss ed is &ade %ERMANENT. In Aon. Isidro Co&&ission on A !e"d t!at t!e CAR nor even a 2 asi>= CariGo, et a". vs. &an Rig!ts, et a"., #e is not a co rt of = stice dicia" $od'.
HT!e &ost t!at &a' $e conceded to t!e Co&&ission in t!e #a' of ad= dicative po#er is t!at it &a' investigate, i.e., receive evidence and &a3e findings of fact as regards c"ai&ed ! &an rig!ts vio"ations invo"ving civi" and po"itica" rig!ts. 0 t fact>finding is not ad= dication, and cannot $e "i3ened to t!e = dicia" f nction of a co rt of = stice, or even a 2 asi>= dicia" agenc' or officia". T!e f nction of receiving evidence and ascertaining t!erefro& t!e facts of a controvers' is not a = dicia" f nction, proper"' spea3ing. To $e considered s c!, t!e fac "t' of receiving evidence and &a3ing fact a" conc" sions in a controvers' & st $e acco&panied $' t!e a t!orit' of app"'ing t!e "a# to t!ose fact a" conc" sions to t!e end t!at t!e controvers' &a' $e decided or deter&ined a t!oritative"', fina""' and definite"', s $=ect to s c! appea"s or &odes of revie# as &a' $e provided $' "a#. T!is f nction, to repeat, t!e Co&&ission does not !ave.I T!e constit tiona" provision directing t!e CAR to 8provide for preventive &eas res and "ega" aid services to t!e nderprivi"eged #!ose ! &an rig!ts !ave $een vio"ated or need protection8 &a' not $e constr ed to confer = risdiction on t!e Co&&ission to iss e a restraining order or #rit of in= nction for,
Pa.( +3

if t!at #ere t!e intention, t!e Constit tion #o "d !ave e7press"' said so. :?4r)$')c#)o0 )$ co09(rr(' o0*7 87 # ( Co0$#)#4#)o0 or 87 *a<:. I# )$ 0(/(r '(r)/(' 87 )6&*)ca#)o0. T!e 8preventive &eas res and "ega" aid services8 &entioned in t!e Constit tion refer to e7tra= dicia" and = dicia" re&edies ;inc" ding a pre"i&inar' #rit of in= nction< #!ic! t!e CAR &a' see3 fro& t!e proper co rts on $e!a"f of t!e victi&s of ! &an rig!ts vio"ations. Not $eing a co rt of = stice, t!e CAR itse"f !as no = risdiction to iss e t!e #rit, for a #rit of pre"i&inar' in= nction &a' on"' $e iss ed 8$' t!e = dge of an' co rt in #!ic! t!e action is pending E#it!in !is districtF, or $' a * stice of t!e Co rt of Appea"s, or of t!e S pre&e Co rt. It &a' a"so $e granted $' t!e = dge of a Co rt of Birst Instance Eno# Regiona" Tria" Co rtF in an' action pending in an inferior co rt #it!in !is district.8 ;Sec. 4, R "e /@, R "es of Co rt<. A #rit of pre"i&inar' in= nction is an anci""ar' re&ed'. It is avai"a$"e on"' in a pending principa" action, for t!e preservation or protection of t!e rig!ts and interest of a part' t!ereto, and for no ot!er p rpose. MARC)%%ER MINING C)R%)RATI)N v. 01M)L) FEDERICO S. SANDOVAL /$. COMMISSION ON ELECTIONS FACTS% %etitioner and private respondent !erein #ere candidates for t!e congressiona" seat for t!e Ma"a$on>Navotas "egis"ative district d ring t!e e"ections !e"d on Ma' --, -..@. After canvassing t!e & nicipa" certificates of canvass, t!e district $oard of canvassers proc"ai&ed petitioner t!e d "' e"ected congress&an. T!e petitioner too3 !is oat! of office on t!e sa&e da'. %rivate respondent fi"ed #it! t!e
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Co&e"ec a petition, #!ic! so g!t t!e ann "&ent of petitionerDs proc"a&ation. Ae a""eged t!at t!ere #as a ver$a" order fro& t!e Co&e"ec C!air&an to s spend t!e canvass and proc"a&ation of t!e #inning candidate, $ t t!e district $oard of canvassers proceeded #it! t!e canvass and proc"a&ation despite t!e said ver$a" order. Ae a"so a""eged t!at t!ere #as non>inc" sion of -. e"ection ret rns in t!e canvass, #!ic! #o "d res "t in an inco&p"ete canvass of t!e e"ection ret rns. T!e Co&e"ec en $anc iss ed an order setting aside t!e proc"a&ation of petitioner and r "ed t!e proc"a&ation as void. Aence, t!is petition for certiorari see3ing t!e ann "&ent and reversa" of t!e Co&e"ec order. ISSUES( -. #!et!er t!e C)MELEC !as t!e po#er to ta3e cognizance of S%C No. .@>-C5 and S%C No. .@> 46: S%C No. .@>-C5 an 81rgent Appea" fro& t!e Decision of t!e Legis"ative District 0oard of Canvassers for Ma"a$on and Navotas #it! %ra'er for t!e N ""ification of t!e %roc"a&ation of Bederico S. Sandova" as Congress&an.8 S%C No. .@>46:. T!e petition so g!t t!e ann "&ent of petitionerDs proc"a&ation as congress&an. 4. #!et!er t!e C)MELECDs order to set aside petitionerDs proc"a&ation #as va"id. RULING% )n t!e first iss e, #e p!o"d t!e = risdiction of t!e C)MELEC over t!e petitions fi"ed $' private respondent. T!e C)MELEC !as e7c" sive = risdiction over a"" pre>proc"a&ation controversies. As an e7ception, !o#ever, to t!e genera" r "e, Section -/ of Rep $"ic Act ;RA< +-:: pro!i$its candidates in t!e presidentia", vice>presidentia", senatoria" and congressiona" e"ections fro& fi"ing pre> proc"a&ation cases. It states( 8Sec. -/. %re>proc"a&ation cases Not A""o#ed in
Pa.( +@

E"ections for %resident, Vice>%resident, Senator, and Me&$ers of t!e Ao se of Representatives. Q Bor p rposes of t!e e"ections for %resident, Vice>%resident, Senator and Me&$er of t!e Ao se of Representatives, no pre>proc"a&ation cases s!a"" $e a""o#ed on &atters re"ating to t!e preparation, trans&ission, receipt, c stod' and appreciation of e"ection ret rns or t!e certificates of canvass, as t!e case &a' $e. Ao#ever, t!is does not prec" de t!e a t!orit' of t!e appropriate canvassing $od' &ot propio or pon #ritten co&p"aint of an interested person to correct &anifest errors in t!e certificate of canvass or e"ection ret rns $efore it.8 T!e pro!i$ition ai&s to avoid de"a' in t!e proc"a&ation of t!e #inner in t!e e"ection, #!ic! de"a' &ig!t res "t in a vac & in t!ese sensitive posts. T!e "a#, nonet!e"ess, provides an e7ception to t!e e7ception. T!e second sentence of Section -/ a""o#s t!e fi"ing of petitions for correction of &anifest errors in t!e certificate of canvass or e"ection ret rns even in e"ections for president, vice> president and &e&$ers of t!e Ao se of Representatives for t!e si&p"e reason t!at t!e correction of &anifest error #i"" not pro"ong t!e process of canvassing nor de"a' t!e proc"a&ation of t!e #inner in t!e e"ection. T!is r "e is consistent #it! and co&p"e&ents t!e a t!orit' of t!e C)MELEC nder t!e Constit tion to 8enforce and ad&inister a"" "a#s and reg "ations re"ative to t!e cond ct of an e"ection, p"e$iscite, initiative, referend & and reca""8 and its po#er to 8decide, e7cept t!ose invo"ving t!e rig!t to vote, a"" 2 estions affecting e"ections.8 We no# go to t!e second iss e. A"t!o g! t!e C)MELEC is c"ot!ed #it! = risdiction over t!e s $=ect &atter and iss e of S%C No. .@>-C5 and S%C No. .@>46:, #e find t!e e7ercise of its = risdiction tainted #it! i""ega"it'. We !o"d t!at its order to set aside t!e proc"a&ation of petitioner is inva"id for !aving $een rendered #it!o t d e process of "a#. %roced ra" d e
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process de&ands prior notice and !earing. T!e facts s!o# t!at C)MELEC set aside t!e proc"a&ation of petitioner #it!o t t!e $enefit of prior notice and !earing and it rendered t!e 2 estioned order $ased so"e"' on private respondentDs a""egations. % $"ic respondent s $&its t!at proced ra" d e process need not $e o$served in t!is case $eca se it #as &ere"' e7ercising its ad&inistrative po#er to revie#, revise and reverse t!e actions of t!e $oard of canvassers. We cannot accept p $"ic respondentDs arg &ent. Ta3ing cognizance of private respondentDs petitions for ann "&ent of petitionerDs proc"a&ation, C)MELEC #as not &ere"' perfor&ing an ad&inistrative f nction. T!e ad&inistrative po#ers of t!e C)MELEC inc" de t!e po#er to deter&ine t!e n &$er and "ocation of po""ing p"aces, appoint e"ection officia"s and inspectors, cond ct registration of voters, dep tize "a# enforce&ent agencies and govern&ent instr &enta"ities to ens re free, order"', !onest, peacef " and credi$"e e"ections, register po"itica" parties, organizations or coa"itions, accredit citizensD ar&s of t!e Co&&ission, prosec te e"ection offenses, and reco&&end to t!e %resident t!e re&ova" of or i&position of an' ot!er discip"inar' action pon an' officer or e&p"o'ee it !as dep tized for vio"ation or disregard of its directive, order or decision. In addition, t!e Co&&ission a"so !as direct contro" and s pervision over a"" personne" invo"ved in t!e cond ct of e"ection. Ao#ever, t!e reso" tion of t!e adverse c"ai&s of private respondent and petitioner as regards t!e e7istence of a &anifest error in t!e 2 estioned certificate of canvass re2 ires t!e C)MELEC to act as an ar$iter. It $e!ooves t!e Co&&ission to !ear $ot! parties to deter&ine t!e veracit' of t!eir a""egations and to decide
Pa.( +"

#!et!er t!e a""eged error is a &anifest error. Aence, t!e reso" tion of t!is iss e ca""s for t!e e7ercise $' t!e C)MELEC of its 2 asi>= dicia" po#er. It !as $een said t!at #!ere a po#er rests in = dg&ent or discretion, so t!at it is of = dicia" nat re or c!aracter, $ t does not invo"ve t!e e7ercise of f nctions of a = dge, or is conferred pon an officer ot!er t!an a = dicia" officer, it is dee&ed 2 asi> = dicia". T!e C)MELEC t!erefore, acting as 2 asi>= dicia" tri$ na", cannot ignore t!e re2 ire&ents of proced ra" d e process in reso"ving t!e petitions fi"ed $' private respondent. T!e C)MELEC order dated * ne 4, -..@ in S%C No. .@>-C5 and S%C No. .@>46: is ANN1LLED. THE UNITED RESIDENTS OF DOMINICAN HILL! INC. vs. COMMISSION ON THE SETTLEMENT OF LAND PROBLEMS FACTS T!e propert' $eing fo g!t over $' t!e parties is a -6.5:>!ectare propert' in 0ag io Cit' ca""ed Do&inican Ai""s, for&er"' registered in t!e na&e of Dip"o&at Ai""s, Inc. T!e propert' #as &ortgaged to t!e 1nited Cocon t %"anters 0an3 ;1C%0< #!ic! event a""' forec"osed t!e &ortgage t!ereon and ac2 ired t!e sa&e as !ig!est $idder. )n Apri" --, -.@5, it #as donated to t!e Rep $"ic of t!e %!i"ippines $' 1C%0 t!ro g! its %resident, Ed ardo Co= angco. T!e deed of donation stip "ated t!at Do&inican Ai""s #o "d $e ti"ized for t!e 8priorit' progra&s, pro=ects, activities in ! &an sett"e&ents and econo&ic deve"op&ent and govern&enta" p rposes8 of t!e Ministr' of A &an Sett"e&ents.
EH +,-
%resident Corazon C. A2 ino iss ed E7ec tive )rder No. @/ a$o"is!ing t!e )ffice of Media Affairs and t!e Ministr' of A &an Sett"e&ents. A"" agencies nder t!e "atterDs s pervision as #e"" as a"" its assets, progra&s and pro=ects, #ere transferred to t!e %residentia" Manage&ent Staff ;%MS<. )n )cto$er -@, -.@@, t!e %MS received an app"ication fro& petitioner 1NITED RESIDENTS )B D)MINICAN AILL, INC to ac2 ire a portion of t!e Do&inican Ai""s propert'. A)ME INS1RANCE G1ARANTP C)R%)RATI)N ;AIGC< consented to act as originator for 1NITED. A Me&orand & of Agree&ent #as signed $' and a&ong t!e %MS, t!e AIGC, and 1NITED. T!e Me&orand & of Agree&ent ca""ed for t!e %MS to se"" t!e Do&inican Ai""s propert' to AIGC #!ic! #o "d, in t rn, se"" t!e sa&e to 1NITED. T!e parties agreed on a se""ing price of %+/.66 per s2 are &eter. %rivate respondents entered t!e Do&inican Ai""s propert' a""ocated to 1NITED and constr cted !o ses t!ereon. %etitioner #as a$"e to sec re a de&o"ition order fro& t!e cit' &a'or. 1na$"e to stop t!e razing of t!eir !o ses, private respondents, nder t!e na&e D)MINICAN AILL 0AG1I) RESIDENTS A)MELESS ASS)CIATI)N fi"ed an action for in= nction, in t!e Regiona" Tria" Co rt of 0ag io Cit', 0ranc! C. %rivate respondents #ere a$"e to o$tain a te&porar' restraining order $ t t!eir pra'er for a #rit of pre"i&inar' in= nction #as "ater denied in an )rder dated Marc! -@, -..:. W!i"e Civi" Case No. 55-:>R #as pending, t!e ASS)CIATI)N, t!is ti&e represented $' t!e Land Refor& 0eneficiaries Association, Inc fi"ed a co&p"aint pra'ing for da&ages,
Pa.( -,

in= nction and ann "&ent of t!e said Me&orand & of Agree&ent $et#een 1NITED and AIGC. De&o"ition )rder No. ->.: #as s $se2 ent"' i&p"e&ented $' t!e )ffice of t!e Cit' Ma'or and t!e Cit' EngineerDs )ffice of 0ag io Cit'. Ao#ever, petitioner avers t!at private respondents ret rned and reconstr cted t!e de&o"is!ed str ct res. To foresta"" t!e re>i&p"e&entation of t!e de&o"ition order, private respondents fi"ed on Septe&$er 4., -..@ a petition for ann "&ent of contracts #it! pra'er for a te&porar' restraining order in t!e Co&&ission on t!e Sett"e&ent of Land %ro$"e&s ;C)SLA%< against petitioner, AIGC, %MS, t!e Cit' EngineerDs )ffice, t!e Cit' Ma'or, as #e"" as t!e Register of Deeds of 0ag io Cit'. )n t!e ver' sa&e da', p $"ic respondent C)SLA% iss ed t!e contested order re2 iring t!e parties to &aintain t!e status quo. Wit!o t fi"ing a &otion for reconsideration fro& t!e aforesaid status quo order, petitioner fi"ed t!e instant petition 2 estioning t!e = risdiction of t!e C)SLA%. ISSUE IS TAE C)MMISSI)N )N TAE SETTLEMENT )B LAND %R)0LEMS EC)SLA%F CREATED 1NDER EOEC1TIVE )RDER N). /:- 0P TAE )BBICE )B TAE %AILI%%INES EM%)WERED T) AEAR AND TRP A %ETITI)N B)R ANN1LMENT )B C)NTRACTS WITA %RAPER B)R A TEM%)RARP RESTRAINING )RDER AND TA1S, ARR)GATE 1NT) ITSELB TAE %)WER T) ISS1E STAT1S L1) )RDER AND C)ND1CT A AEARING TAERE)B9 ASS1MING TAAT TAE C)MMISSI)N )N TAE SETTLEMENT )B LAND %R)0LEMS AAS *1RISDICTI)N )N TAE MATTER, IS IT EOEM%TED BR)M )0SERVING A CLEAR CASE )B B)R1M SA)%%ING )N TAE %ART )B TAE %RIVATE RES%)NDENTS9 RULING C)SLA% is not = stified in ass &ing = risdiction over t!e controvers'. It &a' not ass &e = risdiction over cases #!ic! are a"read' pending in t!e reg "ar co rts. Section 5;4< of E7ec tive )rder /:- spea3s of an' reso" tion, order or decision of t!e C)SLA% as !aving t!e 8force and effect of a regular administrati)e reso" tion, order or decision.8 T!e 2 a"ification p"aces an n&ista3a$"e e&p!asis on t!e administrati)e c!aracter of t!e C)SLA%Ds deter&ination, a&p"ified $' t!e state&ent t!at s c! reso" tions, orders or decisions 8s!a"" $e $inding pon t!e parties t!erein and upon the agency ha)ing 4urisdiction o)er the same.8 An agenc' is defined $' stat te as 8an' of t!e vario s nits of t!e Govern&ent, inc" ding a depart&ent, $ rea , office, instr &enta"it', or govern&ent> o#ned or contro""ed corporation, or a "oca" govern&ent or a distinct nit t!erein.8
section
5;4< of E7ec tive )rder /:- patent"' indicates t!at t!e C)SLA%Ds dispositions are $inding on administrati)e or e*ecuti)e agencies. %rivate respondents, in fi"ing & "tip"e petitions, !ave &oc3ed o r atte&pts to eradicate for & s!opping and !ave t!ere$' pset t!e order"' ad&inistration of = stice. T!e' so g!t reco rse fro& t!ree ;5< different tri$ na"s in order to o$tain t!e #rit of in= nction t!e' so desperate"' desired.
Pa.( -1
EH +,-

A scr tin' of t!e p"eadings
fi"ed $efore t!e tria" co rts and t!e C)SLA% s fficient"' esta$"is!es pri)ate respondents6 propensity for forum shopping. We "a' t!e pre&ise t!at t!e certification against for & s!opping & st $e e7ec ted $' t!e p"aintiff or principa" part', and not $' !is co nse". Aence, one can ded ce t!at t!e certification is a pec "iar personal representation on t!e part of t!e principa" part', an ass rance given to t!e co rt or ot!er tri$ na" t!at t!ere are no ot!er pending cases invo"ving $asica""' t!e sa&e parties, iss es and ca ses of action. In t!e case at $ar, private respondentsD "itan' of o&issions range fro& fai"ing to s $&it t!e re2 ired certification against for & s!opping to fi"ing a fa"se certification, and t!en to for & s!opping itse"f. Birst, t!e petition fi"ed $efore t!e C)SLA% conspic o s"' "ac3ed a certification against for & s!opping. Second, it does not appear fro& t!e record t!at t!e ASS)CIATI)N infor&ed 0ranc! C of t!e Regiona" Tria" Co rt of 0ag io Cit' $efore #!ic! Civi" Case No. 55-:>R #as pending, t!at anot!er action, Civi" Case No. 55@4>R, #as fi"ed $efore 0ranc! :- of t!e sa&e co rt. Anot!er gro p of !o&e"ess residents of Do&inican Ai"", t!e LAND REB)RM 0ENEBICIARIES ASS)CIATI)N, INC. initiated t!e "atter case.
EH +,-
Pa.( -2

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