DOMINGO DE LA CRUZ vs. NORTHERN THEATRICAL ENTERPRISES INC., ET AL.

Conrado Rubio for appellant.

Ruiz, Ruiz, Ruiz, Ruiz, and Benjamin Guerrero for appellees.

Facts:
1941, The Northern Theatrical Enterprises Inc., a domestic corporation operated a movie house
in Laoag, Ilocos Norte. Domingo De La Cruz was employed whose duties were to guard the
main entrance, to maintain peace and order and to report the commission of disorders within
premises. He carried a revolver.
Benjamin Martin wanted to crash the gate or entrance of the movie house. Infuriated by the
refusal of De la Cruz to let him in without first providing himself with a ticket, Martin attacked
him with a bolo. De la Cruz defendant himself as best he could until he was cornered, at which
moment to save himself he shot Martin, resulting in Benjamin Martins death.
De la Cruz was charged with homicide. After a re-investigation conducted by the Provincial
Fiscal the latter filed a motion to dismiss the complaint, which was granted by the court. De la
Cruz was again accused of the same crime of homicide. After trial, he was finally acquitted of
the charge.
He then demanded from former employer to repay the expenses but was refused thus filed
present action against the Northern Theatrical Enterprises Inc company and to three members of
its Board of Directors to recover amounts he had paid his lawyers including moral damages said
to have been suffered due to his worry, neglect of his interests and his family as well in the
supervision of the cultivation of his land, a total of P 15,000.
Court of First Instance of Ilocos Norte rejected the theory of De la Cruz because he was an agent
of Northern Theatrical Enterprises Inc. and that as such agent he was entitled to compensate the
expenses incurred by him in connection with the agency.
The court found and decided that De La Cruz had no cause of action and dismissed the complaint
without costs.

Issue:
Whether or not an agent whos in the line of duty performs an act that resulted in his incurring
expenses caused by a stranger. May the latter recover the said expenses against his former
employer.

Held:
No, because the relationship between the Northern Theatrical Enterprises Inc. and plaintiff was
not that of principal and agent because the principle of representation as a characteristic of
agency was in no way involved. Plaintiff was not employed to represent corporation in its
dealings with third parties. Plaintiff is a mere employee hired to perform a certain specific duty
or task, that of acting as a special guard and staying at the main entrance of the movie house to
stop gate crashers and to maintain peace and order within the premises.