LABOR LAW
Third Division
Constructive Dismissal
G.R. No. 191053. November 28, 2011.*
MARIO B. DIMAGAN, petitioner, vs.
DACWORKS UNITED, INCORPORATED
and/or DEAN A. CANCINO, respondents.
An officer who was relegated from his employment
and thereafter dismissed constitutes constructive
dismissal. When a reasonable person in the
employee’s position would have felt compelled to
give up his position under the circumstances. It is
an act amounting to dismissal but is made to appear
as if it were not. It is therefore a dismissal in
disguise.
ADMINISTRATIVE LAW
En Banc
Court Personnel
A.M. No. P-11-3011. November 29, 2011.*
(Formerly OCA I.P.I. No. 09-3143-P)
EVELINA C. BANAAG, complainant, vs.
OLIVIA C. ESPELETA, Interpreter III,
Branch 82, Regional Trial Court, Quezon
City, respondent.
A court personnel was convicted of Gross Immoral
Conduct under Administrative Code of 1987 as
proven by substantial evidence for engaging in an
illicit and immoral relationship with the husband of
another and thereby violating the basic norm of
decency, morality and decorum abhorred and
condemned by the society.
ADMINISTRATIVE LAW
Third Division
Disbarment
A.C. No. 4428. December 12, 2011.*
ELPIDIO P. TIONG, complainant, vs.
ATTY. GEORGE M. FLORENDO,
respondent.
A pardon by the offended party of the act
complained of does not operate to offset the
ground for disbarment or suspension. Hence, a
lawyer’s act of having an illicit affair with his client’s
wife manifested his disrespect for the laws on the
sanctity of marriage and his own marital vow of
fidelity.
REMEDIAL LAW
Third Division
Judgments
G.R. No. 192813. January 18, 2012.*
VASHDEO GAGOOMAL, petitioner, vs.
SPOUSES RAMON AND NATIVIDAD
VILLACORTA, respondents.
The writ of possession was issued and executed in
favor of petitioner under the foregoing provision.
However, a punctilious review of the records will
show that its grant and enforcement against the
subject property, over which the third parties claim
an adverse interest, are devoid of legal basis. It is a
basic principle of law that money judgments are
enforceable only against property incontrovertibly
belonging to the judgment debtor, and if property
belonging to any third person is mistakenly levied
upon to answer for another man’s indebtedness,
such person has all the right to challenge the levy
through any of the remedies provided for under the
Rules of Court. However, “a person other than the
judgment debtor who claims ownership or right
over the levied properties is not precluded from
taking other legal remedies to prosecute his claim”.
REMEDIAL LAW
Third Division
Demurrer to Evidence
G.R. No. 173008. February 22, 2012.*
NENITA GONZALES, SPOUSES
GENEROSA GONZALES AND RODOLFO
FERRER, SPOUSES FELIPE GONZALES
AND CAROLINA SANTIAGO, SPOUSES
LOLITA GONZALES AND
GERMOGENES GARLITOS, SPOUSES
DOLORES GONZALES AND FRANCISCO
COSTIN, SPOUSES CONCHITA
GONZALES AND JONATHAN CLAVE,
AND SPOUSES BEATRIZ GONZALES
AND ROMY CORTES, REPRESENTED
BY THEIR ATTORNEY-IN-FACT AND
CO-PETITIONER NENITA GONZALES,
petitioners, vs. MARIANO BUGAAY AND
 LUCY BUGAAY, SPOUSES ALICIA
BUGAAY AND FELIPE BARCELONA,
CONEY “CONIE” BUGAAY, JOEY
GATAN, LYDIA BUGAAY, SPOUSES
LUZVIMINDA BUGAAY AND REY
PAGATPATAN AND BELEN BUGAAY,
respondents.
Respondents demurred to petitioners’ evidence
after the RTC promulgated its Decision. While
respondents’ motion for reconsideration and/or
new trial was granted, it was for the sole purpose of
receiving and offering for admission the
documents not presented at the trial. Hence, the
demurrer to evidence was clearly no longer an
available remedy to respondents and should not
have been granted as respondents never complied
with the directive but instead filed a demurrer to
evidence, their motion should be deemed
abandoned.
REMEDIAL LAW
En Banc
Motions
G.R. No. 192984. February 28, 2012.*
ROLANDO D. LAYUG, petitioner, vs.
COMMISSION ON ELECTIONS,
MARIANO VELARDE (alias “BROTHER
MIKE”) and BUHAY PARTY-LIST,
respondents.
Neither does the HRET have jurisdiction over the
qualifications of Buhay Party-List, as it is vested by
law, specifically, the Party-List System Act, upon
the COMELEC. Section 6 of said Act states that
“the COMELEC may motu proprio or upon
verified complaint of any interested party, remove
or cancel, after due notice and hearing, the
registration of any national, regional or sectoral
party, organization or coalition xxx.”
ADMINISTRATIVE LAW
En Banc
Judicial Clemency
A.M. No. 12-2-6-SC. March 6, 2012.*
RE: PETITION FOR JUDICIAL
CLEMENCY OF JUDGE IRMA ZITA V.
MASAMAYOR
Considering Judge Masamayor’s previous record,
she is indeed disqualified from being further
nominated for appointment to any judicial post,
Nevertheless, petitioner has subsequently shown
diligence in the performance of her duties and has
not committed any similar act or omission.
Accordingly the court granted her judicial
clemency for her past administrative offenses.
CIVIL LAW
Third Division
Exemplary Damages
G.R. No. 191703. March 12, 2012.*
CRESENCIO BAÑO AND HEIRS OF THE
DECEASED AMANCIO ASUMBRADO,
NAMELY: ROSALINDA ASUMBRADO,
VICENTE ASUMBRADO, ROEL
ASUMBRADO, ANNALYN ASUMBRADO,
ARNIEL ASUMBRADO, ALFIE
ASUMBRADO and RUBELYN
ASUMBRADO, petitioners, vs. BACHELOR
EXPRESS, INC./CERES LINER, INC. and
WENIFREDO SALVAÑA, respondents.
Baño vs. Bachelor Express, Inc., 667 SCRA
782, G.R. No. 191703 March 12, 2012
Having established the negligence of its employee,
the presumption of fault or negligence on the part
of Respondent Bachelor Express arose which it
failed to rebut by evidence that it exercised due
diligence. Respondents are liable for exemplary
damages in favor of petitioners to serve as a
warning to the public and as a deterrent against the
repetition of similar deleterious actions.
LEGAL ETHICS
Third Division
Practice of Law
A.C. No. 6903. April 16, 2012.*
SUZETTE DEL MUNDO, complainant, vs.
ATTY. ARNEL C. CAPISTRANO,
respondent. Del Mundo vs. Capistrano, 669
SCRA 462, A.C. No. 6903 April 16, 2012
Atty. Arnel C. Capistrano, having clearly violated
the Code of Professional Responsibility for failure
to exercise that degree of vigilance and attention
expected of a good father of a family makes the
lawyer unworthy of the trust reposed on him by his
client and makes him answerable not just to his
client but also to the legal profession, the courts
and society.
ADMINISTRATIVE LAW
Third Division
Gross Inefficiency
A.M. No. 06-9-525-RTC. June 13, 2012.*
RE: REPORT ON THE JUDICIAL AUDIT
CONDUCTED IN THE REGIONAL
TRIAL COURT, BRANCHES 72 AND 22,
NARVACAN, ILOCOS SUR.
A judge who failed to show based on records that
he sought for an extension to decide and resolve
the cases pending before him constitutes gross
inefficiency, warranting the imposition of a fine
which the court finds reasonable under the
circumstances.
POLITICAL LAW
Third Division
Agrarian Law
Land Bank of the Philippines vs. Montinola-
Escarilla and Co., Inc.,
672 SCRA 261, G.R. No. 178046, June 13, 2012
The just compensation of a parcel of agricultural
land expropriated by the government shall be
determined by its fair market value equivalent to
the character and price at the time of taking.
CRIMINAL LAW
Third Division case
Rape
People vs. Matias
672 SCRA 411, G.R. No. 186469, June 13, 2012
The accused who raped a thirteen (13) year old girl
by forcing her to lie on a bamboo bed and
consummated the crime of rape cannot be charged
with statutory rape under RPC, but under RA 7610
(Anti-Violence Against Women and Their Children
Act of 2004), because the victim was 13-year old at
the time that the crime was committed.
CIVIL LAW
Third Division
Antichresis
Bangis vs. Heirs of Serafin and Salud Adolfo
672 SCRA 468, G.R. No. 190875, June 13, 2012
A mortgaged parcel of land which was not deduced
into writing cannot be claimed as a contract of
antichresis because in the contract of antichresis,
the amount of the principal and of the interest shall
be specified in writing; otherwise the contract of
antichresis shall be void.
CIVIL LAW
Third Division case
Agency
Ace Navigation Co., Inc. vs. FGU Insurance
Corporation
674 SCRA 348, G.R. No. 171591, June 25, 2012
The agent, who has the obligation of informing the
other party of the vessel’s arrival in Manila, cannot
be held personally liable for the damages of several
bags of cement in bad order and condition, unless
he expressly binds himself or exceeds the limits of
his authority without giving such party sufficient
notice of his powers.
CONSTITUTIONAL LAW
En Banc
Right to Counsel
Philcomsat Holdings Corporation vs. Senate
of the Republic of the Philippines
673 SCRA 611, G.R. No. 180308, June 19, 2012
Locsin and Andal who were invited as resource
persons in an inquiry in aid of legislation cannot
validly invoke their right to counsel, for the right to
be assisted by counsel can only be invoked by a
person under custodial investigation suspected for
the commission of a crime, and not in public
hearings.
Constitutional Law
En Banc
Local Government Units
Pimentel, Jr. vs. Ochoa
676 SCRA 551, G.R. No. 195770, July 17, 2012
The allotment of 21 Billion pesos to Conditional
Cash Transfer (CCP) cannot be considered as an
encroachment into the local autonomy of the
LGUs for under the Philippine concept of local
autonomy, the national government has not
completely relinquished all its powers over local
governments, hence it is not precluded from taking
a direct hand in the formulation and
implementation of national development
programs.
CONSTITUTIONAL LAW
En Banc case
Due Process
Pichay, Jr. vs. Office of the Deputy Executive
Secretary for Legal Affairs-Investigative and
Adjudicatory Division
677 SCRA 408, G.R. No. 196425, July 24, 2012
Petitioner’s right to due process was not violated
when he was ordered to submit his written
explanation under oath with respect to the
administrative disciplinary case filed against him. In
administrative proceedings, having the opportunity
to explain one’s side constitute the minimum
requirement of due process.
CONSTITUTIONAL LAW
Third Division
Witnesses
Go vs. People
677 SCRA 213, G.R. No. 185527, July 18, 2012
The Court cannot allow the taking of the
deposition of the complaining witness in Laos,
Cambodia because conditional examination of a
prosecution witness cannot defeat the rights of the
accused to public trial and confrontation of
witnesses.
REMEDIAL LAW
Third Division
Evidence
Ogawa vs. Menigishi
676 SCRA 14, G.R. No. 193089, July 9, 2012
Respondent failed to prove that petitioner is
indebted to her by preponderance of evidence
through a receipt containing the signature of both
parties where it cannot be ascertained who between
the two signatories is the obligor and obligee.
REMEDIAL LAW
Third Division case
Civil Procedure
Soller vs. Heirs of Jeremias Ulayao
677 SCRA 124, G.R. No. 175552, July 18, 2012
When a party raises a defense of acquisitive
prescription which inevitably involves the issue of
actual, physical and material possession, which is
always a question of fact, a full-blown trial is
necessary and the court cannot render a Summary
Judgment for it is only proper when, upon motion
of the plaintiff or the defendant, the court finds that
the answer filed by the defendant does not tender a
genuine issue as to any material fact and that one
party is entitled to a judgment as a matter of law.
POLITICAL LAW
En Banc case
Administrative Law
Pichay, Jr. vs. Office of the Deputy Executive
Secretary for Legal Affairs-Investigative and
Adjudicatory Division
677 SCRA 408, G.R. No. 196425, July 24, 2012
The act of the President in abolishing an office and
transferring its function to another office under
him is valid because the Administrative Code of
1987 (E.O. 292), vests in the President the
continuing authority to reorganize the offices under
him in order to achieve simplicity, economy and
efficiency.
POLITICAL LAW
En Banc case
Administrative Law
Pichay, Jr. vs. Office of the Deputy Executive
Secretary for Legal Affairs-Investigative and
Adjudicatory Division
677 SCRA 408, G.R. No. 196425, July 24, 2012
When the Investigative and Adjudicatory Division,
Office of the Deputy Executive Secretary for Legal
Affairs (IAD-ODESLA) took cognizance of the
administrative case filed against petitioner, it did
not encroach upon the Ombudsman’s primary
jurisdiction. The primary jurisdiction of the
Ombudsman to investigate and prosecute cases
refers to criminal cases cognizable by the
Sandiganbayan and not to administrative cases.
REMEDIAL LAW
Third Division
Execution of Judgments
ARTURO DELA CRUZ, SR., vs. MARTIN
and FLORA FANKHAUSER
677 SCRA 744, G.R. No. 196990, JULY 30, 2012
Although the Revised Rules of Court states that no
appeal maybe taken from an order of execution,
when Fanhauser varied the terms of the judgment
and did not conform to the essence of said
judgment such action allowed Dela Cruz to appeal
said order as it now became an exception to the
rules laid down in law.
POLITICAL LAW
En Banc
Abandonment of Office
CIVIL SERVICE COMMISSION, vs. DR.
AGNES OUIDA P. YU
678 SCRA 39, G.R. No. 189041, JULY 31, 2012
Even if Dr. Castillo was not accepted by Gov.
Salapuddin, his refusal did not prevent her
devolution together with her position as it took
effect by operation of law and her lack of action to
question such refusal is not tantamount to
abandonment of office.
LEGAL ETHICS
Third Division
Disbarment
ENGR. GILBERT TUMBOKON, vs. ATTY.
MARIANO R. PEFIANCO
678 SCRA 60, A.C. No. 6116, AUGUST 01,
2012
The practice of law is considered a privilege, the act
of Atty. Pefianco of offering to share his attorney's
fees to someone who isn't even licensed to practice
law is a blatant violation of the values and norms
embodied in such practice.
The betrayal of marital vow of fidelity or sexual
relations outside marriage is considered disgraceful
and immoral and call for a sanction of suspension,
or in some instances, disbarment, in the practice of
law.
LEGAL ETHICS
Third Division
Duty of an Attorney
EMILIA O. DHALIWAL, vs. ATTY.
ABELARDO B. DUMAGUING
678 SCRA 68, A.C. No. 9390 AUGUST 01, 2012
When delivery of title and damages becomes
premature due to the counsel's withdrawal of funds
and he fails to return the same upon demand, it is
presumed that he appropriated the same for his
own use in violation of the trust reposed in him by
his client.
REMEDIAL LAW
Third Division
Garnishment
BANK OF THE PHILIPPINE ISLANDS, vs.
CARLITO LEE
678 SCRA 171, G.R. No.190144 AUGUST 01,
2012
Accounts of Trendline with Citytrust were
garnished while a merger between Citytrust and
BPI followed shortly after. BPI need not be
impleaded as a party for the court to lawfully bind
it since service of the writ of garnishment would
suffice for the court's jurisdiction to attach.

LABOR LAW
Third Division
Collective Bargaining Agreement
ANGELITO CASTRO, RAYMUNDO
SAURA and RAMONITO FANUNCION, vs.
PHILIPPINE LONG DISTANCE
TELEPHONE COMPANY and MANUEL
V. PANGILINAN
678 SCRA 730, G.R. No. 191792, AUGUST 22,
2012
The concerned employees where already
considered dismissed upon the effectivity of the
new collective bargaining agreement even if such
termination was being challenged on an appeal at
such time, the benefits of the new CBA cannot
extend to them as they are neither employees nor
members of the collective bargaining unit.
REMEDIAL LAW
Third Division
Appeals
GLOBAL RESOURCE FOR
OUTSOURCED WORKERS (GROW), INC.
and MS RETAIL KSC/MS RETAIL
CENTRAL MARKETING CO. and MR.
EUSEBIO H. TANCO, vs. ABRAHAM C.
VELASCO AND NANETTE T. VELASCO
678 SCRA 751, G.R. No. 196883, AUGUST 22,
2012
Depriving respondents of overtime pay when it is
rightly due to them just because they did not appeal
for its relief is tantamount to impairment of
substantive rights.
CONSTITUTIONAL LAW
En Banc
Power to Remove
EMILIO A. GONZALES III, vs. OFFICE OF
THE PRESIDENT OF THE
PHILIPPINES, acting through and
represented by EXECUTIVE SECRETARY
PAQUITO N. OCHOA, JR., SENIOR
DEPUTY EXECUTIVE SECRETARY JOSE
AMOR M. AMORANDO, Officer in Charge,
Office of the Deputy Executive Secretary for
Legal Affairs, ATTY. RONALDO A.
GERON, DIR. ROWENA TURINGAN-
SANCHEZ, and ATTY. CARLITO D.
CATAYONG
679 SCRA 614, G.R. No. 196231,
SEPTEMBER 04, 2012
Petitioners cannot insist that they should be solely
and directly subject to the disciplinary authority of
the Ombudsman when such power is also
conferred to the President under the Ombudsman
Act of 1989 proving that such authority to remove
a Deputy Ombudsman or a Special Prosecutor is
not exclusively lodged on the incumbent
Ombudsman.
TAXATION LAW
Second Division
Taxation involving Cooperatives
CITY OF IRIGA, vs. CAMARINES SUR III
ELECTRIC COOPERATIVE, INC.
(CASURECO III)
680 SCRA 236, G.R. No. 192945,
SEPTEMBER 05, 2012
Upon expiration of the provisional registration of
the cooperative with the Cooperative Development
Authority which granted it exemption for the
payment of local taxes, it can no longer claim
exemption after.
REMEDIAL LAW
Second Division
Execution of Judgment
JOSE VICENTE ATILANO II, HEIRS OF
CARLOS V. TAN represented by Conrad K.
Tan, Carlos K. Tan, Camilo Karl K. Tan,
Carisa Rosenda T. Go, NELIDA F.
ATILANO and ISIDRA K. TAN, vs. HON.
JUDGE TIBING A. ASAALI, Presiding Judge
of the Regional Trial Court of Zamboanga
City and ATLANTIC MERCHANDISING,
INC.,
680 SCRA 345, G.R. No.
174982, SEPTEMBER 10, 2012
Petitioners who had unpaid stock subscriptions to
ZACI, as its incorporators and stockholders were
total strangers to the civil case between ZACI and
respondent, and to order them to settle an
obligation which they persistently denied would be
tantamount to deprivation of their property
without due process.
CIVIL LAW
Second Division
Wills
G.R. No. 189984. November 12, 2012.*
IN THE MATTER OF THE PETITION
FOR THE PROBATE OF THE LAST WILL
AND TESTAMENT OF ENRIQUE S.
LOPEZ, RICHARD B. LOPEZ, petitioner,
vs. DIANA JEANNE LOPEZ, MARYBETH
DE LEON and VICTORIA L. TUAZON,
respondents.
The probate of the will cannot be allowed if there
is a failure to comply with the required statement in
the attestation clause as to the number of pages
used upon which the will is written. While the
acknowledgment portion stated that the will
consists of 7 pages including the page on which the
ratification and acknowledgment are written, the
RTC observed that it has 8 pages including the
acknowledgment portion. As such, it disallowed the
will for not having been executed and attested in
accordance with law.
LABOR LAW
Second Division
Permanent or temporary total disability
G.R. No. 195168. November 12, 2012.*
BENJAMIN C. MILLAN, petitioner, vs.
WALLEM MARITIME, SERVICES, INC.,
REGINALDO A. OBEN and/or WALLEM
SHIPMANAGEMENT,1 LTD., respondents.
A seafarer's inability to resume his work after the
lapse of more than 120 days from the time he
suffered an injury and/or illness is not a magic
wand that automatically warrants the grant of total
and permanent disability benefits in his favor.
POLITICAL LAW
Second Division
Agrarian Reform
G.R. No. 198770. November 12, 2012.*
AURELIA GUA-AN and SONIA GUA-AN
MAMON, petitioners, vs. GERTRUDES
QUIRINO, represented by ELMER
QUIRINO, respondent. Gua-an vs. Quirino,
685 SCRA 236, G.R. No. 198770 November 12,
2012
Despite the prohibition, farmer-beneficiaries who
engaged in transactions involving thetheir
ownership, rights, and/or possession of their
farms/home lots to other persons or have
surrendered the same to their former landowners
are therefore null and void. P.D. 27 specifically
prohibited any transfer of such landholding except
to the government or by hereditary succession.
POLITICAL LAW
En Banc
Writ of Amparo
G.R. No. 189689. November 13, 2012.*
IN THE MATTER OF THE PETITION
FOR THE ISSUANCE OF A WRIT OF
AMPARO IN FAVOR OF LILIBETH O.
LADAGA:
LILIBETH O. LADAGA, petitioner, vs. MAJ.
GEN. REYNALDO MAPAGU,
COMMANDING GENERAL OF THE
PHILIPPINE ARMY’S 10TH INFANTRY
DIVISION (ID); COL. LYSANDER
SUERTE, CHIEF OF STAFF, 10TH ID, LT.
COL. KURT A. DECAPIA, CHIEF, 10TH
ID, PUBLIC AFFAIRS OFFICE; COL.
OSCAR LACTAO, HEAD-TASK FORCE-
DAVAO; SR. SUPT. RAMON
APOLINARIO, DAVAO CITY POLICE
OFFICE DIRECTOR; AND SEVERAL
OTHER JOHN DOES, respondents.
A writ of Amparo may not be issued based on a
mere inclusion of one’s name in the OB List,
without more, does not suffice to discharge the
burden to establish actual threat to one’s right to
life, liberty and security by substantial evidence.
CIVIL LAW
Second Division
Fraud
G.R. No. 183774. November 14, 2012.*
PHILIPPINE BANKING CORPORATION,
petitioner, vs. ARTURO DY, BERNARDO
DY, JOSE DELGADO and CIPRIANA
DELGADO, respondent.
Sps. Delgado are estopped from denying the
validity of the mortgage constituted over the two
lots since they participated in inducing Philbank to
grant a loan to the Dys. Asimulated deed of sale is
null and void and therefore, does not convey any
right that could ripen into a valid title, it has been
equally ruled that, for reasons of public policy, the
subsequent nullification of title to a property is not
a ground to annul the contractual right which may
have been derived by a purchaser, mortgagee or
other transferee who acted in good faith.
REMEDIAL LAW
Second Division
Motion to Dismiss
G.R. No. 192951. November 14, 2012.*
ALDERSGATE COLLEGE, INC.,
ARSENIO L. MENDOZA, IGNACIO A.
GALINDEZ, WILSON E. SAGADRACA, and
FILIPINAS MENZEN, petitioners, vs.
JUNIFEN F. GAUUAN, ARTEMIO M.
VILLALUZ, SR., TERESITA ARREOLA,
FORTUNATA ANDAYA, SALVADOR C.
AQUINO, ROBERTO M. TUGAWIN and
JOSE O. RUPAC, respondents, and
ALDERSGATE COLLEGE, INC., DR.
WILLIE A. DAMASCO, REV. ELMER V.
LUNA, JEMZ R. LUDAN, SAMUEL V.
FULGENCIO, REV. ISMAEL A.
DAMASCO, VICENTE V. RAMEL,
SALVADOR C. AQUINO, CAMILO V.
GALLARDO, NORMALITA C. ORDONEZ,
and ARSENIO L. SOLIMEN, respondents-
intervenors.
There is no justification for the dismissal of the case
based on the mere issuance of a board resolution
by the incumbent members of the Board of
Trustees of petitioner-corporation recommending
its dismissal, especially considering the various
issues raised by the parties before the court a quo.
Hence, the RTC should not have entertained, let
alone have granted the subject motion to dismiss.
POLITICAL LAW
En Banc
Judicial Clemency
A.M. No. RTJ-96-1336. November 20, 2012.*
JOCELYN C. TALENS-DABON,
complainant, vs. JUDGE HERMIN E.
ARCEO, REGIONAL TRIAL COURT,
BRANCH 43, SAN FERNANDO,
PAMPANGA, respondent.
RE: PETITION FOR JUDICIAL
CLEMENCY OF THEN JUDGE HERMIN
E. ARCEO.
The court lifted the penalty of disqualification
imposed against the responding judge found guilty
of immorality after he showed his sincere
repentance and taking into account his
contributions during his tenure in the judiciary.
REMEDIAL LAW
En Banc
Moot and Academic
G.R. No. 200238. November 20, 2012.*
PHILIPPINE SAVINGS BANK (PSBANK)
and PASCUAL M. GARCIA III, as
representative of Philippine Savings Bank and
in his personal capacity, petitioners, vs.
SENATE IMPEACHMENT COURT,
consisting of the senators of the Republic of
the Philippines acting as Senator Judges,
namely: JUAN PONCE ENRILE, JINGGOY
EJERCITO ESTRADA, VICENTE C.
SOTTO III, ALAN PETER S. CAYETANO,
EDGARDO J. ANGARA, JOKER P.
ARROYO, PIA S. CAYETANO, FRANKLIN
M. DRILON, FRANCIS G. ESCUDERO,
TEOFISTO GUINGONA III, GREGORIO
B. HONASAN II, PANFILO M. LACSON,
MANUEL M. LAPID, LOREN B.
LEGARDA, FERDINAND R. MARCOS, JR.,
SERGIO R. OSMEÑA III, FRANCIS
“KIKO” PANGILINAN, AQUILINO
PIMENTEL III, RALPH G. RECTO,
RAMON REVILLA, JR., ANTONIO F.
TRILLANES IV, MANNY VILLAR; and
THE HONORABLE MEMBERS OF THE
PROSECUTION PANEL OF THE HOUSE
OF REPRESENTATIVES, respondents.
Petition for Certiorari and Prohibition seeking to
nullity and set aside the Resolution of respondent
Senate of the Republic of the Philippines cannot be
given due course. With the termination of the
impeachment proceedings against former Chief
Justice Corona, PSBank is no longer faced with the
dilemma of either violating Republic Act No. 6426
or being held in contempt of court for refusing to
disclose the details of the subject foreign currency
deposits.
LABOR LAW
Second Division
Dismissal
G.R. No. 170029. November 21, 2012.*
SAMEER OVERSEAS PLACEMENT
AGENCY, INC. and RIZALINA LAMSON,
petitioners, vs. MARICEL N. BAJARO,
PAMELA P. MORILLA, DAISY L.
MAGDAONG, LEAH J. TABUJARA, LEA
M. CANCINO, MICHIEL D. MELIANG,
RAQUEL SUMIGCAY, ROSE R. SARIA,
LEONA L. ANGULO and MELODY B.
INGAL, respondents.
Respondent’s illegal dismissal complaint with
money claims is anchored on the overseas
employment contracts with petitioners and the
allegations that they were dismissed without just,
valid, or authorized cause. With these allegations,
Sec.10 clearly applies. As petitioners failed to
establish valid retrenchment, respondent were
clearly dismissed without just, valid, or authorized
cause.
MERCANTILE LAW
Second Division
Trademarks
G.R. No. 192294. November 21, 2012.*
GREAT WHITE SHARK ENTERPRISES,
INC., petitioner, vs. DANILO M. CARALDE,
JR., respondent.
The visual dissimilarities between the two (2) marks
are evident and significant, negating the possibility
of confusion in the minds of the ordinary
purchaser, especially considering the distinct aural
difference between the marks. Thus, a generic
figure, as that of a shark in this case, if employed
and designed in a distinctive manner, can be a
registrable trademark device, subject to the
provisions of the IP Code.
POLITICAL LAW
Second Division Case
Agrarian Law
Sutton vs. Lim
686 SCRA 745, G.R. No. 191660, December 03,
2012
The controversy between the parties involving the
cancellation of Certification of Land Ownership
Award is within the jurisdiction of Office of the
DAR Secretary and not with the Department of
Agrarian Reform Adjudication Board due to the
absence of agrarian dispute between the parties.
CONSTITUTIONAL LAW
Second Division
Acquisition of Lands
Beumer vs. Amores
686 SCRA 770, G.R. No. 195670, December 03,
2012
A foreigner who was well aware of the
constitutional prohibition for aliens to acquire
lands in the Philippines cannot invoke equity to
support his claim for reimbursement for money
spent on purchase of Philippine land, on the
ground that his conduct is inequitable, unfair and
dishonest, or fraudulent or deceitful, because he
who has done inequity shall not be accorded equity.
MERCANTILE LAW
Second Division
Corporate Agents
Crisologo vs. People
686 SCRA 782, G.R. No. 199481, December 03,
2012
The President, who on behalf of the corporation
incurred debt to the bank cannot be held personally
liable since debts incurred by directors, officers,
and employees acting as corporate agents are not
their direct liability but of the corporation they
represent, except if they contractually
agree/stipulate or assume to be personally liable for
the corporation’s debts.
REMEDIAL LAW
Second Division
Burden Of Proof
Crisologo vs. People
686 SCRA 782, G.R. No. 199481, December 03,
2012
The alleged excessive interests and purported
overpayment exacted by the bank against the
corporation cannot be refunded, because the
petitioner failed to submit evidence to support his
claim. The burden rests on the debtor to prove
payment rather than on the creditor to prove
nonpayment.
CIVIL LAW
Second Division Case
Negligence
Sps. Mamaril vs. The Boy Scout of the
Philippines, 688 SCRA 437, G.R. No. 179382.,
January 14, 2013
The liability for the negligent act of the security
guards in allowing an unidentified person to drive
out the lost vehicle of Sps. Mamaril, which is the
proximate cause of the loss, attaches to AIB, the
employer agency, and not to its client, BSP.
CIVIL LAW
Second Division
Contracts
Mamaril vs. The Boy Scout of the Philippines,
688 SCRA 437, G.R. No. 179382., January 14,
2013
The contract between the parties is one of a lease
because of the petitioner’s act of parking six (6)
jeepneys inside the BSP compound at a fixed
amount. BSP shall not be liable for the loss of the
vehicles of petitioner within its compound since the
lessor is not obliged to answer for a mere act of
trespass which a third person may cause on the use
of the thing leased.
POLITICAL LAW
Second Division
Administrative Law
Ong vs. Basiya-Saratan
688 SCRA 1, A.M. No. P-12-3090, January 07,
2013
The Clerk of Court’s repeated and unjustifiable
failure to issue alias writs of execution despite
directives from the RTC, notwithstanding his
primary responsibility of speedy and efficient
service of all court processes and writs, warrants the
imposition of administrative sanction.
POLITICAL LAW
En Banc
Administrative Law
Re: Complaint of Leonardo A. Velasco againts
Associate Justices Francisco H. Villaruz, Jr.,
Alex L. Quiroz and Samuel R. Martires of the
Sandiganbayan
688 SCRA 498, A.M. OCA I.P.I. No. 10-25-SB-
J., January 15, 2013
The Sandiganbayan Justices shall immediately
execute the judgment of conviction of the accused
in the absence of any restraining order from the
court, and unduly delaying such execution may be
a ground for an administrative charge against them.
POLITICAL LAW
En Banc
Administrative Law
Re: Verified Complaint of AMA Land, Inc.
Against Hon. Danton Q. Bueser, Hon.
Sesinando E. Villon and Hon. Ricardo R.
Rosario, Associate Justice of the Court of
Appeals
688 SCRA 507, A.M. OCA I.P.I. No. 12-202-
CA-J, January 15, 2013
The petitioner cannot resort to administrative
remedies against the concerned Justices of the
Court of Appeals pending the petition for review
filed by him before the court because exhaustion of
judicial remedies and the final ruling on the matter
are pre-requites in taking appropriate
administrative remedies against the Justices
concerned.
CRIMINAL LAW
Second Division
RA 9262
Dabalos vs. Regional Trial Court, Branch 59,
Angeles City (Pampanga)
688 SCRA 64, G.R. No. 193960, January 07,
2013
Petitioner who had previous dating relationship
with the complainant shall be charged with
violation of RA 9262 (Anti-Violence Against
Women and Their Children Act of 2004) for using
personal violence on the latter although at the time
of the alleged incident, he was no longer in a dating
relationship with the complainant, because it is not
indispensable that the act of violence be a
consequence of such relationship.
REMEDIAL LAW
Second Division
Amendment
Dabalos vs. Regional Trial Court, Branch 59,
Angeles City (Pampanga)
688 SCRA 64, G.R. No. 193960, January 07,
2013
Before the arraignment of the accused petitioner,
the Information filed against him can be amended
for the Rules of Court provides that an information
may be amended, in form or in substance, without
leave of court, at any time before the accused enters
his plea.
REMEDIAL LAW
Second Division
Contempt
Rivulet Agro-Industrial Corporation vs.
Paruñgao,
688 SCRA 485, G.R. No. 197507, January 14,
2013
The act of the respondents in installing farmer-
beneficiaries cannot be a basis to be cited for
contempt of court because it is not contrary to or
prohibited by the order of the court considering
that they were not among the government officials
enjoined by the TRO and the subject act was not
included in the acts enjoined.
POLITICAL LAW
Second Division
Right to Counsel
Gontang vs. Alayan
688 SCRA 659, G.R. No. 191691, January 16,
2013
The mayor, sued in his official capacity may engage
the services of a private counsel because the
complaint contains a prayer for damages wherein
personal liability may attach to him.
ADMINISTRATIVE LAW
En Banc
Public Officials
VELASCO VS. COMMISSION ON AUDIT
681 SCRA 102, G.R. No. 189774,
SEPTEMBER 18, 2012
The blatant failure of the petitioners to abide by the
orders laid down in AO 161 which rationalize the
grant of productivity incentive benefits under a
uniform set of rules amounts to gross negligence
making them liable for the refund of the said
benefits they received.
POLITICAL LAW
Second Division
Administrative Law
DIONISIO P. PILOT, vs. RENATO B.
BARON, SHERIFF IV, REGIONAL TRIAL
COURT, BRANCH 264, PASIG CITY
681 SCRA 481, A.M. No. P-12-3087,
SEPTEMBER 24, 2012
Sheriffs as ministerial officers are expected to
faithfully perform what is incumbent upon him
even in the absence of instruction and respondent
violated such duty when he failed to observe the
proper procedure in collecting execution expenses
and conducting an execution sale.
LABOR LAW
Second Division
Termination of Employment
THE NEW PHILIPPINE SKYLANDERS,
INC. and/or JENNIFER M. EÑANO-
BOTE, vs. FRANCISCO N. DAKILA
 681 SCRA 658, G.R. No. 199547,
SEPTEMBER 24, 2012
Dakila was illegally dismissed a day before his
compulsory retirement, thus his backwages are
computed only for days prior to his retirement
which is only one day, he is entitled to the payment
of his retirement benefits in accordance to the CBA
and his reinstatement is no longer feasible.
TAXATION
Second Division
Tax Amnesty
ASIA INTERNATIONAL AUCTIONEERS,
INC., vs. COMMISSIONER OF INTERNAL
REVENUE
682 SCRA 49, G.R. No. 179115, SEPTEMBER
26, 2012
CIR deems AIA to be disqualified of availing tax
amnesty because AIA is a withholding agent that
failed to withhold or remit the deficiency VAT and
excise tax to the BIR but the court ruled that
indirect taxes like VAT and excise tax are different
from withholding taxes.
REMEDIAL LAW
Second Division
Indispensable Parties
LIVING @ SENSE, INC., vs. MALAYAN
INSURANCE COMPANY, INC.,
682 SCRA 59, G.R. No. 193753, SEPTEMBER
26, 2012
The nature of the solidary obligation under the
surety does not make one an indispensable party
and even if DMI was an indispensable party, failure
to implead such an indispensable party is not a
ground for the dismissal of an action.
REMEDIAL LAW
Second Division
Appeals
Borromeo vs. Mina
697 SCRA 516, G.R. No. 193747, June 05, 2013
The petitioner who averred that his claim to
ownership on the land is based on the 1982 deed of
sale and decided by the lower courts cannot be
permitted to change such theory on appeal.
REMEDIAL LAW
Second Division
Civil Procedure
Kapisanang Pagkaunlaran ng Kababaihang
Potrero, Inc. vs. Barreno
698 SCRA 79, G.R. No. 175900
June 10, 2013
Respondents’ filing of Complaint before DOLE
for underpayment of wages and non-payment of
labor standards benefits and their filing of
Complaint before the NLRC for illegal dismissal
with prayer for reinstatement and payment of
money claims do not constitute forum shopping
because there is no identity of causes of action
between the cases pending with the DOLE and the
NLRC.
REMEDIAL LAW
Second Division
Probable Cause
Alberto vs. Court of Appeals
699 SCRA 104, G.R. No. 182130, June 19, 2013
DOJ Secretary gravely abused his discretion in
finding probable cause for the crime of Serious
Illegal Detention because there is no evidence to
support a finding that Iris was illegally detained or
restrained of her movement and on the contrary,
Iris was seen freely roaming in public with Gil,
which negates the essential element of deprivation
of liberty.
REMEDIAL LAW
Second Division
Evidence
Alberto vs. Court of Appeals
699 SCRA 104, G.R. No. 182130, June 19, 2013
DOJ Secretary gravely abused his discretion in
finding probable cause for the crime of Forcible
Abduction with Rape because there is no evidence
to prove that Iris was restrained of her liberty
during the period of her alleged captivity, and the
element of lewd designs, which characterizes all
crimes against chastity was absent.
REMEDIAL LAW
Second Division
Appeals
Bases Conversion Development Authority vs.
Reyes
699 SCRA 217, G.R. No. 194247, June 19, 2013
Court of Appeals is precluded from considering the
second and fourth issues raised for the first time by
the petitioners for the reconsideration of RTC’s
Order because such issues were neither alleged not
raised during proceedings below.
POLITICAL LAW
Second Division
Agrarian Law
Borromeo vs. Mina
697 SCRA 516, G.R. No. 193747, June 05, 2013
The sale of Garcia of the property to petitioner,
who is not a tenant-beneficiary, in 1982 is null and
void for being contrary to law, since the subject
property is under the coverage of P.D. No. 27
which forbids the transfer or alienation of covered
agricultural lands after October 21, 1972 except to
tenant beneficiary.
REMEDIAL LAW
Second Division
Agrarian Law
Land Bank of the Philippines vs. Palmares
698 SCRA 655, G.R. No. 192890, June 17, 2013
The court cannot base its computation for just
compensation on a different formula without
taking into full consideration the factors set forth
in RA 6657 (Comprehensive Agrarian Reform
Law).
CIVIL LAW
Second Division
Property
Second Division Case; Civil Law
Borromeo vs. Mina
697 SCRA 516, G.R. No. 193747, June 05, 2013
The petitioner cannot assert any right over the
subject property (e.g. right to file a petition for
landholding exemption) because his title springs
from a null and void contract.
LABOR LAW
Second Division
Dismissals
Surigao del Norte Electric Cooperative, Inc.
vs. Gonzaga
698 SCRA 103, G.R. No. 187722, June 10, 2013
Gonzaga’s gross and habitual neglect of duties and
responsibilities, serious misconduct,
misappropriation of Rural Electric Cooperative
(REC) funds and failure to remit
collections/monies to the petitioner warrant the
former’s dismissal from employment under the
Labor Code.
CRIMINAL LAW
Second Division
Promise to Marry
Caballo vs. People
698 SCRA 227, G.R. No. 198732, June 10, 2013
Caballo’s repeated assurance of love and promise
to marry AAA in order to convince the latter to
have a sexual intercourse with him constitute overt
acts of coercion and influence under RA 7610
(Special Protection of Children Against Child
Abuse, Exploitation and Discrimination Act).
CRIMINAL LAW
Second Division
RA 7610
Second Division Case; Criminal Law
Caballo vs. People
698 SCRA 227, G.R. No. 198732, June 10, 2013
Caballo shall be convicted for violation of RA 7610
(Special Protection of Children Against Child
Abuse, Exploitation and Discrimination Act) for
convincing AAA, a 17-year-old minor, to have
sexual intercourse with him through coercion and
influence, and the fact that parties were sweethearts
when they engaged in sexual intercourse is
irrelevant because consent is immaterial in cases
involving violation of RA 7160.
LEGAL ETHICS
En Banc
Code of Professional Responsibility
Abella vs. Barrios, Jr.
698 SCRA 683, Adm. Case No. 7332 , June 18,
2013
Labor Arbiter’s extortion of money from the
complainant as a condition for the former to act on
the latter’s Motion for Execution constitutes gross
immoral conduct and gross misconduct under the
Code of Professional Responsibility.
POLITICAL LAW
En Banc
Election Law
Jalosjos vs. Commission on Elections
698 SCRA 742, G.R. No. 205033, June 18, 2013
Jalosjos is disqualified to run for public office
because his sentence carries an accessory penalty of
perpetual absolute disqualification which is
continuously suffered by the person previously
convicted unless the said accessory penalty shall
have been expressly remitted in pardon.
POLITICAL LAW
En Banc
Equal Protection Clause
Garcia vs. Drilon
699 SCRA 352, G.R. No. 179267, June 25, 2013
R.A. No. 9262 (Anti-Violence Against Women and
Their Children Act) does not violate the equal
protection clause on the following grounds: (1) the
law rests on substantial distinctions justified by the
unequal power relationship between men and
women and the fact that women are more likely
than men to be victims of violence; (2) the
classification is germane to the purpose of the law
which is to address violence committed against
women and their children; (3) the classification is
not limited to existing conditions because it was
promulgated also for future conditions for as long
it relates to security of women and their children
against violence; and (4) the law applies to all
members because it applies equally to all women
and children who suffer violence and abuse.
LABOR LAW
Second Division
Work-related Illness
Inter-Orient Maritime, Incorporated vs.
Candava
700 SCRA 174, June 26, 2013
Joselito contracted his illness in the course of
employment. It cannot also be denied that the same
was aggravated during the same period. Thus, there
was a clear causal connection between such illness
and his eventual death, making his death
compensable.
CONSTITUTIONAL LAW
Second Division
Simple Misconduct
Abulencia vs Hermosisima
699 SCRA 576, June 26, 2013
Respondent’s act of hurling invectives on the
complainants during office hours and within the
court premises was correctly held to be a case of
simple misconduct.
REMEDIAL LAW
Second Division
Probable Cause
De Los Santos-Dio vs. Court of Appeals,
699 SCRA 614, G.R. No. 178947 June 26, 2013
A judge is not bound by the resolution of the public
prosecutor who conducted the preliminary
investigation and must himself ascertain from the
latter’s findings and supporting documents whether
probable cause exists for the purpose of issuing a
warrant of arrest.
REMEDIAL LAW
Second Division
Appeals
Philippine Airlines, Inc. vs. Commissioner of
Internal Revenue
700 SCRA 322, G.R. No. 198759 July 1, 2013
When the trial court had already received all the
evidence of the parties, the Court may resolve the
case on the merits instead of remanding them in the
interest of expediency and to better serve the ends
of justice.
REMEDIAL LAW
Second Division
Preliminary Attachment
Lim vs Lazaro
G.R. No. 185734, July 3, 2013
The provisional remedy of the issuance of a writ of
preliminary attachment was improperly lifted
because even though the case was already closed
based on the compromise agreement between the
parties, that the said lien continues until the debt is
paid, or the sale is had under execution issued on
the judgment or until the judgment is satisfied, or
the attachment discharged or vacated in the same
manner provided by law.
LEGAL ETHICS
Second Division
Gross Negligence
Cabanes, Jr.,
700 SCRA 734, A.C. No. 7749 July 8, 2013
Atty. Cabanes was suspended from the practice of
law for his failure to file his pre-trial brief as well as
to attend the scheduled hearings constitutes
negligence.
LABOR LAW
Second Division
Termination of Employment
PNOC-Energy Development Corporation vs.
Estrella
700 SCRA 767, G.R. No. 197789 July 8, 2013
Neither do the text messages sent to Jacobe
predicate any corrupt motive on Estrella’s part
since the causal connection between these
messages and the conduct of Estrella’s bid
inspection and/or approval was not adequately
shown.
CIVIL LAW
Second Division
Succession
Heirs of Magdaleno Ypon vs. Ricaforte,
700 SCRA 778, G.R. No. 198680 July 8, 2013
Matters relating to the rights of filiation and
heirship must be ventilated in the proper probate
court in a special proceeding instituted precisely for
the purpose of determining such rights. Hence, the
status of an illegitimate child who claimed to be an
heir to a decedent’s estate could not be adjudicated
in an ordinary civil action which, as in this case, was
for the recovery of property.
REMEDIAL LAW
Second Division
Judgment
Coscolluela vs. Sandiganbayan
701 SCRA 188, G.R. No. 191411 July 15, 2013
Petitioners could not have urged the speedy
resolution of their case because they were
completely unaware that the investigation against
them was still on-going or at most has been
declared dismissed.
LABOR LAW
Second Division
Termination of Employment
Martinez vs. Central Pangasinan
Coorperatuin,
701 SCRA 205, G.R. No. 192306 July 15, 2013
Martinez’s failure to properly account for his
shortage of such a significant amount is enough
reason for CENPELCO to lose trust and
confidence in him. Hence, a ground for valid
dismissal of an employee.
REMEDUAL LAW
Second Division
Forcible Entry
Philippine Tourism Authority vs. Sabandal-
Herzenstiel
701 SCRA 517, G.R. No. 196741 July 17, 2013
In an action for forcible entry, the plaintiff must
prove that he was in prior possession of the
disputed property and that the defendant deprived
him of his possession. Suffice it to state that
possession in the eyes of the law does not mean
that a man has to have his feet on every square
meter of the ground before he is deemed in
possession.
LABOR LAW
En Banc
Termination of Employment
Abbott Laboratories, Philippines vs. Alcaraz
701 SCRA 682, G.R. No. 192571 July 23, 2013
A probationary employee may also be terminated
for failure to qualify as a regular employee in
accordance with the reasonable standards made
known by the employer to the employee at the time
of the engagement.
POLITICAL LAW
Second Division
Local Government Code
Province of Cagayan vs. Lara
702 SCRA 183, G.R. No. 188500 July 24, 2013
In order for an entity to legally undertake a
quarrying business, he must first comply with all
the requirements imposed not only by the national
government, but also by the local government unit
where his business is situated.
Republic vs. De Asis, Jr.
702 SCRA 258, G.R. No. 193874 July 24, 2013
SECOND DIVISION
Civil Law|Reconstitution of Titles
Reconstitution must be granted only upon clear
proof that the title sought to be restored had
previously existed and was issued to the petitioner.
Strict compliance with the requirements of the law
aims to thwart dishonest parties from abusing
reconstitution proceedings as a means of illegally
obtaining properties otherwise already owned by
other parties.
MERCANTILE LAW
Second Divisiom
Corporate Rehabilitation
Bank of the Philippine Islands vs. Sarabia
Manor Hotel Corporation
702 SCRA 432, G.R. No. 175844 July 29, 2013
Rehabilitation plan may be approved even over the
opposition of the creditors holding a majority of
the corporation’s total liabilities if there is a
showing that rehabilitation is feasible and the
opposition of the creditors is manifestly
unreasonable.
TAXATION LAW
Second Division
Tax Declaration
Heirs of Alejandra Delfin vs. Rabadon
702 SCRA 587, G.R. No. 165014 July 31, 2013
The tax declarations and tax receipts are
insufficient to prove petitioner’s proffered theory
that their predecessor-in-interest was the lawful
possessor and owner of the foregoing property
even before the last World War. Hence, the failure
to prove the legitimacy of Remegio’s possession
and ownership since they failed to present the
pertinent deed of sale or any other evidence of the
latter’s title.
REMEDIAL LAW
Second Division
Appeals
Lihaylihay vs. People
702 SCRA 755, G.R. No. 191219 July 31, 2013
Issues brought to the Court on whether the
prosecution was able to prove the guilt of the
accused beyond reasonable doubt, whether the
presumption of innocence was sufficiently
debunked, whether or not conspiracy was
satisfactorily established, or whether or not good
faith was properly appreciated, are all, invariably,
questions of fact. Hence, absent any of the
recognized exceptions to the above-mentioned
rule, the Sandiganbayan’s findings on the foregoing
matters should be deemed as conclusive.
REMEDIAL LAW
Second Division
Grave Abuse of Discretion
Secretary of the Department of Finance vs.
Court of Tax Appeals
703 SCRA 187, G.R. No. 168137 August 7, 2013
An act of a court or tribunal can only be considered
to be tainted with grave the abuse of discretion
must be so patent or gross as to constitute an
evasion of a positive duty or a virtual refusal to
perform the duty or to act at all in contemplation
of law. Finding that this characterization does not
fit the CTA’s exercise of discretion in this case, the
Court holds that no grave abuse of discretion
attended its grant of KCTMPC’s motion to release.
CIVIL LAW
Second Division
Property Relations
Tan vs. Andrade
703 SCRA 198, G.R. No. 171904 August 7, 2013
There must be strict proof of the exclusive
ownership of one of the spouses, and the burden
of proof rests upon the party asserting it.
Otherwise, all property of the marriage is presumed
to belong to the conjugal partnership.
REMEDIAL LAW
Second Division
Grave Abuse of Discretion
The Law Firm of Chavez Miranda and
Aseoche vs. Fria
703 SCRA 258, August 07, 2013
The abuse of discretion must be so patent and gross
as to amount to an evasion of a positive duty or to
a virtual refusal to perform a duty enjoined by law,
or to act at all in contemplation of law, as where the
power is exercised in an arbitrary and despotic
manner by reason of passion and hostility.
CIVIL LAW
Second Division
Contracts To Sell
FREDERICK VENTURA, MARITES
VENTURA-ROXAS, and PHILIP
VENTURA (HEIRS OF DECEASED
DOLORES C. VENTURA), vs. HEIRS OF
SPOUSES EUSTACIO T. ENDAYA and
TRINIDAD L. ENDAYA, namely, TITUS L.
ENDAYA, ENRICO L. ENDAYA, and
JOSEPHINE ENDAYA-BANTUG
706 SCRA 631, G.R. No. 190016, OCTOBER
02, 2013
While the quality of contingency inheres in a
contract to sell, the same should not be confused
with a conditional contract of sale. In a contract to
sell, the fulfillment of the suspensive condition will
not automatically transfer ownership to the buyer
although the property may have been previously
delivered to him. The prospective seller still has to
convey title to the prospective buyer by entering
into a contract od absolute sale. On the other hand,
in a conditional contract of sale, the fulfillment of
the suspensive condition renders the sale absolute
and the previous delivery of the property has the
effect of automatically transferring the seller’s
ownership or title to the property to the buyer.
LEGAL ETHICS
En Banc
Practice of Law
MARIA CRISTINA ZABALJAUREGUI
PITCHER, vs. ATTY. RUSTICO B.
GAGATE
707 SCRA 13, A.C. No. 9532, OCTOBER 08,
2013
The Court observes that, in the present case,
complainant was subjected to a grave injury as she
was subjected to a graver injury as she was
prosecuted for the crime of grave coercion largely
due to the advice of respondent. Were it not for
respondent’s imprudent counseling, not to mention
his act of abandoning his client during the
proceedings, complainant would not have unduly
suffered the harbors of a criminal prosecution. The
Court finds it apt to impose against respondent a
higher penalty of suspension from the practice of
law for a period of three years as recommended by
the OBC.
CONSTITUTIONAL LAW
En Banc
House of Representatives Electoral Tribunal
WIGBERTO R. TAÑADA, JR., vs.
COMMISSION ON ELECTIONS,
ANGELINA D. TAN, AND ALVIN JOHN S.
TAÑADA
708 SCRA 188 G.R. Nos. 207199-200,
OCTOBER 22, 2013
Case law states that the proclamation of a
congressional candidate following the election
divests the COMELEC of jurisdiction over
disputes relating to the election, returns, and
qualifications of the proclaimed representative in
favor of the HRET. Considering that Angelina had
already been proclaimed as Member of the House
of Representatives for the 4th District of Quezon
Province, the Court is now without jurisdiction to
resolve the case at bar.
REMEDIAL LAW
Second Division
Provisional Remedies
OFFICE OF THE OMBUDSMAN
(VISAYAS), vs. COURT OF APPEALS and
BERMELA A. GABUYA
708 SCRA 523 G.R. No. 189801, OCTOBER
23, 2013
The ancillary remedy of preliminary injunction
cannot exist except only as part of an independent
action or proceeding. Thus, since the CA already
remanded the case to the Ombudsman for the
purpose of resolving Gabuya’s pending motion for
reconsideration, the writ of preliminary injunction
issued by it, absent any countervailing justification
therefor, must be dissolved.
LEGAL ETHICS
Second Division
Attorneys
AZUCENA SEGOVIA-RIBAYA, vs. ATTY.
BARTOLOME C. LAWSIN
709 SCRA 287, A.C. No. 7965, NOVEMBER
13, 2013
A lawyer’s duty to his client is one essentially
imbued with trust so much so that it is incumbent
upon the former to exhaust all reasonable efforts
towards its faithful compliance. In this case, despite
that singular encounter, respondent had thereafter
all the opportunity to return the subject amount but
still failed to do so. Besides, the obligatory force of
said duty should not be diluted by the temperament
or occasional frustrations of the lawyer’s client,
especially so when the latter remains unsatisfied by
the lawyer’s work.
REMEDIAL LAW
Second Division
Recantations
PEOPLE OF THE PHILIPPINES, vs.
P/SUPT. ARTEMIO E. LAMSEN, PO2
ANTHONY D. ABULENCIA, and SPO1
WILFREDO L. RAMOS
709 SCRA 522, G.R. No. 198338,
NOVEMBER 13, 3013
The rule is settled that in cases where previous
testimony is retracted and a subsequent different, if
not contrary, testimony is made by the same
witness, the test to decide which testimony to
believe is one of comparison coupled with the
application of the general rules of evidence. A
testimony solemnly given in court should not be set
aside and disregarded lightly, and before this can be
done, both the previous testimony and the
subsequent one should be carefully compared and
juxtaposed, the circumstances under which each
was made, carefully and keenly scrutinized, and the
reasons or motives for the change discriminatingly
analyzed.
CONSTITUTIONAL LAW
En Banc
Separation of Powers
GRECO ANTONIOUS BEDA B. BELGICA,
JOSE M. VILLEGAS, JR., JOSE L.
GONZALEZ, REUBEN M. ABANTE, and
QUINTIN PAREDES SAN DIEGO, vs.
HONORABLE EXECUTIVE SECRETARY
PAQUITO N. OCHOA, JR., SECRETARY
OF BUDGET AND MANAGEMENT
FLORENCIO B. ABAD, NATIONAL
TREASURER ROSALIA V. DE LEON,
 SENATE OF THE PHILIPPINES,
represented by FRANKLIN M. DRILON in
his capacity as SENATE PRESIDENT, and
HOUSE OF REPRESENTATIVES,
represented by FELICIANO S.
BELMONTE, JR. in his capacity as
SPEAKER OF THE HOUSE
710 SCRA 1, G.R. No. 208566, NOVEMBER
19, 2013
Post-enactment measures which govern the areas
of project identification, fund release and fund
realignment are not related to functions of
congressional oversight and, hence, allow
legislators to intervene and/or assume duties that
properly belong to the sphere of budget execution.
From the moment the law becomes effective, any
provision of law that empowers Congress or any of
its members to pay any role in the implementation
or enforcement of the law violates the principle of
separation of powers and is thus unconstitutional.
REMEDIAL LAW
Second Division
Judgment on the Pleadings
GOVERNMENT SERVICE INSURANCE
SYSTEM, vs. PRUDENTIAL GUARANTEE
AND ASSURANCE, INC.,
DEVELOPMENT BANK OF THE
PHILIPPINES, and LAND BANK OF THE
PHILIPPINES
710 SCRA 337, G.R. No. 165585, November 20,
2013
Judgment on the pleadings is appropriate when an
answer fails to tender an issue, or otherwise admits
the material allegations of the adverse party’s
pleasing. It is a form of judgment that is exclusively
based on the submitted pleadings without the
introduction of evidence as the factual issues
remain uncontroverted.
MERCANTILE LAW
Second Division
Trademarks
BIRKENSTOCK ORTHOPAEDIE GMBH
AND CO. KG (formerly BIRKENSTOCK
ORTHOPAEDIE GMBH), vs. PHILIPPINE
SHOE EXPO MARKETING
CORPORATION
710 SCRA 474, G.R. No. 194307, NOVEMBER
20, 2013
It is not the application or registration of a
trademark that vests ownership thereof, but it is the
ownership of a trademark that confers the right to
register the same. A trademark is an industrial
property over which its owner is entitled to
property rights which cannot be appropriated by
unscrupulous entities that, in one way or another,
happen to register such trademark ahead of its true
and lawful owner. The presumption of ownership
accorded to a registrant must then necessarily yield
to superior evidence of actual and real ownership
of a trademark.
POLITICAL LAW
Second Division
Right of Retention
HEIRS OF ROMULO D. SANDUETA,
namely: GLORIA SANDUETA ELOPRE,
HEIRS OF JOSEPHINE S. NADALA,
represented by ROY S. NADALA,
HOFBOWER SANDUETA, NERISA
SANDUETA MICUBO, OSCAR
SANDUETA, MARILYN SANDUETA
VELASCO, RONALD SANDUETA, and
NAPOLEON SANDUETA, vs. DOMINGO
ROBLES, HEIRS OF TEODORO ABAN,
namely: NERIO ABAN, VIRGINIO ABAN,
SUSANA ABAN, and DAVID ABAN; HEIRS
OF EUFRECENA** GALEZA, namely:
CESAR GALEZA, NESTOR GALEZA,
ANGELA GALEZA, JUSTO GALEZA, KIA
GALEZA PONCE, PORFERIA GALEZA
NALZARO, ROSARIO GALEZA VELASCO,
HERMINIA GALEZA GUERRERO, and
NONA GALEZA NACARIO
710 SCRA 491, G.R. No. 203204, NOVEMBER
20, 2013
The right of retention, as protected and enshrined
in the Constitution, balances the effects of
compulsory land acquisition by granting the
landowner the right to choose the area to be
retained subject to legislative standards. Since the
right is granted to limit the effects of compulsory
land acquisition, it is a prerequisite that the land
falls under the coverage of the Operation Land
Transfer Program of the government. If the land is
beyond the ambit of the OLT Program, the
landowner need not apply for retention since the
appropriate remedy would be to apply for
exemption.
LEGAL ETHICS
Second Division
Attorneys
FELIPE C. DAGALA, vs. ATTY. JOSE C.
QUESADA, JR. and ATTY. AMADO T.
ADQUILEN
711 SCRA 206, A.C. No. 5044, DECEMBER
02, 2013
A retained counsel is expected to serve the client
with competence and diligence and not to sit idly
by and leave the rights of his client in a state of
uncertainty. He is oblige to attend scheduled
hearings or conferences, prepare and file the
required pleadings, prosecute the handled cases
with reasonable dispatch, and urge their
termination without waiting for the client or the
court to prod him or her to do so. The appropriate
penalty on an errant lawyer depends on the exercise
of sound judicial discretion based on the
surrounding facts.
CIVIL LAW
Second Division
Property
LAURA E. PARAGUYA, vs. SPOUSES
ALMA ESCUREL-CRUCILLO and
EMETERIO CRUCILLO, and the
REGISTER OF DEEDS OF SORSOGON
711 SCRA 275, G.R. No. 200265, DECEMBER
02, 2013
It is an established rule that a Torrens certificate of
title is not conclusive proof of ownership. A party
may seek its annulment on the basis of fraud or
misrepresentation. However, such action must be
seasonably filed, else the same would be barred.
The period to contest a decree of registration shall
be one (1) year from the date of its entry and that,
after the lapse of the said period, the Torrens
certificate of title issued thereon becomes
incontrovertible and indefeasible.
CIVIL LAW
Second Division
Fortuitous Event
METRO CONCAST STEEL
CORPORATION, SPOUSES JOSE S.
DYCHIAO AND TIU OH YAN, SPOUSES
GUILLERMO AND MERCEDES
DYCHIAO, AND SPOUSES VICENTE
AND FILOMENA DYCHIAO, vs. ALLIED
BANK CORPORATION
711 SCRA 479, G.R. No. 177921, DECEMBER
04, 2013
Fortuitous events by definition are extraordinary
event not foreseeable or avoidable. It is therefore
not enough that the event should not have been
foreseen or anticipated, as is commonly believed
but it must be one impossible to foresee or to
avoid. The mere difficulty to foresee the happening
is not impossibility to foresee the same. To
constitute a fortuitous event, the following
elements must concur: (a) the cause of the
unforeseen and unexpected occurrence or of the
failure of the debtor to comply with obligations
must be independent of human will; (b) it must be
impossible to foresee the event that constitutes the
caso fortuito or, if it can be foreseen, it must be
impossible to avoid; (c) the occurrence must be
such as to render it impossible for the debtor to
fulfill obligations in a normal manner; and, (d) the
obligor must be free from any participation in the
aggravation of the injury or loss.
CIVIL LAW
Second Division
Maceda Law
OPTIMUM DEVELOPMENT BANK, vs.
SPOUSES BENIGNO V. JOVELLANOS and
LOURDES R. JOVELLANOS
711 SCRA 548, G.R. No. 189145, DECEMBER
04, 2013
In a contract to sell, the prospective seller binds
himself to sell the property subject of the
agreement exclusively to the prospective buyer
upon fulfillment of the condition agreed upon
which is the full payment of the purchase price but
reserving to himself the ownership of the subject
property despite delivery thereof to the prospective
buyer. The unlawful detainer suit for illegally
withholding possession of the subject property is
premised upon the cancellation or termination of
the Contract to Sell. Nonpayment of the
installments due had rendered the Contract to Sell
without force and effect, thus depriving the latter
of their right to possess the property.
LABOR LAW
Second Division
Substantial Evidence
 XAVIER C. RAMOS, vs. BPI FAMILY
SAVINGS BANK, INC. and ALFONSO L.
SALCEDO, JR.
711 SCRA 590, G.R. No. 203186, DECEMBER
04, 2013
In cases files before administrative or quasi-judicial
bodies, a fact may be deemed established if it is
supported by substantial evidence, or that amount
of relevant evidence which a reasonable mind
might accept as adequate to justify a conclusion.
LABOR LAW
Second Division
Damages
SANGWOO PHILIPPINES, INC.
EMPLOYEES UNION OLALIA, represented
by PORFERIA SALIBONGCOGON, vs.
SANGWOO PHILIPPINES, INC. and/or
SANG IK JANG, JISSO JANG, WISSO JANG,
and NORBERTO TADEO
711 SCRA 618, G.R. No. 173229, DECEMBER
09, 2013
It is well to stress that while SPI had a valid ground
to terminate its employees, i.e., closure of business,
its failure to comply with the proper procedure for
termination renders it liable to pay the employee
nominal damages for such omission. An employer
which has a valid cause for dismissing its employee
but conducts the dismissal with procedural
infirmity is liable to pay the employee nominal
damages. However, case law exhorts that in
instances where the payment of such damages
becomes impossible, unjust, or too burdensome,
modification becomes necessary in order to
harmonize the disposition with the prevailing
circumstances.
REMEDIAL LAW
Second Division
Forum Shopping
PHILIPPINE POSTAL CORPORATION,
vs. COURT OF APPEALS and CRISANTO
G. DE GUZMAN
711 SCRA 632, G.R. No. 173590, December 09,
2013
De Guzman was also guilty of forum-shopping by
pursuing two (2) separate remedies – petition for
certiorari and appeal – that have long been held to
be mutually exclusive, and not alternative or
cumulative remedies. By failing to inform the Court
of Appeals of his subsequent filing of a notice of
appeal before the Philippine Postal Corporation,
De Guzman committed a violation of his
certification against forum-shopping with the
Court of Appeals, which has been held to be a
ground for dismissal of an action distinct from
forum-shopping itself.
CIVIL LAW
Second Division
Novation
ACE FOODS, INC., vs. MICRO PACIFIC
TECHNOLOGIES CO., LTD.,[1]
712 SCRA 679, G.R. No. 200602, DECEMBER
11, 2013
Novation in its broad concept, may either be
extinctive or modificatory. It is extinctive when an
old obligation is terminated by the creation of a
new obligation that takes place of the former; it is
merely modificatory when the old obligation
subsists to the extent it remains compatible with
the amendatory agreement. In either case, however,
novation is never presumed, and the animus novandi,
whether totally or partially, must appear by express
agreement of the parties, or by their acts that are
too clear and unequivocal to be mistaken.
REMEDIAL LAW
Second Division
Contempt
LETICIA P. LIGON, vs. THE REGIONAL
TRIAL COURT, BRANCH 56 AT MAKATI
CITY AND ITS PRESIDING JUDGE,
JUDGE REYNALDO M. LAIGO, SHERIFF
IV LUCITO V. ALEJO, ATTY. SILVERIO
GARING, MR. LEONARDO J. TING, AND
MR. BENITO G. TECHICO
717 SCRA 373, G.R. No. 190028, FEBRUARY
26, 2014
Contempt of court has been defined as a willful
disregard or disobedience of a public authority. In
its broad sense, contempt is a disregard of, or
disobedience to, the rules or orders of a legislative
or judicial body or an interruption of its proceeding
by disorderly behavior or insolent language in its
presence or so near thereto as to disturb its
proceedings or to impair the respect due to such a
body. In its restricted and more usual sense,
contempt comprehends a despising of the
authority, justice, or dignity of a court.
CIVIL LAW
Second Division
Estoppel
GMA NETWORK, INC., vs. NATIONAL
TELECOMMUNICATIONS COMMISSION
717 SCRA 435, G.R. No. 196112, FEBRUARY
26, 2014
The State cannot be put in estoppel by the mistakes
or errors of its officials or agents. Hence, whatever
irregularity had attended the issuance of the
temporary permits in this case does not render
correct what appears to be erroneous procedure.
POLITICAL LAW
Second Division
Court Personnel
OFFICE OF THE COURT
ADMINISTRATOR, vs. PAZ P.
CAPISTRANO, COURT STENOGRAPHER
III, REGIONAL TRIAL COURT, QUEZON
CITY, BRANCH 224
728 SCRA 439, A.M. No. P-13-3147, JULY 02,
2014
No other office in the government service exercises
a greater demand for moral righteousness and
uprightness from an employee than in the Judiciary.
The Court has repeated emphasized that the
conduct of court personnel, from the presiding
judge to the lowliest clerk, must always be
circumscribed with the heavy burden of
responsibility as to let them be free from any
suspicion that may taint the judiciary. The Court
condemns and would never countenance any
conduct, act or omission on the part of all those
involved in the administration of justice, which
would violate the norm of public accountability and
diminish or even just tend to diminish the faith of
the people in the Judiciary.
REMEDIAL LAW
Second Division
Prohibition
Bernabe Second Division; Remedial law
Land Bank of the Philippines vs. Atlanta
Industries. Inc.,
729 SCRA 12, G.R. No. 193796, July 2, 2014
A petition for prohibition is a special civil action
that seeks for a judgment ordering the respondent
to desist from continuing with the commission of
an act perceived to be illegal. Section 2, Rule 65 of
the Rules of Court (Rules) reads: Sec. 2.Petition for
Prohibition. – When the proceeding of any tribunal,
corporation, board, officer or person, whether
exercising judicial, quasi-judicial or ministerial
functions, are without or in excess of its or his
jurisdiction, and there is no appeal or any other
plain, speedy, and adequate remedy in the ordinary
course of law, a person aggrieved thereby may file
a verified petition in the proper court, alleging the
facts with certainty and praying that judgment be
rendered commanding the respondent to desist
from further proceedings in the action or matter
specified therein, or otherwise granting such
incidental reliefs as law and justice may require.
REMEDIAL LAW
Second Division
Postponements
Paranaque Kings Enterprise, Inc., vs. Catalina
L. Santos
729 SCRA 35, G.R. No. 194638, July 2, 2014
At the outset, it should be emphasized that the trial
court has the discretion on whether to grant or
deny a motion to postpone and/or reschedule the
pre-trial conference in accordance with the
circumstances obtaining in the case. This must be
so as it is the trial court which is able to witness
firsthand the events as they unfold during the trial
of a case. Postponements, while permissible, must
not be countenanced except for clearly meritorious
grounds and in the light of the attendant
circumstances.
POLITICSL LAW
Second Division
Appeals in Administrative Case
 Office of the Ombudsman vs. Alex M.
Valencerina
730 SCRA 12, G.R. No. 178343, July 14, 2014
It is a fundamental legal principle that when two
rules apply to a particular case, that which was
specially designed for the said case must prevail
over the other. Evidently, the aforesaid Section 7,
Rule III is a special rule applicable to administrative
complaints cognizable by OMB. Thus, as between
the two rules, Section 7 Rule III should prevail over
the application of Section 12, Rule 43 of the Rules
in appeals from a decision of the OMB in an
administrative case.
POLITICAL LAW
En Banc
Administrative Law
Office of the Court Administrator vs.
Executive Judge Owen B. Amor
737 SCRA 509, A.M. No. RTJ-08-2140,
October 7, 2014
The OCA properly found respondent guilty of
Gross Misconduct and Insubordination for
refusing to comply with the numerous directives of
the Court to file a comment on the administrative
complaint against him. Verily, a judge who
deliberately and continuously fails and refuses to
comply with the resolution of the Court is guilty of
the same. Such willful disobedience and disregard
of the directives of the Court constitute grave and
serious misconduct affecting his fitness and
worthiness of the honor and integrity attached to
his office. In this case, it is noteworthy that
respondent was afforded several opportunities not
to mention a generous amount of time to comply
with the Court's lawful orders, but he has failed and
continuously refused to heed the same. This
continuous refusal to abide by the lawful directives
issued by the Court is glaring proof that he had
become disinterested to remain with the judicial
system to which he purports to belong.
POLITICA LAW
First Division
Administrative Law
RE: Anonymous letter vs. Judge Corazon D.
Soluren
737 SCRA 522, A.M. No. P-14-3217, October 8,
2014
Misconduct is a transgression of some established
and definite rule of action, more particularly
unlawful behavior or gross negligence by the public
officer. To warrant dismissal from service, the
misconduct must be grave, serious, important,
weighty, momentous, and not trifling. The
misconduct must imply a wrongful intention and
not a mere error of judgment and must also have a
direct relation to and be connected with the
performance of the public officer’s official duties
amounting either to maladministration or willful,
intentional neglect, or failure to discharge the duties
of the office. In order to differentiate Grave
Misconduct from Simple Misconduct, the elements
of corruption, clear intent to violate the law, or
flagrant disregard of an established rule, must be
manifest in the former.
POLITICAL LAW
En Banc
Commission on Audit
Arnaldo M. Espinas vs. Commission on Audit
720 SCRA 302; G.R. No. 198271, April 1, 2014
The CoA’s audit power is among the constitutional
mechanisms that give life to the check-and balance
system inherent in our system of government. As
an essential component, the CoA has been vested
with the exclusive authority to promulgate
accounting and auditing rules and regulations,
including those for the prevention and
disallowance of irregular, unnecessary, excessive,
extravagant, or unconscionable expenditures or
uses of government funds and properties. This is
found I Section 2, Article IX-D of the 1987
Philippine Constitution which provides that: Sec. 2.
x x x. (2) The Commission shall have exclusive
authority, subject to the limitations in this Article,
to define the scope of its audit and examination,
establish the techniques and methods required
therefor, and promulgate accounting and
auditing rules and regulations, including those
for the prevention and disallowance of irregular
unnecessary, excessive, extravagant, or
unconscionable expenditures or uses of
government funds and properties.
REMEDIAL LAW
Second Division
Appeals
Spouses Roque vs. Ma. Pamela P. Aguado, et.
Al
720 SCRA 780; G.R. No. 193787; April 7, 2014
Regarding Sps. Roque’s claims of acquisitive
prescription and reimbursement for the value of
the improvements they have introduced on the
subject property, it is keenly observed that none of
the arguments therefor were raised before the trial
court or the CA. Accordingly, the Court applies the
well-settled rule that litigants cannot raise an issue
for the first time on appeal as this would
contravene the basic rules of fair play and justice.
In any event, such claims appear to involve
questions of fact which are generally prohibited
under a Rule 45 petition.
POLITICAL LAW
Second Division
Just Compensation
Department of Agrarian Reform vs. Spouses
Sta. Romana
729 SCRA 387; G.R. No. 183290; July 9, 2014
Settled is the rule that when the agrarian reform
process is still incomplete, as in this case where the
just compensation for the subject land acquired
under PD 27 has yet to be paid, just compensation
should be determined and the process concluded
under RA 6657, with PD 27 and EO 228 having
more suppletory effects. This means that PD 27
and EO 228 only apply when there are gaps in RA
6657; where RA 6657 is sufficient, PD 27 and EO
228 are superseded.
POLITICAL LAW
Second Division
Just Compensation
Department of Agrarian Reform vs. Berina
729 SCRA 403; G.R. No. 183901; July 9, 2014
Settled is the rule that when the agrarian reform
process is still incomplete, as in this case where the
payment for the subject portion acquired under PD
27 has yet to be made, just compensation should be
determined and the process concluded under
Republic Act No. (RA) 6657, otherwise known as
“Comprehensive Agrarian Reform Law of 1998”
with PD 27 and EO 228 only having mere
suppletory effect. This means that PD 27 and EO
228 only apply when there are gaps in RA 6657;
where RA 6657 is sufficient, PD 27 and EO 228 are
superseded.
CIVIL LAW
Second Division
Contracts
Aboitiz Transport System Corporation vs.
Carlos A. Gothiong Lines, Inc.
730 SCRA 178; G.R. No. 198226; July 18, 2014
In Gonzales v. Climax Mining, Ltd., 512 SCRA 148
(2007), the Court explained that “disputes do not
go to arbitration unless and until the parties have
agreed to abide by the arbitrator’s decision.
Necessarily, a contract is required for arbitration to
take place and to be binding.” Furthermore in Del
Monte Corporation-USA v. Court of Appeals, 351 SCRA
373 (2001), the Court stated the “the provision to
submit to arbitration any dispute arising therefrom
and the relationship of the parties is part of that
contract. As a rule, contracts are respected as the
law between the contracting parties and produce
effect as between them, their assigns and heirs.’
Succinctly put, only those parties who have agreed
to submit a controversy to arbitration who, as
against each other, may be compelled to submit to
arbitration.
LABOR LAW
First Division
Termination of Employment
ST. LUKE’S MEDICAL CENTER, INC., vs.
MARIA THERESA V. SANCHEZ
753 SCRA 218, G.R. No. 212054, MARCH 11,
2015
An employer may terminate an employment for any
of the following causes: (a) Serious misconduct or
willful disobedience by the employee of the lawful
orders of his employer or his representative in
connection with his work. Note that for an
employee to be validly dismissed on this ground,
the employer’s orders, regulations, or instructions
must be: (1) reasonable and lawful; (2) sufficiently
known to the employee; and, (3) in connection with
the duties which the employee has been engaged to
discharge.
LEGAL ETHICS
First Division
Attorney-Client Relationship
EDUARDO A. MAGLENTE, vs. ATTY.
DELFIN R. AGCAOILI, JR.
753 SCRA 350, A.C. No. 10672, MARCH 18,
2015
It must be stressed that once a lawyer takes up the
cause of his client, he is duty-bound to serve the
latter with competence, and to attend to such
client’s cause with diligence, care, and devotion,
whether he accepts it for a fee or for free. He owes
fidelity to such cause and must always be mindful
of the trust and confidence reposed upon him.
Therefore, a lawyer’s neglect of a legal matter
entrusted to him by his client constitutes
inexcusable negligence for which he must be held
administratively liable.
LEGAL ETHICS
First Division
Suspension from Practice of Law
SHIRLEY OLAYTA-CAMBA, vs. ATTY.
OTILIO SY BONGON
754 SCRA 205, A.C. No. 8826, MARCH 25,
2015
Jurisprudence provides that in similar cases where
lawyers neglected their client’s affairs and, at the
same time, failed to return the latter’s money
and/or property despite demand, the Supreme
Court imposed upon them the penalty of
suspension from the practice of law. However,
there have been instances where the Court
tempered the penalty imposed upon a lawyer due
to humanitarian and equitable considerations.
Taking into consideration respondent’s advanced
age, medical condition, and the fact that this is his
first offense.
STATUTORY CONSTRUCTION
First Division
THE DEPARTMENT OF HEALTH,
represented by SECRETARY ENRIQUE T.
ONA, and THE FOOD AND DRUG
ADMINISTRATION (formerly the Bureau of
Food and Drugs), represented by
ASSISTANT SECRETARY OF HEALTH
NICOLAS B. LUTERO III, Officer-in-
Charge, vs. PHILIP MORRIS PHILIPPINES
MANUFACTURING, INC.
754 SCRA 452, G.R. No. 202943, MARCH 25,
2015
General legislation must give way to special
legislation on the same subject, and generally is so
interpreted as to embrace only cases in which the
special provisions are not applicable. In other
words, where two statutes are of equal theoretical
application to a particular case, the one designed
therefore should prevail.
MERCANTILE LAW
First Division
Corporate Rehabilitation
BPI FAMILY SAVINGS BANK, INC., vs. ST.
MICHAEL MEDICAL CENTER, INC.
754 SCRA 493, G.R. No. 205469, MARCH 25,
2015
Restoration is the central idea behind the remedy
of corporate rehabilitation. It contemplates a
continuance of corporate life and activities in an
effort to restore and reinstate the corporation to its
former position of successful operation and
solvency, the purpose being to enable the company
to gain a new lease on life and allow its creditors to
be paid their claims out of its earnings.
CIVIL LAW
First Division
Assignment of Credit
FORT BONIFACIO DEVELOPMENT
CORPORATION, vs. VALENTIN L. FONG
754 SCRA 544, G.R. No. 209370, MARCH 25,
2015
When a person assigns his credit to another person,
the latter is deemed subrogated to the rights as well
as to the obligations of the former. The practical
efficacy of the assignment although valid between
Fong and MS Maxco, remains contingent on
FBDC’s consent. Without the happening of said
condition, only MS Maxco, and not Fong, can
collect on the credit. However, this finding does
not preclude any recourse that Fong may take
against MS Maxco. After all, an assignment of
credit for a consideration and covering a
demandable sum of money is considered as a sale
of personal property.
REMEDIAL LAW
First Division
Object Evidence
PEOPLE OF THE PHILIPPINES, vs.
CHARLIE SORIN y TAGAYLO
754 SCRA 594, G.R. No. 212635, MARCH 25,
2015
It is well-settled that in criminal prosecution
involving illegal drugs, the presentation of the
drugs which constitute the corpus delicti of the crime
calls for the necessity of proving with moral
certainty that they are the same seized items. The
lack of conclusive identification of the illegal drugs
allegedly seized from the accused strongly militates
against a finding of guilt, as in this case. Therefore,
as reasonable doubt persists on the identity of the
drugs allegedly seized from the accused, the latter’s
acquittal should come as a matter of course.
REMEDIAL LAW
First Division
Preliminary Investigation
PRESIDENTIAL COMMISSION ON
GOOD GOVERNMENT, vs. OFFICE OF
THE OMBUDSMAN, RENATO D. TAYAG,
ISMAEL M. REINOSO, GENEROSO
TANSECO, MANUEL MORALES, RUBEN
B. ANCHETA, GERONIMO Z. VELASCO,
TROADIO T. QUIAZON, JR., FERNANDO
MARAMAG, EDGARDO TORDESILLAS,
ARTURO R. TANCO, JR., GERARDO
SICAT, PANFILO O. DOMINGO,
POTENCIANO ILUSORIO, MANUEL B.
SYQUIO, RAFAEL M. ATAYDE,
HONORIO POBLADOR, JR., GEORGE T.
SCHOLEY, TIRSO ANTIPORDA, JR.,
CARLOS L. INDUCTIVO, and TEODORO
VALENCIA
785 SCRA 55, G.R. No. 193176, FEBRUARY
24, 2016
The duty of the Ombudsman in the conduct of
preliminary investigation is to establish whether
there exists probable cause to file an information in
court against the accused. Preliminary investigation
is not the occasion for the full and exhaustive
display of the parties’ evidence. It is for the
presentation of such evidence as may engender a
well-founded belief that an offense has been
committed and that the accused is probably guilty
thereof. The validity and merits of a party’s
accusation or defense as well as admissibility of
testimonies and evidence, are better ventilated
during the trial proper.
CIVIL LAW
First Division
Reconstitution of Titles
JOSE B. LURIZ, vs. REPUBLIC OF THE
PHILIPPINES
785 SCRA 142, G.R. No. 208948, FEBRUARY
24, 2016
The reconstitution of a certificate of a title denotes
restoration in the original form and condition of a
lost or destroyed instrument attesting the title of a
person to a piece of land. It partakes of a land
registration proceeding. Thus, it must be granted
only upon clear proof that the title sought to be
restored was indeed issued to the petitioner or his
predecessor-in-interest, and such title was in force
at the time it was lost or destroyed.
CIVIL LAW
First Division
Annulment of Marriage
REPUBLIC OF THE PHILIPPINES, vs.
REGHIS M. ROMERO II and OLIVIA
LAGMAN ROMERO. OLIVIA LAGMAN
ROMERO, vs. REGHIS M. ROMERO II
785 SCRA 164, G.R. Nos. 209180 & 209253,
FEBRUARY 24, 2016
Psychological incapacity as a ground to nullify a
marriage should refer to the most serious cases of
personality disorders clearly demonstrative of an
utter insensitivity or inability to give meaning and
significance to the marriage. That Reghis married
Olivia not out of love, but out of reverence for the
latter’s parent’s does not constitute psychological
incapacity contemplated under the Family Code.
Any doubt should be resolved in favor of the
validity of the marriage and the indissolubility of
the marital tie.
REMEDIAL LAW
First Division
Motion for Extension of Time
FLORANTE A. MIANO, vs. MA. ELLEN M.
AGUILAR
785 SCRA 338, A.M. No. RTJ-15-2408,
MARCH 02, 2016
Failure to decide cases and other matters within the
reglementary period constitutes gross inefficiency
and warrants the imposition of administrative
sanction against the erring magistrate. The Court is
not unmindful of the circumstances that may delay
the speedy disposition of cases assigned to judges,
thus, the Court allows extensions of time within
which pending cases may be disposed of, upon a
seasonable filing of a request therefor and sufficient
justification. For failing to do so, respondent
cannot evade administrative liability.
LABOR LAW
Second Division
Retirement
GRACE CHRISTIAN HIGH SCHOOL,
represented by its Principal, DR. JAMES
TAN, vs. FILIPINAS A. LAVANDERA
733 SCRA 498, G.R. No. 177845, AUGUST 20,
2014
An employees retirement benefits under any
collective bargaining and other agreements shall
not be less than those provided under the same –
that is, at least one-half (1/2) month salary for every
year of service, a fraction of at least six (6) months
being considered as one whole year – and that
unless the parties provide for broader inclusions,
the term one-half month salary shall mean fifteen
(15) days plus one-twelfth (1/12) of the 13th month
pay and the cash equivalent of not more than five
(5) days of service incentive leaves.
POLITICAL LAW
Second Division
Expropriation Proceedings
JOSE T. LAJOM, represented by PORFIRIO
RODRIGUEZ, FLORENCIA LAJOM
GARCIA-DIAZ, FRANCISCO LAJOM
GARCIA, JR., FERNANDO LAJOM
RODRIGUEZ, TOMAS ATAYDE,
AUGUSTO MIRANDA, JOSEFINA
ATAYDE FRANCISCO, RAMON L.
ATAYDE, and BLESILDA ATAYDE RIOS,
vs. LAND BANK OF THE PHILIPPINES
733 SCRA 511, G.R. No. 185048, AUGUST 20,
2014
It is fundamental that just compensation should be
determined at the time of the property’s taking. The
date of taking of the subject land for purposes of
computing just compensation should be reckoned
from the issuance dates of the emancipation
patents. Although the taking of properties for
agrarian reform purposes is a revolutionary kind of
expropriation, it should not be carried out at the
undue expense of landowners who are also entitled
to protection under the Constitution and agrarian
reform laws. The Court has previously allowed the
grant of legal interest in expropriation cases where
there was delay in the payment of just
compensation, deeming the same to be an effective
forbearance on the part of the State. This
incremental interest is not granted on the
computed just compensation; rather, it is a penalty
imposed for damages incurred by the landowner
due to the delay in its payment.
REMEDIAL LAW
Second Division
Certification Against Forum Shopping
LOURDES C. FERNANDEZ, vs. NORMA
VILLEGAS and any person acting in her
behalf including her family
733 SCRA 548, G.R. No. 200191, AUGUST 20,
2014
It has been held that under reasonable or justifiable
circumstances – as in this case where the plaintiffs
or petitioners share a common interest and invoke
a common cause of action or defense – the rule
requiring all such plaintiffs or petitioners to sign the
certification against forum shopping may be
relaxed.
REMEDIAL LAW
First Division
Doctrine of Immutability of Judgments
MICHELIN ASIA PACIFIC APPLICATION
SUPPORT CENTER, INC., vs. MARIO J.
ORTIZ
741 SCRA 121, G.R. No. 189861, NOVEMBER
19, 2014
A definitive final judgment, however erroneous, is
no longer subject to change or revision. Settled is
the rule that a decision that has acquired finality
becomes immutable and unalterable. This quality of
immutability precludes the modification of a final
judgment, even if the modification is meant to
correct erroneous conclusions of fact and law.
CRIMINAL LAW
First Division
Technical Malversation
GOVERNOR ENRIQUE T. GARCIA, JR.,
vs. OFFICE OF THE OMBUDSMAN,
LEONARDO B. ROMAN, ROMEO L.
MENDIOLA, PASTOR P. VICHUACO,
AURORA J. TIAMBENG and
NUMERIANO G. MEDINA
741 SCRA 172, G.R. No. 197567, NOVEMBER
19, 2014
The element of Malversation of Public Funds are
distinctly different from those of Technical
Malversation. In the crime of Malversation of
Public Funds, the offender misappropriates public
funds for his own personal use or allows any other
person to take such public funds for the latter’s
personal use. On the other hand, in Technical
Malversation, the public officer applies public
funds under his administration not for his or
another’s personal use, but to a public use other
than that for which the fund was appropriated by
law or ordinance. Technical Malversation does not
include, or is not necessarily included in the crime
of Malversation of Public Fund.
REMEDIAL LAW
First Division
Judgments
CHERITH A. BUCAL, vs. MANNY P.
BUCAL
759 SCRA 262, G.R. No. 206957, JUNE 17,
2015
It is improper to enter an order which exceeds the
scope of relief sought by the pleadings, absent
notice which affords the opposing party an
opportunity to be heard with respect to the
proposed relief. The fundamental purpose of the
requirement that allegations of a complaint must
provide the measure of recovery is to prevent
surprise to the defendant. For the same reason, this
protection against surprises granted to defendants
should also be available to petitioners. Both parties
to a suit are entitled to due process against
unforeseen and arbitrary judgments.
LABOR LAW
First Division
Disability Benefits
ACE NAVIGATION COMPANY and VELA
INTERNATIONAL MARINE LIMITED,
vs. SANTOS D. GARCIA
759 SCRA 274, G.R. No. 207804, JUNE 27,
2015
A judicious review of the records reveals that
Garcia was indeed unable to obtain any gainful
employment for more than 120 days after his
repatriation. However, this fact does not ipso facto
render his disability total and permanent. The
company-designated physician is given a leeway of
an additional 120 days, or a total of 240 days from
repatriation, to give the seafarer further treatment
and, thereafter, make a declaration as to the nature
of the latter’s disability.
REMEDIAL LAW
First Division
Appeals
MITSUBISHI MOTORS PHILIPPINES
CORPORATION, vs. BUREAU OF
CUSTOMS
759 SCRA 306, G.R. No. 209830, JUNE 17,
2015
In view of respondent’s availment of a wrong mode
of appeal via notice of appeal stating that it was
elevating the case to the CA – instead of appealing
by way of a petition for review to the CTA within
thirty (30) days from receipt of a copy of the RTC’s
Order – the Court is constrained to deem the
RTC’s dismissal of respondent’s collection case
against petitioner final and executory. It is settled
that the perfection of an appeal in the manner and
within the period set by law is not only mandatory,
but jurisdictional as well, and that failure to perfect
an appeal within the period fixed by law renders the
judgment appealed from final and executory.
ADMINISTRATIVE LAW
First Division; Court Personnel
RE: REPORT OF ATTY. CARIDAD A.
PABELLO, Chief of Office, Office of
Administrative Services-Office of the Court
Administrator (OAS-OCA), on Neglect of
Duty of FERDINAND F. ANDRES, Human
Resource Management Officer III, Regional
Trial Court (RTC)-Personnel Division, OAS-
OCA, the Processor-in-Charge of
Appointment and the Alleged Erroneous
Recording, Erasure, and Alteration of the
Performance Rating on the Record Book.
762 SCRA 26, A.M. No. 2014-07-SC, JULY 08,
2015
It is incumbent upon every government employee
to adapt all reasonable means to cope with the
heavy workload, for the occupation demands no
less than full and uncomplaining dedication to the
public service. The disciplining authority, the
Supreme Court in this case, is granted the
discretion to consider mitigating circumstances in
the imposition of final penalty. These factors range,
among others, from the erring individual’s
admission of guilt, remorse, length of service, or
high performance rating.
ADMINISTRATIVE LAW
First Division
Sheriff
CARMELO V. CACHERO, vs. UNITED
OVERSEAS BANK PHILS. and/or
WESTMONT BANK
762 SCRA 82, G.R. No. 180162, JULY 08, 2015
A Sheriff performs a sensitive role in the
dispensation of justice. He is duty-bound to know
the basic rules in the implementation of a writ of
execution and be vigilant in the exercise of that
authority. While sheriffs have the ministerial duty
to implement writs of execution promptly, they are
bound to discharge their duties with prudence,
caution, and attention which careful men usually
exercise in the management of their affairs. Settled
is the rule that where a party has actual notice, no
matter how acquired, of an injunction clearly
informing him from what he must abstain, he is
legally bound from that time to desist from what he
is restrained and inhibited from doing, and will be
punished for a violation thereof, even though it
may not have served, or may have been served to
him defectively.
REMEDIAL LAW
First Division
Res Judicata
ROBERTO STA. ANA DY, JOSE ALAINEO
DY, and ALTEZA A. DY for themselves and
as heirs/substitutes of deceased-petitioner
CHLOE ALINDOGAN DY, vs.
BONIFACIO A. YU, SUSANA A. TAN, and
SOLEDAD ARQUILLA substituting
deceased-respondent ROSARIO ARQUILLA
762 SCRA 357, G.R. No. 202632, JULY 08,
2015
Res judicata comprehends two concepts: (1) bar by
former judgment, and (2) conclusiveness of
judgment. For res judicata to serve as an absolute
bar to a subsequent action, the following requisites
must concur: (a) the former judgment or order
must be final; (b) the judgment or order must be on
the merits; (c) it must have been rendered by a court
having jurisdiction over the subject matter and
parties; and (d) there must be between the first and
second actions, identity of parties, of subject
matter, and of causes of action. When there is no
identity of causes of action, but only an identity of
issues, there exists res judicata in the concept of
conclusiveness of judgment.
REMEDIAL LAW
First Division
Real Parties-In-Interest
ANDY ANG, vs. SEVERINO PACUNIO,
TERESITA P. TORRALBA, SUSANA
LOBERANES, CHRISTOPHER N.
PACUNIO, and PEDRITO P. AZARCON,
represented by their Attorney-in-Fact,
GALILEO P. TORRALBA
762 SCRA 411, G.R. No. 208928, JULY 08, 2015
The rule on real parties-in-interest has two (2)
requirements, namely: (a) to institute an action, the
plaintiff must be the real party-in-interest; and (b)
the action must be prosecuted in the name of the
real party-in-interest. Interest within the meaning
of the Rules of Court means material interest or an
interest in issue to be affected by the decree or
judgment of the case, as distinguished from mere
curiosity about the question involved. One having
no material interest cannot invoke the jurisdiction
of the court as the plaintiff in an action. When the
plaintiff is not the real party-in-interest, the case is
dismissible on the ground of lack of cause of action.
LABOR LAW
First Division
Project Employees
DIONISIO DACLES, vs. MILLENIUM
ERECTORS CORPORATION and/or
RAGAS TIU
762 SCRA 420, G.R. No. 209822, JULY 08,
2015
For an employee to be considered project-based,
the employer must show that: (a) the employee was
assigned to carry out a specific project or
undertaking; and (b) the duration and scope of
which were specified at the time the employee was
engaged for such project. Being assigned to a
project or a phase thereof which begins and ends at
determined or determinable times, the services of
project employees may be lawfully terminated at
the completion of such project or phase.
Consequently, in order to safeguard the rights of
workers against the arbitrary use of the word
“project” to prevent them from attaining regular
status, employers claiming that their workers are
project employees should prove that: (a) the
duration and scope of the employment was
specified at the time they were engaged; and (b)
there was indeed a project.
REMEDIAL LAW
First Division
Third Party Claims
JE-AN SUPREME BUILDERS AND SALES
CORPORATION, vs. PLANTERS
DEVELOPMENT BANK
766 SCRA 463, G.R. No. 211742, AUGUST 12,
2015
Where a parcel of land levied upon an execution is
occupied by a party other than the judgment
debtor, the procedure is for the court to order a
hearing to determine the nature of said adverse
possession. The adverse third party may take other
legal remedies to prosecute his claim, such as
invoking the supervisory power of the RTC to
enjoin the enforcement/implementation of the
writ of possession, as what petitioners did in this
case. However, the RTC does not and cannot pass
upon the question of title to the property, with any
character of finality, and can treat of the matter only
as may be necessary to decide the question of
whether or not the person in possession holds the
property adversely to the judgment obligor. If the
claimant’s proofs do not persuade the court of the
validity of his title or right of possession thereto,
the claim will be denied.
ADMINISTRATIVE LAW
First Division
Violation of Reasonable Office Rules and
Regulations
TERESITA R. MARIGOMEN, Clerk of
Court, COURT OF APPEALS, MANILA, vs.
RONELO G. LABAR, Driver, Mailing and
Delivery Section, COURT OF APPEALS,
CEBU STATION
768 SCRA 15, A.M. No. CA-15-33-P, AUGUST
24, 2015
Labar should be held liable for violation of
reasonable office rules and regulations for his
unjustified presence at the maintenance section of
the CA-Cebu without official business thereat or
without a valid pass slip from the Assistant Clerk
of Court. Likewise, he should be held liable for the
offense of gambling prohibited by law under the
same rules, for having committed gambling on the
same incident.
TAXATION LAW
First Division
Tax Refunds
CE LUZON GEOTHERMAL POWER
COMPANY, INC., vs. COMMISSIONER OF
INTERNAL REVENUE
768 SCRA 269, G.R. Nos. 200841-42, AUGUST
26, 2015
The rule be that during the period December 20,
2003 to October 6, 2010, taxpayers-claimants need
not observe the 120-day period before it could file
a judicial claim for refund of excess input VAT
before the CTA. Before and after the
aforementioned period, the observance of the 120-
day period is mandatory and jurisdictional to the
filing of such claim.
REMEDIAL LAW
First Division
Preliminary Injunction
SPOUSES ROMULO H. ESPIRITU and
EVELYN ESPIRITU, vs. SPOUSES
NICANOR SAZON and ANNALIZA G.
SAZON
785 SCRA 454, G.R. No. 204965, MARCH 02,
2016
A preliminary injunction is an order granted at any
stage of an action or proceeding prior to the
judgment or final order requiring a party or a court,
an agency, or a person to refrain from a particular
act or acts. Its essential role is preservative of the
rights of the parties in order to protect the ability
of the court to render a meaningful decision, or in
order to guard against a change of circumstances
that will hamper or prevent the granting of the
proper relief after the trial on the merits. The grant
or denial of a writ of preliminary injunction is
discretionary upon the trial court because the
assessment and evaluation of evidence towards that
end involve findings of fact left to the said court for
its conclusive determination.
CRIMINAL LAW
First Division
Penalties
ROGER ALLEN BIGLER, vs. PEOPLE OF
THE PHILIPPINES and LINDA SUSAN
PATRICIA E. BARRETO
785 SCRA 479, G.R. No. 210972, MARCH 02,
2016
In a catena similar cases where the accused failed to
perfect their appeal on their respective judgments
of convictions, the Court corrected the penalties
imposed notwithstanding the finality of the
decisions because they were outside the range of
penalty prescribed by the law. There is thus, no
reason to deprive petitioner of the relief afforded
the accused in the aforesaid similar cases. A
sentence which imposes upon the defendant in a
criminal prosecution a penalty in excess of the
maximum which the court is authorized by law to
impose for the offense for which the defendant was
convicted, is void for want or excess of jurisdiction
as to the excess.
CRIMINAL LAW
First Division
Rape
PEOPLE OF THE PHILIPPINES, vs.
GODOFREDO COMBOY y CRONICO
785 SCRA 512, G.R. No. 218399, MARCH 02,
2016
Statutory Rape is committed by having sexual
intercourse with a woman below twelve (12) years
of age regardless of her consent, or lack of it, to the
sexual act. Proof of force, threat. Or intimidation,
or consent of the offended party is unnecessary as
these are not elements of statutory rape,
considering that the absence of free consent is
conclusively presumed when the victim is below
the age of twelve (12). The law presumes that the
offended party does not possess discernment and
is incapable of giving intelligent consent to the
sexual act.
REMEDIAL LAW
En Banc
Preliminary Investigation
JESSICA LUCILA G. REYES, vs. THE
HONORABLE OMBUDSMAN, JESSICA
LUCILA G. REYES, vs. THE HONORABLE
SANDIGANBAYAN (THIRD DIVISION)
and PEOPLE OF THE PHILIPPINES,
JANET LIM NAPOLES, vs. CONCHITA
CARPIO-MORALES in her official capacity
as OMBUDSMAN, PEOPLE OF THE
PHILIPPINES, and SANDIGANBAYAN, JO
CHRISTINE NAPOLES and JAMES
CHRISTOPHER NAPOLES, vs.
CONCHITA CARPIO-MORALES, in her
official capacity as OMBUDSMAN, PEOPLE
OF THE PHILIPPINES, and
SANDIGANBAYAN, JO CHRISTINE
NAPOLES and JAMES CHRISTOPHER
NAPOLES, vs. SANDIGANBAYAN and
PEOPLE OF THE PHILIPPINES, JOHN
RAYMUND DE ASIS, vs. CONCHITA
CARPIO-MORALES, in her official capacity
as OMBUDSMAN, PEOPLE OF THE
PHILIPPINES, and SANDIGANBAYAN
(THIRD DIVISION)
 787 SCRA 354, G.R. Nos. 212593-94., 213163-
78, 213540-41, 213542-43, 215880-94, 213475-76,
MARCH 15, 2016
A preliminary investigation is not the occasion for
the full and exhaustive display of the prosecution’s
evidence, and that the presence or absence of the
elements of the crime is evidentiary in nature and is
a matter of defense that may be passed upon after
a full-blown trial on the merits. Therefore, the
validity and merits of a party’s defense or
accusation, as well as the admissibility of
testimonies and evidence, are better ventilated
during trial proper than at the preliminary
investigation level.
LEGAL ETHICS
En Banc
Attorneys
CHAMELYN A. AGOT, vs. ATTY. LUIS P.
RIVERA
732 SCRA 12, A.C. No. 8000, AUGUST 05,
2014
Respondent misrepresented himself as an
immigration lawyer which resulted to complainant
seeking his assistance when in truth he had no
specialization in immigration law but merely had a
contact. His deception is not only unacceptable,
disgraceful, and dishonorable to the legal
profession and reveals a basic flaw that makes him
unfit to practice law.
REMEDIAL LAW
Second Division
Appeals
CARIDAD RODRIGUEZA, as substituted by
RUFINO RODRIGUEZA, vs. DOMINGO
ALIBIN, as substituted by his heirs, namely:
BEATRIZ A. TORZAR, VIRGINIA A.
TARAYA, ROSARIO A. MARCO, JESUS A.
ALIBIN, and JAY ALIBIN, as substituted by
his children, namely: JAYNES ALIBIN, JAY
ALIBIN, and JESUS ALIBIN, JR.
733 SCRA 1, G.R. No. 196129, AUGUST 13,
2014
The Supreme Court is not a trier of facts and,
hence, does not normally undertake the
reexamination of the evidence presented by the
contending parties during the trial of the case,
considering that the factual findings of the CA are
generally conclusive and binding on the Court,
especially if they do not contradict those of the trial
court. Points of law, theories, issues and arguments
not brought to the attention of the lower court
need not be considered by a reviewing court, as
they cannot be raised for the first time at that late
stage.
LABOR LAW
Second Division
Due Process
LEI SHERYLL FERNANDEZ, vs. BOTICA
CLAUDIO represented by GUADALUPE
JOSE
733 SCRA 133, G.R. No. 205870, AUGUST 13,
2014
Jose eventually participated in the appeal
proceedings by filing not only one but two motions
for reconsideration from the NLRC Resolution,
thereby negating any supposed denial of due
process on her part. The availment of the
opportunity to seek reconsideration of the action
or ruling complained of in labor cases amounts to
due process.
ADMINISTRATIVE LAW
First Division
Immorality
DOROTHY FE MAH-AREVALO, vs.
JUDGE CELSO L. MANTUA, REGIONAL
TRIAL COURT OF PALOMPON, LEYTE,
BRANCH 17
740 SCRA 567, A.M. No. RTJ-13-2360,
NOVEMBER 19. 2014
Immorality has been defined to include not only
sexual matters but also conduct inconsistent with
rectitude, or indicative of corruption, indecency,
depravity, and dissoluteness; r is willful, flagrant, or
shameless conduct showing moral indifference to
opinions of respectable members of the
community, and an inconsiderate attitude toward
good order and public welfare. There is no doubt
that engaging in an extramarital affair is not only a
violation of the moral standards expected of the
members and employees of the judiciary but is also
a desecration of the sanctity of the institution of
marriage which the Supreme Court abhors and is,
thus, punishable.
REMEDIAL LAW
First Division
Certiorari
 CENTRAL BICOL STATE UNIVERSITY
OF AGRICULTURE, represented by its
President, ATTY. MARIO T. BERNALES,
vs. PROVINCE OF CAMARINES SUR,
represented by GOVERNOR LUIS
RAYMUND F. VILLAFUERTE, JR. and
GAWAD KALINGA FOUNDATION, INC.
represented by its Executive Director, JOSE
LUIS OQUIÑENA, and its Camarines Sur
Chapter Head, HARRY AZANA
764 SCRA 394, G.R. No. 210861, JULY 29, 2015
As a general rule, a petition for certiorari must be
filed strictly within sixty (60) days from notice of
judgment or from the order denying a motion for
reconsideration. Under exceptional cases, the
Court has held that the 60-day period may be
extended subject to the court’s sound discretion.
There should be an effort on the part of the party
invoking liberality to advance a reasonable or
meritorious explanation for his/her failure to
comply with the rules.
LABOR LAW
First Division
Resignation
CENTRAL AZUCARERA DE BAIS, INC.
and ANTONIO STEVEN L. CHAN, vs.
JANET T. SIASON
764 SCRA 494, G.R. No. 215555, JULY 29, 2015
Resignation is the formal pronouncement or
relinquishment of a position or office. It is the
voluntary act of an employee. The intent to
relinquish must concur with the overt act of
relinquishment. While it may be said that she did
not tender her resignation wholeheartedly, she
voluntarily resigned from her job in order to avoid
a full-blown administrative trial regarding her
misdeeds which could potentially result in her
termination for just cause.
CIVIL LAW
First Division
Compromise Agreements
PHILIPPINE TRANSMARINE CARRIERS,
INC., CARLOS C. SALINAS, and
NORWEGIAN CREW MANAGEMENT
A/S, vs. CESAR C. PELAGIO
766 SCRA 447, G.R. No. 211302, AUGUST 12,
2015
A compromise agreement is a contract whereby the
parties, by making reciprocal concessions, avoid a
litigation or put an end to one already commenced.
Once entered into, it has the effect and the
authority of res judicata upon the parties. A valid
compromise agreement may render a pending case
moot and academic. However, the parties may opt
to put therein clauses, conditions, and the like that
would prevent a pending case from becoming moot
and academic – such as when the execution of such
agreement is without prejudice to the final
disposition of the said case.
CIVIL LAW
First Division
Common Carriers
G.V. FLORIDA TRANSPORT, INC., vs.
HEIRS OF ROMEO L. BATTUNG, JR.,
represented by ROMEO BATTUNG, SR.
772 SCRA 579, G.R. No. 208802, OCTOBER
14, 2015
The law exacts from common carriers the highest
degree of diligence – extraordinary diligence – in
ensuring the safety of its passengers. However, the
law provides a lesser degree of diligence – diligence
of a good father of the family – for injuries suffered
by a passenger on account of willful acts or
negligence of other passengers or strangers in
assessing the existence of any culpability on the
common carrier’s part.
LABOR LAW
First Division
Termination of Employment
MELVIN P. MALLO, vs. SOUTHEAST
ASIAN COLLEGE, INC. and EDITA
ENATSU
772 SCRA 657, G.R. No. 212861, OCTOBER
14, 2015
Mallo’s filing of a complaint for illegal dismissal,
coupled with his prior acts of actively inquiring
about his teaching load, negate any intention on his
part to sever his employment. Abandonment of
position is a matter of intention and cannot be
lightly inferred, much less legally presumed, from
certain equivocal acts. Since Mallo was not
dismissed and that he never abandoned his job, it is
only proper for him to report back to work and for
respondents to reinstate him to his former position
or a substantially equivalent one in its stead.
CIVIL LAW
First Division
Mortgages
MAYBANK PHILIPPINES, INC. (formerly
PNB-Republic Bank), vs. SPOUSES OSCAR
and NENITA TARROSA
772 SCRA 670, G.R. No. 213014, OCTOBR 14,
2015
An action to enforce a right arising from a
mortgage should be enforced within ten (10) years
from the time the right of action accrues, i.e., when
the mortgagor defaults in the payment of his
obligation to the mortgagee. It is not sufficient that
the law or obligation fixes a date for performance.
It must further state expressly that after the period
lapses, default will commence. It is only when
demand to pay is unnecessary or when required,
such demand is made and subsequently refused that
the mortgagor can be considered in default and the
mortgagee obtains the right to file an action to
collect the debt or foreclose the mortgage.
ADMINISTRATIVE LAW
First Division
Moonlighting
ANTONIO A. FERNANDEZ, vs. MILA A.
ALER-TA
780 SCRA 248, A.M. No. P-15-3344,
JANUARY 13, 2016
Moonlighting is denominated as the light offense
of “the pursuit of a private business or vocation
without the permission required under the Civil
Service rules and regulations.” In dealing and
transacting with external government agencies, her
engagement was clearly in pursuit of a private
business venture, akin to the services offered by
real estate brokers. She not only expended her time
and effort which should have been devoted to the
performance of her official functions, but she had
also tainted the integrity of her office by giving the
impression that she could have wielded her
authority or influence in exchange for unofficial
favors.
CRIMINAL LAW
First Division
Estafa through Misappropriation
PAZ CHENG y CHU, vs. PEOPLE OF THE
PHILIPPINES
780 SCRA 347, G.R. No. 174113, JANUARY 13,
2016
The right to a commission only establishes the
relation of principal and agent, with the agent
coming under the obligation to turn over to the
principal the amount collected minus such
commission. If the agent should retain more than
the commission, she would be guilty of estafa
through misappropriation. Yet, because the
transaction between Rodriguez and the petitioner
was a sale, the former effectively transferred to the
latter the possession and the ownership of the
items of jewelry. Once the ownership of the jewelry
became vested in the latter, she could not
misappropriate the items of jewelry.
REMEDIAL LAW
First Division
Lis Pendens
SPOUSES RAMON and LIGAYA
GONZALES, vs. MARMAINE REALTY
CORPORATION, represented by MARIANO
MANALO
781 SCRA 63, G.R. No. 214241, JANUARY 13,
2016
Founded upon public policy and necessity, lis
pendens is intended to keep the properties in
litigation within the power of the court until
litigation is terminated; and to prevent the defeat of
the judgment or decree by subsequent alienation.
Its notice is an announcement to the whole world
that a particular property is in litigation and serves
as a warning that one who acquires an interest over
said property does so at his own risk or that he
gambles on the result of the litigation over said
property.
REMEDIAL LAW
First Division
Information
GIRLIE M. QUISAY, vs. PEOPLE OF THE
PHILIPPINES
781 SCRA 98, G.R. No. 216920, JANUARY 13,
2016
As a general rule, complaints or informations filed
before the courts without the prior written
authority or approval of the foregoing authorized
officers renders the same defective and, therefore,
subject to quashal. The filing of an Information by
an officer without the requisite authority to file the
same constitutes a jurisdictional infirmity which
cannot be cured by silence, waiver, acquiescence, or
even by express consent. Hence, such ground may
be raised at any stage of the proceedings.
LEGAL ETHICS
En Banc
Code of Professional Responsibility
SPOUSES JONATHAN and ESTER
LOPEZ, vs. ATTY. SINAMAR E. LIMOS
782 SCRA 609, A.C. No. 7618, FEBRUARY 02,
2016
Undoubtedly, the Court’s patience has been tested
to the limit by what in hindsight amount to a
lawyer’s impudence and disrespectful bent. At the
minimum, members of the legal fraternity owe
courts of justice respect, courtesy, and such other
becoming conduct essential in the promotion of
orderly, impartial, and speedy justice. The blatant
disregard on directives of the Investigating
Commissioner of IBP to attend the mandatory
conference and to submit a position paper, such
audacity caused undue delay in the resolution of the
instant administrative case and contravenes the
Code of Professional Responsibility.
REMEDIAL LAW
First Division
Mandamus
FELICITO M. MEJORADO, vs. HON.
FLORENCIO B. ABAD, in his capacity as
the Secretary of the Department of Budget
and Management
787 SCRA 249, G.R. No. 214430, MARCH 09,
2016
Mandamus will not issue to enforce a right which is
in substantial dispute or to which a substantial
doubt exists. The writ of mandamus may only issue
if the party claiming it has a well-defined, clear, and
certain legal right to the thing demanded, and that
it was the imperative duty of respondent to
perform the act required to accord the same upon
him.
CIVIL LAW
First Division
Sales
EQUITABLE SAVINGS BANK (now known
as the merged entity “BDO Unibank, Inc.”),
vs. ROSALINDA C. PALCES
787 SCRA 260, G.R. No. 214752, MARCH 09,
2016
The respondent never bought the subject vehicle
from petitioner but from a third party, and merely
sought financing from petitioner for its full
purchase price. In order to document the loan
transaction, a Promissory Note with Chattel
Mortgage was executed wherein, inter alia,
respondent acknowledged her indebtedness to
petitioner. There was no vendor-vendee
relationship since a loan contract with accessory
chattel mortgage contract – and not a contract of
sale of personal property in installments – was
entered into by the parties.
CIVIL LAW
First Division
Family Law
REPUBLIC OF THE PHILIPPINES, vs.
NILDA B. TAMPUS
787 SCRA 563, G.R. No. 214243, MARCH 16,
2016
The premise of the Family Code places upon the
present spouse the burden of complying with the
stringent requirement of “well-founded belief’
which can only be discharged upon a showing of
proper and honest-to-goodness inquiries and
efforts to ascertain not only the absent spouse’s
whereabouts. But more importantly, whether the
latter is still alive or is already dead.
AGRARIAN REFORM
First Division
Agrarian Leasehold Relationship
CITA C. PEREZ, vs. FIDEL D. AQUINO
787 SCRA 581, G.R. No. 217799, MARCH 16,
2016
The existence of an agricultural leasehold
relationship is not terminated by changes in
ownership in case of sale, since the purpose of the
law is to strengthen the security of tenure of
tenants. This notwithstanding, petitioner, as the
new owner is bound to respect and maintain
respondent as tenant of the subject land because of
the latter’s tenancy right attached to the land
regardless of who its owner may be.
LABOR LAW
First Division
Termination of Employment
UNIVERSAL ROBINA SUGAR MILLING
CORPORATION, vs. ELMER ABLAY,
ILDEFONSO CLAVECILLAS, STANLEY
BLAZA, VINCENT VILLAVICENCIO,
ROBERTO CACAS, and ELSA CADAYUNA,
in behalf of her deceased husband,
ELEAZAR CADAYUNA
787 SCRA 593, G.R. No. 218172, MARCH 16,
2016
Ablay’s conviction as an accomplice to the murder
of petitioner’s former assistant manager had
strained the relationship between Ablay and
petitioner. Ablay should not be reinstated in the
company instead be paid separation pay, as
reinstatement would only create an atmosphere of
antipathy. It should be clarified that said strained
relation should not affect the grant of benefits in
his favor prior to his conviction, as the latter
pertains to an offense entirely separate and distinct
from the acts constituting petitioner’s charges
against him.
LABOR LAW
First Division
Termination of Employment
CRISPIN B. LOPEZ, vs. IRVINE
CONSTRUCTION CORP. and TOMAS SY
SANTOS
733 SCRA 589, G.R. No. 207253, AUGUST 20,
2014
Lopez is a regular and not a project employee. The
supposed layoff of Lopez was hardly justified
considering the absence of any causal relation
between the cessation of Irvine’s project with the
suspension of Lopez’s work. The continuation of
his engagement with Irvine, either in Cavite or in
any of its business locations should not have been
affected by the culmination of the Cavite project
alone.
LABOR LAW
First Division
Demotion
PHILIPPINE AIRLINES, INC., vs.
ALEXANDER P. BICHARA
769 SCRA 139, G.R. No. 213729,
SEPTEMBER 02, 2015
Already settled is the illegality of Bichara’s
demotion with finality, he should be awarded the
salary differential of a flight purser from a flight
steward from the time of his illegal demotion up
until he was retrenched. The award of salary
differential is not dependent on the validity of his
termination as it is intrinsically linked to the
illegality of his Demotion. With this direct relation,
there should be no obstacle in rendering this award.
LABOR LAW
First Division
Termination of Employment
CEBU PEOPLE’S MULTI-PURPOSE
COOPERATIVE and MACARIO G.
QUEVEDO, vs. NICERATO E.
CARBONILLA, JR.
782 SCRA 418, G.R. No. 212070, JANUARY
27, 2016
Employers are allowed a wider latitude of
discretion in terminating the services of employees
who perform functions by which their nature
requires the employer’s full trust and confidence.
Mere existence of basis for believing that the
employee has breached trust and confidence of the
employer is sufficient and does not require proof
beyond reasonable doubt. Thus, when an employee
has been guilty of breach of trust or his employer
has ample reason to distrust him, a labor tribunal
cannot deny the employer the authority to dismiss
him.
AGRARIAN REFORM
First Division
Expropriation Proceedings
LAND BANK OF THE PHILIPPINES, vs.
EDGARDO L. SANTOS, represented by his
assignee, ROMEO L. SANTOS, EDGARDO
L. SANTOS, represented by his assignee,
ROMEO L. SANTOS, vs. LAND BANK OF
THE PHILIPPINES
782 SCRA 441, G.R. Nos. 213863 & 214021,
JANUARY 27, 2016
In expropriation cases, interest is imposed if there
is delay in the payment of just compensation to the
landowner since the obligation is deemed to be an
effective forbearance on the part of the State. Such
interest shall be pegged at the rate of twelve percent
(12%) per annum on the unpaid balance of the just
compensation, reckoned from the time of taking,
or the time when the landowner was deprived of
the use and benefit of his property until full
payment.
LABOR LAW
First Division
Length of Service
SECURITY BANK SAVINGS
CORPORATION (formerly PREMIERE
DEVELOPMENT BANK)/HERMINIO M.
FAMATIGAN, JR., vs. CHARLES M.
SINGSON
784 SCRA 30, G.R. No. 214230, FEBRUARY
10, 2016
The fact that private respondent served petitioner
for more than twenty years with no negative record
prior to his dismissal does not call for such award
of benefits, since his violation reflects a regrettable
lack of loyalty and worse, betrayal of the company.
If an employee’s length of service is to be regarded
as a justification for moderating the penalty of
dismissal, such gesture will actually become a prize
for disloyalty, distorting the meaning of social
justice and undermining the efforts of labor to
cleanse its ranks of undesirables. Length of Service
is not a bargaining chip that can simply be stacked
against the employer.
REMEDIAL LAW
First Division
Appeals
SPOUSES EDMOND LEE and HELEN
HUANG, vs. LAND BANK OF THE
PHILIPPINES
784 SCRA 342, G.R. No. 218867, FEBRUARY
17, 2016
The requirement of paying the full amount of the
appellate docket fees within the prescribed period
is not a mere technicality of law or procedure. The
payment of docket fees within the prescribed
period is mandatory for the perfection of an appeal.
Without such payment, the appeal is not perfected.
The appellate court does not acquire jurisdiction
over the subject matter of the action and the
Decision sought to be appealed from becomes final
and executory.
ADMINISTRATIVE LAW
First Division
Revised Rules on Administrative Cases in the
Civil Service
OFFICE OF THE OMBUDSMAN-FIELD
INVESTIGATION OFFICE, vs. ROLANDO
B. FALLER
792 SCRA 361, G.R. No. 215994, JUNE 06,
2016
Under the Revised Rules of Administrative Cases
in the Civil Service, if the respondent is found guilty
of two (2) or more charges, the penalty for the most
serious charge shall be imposed and the other
charges shall be considered as aggravating
circumstances. Likewise, the maximum of the
penalty shall be imposed where only aggravating
and no mitigating circumstances are present.
AGRARIAN REFORM
Special First Division
Just Compensation
LAND BANK OF THE PHILIPPINES, vs.
ALFREDO HABABAG, SR., substituted by
his wife, CONSOLACION, and children,
namely: MANUEL, SALVADOR, WILSON,
JIMMY, ALFREDO, JR., and JUDITH, all
surnamed HABABAG, ALFREDO
HABABAG, SR., substituted by his wife,
CONSOLACION, and children, namely:
MANUEL, SALVADOR, WILSON, JIMMY,
ALFREDO, JR., and JUDITH, all surnamed
HABABAG, vs. LAND BANK OF THE
PHILIPPINES and the DEPARTMENT OF
AGRARIAN REFORM
792 SCRA 399, G.R. Nos. 172352 & 172387-88,
JUNE 08, 2016
The Court had illuminated that the substantiality of
the payments made by the LBP is not the
determining factor in the imposition of interest as
nothing less than full payment of just
compensation is required. The value of the
landholdings themselves should be equivalent to
the principal sum of the just compensation due, and
that interest is due and should be paid to
compensate for the unpaid balance of this principal
sum after the taking has been completed.
ADMINISTRATIVE LAW
First Division
Government-Owned and Controlled
Corporations
FIRST MEGA HOLDINGS CORP., vs. GUI-
GUINTO WATER DISTRICT
792 SCRA 670, G.R. No. 208383, JUNE 08,
2016
Government-owned or controlled corporations,
their subsidiaries, other corporate offsprings, and
government acquired asset corporations are not
allowed to engage the legal services of private
counsels. The OGCC shall act as the principal law
office of GOCCs unless their respective charters
expressly name the Office of the Solicitor General
(OSG) as their legal counsel. Nonetheless, in
exceptional cases, private counsel can be hired with
the prior written conformity and acquiescence of
the Solicitor General or the Government
Corporate Counsel, and the prior written
concurrence of the Commission on Audit.
REMEDIAL LAW
First Division
Civil Liability
JOSE BURGOS, JR., vs. SPOUSES ELADIO
SJ. NAVAL and ARLINA B. NAVAL, and
AMALIA B. NAVAL
793 SCRA 120, G.R. No. 219468, JUNE 08,
2016
The RTC did not render any ruling that the act or
omission from which the civil liability may arise did
not exist. The RTC granted the motion to quash
and thereby dismissed the criminal case on the sole
ground of prescription. Any misgivings regarding
the propriety of that disposition is for the people,
thru the OSG, and not for Burgos to argue. Burgos’
remedy is to institute a civil case under the
parameters of the Rules of Criminal Procedure.
CIVIL LAW
First Division
Property
HEIRS OF JOSE EXTREMADURA,
represented by ELENA H.
EXTREMADURA, vs. MANUEL
EXTREMADURA and MARLON
EXTREMADURA
793 SCRA 581, G.R. No. 211065, JUNE 15,
2016
The execution of a public instrument gives rise only
to a prima facie presumption of delivery, which is
negated by the failure of the vendee to take actual
possession of the land sold. A person who does not
have actual possession of the thing sold cannot
transfer constructive possession by the execution
and delivery of a public instrument.
CRIMINAL LAW
First Division
Pardon
RUBEN E. TIU, vs. HON. NATIVIDAD G.
DIZON, Acting Chairperson of the Board of
Pardons and Parole, HON. FRANKLIN
JESUS BUCAYU, Director of the Bureau of
Corrections, HON. SECRETARY LEILA M.
DE LIMA of the Department of Justice,
HON. PAQUITO N. OCHOA JR., the
Executive Secretary
793 SCRA 595, G.R. No. 211269, JUNE 15,
2016
A contract between the sovereign power of the
Chief Executive and the convicted criminal to the
effect that the former will release the latter subject
to the condition that if he does not comply with the
terms of the pardon, he will be recommitted to
prison to serve the unexpired portion of the
sentence or an additional one. The grant of pardon
and the determination of the terms and conditions
of a conditional pardon are purely executive acts
which are not subject to judicial scrutiny.
REMEDIAL LAW
First Division
Voidable Judgments
TERESITA TAN, vs. JOVENCIO F.
CINCO, SIMON LORI HOLDINGS, INC.,
PENTACAPITAL INVESTMENT
CORPORATION, FORTUNATO G. PE,
RAYMUNDO G. PE, JOSE REVILLA
REYES, JR., and DEPUTY SHERIFF
ROMMEL IGNACIO
793 SCRA 610, G.R. No. 213054, JUNE 15,
2016
A judgment rendered by a court without
jurisdiction is null and void and may be attacked
anytime. It creates no rights and produces no effect.
It remains a basic fact in law that the choice of the
proper forum is crucial, as the decision of a court
or tribunal without jurisdiction is a total nullity. A
void judgment for want of jurisdiction is no
judgment at all. All acts performed pursuant to it
and all claims emanating from it have no legal
effect.
AGRARIAN REFORM
First Division
Just Compensation
LAND BANK OF THE PHILIPPINES, vs.
APOLONIO KHO, represented by his heirs,
namely: PERLA LUZ, KRYPTON, KOSELL,
KYRIN, and KELVIN, all surnamed KHO
793 SCRA 651, G.R. No. 214901, JUNE 15,
2016
For purposes of determining just compensation,
the fair market value of an expropriated property is
determined by its character and its price at the time
of the taking, or the time when the landowner was
deprived of the use and benefit of his property,
such as when the title is transferred in the name of
the beneficiaries.
LABOR LAW
First Division
Labor-only Contracting
CAGAYAN ELECTRIC POWER & LIGHT
COMPANY, INC. (CEPALCO) and
CEPALCO ENERGY SERVICES
CORPORATION (CESCO), formerly
CEPALCO ENERGY SERVICES &
TRADING CORPORATION (CESTCO), vs.
CEPALCO EMPLOYEE’S LABOR UNION-
ASSOCIATED LABOR UNIONS-TRADE
UNION CONGRESS OF THE
PHILIPPINES (TUCP), CAGAYAN
ELECTRIC POWER & LIGHT COMPANY,
INC. (CEPALCO) and CEPALCO ENERGY
SERVICES CORPORATION (CESCO),
formerly CEPALCO ENERGY SERVICES &
TRADING CORPORATION (CESTCO), vs.
CEPALCO EMPLOYEE’S LABOR UNION-
ASSOCIATED LABOR UNIONS-TRADE
UNION CONGRESS OF THE
PHILIPPINES (TUCP)
794 SCRA 95, G.R. Nos. 211015 & 213835,
JUNE 20, 2016
Labor-only contracting is considered as a form of
unfair labor practice when the same is devised by
the employer to interfere with, restrain or coerce
employees in the exercise of their rights of self-
organization. It would be the employees of CESCO
who are entitled to seek the foregoing reliefs since
in cases of labor-only contracting, the person or
intermediary shall be considered merely as an agent
of the employer who shall be responsible to the
workers in the same manner and extent as if the
latter were directly employed by him. However,
they have not been impleaded in these cases.
MERCANTLE LAW
First Division
Corporate Rehabilitation
PHILIPPINE ASSET GROWTH TWO, INC.
(Successor-in-Interest of Planters
Development Bank) and PLANTERS
DEVELOPMENT BANK, vs. FASTECH
SYNERGY PHILIPPINES, INC. (formerly
First Asia System Technology, Inc.),
FASTECH MICROASSEMBLY & TEST,
INC., FASTECH ELECTRONIQUE, INC.,
and FASTECH PROPERTIES, INC.
794 SCRA 625, G.R. No. 206528, JUNE 28,
2016
A distressed corporation should not be
rehabilitated when the results of the financial
examination and the analysis clearly indicate that
there lies no reasonable probability that it may be
revived, to the detriment of its numerous
stakeholders which include not only the
corporation’s creditors but also the public at large.
CIVIL LAW
First Division
Interest Rates
NYMPHA S. ODIAMAR, vs. LINDA
ODIAMAR VALENCIA
795 SCRA 18, G.R. No. 213582, JUNE 28, 2016
It is fundamental that for monetary interest to be
due, there must be an express written agreement
therefor. The lack of a written stipulation to pay
interest on the loaned amount bars a creditor from
charging monetary interest and the collection
interest without any stipulation therefor in writing
is prohibited by law.
LABOR LAW
First Division
Nominal Damages
 ARMANDO N. PUNCIA, vs. TOYOTA
SHAW/ PASIG, INC.
795 SCRA 32, G.R. No. 214399, JUNE 28, 2016
While Toyota afforded Puncia the opportunity to
refute the charge of gross inefficiency against him,
the latter was completely deprived of the same
when he was dismissed for gross insubordination –
a completely different ground from what was stated
in the Notice to Explain. Considering that Toyota
had dismissed Puncia for a just cause, albeit failed
to comply with the proper procedural
requirements, the former should pay the latter
nominal damages.
MERCANTILE LAW
Special First Division
Corporations
RICHARD K. TOM, vs. SAMUEL N.
RODRIGUEZ
797 SCRA 60, G.R. No. 215764, JULY 13, 2016
Contracts or acts of a corporation must be made
either by the board of directors or by the corporate
agent duly authorized by the board. Absent such
valid delegation/authorization, the rule is that the
declarations of an individual director relating to the
affairs of the corporation, but not in the course of,
or connected with, the performance of authorized
duties of such director, are held not binding on the
corporation.
CRIMINAL LAW
First Division
Death of the Accused
PEOPLE OF THE PHILIPPINES, vs.
ALVIN CENIDO y PICONES and
REMEDIOS CONTRERAS y CRUZ
797 SCRA 102, G.R. No. 210801, JULY 18, 2016
As Remedios’ death transpired before the
promulgation of the Court’s Resolution, her
criminal liability is totally extinguished.
Consequently, Remedios’ death renders the Court’s
Resolution irrelevant and ineffectual as to her, and
is therefore set aside. The criminal case against
Remedios is dismissed.
TAXATION LAW
First Division
Tax Refunds
COMMISSIONER OF INTERNAL
REVENUE, vs. CBK POWER COMPANY
LIMITED
746 SCRA 93, G.R. Nos. 193407-08, JANUARY
14, 2015
The application for a tax treaty relief from the BIR
should merely operate to confirm the entitlement
of the taxpayer to the relief. Since CBK Power had
requested for confirmation from the ITAD before
it filed its administrative claim for refund of its
excess final withholding taxes, the same should be
deemed substantial compliance. To rule otherwise
would defeat the purpose of the NIRC in providing
the taxpayer a remedy for erroneously paid tax
solely on the ground of failure to make prior
application for tax treaty relief.
REMEDIAL LAW
First Division
Venue
VIRGILIO C. BRIONES, vs. COURT OF
APPEALS and CASH ASIA CREDIT
CORPORATION
746 SCRA 240, G.R. No. 204444, JANUARY
14, 2015
Written stipulations as to venue may be restrictive
in the sense that the suit may be filed only in the
place agreed upon, or merely permissive in that the
parties may file their suit not only in the place
agreed upon but also in the places fixed by law. As
regards restrictive stipulations on venue,
jurisprudence instructs that it must be shown that
such stipulation is exclusive. In the absence of
qualifying or restrictive words, the stipulation
should be deemed as merely an agreement on an
additional forum, not as limiting venue to the
specified place.
CRIMINAL LAW
First Division
Ponzi Scheme
PEOPLE OF THE PHILIPPINES, vs.
PALMY TIBAYAN and RICO Z. PUERTO
 746 SCRA 259, G.R. Nos. 209655-60,
JANUARY 14, 2015
TGICI’s modus operandi of inducing the public to
invest in it on the undertaking that their investment
would be returned with a very high monthly
interest rate. The directors/incorporators of
TGICI knew from the start that TGICI is operating
without any paid-up capital and has no clear trade
by which it can pay the assured profits to its
investors, they cannot comply with their guarantee
and had to simply abscond with their investor’s
money. TGICI engaged in a Ponzi Scheme
resulting in the defraudation of the TGICI
investors.
REMEDIAL LAW
First Division
Judgment
EDMUND SIA, vs. WILFREDO ARCENAS,
FERNANDO LOPEZ, and PABLO
RAFANAN
746 SCRA 272, G.R. Nos. 209672-74,
JANUARY 14, 2015
Had the petitioner pursued an action for ejectment
or reconveyance, the issuance of writs of
possession and demolition would have been
proper, but not in a special civil action for
mandamus. Orders pertaining to execution of
judgments must substantially conform to the
dispositive portion of the decision sought to be
executed. As such, it may not vary, or go beyond
the terms of the judgment it seeks to enforce.
CRIMINAL LAW
First Division
Complex Crimes
ROGELIO J. GONZAGA, vs. PEOPLE OF
THE PHILIPPINES
746 SCRA 551, G.R. No. 195671, JANUARY 21,
2015
Rogelio was charged with the offense of Reckless
Imprudence Resulting to Homicide with Double
Serious Physical Injuries and Damage to Property.
The RPC provides that when a single act
constitutes to or more grave or less grave felonies,
or when an offense is a necessary means for
committing the other, the penalty for the most
serious crime, in this case, Reckless Imprudence
Resulting to Homicide, shall be imposed, the same
to be applied in its maximum period.
TAXATION LAW
First Division
Tax Refund
PANAY POWER CORPORATION (formerly
AVON RIVER POWER HOLDINGS
CORPORATION), vs. COMMISSIONER
OF INTERNAL REVENUE
746 SCRA 588, G.R. No. 203351, JANUARY
21, 2015
During the period December 10, 2003 to October
6, 2010, taxpayers-claimants need not observe the
120-day period before it could file a judicial claim
for refund of excess input VAT before the CTA.
As such, it need not wait for the expiration of the
120-day period before filing its judicial claim before
the CTA.
CIVIL LAW
First Division
Joint Tortfeasors
RUKS KONSULT AND CONSTRUCTION,
vs. ADWORLD SIGN AND ADVERTISING
CORPORATION and TRANSWORLD
MEDIA ADS, INC.
746 SCRA 622, G.R. No. 204866, JANUARY
21, 2015
Transworld and Ruks are guilty of negligence in the
construction of the former’s billboard, and
perforce, should be held liable for its collapse and
the resulting damage to Adworld’s billboard
structure. As joint tortfeasors, they are solidarily
liable to Adworld. Joint tortfeasors are each liable
as principals, to the same extent and in the same
manner as if they had performed the wrongful act
themselves.
LABOR LAW
First Division
Seafarers
JOSE RUDY L. BAUTISTA, vs. ELBURG
SHIPMANAGEMENT PHILIPPINES,
INC., AUGUSTEA SHIPMANAGEMENT
 ITALY, and/or Captain ANTONIO S.
NOMBRADO
767 SCRA 657, G.R. No. 206032, AUGUST 19,
2015
It is not required that the employment of the
petitioner as Chief cook should be the sole factor
in the development of his hypertensive
cardiovascular disease so as to entitle him to claim
the benefits provided therefor. It suffices that his
employment as such had contributed, even in a
small degree, to the development of the disease.
Thus, it is safe to presume that, at the very least, the
nature of petitioner’s employment had contributed
to the aggravation of his illness, considering that as
Chief Cook, he was exposed to constant
temperature changes, stress, and physical strain.
CRIMINAL LAW
First Division
Libel
MALAYAN INSURANCE COMPANY, INC.
and HELEN Y. DEE, vs. PHILIP PICCIO,
MIA GATMAYTAN, MA. ANNABELLA
RELOVA SANTOS, JOHN JOSEPH
GUTIERREZ, JOCELYN UPANO, JOSE
DIZON, ROLANDO PAREJA, WONINA M.
BONIFACIO, ELVIRA CRUZ, CORNELIO
ZAFRA, VICENTE ORTUOSTE,
VICTORIA GOMEZ JACINTO, JUVENCIO
PERECHE, JR., RICARDO LORAYES,
PETER C. SUCHIANCO, and TRENNIE
MONSOD; MALAYAN INSURANCE
COMPANY, INC., vs. PHILIP PICCIO, MIA
GATMAYTAN, MA. ANNABELLA
RELOVA SANTOS, JOHN JOSEPH
GUTIERREZ, JOCELYN UPANO, JOSE
DIZON, ROLANDO PAREJA, WONINA M.
BONIFACIO, ELVIRA CRUZ, CORNELIO
ZAFRA, VICENTE ORTUOSTE,
VICTORIA GOMEZ JACINTO, JUVENCIO
PERECHE, JR., RICARDO LORAYES,
PETER C. SUCHIANCO, and TRENNIE
MONSOD
789 SCRA 93, G.R. Nos. 203370 & 215106,
APRIL 11, 2016
Generally speaking, the venue of libel cases where
the complainant is a private individual is limited
only to either of two places, namely: (1) where the
complainant actually resides at the time of the
commission of the offense; or (2) where the alleged
defamatory article was printed and first published.
For the Court to hold that the Amended
Information sufficiently vested jurisdiction in the
courts of Makati simply because the defamatory
article was first accessed therein would open the
floodgates to the libel suit being filed in all other
locations where the pepcoalition website is likewise
accessed or capable of being accessed.
REMEDIAL LAW
First Division
Presumption of Regularity
CONSULAR AREA RESIDENTS
ASSOCIATION, INC., represented by its
President BENJAMIN V. ZABAT, ROMEO
JUGADO, JR., and NANCY QUINO, vs.
ARNEL PACIANO D. CASANOVA, ENGR.
TOMAS Y. MACROHON, LOCAL
HOUSING BOARD OF TAGUIG CITY, and
the CITY GOVERNMENT OF TAGUIG
789 SCRA 209, G.R. No. 202618, APRIL 12,
2016
The presumption of regularity of official acts may
be rebutted by affirmative evidence of irregularity
or failure to perform a duty. The presumption,
however, prevails until it is overcome by no less
than a clear and convincing evidence to the
contrary. Thus, unless the presumption is rebutted,
it becomes conclusive. Every reasonable
intendment will be made in support of the
presumption and in case of doubt as to an officer’s
act being lawful or unlawful, construction should
be in favor of its lawfulness.
LEGAL ETHICS
En Banc
Attorneys
PHILCOMSAT HOLDINGS
CORPORATION, duly represented by
ERLINDA I. BILDNER, vs. ATTY. LUIS K.
LOKIN, JR. and ATTY. SIKINI C.
LABASTILLA
790 SCRA 173, A.C. No. 11139, APRIL 19, 2016
Since the indirect contempt case is criminal in
nature, respondents cannot insist that the filing of
an administrative case against them on the basis of
the Sandiganbayan’s ruling in the aforesaid case is
premature on the premise that their conviction has
not attained finality. A disbarment proceeding is
separate and distinct from a criminal action filed
against a lawyer despite being involved in the same
set of facts. A finding of guilt in the criminal case
will not necessarily result in a finding of liability in
the administrative case.
LABOR LAW
First Division
Quitclaims
WILLIAM GO QUE CONSTRUCTION
and/or WILLIAM GO QUE, vs. COURT OF
APPEALS and DANNY SINGSON,
RODOLFO PASAQUI, LENDO
LOMINIQUI, and JUN ANDALES
790 SCRA 309, G.R. No. 191699, APRIL 19,
2016
Legitimate waivers resulting from voluntary
settlements of laborers’ claims should be treated
and upheld as the law between the parties. There is
no longer any justiciable controversy between
petitioner and private respondents Singson and
Pasaqui on account of the Satisfaction of
Judgment/Release of Claim they executed in the
petitioner’s favor subsequent to the filing of the
instant case rendering the same moot and
academic, and dismissible with respect to them.
CIVIL LAW
First Division
Reconstitution of Titles
REPUBLIC OF THE PHILIPPINES, vs.
HOMER and MA. SUSANA DAGONDON
790 SCRA 414, G.R. No. 210540, APRIL 19,
2016
The purpose of the reconstitution of title is to have,
after observing the procedures prescribed by law,
the title reproduced in exactly the same way it has
been when the loss or destruction occurred. The
law presupposes that the property whose title is
sought to be reconstituted has already been
brought under the provisions of the Torrens
System.
REMEDIAL LAW
First Division
Grave Abuse of Discretion
PNCC SKYWAY CORPORATION, vs. THE
SECRETARY OF LABOR AND
EMPLOYMENT and PNCC SKYWAY
CORPORATION EMPLOYEES UNION
790 SCRA 427, G.R. No. 213299, APRIL 19,
2016
Considering that PSC had complied with the notice
requirement of the Labor Code, the indemnity
award in favor of the terminated employees was
grossly improper and must be nullified, in this
respect, the DOLE Secretary gravely abused its
discretion and the CA erred in ruling otherwise.
When a lower court or tribunal patently violates the
Constitution, the law, or existing jurisprudence,
grave abuse of discretion is committed.
ADMINISTRATIVE CASE
First Division
Prosecutors
RONALDO C. FACTURAN, vs.
PROSECUTOR ALFREDO L.
BARCELONA, JR.
792 SCRA 389, A.C. No. 11069, JUNE 08, 2016
It is apparent that respondent used his public
position as a prosecutor to advance and protect the
private interest of his relative, which is clearly
proscribed in the CPR. His failure to timely return
the case records for ruther action, despite directive
to do so, it can only be inferred that respondent not
merely failed, but obstinately and deliberately
refused to perform his duties as a prosecutor.
POLITICAL LAW
En Banc
Judicial Review
INTERNATIONAL SERVICE OF THE
ACQUISITION OF AGRI-BIOTECH
APPLICATIONS, INC. VS. GREENPEACE
SOUTHEAST ASIA (PHILIPPINES)
798 SCRA 250, G.R. Nos 209271, 209276,
209301 & 209430, JULY 26, 2016
As the matter never went beyond the field testing
phase, none of the foregoing tasts related to
propagation were pursued or the requirements
thereof complied with. Thus, there are no
guaranteed after-effects to the already conducted Bt
talong field trials that demand an adjudication from
which the public may perceivably benefit. Any
future threat to the right of herein respondents or
the public in general to a healthful and balanced
ecology is therefore more imagined than real.

LABOR LAW
First Division
Two-Notice Rule
RODFHEL BACLAAN TORREFIEL,
MYRA SUACILLO, LORLIE ORENDAY,
SHEELA LAO, and LEODELYN LIBOT, vs.
BEAUTY LANE PHILS., INC./MS. MA.
HENEDINA D. TOBOJKA
799 SCRA 470, G.R. No. 214186, AUGUST 03,
2016
The copies of the Notices to Explain and
Preventive Suspension issued to them did not
specify charges against them but simply stated that
they condoned and failed to report anomalies to the
management. The failure to inform an employee of
the charges against him deprives him of due
process.
TAXATION LAW
First Division
Tax Refund
COMMISSIONER OF INTERNAL
REVENUE, vs. GOODYEAR
PHILIPPINES, INC.
799 SCRA 489, G.R. No. 216130, AUGUST 03,
2016
The term “dividends” should be understood
according to the taxation law of the State in which
the corporation making the distribution is a
resident. The primary purpose of filing an
administrative claim was to serve as a notice of
warning to the Commissioner of Internal Revenue
(CIR) that court action would follow unless the tax
or penalty alleged to have been collected
erroneously or illegally is refunded.
REMEDIAL LAW
First Division
Amendment of Pleadings
SPOUSES ERNESTO TATLONGHARI and
EUGENIA TATLONGHARI, vs. BANGKO
KABAYAN-IBAAN RURAL BANK, INC.
799 SCRA 516, G.R. No. 219783, AUGUST 03,
2016
Rules of procedure allow a party in a civil action to
amend his pleading as a matter of right, so long as
the pleading is amended only once and before a
responsive pleading is served. Otherwise, a party
can only amend his pleading upon prior leave of
court. Hence, as long as it does not appear that the
motion for leave was made with bad faith or with
intent to delay the proceedings, courts are justified
to grant leave and allow the filling of an amended
pleading.
ADMINISTRATIVE LAW
First Division
Practice of Law
SPOUSES MANOLO and MILINIA
NUEZCA, vs. ATTY. ERNESTO V.
VILLAGARCIA
799 SCRA 542, A.C. No. 8210, AUGUST 08,
2016
The use of intemperate language and unkind
ascriptions has no place in the dignity of judicial
forum. Language abound with countless
possibilities for one to be emphatic but respectful,
convincing but not derogatory, and illuminating
but not offensive. The practice of law is a privilege
given to lawyers who meet the high standards of
legal proficiency and morality. Any violation of
these standards exposes the lawyer to
administrative liability.
LABOR LAW
First Division
Disability Benefit
MAGSAYSAY MARITIME
CORPORATION, PRINCESS CRUISE
LINES, MARLON R. ROÑO and “STAR
PRINCESS,” vs. ROMEO V.
PANOGALINOG
763 SCRA 140, G.R. No. 212049, JULY 15, 2015
The employer is liable for a seafarer’s disability
arising from a work-related injury or illness, only
after the degree of disability has been established by
the company-designated physician. A seafarer shall
be entitled to the payment of the full amount of his
disability compensation only if his injury, regardless
of the degree, results in loss of profession, i.e., his
physical condition prevents a return to sea service.
REMEDIAL LAW
First Division
Litis Pendentia
NORLINDA S. MARILAG, vs.
MARCELINO B. MARTINEZ
763 SCRA 533, G.R. No. 201892, JULY 22, 2015
Though the debt and the mortgage constitute
separate agreements, the latter is subsidiary to the
former, and both refer to one and the same
obligation. Splitting a cause of action is a mode of
forum shopping by filing multiple cases based on
the same cause of action, but with different prayers,
where the ground of dismissal is litis pendentia (or res
judicata as the case may be).
LABOR LAW
Second Division
Work-related Illness
Inter-Orient Maritime, Incorporated vs.
Candava
700 SCRA 174, June 26, 2013
Joselito contracted his illness in the course of
employment. It cannot also be denied that the same
was aggravated during the same period. Thus, there
was a clear causal connection between such illness
and his eventual death, making his death
compensable.
ADMINISTRATIVE LAW
Second Division
Simple Misconduct
Abulencia vs Hermosisima
699 SCRA 576, June 26, 2013
Respondent’s act of hurling invectives on the
complainants during office hours and within the
court premises was correctly held to be a case of
simple misconduct.
REMEDIAL LAW
Second Division
Probable Cause
De Los Santos-Dio vs. Court of Appeals,
699 SCRA 614, G.R. No. 178947 June 26, 2013
A judge is not bound by the resolution of the public
prosecutor who conducted the preliminary
investigation and must himself ascertain from the
latter’s findings and supporting documents whether
probable cause exists for the purpose of issuing a
warrant of arrest.
REMEDIAL LAW
Second Division
Appeals
Philippine Airlines, Inc. vs. Commissioner of
Internal Revenue
700 SCRA 322, G.R. No. 198759 July 1, 2013
When the trial court had already received all the
evidence of the parties, the Court may resolve the
case on the merits instead of remanding them in the
interest of expediency and to better serve the ends
of justice.
REMEDIAL LAW
Second Division
Preliminary Attachment
Lim vs Lazaro
G.R. No. 185734, July 3, 2013
The provisional remedy of the issuance of a writ of
preliminary attachment was improperly lifted
because even though the case was already closed
based on the compromise agreement between the
parties, that the said lien continues until the debt is
paid, or the sale is had under execution issued on
the judgment or until the judgment is satisfied, or
the attachment discharged or vacated in the same
manner provided by law.
LEGAL ETHICS
Second Division
Practice of Law
Cabanes, Jr.,
700 SCRA 734, A.C. No. 7749 July 8, 2013
Atty. Cabanes was suspended from the practice of
law for his failure to file his pre-trial brief as well as
to attend the scheduled hearings constitutes
negligence.
LABOR LAW
Second Division
Substantial Evidence
PNOC-Energy Development Corporation vs.
Estrella
700 SCRA 767, G.R. No. 197789 July 8, 2013
Neither do the text messages sent to Jacobe
predicate any corrupt motive on Estrella’s part
since the causal connection between these
messages and the conduct of Estrella’s bid
inspection and/or approval was not adequately
shown.
CIVIL LAW
Second Division
Succession
Heirs of Magdaleno Ypon vs. Ricaforte,
700 SCRA 778, G.R. No. 198680 July 8, 2013
Matters relating to the rights of filiation and
heirship must be ventilated in the proper probate
court in a special proceeding instituted precisely for
the purpose of determining such rights. Hence, the
status of an illegitimate child who claimed to be an
heir to a decedent’s estate could not be adjudicated
in an ordinary civil action which, as in this case, was
for the recovery of property.
REMEDIAL LAW
Second Division
Criminal Law
Coscolluela vs. Sandiganbayan
701 SCRA 188, G.R. No. 191411 July 15, 2013
Petitioners could not have urged the speedy
resolution of their case because they were
completely unaware that the investigation against
them was still on-going or at most has been
declared dismissed.
LABOR LAW
Second Division
Loss of Trust and Confidence
Martinez vs. Central Pangasinan
Coorperatuin,
701 SCRA 205, G.R. No. 192306 July 15, 2013
Martinez’s failure to properly account for his
shortage of such a significant amount is enough
reason for CENPELCO to lose trust and
confidence in him. Hence, a ground for valid
dismissal of an employee.
REMEDIAL LAW
Second Division
Forcible Entry
Philippine Tourism Authority vs. Sabandal-
Herzenstiel
701 SCRA 517, G.R. No. 196741 July 17, 2013
In an action for forcible entry, the plaintiff must
prove that he was in prior possession of the
disputed property and that the defendant deprived
him of his possession. Suffice it to state that
possession in the eyes of the law does not mean
that a man has to have his feet on every square
meter of the ground before he is deemed in
possession.
LABOR LAW
En Banc
Termination of Employment
Abbott Laboratories, Philippines vs. Alcaraz
701 SCRA 682, G.R. No. 192571 July 23, 2013
A probationary employee may also be terminated
for failure to qualify as a regular employee in
accordance with the reasonable standards made
known by the employer to the employee at the time
of the engagement.
POLITICAL LAW
Second Division
Local Government Code
Province of Cagayan vs. Lara
702 SCRA 183, G.R. No. 188500 July 24, 2013
In order for an entity to legally undertake a
quarrying business, he must first comply with all
the requirements imposed not only by the national
government, but also by the local government unit
where his business is situated.
CIVIL LAW
Second Division
Reconstitution of Titles
Republic vs. De Asis, Jr.
702 SCRA 258, G.R. No. 193874 July 24, 2013
Reconstitution must be granted only upon clear
proof that the title sought to be restored had
previously existed and was issued to the petitioner.
Strict compliance with the requirements of the law
aims to thwart dishonest parties from abusing
reconstitution proceedings as a means of illegally
obtaining properties otherwise already owned by
other parties.
MERCANTILE LAW
Second Divisin
Corporate Rehabilitation
Bank of the Philippine Islands vs. Sarabia
Manor Hotel Corporation
702 SCRA 432, G.R. No. 175844 July 29, 2013
Rehabilitation plan may be approved even over the
opposition of the creditors holding a majority of
the corporation’s total liabilities if there is a
showing that rehabilitation is feasible and the
opposition of the creditors is manifestly
unreasonable.
CIVIL LAW
Second Division
Tax Declaration
Heirs of Alejandra Delfin vs. Rabadon
702 SCRA 587, G.R. No. 165014 July 31, 2013
The tax declarations and tax receipts are
insufficient to prove petitioner’s proffered theory
that their predecessor-in-interest was the lawful
possessor and owner of the foregoing property
even before the last World War. Hence, the failure
to prove the legitimacy of Remegio’s possession
and ownership since they failed to present the
pertinent deed of sale or any other evidence of the
latter’s title.
REMEDIAL LAW
Second Division
Appeals
Lihaylihay vs. People
702 SCRA 755, G.R. No. 191219 July 31, 2013
Issues brought to the Court on whether the
prosecution was able to prove the guilt of the
accused beyond reasonable doubt, whether the
presumption of innocence was sufficiently
debunked, whether or not conspiracy was
satisfactorily established, or whether or not good
faith was properly appreciated, are all, invariably,
questions of fact. Hence, absent any of the
recognized exceptions to the above-mentioned
rule, the Sandiganbayan’s findings on the foregoing
matters should be deemed as conclusive.
REMEDIAL LAW
Second Division
Grave Abuse of Discretion
Secretary of the Department of Finance vs.
Court of Tax Appeals
703 SCRA 187, G.R. No. 168137 August 7, 2013
An act of a court or tribunal can only be considered
to be tainted with grave the abuse of discretion
must be so patent or gross as to constitute an
evasion of a positive duty or a virtual refusal to
perform the duty or to act at all in contemplation
of law. Finding that this characterization does not
fit the CTA’s exercise of discretion in this case, the
Court holds that no grave abuse of discretion
attended its grant of KCTMPC’s motion to release.
CIVIL LAW
Second Division
Property Relations
Tan vs. Andrade
703 SCRA 198, G.R. No. 171904 August 7, 2013
There must be strict proof of the exclusive
ownership of one of the spouses, and the burden
of proof rests upon the party asserting it.
Otherwise, all property of the marriage is presumed
to belong to the conjugal partnership.
REMEDIAL LAW
Second Division
Grave Abuse of Discretion
The Law Firm of Chavez Miranda and
Aseoche vs. Fria
703 SCRA 258, August 07, 2013
he abuse of discretion must be so patent and gross
as to amount to an evasion of a positive duty or to
a virtual refusal to perform a duty enjoined by law,
or to act at all in contemplation of law, as where the
power is exercised in an arbitrary and despotic
manner by reason of passion and hostility.
REMEDIAL LAW
En Banc
Evidence
Delos Santos vs. Commission on Audit
703 SCRA 501, August 13, 2013
The petitioners invoked good faith in the
performance of their respective duties. However,
the presumption of regularity in the performance
of official duties in the absence of bad faith and
malice must fail in the presence of an explicit rule
that was violated.
TAXATION LAW
Second Division
Tax Refund
J.R.A. Philippines, Inc. vs. Commissioner of
Internal Revenue
704 SCRA 94, August 28, 2013
The applicant failed to prove his entitlement to the
claim and compliance with all the documentary and
evidentiary requirements for refund when records
show that all of the export sales invoices presented
not only lack the word “zero-rated” but also failed
to reflect its BIR Permit to Print as well as its TIN-
V.
REMEDIAL LAW
En Banc
Criminal Procedure
Yalong vs. People
704 SCRA 195, August 28, 2013
The subject check which was drawn, issued, and
delivered in Manila and presented and dishonored
in Batangas City may be prosecuted for violation of
BP 22 in any of the places where any of its elements
occurred — in particular, the place where the check
is drawn, issued, delivered, or dishonored.
REMEDIAL LAW
Second Division
Appeals
Castells vs. Saudi Arabian Airlines
704 SCRA 206, August 28, 2013
The CA in exercising its sound discretion in
granting the extension to file a petition for
certiorari beyond the 60 day reglementary period
thru a Resolution could not renege on such grant
by rendering refusing to admit the same petition.
REMEDIAL LAW
Second Division
Civil Procedure
B. Sta. Rita & Co., Inc. vs. Gueco
704 SCRA 320, August 28, 2013
Petitioners were not parties in the surrender of
titles case nor did they, in any manner, participate
in the proceedings of the same and as such, cannot
therefore interpose an appeal therefrom.
LEGAL ETHICS
Second Division
Attorney’s Fees
Asian Construction and Development
Corporation vs. Sumitomo Corporation
704 SCRA 332, August 28, 2013

The CA’s deletion of attorney’s fees is proper
because the stipulation on attorney’s fees between
the parties was inoperative and the records
disclosed that there was no gross and evident bad
faith on the part of the petitioner.
LABOR LAW
Second Division
Reinstatement
Integrated Microelectronics, Inc. vs. Pionilla
704 SCRA 362, August 28, 2013
The reinstatement of the respondent without
backwages was proper because the penalty of
dismissal was too harsh of a penalty to be imposed
against him for his infractions and because his
employer was in good faith when it dismissed
Pionilla as his dereliction of its policy on ID usage
was honestly perceived to be a threat to the
company’s security.
REMEDIAL LAW
Second Division
Civil Procedure
Sangguniang Barangay of Pangasugan,
Baybay, Leyte vs. Exploration Permit
Application (EXTA-000005-VIII) of
Philippine National Oil Company
704 SCRA 446, September 02, 2013
Petitioner’s attempt to re-litigate a subject matter of
the MAB’s Decision which had long become final
and executory must immediately be struck down as
it violates the doctrine of immutability of judgment,
wherein a decision that has acquired finality
becomes immutable and unalterable, and may no
longer be modified in any respect.
REMEDIAL LAW
Second Division
Civil Procedure
First Gas Power Corporatin vs. Republic of
the Philippines
704 SCRA 453, September 02, 2013
The CA correctly held that it was erroneous for the
RTC to set aside the ruling of a co-equal and
coordinate court as it is an utter disregard of the
policy of judicial stability which states that the
judgment of a court of competent jurisdiction may
not be interfered with by any court of concurrent
jurisdiction.
REMEDIAL LAW
Second Division
Stare Decisis
Banco Filipino Savings and Mortgage Bank
vs. Tala Realty Services Corporation
705 SCRA 208, September 09, 2013
On the basis of the principle of stare decisis which
enjoins adherence to judicial precedents as
controlling and binding, Banco Filipino cannot
demand the reconveyance of the subject properties
in the present cases wherein the Court has
previously declared that the implied trust
agreement between Banco Filipino and Tala Realty
is inexistent and void for being contrary to law.
REMEDIAL LAW
Second Division
Civil Procedure
Cruz vs. Manila International Airport
Authority
705 SCRA 275, September 09, 2013
It is highly erroneous for the appellee to either
assign any error or seek any affirmative relief or
modification of the lower court’s judgment without
interposing its own appeal, as his role in the appeal
process is confined only to the task of refuting the
assigned errors interposed by the appellant.
LEGAL ETHICS
Second Division
Attorneys
Orola vs. Ramos
705 SCRA 350, September 11, 2013
Respondent’s justification that no confidential
information was relayed to him and was only a
friendly accommodation cannot fully exculpate him
for the charges against him since the rule on
conflict of interests provides an absolute
prohibition from representation with respect to
opposing parties in the same case.
REMEDIAL LAW
Second Division
Civil Procedure
Unicapital, Inc. vs. Consing, Jr.
705 SCRA 511, September 11, 2013
Although the subject cases involve the same parties
and proceeding from a similar factual milieu, it
should remain unconsolidated since they proceed
from different sources of obligations and, hence,
would have no practical effect as the core issues
and reliefs sought in each case are separate and
distinct from the other.
REMEDIAL LAW
Second Division
Compromise Judgment
Remulla vs. Maliksi
706 SCRA 35, September 18, 2013
Remulla, being a resident-taxpayer of the Province
of Cavite whose public funds stand to be expended
to enforce a compromise judgment, has the legal
standing to file the petition for annulment of
judgment since a taxpayer may be allowed to sue
where public money is being deflected to any
improper purpose.
CIVIL LAW
Second Division
Partition
Bagayas vs. Bagayas
706 SCRA 73, September 18, 2013
The petitioner could not ask for the partition of the
subject lands since the first phase of a partition is
taken up with the determination of whether or not
a co-ownership in fact exists and she is not entitled
because a co- ownership does not exist.
AGRARIAN REFORM
Second Division
Jurisdiction
Department of Agrarian Reform vs. Court of
Appeals
706 SCRA 213, September 23, 2013
The DAR Secretary has competence and
jurisdiction to determine whether or not the land
falls under agrarian reform exemption from CARP
coverage and courts cannot simply brush aside his
pronouncements regarding the status of the land in
dispute.
REMEDIAL LAW
Second Division
Special Civil Action
Heirs of the Late Spouses Flaviano
Maglasang and Salud Adaza-Maglasang vs.
Manila Banking Corporation
706 SCRA 235, September 23, 2013
The stipulation under the real estate
mortgage executed by Sps. Maglasang which fixed
the place of the foreclosure sale lacks words of
exclusivity which would bar any other acceptable
fora wherein the said sale may be conducted, thus,
the stipulated place should only be as an additional,
not a limiting venue.
REMEDIAL LAW
En Banc
Actual Justiciable Controversy
Republic vs. Roque
706 SCRA 273, September 24, 2013
Private respondents failed to demonstrate how they
are in immediate danger to sustain some direct
injury and only asserted general interests and
infractions which the government could
prospectively commit if the enforcement of the
said law would remain untrammeled, thus, there is
no actual justiciable controversy in the case.
REMEDIAL LAW
Second Divison
Evidence
Acaac vs. Azcuna, Jr.
706 SCRA 440, September 30, 2013
Even though Azcuna failed to submit any other
evidence in accordance with the presumption of
validity in favor of an ordinance, its
constitutionality or legality should be upheld in the
absence of any controverting evidence. Petitioners
had the burden of proving their own allegation,
which they, however, failed to do.
ADMINISTRATIVE LAW
En Banc
Administrative Supervision
Re: Request for Guidance/Clarification on
Section 7, Rule 111 of Republic Act. No. 10154
Requiring Retiring Government Employees to
Secure a Clearance of Pendency/Non-
Pendency of Casels from the Civil Service
Commission
706 SCRA 502, October 01, 2013
A clearance requirement which pertains to criminal
cases on retiring court personnel is a matter beyond
the ambit of the Judiciary’s power of administrative
supervision.
CIVIL LAW
Second Division
Contracts To Sell
FREDERICK VENTURA, MARITES
VENTURA-ROXAS, and PHILIP
VENTURA (HEIRS OF DECEASED
DOLORES C. VENTURA), vs. HEIRS OF
SPOUSES EUSTACIO T. ENDAYA and
TRINIDAD L. ENDAYA, namely, TITUS L.
ENDAYA, ENRICO L. ENDAYA, and
JOSEPHINE ENDAYA-BANTUG
706 SCRA 631, G.R. No. 190016, OCTOBER
02, 2013
While the quality of contingency inheres in a
contract to sell, the same should not be confused
with a conditional contract of sale. In a contract to
sell, the fulfillment of the suspensive condition will
not automatically transfer ownership to the buyer
although the property may have been previously
delivered to him. The prospective seller still has to
convey title to the prospective buyer by entering
into a contract od absolute sale. On the other hand,
in a conditional contract of sale, the fulfillment of
the suspensive condition renders the sale absolute
and the previous delivery of the property has the
effect of automatically transferring the seller’s
ownership or title to the property to the buyer.
LEGAL ETHICS
En Banc
Practice of Law
MARIA CRISTINA ZABALJAUREGUI
PITCHER, vs. ATTY. RUSTICO B.
GAGATE
707 SCRA 13, A.C. No. 9532, OCTOBER 08,
2013
The Court observes that, in the present case,
complainant was subjected to a grave injury as she
was subjected to a graver injury as she was
prosecuted for the crime of grave coercion largely
due to the advice of respondent. Were it not for
respondent’s imprudent counseling, not to mention
his act of abandoning his client during the
proceedings, complainant would not have unduly
suffered the harbors of a criminal prosecution. The
Court finds it apt to impose against respondent a
higher penalty of suspension from the practice of
law for a period of three years as recommended by
the OBC.
CONSTITUTIONAL LAW
En Banc
House of Representatives Electoral Tribunal
WIGBERTO R. TAÑADA, JR., vs.
COMMISSION ON ELECTIONS,
ANGELINA D. TAN, AND ALVIN JOHN S.
TAÑADA
708 SCRA 188 G.R. Nos. 207199-200,
OCTOBER 22, 2013
Case law states that the proclamation of a
congressional candidate following the election
divests the COMELEC of jurisdiction over
disputes relating to the election, returns, and
qualifications of the proclaimed representative in
favor of the HRET. Considering that Angelina had
already been proclaimed as Member of the House
of Representatives for the 4th District of Quezon
Province, the Court is now without jurisdiction to
resolve the case at bar.
REMEDIAL LAW
Second Division
Provisional Remedies
OFFICE OF THE OMBUDSMAN
(VISAYAS), vs. COURT OF APPEALS and
BERMELA A. GABUYA
708 SCRA 523 G.R. No. 189801, OCTOBER
23, 2013

The ancillary remedy of preliminary injunction
cannot exist except only as part of an independent
action or proceeding. Thus, since the CA already
remanded the case to the Ombudsman for the
purpose of resolving Gabuya’s pending motion for
reconsideration, the writ of preliminary injunction
issued by it, absent any countervailing justification
therefor, must be dissolved.
LEGAL ETHICS
Second Division
Attorneys
AZUCENA SEGOVIA-RIBAYA, vs. ATTY.
BARTOLOME C. LAWSIN
709 SCRA 287, A.C. No. 7965, NOVEMBER
13, 2013
A lawyer’s duty to his client is one essentially
imbued with trust so much so that it is incumbent
upon the former to exhaust all reasonable efforts
towards its faithful compliance. In this case, despite
that singular encounter, respondent had thereafter
all the opportunity to return the subject amount but
still failed to do so. Besides, the obligatory force of
said duty should not be diluted by the temperament
or occasional frustrations of the lawyer’s client,
especially so when the latter remains unsatisfied by
the lawyer’s work.
REMEDIAL LAW
Second Division
Recantations
PEOPLE OF THE PHILIPPINES, vs.
P/SUPT. ARTEMIO E. LAMSEN, PO2
ANTHONY D. ABULENCIA, and SPO1
WILFREDO L. RAMOS
709 SCRA 522, G.R. No. 198338,
NOVEMBER 13, 3013
The rule is settled that in cases where previous
testimony is retracted and a subsequent different, if
not contrary, testimony is made by the same
witness, the test to decide which testimony to
believe is one of comparison coupled with the
application of the general rules of evidence. A
testimony solemnly given in court should not be set
aside and disregarded lightly, and before this can be
done, both the previous testimony and the
subsequent one should be carefully compared and
juxtaposed, the circumstances under which each
was made, carefully and keenly scrutinized, and the
reasons or motives for the change discriminatingly
analyzed.
CONSTITUTIONAL LAW
En Banc
Separation of Powers
GRECO ANTONIOUS BEDA B. BELGICA,
JOSE M. VILLEGAS, JR., JOSE L.
GONZALEZ, REUBEN M. ABANTE, and
QUINTIN PAREDES SAN DIEGO, vs.
HONORABLE EXECUTIVE SECRETARY
PAQUITO N. OCHOA, JR., SECRETARY
OF BUDGET AND MANAGEMENT
FLORENCIO B. ABAD, NATIONAL
TREASURER ROSALIA V. DE LEON,
SENATE OF THE PHILIPPINES,
represented by FRANKLIN M. DRILON in
his capacity as SENATE PRESIDENT, and
HOUSE OF REPRESENTATIVES,
represented by FELICIANO S.
BELMONTE, JR. in his capacity as
SPEAKER OF THE HOUSE
710 SCRA 1, G.R. No. 208566, NOVEMBER
19, 2013
Post-enactment measures which govern the areas
of project identification, fund release and fund
realignment are not related to functions of
congressional oversight and, hence, allow
legislators to intervene and/or assume duties that
properly belong to the sphere of budget execution.
From the moment the law becomes effective, any
provision of law that empowers Congress or any of
its members to pay any role in the implementation
or enforcement of the law violates the principle of
separation of powers and is thus unconstitutional.
REMEDIAL LAW
Second Division
Judgment on the Pleadings
GOVERNMENT SERVICE INSURANCE
SYSTEM, vs. PRUDENTIAL GUARANTEE
 AND ASSURANCE, INC.,
DEVELOPMENT BANK OF THE
PHILIPPINES, and LAND BANK OF THE
PHILIPPINES
710 SCRA 337, G.R. No. 165585, November 20,
2013
Judgment on the pleadings is appropriate when an
answer fails to tender an issue, or otherwise admits
the material allegations of the adverse party’s
pleasing. It is a form of judgment that is exclusively
based on the submitted pleadings without the
introduction of evidence as the factual issues
remain uncontroverted.
MERCANTILE LAW
Second Division
Trademarks
BIRKENSTOCK ORTHOPAEDIE GMBH
AND CO. KG (formerly BIRKENSTOCK
ORTHOPAEDIE GMBH), vs. PHILIPPINE
SHOE EXPO MARKETING
CORPORATION
710 SCRA 474, G.R. No. 194307, NOVEMBER
20, 2013
It is not the application or registration of a
trademark that vests ownership thereof, but it is the
ownership of a trademark that confers the right to
register the same. A trademark is an industrial
property over which its owner is entitled to
property rights which cannot be appropriated by
unscrupulous entities that, in one way or another,
happen to register such trademark ahead of its true
and lawful owner. The presumption of ownership
accorded to a registrant must then necessarily yield
to superior evidence of actual and real ownership
of a trademark.
AGRARIAN REFORM
Second Division
Right of Retention
HEIRS OF ROMULO D. SANDUETA,
namely: GLORIA SANDUETA ELOPRE,
HEIRS OF JOSEPHINE S. NADALA,
represented by ROY S. NADALA,
HOFBOWER SANDUETA, NERISA
SANDUETA MICUBO, OSCAR
SANDUETA, MARILYN SANDUETA
VELASCO, RONALD SANDUETA, and
NAPOLEON SANDUETA, vs. DOMINGO
ROBLES, HEIRS OF TEODORO ABAN,
namely: NERIO ABAN, VIRGINIO ABAN,
SUSANA ABAN, and DAVID ABAN; HEIRS
OF EUFRECENA** GALEZA, namely:
CESAR GALEZA, NESTOR GALEZA,
ANGELA GALEZA, JUSTO GALEZA, KIA
GALEZA PONCE, PORFERIA GALEZA
NALZARO, ROSARIO GALEZA VELASCO,
HERMINIA GALEZA GUERRERO, and
NONA GALEZA NACARIO
710 SCRA 491, G.R. No. 203204, NOVEMBER
20, 2013
The right of retention, as protected and enshrined
in the Constitution, balances the effects of
compulsory land acquisition by granting the
landowner the right to choose the area to be
retained subject to legislative standards. Since the
right is granted to limit the effects of compulsory
land acquisition, it is a prerequisite that the land
falls under the coverage of the Operation Land
Transfer Program of the government. If the land is
beyond the ambit of the OLT Program, the
landowner need not apply for retention since the
appropriate remedy would be to apply for
exemption.
LEGAL ETHICS
Second Division
Penalties
FELIPE C. DAGALA, vs. ATTY. JOSE C.
QUESADA, JR. and ATTY. AMADO T.
ADQUILEN
711 SCRA 206, A.C. No. 5044, DECEMBER
02, 2013
A retained counsel is expected to serve the client
with competence and diligence and not to sit idly
by and leave the rights of his client in a state of
uncertainty. He is obliged to attend scheduled
hearings or conferences, prepare and file the
required pleadings, prosecute the handled cases
with reasonable dispatch, and urge their
termination without waiting for the client or the
court to prod him or her to do so. The appropriate
penalty on an errant lawyer depends on the exercise
of sound judicial discretion based on the
surrounding facts.
CIVIL LAW
Second Division
Property
LAURA E. PARAGUYA, vs. SPOUSES
ALMA ESCUREL-CRUCILLO and
EMETERIO CRUCILLO, and the
REGISTER OF DEEDS OF SORSOGON
711 SCRA 275, G.R. No. 200265, DECEMBER
02, 2013
It is an established rule that a Torrens certificate of
title is not conclusive proof of ownership. A party
may seek its annulment on the basis of fraud or
misrepresentation. However, such action must be
seasonably filed, else the same would be barred.
The period to contest a decree of registration shall
be one (1) year from the date of its entry and that,
after the lapse of the said period, the Torrens
certificate of title issued thereon becomes
incontrovertible and indefeasible.
CIVIL LAW
Second Division
Fortuitous Event
METRO CONCAST STEEL
CORPORATION, SPOUSES JOSE S.
DYCHIAO AND TIU OH YAN, SPOUSES
GUILLERMO AND MERCEDES
DYCHIAO, AND SPOUSES VICENTE
AND FILOMENA DYCHIAO, vs. ALLIED
BANK CORPORATION
711 SCRA 479, G.R. No. 177921, DECEMBER
04, 2013
Fortuitous events by definition are extraordinary
event not foreseeable or avoidable. It is therefore
not enough that the event should not have been
foreseen or anticipated, as is commonly believed
but it must be one impossible to foresee or to
avoid. The mere difficulty to foresee the happening
is not impossibility to foresee the same. To
constitute a fortuitous event, the following
elements must concur: (a) the cause of the
unforeseen and unexpected occurrence or of the
failure of the debtor to comply with obligations
must be independent of human will; (b) it must be
impossible to foresee the event that constitutes the
caso fortuito or, if it can be foreseen, it must be
impossible to avoid; (c) the occurrence must be
such as to render it impossible for the debtor to
fulfill obligations in a normal manner; and, (d) the
obligor must be free from any participation in the
aggravation of the injury or loss.
CIVIL LAW
Second Division
Contracts to Sell
OPTIMUM DEVELOPMENT BANK, vs.
SPOUSES BENIGNO V. JOVELLANOS and
LOURDES R. JOVELLANOS
711 SCRA 548, G.R. No. 189145, DECEMBER
04, 2013
In a contract to sell, the prospective seller binds
himself to sell the property subject of the
agreement exclusively to the prospective buyer
upon fulfillment of the condition agreed upon
which is the full payment of the purchase price but
reserving to himself the ownership of the subject
property despite delivery thereof to the prospective
buyer. The unlawful detainer suit for illegally
withholding possession of the subject property is
premised upon the cancellation or termination of
the Contract to Sell. Nonpayment of the
installments due had rendered the Contract to Sell
without force and effect, thus depriving the latter
of their right to possess the property.
LABOR LAW
Second Division
Substantial Evidence
XAVIER C. RAMOS, vs. BPI FAMILY
SAVINGS BANK, INC. and ALFONSO L.
SALCEDO, JR.
711 SCRA 590, G.R. No. 203186, DECEMBER
04, 2013
In cases files before administrative or quasi-judicial
bodies, a fact may be deemed established if it is
supported by substantial evidence, or that amount
of relevant evidence which a reasonable mind
might accept as adequate to justify a conclusion.

LABOR LAW
Second Division
Nominal Damages
SANGWOO PHILIPPINES, INC.
EMPLOYEES UNION OLALIA, represented
by PORFERIA SALIBONGCOGON, vs.
SANGWOO PHILIPPINES, INC. and/or
SANG IK JANG, JISSO JANG, WISSO JANG,
and NORBERTO TADEO
711 SCRA 618, G.R. No. 173229, DECEMBER
09, 2013
It is well to stress that while SPI had a valid ground
to terminate its employees, i.e., closure of business,
its failure to comply with the proper procedure for
termination renders it liable to pay the employee
nominal damages for such omission. An employer
which has a valid cause for dismissing its employee
but conducts the dismissal with procedural
infirmity is liable to pay the employee nominal
damages. However, case law exhorts that in
instances where the payment of such damages
becomes impossible, unjust, or too burdensome,
modification becomes necessary in order to
harmonize the disposition with the prevailing
circumstances.
REMEDIAL LAW
Second Division
Forum Shopping
PHILIPPINE POSTAL CORPORATION,
vs. COURT OF APPEALS and CRISANTO
G. DE GUZMAN
711 SCRA 632, G.R. No. 173590, December 09,
2013
De Guzman was also guilty of forum-shopping by
pursuing two (2) separate remedies – petition for
certiorari and appeal – that have long been held to
be mutually exclusive, and not alternative or
cumulative remedies. By failing to inform the Court
of Appeals of his subsequent filing of a notice of
appeal before the Philippine Postal Corporation,
De Guzman committed a violation of his
certification against forum-shopping with the
Court of Appeals, which has been held to be a
ground for dismissal of an action distinct from
forum-shopping itself.
CIVIL LAW
Second Division
Novation
ACE FOODS, INC., vs. MICRO PACIFIC
TECHNOLOGIES CO., LTD.,[1]
712 SCRA 679, G.R. No. 200602, DECEMBER
11, 2013
Novation in its broad concept, may either be
extinctive or modificatory. It is extinctive when an
old obligation is terminated by the creation of a
new obligation that takes place of the former; it is
merely modificatory when the old obligation
subsists to the extent it remains compatible with
the amendatory agreement. In either case, however,
novation is never presumed, and the animus novandi,
whether totally or partially, must appear by express
agreement of the parties, or by their acts that are
too clear and unequivocal to be mistaken.
REMEDIAL LAW
Second Division
Contempt
LETICIA P. LIGON, vs. THE REGIONAL
TRIAL COURT, BRANCH 56 AT MAKATI
CITY AND ITS PRESIDING JUDGE,
JUDGE REYNALDO M. LAIGO, SHERIFF
IV LUCITO V. ALEJO, ATTY. SILVERIO
GARING, MR. LEONARDO J. TING, AND
MR. BENITO G. TECHICO
717 SCRA 373, G.R. No. 190028, FEBRUARY
26, 2014
Contempt of court has been defined as a willful
disregard or disobedience of a public authority. In
its broad sense, contempt is a disregard of, or
disobedience to, the rules or orders of a legislative
or judicial body or an interruption of its proceeding
by disorderly behavior or insolent language in its
presence or so near thereto as to disturb its
proceedings or to impair the respect due to such a
body. In its restricted and more usual sense,
contempt comprehends a despising of the
authority, justice, or dignity of a court.
CIVIL LAW
Second Division
Estoppel
GMA NETWORK, INC., vs. NATIONAL
TELECOMMUNICATIONS COMMISSION
717 SCRA 435, G.R. No. 196112, FEBRUARY
26, 2014
The State cannot be put in estoppel by the mistakes
or errors of its officials or agents. Hence, whatever
irregularity had attended the issuance of the
temporary permits in this case does not render
correct what appears to be erroneous procedure.
ADMINISTRATIVE LAW
Second Division
Court Personnel
OFFICE OF THE COURT
ADMINISTRATOR, vs. PAZ P.
CAPISTRANO, COURT STENOGRAPHER
III, REGIONAL TRIAL COURT, QUEZON
CITY, BRANCH 224
728 SCRA 439, A.M. No. P-13-3147, JULY 02,
2014
No other office in the government service exercises
a greater demand for moral righteousness and
uprightness from an employee than in the Judiciary.
The Court has repeated emphasized that the
conduct of court personnel, from the presiding
judge to the lowliest clerk, must always be
circumscribed with the heavy burden of
responsibility as to let them be free from any
suspicion that may taint the judiciary. The Court
condemns and would never countenance any
conduct, act or omission on the part of all those
involved in the administration of justice, which
would violate the norm of public accountability and
diminish or even just tend to diminish the faith of
the people in the Judiciary.
CIVIL LAW
Second Division
Contracts To Sell
FREDERICK VENTURA, MARITES
VENTURA-ROXAS, and PHILIP
VENTURA (HEIRS OF DECEASED
DOLORES C. VENTURA), vs. HEIRS OF
SPOUSES EUSTACIO T. ENDAYA and
TRINIDAD L. ENDAYA, namely, TITUS L.
ENDAYA, ENRICO L. ENDAYA, and
JOSEPHINE ENDAYA-BANTUG
706 SCRA 631, G.R. No. 190016, OCTOBER
02, 2013
While the quality of contingency inheres in a
contract to sell, the same should not be confused
with a conditional contract of sale. In a contract to
sell, the fulfillment of the suspensive condition will
not automatically transfer ownership to the buyer
although the property may have been previously
delivered to him. The prospective seller still has to
convey title to the prospective buyer by entering
into a contract od absolute sale. On the other hand,
in a conditional contract of sale, the fulfillment of
the suspensive condition renders the sale absolute
and the previous delivery of the property has the
effect of automatically transferring the seller’s
ownership or title to the property to the buyer.
LEGAL ETHICS
En Banc
Practice of Law
MARIA CRISTINA ZABALJAUREGUI
PITCHER, vs. ATTY. RUSTICO B.
GAGATE
707 SCRA 13, A.C. No. 9532, OCTOBER 08,
2013
The Court observes that, in the present case,
complainant was subjected to a grave injury as she
was subjected to a graver injury as she was
prosecuted for the crime of grave coercion largely
due to the advice of respondent. Were it not for
respondent’s imprudent counseling, not to mention
his act of abandoning his client during the
proceedings, complainant would not have unduly
suffered the harbors of a criminal prosecution. The
Court finds it apt to impose against respondent a
higher penalty of suspension from the practice of
law for a period of three years as recommended by
the OBC.
CONSTITUTIONAL LAW
En Banc
House of Representatives Electoral Tribunal

WIGBERTO R. TAÑADA, JR., vs.
COMMISSION ON ELECTIONS,
ANGELINA D. TAN, AND ALVIN JOHN S.
TAÑADA
708 SCRA 188 G.R. Nos. 207199-200,
OCTOBER 22, 2013
Case law states that the proclamation of a
congressional candidate following the election
divests the COMELEC of jurisdiction over
disputes relating to the election, returns, and
qualifications of the proclaimed representative in
favor of the HRET. Considering that Angelina had
already been proclaimed as Member of the House
of Representatives for the 4th District of Quezon
Province, the Court is now without jurisdiction to
resolve the case at bar.
REMEDIAL LAW
Second Division
Provisional Remedies
OFFICE OF THE OMBUDSMAN
(VISAYAS), vs. COURT OF APPEALS and
BERMELA A. GABUYA
708 SCRA 523 G.R. No. 189801, OCTOBER
23, 2013
The ancillary remedy of preliminary injunction
cannot exist except only as part of an independent
action or proceeding. Thus, since the CA already
remanded the case to the Ombudsman for the
purpose of resolving Gabuya’s pending motion for
reconsideration, the writ of preliminary injunction
issued by it, absent any countervailing justification
therefor, must be dissolved.
LEGAL ETHICS
Second Division
Attorneys
AZUCENA SEGOVIA-RIBAYA, vs. ATTY.
BARTOLOME C. LAWSIN
709 SCRA 287, A.C. No. 7965, NOVEMBER
13, 2013
A lawyer’s duty to his client is one essentially
imbued with trust so much so that it is incumbent
upon the former to exhaust all reasonable efforts
towards its faithful compliance. In this case, despite
that singular encounter, respondent had thereafter
all the opportunity to return the subject amount but
still failed to do so. Besides, the obligatory force of
said duty should not be diluted by the temperament
or occasional frustrations of the lawyer’s client,
especially so when the latter remains unsatisfied by
the lawyer’s work.
REMEDIAL LAW
Second Division
Recantations
PEOPLE OF THE PHILIPPINES, vs.
P/SUPT. ARTEMIO E. LAMSEN, PO2
ANTHONY D. ABULENCIA, and SPO1
WILFREDO L. RAMOS
709 SCRA 522, G.R. No. 198338,
NOVEMBER 13, 3013
The rule is settled that in cases where previous
testimony is retracted and a subsequent different, if
not contrary, testimony is made by the same
witness, the test to decide which testimony to
believe is one of comparison coupled with the
application of the general rules of evidence. A
testimony solemnly given in court should not be set
aside and disregarded lightly, and before this can be
done, both the previous testimony and the
subsequent one should be carefully compared and
juxtaposed, the circumstances under which each
was made, carefully and keenly scrutinized, and the
reasons or motives for the change discriminatingly
analyzed.
CONSTITUTIONAL LAW
En Banc
Separation of Powers
GRECO ANTONIOUS BEDA B. BELGICA,
JOSE M. VILLEGAS, JR., JOSE L.
GONZALEZ, REUBEN M. ABANTE, and
QUINTIN PAREDES SAN DIEGO, vs.
HONORABLE EXECUTIVE SECRETARY
PAQUITO N. OCHOA, JR., SECRETARY
OF BUDGET AND MANAGEMENT
FLORENCIO B. ABAD, NATIONAL
TREASURER ROSALIA V. DE LEON,
SENATE OF THE PHILIPPINES,
represented by FRANKLIN M. DRILON in
his capacity as SENATE PRESIDENT, and
HOUSE OF REPRESENTATIVES,
represented by FELICIANO S.
 BELMONTE, JR. in his capacity as
SPEAKER OF THE HOUSE
710 SCRA 1, G.R. No. 208566, NOVEMBER
19, 2013
Post-enactment measures which govern the areas
of project identification, fund release and fund
realignment are not related to functions of
congressional oversight and, hence, allow
legislators to intervene and/or assume duties that
properly belong to the sphere of budget execution.
From the moment the law becomes effective, any
provision of law that empowers Congress or any of
its members to pay any role in the implementation
or enforcement of the law violates the principle of
separation of powers and is thus unconstitutional.
REMEDIAL LAW
Second Division
Judgment on the Pleadings
GOVERNMENT SERVICE INSURANCE
SYSTEM, vs. PRUDENTIAL GUARANTEE
AND ASSURANCE, INC.,
DEVELOPMENT BANK OF THE
PHILIPPINES, and LAND BANK OF THE
PHILIPPINES
710 SCRA 337, G.R. No. 165585, November 20,
2013
Judgment on the pleadings is appropriate when an
answer fails to tender an issue, or otherwise admits
the material allegations of the adverse party’s
pleasing. It is a form of judgment that is exclusively
based on the submitted pleadings without the
introduction of evidence as the factual issues
remain uncontroverted.
MERCANTILE LAW
Second Division
Intellectual Property Rights
BIRKENSTOCK ORTHOPAEDIE GMBH
AND CO. KG (formerly BIRKENSTOCK
ORTHOPAEDIE GMBH), vs. PHILIPPINE
SHOE EXPO MARKETING
CORPORATION
710 SCRA 474, G.R. No. 194307, NOVEMBER
20, 2013
It is not the application or registration of a
trademark that vests ownership thereof, but it is the
ownership of a trademark that confers the right to
register the same. A trademark is an industrial
property over which its owner is entitled to
property rights which cannot be appropriated by
unscrupulous entities that, in one way or another,
happen to register such trademark ahead of its true
and lawful owner. The presumption of ownership
accorded to a registrant must then necessarily yield
to superior evidence of actual and real ownership
of a trademark.
AGRARIAN REFORM
Second Division
Right of Retention
HEIRS OF ROMULO D. SANDUETA,
namely: GLORIA SANDUETA ELOPRE,
HEIRS OF JOSEPHINE S. NADALA,
represented by ROY S. NADALA,
HOFBOWER SANDUETA, NERISA
SANDUETA MICUBO, OSCAR
SANDUETA, MARILYN SANDUETA
VELASCO, RONALD SANDUETA, and
NAPOLEON SANDUETA, vs. DOMINGO
ROBLES, HEIRS OF TEODORO ABAN,
namely: NERIO ABAN, VIRGINIO ABAN,
SUSANA ABAN, and DAVID ABAN; HEIRS
OF EUFRECENA** GALEZA, namely:
CESAR GALEZA, NESTOR GALEZA,
ANGELA GALEZA, JUSTO GALEZA, KIA
GALEZA PONCE, PORFERIA GALEZA
NALZARO, ROSARIO GALEZA VELASCO,
HERMINIA GALEZA GUERRERO, and
NONA GALEZA NACARIO
710 SCRA 491, G.R. No. 203204, NOVEMBER
20, 2013
The right of retention, as protected and enshrined
in the Constitution, balances the effects of
compulsory land acquisition by granting the
landowner the right to choose the area to be
retained subject to legislative standards. Since the
right is granted to limit the effects of compulsory
land acquisition, it is a prerequisite that the land
falls under the coverage of the Operation Land
Transfer Program of the government. If the land is
beyond the ambit of the OLT Program, the
landowner need not apply for retention since the
appropriate remedy would be to apply for
exemption.
LEGAL ETHICS
Second Division
Penalties
FELIPE C. DAGALA, vs. ATTY. JOSE C.
QUESADA, JR. and ATTY. AMADO T.
ADQUILEN
711 SCRA 206, A.C. No. 5044, DECEMBER
02, 2013
A retained counsel is expected to serve the client
with competence and diligence and not to sit idly
by and leave the rights of his client in a state of
uncertainty. He is oblige to attend scheduled
hearings or conferences, prepare and file the
required pleadings, prosecute the handled cases
with reasonable dispatch, and urge their
termination without waiting for the client or the
court to prod him or her to do so. The appropriate
penalty on an errant lawyer depends on the exercise
of sound judicial discretion based on the
surrounding facts.
CIVIL LAW
Second Division
Property
LAURA E. PARAGUYA, vs. SPOUSES
ALMA ESCUREL-CRUCILLO and
EMETERIO CRUCILLO, and the
REGISTER OF DEEDS OF SORSOGON
711 SCRA 275, G.R. No. 200265, DECEMBER
02, 2013
It is an established rule that a Torrens certificate of
title is not conclusive proof of ownership. A party
may seek its annulment on the basis of fraud or
misrepresentation. However, such action must be
seasonably filed, else the same would be barred.
The period to contest a decree of registration shall
be one (1) year from the date of its entry and that,
after the lapse of the said period, the Torrens
certificate of title issued thereon becomes
incontrovertible and indefeasible.
CIVIL LAW
Second Division
Fortuitous Event
METRO CONCAST STEEL
CORPORATION, SPOUSES JOSE S.
DYCHIAO AND TIU OH YAN, SPOUSES
GUILLERMO AND MERCEDES
DYCHIAO, AND SPOUSES VICENTE
AND FILOMENA DYCHIAO, vs. ALLIED
BANK CORPORATION
711 SCRA 479, G.R. No. 177921, DECEMBER
04, 2013
Fortuitous events by definition are extraordinary
event not foreseeable or avoidable. It is therefore
not enough that the event should not have been
foreseen or anticipated, as is commonly believed
but it must be one impossible to foresee or to
avoid. The mere difficulty to foresee the happening
is not impossibility to foresee the same. To
constitute a fortuitous event, the following
elements must concur: (a) the cause of the
unforeseen and unexpected occurrence or of the
failure of the debtor to comply with obligations
must be independent of human will; (b) it must be
impossible to foresee the event that constitutes the
caso fortuito or, if it can be foreseen, it must be
impossible to avoid; (c) the occurrence must be
such as to render it impossible for the debtor to
fulfill obligations in a normal manner; and, (d) the
obligor must be free from any participation in the
aggravation of the injury or loss.
CIVIL LAW
Second Division
Contracts to Sell
OPTIMUM DEVELOPMENT BANK, vs.
SPOUSES BENIGNO V. JOVELLANOS and
LOURDES R. JOVELLANOS
711 SCRA 548, G.R. No. 189145, DECEMBER
04, 2013
In a contract to sell, the prospective seller binds
himself to sell the property subject of the
agreement exclusively to the prospective buyer
upon fulfillment of the condition agreed upon
which is the full payment of the purchase price but
reserving to himself the ownership of the subject
property despite delivery thereof to the prospective
buyer. The unlawful detainer suit for illegally
withholding possession of the subject property is
premised upon the cancellation or termination of
the Contract to Sell. Nonpayment of the
installments due had rendered the Contract to Sell
without force and effect, thus depriving the latter
of their right to possess the property.
LABOR LAW
Second Division
Substantial Evidence
XAVIER C. RAMOS, vs. BPI FAMILY
SAVINGS BANK, INC. and ALFONSO L.
SALCEDO, JR.
711 SCRA 590, G.R. No. 203186, DECEMBER
04, 2013
In cases files before administrative or quasi-judicial
bodies, a fact may be deemed established if it is
supported by substantial evidence, or that amount
of relevant evidence which a reasonable mind
might accept as adequate to justify a conclusion.
LABOR LAW
Second Division
Damages
SANGWOO PHILIPPINES, INC.
EMPLOYEES UNION OLALIA, represented
by PORFERIA SALIBONGCOGON, vs.
SANGWOO PHILIPPINES, INC. and/or
SANG IK JANG, JISSO JANG, WISSO JANG,
and NORBERTO TADEO
711 SCRA 618, G.R. No. 173229, DECEMBER
09, 2013
It is well to stress that while SPI had a valid ground
to terminate its employees, i.e., closure of business,
its failure to comply with the proper procedure for
termination renders it liable to pay the employee
nominal damages for such omission. An employer
which has a valid cause for dismissing its employee
but conducts the dismissal with procedural
infirmity is liable to pay the employee nominal
damages. However, case law exhorts that in
instances where the payment of such damages
becomes impossible, unjust, or too burdensome,
modification becomes necessary in order to
harmonize the disposition with the prevailing
circumstances.
REMEDIAL LAW
Second Division
Forum Shopping
PHILIPPINE POSTAL CORPORATION,
vs. COURT OF APPEALS and CRISANTO
G. DE GUZMAN
711 SCRA 632, G.R. No. 173590, December 09,
2013
De Guzman was also guilty of forum-shopping by
pursuing two (2) separate remedies – petition for
certiorari and appeal – that have long been held to
be mutually exclusive, and not alternative or
cumulative remedies. By failing to inform the Court
of Appeals of his subsequent filing of a notice of
appeal before the Philippine Postal Corporation,
De Guzman committed a violation of his
certification against forum-shopping with the
Court of Appeals, which has been held to be a
ground for dismissal of an action distinct from
forum-shopping itself.
CIVIL LAW
Second Division
Novation
ACE FOODS, INC., vs. MICRO PACIFIC
TECHNOLOGIES CO., LTD.,[1]
712 SCRA 679, G.R. No. 200602, DECEMBER
11, 2013
Novation in its broad concept, may either be
extinctive or modificatory. It is extinctive when an
old obligation is terminated by the creation of a
new obligation that takes place of the former; it is
merely modificatory when the old obligation
subsists to the extent it remains compatible with
the amendatory agreement. In either case, however,
novation is never presumed, and the animus novandi,
whether totally or partially, must appear by express
agreement of the parties, or by their acts that are
too clear and unequivocal to be mistaken.
REMEDIAL LAW
Second Division
Contempt
LETICIA P. LIGON, vs. THE REGIONAL
TRIAL COURT, BRANCH 56 AT MAKATI
CITY AND ITS PRESIDING JUDGE,
JUDGE REYNALDO M. LAIGO, SHERIFF
IV LUCITO V. ALEJO, ATTY. SILVERIO
GARING, MR. LEONARDO J. TING, AND
MR. BENITO G. TECHICO
717 SCRA 373, G.R. No. 190028, FEBRUARY
26, 2014
Contempt of court has been defined as a willful
disregard or disobedience of a public authority. In
its broad sense, contempt is a disregard of, or
disobedience to, the rules or orders of a legislative
or judicial body or an interruption of its proceeding
by disorderly behavior or insolent language in its
presence or so near thereto as to disturb its
proceedings or to impair the respect due to such a
body. In its restricted and more usual sense,
contempt comprehends a despising of the
authority, justice, or dignity of a court.
CIVIL LAW
Second Division
Estoppel
GMA NETWORK, INC., vs. NATIONAL
TELECOMMUNICATIONS COMMISSION
717 SCRA 435, G.R. No. 196112, FEBRUARY
26, 2014
The State cannot be put in estoppel by the mistakes
or errors of its officials or agents. Hence, whatever
irregularity had attended the issuance of the
temporary permits in this case does not render
correct what appears to be erroneous procedure.
ADMINISTRATIVE LAW
Second Division
Court Personnel
OFFICE OF THE COURT
ADMINISTRATOR, vs. PAZ P.
CAPISTRANO, COURT STENOGRAPHER
III, REGIONAL TRIAL COURT, QUEZON
CITY, BRANCH 224
728 SCRA 439, A.M. No. P-13-3147, JULY 02,
2014
No other office in the government service exercises
a greater demand for moral righteousness and
uprightness from an employee than in the Judiciary.
The Court has repeated emphasized that the
conduct of court personnel, from the presiding
judge to the lowliest clerk, must always be
circumscribed with the heavy burden of
responsibility as to let them be free from any
suspicion that may taint the judiciary. The Court
condemns and would never countenance any
conduct, act or omission on the part of all those
involved in the administration of justice, which
would violate the norm of public accountability and
diminish or even just tend to diminish the faith of
the people in the Judiciary.
CIVIL LAW
Second Division
Contracts To Sell
FREDERICK VENTURA, MARITES
VENTURA-ROXAS, and PHILIP
VENTURA (HEIRS OF DECEASED
DOLORES C. VENTURA), vs. HEIRS OF
SPOUSES EUSTACIO T. ENDAYA and
TRINIDAD L. ENDAYA, namely, TITUS L.
ENDAYA, ENRICO L. ENDAYA, and
JOSEPHINE ENDAYA-BANTUG
706 SCRA 631, G.R. No. 190016, OCTOBER
02, 2013
While the quality of contingency inheres in a
contract to sell, the same should not be confused
with a conditional contract of sale. In a contract to
sell, the fulfillment of the suspensive condition will
not automatically transfer ownership to the buyer
although the property may have been previously
delivered to him. The prospective seller still has to
convey title to the prospective buyer by entering
into a contract od absolute sale. On the other hand,
in a conditional contract of sale, the fulfillment of
the suspensive condition renders the sale absolute
and the previous delivery of the property has the
effect of automatically transferring the seller’s
ownership or title to the property to the buyer.
LEGAL ETHICS
En Banc
Practice of Law
MARIA CRISTINA ZABALJAUREGUI
PITCHER, vs. ATTY. RUSTICO B.
GAGATE
707 SCRA 13, A.C. No. 9532, OCTOBER 08,
2013
The Court observes that, in the present case,
complainant was subjected to a grave injury as she
was subjected to a graver injury as she was
prosecuted for the crime of grave coercion largely
due to the advice of respondent. Were it not for
respondent’s imprudent counseling, not to mention
his act of abandoning his client during the
proceedings, complainant would not have unduly
suffered the harbors of a criminal prosecution. The
Court finds it apt to impose against respondent a
higher penalty of suspension from the practice of
law for a period of three years as recommended by
the OBC.
CONSTITUTIONAL LAW
En Banc
House of Representatives Electoral Tribunal
WIGBERTO R. TAÑADA, JR., vs.
COMMISSION ON ELECTIONS,
ANGELINA D. TAN, AND ALVIN JOHN S.
TAÑADA
708 SCRA 188 G.R. Nos. 207199-200,
OCTOBER 22, 2013
Case law states that the proclamation of a
congressional candidate following the election
divests the COMELEC of jurisdiction over
disputes relating to the election, returns, and
qualifications of the proclaimed representative in
favor of the HRET. Considering that Angelina had
already been proclaimed as Member of the House
of Representatives for the 4th District of Quezon
Province, the Court is now without jurisdiction to
resolve the case at bar.
REMEDIAL LAW
Second Division
Provisional Remedies
OFFICE OF THE OMBUDSMAN
(VISAYAS), vs. COURT OF APPEALS and
BERMELA A. GABUYA
708 SCRA 523 G.R. No. 189801, OCTOBER
23, 2013
The ancillary remedy of preliminary injunction
cannot exist except only as part of an independent
action or proceeding. Thus, since the CA already
remanded the case to the Ombudsman for the
purpose of resolving Gabuya’s pending motion for
reconsideration, the writ of preliminary injunction
issued by it, absent any countervailing justification
therefor, must be dissolved.
LEGAL ETHICS
Second Division
Attorneys
AZUCENA SEGOVIA-RIBAYA, vs. ATTY.
BARTOLOME C. LAWSIN
709 SCRA 287, A.C. No. 7965, NOVEMBER
13, 2013
A lawyer’s duty to his client is one essentially
imbued with trust so much so that it is incumbent
upon the former to exhaust all reasonable efforts
towards its faithful compliance. In this case, despite
that singular encounter, respondent had thereafter
all the opportunity to return the subject amount but
still failed to do so. Besides, the obligatory force of
said duty should not be diluted by the temperament
or occasional frustrations of the lawyer’s client,
especially so when the latter remains unsatisfied by
the lawyer’s work.
REMEDIAL LAW
Second Division
Recantations
PEOPLE OF THE PHILIPPINES, vs.
P/SUPT. ARTEMIO E. LAMSEN, PO2
ANTHONY D. ABULENCIA, and SPO1
WILFREDO L. RAMOS
709 SCRA 522, G.R. No. 198338,
NOVEMBER 13, 3013
The rule is settled that in cases where previous
testimony is retracted and a subsequent different, if
not contrary, testimony is made by the same
witness, the test to decide which testimony to
believe is one of comparison coupled with the
application of the general rules of evidence. A
testimony solemnly given in court should not be set
aside and disregarded lightly, and before this can be
done, both the previous testimony and the
subsequent one should be carefully compared and
juxtaposed, the circumstances under which each
was made, carefully and keenly scrutinized, and the
reasons or motives for the change discriminatingly
analyzed.
CONSTITUTIONAL LAW
En Banc
Separation of Powers
GRECO ANTONIOUS BEDA B. BELGICA,
JOSE M. VILLEGAS, JR., JOSE L.
GONZALEZ, REUBEN M. ABANTE, and
QUINTIN PAREDES SAN DIEGO, vs.
HONORABLE EXECUTIVE SECRETARY
PAQUITO N. OCHOA, JR., SECRETARY
OF BUDGET AND MANAGEMENT
 FLORENCIO B. ABAD, NATIONAL
TREASURER ROSALIA V. DE LEON,
SENATE OF THE PHILIPPINES,
represented by FRANKLIN M. DRILON in
his capacity as SENATE PRESIDENT, and
HOUSE OF REPRESENTATIVES,
represented by FELICIANO S.
BELMONTE, JR. in his capacity as
SPEAKER OF THE HOUSE
710 SCRA 1, G.R. No. 208566, NOVEMBER
19, 2013
Post-enactment measures which govern the areas
of project identification, fund release and fund
realignment are not related to functions of
congressional oversight and, hence, allow
legislators to intervene and/or assume duties that
properly belong to the sphere of budget execution.
From the moment the law becomes effective, any
provision of law that empowers Congress or any of
its members to pay any role in the implementation
or enforcement of the law violates the principle of
separation of powers and is thus unconstitutional.
REMEDIAL LAW
Second Division
Judgment on the Pleadings
GOVERNMENT SERVICE INSURANCE
SYSTEM, vs. PRUDENTIAL GUARANTEE
AND ASSURANCE, INC.,
DEVELOPMENT BANK OF THE
PHILIPPINES, and LAND BANK OF THE
PHILIPPINES
710 SCRA 337, G.R. No. 165585, November 20,
2013
Judgment on the pleadings is appropriate when an
answer fails to tender an issue, or otherwise admits
the material allegations of the adverse party’s
pleasing. It is a form of judgment that is exclusively
based on the submitted pleadings without the
introduction of evidence as the factual issues
remain uncontroverted.
MERCANTILE LAW
Second Division
Intellectual Property Right
BIRKENSTOCK ORTHOPAEDIE GMBH
AND CO. KG (formerly BIRKENSTOCK
ORTHOPAEDIE GMBH), vs. PHILIPPINE
SHOE EXPO MARKETING
CORPORATION
710 SCRA 474, G.R. No. 194307, NOVEMBER
20, 2013
It is not the application or registration of a
trademark that vests ownership thereof, but it is the
ownership of a trademark that confers the right to
register the same. A trademark is an industrial
property over which its owner is entitled to
property rights which cannot be appropriated by
unscrupulous entities that, in one way or another,
happen to register such trademark ahead of its true
and lawful owner. The presumption of ownership
accorded to a registrant must then necessarily yield
to superior evidence of actual and real ownership
of a trademark.
AGRARIAN REFORM
Second Division
Right of Retention
HEIRS OF ROMULO D. SANDUETA,
namely: GLORIA SANDUETA ELOPRE,
HEIRS OF JOSEPHINE S. NADALA,
represented by ROY S. NADALA,
HOFBOWER SANDUETA, NERISA
SANDUETA MICUBO, OSCAR
SANDUETA, MARILYN SANDUETA
VELASCO, RONALD SANDUETA, and
NAPOLEON SANDUETA, vs. DOMINGO
ROBLES, HEIRS OF TEODORO ABAN,
namely: NERIO ABAN, VIRGINIO ABAN,
SUSANA ABAN, and DAVID ABAN; HEIRS
OF EUFRECENA** GALEZA, namely:
CESAR GALEZA, NESTOR GALEZA,
ANGELA GALEZA, JUSTO GALEZA, KIA
GALEZA PONCE, PORFERIA GALEZA
NALZARO, ROSARIO GALEZA VELASCO,
HERMINIA GALEZA GUERRERO, and
NONA GALEZA NACARIO
710 SCRA 491, G.R. No. 203204, NOVEMBER
20, 2013
The right of retention, as protected and enshrined
in the Constitution, balances the effects of
compulsory land acquisition by granting the
landowner the right to choose the area to be
retained subject to legislative standards. Since the
right is granted to limit the effects of compulsory
land acquisition, it is a prerequisite that the land
falls under the coverage of the Operation Land
Transfer Program of the government. If the land is
beyond the ambit of the OLT Program, the
landowner need not apply for retention since the
appropriate remedy would be to apply for
exemption.
LEGAL ETHICS
Second Division
Penalties
FELIPE C. DAGALA, vs. ATTY. JOSE C.
QUESADA, JR. and ATTY. AMADO T.
ADQUILEN
711 SCRA 206, A.C. No. 5044, DECEMBER
02, 2013
A retained counsel is expected to serve the client
with competence and diligence and not to sit idly
by and leave the rights of his client in a state of
uncertainty. He is oblige to attend scheduled
hearings or conferences, prepare and file the
required pleadings, prosecute the handled cases
with reasonable dispatch, and urge their
termination without waiting for the client or the
court to prod him or her to do so. The appropriate
penalty on an errant lawyer depends on the exercise
of sound judicial discretion based on the
surrounding facts.
CIVIL LAW
Second Division
Property
LAURA E. PARAGUYA, vs. SPOUSES
ALMA ESCUREL-CRUCILLO and
EMETERIO CRUCILLO, and the
REGISTER OF DEEDS OF SORSOGON
711 SCRA 275, G.R. No. 200265, DECEMBER
02, 2013
It is an established rule that a Torrens certificate of
title is not conclusive proof of ownership. A party
may seek its annulment on the basis of fraud or
misrepresentation. However, such action must be
seasonably filed, else the same would be barred.
The period to contest a decree of registration shall
be one (1) year from the date of its entry and that,
after the lapse of the said period, the Torrens
certificate of title issued thereon becomes
incontrovertible and indefeasible.
CIVIL LAW
Second Division
Fortuitous Event
METRO CONCAST STEEL
CORPORATION, SPOUSES JOSE S.
DYCHIAO AND TIU OH YAN, SPOUSES
GUILLERMO AND MERCEDES
DYCHIAO, AND SPOUSES VICENTE
AND FILOMENA DYCHIAO, vs. ALLIED
BANK CORPORATION
711 SCRA 479, G.R. No. 177921, DECEMBER
04, 2013
Fortuitous events by definition are extraordinary
event not foreseeable or avoidable. It is therefore
not enough that the event should not have been
foreseen or anticipated, as is commonly believed
but it must be one impossible to foresee or to
avoid. The mere difficulty to foresee the happening
is not impossibility to foresee the same. To
constitute a fortuitous event, the following
elements must concur: (a) the cause of the
unforeseen and unexpected occurrence or of the
failure of the debtor to comply with obligations
must be independent of human will; (b) it must be
impossible to foresee the event that constitutes the
caso fortuito or, if it can be foreseen, it must be
impossible to avoid; (c) the occurrence must be
such as to render it impossible for the debtor to
fulfill obligations in a normal manner; and, (d) the
obligor must be free from any participation in the
aggravation of the injury or loss.
CIVIL LAW
Second Division
Contracts to Sell
OPTIMUM DEVELOPMENT BANK, vs.
SPOUSES BENIGNO V. JOVELLANOS and
LOURDES R. JOVELLANOS
711 SCRA 548, G.R. No. 189145, DECEMBER
04, 2013
In a contract to sell, the prospective seller binds
himself to sell the property subject of the
agreement exclusively to the prospective buyer
upon fulfillment of the condition agreed upon
which is the full payment of the purchase price but
reserving to himself the ownership of the subject
property despite delivery thereof to the prospective
buyer. The unlawful detainer suit for illegally
withholding possession of the subject property is
premised upon the cancellation or termination of
the Contract to Sell. Nonpayment of the
installments due had rendered the Contract to Sell
without force and effect, thus depriving the latter
of their right to possess the property.
LABOR LAW
Second Division
Substantial Evidence
XAVIER C. RAMOS, vs. BPI FAMILY
SAVINGS BANK, INC. and ALFONSO L.
SALCEDO, JR.
711 SCRA 590, G.R. No. 203186, DECEMBER
04, 2013
In cases files before administrative or quasi-judicial
bodies, a fact may be deemed established if it is
supported by substantial evidence, or that amount
of relevant evidence which a reasonable mind
might accept as adequate to justify a conclusion.
LABOR LAW
Second Division
Damages
SANGWOO PHILIPPINES, INC.
EMPLOYEES UNION OLALIA, represented
by PORFERIA SALIBONGCOGON, vs.
SANGWOO PHILIPPINES, INC. and/or
SANG IK JANG, JISSO JANG, WISSO JANG,
and NORBERTO TADEO
711 SCRA 618, G.R. No. 173229, DECEMBER
09, 2013
It is well to stress that while SPI had a valid ground
to terminate its employees, i.e., closure of business,
its failure to comply with the proper procedure for
termination renders it liable to pay the employee
nominal damages for such omission. An employer
which has a valid cause for dismissing its employee
but conducts the dismissal with procedural
infirmity is liable to pay the employee nominal
damages. However, case law exhorts that in
instances where the payment of such damages
becomes impossible, unjust, or too burdensome,
modification becomes necessary in order to
harmonize the disposition with the prevailing
circumstances.
REMEDIAL LAW
Second Division
Forum Shopping
PHILIPPINE POSTAL CORPORATION,
vs. COURT OF APPEALS and CRISANTO
G. DE GUZMAN
711 SCRA 632, G.R. No. 173590, December 09,
2013
De Guzman was also guilty of forum-shopping by
pursuing two (2) separate remedies – petition for
certiorari and appeal – that have long been held to
be mutually exclusive, and not alternative or
cumulative remedies. By failing to inform the Court
of Appeals of his subsequent filing of a notice of
appeal before the Philippine Postal Corporation,
De Guzman committed a violation of his
certification against forum-shopping with the
Court of Appeals, which has been held to be a
ground for dismissal of an action distinct from
forum-shopping itself.
CIVIL LAW
Second Division
Novation
ACE FOODS, INC., vs. MICRO PACIFIC
TECHNOLOGIES CO., LTD.,[1]
712 SCRA 679, G.R. No. 200602, DECEMBER
11, 2013
Novation in its broad concept, may either be
extinctive or modificatory. It is extinctive when an
old obligation is terminated by the creation of a
new obligation that takes place of the former; it is
merely modificatory when the old obligation
subsists to the extent it remains compatible with
the amendatory agreement. In either case, however,
novation is never presumed, and the animus novandi,
whether totally or partially, must appear by express
agreement of the parties, or by their acts that are
too clear and unequivocal to be mistaken.
REMEDIAL LAW
Second Division
Contempt
LETICIA P. LIGON, vs. THE REGIONAL
TRIAL COURT, BRANCH 56 AT MAKATI
CITY AND ITS PRESIDING JUDGE,
JUDGE REYNALDO M. LAIGO, SHERIFF
IV LUCITO V. ALEJO, ATTY. SILVERIO
GARING, MR. LEONARDO J. TING, AND
MR. BENITO G. TECHICO
717 SCRA 373, G.R. No. 190028, FEBRUARY
26, 2014
Contempt of court has been defined as a willful
disregard or disobedience of a public authority. In
its broad sense, contempt is a disregard of, or
disobedience to, the rules or orders of a legislative
or judicial body or an interruption of its proceeding
by disorderly behavior or insolent language in its
presence or so near thereto as to disturb its
proceedings or to impair the respect due to such a
body. In its restricted and more usual sense,
contempt comprehends a despising of the
authority, justice, or dignity of a court.
CIVIL LAW
Second Division
Estoppel
GMA NETWORK, INC., vs. NATIONAL
TELECOMMUNICATIONS COMMISSION
717 SCRA 435, G.R. No. 196112, FEBRUARY
26, 2014
The State cannot be put in estoppel by the mistakes
or errors of its officials or agents. Hence, whatever
irregularity had attended the issuance of the
temporary permits in this case does not render
correct what appears to be erroneous procedure.
ADMINISTRATIVE LAW
Second Division
Court Personnel
OFFICE OF THE COURT
ADMINISTRATOR, vs. PAZ P.
CAPISTRANO, COURT STENOGRAPHER
III, REGIONAL TRIAL COURT, QUEZON
CITY, BRANCH 224
728 SCRA 439, A.M. No. P-13-3147, JULY 02,
2014
No other office in the government service exercises
a greater demand for moral righteousness and
uprightness from an employee than in the Judiciary.
The Court has repeated emphasized that the
conduct of court personnel, from the presiding
judge to the lowliest clerk, must always be
circumscribed with the heavy burden of
responsibility as to let them be free from any
suspicion that may taint the judiciary. The Court
condemns and would never countenance any
conduct, act or omission on the part of all those
involved in the administration of justice, which
would violate the norm of public accountability and
diminish or even just tend to diminish the faith of
the people in the Judiciary.
LEGAL ETHICS
Second Division
Attorneys Fee
The President of the Church of Jesus Christ of
Latter Day Saints vs. BTL Construction
Corporation
713 SCRA 455, January 15, 2014
Since the case lacks the essential requirement of
bad faith, the court deemed it inappropriate to
award the attorneys fee in favor of either party. It
was evidenced when CIAC, CA and this Court have
all found the parties original claims to be partially
meritorious.
REMEDIAL LAW
Second Division
Substantial Evidence
INC Shipmanagement, Inc. vs. Moradas,
713 SCRA 475, January 15, 2014
The corroborative testimonies of the staff and crew
members were given credence by the court, absent
any showing that they are lying. Also, the allegation
of the petitioner that the damages was self –
inflicted was supported by the incident when the
respondent was caught pilfering the vessels
supplies. He was supposed to be relieved from duty
prior to the incident of burning. Thus, giving way
for the possibility of harboring bad feeling upon the
ships management. The matter establishes
substantial evidence in favor of the petitioner.
ADMINISTRATIVE LAW
Second Division
Public Officers
Marquez vs. Ovejera,
715 SCRA 332, February 05, 2014
Despite her admission of non-submission
of the interest of the time deposit she has for her
2004 and 2005 SALN, she cannot be held
administraviely liable for an infraction that was not
included in the original charge.
REMEDIAL LAW
Second Division
Forclosure of Mortgage
Quintos vs. Department of Agrarian
Adjudication Board,
715 SCRA 592, February 10, 2014
It is settled that a mortgagee does not become the
owner of the mortgaged property until he has
foreclosed the mortgage and, thereafter, purchased
the property at the foreclosure sale. In this light,
APT could not have been regarded as the
"landowner of the subject property. Absent any
consent from GCFI, the standing owner of the
subject property, it had no authority to enter into
any tenancy agreement with the KAMIFCI
members. Since the law establishes a special
relationship in tenancy with important
consequences, it properly pinpoints the persons to
whom said relationship shall apply.
REMEDIAL LAW
Second Division
Exhaustion of Administrative Remedies
Vales vs. Galinato,
718 SCRA 100, March 05, 2014
The petitioners are denied neither of the right of
exemption nor retention because the assailed land
is covered under the Operation of Land Transfer
(OLT). The Deed of Sale executed by Sps. Vales in
favor of the petitioners are not recognized by the
tenants-farmers which is an essential requirement
before the said instrument to have a binding effect
upon them.
ADMIISTRATIVE LAW
Second Division
Pharmaceutical Products
Republic vs. Drugmaker's Laboratories, Inc.,
718 SCRA 153, March 05, 2014
The assailed Circular No. 1 and 8 by the respondent
which resumes the requirement of BA/BE prior
the issuance of Certificate of Product Registration
cannot be considered as administrative regulations.
It merely intends to administer and supervise the
implementation of the provisions of AO 67, the
order that introduced the circulars. In this light, the
FDA may impose the questioned requisite of
BA/BE by virtue of Circular No. 1 and 8.
REMEDIAL LAW
Second Division
Moot and Academic
Peñafrancia Sugar Mill, Inc. vs. Sugar
Regulatory Administration,
718 SCRA 212, March 05, 2014
During the pendency of the instant case, the
respondent issued Sugar Order no. 5 (2013-2014)
which revoked the effectivity of the assailed sugar
orders which renders the main issue to be moot.
Moreover, resolving the procedural issue on
forum-shopping would not afford either party any
substantial relief or would have any practical legal
effort.
REMEDIAL LAW
Second Division
Moot and Academic
Republic vs. Manalo,
724 SCRA 668, June 04, 2014
The court ruled not to base its decision on the
literal sense of Section 2, Article 26 of the family
code. Hence, they sought to render a decision on
the basis of the intent of the lawmakers.
Disallowing a Filipino spouse to initiate an
annulment case shall cause injustice and should not
be the case for all.
REMEDIAL LAW
Second Division
Actions
Piedad vs. Gurieza,
727 SCRA 71, June 18, 2014
The court ruled that Bonifacio never relinquished
the possession over the house and lot. And settled
is the rule that physical possession of the party is
not warranted to retain ownership of a property.
His employment of caretakers and establishment of
a hut renders that he merely tolerated the
possession of the property by Sps. Gurieza as they
were the last caretaker of the subject property.
LEGAL ETHICS
Second Division
Attorney’s Fees
Rana vs. Wong,
727 SCRA 539, June 30, 2014
Initially, Sps. Rana are to be granted of the nominal
damage and temperate damage caused by the
demolition of the subject portion by Wong et al.,
she is being similarly held liable for nominal
damages by way of constructing the subject portion
thus introducing the nuisance per accidens.
Naturally, the court sees it ample to offset the
damages caused by parties against each other. Since
the case does not clearly and convincingly show
that the motive for filling the case is precipitated by
malice or bad faith, neither of the parties shall be
awarded of the damages prayed for.
CIVIL LAW
Second Division
Quantum Meruit
Rivelisa Realty, Inc, vs. First Sta. Clara
Builders Corporation,
713 SCRA 618, January 15, 2014
In consonance with the principle of
Quantum Meruit, the court finds it appropriate to
allow First Santa Clara to claim form Rivelisa the
amount equal to the partially completed work that
the former rendered. Doing in contrast would
equate to unjust enrichment of the latter at the
expense of First Santa Clara.
CIVIL LAW
Second Division
Builders inGood Faith
Heirs of Victorino Sarili, The vs. Lagrosa,
713 SCRA 726, January 15, 2014
The court affirmed the decision of the
appellate court. It was held that the mere reliance
of the petitioners on the executed Special Power of
Attorney issued to Ramon was forged. Hence, it
was ruled that no valid transfer of the subject was
obtained by Sps. Sarili because the source of such
right was void.
CRIMINAL LAW
Second Division
Qualified Rape
People vs. Cadano, Jr.,
719 SCRA 234, March 12, 2014
Since the effective law at the time when the first
two crimes of rape was committed was the older
rape law of RA. 8353 (Anti-Rape Law), the
qualifying circumstance of the accused moral
ascendancy towards the victim cannot be applied.
On the other hand, the third crime of rape given
that it was done after the amendment of the rape
provision, the qualifying circumstance is properly
appreciated.
CONSTITUTIONAL LAW
Second Division
Due Process
Republic vs. Transunion Corporation,
722 SCRA 273, April 21, 2014
The court sees that the petition of Transunion
should not stand because they were not denied the
right to exhaust administrative remedies. The
contended action of the LMD Director was merely
investigative in nature and not to adjudicate.
Hence, them not being furnished of a copy belies
no complication and no right to due process was
violated.
ADMINISTRATIVE LAW
Second Division
Undue Delay in Rendering a Decision
Dulang vs. Regencia,
724 SCRA 214, June 02, 2014
Given the expeditious nature that the ejectment
case warrants, absent any acceptable reason in
delaying the disposition of the case shall render her
administratively liable thereto. Rules of Summary
Procedure clearly sets a period of 30 days from the
submission of the last affidavit or position paper
within which a decision thereon must be issued.
The Judge merely rendered a decision only about
two (2) years and four (4) months later. Likewise,
her length of service of 17 years was taken against
her for she should have known the elementary rule
to which the law ascribe to.
ADMINISTRATIVE LAW
Second Division
Court Personnel
Office of the Administrator vs. Ampong,
724 SCRA 488, June 04, 2014
In the case at bar, his designation of the respondent
at the time the offense was committed is
immaterial. The underlying issue is that the
administrative jurisdiction rests at the Supreme
Court regardless of whether the status of
employment of the respondent as an officer of the
court came before or after the commission of the
offense.
LEGAL ETHICS
En Banc
Notary Public
Crisostomo vs. Nazareno,
726 SCRA 1, June 10, 2014
The court ruled that the acts of Navarro in filling
ejectment and rescission cases among different
individuals without disclosing such on the attached
Certificate of Non-Forum Shopping constitutes
not a failure to comply but a violation to the
prohibition. Notably, he was the counsel and the
notarial public for the submitted certificates. On
the same breath, Navarro failed to refute the
allegation berated towards him. The matter
establishes administrative liability. Further, the
court sanctioned him to be suspended to practice
law for 1 year.
REMEDIAL LAW
Second Division
Appeals
Taganito Mining Corporation vs.
Commissioner of Internal Revenue,
726 SCRA 637, June 18, 2014
Because the petitioner calls for the review
of the evidence to determine whether the input
taxes being claimed were paid and duly
substantiated which is outside the gambit of the
court as trier of facts. Hence, the court is not
persuaded that there is a need to deviate from the
findings of the CTA.
LABOR LAW
First Division
Regular Employees
Omni Hauling Services, Inc. vs. Bon,
734 SCRA 270, September 03, 2014
Because the employees were not explicitly
informed of the duration and scope of the project,
they cannot be considered as project employees
under the guise of the Labor Code.
LABOR LAW
First Division
Surety Bond
Philippine Touristers, Inc. vs. MAS Transit
Workers Union-Anglo-KMU,
734 SCRA 298, September 03, 2014
While it has been settled that the posting of a cash
or surety bond is indispensable to the perfection of
an appeal in cases involving monetary awards from
the decision of the LA. However, the filing of the
motion to reduce bond without compliance with
the requisites in the preceding paragraph shall not
stop the running of the period to perfect an appeal.
In this regard, it bears stressing that the reduction
of the bond provided thereunder is not a matter of
right on the part of the movant and its grant still
lies within the sound discretion of the NLRC upon
a showing of meritorious grounds and the
reasonableness of the bond tendered under the
circumstances. Hence, the court finds merit in
favor of the petitioner.
REMEDIAL LAW
First Division
Intervention
Pulgar vs. Regional Trial Court of Mauban,
Quezon, Branch 64,
734 SCRA 527, September 10, 2014
During the pendency of the case, the main issued is
already dismissed by virtue of the mutually agreed
Resolution executed by the Secretary of Finance.
Subsequently, its dismissal shall carry without the
dismissal of the motion of intervention filed by
complainant. Jurisdiction over an intervention is
governed by jurisdiction over the main action.
CIVIL LAW
First Division
Laches
Sierra vs. Paic Savings and Mortgage Bank,
Inc.,
734 SCRA 694, September 10, 2014
The Court has stressed that allegations must be
proven by sufficient evidence because mere
allegation is not evidence. Where mistake or error
is alleged by parties who claim to have not had the
benefit of a good education, as in this case, they
must establish that their personal circumstances
prevented them from giving their free, voluntary,
and spontaneous consent to a contract
CIVIL LAW
Second Division
Reciprocal Obligations
Golden Valley Exploration, Inc. vs. Pinkian
Mining Company
726 SCRA 259, June 11, 2014
The court correctly ruled that PMC may
exercise the right to unilaterally rescind the control
in view of the violations committed by GVEI. Due
to the express stipulation of a rescission provision
in the Operating Agreement, and upon failure of
payment by GVEI, PMC is reinforced to exercise
its power to rescind unilaterally.
CIVIL LAW
Second Division
Estoppel
Rural Bank of Cabadbaran, Inc. vs. Melecio-
Yap,
731 SCRA 244, July 30, 2014
The mere reliance of the petitioner on the SPA’s
presumption of authenticity was not given
credence by the Court. The petitioner failed to
show that disputed SPA was likewise entered into
by the respondents. In light of this, Erna have no
ostensible authority to execute the mortgage in
behalf of the respondents. The SPA was declared
null and void, however, it was maintained that Erna
must be held accountable to the mortgage
agreement for she gave her unwavering consent by
entering it.
REMEDIAL LAW
Second Division
Laches
 National Transmission Corporation vs.
Alphaomega Integrated Corporation,
731 SCRA 299, July 30, 2014
The court denied the petition of AIC for the
modification of Final Award of the CIAC of the
amount of 17,495,117 to 18,896,673. The court
ruled against the petitioner because the 15 day
prescribed under the CIAC Rules to correct any
mathematical or typographical error was not made
by the petitioner. Instead, they have purposely sat
on the said timeline supposedly for strategic
purposes against Transco.
MERCANTILE LAW
First Division
Unfair Competition
Co vs. Yeung,
735 SCRA 66, September 10, 2014
The court upheld the decision of the lower court
and the Court of Appeals that unfair competition
was by the petitioners. The act of selling and/or
distributing the subject product packaged in the
bottle identical to that of the original constitutes
unfair competition. However, the court see it unfit
to hold the petitioner in violation of trademark
infringement because at the time of the
commission of the offense, the product was not yet
patented in favor of the respondents.
LEGAL ETHICS
First Division
Lawyer’s Oath
Almazan, Sr. vs. Suerte-Felipe,
735 SCRA 230, September 17, 2014
The ruled that the act of the respondent in
notarizing the Extra-Judicial settlement in the City
of Marikina constitutes falsehood. Despite being
registered in the cities of Taguig, Pateros, San Juan
and Mandaluyong in the years 1998 – 1999, he was
not vested with the authority to notarize outside his
jurisdiction, herein in this case is in Marikina City.
It also is in violation of Rule 1.01, Canon 1 of the
Code of Professional Responsibility for it
constitutes engaging in unlawful, dishonest,
immoral or deceitful conduct. The respondent is
hereby sanctioned to be suspended from the
practice of law for the period of six (6) months.
TAXATION LAW
First Division
Refund
Commissioner of Internal Revenue vs. CE
Luzon Geothermal Power Company, Inc.,
735 SCRA 421, September 17, 2014
While both claims for refund were filed within the
two (2)-year prescriptive period, CE Luzon failed
to comply with the 120-day period as it filed its
judicial claim in C.T.A., thus, should be dismissed
on the ground of lack of jurisdiction for being
prematurely filed.
ETHICS
First Division
Notice
Pagdanganan, Jr. vs. Sarmiento
735 SCRA 584, September 17, 2014
The reglementary period for filing a petition should
be reckoned from the date the counsel of record
had the notice of resolution, which is in
consonance with the rule that if a litigant is
represented by counsel, notices of all kinds,
including court orders and decisions, must be
served on said counsel, and notice to him is
considered notice to his client.
CIVIL LAW
First Division
Reconveyance
Zuñiga-Santos vs. Santos-Gran
738 SCRA 33, October 08, 2014
Since the action for reconveyance for the property
which is in the possession of the respondent was
filed beyond the ten-year prescriptive period, the
implied trust has already prescribed and warrants
the dismissal of the complaint.
CONSTITUTIONAL LAW
First Division
Right to Privacy
Lee vs. Ilagan
738 SCRA 59, October 08, 2014
While Ilagan purports a privacy interest in the
suppression of his sex video, he failed to explain
the connection between such interest and any
violation of his right to life, liberty or security which
is crucial in habeas data cases.
LABOR LAW
First Division
Seafarers
Canuel vs. Magsaysay Maritime Corporation
738 SCRA 120, October 13, 2014
Canuel suffered a work-related injury when he
figured in an accident while performing his duties
in the vessel. Compensability does not depend on
whether the injury or disease was pre- existing at
the time of the employment but rather if the disease
or injury is work-related or aggravated his
condition.
CRIMINAL LAW
First Division
BP 22
Rimando vs. Aldaba
738 SCRA 232, October 13, 2014
Rimando’s acquittal and subsequent exoneration in
the BP 22 cases had no effect in the estafa case even
if both cases were founded on the same factual
circumstances because they present different
causes of action.
CRIMINAL LAW
Second Division
People vs. Dionaldo
731 SCRA 68, July 23, 2014
Exemplary damages must be awarded in this case,
in view of the the fact that the kidnapping was
committed for the purpose of extorting ransom,
which has resulted to the death of the victim, and
in order to deter others from committing the same
atrocious acts.
MERCANTILE LAW
First Division
Final Rejection
H.H. Hollero Construction, Inc. vs.
Government Service Insurance System
736 SCRA 303, September 24, 2014
Petitioner’s causes of action for indemnity accrued
from the date the GSIS rejected its claims in the
first instance or from the “final rejection” of the
claim. Given that it allowed more than twelve (12)
months to lapse before filing the necessary
complaint, its causes of action had already
prescribed.
REMEDIAL LAW
First Division
Indispensable Parties
People vs. Go
736 SCRA 501, September 24, 2014
Respondents’ certiorari petition in CA, without the
People, as represented by the OSG, having first
been impleaded should not have been resolved by
the CA as it is jurisdictional that any indispensable
party be impleaded in the proceedings before the
court renders judgment.
CONSTITUTIONAL LAW
First Division
Right to Speedy Disposition of Cases
Majestic Finance and Investment Co., Inc. vs.
Tito
739 SCRA 217, October 22, 2014
The fact that it took Sps. Nazal almost 11 years to
move for the setting of the case for hearing, they
had already lost their right to participate therein for
violation of the right to speedy disposition of cases
of the respondent.
CIVIL LAW
Second Division
Compromise Agreements
Metro Manila Shopping Mecca Corp. vs.
Toledo
739 SCRA 399, November 10, 2014
Since the Universal Compromise Agreement
between the parties appears to have been executed
in accordance with the requirements of a valid
compromise agreement, the City of Manila cannot
submit that it the had no effect on the subject
decision.
REMEDIAL LAW
First Division
Forcible Entry
Javier vs. Lumontad
744 SCRA 1, December 03, 2014
Petitioner’s forcible entry complaint need not
expressly employ the language of the law, it would
suffice that facts are set up showing that one in
physical possession of a land or building has been
deprived of that possession by another through
force, intimidation, threat, strategy or stealth.
TAXATION LAWS
First Division
Tax Refunds
Mindanao II Geothermal Partnership vs.
Commissioner of Internal Revenue
744 SCRA 143, December 08, 2014
Since the petitioner filed its administrative and
judicial claims for refund/credit of its input VAT
in CTA during the period when BIR Ruling No.
DA-489-03 was in place, it need not wait for the
expiration of the 120-day period before filing its
judicial claim before the CTA, and hence, is
deemed timely filed.
ADMINISTRATIVE LAW
First Division
Appointments
Philippine Amusement and Gaming
Corporation vs. De Guzman
744 SCRA 153, December 08, 2014
PAGCOR, as the one that appointed De Guzman
to her position is also only one that has the power
to remove or to discipline her for any
transgressions she may have committed.
MERCANTILE LAW
First Division
Liability of Corporate Officers
Montallana vs. La Consolacion College
Manila
744 SCRA 163, December 08, 2014
The order for respondents to pay Montallana
backwages should be deleted since there is no
reason for them to be held liable because personal
liability of corporate directors, trustees or officers
does not attach except in circumstances as
provided by law.
CRIMINAL LAW
First Division
Qualified Theft
Candelaria vs. People
744 SCRA 178, December 08, 2014
A truck driver who failed to deliver diesel fuel
placed under his custody and remains unaccounted
for shall be guilty of qualified theft and be liable for
the value of the thing stolen which must be proved
and not a mere uncorroborated “estimate.”
REMEDIAL LAW
First Division
Extinguishment of Civil Liability
Daluraya vs. Olivia
744 SCRA 193, December 08, 2014
Since Daluraya’s acquittal was based on the fact
that the act or omission from which the civil
liability may arise did not exist, his civil liability
should be deemed as non-existent by the nature of
such acquittal.
LABOR LAW
First Division
Retirement Pay
Villena vs. Batangas II Electric Cooperative,
Inc.
750 SCRA 55, February 04, 2015
While retirement pay and separation pay are not
mutually exclusive of each other, Villena cannot be
granted entitlement to retirement pay which was
not included as an issue in the illegal dismissal case
which had already been finally decided.
AGRARIAN LAW
First Division
Legal Interest
Land Bank of the Philippines vs. Heirs of
Jesus Alsua
750 SCRA 121, February 04, 2015
Legal interest in expropriation cases is allowed
where there is delay in the payment at the rate of
12% interest p.a. from the time of taking until June
30, 2013 only, thereafter, or beginning July 1, 2013,
until fully paid, interest shall be at 6% p.a.
CRIMINAL LAW
First Division
Chain of Custody Rule
People vs. Sumili
750 SCRA 143, February 04, 2015
The dangerous drug presented in court as evidence
against an accused must be the same as that seized
from him. The chain of custody requirement
removes any unnecessary doubts regarding the
identity of the evidence.
REMEDIAL LAW
First Division
Chain of Custody
Bonsurbe, Jr. vs. Yerro
750 SCRA 490, February 11, 2015
The chain of custody rule demands was not met
when the police officer only delivered the sachet 2
days after the buy-bust operation where it was
required be turned over to the PNP Crime
Laboratory within 24 hours from its confiscation.
REMEDIAL LAW
First Division
Dismissal of Action
Yap-Co vs. Uy
750 SCRA 504, February 11, 2015
Since the prosecution has not presented the
supposed Compromise Agreement for the court’s
approval nor filed the required motion to that
effect, the case was not provisionally dismissed.
REMEDIAL LAW
First Division
Judgment
De Leon vs. Dela Llana
750 SCRA 531, February 11, 2015
Outright dismissal for failure to state a cause of
action was improper when the complaint
sufficiently averred actual fraud on the part of
petitioner in procuring her title to the subject
property to the prejudice of respondents who claim
to have acquired it first.
CIVIL LAW
First Division
Redemption
Guevarra vs. The Commoner Lending
Corporation, Inc.
751 SCRA 144, February 18, 2015
In addition to the principal and interest, the
repurchase price should also include all the
expenses of foreclosure, and considering that Sps.
Guevarra failed to redeem the subject property
within the one-year reglementary period, they are
liable to reimburse TCLC the corresponding DST
and CGT it paid to the BIR.
CRIMINAL LAW
First Division
Robbery with Homicide
People vs. Palma
751 SCRA 233, February 18, 2015
The elements for the crime of robbery with
homicide are present when evidence shows that
accused were all armed with knives when they
broke into the house of Freddie, took certain
personal properties, and, in the course thereof,
stabbed him, resulting to his death.
REMEDIAL LAW
First Division
Appeals
Benabaye vs. People
752 SCRA 26, February 25, 2015
While it is true that only Benabaye was able to
successfully perfect her appeal, the rule is that an
appeal in a criminal proceeding throws the whole
case open for review of all its aspects, and thus shall
benefit the co-accused who did not appeal.
LABOR LAW
First Division
Strained Relations
Tatel vs. JLFP Investigation Security Agency,
Inc.
752 SCRA 55, February 25, 2015
As reinstatement is no longer feasible in this case
because of the strained relations between the
parties and the fact that Tatel had since been
employed with another company, separation pay is
awarded in lieu of reinstatement.
CRIMINAL LAW
First Division
Treachery
People vs. Casas
752 SCRA 94, February 25, 2015
There is no treachery when Casas, who acted in the
heat of the moment, stabbed the victim since the
latter elected to intervene in the fistfight and was
aware of the danger to his life.
REMEDIAL LAW
First Division
Attachment
Northern Islands Co., Inc. vs. Garcia
 753 SCRA 603, March 18, 2015
With the RTC’s loss of jurisdiction over the Main
Case necessarily comes its loss of jurisdiction over
all matters merely ancillary thereto such as the
Attachment which is also considered appealed and
so also removed from the jurisdiction of the court a
quo.
CRIMINAL LAW
First Division
Denials
People vs. Balute
748 SCRA 172, January 21, 2015
The alibi and denial of Balute that he has no
knowledge of the charges against him and that he
was at a certain shop from morning to evening are
outweighed by positive identification by the
eyewitnesses who are in the same car with the
victim at the time of the incident.
CRIMINAL LAW
First Division
Moral Damages
People vs. Matibag
754 SCRA 529, January 25, 2015
In line with recent jurisprudence, civil indemnity in
the amount of P100,000.00 and moral damages in
the amount of P100,000.00 are awarded to Duhan’s
heirs without need of evidence other than the
commission of the crime and Duhan’s death.
ADMINISTRATIVE LAW
First Division
Sheriff
Sabijon vs. De Juan
748 SCRA 298, January 28, 2015
The respondent, as a Sheriff, ought to know that a
judgment debtor, is given the option to choose
which among his properties or a part thereof may
be levied upon and his failure to do so diminishes
or tending to diminish public trust and confidence
in the courts will not be tolerated.
LABOR LAW
First Division
Valid Termination
Gadia vs. Sykes Asia, Inc.
748 SCRA 633, January 28, 2015
Records reveal that Sykes Asia adequately informed
petitioners of their employment status at the time
of their engagement, which provides that they were
hired in connection with a particular project, thus,
they were indeed project-based employees and not
regular employees.
LABOR LAW
First Division
Two-notice rule
Maersk-Filipinas Crewing, Inc. vs. Avestruz
751 SCRA 161, February 18, 2015
Avestruz was illegally dismissed there being no
compliance with the two-notice rule when he was
merely verbally informed that he was dismissed
from service and would be disembarked from the
vessel by the captain because of the oily cover of
the garbage bin.
REMEDIAL LAW
First Division
Money Judgment
Department of Environment and Natural
Resources (DENR) vs. United Planners
Consultants, Inc. (UPCI)
751 SCRA 389, February 23, 2015
Despite finality of the confirmed arbitral award by
the RTC, the respondent has to first seek the
approval of their monetary claim to the COA
which has primary jurisdiction over all execution of
money judgment against the Government.
LEGAL ETHICS
First Division
Conflict of Interest
Anglo vs. Valencia
751 SCRA 588, February 25, 2015
Respondents’ law firm represented conflicting
interests when the opposing parties in the present
criminal case against Anglo was represented by the
same law office which handled complainant’s labor
cases.
REMEDIAL LAW
First Division
Non-joinder of indispensable parties
 Divinagracia vs. Parilla
753 SCRA 87, March 11, 2015
In an action for partition, all the co-heirs and
persons having an interest in the property are
indispensable parties and will not lie without the
joinder of the said parties.
TAXATION LAW
First Division
Tax Refunds
Cargill Philippines, Inc. vs. Commissioner of
Internal Revenue
753 SCRA 124, March 11, 2015
Since Cargill’s administrative claim for refund was
filed before the period when BIR Ruling No. DA-
489-03 was in effect, the filing of its judicial claim
only 3 days later was correctly dismissed for being
prematurely filed.
LABOR LAW
First Division
Termination of Employment
ST. LUKE’S MEDICAL CENTER, INC., vs.
MARIA THERESA V. SANCHEZ
753 SCRA 218, G.R. No. 212054, MARCH 11,
2015
An employer may terminate an employment for any
of the following causes: (a) Serious misconduct or
willful disobedience by the employee of the lawful
orders of his employer or his representative in
connection with his work. Note that for an
employee to be validly dismissed on this ground,
the employer’s orders, regulations, or instructions
must be: (1) reasonable and lawful; (2) sufficiently
known to the employee; and, (3) in connection with
the duties which the employee has been engaged to
discharge.
LEGAL ETHICS
First Division
Attorney-Client Relationship
EDUARDO A. MAGLENTE, vs. ATTY.
DELFIN R. AGCAOILI, JR.
753 SCRA 350, A.C. No. 10672, MARCH 18,
2015
It must be stressed that once a lawyer takes up the
cause of his client, he is duty-bound to serve the
latter with competence, and to attend to such
client’s cause with diligence, care, and devotion,
whether he accepts it for a fee or for free. He owes
fidelity to such cause and must always be mindful
of the trust and confidence reposed upon him.
Therefore, a lawyer’s neglect of a legal matter
entrusted to him by his client constitutes
inexcusable negligence for which he must be held
administratively liable.
LEGAL ETHICS
First Division
Suspension from Practice of Law
SHIRLEY OLAYTA-CAMBA, vs. ATTY.
OTILIO SY BONGON
754 SCRA 205, A.C. No. 8826, MARCH 25,
2015
Jurisprudence provides that in similar cases where
lawyers neglected their client’s affairs and, at the
same time, failed to return the latter’s money
and/or property despite demand, the Supreme
Court imposed upon them the penalty of
suspension from the practice of law. However,
there have been instances where the Court
tempered the penalty imposed upon a lawyer due
to humanitarian and equitable considerations.
Taking into consideration respondent’s advanced
age, medical condition, and the fact that this is his
first offense.
STATUTORY CONSTRUCTION
First Division
Statutes
THE DEPARTMENT OF HEALTH,
represented by SECRETARY ENRIQUE T.
ONA, and THE FOOD AND DRUG
ADMINISTRATION (formerly the Bureau of
Food and Drugs), represented by
ASSISTANT SECRETARY OF HEALTH
NICOLAS B. LUTERO III, Officer-in-
Charge, vs. PHILIP MORRIS PHILIPPINES
MANUFACTURING, INC.
754 SCRA 452, G.R. No. 202943, MARCH 25,
2015
General legislation must give way to special
legislation on the same subject, and generally is so
interpreted as to embrace only cases in which the
special provisions are not applicable. In other
words, where two statutes are of equal theoretical
application to a particular case, the one designed
therefore should prevail.
MERCANTILE LAW
First Division
Corporate Rehabilitation
BPI FAMILY SAVINGS BANK, INC., vs. ST.
MICHAEL MEDICAL CENTER, INC.
754 SCRA 493, G.R. No. 205469, MARCH 25,
2015
Restoration is the central idea behind the remedy
of corporate rehabilitation. It contemplates a
continuance of corporate life and activities in an
effort to restore and reinstate the corporation to its
former position of successful operation and
solvency, the purpose being to enable the company
to gain a new lease on life and allow its creditors to
be paid their claims out of its earnings.
CIVIL LAW
First Division
Assignment of Credit
FORT BONIFACIO DEVELOPMENT
CORPORATION, vs. VALENTIN L. FONG
754 SCRA 544, G.R. No. 209370, MARCH 25,
2015
When a person assigns his credit to another person,
the latter is deemed subrogated to the rights as well
as to the obligations of the former. The practical
efficacy of the assignment although valid between
Fong and MS Maxco, remains contingent on
FBDC’s consent. Without the happening of said
condition, only MS Maxco, and not Fong, can
collect on the credit. However, this finding does
not preclude any recourse that Fong may take
against MS Maxco. After all, an assignment of
credit for a consideration and covering a
demandable sum of money is considered as a sale
of personal property.
REMEDIAL LAW
First Division
Object Evidence
PEOPLE OF THE PHILIPPINES, vs.
CHARLIE SORIN y TAGAYLO
754 SCRA 594, G.R. No. 212635, MARCH 25,
2015
It is well-settled that in criminal prosecution
involving illegal drugs, the presentation of the
drugs which constitute the corpus delicti of the crime
calls for the necessity of proving with moral
certainty that they are the same seized items. The
lack of conclusive identification of the illegal drugs
allegedly seized from the accused strongly militates
against a finding of guilt, as in this case. Therefore,
as reasonable doubt persists on the identity of the
drugs allegedly seized from the accused, the latter’s
acquittal should come as a matter of course.
REMEDIAL LAW
First Division
Preliminary Investigation
PRESIDENTIAL COMMISSION ON
GOOD GOVERNMENT, vs. OFFICE OF
THE OMBUDSMAN, RENATO D. TAYAG,
ISMAEL M. REINOSO, GENEROSO
TANSECO, MANUEL MORALES, RUBEN
B. ANCHETA, GERONIMO Z. VELASCO,
TROADIO T. QUIAZON, JR., FERNANDO
MARAMAG, EDGARDO TORDESILLAS,
ARTURO R. TANCO, JR., GERARDO
SICAT, PANFILO O. DOMINGO,
POTENCIANO ILUSORIO, MANUEL B.
SYQUIO, RAFAEL M. ATAYDE,
HONORIO POBLADOR, JR., GEORGE T.
SCHOLEY, TIRSO ANTIPORDA, JR.,
CARLOS L. INDUCTIVO, and TEODORO
VALENCIA
785 SCRA 55, G.R. No. 193176, FEBRUARY
24, 2016
The duty of the Ombudsman in the conduct of
preliminary investigation is to establish whether
there exists probable cause to file an information in
court against the accused. Preliminary investigation
is not the occasion for the full and exhaustive
display of the parties’ evidence. It is for the
presentation of such evidence as may engender a
well-founded belief that an offense has been
committed and that the accused is probably guilty
thereof. The validity and merits of a party’s
accusation or defense as well as admissibility of
testimonies and evidence, are better ventilated
during the trial proper.
CIVIL LAW
First Division
Reconstitution of Titles
JOSE B. LURIZ, vs. REPUBLIC OF THE
PHILIPPINES
785 SCRA 142, G.R. No. 208948, FEBRUARY
24, 2016
The reconstitution of a certificate of a title denotes
restoration in the original form and condition of a
lost or destroyed instrument attesting the title of a
person to a piece of land. It partakes of a land
registration proceeding. Thus, it must be granted
only upon clear proof that the title sought to be
restored was indeed issued to the petitioner or his
predecessor-in-interest, and such title was in force
at the time it was lost or destroyed.
CIVIL LAW
First Division
Annulment of Marriage
REPUBLIC OF THE PHILIPPINES, vs.
REGHIS M. ROMERO II and OLIVIA
LAGMAN ROMERO. OLIVIA LAGMAN
ROMERO, vs. REGHIS M. ROMERO II
785 SCRA 164, G.R. Nos. 209180 & 209253,
FEBRUARY 24, 2016
Psychological incapacity as a ground to nullify a
marriage should refer to the most serious cases of
personality disorders clearly demonstrative of an
utter insensitivity or inability to give meaning and
significance to the marriage. That Reghis married
Olivia not out of love, but out of reverence for the
latter’s parent’s does not constitute psychological
incapacity contemplated under the Family Code.
Any doubt should be resolved in favor of the
validity of the marriage and the indissolubility of
the marital tie.
JUDICIAL ETHICS
First Division
Motion for Extension of Time
FLORANTE A. MIANO, vs. MA. ELLEN M.
AGUILAR
785 SCRA 338, A.M. No. RTJ-15-2408,
MARCH 02, 2016
Failure to decide cases and other matters within the
reglementary period constitutes gross inefficiency
and warrants the imposition of administrative
sanction against the erring magistrate. The Court is
not unmindful of the circumstances that may delay
the speedy disposition of cases assigned to judges,
thus, the Court allows extensions of time within
which pending cases may be disposed of, upon a
seasonable filing of a request therefor and sufficient
justification. For failing to do so, respondent
cannot evade administrative liability.
LABOR LAW
Second Division
Retirement
GRACE CHRISTIAN HIGH SCHOOL,
represented by its Principal, DR. JAMES
TAN, vs. FILIPINAS A. LAVANDERA
733 SCRA 498, G.R. No. 177845, AUGUST 20,
2014
An employees retirement benefits under any
collective bargaining and other agreements shall
not be less than those provided under the same –
that is, at least one-half (1/2) month salary for every
year of service, a fraction of at least six (6) months
being considered as one whole year – and that
unless the parties provide for broader inclusions,
the term one-half month salary shall mean fifteen
(15) days plus one-twelfth (1/12) of the 13th month
pay and the cash equivalent of not more than five
(5) days of service incentive leaves.
AGRARIAN REFORM
Second Division
Expropriation Proceedings
JOSE T. LAJOM, represented by PORFIRIO
RODRIGUEZ, FLORENCIA LAJOM
GARCIA-DIAZ, FRANCISCO LAJOM
GARCIA, JR., FERNANDO LAJOM
RODRIGUEZ, TOMAS ATAYDE,
AUGUSTO MIRANDA, JOSEFINA
ATAYDE FRANCISCO, RAMON L.
ATAYDE, and BLESILDA ATAYDE RIOS,
vs. LAND BANK OF THE PHILIPPINES
733 SCRA 511, G.R. No. 185048, AUGUST 20,
2014
It is fundamental that just compensation should be
determined at the time of the property’s taking. The
date of taking of the subject land for purposes of
computing just compensation should be reckoned
from the issuance dates of the emancipation
patents. Although the taking of properties for
agrarian reform purposes is a revolutionary kind of
expropriation, it should not be carried out at the
undue expense of landowners who are also entitled
to protection under the Constitution and agrarian
reform laws. The Court has previously allowed the
grant of legal interest in expropriation cases where
there was delay in the payment of just
compensation, deeming the same to be an effective
forbearance on the part of the State. This
incremental interest is not granted on the
computed just compensation; rather, it is a penalty
imposed for damages incurred by the landowner
due to the delay in its payment.
REMEDIAL LAW
Second Division
Certification Against Forum Shopping
LOURDES C. FERNANDEZ, vs. NORMA
VILLEGAS and any person acting in her
behalf including her family
733 SCRA 548, G.R. No. 200191, AUGUST 20,
2014
It has been held that under reasonable or justifiable
circumstances – as in this case where the plaintiffs
or petitioners share a common interest and invoke
a common cause of action or defense – the rule
requiring all such plaintiffs or petitioners to sign the
certification against forum shopping may be
relaxed.
REMEDIAL LAW
First Division
Doctrine of Immutability of Judgments
MICHELIN ASIA PACIFIC APPLICATION
SUPPORT CENTER, INC., vs. MARIO J.
ORTIZ
741 SCRA 121, G.R. No. 189861, NOVEMBER
19, 2014
A definitive final judgment, however erroneous, is
no longer subject to change or revision. Settled is
the rule that a decision that has acquired finality
becomes immutable and unalterable. This quality of
immutability precludes the modification of a final
judgment, even if the modification is meant to
correct erroneous conclusions of fact and law.
CRIMINAL LAW
First Division
Technical Malversation
GOVERNOR ENRIQUE T. GARCIA, JR.,
vs. OFFICE OF THE OMBUDSMAN,
LEONARDO B. ROMAN, ROMEO L.
MENDIOLA, PASTOR P. VICHUACO,
AURORA J. TIAMBENG and
NUMERIANO G. MEDINA
741 SCRA 172, G.R. No. 197567, NOVEMBER
19, 2014
The element of Malversation of Public Funds are
distinctly different from those of Technical
Malversation. In the crime of Malversation of
Public Funds, the offender misappropriates public
funds for his own personal use or allows any other
person to take such public funds for the latter’s
personal use. On the other hand, in Technical
Malversation, the public officer applies public
funds under his administration not for his or
another’s personal use, but to a public use other
than that for which the fund was appropriated by
law or ordinance. Technical Malversation does not
include, or is not necessarily included in the crime
of Malversation of Public Fund.
REMEDIAL LAW
First Division
Judgments
CHERITH A. BUCAL, vs. MANNY P.
BUCAL
759 SCRA 262, G.R. No. 206957, JUNE 17,
2015
It is improper to enter an order which exceeds the
scope of relief sought by the pleadings, absent
notice which affords the opposing party an
opportunity to be heard with respect to the
proposed relief. The fundamental purpose of the
requirement that allegations of a complaint must
provide the measure of recovery is to prevent
surprise to the defendant. For the same reason, this
protection against surprises granted to defendants
should also be available to petitioners. Both parties
to a suit are entitled to due process against
unforeseen and arbitrary judgments.
LABOR LAW
First Division
Disability Benefits
ACE NAVIGATION COMPANY and VELA
INTERNATIONAL MARINE LIMITED,
vs. SANTOS D. GARCIA
759 SCRA 274, G.R. No. 207804, JUNE 27,
2015
A judicious review of the records reveals that
Garcia was indeed unable to obtain any gainful
employment for more than 120 days after his
repatriation. However, this fact does not ipso facto
render his disability total and permanent. The
company-designated physician is given a leeway of
an additional 120 days, or a total of 240 days from
repatriation, to give the seafarer further treatment
and, thereafter, make a declaration as to the nature
of the latter’s disability.
REMEDIAL LAW
First Division
Appeals
MITSUBISHI MOTORS PHILIPPINES
CORPORATION, vs. BUREAU OF
CUSTOMS
759 SCRA 306, G.R. No. 209830, JUNE 17,
2015
In view of respondent’s availment of a wrong mode
of appeal via notice of appeal stating that it was
elevating the case to the CA – instead of appealing
by way of a petition for review to the CTA within
thirty (30) days from receipt of a copy of the RTC’s
Order – the Court is constrained to deem the
RTC’s dismissal of respondent’s collection case
against petitioner final and executory. It is settled
that the perfection of an appeal in the manner and
within the period set by law is not only mandatory,
but jurisdictional as well, and that failure to perfect
an appeal within the period fixed by law renders the
judgment appealed from final and executory.
ADMINISTRATIVE LAW
First Division
Court Personnel
RE: REPORT OF ATTY. CARIDAD A.
PABELLO, Chief of Office, Office of
Administrative Services-Office of the Court
Administrator (OAS-OCA), on Neglect of
Duty of FERDINAND F. ANDRES, Human
Resource Management Officer III, Regional
Trial Court (RTC)-Personnel Division, OAS-
OCA, the Processor-in-Charge of
Appointment and the Alleged Erroneous
Recording, Erasure, and Alteration of the
Performance Rating on the Record Book.
762 SCRA 26, A.M. No. 2014-07-SC, JULY 08,
2015
It is incumbent upon every government employee
to adapt all reasonable means to cope with the
heavy workload, for the occupation demands no
less than full and uncomplaining dedication to the
public service. The disciplining authority, the
Supreme Court in this case, is granted the
discretion to consider mitigating circumstances in
the imposition of final penalty. These factors range,
among others, from the erring individual’s
admission of guilt, remorse, length of service, or
high performance rating.
ADMINISTRATIVE LAW
First Division
Injunction
CARMELO V. CACHERO, vs. UNITED
OVERSEAS BANK PHILS. and/or
WESTMONT BANK
762 SCRA 82, G.R. No. 180162, JULY 08, 2015
A Sheriff performs a sensitive role in the
dispensation of justice. He is duty-bound to know
the basic rules in the implementation of a writ of
execution and be vigilant in the exercise of that
authority. While sheriffs have the ministerial duty
to implement writs of execution promptly, they are
bound to discharge their duties with prudence,
caution, and attention which careful men usually
exercise in the management of their affairs. Settled
is the rule that where a party has actual notice, no
matter how acquired, of an injunction clearly
informing him from what he must abstain, he is
legally bound from that time to desist from what he
is restrained and inhibited from doing, and will be
punished for a violation thereof, even though it
may not have served, or may have been served to
him defectively.
REMEDIAL LAW
First Division
Res Judicata
ROBERTO STA. ANA DY, JOSE ALAINEO
DY, and ALTEZA A. DY for themselves and
as heirs/substitutes of deceased-petitioner
CHLOE ALINDOGAN DY, vs.
BONIFACIO A. YU, SUSANA A. TAN, and
SOLEDAD ARQUILLA substituting
deceased-respondent ROSARIO ARQUILLA
762 SCRA 357, G.R. No. 202632, JULY 08,
2015
Res judicata comprehends two concepts: (1) bar by
former judgment, and (2) conclusiveness of
judgment. For res judicata to serve as an absolute
bar to a subsequent action, the following requisites
must concur: (a) the former judgment or order
must be final; (b) the judgment or order must be on
the merits; (c) it must have been rendered by a court
having jurisdiction over the subject matter and
parties; and (d) there must be between the first and
second actions, identity of parties, of subject
matter, and of causes of action. When there is no
identity of causes of action, but only an identity of
issues, there exists res judicata in the concept of
conclusiveness of judgment.
REMEDIAL LAW
First Division
Real Parties-In-Interest
ANDY ANG, vs. SEVERINO PACUNIO,
TERESITA P. TORRALBA, SUSANA
LOBERANES, CHRISTOPHER N.
PACUNIO, and PEDRITO P. AZARCON,
represented by their Attorney-in-Fact,
GALILEO P. TORRALBA
762 SCRA 411, G.R. No. 208928, JULY 08, 2015
The rule on real parties-in-interest has two (2)
requirements, namely: (a) to institute an action, the
plaintiff must be the real party-in-interest; and (b)
the action must be prosecuted in the name of the
real party-in-interest. Interest within the meaning
of the Rules of Court means material interest or an
interest in issue to be affected by the decree or
judgment of the case, as distinguished from mere
curiosity about the question involved. One having
no material interest cannot invoke the jurisdiction
of the court as the plaintiff in an action. When the
plaintiff is not the real party-in-interest, the case is
dismissible on the ground of lack of cause of action.
LABOR LAW
First Division
Project Employees
DIONISIO DACLES, vs. MILLENIUM
ERECTORS CORPORATION and/or
RAGAS TIU
762 SCRA 420, G.R. No. 209822, JULY 08, 2015
For an employee to be considered project-based,
the employer must show that: (a) the employee was
assigned to carry out a specific project or
undertaking; and (b) the duration and scope of
which were specified at the time the employee was
engaged for such project. Being assigned to a
project or a phase thereof which begins and ends at
determined or determinable times, the services of
project employees may be lawfully terminated at
the completion of such project or phase.
Consequently, in order to safeguard the rights of
workers against the arbitrary use of the word
“project” to prevent them from attaining regular
status, employers claiming that their workers are
project employees should prove that: (a) the
duration and scope of the employment was
specified at the time they were engaged; and (b)
there was indeed a project.
REMEDIAL LAW
First Division
Third Party Claims
JE-AN SUPREME BUILDERS AND SALES
CORPORATION, vs. PLANTERS
DEVELOPMENT BANK
766 SCRA 463, G.R. No. 211742, AUGUST 12,
2015
Where a parcel of land levied upon an execution is
occupied by a party other than the judgment
debtor, the procedure is for the court to order a
hearing to determine the nature of said adverse
possession. The adverse third party may take other
legal remedies to prosecute his claim, such as
invoking the supervisory power of the RTC to
enjoin the enforcement/implementation of the
writ of possession, as what petitioners did in this
case. However, the RTC does not and cannot pass
upon the question of title to the property, with any
character of finality, and can treat of the matter only
as may be necessary to decide the question of
whether or not the person in possession holds the
property adversely to the judgment obligor. If the
claimant’s proofs do not persuade the court of the
validity of his title or right of possession thereto,
the claim will be denied.
ADMINISTRATIVE LAW
First Division
Violation of Reasonable Office Rules and
Regulations
TERESITA R. MARIGOMEN, Clerk of
Court, COURT OF APPEALS, MANILA, vs.
RONELO G. LABAR, Driver, Mailing and
Delivery Section, COURT OF APPEALS,
CEBU STATION
768 SCRA 15, A.M. No. CA-15-33-P, AUGUST
24, 2015
Labar should be held liable for violation of
reasonable office rules and regulations for his
unjustified presence at the maintenance section of
the CA-Cebu without official business thereat or
without a valid pass slip from the Assistant Clerk
of Court. Likewise, he should be held liable for the
offense of gambling prohibited by law under the
same rules, for having committed gambling on the
same incident.
TAXATION LAW
First Division
Tax Refunds
CE LUZON GEOTHERMAL POWER
COMPANY, INC., vs. COMMISSIONER OF
INTERNAL REVENUE
768 SCRA 269, G.R. Nos. 200841-42, AUGUST
26, 2015
The rule be that during the period December 20,
2003 to October 6, 2010, taxpayers-claimants need
not observe the 120-day period before it could file
a judicial claim for refund of excess input VAT
before the CTA. Before and after the
aforementioned period, the observance of the 120-
day period is mandatory and jurisdictional to the
filing of such claim.
REMEDIAL LAW
First Division
Preliminary Injunction
SPOUSES ROMULO H. ESPIRITU and
EVELYN ESPIRITU, vs. SPOUSES
NICANOR SAZON and ANNALIZA G.
SAZON
785 SCRA 454, G.R. No. 204965, MARCH 02,
2016
A preliminary injunction is an order granted at any
stage of an action or proceeding prior to the
judgment or final order requiring a party or a court,
an agency, or a person to refrain from a particular
act or acts. Its essential role is preservative of the
rights of the parties in order to protect the ability
of the court to render a meaningful decision, or in
order to guard against a change of circumstances
that will hamper or prevent the granting of the
proper relief after the trial on the merits. The grant
or denial of a writ of preliminary injunction is
discretionary upon the trial court because the
assessment and evaluation of evidence towards that
end involve findings of fact left to the said court for
its conclusive determination.
CRIMINAL LAW
First Division
Penalties
ROGER ALLEN BIGLER, vs. PEOPLE OF
THE PHILIPPINES and LINDA SUSAN
PATRICIA E. BARRETO
785 SCRA 479, G.R. No. 210972, MARCH 02,
2016
In a catena similar cases where the accused failed to
perfect their appeal on their respective judgments
of convictions, the Court corrected the penalties
imposed notwithstanding the finality of the
decisions because they were outside the range of
penalty prescribed by the law. There is thus, no
reason to deprive petitioner of the relief afforded
the accused in the aforesaid similar cases. A
sentence which imposes upon the defendant in a
criminal prosecution a penalty in excess of the
maximum which the court is authorized by law to
impose for the offense for which the defendant was
convicted, is void for want or excess of jurisdiction
as to the excess.
CRIMINAL LAW
First Division
Rape
PEOPLE OF THE PHILIPPINES, vs.
GODOFREDO COMBOY y CRONICO
785 SCRA 512, G.R. No. 218399, MARCH 02,
2016
Statutory Rape is committed by having sexual
intercourse with a woman below twelve (12) years
of age regardless of her consent, or lack of it, to the
sexual act. Proof of force, threat. Or intimidation,
or consent of the offended party is unnecessary as
these are not elements of statutory rape,
considering that the absence of free consent is
conclusively presumed when the victim is below
the age of twelve (12). The law presumes that the
offended party does not possess discernment and
is incapable of giving intelligent consent to the
sexual act.
REMEDIAL LAW
En Banc; Criminal Procedure
Preliminary Investigation
JESSICA LUCILA G. REYES, vs. THE
HONORABLE OMBUDSMAN, JESSICA
LUCILA G. REYES, vs. THE HONORABLE
SANDIGANBAYAN (THIRD DIVISION)
and PEOPLE OF THE PHILIPPINES,
JANET LIM NAPOLES, vs. CONCHITA
CARPIO-MORALES in her official capacity
as OMBUDSMAN, PEOPLE OF THE
PHILIPPINES, and SANDIGANBAYAN, JO
CHRISTINE NAPOLES and JAMES
CHRISTOPHER NAPOLES, vs.
CONCHITA CARPIO-MORALES, in her
official capacity as OMBUDSMAN, PEOPLE
OF THE PHILIPPINES, and
SANDIGANBAYAN, JO CHRISTINE
NAPOLES and JAMES CHRISTOPHER
NAPOLES, vs. SANDIGANBAYAN and
PEOPLE OF THE PHILIPPINES, JOHN
RAYMUND DE ASIS, vs. CONCHITA
CARPIO-MORALES, in her official capacity
as OMBUDSMAN, PEOPLE OF THE
PHILIPPINES, and SANDIGANBAYAN
(THIRD DIVISION)
787 SCRA 354, G.R. Nos. 212593-94., 213163-
78, 213540-41, 213542-43, 215880-94, 213475-76,
MARCH 15, 2016
A preliminary investigation is not the occasion for
the full and exhaustive display of the prosecution’s
evidence, and that the presence or absence of the
elements of the crime is evidentiary in nature and is
a matter of defense that may be passed upon after
a full-blown trial on the merits. Therefore, the
validity and merits of a party’s defense or
accusation, as well as the admissibility of
testimonies and evidence, are better ventilated
during trial proper than at the preliminary
investigation level.
LEGAL ETHICS
En Banc
Attorneys
CHAMELYN A. AGOT, vs. ATTY. LUIS P.
RIVERA
732 SCRA 12, A.C. No. 8000, AUGUST 05, 2014
Respondent misrepresented himself as an
immigration lawyer which resulted to complainant
seeking his assistance when in truth he had no
specialization in immigration law but merely had a
contact. His deception is not only unacceptable,
disgraceful, and dishonorable to the legal
profession and reveals a basic flaw that makes him
unfit to practice law.
REMEDIAL LAW
Second Division
Appeals
CARIDAD RODRIGUEZA, as substituted by
RUFINO RODRIGUEZA, vs. DOMINGO
ALIBIN, as substituted by his heirs, namely:
BEATRIZ A. TORZAR, VIRGINIA A.
TARAYA, ROSARIO A. MARCO, JESUS A.
ALIBIN, and JAY ALIBIN, as substituted by
his children, namely: JAYNES ALIBIN, JAY
ALIBIN, and JESUS ALIBIN, JR.
733 SCRA 1, G.R. No. 196129, AUGUST 13,
2014
The Supreme Court is not a trier of facts and,
hence, does not normally undertake the
reexamination of the evidence presented by the
contending parties during the trial of the case,
considering that the factual findings of the CA are
generally conclusive and binding on the Court,
especially if they do not contradict those of the trial
court. Points of law, theories, issues and arguments
not brought to the attention of the lower court
need not be considered by a reviewing court, as
they cannot be raised for the first time at that late
stage.
LABOR LAW
Second Division
Due Process
LEI SHERYLL FERNANDEZ, vs. BOTICA
CLAUDIO represented by GUADALUPE
JOSE
733 SCRA 133, G.R. No. 205870, AUGUST 13,
2014
Jose eventually participated in the appeal
proceedings by filing not only one but two motions
for reconsideration from the NLRC Resolution,
thereby negating any supposed denial of due
process on her part. The availment of the
opportunity to seek reconsideration of the action
or ruling complained of in labor cases amounts to
due process.
ADMINISTRATIVE LAW
First Division
Immorality
DOROTHY FE MAH-AREVALO, vs.
JUDGE CELSO L. MANTUA, REGIONAL
TRIAL COURT OF PALOMPON, LEYTE,
BRANCH 17
740 SCRA 567, A.M. No. RTJ-13-2360,
NOVEMBER 19. 2014
Immorality has been defined to include not only
sexual matters but also conduct inconsistent with
rectitude, or indicative of corruption, indecency,
depravity, and dissoluteness; r is willful, flagrant, or
shameless conduct showing moral indifference to
opinions of respectable members of the
community, and an inconsiderate attitude toward
good order and public welfare. There is no doubt
that engaging in an extramarital affair is not only a
violation of the moral standards expected of the
members and employees of the judiciary but is also
a desecration of the sanctity of the institution of
marriage which the Supreme Court abhors and is,
thus, punishable.
REMEDIAL LAW
First Division
Certiorari
CENTRAL BICOL STATE UNIVERSITY
OF AGRICULTURE, represented by its
President, ATTY. MARIO T. BERNALES,
vs. PROVINCE OF CAMARINES SUR,
represented by GOVERNOR LUIS
RAYMUND F. VILLAFUERTE, JR. and
GAWAD KALINGA FOUNDATION, INC.
represented by its Executive Director, JOSE
LUIS OQUIÑENA, and its Camarines Sur
Chapter Head, HARRY AZANA
764 SCRA 394, G.R. No. 210861, JULY 29, 2015
As a general rule, a petition for certiorari must be
filed strictly within sixty (60) days from notice of
judgment or from the order denying a motion for
reconsideration. Under exceptional cases, the
Court has held that the 60-day period may be
extended subject to the court’s sound discretion.
There should be an effort on the part of the party
invoking liberality to advance a reasonable or
meritorious explanation for his/her failure to
comply with the rules.
LABOR LAW
First Division
Resignation
CENTRAL AZUCARERA DE BAIS, INC.
and ANTONIO STEVEN L. CHAN, vs.
JANET T. SIASON
764 SCRA 494, G.R. No. 215555, JULY 29, 2015
Resignation is the formal pronouncement or
relinquishment of a position or office. It is the
voluntary act of an employee. The intent to
relinquish must concur with the overt act of
relinquishment. While it may be said that she did
not tender her resignation wholeheartedly, she
voluntarily resigned from her job in order to avoid
a full-blown administrative trial regarding her
misdeeds which could potentially result in her
termination for just cause.
CIVIL LAW
First Division
Compromise Agreements
PHILIPPINE TRANSMARINE CARRIERS,
INC., CARLOS C. SALINAS, and
NORWEGIAN CREW MANAGEMENT
A/S, vs. CESAR C. PELAGIO
766 SCRA 447, G.R. No. 211302, AUGUST 12,
2015
A compromise agreement is a contract whereby the
parties, by making reciprocal concessions, avoid a
litigation or put an end to one already commenced.
Once entered into, it has the effect and the
authority of res judicata upon the parties. A valid
compromise agreement may render a pending case
moot and academic. However, the parties may opt
to put therein clauses, conditions, and the like that
would prevent a pending case from becoming moot
and academic – such as when the execution of such
agreement is without prejudice to the final
disposition of the said case.
CIVIL LAW
First Division
Diligence of a Good Father of the Family
G.V. FLORIDA TRANSPORT, INC., vs.
HEIRS OF ROMEO L. BATTUNG, JR.,
represented by ROMEO BATTUNG, SR.
772 SCRA 579, G.R. No. 208802, OCTOBER
14, 2015
The law exacts from common carriers the highest
degree of diligence – extraordinary diligence – in
ensuring the safety of its passengers. However, the
law provides a lesser degree of diligence – diligence
of a good father of the family – for injuries suffered
by a passenger on account of willful acts or
negligence of other passengers or strangers in
assessing the existence of any culpability on the
common carrier’s part.
LABOR LAW
First Division
Reinstatement
 MELVIN P. MALLO, vs. SOUTHEAST
ASIAN COLLEGE, INC. and EDITA
ENATSU
772 SCRA 657, G.R. No. 212861, OCTOBER
14, 2015
Mallo’s filing of a complaint for illegal dismissal,
coupled with his prior acts of actively inquiring
about his teaching load, negate any intention on his
part to sever his employment. Abandonment of
position is a matter of intention and cannot be
lightly inferred, much less legally presumed, from
certain equivocal acts. Since Mallo was not
dismissed and that he never abandoned his job, it is
only proper for him to report back to work and for
respondents to reinstate him to his former position
or a substantially equivalent one in its stead.
CIVIL LAW
First Division
Default
MAYBANK PHILIPPINES, INC. (formerly
PNB-Republic Bank), vs. SPOUSES OSCAR
and NENITA TARROSA
772 SCRA 670, G.R. No. 213014, OCTOBR 14,
2015
An action to enforce a right arising from a
mortgage should be enforced within ten (10) years
from the time the right of action accrues, i.e., when
the mortgagor defaults in the payment of his
obligation to the mortgagee. It is not sufficient that
the law or obligation fixes a date for performance.
It must further state expressly that after the period
lapses, default will commence. It is only when
demand to pay is unnecessary or when required,
such demand is made and subsequently refused that
the mortgagor can be considered in default and the
mortgagee obtains the right to file an action to
collect the debt or foreclose the mortgage.
ADMINISTRATIVE LAW
First Division
Moonlighting
ANTONIO A. FERNANDEZ, vs. MILA A.
ALER-TA
780 SCRA 248, A.M. No. P-15-3344,
JANUARY 13, 2016
Moonlighting is denominated as the light offense
of “the pursuit of a private business or vocation
without the permission required under the Civil
Service rules and regulations.” In dealing and
transacting with external government agencies, her
engagement was clearly in pursuit of a private
business venture, akin to the services offered by
real estate brokers. She not only expended her time
and effort which should have been devoted to the
performance of her official functions, but she had
also tainted the integrity of her office by giving the
impression that she could have wielded her
authority or influence in exchange for unofficial
favors.
CRIMINAL LAW
First Division
Estafa through Misappropriation
PAZ CHENG y CHU, vs. PEOPLE OF THE
PHILIPPINES
780 SCRA 347, G.R. No. 174113, JANUARY 13,
2016
The right to a commission only establishes the
relation of principal and agent, with the agent
coming under the obligation to turn over to the
principal the amount collected minus such
commission. If the agent should retain more than
the commission, she would be guilty of estafa
through misappropriation. Yet, because the
transaction between Rodriguez and the petitioner
was a sale, the former effectively transferred to the
latter the possession and the ownership of the
items of jewelry. Once the ownership of the jewelry
became vested in the latter, she could not
misappropriate the items of jewelry.
REMEDIAL LAW
First Division
Lis Pendens
SPOUSES RAMON and LIGAYA
GONZALES, vs. MARMAINE REALTY
CORPORATION, represented by MARIANO
MANALO
781 SCRA 63, G.R. No. 214241, JANUARY 13,
2016
Founded upon public policy and necessity, lis
pendens is intended to keep the properties in
litigation within the power of the court until
litigation is terminated; and to prevent the defeat of
the judgment or decree by subsequent alienation.
Its notice is an announcement to the whole world
that a particular property is in litigation and serves
as a warning that one who acquires an interest over
said property does so at his own risk or that he
gambles on the result of the litigation over said
property.

REMEDIAL LAW
First Division; Criminal Procedure; Pleadings
and Practice; Information
GIRLIE M. QUISAY, vs. PEOPLE OF THE
PHILIPPINES
781 SCRA 98, G.R. No. 216920, JANUARY 13,
2016
As a general rule, complaints or informations filed
before the courts without the prior written
authority or approval of the foregoing authorized
officers renders the same defective and, therefore,
subject to quashal. The filing of an Information by
an officer without the requisite authority to file the
same constitutes a jurisdictional infirmity which
cannot be cured by silence, waiver, acquiescence, or
even by express consent. Hence, such ground may
be raised at any stage of the proceedings.
LEGAL ETHICS
En Banc; Attorneys
Code of Professional Responsibility
SPOUSES JONATHAN and ESTER
LOPEZ, vs. ATTY. SINAMAR E. LIMOS
782 SCRA 609, A.C. No. 7618, FEBRUARY 02,
2016
Undoubtedly, the Court’s patience has been tested
to the limit by what in hindsight amount to a
lawyer’s impudence and disrespectful bent. At the
minimum, members of the legal fraternity owe
courts of justice respect, courtesy, and such other
becoming conduct essential in the promotion of
orderly, impartial, and speedy justice. The blatant
disregard on directives of the Investigating
Commissioner of IBP to attend the mandatory
conference and to submit a position paper, such
audacity caused undue delay in the resolution of the
instant administrative case and contravenes the
Code of Professional Responsibility.
REMEDIAL LAW
First Division
Mandamus
FELICITO M. MEJORADO, vs. HON.
FLORENCIO B. ABAD, in his capacity as
the Secretary of the Department of Budget
and Management
787 SCRA 249, G.R. No. 214430, MARCH 09,
2016
Mandamus will not issue to enforce a right which is
in substantial dispute or to which a substantial
doubt exists. The writ of mandamus may only issue
if the party claiming it has a well-defined, clear, and
certain legal right to the thing demanded, and that
it was the imperative duty of respondent to
perform the act required to accord the same upon
him.
CIVIL LAW
First Division
Sale on Installment
EQUITABLE SAVINGS BANK (now known
as the merged entity “BDO Unibank, Inc.”),
vs. ROSALINDA C. PALCES
787 SCRA 260, G.R. No. 214752, MARCH 09,
2016
The respondent never bought the subject vehicle
from petitioner but from a third party, and merely
sought financing from petitioner for its full
purchase price. In order to document the loan
transaction, a Promissory Note with Chattel
Mortgage was executed wherein, inter alia,
respondent acknowledged her indebtedness to
petitioner. There was no vendor-vendee
relationship since a loan contract with accessory
chattel mortgage contract – and not a contract of
sale of personal property in installments – was
entered into by the parties.
CIVIL LAW
First Division
Judicial Declaration of Presumptive Death
REPUBLIC OF THE PHILIPPINES, vs.
NILDA B. TAMPUS
787 SCRA 563, G.R. No. 214243, MARCH 16,
2016
The premise of the Family Code places upon the
present spouse the burden of complying with the
stringent requirement of “well-founded belief’
which can only be discharged upon a showing of
proper and honest-to-goodness inquiries and
efforts to ascertain not only the absent spouse’s
whereabouts. But more importantly, whether the
latter is still alive or is already dead.
AGRARIAN REFORM
First Division
Agrarian Leasehold Relationship
 CITA C. PEREZ, vs. FIDEL D. AQUINO
787 SCRA 581, G.R. No. 217799, MARCH 16,
2016
The existence of an agricultural leasehold
relationship is not terminated by changes in
ownership in case of sale, since the purpose of the
law is to strengthen the security of tenure of
tenants. This notwithstanding, petitioner, as the
new owner is bound to respect and maintain
respondent as tenant of the subject land because of
the latter’s tenancy right attached to the land
regardless of who its owner may be.
LABOR LAW
First Division
Termination of Employment
UNIVERSAL ROBINA SUGAR MILLING
CORPORATION, vs. ELMER ABLAY,
ILDEFONSO CLAVECILLAS, STANLEY
BLAZA, VINCENT VILLAVICENCIO,
ROBERTO CACAS, and ELSA CADAYUNA,
in behalf of her deceased husband,
ELEAZAR CADAYUNA
787 SCRA 593, G.R. No. 218172, MARCH 16,
2016
Ablay’s conviction as an accomplice to the murder
of petitioner’s former assistant manager had
strained the relationship between Ablay and
petitioner. Ablay should not be reinstated in the
company instead be paid separation pay, as
reinstatement would only create an atmosphere of
antipathy. It should be clarified that said strained
relation should not affect the grant of benefits in
his favor prior to his conviction, as the latter
pertains to an offense entirely separate and distinct
from the acts constituting petitioner’s charges
against him.
LABOR LAW
First Division
Suspension of Business Operation
CRISPIN B. LOPEZ, vs. IRVINE
CONSTRUCTION CORP. and TOMAS SY
SANTOS
733 SCRA 589, G.R. No. 207253, AUGUST 20,
2014
Lopez is a regular and not a project employee. The
supposed layoff of Lopez was hardly justified
considering the absence of any causal relation
between the cessation of Irvine’s project with the
suspension of Lopez’s work. The continuation of
his engagement with Irvine, either in Cavite or in
any of its business locations should not have been
affected by the culmination of the Cavite project
alone.
LABOR LAW
First Division
Demotion
PHILIPPINE AIRLINES, INC., vs.
ALEXANDER P. BICHARA
769 SCRA 139, G.R. No. 213729,
SEPTEMBER 02, 2015
Already settled is the illegality of Bichara’s
demotion with finality, he should be awarded the
salary differential of a flight purser from a flight
steward from the time of his illegal demotion up
until he was retrenched. The award of salary
differential is not dependent on the validity of his
termination as it is intrinsically linked to the
illegality of his Demotion. With this direct relation,
there should be no obstacle in rendering this award.
LABOR LAW
First Division
Loss of Trust and Confidence
CEBU PEOPLE’S MULTI-PURPOSE
COOPERATIVE and MACARIO G.
QUEVEDO, vs. NICERATO E.
CARBONILLA, JR.
782 SCRA 418, G.R. No. 212070, JANUARY
27, 2016
Employers are allowed a wider latitude of
discretion in terminating the services of employees
who perform functions by which their nature
requires the employer’s full trust and confidence.
Mere existence of basis for believing that the
employee has breached trust and confidence of the
employer is sufficient and does not require proof
beyond reasonable doubt. Thus, when an employee
has been guilty of breach of trust or his employer
has ample reason to distrust him, a labor tribunal
cannot deny the employer the authority to dismiss
him.
AGRARIAN REFORM
First Division
Just Compensation
LAND BANK OF THE PHILIPPINES, vs.
EDGARDO L. SANTOS, represented by his
assignee, ROMEO L. SANTOS, EDGARDO
 L. SANTOS, represented by his assignee,
ROMEO L. SANTOS, vs. LAND BANK OF
THE PHILIPPINES
782 SCRA 441, G.R. Nos. 213863 & 214021,
JANUARY 27, 2016
In expropriation cases, interest is imposed if there
is delay in the payment of just compensation to the
landowner since the obligation is deemed to be an
effective forbearance on the part of the State. Such
interest shall be pegged at the rate of twelve percent
(12%) per annum on the unpaid balance of the just
compensation, reckoned from the time of taking,
or the time when the landowner was deprived of
the use and benefit of his property until full
payment.
LABOR LAW
First Division
Length of Service
SECURITY BANK SAVINGS
CORPORATION (formerly PREMIERE
DEVELOPMENT BANK)/HERMINIO M.
FAMATIGAN, JR., vs. CHARLES M.
SINGSON
784 SCRA 30, G.R. No. 214230, FEBRUARY
10, 2016
The fact that private respondent served petitioner
for more than twenty years with no negative record
prior to his dismissal does not call for such award
of benefits, since his violation reflects a regrettable
lack of loyalty and worse, betrayal of the company.
If an employee’s length of service is to be regarded
as a justification for moderating the penalty of
dismissal, such gesture will actually become a prize
for disloyalty, distorting the meaning of social
justice and undermining the efforts of labor to
cleanse its ranks of undesirables. Length of Service
is not a bargaining chip that can simply be stacked
against the employer.
REMEDIAL LAW
First Division
Appeals
SPOUSES EDMOND LEE and HELEN
HUANG, vs. LAND BANK OF THE
PHILIPPINES
784 SCRA 342, G.R. No. 218867, FEBRUARY
17, 2016
The requirement of paying the full amount of the
appellate docket fees within the prescribed period
is not a mere technicality of law or procedure. The
payment of docket fees within the prescribed
period is mandatory for the perfection of an appeal.
Without such payment, the appeal is not perfected.
The appellate court does not acquire jurisdiction
over the subject matter of the action and the
Decision sought to be appealed from becomes final
and executory.
ADMINISTRATIVE LAW
First Division
Revised Rules on Administrative Cases in the
Civil Service; Penalties
OFFICE OF THE OMBUDSMAN-FIELD
INVESTIGATION OFFICE, vs. ROLANDO
B. FALLER
792 SCRA 361, G.R. No. 215994, JUNE 06,
2016
Under the Revised Rules of Administrative Cases
in the Civil Service, if the respondent is found guilty
of two (2) or more charges, the penalty for the most
serious charge shall be imposed and the other
charges shall be considered as aggravating
circumstances. Likewise, the maximum of the
penalty shall be imposed where only aggravating
and no mitigating circumstances are present.
AGRARIAN REFORM
Special First Division
Just Compensation
LAND BANK OF THE PHILIPPINES, vs.
ALFREDO HABABAG, SR., substituted by
his wife, CONSOLACION, and children,
namely: MANUEL, SALVADOR, WILSON,
JIMMY, ALFREDO, JR., and JUDITH, all
surnamed HABABAG, ALFREDO
HABABAG, SR., substituted by his wife,
CONSOLACION, and children, namely:
MANUEL, SALVADOR, WILSON, JIMMY,
ALFREDO, JR., and JUDITH, all surnamed
HABABAG, vs. LAND BANK OF THE
PHILIPPINES and the DEPARTMENT OF
AGRARIAN REFORM
792 SCRA 399, G.R. Nos. 172352 & 172387-88,
JUNE 08, 2016
The Court had illuminated that the substantiality of
the payments made by the LBP is not the
determining factor in the imposition of interest as
nothing less than full payment of just
compensation is required. The value of the
landholdings themselves should be equivalent to
the principal sum of the just compensation due, and
that interest is due and should be paid to
compensate for the unpaid balance of this principal
sum after the taking has been completed.
ADMINISTRATIVE LAW
First Division
Government-Owned and Controlled
Corporations
FIRST MEGA HOLDINGS CORP., vs. GUI-
GUINTO WATER DISTRICT
792 SCRA 670, G.R. No. 208383, JUNE 08,
2016
Government-owned or controlled corporations,
their subsidiaries, other corporate offsprings, and
government acquired asset corporations are not
allowed to engage the legal services of private
counsels. The OGCC shall act as the principal law
office of GOCCs unless their respective charters
expressly name the Office of the Solicitor General
(OSG) as their legal counsel. Nonetheless, in
exceptional cases, private counsel can be hired with
the prior written conformity and acquiescence of
the Solicitor General or the Government
Corporate Counsel, and the prior written
concurrence of the Commission on Audit.
REMEDIAL LAW
First Division; Criminal Procedure; Civil
Liability
JOSE BURGOS, JR., vs. SPOUSES ELADIO
SJ. NAVAL and ARLINA B. NAVAL, and
AMALIA B. NAVAL
793 SCRA 120, G.R. No. 219468, JUNE 08,
2016
The RTC did not render any ruling that the act or
omission from which the civil liability may arise did
not exist. The RTC granted the motion to quash
and thereby dismissed the criminal case on the sole
ground of prescription. Any misgivings regarding
the propriety of that disposition is for the people,
thru the OSG, and not for Burgos to argue. Burgos’
remedy is to institute a civil case under the
parameters of the Rules of Criminal Procedure.
CIVIL LAW
First Division
Possession
HEIRS OF JOSE EXTREMADURA,
represented by ELENA H.
EXTREMADURA, vs. MANUEL
EXTREMADURA and MARLON
EXTREMADURA
793 SCRA 581, G.R. No. 211065, JUNE 15,
2016
The execution of a public instrument gives rise only
to a prima facie presumption of delivery, which is
negated by the failure of the vendee to take actual
possession of the land sold. A person who does not
have actual possession of the thing sold cannot
transfer constructive possession by the execution
and delivery of a public instrument.
CRIMINAL LAW
First Division
Pardon
RUBEN E. TIU, vs. HON. NATIVIDAD G.
DIZON, Acting Chairperson of the Board of
Pardons and Parole, HON. FRANKLIN
JESUS BUCAYU, Director of the Bureau of
Corrections, HON. SECRETARY LEILA M.
DE LIMA of the Department of Justice,
HON. PAQUITO N. OCHOA JR., the
Executive Secretary
793 SCRA 595, G.R. No. 211269, JUNE 15,
2016
A contract between the sovereign power of the
Chief Executive and the convicted criminal to the
effect that the former will release the latter subject
to the condition that if he does not comply with the
terms of the pardon, he will be recommitted to
prison to serve the unexpired portion of the
sentence or an additional one. The grant of pardon
and the determination of the terms and conditions
of a conditional pardon are purely executive acts
which are not subject to judicial scrutiny.
REMEDIAL LAW
First Division
Voidable Judgments
TERESITA TAN, vs. JOVENCIO F.
CINCO, SIMON LORI HOLDINGS, INC.,
PENTACAPITAL INVESTMENT
CORPORATION, FORTUNATO G. PE,
RAYMUNDO G. PE, JOSE REVILLA
REYES, JR., and DEPUTY SHERIFF
ROMMEL IGNACIO
793 SCRA 610, G.R. No. 213054, JUNE 15,
2016
A judgment rendered by a court without
jurisdiction is null and void and may be attacked
anytime. It creates no rights and produces no effect.
It remains a basic fact in law that the choice of the
proper forum is crucial, as the decision of a court
or tribunal without jurisdiction is a total nullity. A
void judgment for want of jurisdiction is no
judgment at all. All acts performed pursuant to it
and all claims emanating from it have no legal
effect.
AGRARIAN REFORM
First Division
Just Compensation
LAND BANK OF THE PHILIPPINES, vs.
APOLONIO KHO, represented by his heirs,
namely: PERLA LUZ, KRYPTON, KOSELL,
KYRIN, and KELVIN, all surnamed KHO
793 SCRA 651, G.R. No. 214901, JUNE 15,
2016
For purposes of determining just compensation,
the fair market value of an expropriated property is
determined by its character and its price at the time
of the taking, or the time when the landowner was
deprived of the use and benefit of his property,
such as when the title is transferred in the name of
the beneficiaries.
LABOR LAW
First Division
Labor-only Contracting
CAGAYAN ELECTRIC POWER & LIGHT
COMPANY, INC. (CEPALCO) and
CEPALCO ENERGY SERVICES
CORPORATION (CESCO), formerly
CEPALCO ENERGY SERVICES &
TRADING CORPORATION (CESTCO), vs.
CEPALCO EMPLOYEE’S LABOR UNION-
ASSOCIATED LABOR UNIONS-TRADE
UNION CONGRESS OF THE
PHILIPPINES (TUCP), CAGAYAN
ELECTRIC POWER & LIGHT COMPANY,
INC. (CEPALCO) and CEPALCO ENERGY
SERVICES CORPORATION (CESCO),
formerly CEPALCO ENERGY SERVICES &
TRADING CORPORATION (CESTCO), vs.
CEPALCO EMPLOYEE’S LABOR UNION-
ASSOCIATED LABOR UNIONS-TRADE
UNION CONGRESS OF THE
PHILIPPINES (TUCP)
794 SCRA 95, G.R. Nos. 211015 & 213835,
JUNE 20, 2016
Labor-only contracting is considered as a form of
unfair labor practice when the same is devised by
the employer to interfere with, restrain or coerce
employees in the exercise of their rights of self-
organization. It would be the employees of CESCO
who are entitled to seek the foregoing reliefs since
in cases of labor-only contracting, the person or
intermediary shall be considered merely as an agent
of the employer who shall be responsible to the
workers in the same manner and extent as if the
latter were directly employed by him. However,
they have not been impleaded in these cases.
MERCANTLE LAW
First Division
Corporate Rehabilitation
PHILIPPINE ASSET GROWTH TWO, INC.
(Successor-in-Interest of Planters
Development Bank) and PLANTERS
DEVELOPMENT BANK, vs. FASTECH
SYNERGY PHILIPPINES, INC. (formerly
First Asia System Technology, Inc.),
FASTECH MICROASSEMBLY & TEST,
INC., FASTECH ELECTRONIQUE, INC.,
and FASTECH PROPERTIES, INC.
794 SCRA 625, G.R. No. 206528, JUNE 28,
2016
A distressed corporation should not be
rehabilitated when the results of the financial
examination and the analysis clearly indicate that
there lies no reasonable probability that it may be
revived, to the detriment of its numerous
stakeholders which include not only the
corporation’s creditors but also the public at large.
CIVIL LAW
First Division
Interest Rates
NYMPHA S. ODIAMAR, vs. LINDA
ODIAMAR VALENCIA
795 SCRA 18, G.R. No. 213582, JUNE 28, 2016
It is fundamental that for monetary interest to be
due, there must be an express written agreement
therefor. The lack of a written stipulation to pay
interest on the loaned amount bars a creditor from
charging monetary interest and the collection
interest without any stipulation therefor in writing
is prohibited by law.

LABOR LAW
First Division
Nominal Damages
ARMANDO N. PUNCIA, vs. TOYOTA
SHAW/ PASIG, INC.
795 SCRA 32, G.R. No. 214399, JUNE 28, 2016
While Toyota afforded Puncia the opportunity to
refute the charge of gross inefficiency against him,
the latter was completely deprived of the same
when he was dismissed for gross insubordination –
a completely different ground from what was stated
in the Notice to Explain. Considering that Toyota
had dismissed Puncia for a just cause, albeit failed
to comply with the proper procedural
requirements, the former should pay the latter
nominal damages.
MERCANTILE LAW
Special First Division
Corporations
RICHARD K. TOM, vs. SAMUEL N.
RODRIGUEZ
797 SCRA 60, G.R. No. 215764, JULY 13, 2016
Contracts or acts of a corporation must be made
either by the board of directors or by the corporate
agent duly authorized by the board. Absent such
valid delegation/authorization, the rule is that the
declarations of an individual director relating to the
affairs of the corporation, but not in the course of,
or connected with, the performance of authorized
duties of such director, are held not binding on the
corporation.
CRIMINAL LAW
First Division
Death of the Accused
PEOPLE OF THE PHILIPPINES, vs.
ALVIN CENIDO y PICONES and
REMEDIOS CONTRERAS y CRUZ
797 SCRA 102, G.R. No. 210801, JULY 18, 2016
As Remedios’ death transpired before the
promulgation of the Court’s Resolution, her
criminal liability is totally extinguished.
Consequently, Remedios’ death renders the Court’s
Resolution irrelevant and ineffectual as to her, and
is therefore set aside. The criminal case against
Remedios is dismissed.
TAXATION LAW
First Division
Tax Refunds
COMMISSIONER OF INTERNAL
REVENUE, vs. CBK POWER COMPANY
LIMITED
746 SCRA 93, G.R. Nos. 193407-08, JANUARY
14, 2015
The application for a tax treaty relief from the BIR
should merely operate to confirm the entitlement
of the taxpayer to the relief. Since CBK Power had
requested for confirmation from the ITAD before
it filed its administrative claim for refund of its
excess final withholding taxes, the same should be
deemed substantial compliance. To rule otherwise
would defeat the purpose of the NIRC in providing
the taxpayer a remedy for erroneously paid tax
solely on the ground of failure to make prior
application for tax treaty relief.
REMEDIAL LAW
First Division
Venue
VIRGILIO C. BRIONES, vs. COURT OF
APPEALS and CASH ASIA CREDIT
CORPORATION
746 SCRA 240, G.R. No. 204444, JANUARY
14, 2015
Written stipulations as to venue may be restrictive
in the sense that the suit may be filed only in the
place agreed upon, or merely permissive in that the
parties may file their suit not only in the place
agreed upon but also in the places fixed by law. As
regards restrictive stipulations on venue,
jurisprudence instructs that it must be shown that
such stipulation is exclusive. In the absence of
qualifying or restrictive words, the stipulation
should be deemed as merely an agreement on an
additional forum, not as limiting venue to the
specified place.
CRIMINAL LAW
First Division
Ponzi Scheme
PEOPLE OF THE PHILIPPINES, vs.
PALMY TIBAYAN and RICO Z. PUERTO
 746 SCRA 259, G.R. Nos. 209655-60,
JANUARY 14, 2015
TGICI’s modus operandi of inducing the public to
invest in it on the undertaking that their investment
would be returned with a very high monthly
interest rate. The directors/incorporators of
TGICI knew from the start that TGICI is operating
without any paid-up capital and has no clear trade
by which it can pay the assured profits to its
investors, they cannot comply with their guarantee
and had to simply abscond with their investor’s
money. TGICI engaged in a Ponzi Scheme
resulting in the defraudation of the TGICI
investors.
REMEDIAL LAW
First Division
Dispositive Portions
EDMUND SIA, vs. WILFREDO ARCENAS,
FERNANDO LOPEZ, and PABLO
RAFANAN
746 SCRA 272, G.R. Nos. 209672-74,
JANUARY 14, 2015
Had the petitioner pursued an action for ejectment
or reconveyance, the issuance of writs of
possession and demolition would have been
proper, but not in a special civil action for
mandamus. Orders pertaining to execution of
judgments must substantially conform to the
dispositive portion of the decision sought to be
executed. As such, it may not vary, or go beyond
the terms of the judgment it seeks to enforce.
CRIMINAL LAW
First Division
Complex Crimes
ROGELIO J. GONZAGA, vs. PEOPLE OF
THE PHILIPPINES
746 SCRA 551, G.R. No. 195671, JANUARY 21,
2015
Rogelio was charged with the offense of Reckless
Imprudence Resulting to Homicide with Double
Serious Physical Injuries and Damage to Property.
The RPC provides that when a single act
constitutes to or more grave or less grave felonies,
or when an offense is a necessary means for
committing the other, the penalty for the most
serious crime, in this case, Reckless Imprudence
Resulting to Homicide, shall be imposed, the same
to be applied in its maximum period.
TAXATION LAW
First Division
Tax Credit
PANAY POWER CORPORATION (formerly
AVON RIVER POWER HOLDINGS
CORPORATION), vs. COMMISSIONER
OF INTERNAL REVENUE
746 SCRA 588, G.R. No. 203351, JANUARY
21, 2015
During the period December 10, 2003 to October
6, 2010, taxpayers-claimants need not observe the
120-day period before it could file a judicial claim
for refund of excess input VAT before the CTA.
As such, it need not wait for the expiration of the
120-day period before filing its judicial claim before
the CTA.
CIVIL LAW
First Division
Joint Tortfeasors
RUKS KONSULT AND CONSTRUCTION,
vs. ADWORLD SIGN AND ADVERTISING
CORPORATION and TRANSWORLD
MEDIA ADS, INC.
746 SCRA 622, G.R. No. 204866, JANUARY
21, 2015
Transworld and Ruks are guilty of negligence in the
construction of the former’s billboard, and
perforce, should be held liable for its collapse and
the resulting damage to Adworld’s billboard
structure. As joint tortfeasors, they are solidarily
liable to Adworld. Joint tortfeasors are each liable
as principals, to the same extent and in the same
manner as if they had performed the wrongful act
themselves.
LABOR LAW
First Division
Occupational Disease
JOSE RUDY L. BAUTISTA, vs. ELBURG
SHIPMANAGEMENT PHILIPPINES,
INC., AUGUSTEA SHIPMANAGEMENT
ITALY, and/or Captain ANTONIO S.
NOMBRADO
767 SCRA 657, G.R. No. 206032, AUGUST 19,
2015
It is not required that the employment of the
petitioner as Chief cook should be the sole factor
in the development of his hypertensive
cardiovascular disease so as to entitle him to claim
the benefits provided therefor. It suffices that his
employment as such had contributed, even in a
small degree, to the development of the disease.
Thus, it is safe to presume that, at the very least, the
nature of petitioner’s employment had contributed
to the aggravation of his illness, considering that as
Chief Cook, he was exposed to constant
temperature changes, stress, and physical strain.
CRIMINAL LAW
First Division
Libel
MALAYAN INSURANCE COMPANY, INC.
and HELEN Y. DEE, vs. PHILIP PICCIO,
MIA GATMAYTAN, MA. ANNABELLA
RELOVA SANTOS, JOHN JOSEPH
GUTIERREZ, JOCELYN UPANO, JOSE
DIZON, ROLANDO PAREJA, WONINA M.
BONIFACIO, ELVIRA CRUZ, CORNELIO
ZAFRA, VICENTE ORTUOSTE,
VICTORIA GOMEZ JACINTO, JUVENCIO
PERECHE, JR., RICARDO LORAYES,
PETER C. SUCHIANCO, and TRENNIE
MONSOD; MALAYAN INSURANCE
COMPANY, INC., vs. PHILIP PICCIO, MIA
GATMAYTAN, MA. ANNABELLA
RELOVA SANTOS, JOHN JOSEPH
GUTIERREZ, JOCELYN UPANO, JOSE
DIZON, ROLANDO PAREJA, WONINA M.
BONIFACIO, ELVIRA CRUZ, CORNELIO
ZAFRA, VICENTE ORTUOSTE,
VICTORIA GOMEZ JACINTO, JUVENCIO
PERECHE, JR., RICARDO LORAYES,
PETER C. SUCHIANCO, and TRENNIE
MONSOD
789 SCRA 93, G.R. Nos. 203370 & 215106,
APRIL 11, 2016
Generally speaking, the venue of libel cases where
the complainant is a private individual is limited
only to either of two places, namely: (1) where the
complainant actually resides at the time of the
commission of the offense; or (2) where the alleged
defamatory article was printed and first published.
For the Court to hold that the Amended
Information sufficiently vested jurisdiction in the
courts of Makati simply because the defamatory
article was first accessed therein would open the
floodgates to the libel suit being filed in all other
locations where the pepcoalition website is likewise
accessed or capable of being accessed.
REMEDIAL LAW
First Division
Presumption of Regularity
CONSULAR AREA RESIDENTS
ASSOCIATION, INC., represented by its
President BENJAMIN V. ZABAT, ROMEO
JUGADO, JR., and NANCY QUINO, vs.
ARNEL PACIANO D. CASANOVA, ENGR.
TOMAS Y. MACROHON, LOCAL
HOUSING BOARD OF TAGUIG CITY, and
the CITY GOVERNMENT OF TAGUIG
789 SCRA 209, G.R. No. 202618, APRIL 12,
2016
The presumption of regularity of official acts may
be rebutted by affirmative evidence of irregularity
or failure to perform a duty. The presumption,
however, prevails until it is overcome by no less
than a clear and convincing evidence to the
contrary. Thus, unless the presumption is rebutted,
it becomes conclusive. Every reasonable
intendment will be made in support of the
presumption and in case of doubt as to an officer’s
act being lawful or unlawful, construction should
be in favor of its lawfulness.
LEGAL ETHICS
En Banc
Disbarment
PHILCOMSAT HOLDINGS
CORPORATION, duly represented by
ERLINDA I. BILDNER, vs. ATTY. LUIS K.
LOKIN, JR. and ATTY. SIKINI C.
LABASTILLA
790 SCRA 173, A.C. No. 11139, APRIL 19, 2016
Since the indirect contempt case is criminal in
nature, respondents cannot insist that the filing of
an administrative case against them on the basis of
the Sandiganbayan’s ruling in the aforesaid case is
premature on the premise that their conviction has
not attained finality. A disbarment proceeding is
separate and distinct from a criminal action filed
against a lawyer despite being involved in the same
set of facts. A finding of guilt in the criminal case
will not necessarily result in a finding of liability in
the administrative case.
LABOR LAW
First Division
Quitclaims
WILLIAM GO QUE CONSTRUCTION
and/or WILLIAM GO QUE, vs. COURT OF
APPEALS and DANNY SINGSON,
RODOLFO PASAQUI, LENDO
LOMINIQUI, and JUN ANDALES
790 SCRA 309, G.R. No. 191699, APRIL 19,
2016
Legitimate waivers resulting from voluntary
settlements of laborers’ claims should be treated
and upheld as the law between the parties. There is
no longer any justiciable controversy between
petitioner and private respondents Singson and
Pasaqui on account of the Satisfaction of
Judgment/Release of Claim they executed in the
petitioner’s favor subsequent to the filing of the
instant case rendering the same moot and
academic, and dismissible with respect to them.
CIVIL LAW
First Division
Reconstitution of Titles
REPUBLIC OF THE PHILIPPINES, vs.
HOMER and MA. SUSANA DAGONDON
790 SCRA 414, G.R. No. 210540, APRIL 19,
2016
The purpose of the reconstitution of title is to have,
after observing the procedures prescribed by law,
the title reproduced in exactly the same way it has
been when the loss or destruction occurred. The
law presupposes that the property whose title is
sought to be reconstituted has already been
brought under the provisions of the Torrens
System.
REMEDIAL LAW
First Division
Grave Abuse of Discretion
PNCC SKYWAY CORPORATION, vs. THE
SECRETARY OF LABOR AND
EMPLOYMENT and PNCC SKYWAY
CORPORATION EMPLOYEES UNION
790 SCRA 427, G.R. No. 213299, APRIL 19,
2016
Considering that PSC had complied with the notice
requirement of the Labor Code, the indemnity
award in favor of the terminated employees was
grossly improper and must be nullified, in this
respect, the DOLE Secretary gravely abused its
discretion and the CA erred in ruling otherwise.
When a lower court or tribunal patently violates the
Constitution, the law, or existing jurisprudence,
grave abuse of discretion is committed.
ADMINISTRATIVE CASE
First Division
Prosecutors
RONALDO C. FACTURAN, vs.
PROSECUTOR ALFREDO L.
BARCELONA, JR.
792 SCRA 389, A.C. No. 11069, JUNE 08, 2016
It is apparent that respondent used his public
position as a prosecutor to advance and protect the
private interest of his relative, which is clearly
proscribed in the CPR. His failure to timely return
the case records for ruther action, despite directive
to do so, it can only be inferred that respondent not
merely failed, but obstinately and deliberately
refused to perform his duties as a prosecutor.
POLITICAL LAW
En Banc
Judicial Review
INTERNATIONAL SERVICE OF THE
ACQUISITION OF AGRI-BIOTECH
APPLICATIONS, INC. VS. GREENPEACE
SOUTHEAST ASIA (PHILIPPINES)
798 SCRA 250, G.R. Nos 209271, 209276,
209301 & 209430, JULY 26, 2016
As the matter never went beyond the field testing
phase, none of the foregoing tasts related to
propagation were pursued or the requirements
thereof complied with. Thus, there are no
guaranteed after-effects to the already conducted Bt
talong field trials that demand an adjudication from
which the public may perceivably benefit. Any
future threat to the right of herein respondents or
the public in general to a healthful and balanced
ecology is therefore more imagined than real.
LABOR LAW
First Division
Two-Notice Rule
RODFHEL BACLAAN TORREFIEL,
MYRA SUACILLO, LORLIE ORENDAY,
SHEELA LAO, and LEODELYN LIBOT, vs.
BEAUTY LANE PHILS., INC./MS. MA.
HENEDINA D. TOBOJKA
 799 SCRA 470, G.R. No. 214186, AUGUST 03,
2016
The copies of the Notices to Explain and
Preventive Suspension issued to them did not
specify charges against them but simply stated that
they condoned and failed to report anomalies to the
management. The failure to inform an employee of
the charges against him deprives him of due
process.
TAXATION LAW
First Division
Tax Refund
COMMISSIONER OF INTERNAL
REVENUE, vs. GOODYEAR
PHILIPPINES, INC.
799 SCRA 489, G.R. No. 216130, AUGUST 03,
2016
The term “dividends” should be understood
according to the taxation law of the State in which
the corporation making the distribution is a
resident. The primary purpose of filing an
administrative claim was to serve as a notice of
warning to the Commissioner of Internal Revenue
(CIR) that court action would follow unless the tax
or penalty alleged to have been collected
erroneously or illegally is refunded.
REMEDIAL LAW
First Division
Amendment of Pleadings
SPOUSES ERNESTO TATLONGHARI and
EUGENIA TATLONGHARI, vs. BANGKO
KABAYAN-IBAAN RURAL BANK, INC.
799 SCRA 516, G.R. No. 219783, AUGUST 03,
2016
Rules of procedure allow a party in a civil action to
amend his pleading as a matter of right, so long as
the pleading is amended only once and before a
responsive pleading is served. Otherwise, a party
can only amend his pleading upon prior leave of
court. Hence, as long as it does not appear that the
motion for leave was made with bad faith or with
intent to delay the proceedings, courts are justified
to grant leave and allow the filling of an amended
pleading.
ADMINISTRATIVE LAW
First Division
Practice of Law
SPOUSES MANOLO and MILINIA
NUEZCA, vs. ATTY. ERNESTO V.
VILLAGARCIA
799 SCRA 542, A.C. No. 8210, AUGUST 08,
2016
The use of intemperate language and unkind
ascriptions has no place in the dignity of judicial
forum. Language abound with countless
possibilities for one to be emphatic but respectful,
convincing but not derogatory, and illuminating
but not offensive. The practice of law is a privilege
given to lawyers who meet the high standards of
legal proficiency and morality. Any violation of
these standards exposes the lawyer to
administrative liability.
LABOR LAW
First Division
Disability Benefit
MAGSAYSAY MARITIME
CORPORATION, PRINCESS CRUISE
LINES, MARLON R. ROÑO and “STAR
PRINCESS,” vs. ROMEO V.
PANOGALINOG
763 SCRA 140, G.R. No. 212049, JULY 15, 2015
The employer is liable for a seafarer’s disability
arising from a work-related injury or illness, only
after the degree of disability has been established by
the company-designated physician. A seafarer shall
be entitled to the payment of the full amount of his
disability compensation only if his injury, regardless
of the degree, results in loss of profession, i.e., his
physical condition prevents a return to sea service.
REMEDIAL LAW
First Division; Dismissal of Actions; Litis
Pendentia
NORLINDA S. MARILAG, vs.
MARCELINO B. MARTINEZ
763 SCRA 533, G.R. No. 201892, JULY 22, 2015
Though the debt and the mortgage constitute
separate agreements, the latter is subsidiary to the
former, and both refer to one and the same
obligation. Splitting a cause of action is a mode of
forum shopping by filing multiple cases based on
the same cause of action, but with different prayers,
where the ground of dismissal is litis pendentia (or res
judicata as the case may be).
REMEDIAL LAW
First Division
Certiorari
VISAYAN ELECTRIC COMPANY
EMPLOYEES UNION-ALU-TUCP and
CASMERO MAHILUM, petitioners, vs.
VISAYAN ELECTRIC COMPANY, INC.
(VECO), respondent.
763 SCRA 566, G.R. No. 205575, July 22, 2015.
The law provides that certiorari should be filed “not
later than sixty (60) days from notice of the
judgment, order or resolution”. In this case, the fact
that the delay in the filing of the petition for certiorari
was only one day is not a legal justification for
noncompliance with the rule requiring that it be
filed not later than sixty (60) days from notice of
the assailed judgment, order or resolution.
CONSTITUTIONAL LAW
First Division
Stop and Frisk Searches
ALVIN COMERCIANTE y GONZALES,
petitioner, vs. PEOPLE OF THE
PHILIPPINES, respondent.
763 SCRA 587, G.R. No. 205926, July 2, 2015.
The basic criterion of “stop and frisk” would be
that the police officer, with his or her personal
knowledge, must observe the facts leading to the
suspicion of an illicit act. In this case,
Comerciante’s acts of standing around with a
companion and handing over something to the
latter do not indicate a reasonable inference of
criminal activity which would constitute a “genuine
reason” for PO3 Calag to conduct a “stop and
frisk” search on the former.
CIVIL LAW
First Division
Buyer in Good Faith
WILSON GO and PETER GO, petitioners,
vs. THE ESTATE OF THE LATE FELISA
TAMIO DE BUENAVENTURA, represented
by RESURRECCION A. BIHIS, RHEA A.
BIHIS, and REGINA A. BIHIS; and
RESURRECCION A. BIHIS, RHEA A.
BIHIS and REGINA A. BIHIS, in their
personal capacities, respondents.
763 SCRA 632, G.R. No. 211972, July 22, 2015.
A purchaser in good faith is one who buys the
property of another without notice that some other
person has a right to, or an interest in, such
property and pays a full and fair price for the same
at the time of such purchase, or before he has
notice of some other person’s claim or interest in
the property. As William claimed that he had no
knowledge about the details of such annotation, he
was aware that individuals other than the sellers
were in possession of the subject property.
ADMINISTRATIVE LAW
En Banc
Illegal Expenditure of Public Funds
FAUSTINO A. SILANG, VENERANDO R.
REA, LUZVIMINDA B. CUADRA, MARIA
CIELITO V. ZETA, et. al. vs. COMMISSION
ON AUDIT, respondent.
770 SCRA 110, G.R. No. 213189, September 8,
2015.
As a general rule, public officials who are directly
responsible for any illegal expenditure of public
funds are personally liable therefor. The Auditing
Code provides that the treasurer of the local
government unit shall exercise the diligence of a
good father of a family in supervising the
accountable officers under him; otherwise, he shall
be jointly and solidarily liable with them for the loss
of government funds or property under their
control.
CIVIL LAW
First Division
Contracts
LORALEI P. HALILI, petitioner, vs.
JUSTICE FOR CHILDREN
INTERNATIONAL, ROB MORRIS, and
GUNDELINA A. VELAZCO, respondents.
770 SCRA 241, G.R. No. 194906, September 9,
2015.
In labor contracts, parties are allowed to pre-
terminate the employment contract within the
stipulated fixed-term period of one year, provided
that the party invoking the same has: (a) a legal
cause for terminating it; and (b) notifies the other
party in writing four (4) weeks prior to the intended
date of termination. The first requisite of legal
cause was not complied with by JFCI as there was
no just or authorized cause was proven by
substantial evidence in support of its invocation of
the termination clause stated in its contract with
Halili.

CRIMINAL LAW
First Division
Civil Liability
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. ARMANDO DIONALDO y
EBRON, RENATO DIONALDO y EBRON,
MARIANO GARIGUEZ, JR. y RAMOS, and
RODOLFO LARIDO y EBRON, accused-
appellants.
770 SCRA 350, G.R. No. 207949, September 9,
2015.
The death of the accused pending appeal of his
conviction extinguishes his criminal liability, as well
as his civil liability ex delicto. Consequently, Renato’s
death renders the criminal case against him as
dismissed.
CONSTITUTIONAL LAW
First Division
Just Compensation
LAND BANK OF THE PHILIPPINES,
petitioner, vs. ALFREDO HABABAG, SR.,
substituted by his wife, CONSOLACION,
and children, namely: MANUEL,
SALVADOR, WILSON, JIMMY, ALFREDO,
JR., and JUDITH, all surnamed HABABAG,
respondents.
770 SCRA 491, G.R. No. 172352, September 16,
2015.
The constitutional limitation of just compensation
is considered to be the sum equivalent of the
market value of the property, which defined as the
fair value of the property as between one who
receives and one who desires to sell it, fixed at the
time of the actual taking by the government.
Hence, in this case, in order to be just, the
compensation for the land must be what the
farmer-beneficiaries can reasonably afford to pay
based on what the land can produce.
LEGAL ETHICS
First Division
Suspension from Practice of Law
ALEX NULADA, complainant, vs. ATTY.
ORLANDO S. PAULMA, respondent.
789 SCRA 111, A.C. No. 8172, April 12, 2016.
The issuance of worthless checks in violation of BP
Blg. 22 indicates a lawyer’s unfitness for the trust
and confidence reposed on him, shows such lack of
personal honesty and good moral character as to
render him unworthy of public confidence, and
constitutes a ground for disciplinary action.
Respondent’s conviction for violation of BP 22, a
crime involving moral turpitude, constitutes a
violation of the lawyer’s oath.
REMEDIAL LAW
First Division
Substitution of Parties
PACIFIC REHOUSE CORPORATION,
petitioner, vs. JOVEN L. NGO, as
represented by OSCAR J. GARCIA,
respondent.
789 SCRA 308, G.R. No. 214934, April 12, 2016.
The Rules of Court allows the substitution of a
party-litigant who dies during the pendency of a
case by his heirs, provided that the claim subject of
said case is not extinguished by his death. The death
of a party litigant, i.e., Bautista, did not render the
case dismissible on such ground, but rather, calls
for the proper application of said law on
substitution of party-litigants.
LEGAL ETHICS
First Division
Suspension
SPOUSES LAMBERTO V. EUSTAQUIO
and GLORIA J. EUSTAQUIO, complainants,
vs. ATTY. EDGAR R. NAVALES,
respondent.
792 SCRA 377, A.C. No. 10465, June 8, 2016.
When the Supreme Court orders a lawyer
suspended from the practice of law, he must desist
from performing all functions requiring the
application of legal knowledge within the period of
suspension, including desisting from holding a
position in government requiring the authority to
practice law. Hence, respondent’s continuous
discharge of his functions as Assistant City
Prosecutor for Quezon City despite the suspension
order against him constitutes practice of law and,
thus, a clear defiance of the Court’s order of
suspension against him.
CIVIL LAW
First Division
Adverse Claims
ALICIA P. LOGARTA, petitioner, vs.
CATALINO M. MANGAHIS, respondent.
795 SCRA 644, G.R. No. 213568, July 5, 2016.
It is only when the owner refuses or fails to
surrender the duplicate certificate for annotation
that a statement setting forth an adverse claim may
be filed with the Register of Deeds. In the case at
hand, there was no showing that respondent
refused or failed to present the owner’s duplicate of
TCT No. CLO-763, which would have prompted
Carmona Realty to cause the annotation of the
MOA as an adverse claim instead of a voluntary
dealing.
REMEDIAL LAW
First Division
Appeals
CENTURY PROPERTIES, INC., petitioner,
vs. EDWIN J. BABIANO and EMMA B.
CONCEPCION, respondents.
795 SCRA 671, G.R. No. 220978, July 5, 2016.
As a general rule, a party who has not appealed
cannot obtain any affirmative relief other than the
one granted in the appealed decision. However,
jurisprudence admits an exception to the said rule,
such as when strict adherence thereto shall result in
the impairment of the substantive rights of the
parties concerned. Concepcion’s right to her earned
commissions is a substantive right which cannot be
impaired by an erroneous computation of what she
really is entitled to.
REMEDIAL LAW
First Division
Forum Shopping
GRACE PARK** INTERNATIONAL
CORPORATION and WOODLINK
REALTY CORPORATION, petitioners, vs.
EASTWEST BANKING CORPORATION,
SECURITY BANKING CORPORATION,
ALLIED BANKING CORPORATION,
represented by the Trustee and Attorney-in-
Fact of EASTWEST BANKING
CORPORATION TRUST DIVISION,
EMMANUEL L. ORTEGA, in his capacity as
the Ex Officio Sheriff of the Regional Trial
Court, Malolos City, Bulacan, EDRIC C.
ESTRADA, in his capacity as Sheriff IV of the
Regional Trial Court, Malolos City, Bulacan,
respondents.
798 SCRA 644, G.R. No. 210606, July 27, 2016.
Petitioners’ filing of an Amended Complaint for
Injunction and Annulment of Foreclosure Sale
against the respondents before the RTC Malolos
does not constitute forum shopping because there
is no identity of parties between Civil Case No. 10-
323 pending before RTC-Makati and Civil Case
No. 543-M-2010 pending before RTC-Malolos, the
underlying circumstances surrounding the causes
of action in both cases are likewise substantially
different, and a judgment in Civil Case No. 10-323
will not necessarily result in res judicata in Civil Case
No. 543-M-2010.
CIVIL LAW
First Division
Divorce
DOREEN GRACE PARILLA MEDINA,
a.k.a. “DOREEN GRACE MEDINA
KOIKE,” petitioner, vs. MICHIYUKI
KOIKE, THE LOCAL CIVIL REGISTRAR
OF QUEZON CITY, METRO MANILA,
and THE ADMINISTRATOR AND CIVIL
REGISTRAR GENERAL OF THE
NATIONAL STATISTICS OFFICE,
respondents.
798 SCRA 733, G.R. No. 215723, July 27, 2016.
In order for a divorce obtained abroad by the alien
spouse to be recognized in our jurisdiction, it must
be shown that the divorce decree is valid according
to the national law of the foreigner. Both the
divorce decree and the governing personal law of
the alien spouse who obtained the divorce must be
proven. Since our courts do not take judicial notice
of foreign laws and judgment, our law on evidence
requires that both the divorce decree and the
national law of the alien must be alleged and proven
like any other fact.
CRIMINAL LAW
First Division
Extinction of Criminal Liability
PEOPLE OF THE PHILIPPINES vs.
ALLAN EGAGAMAO
799 SCRA 507, G.R. No. 218809, August 3,
2016.
By the death of the convict, as to the personal
penalties and pecuniary penalties, liability therefor
is extinguished only when the death of the offender
occurs before final judgment. Upon Egagamao’s
death pending appeal of his conviction, the criminal
action is extinguished inasmuch as there is no
longer a defendant to stand as the accused; the civil
action instituted therein for the recovery of civil
liability ex delicto is ipso facto extinguished,
grounded as it is on the criminal action.
LABOR LAW
First Division
Termination of Employment
HOLCIM PHILIPPINES, INC., petitioner,
vs. RENANTE J. OBRA, respondent.
799 SCRA 607, G.R. No. 220998, August 8,
2016.
To constitute a valid cause for dismissal within the
text and meaning of the Labor Code, the
employee’s misconduct must be serious, such grave
and aggravated character and not merely trivial or
unimportant, as in this case where the item which
respondent tried to take out was practically of no
value to petitioner. The dismissal imposed on
respondent as penalty for his attempt to take a piece
of scrap wire is unduly harsh and excessive, as such
act cannot be considered as a serious misconduct
under the Labor Code.
LEGAL ETHICS
First Division
Suspension from Practice of Law
CLEO B. DONGGA-AS, complainant, vs.
ATTY. ROSE BEATRIX CRUZ-ANGELES,
ATTY. WYLIE M. PALER, and ATTY.
ANGELES GRANDEA, of the ANGELES,
GRANDEA & PALER LAW OFFICE,
respondents.
799 SCRA 624, A.C. No. 11113, August 9, 2016.
The misrepresentations and deceits on the part of
Attys. Cruz-Angeles and Paler tend to undermine
and/or denigrate the integrity of the courts. As
officers of the court, lawyers are bound to maintain
not only a high standard of legal proficiency, but
also of morality, honesty, integrity, and fair
dealing.”
LABOR LAW
First Division
Work-Related Death
CONCHITA J. RACELIS, petitioner, vs.
UNITED PHILIPPINE LINES, INC.
and/or HOLLAND AMERICA LINES,
INC.,** and FERNANDO T. LISING,
respondents.
740 SCRA 122, G.R. No. 198408, November 12,
2014.
Rodolfo’s work-related illness during the term of
his employment that caused his medical
repatriation and, ultimately, his death was work-
related, and, it is but proper to consider the same as
a compensable work-related death despite it having
occurred after his repatriation. The work-related
death need not precisely occur during the term of
his employment as it is enough that the seafarer’s
work-related injury or illness which eventually
causes his death had occurred during the term of
his employment.
ADMINISTRATIVE LAW
First Division
Delegation of Powers
COSMOS BOTTLING CORPORATION,
petitioner, vs. COMMISSION EN BANC of
the SECURITIES AND EXCHANGE
COMMISSION (SEC) and JUSTINA F.
CALLANGAN, in her capacity as Director of
the Corporation, Finance Department of the
SEC, respondents.
740 SCRA 169, G.R. No. 199028, November 12,
2014.
The Revocation Order is properly deemed as a
decision issued by the SEC-CFD as one of the
Operating Departments of the SEC, and
accordingly, may be appealed to the SEC En Banc,
as what Cosmos properly did in this case. As an
administrative agency with both regulatory and
adjudicatory functions, the SEC was given the
authority to delegate some of its functions to, inter
alia, its various operating departments, such as the
SEC-CFD.
CIVIL LAW
First Division
Temperate Damages
S.V. MORE PHARMA CORPORATION and
ALBERTO A. SANTILLANA, petitioners, vs.
DRUGMAKERS LABORATORIES, INC.
and ELIEZER DEL MUNDO, respondents.
740 SCRA 253, G.R. Nos. 200408 & 200416,
November 12, 2014.
Considering that respondents palpably suffered
some form of pecuniary loss resulting from
petitioners’ breach of contract, the Court deems it
proper to, instead, award in their favor the sum of
P100,000.00 in the form of temperate damages.
Temperate or moderate damages may be recovered
when the court finds that some pecuniary loss has
been suffered but its amount cannot, from the
nature of the case, be proved with certainty.
LABOR LAW
First Division
Compensable Illness
BAHIA SHIPPING SERVICES, INC., FRED
OLSEN CRUISE LINE, and MS. CYNTHIA
C. MENDOZA, petitioners, vs. JOEL P.
HIPE, JR., respondent.
740 SCRA 330, G.R. No. 204699, November 12,
2014.
Hipe was subsequently declared fit to work by the
company-designated physician merely 65 days after
his repatriation, thus negating the existence of any
permanent disability for which compensability is
sought. Two (2) elements must concur for an injury
or illness of a seafarer to be compensable: (a) the
injury or illness must be work-related; and (b) that
the work-related injury or illness must have existed
during the term of the seafarer’s employment
contract.
CONSTITUTIONAL LAW
First Division
Mines and Mining
APO CEMENT CORPORATION, petitioner,
vs. MINGSON MINING INDUSTRIES
CORPORATION, respondent.
740 SCRA 383, G.R. No. 206728, November 12,
2014.
An apparent lack of due process may be raised by a
party at any time since due process is a jurisdictional
requisite that all tribunals, whether administrative
or judicial, are duty-bound to observe. A decision
rendered without due process is void ab initio and
may be attacked at anytime directly or collaterally
by means of a separate action, or by resisting such
decision in any action or proceeding where it is
invoked.
ADMINISTRATIVE LAW
En Banc
Misconduct
OFFICE OF THE OMBUDSMAN,
petitioner, vs. AVELINO DE ZOSA and
BARTOLOME DELA CRUZ, respondents.
746 SCRA 632, G.R. No. 205433, January 21,
2015.
To warrant dismissal from service, the misconduct
must be grave, serious, important, weighty,
momentous, and not trifling. The misconduct must
imply wrongful intention and not a mere error of
judgment and must also have a direct relation to
and be connected with the performance of the
public officer’s official duties amounting either to
maladministration or willful, intentional neglect, or
failure to discharge the duties of the office.
REMEDIAL LAW
First Division
Preliminary Investigation
TERESITA A. CIRON, petitioner, vs. MA.
MERCEDITAS N. GUTIERREZ, in her
official capacity as Ombudsman, FLORIZA
A. BRIONES and TERESITA P.
BUTARDOTACATA, in their official
capacities as Graft Investigation &
Prosecution Officer II of the Office of the
Ombudsman, NONNA O. BELTRAN, 2nd
 Assistant City Prosecutor, RAUL E.
CONTRERAS, City Prosecutor, both of
National Prosecution Office, Iriga City, and
SANTIAGO D. ORTEGA, JR., respondents.
756 SCRA 110, G.R. Nos. 194339-41, April 20,
2015.
A new preliminary investigation must be conducted
in order to accord the accused the right to submit
counter-affidavits and evidence only in the
following instances: (a) where the original witnesses
of the prosecution or some of them may have
recanted their testimonies or may have died or may
no longer be available and new witnesses for the
State have emerged; (b) where aside from the
original accused, other persons are charged under a
new criminal complaint for the same offense or
necessarily included therein; (c) if under a new
criminal complaint, the original charge has been
upgraded; or (d) if under a new criminal complaint,
the criminal liability of the accused is upgraded
from being an accessory to that of a principal. Since
none of the foregoing instances obtain in this case,
the Court holds that the OCP-Iriga, through
Beltran and Contreras, need not conduct another
preliminary investigation.
COMMERCIAL LAW
First Division
Obligations
PRISCILO B. PAZ,** petitioner, vs. NEW
INTERNATIONAL ENVIRONMENTAL
UNIVERSALITY, INC., respondent.
756 SCRA 284, G.R. No. 203993, April 20, 2015.
The Corporation Code explicitly provides that one
who assumes an obligation to an ostensible
corporation, as such, cannot resist performance
thereof on the ground that there was in fact no
corporation. Clearly, petitioner is bound by his
obligation under the MOA not only on estoppel but
by express provision of law. Hence, it is assumed
that petitioner, who is a pilot, knew what he was
doing with respect to his business with respondent.
REMEDIAL LAW
First Division
Execution of Judgments
THE PLAZA, INC., petitioner, vs. AYALA
LAND, INC., respondent.
756 SCRA 350, G.R. No. 209537, April 20, 2015.
The Compromise Judgment, covering the
surrender of the possession of the subject premises,
as well as the demolition period of the Building
and/or removal of the materials salvaged
therefrom, is, by nature, “immediately executory,
unless a motion is filed to set aside the compromise
on the ground of fraud, mistake, or duress in which
event an appeal may be taken from the order
denying the motion.” With no such motion having
been filed, the RTC is bound to issue a writ of
execution to carry out the said judgment to its full
force and effect.
CRIMINAL LAW
First Division;
Extinction of Criminal Liability
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. EUGENE SAMUYA, accused-
appellant
756 SCRA 365, G.R. No. 213214, April 20, 2015.
The prosecution was able to prove that Eugene’s
attack on Gabriel was so swift and sudden, and
without any warning. Treachery was correctly
appreciated. Under the Revised Penal Code, there
is treachery when the offender commits any of the
crimes against the person, employing means,
methods, or forms in the execution thereof which
tend directly and specially to insure its execution,
without risk to himself arising from the defense
which the offended party might make.
CRIMINAL LAW
First Division
Qualified Rape
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. RICKY ARGUTA alias “JOEL”
and WILSON CAHIPE alias “SIWIT,”
accused-appellants.
756 SCRA 376, G.R. No. 213216, April 20, 2015.
The accused-appellants are guilty as charged, i.e., of
raping AAA with the use of a deadly weapon, and
it is only appropriate to increase their conviction
from Simple Rape to Qualified Rape. The Court
notes that the rape occurred during the effectivity
of the old rape provision of the RPC, and, thus, the
latter provision is controlling in this case, which
also provides that if the act is committed either with
the use of a deadly weapon or by two (2) or more
persons, the crime will be Qualified Rape,
necessitating the imposition of a higher penalty.
POLITICAL LAW
First Division
Public Bidding
BISHOP BRODERICK S. PABILLO, DD,
PABLO R. MANALASTAS, JR., PhD,
MARIA CORAZON AKOL, CONCEPCION
B. REGALADO, HECTOR A. BARRIOS,
LEO Y. QUERUBIN, AUGUSTO C.
LAGMAN, FELIX P. MUGA II, PhD, ATTY.
GREGORIO T. FABROS, EVITA L.
JIMENEZ, and JAIME DL CARO, PhD,
petitioners, vs. COMMISSION ON
ELECTIONS EN BANC, represented by
Acting Chairperson CHRISTIAN ROBERT
S. LIM, and SMARTMATIC-TIM
CORPORATION, represented by Smartmatic
Asia-Pacific President CESAR FLORES,
respondents.
756 SCRA 606, G.R. No. 216098, April 21, 2015.
It is an established public policy, as well as a
statutory mandate that all government
procurement shall be done through competitive
public bidding. However, as an exception, the
Government Procurement Reform Act (GPRA)
sanctions a resort to alternative methods of
procurement, via direct contracting. Direct
contracting may be allowed when the procurement
involves goods of proprietary nature, which can be
obtained only from the proprietary source — that
is, when patents, trade secrets, and copyrights
prohibit others from manufacturing the same item.
REMEDIAL LAW
First Division
Indispensable Parties
LAND BANK OF THE PHILIPPINES,
petitioner, vs. EDUARDO M. CACAYURAN,
respondent,
MUNICIPALITY OF AGOO, LA UNION,
intervenor.
757 SCRA 160, G.R. No. 191667, April 22, 2015.
Parties-in-interest without whom no final
determination can be had of an action shall be
joined either as plaintiffs or defendants. Cacayuran
failed to implead in his complaint the Municipality,
a real party-in-interest and an indispensable party
that stands to be directly affected by any judicial
resolution on the case.
CIVIL LAW
First Division
Contributory Negligence
SPS. FERNANDO VERGARA and
HERMINIA VERGARA, petitioners, vs.
ERLINDA TORRECAMPO SONKIN,
respondent.
757 SCRA 442, G.R. No. 193659, June 15, 2015.
The underlying precept on contributory negligence
is that a plaintiff who is partly responsible for his
own injury should not be entitled to recover
damages in full but must bear the consequences of
his own negligence. The defendant must therefore
be held liable only for the damages actually caused
by his negligence.
CIVIL LAW
First Division
Summary Eviction
LEONCIO ALANGDEO, ARTHUR
VERCELES, and DANNY VERGARA,
petitioners, vs. The City Mayor of Baguio,
HON. BRAULIO D. YARANON (to be
substituted by incumbent City Mayor, HON.
MAURICIO DO MOGAN), JEOFREY
MORTELA, Head Demolition Team, CITY
ENGINEER’S OFFICE, and ERNESTO
LARDIZABAL, respondents.
761 SCRA 272, G.R. No. 206423, July 1, 2015.
It is the Building Official, and not the City Mayor,
who has the authority to order the demolition of
the structures under the NBCP. In this case, DO
No. 05, which ordered the summary demolition of
petitioners’ structures, was invalidly issued by the
City Mayor.
LABOR LAW
First Division
Permanent Total Disability
BAHIA SHIPPING SERVICES, INC. and/or
V-SHIP NORWAY and/or CYNTHIA C.
MENDOZA, petitioners, vs. CARLOS L.
FLORES, JR.,** respondent.
761 SCRA 323, G.R. No. 207639, July 1, 2015.
Case law instructs that, if after the lapse of the 240-
day period, the seafarer is still incapacitated to
perform his usual sea duties and the company-
designated physician had not yet declared him fit to
work or permanently disabled, whether total or
permanent, the conclusive presumption that the
seafarer is totally and permanently disabled arises.
It is but proper to hold that respondent was
permanently and totally disabled, and hence,
entitled to the corresponding benefits stated under
the CBA.
CRIMINAL LAW
First Division
Qualified Rape
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. ANTONIO BALCUEVA y
BONDOCOY, accused-appellant.
761 SCRA 489, G.R. No. 214466, July 1, 2015.
The elements of Qualified Rape, which are present
in this case, under the foregoing provisions are as
follows: (a) the victim is a female over 12 years but
under 18 years of age; (b) the offender is a parent,
ascendant, stepparent, guardian, relative by
consanguinity or affinity within the third civil
degree, or the common-law spouse of the parent of
the victim; and (c) the offender has carnal
knowledge of the victim either through force,
threat or intimidation; or when she is deprived of
reason or is otherwise unconscious; or by means of
fraudulent machinations or grave abuse of
authority.
CORPORATION LAW
First Division
Board of Directors
RICHARD K. TOM, petitioner, vs. SAMUEL
N. RODRIGUEZ, respondent.
761 SCRA 679, G.R. No. 215764, July 6, 2015
A corporation exercises its powers through its
board of directors and/or its duly authorized
officers and agents, except in instances where the
Corporation Code requires stockholders’ approval
for certain specific acts. The issuance of an
injunctive writ is warranted to enjoin the RTC-
Nabunturan from implementing its orders in the
specific performance case placing the management
and control of GDITI to Rodriguez.
REMEDIAL LAW
First Division
Forum Shopping
WARLITO C. VICENTE, petitioner, vs.
ACIL CORPORATION, respondent.
763 SCRA 1, G.R. No. 196461, July 15, 2015
While a litigant’s right to initiate an action in court
is fully respected, once his case has been
adjudicated by a competent court in a valid final
judgment, he should not be permitted to initiate
similar suits hoping to secure a favorable ruling, for
this will result to endless litigations detrimental to
the administration of justice, as Acil in this case.
CIVIL LAW
First Division
Compromise Agreements
REPUBLIC OF THE PHILIPPINES,
represented by the PRESIDENTIAL
COMMISSION ON GOOD
GOVERNMENT, petitioner, vs. LEGAL
HEIRS OF JOSE L. AFRICA, respondents.
767 SCRA 640, G.R. No. 205722, August 19,
2015
A compromise is a contract whereby the parties, by
making reciprocal concessions, avoid litigation or
put an end to one already commenced. It is settled
that for a defendant to benefit from the
compromise agreement executed between the
plaintiff and the other defendants, it must be
established that: (1) the plaintiff alleged a common
cause of action against the defendants; and (2) all
the defendants are indispensable parties to the case.
CIVIL LAW
First Division
Burden of Proof
HEIRS OF FRANCISCO I. NARVASA, SR.,
and HEIRS OF PETRA IMBORNAL and
PEDRO FERRER, represented by their
 Attorney-in-Fact, MRS. REMEDIOS B.
NARVASAREGACHO, petitioners, vs.
EMILIANA, VICTORIANO, FELIPE,
MATEO, RAYMUNDO, MARIA and
EDUARDO, all surnamed IMBORNAL,
respondents.
732 SCRA 171, G.R. No. 182908, August 6, 2014
While implied trusts may be proven by oral
evidence, the evidence must be trustworthy and
received by the courts with extreme caution, and
should not be made to rest on loose, equivocal or
indefinite declarations. In this light, the Court
cannot fully accept and accord evidentiary value to
the oral testimony offered by Francisco, et al. on the
alleged verbal agreement between their
predecessors, the Imbornal sisters, and Ciriaco with
respect to the Motherland.
CRIMINAL LAW
Second Division
Office of the Solicitor General
PEOPLE OF THE PHILIPPINES, plaintiff,
MALAYAN INSURANCE COMPANY, INC.
and HELEN Y. DEE, private complainants-
petitioners, vs. PHILIP PICCIO, MIA
GATMAYTAN, MA. ANNABELLA
RELOVA SANTOS, JOHN JOSEPH
GUTIERREZ, JOCELYN UPANO, JOSE
DIZON, ROLANDO PAREJA, WONINA
BONIFACIO, ELVIRA CRUZ, CORNELIO
ZAFRA, VICENTE ORTUOSTE,
VICTORIA GOMEZ JACINTO, JUVENCIO
PERECHE, JR., RICARDO LORAYES,
PETER SUCHIANCO, and TRENNIE
MONSOD, respondents.
732 SCRA 254, G.R. No. 193681, August 6,
2014.
The authority to represent the State in appeals of
criminal cases before the Court and the CA is
vested solely in the OSG which is the law office of
the Government whose specific powers and
functions include that of representing the Republic
and/or the people before any court in any action
which affects the welfare of the people as the ends
of justice may require. The rationale therefor is
rooted in the principle that the party affected by the
dismissal of the criminal action is the People and
not the petitioners who are mere complaining
witnesses.
LABOR LAW
Second Division
Separation Pay
BENSON INDUSTRIES EMPLOYEES
UNION-ALU-TUCP and/or VILMA
GENON, EDISA HORTELANO,
LOURDES ARANAS, TONY
FORMENTERA, RENEBOY LEYSON,
MA. ALONA ACALDO, MA.
CONCEPCION ABAO, TERESITA
CALINAWAN, NICIFORO CABANSAG,
STELLA BARONGO, MARILYN POTOT,
WELMER ABANID, LORENZO ALIA,
LINO PARADERO, DIOSDADO
ANDALES, LUCENA ABESIA, and
ARMANDO YBAÑEZ, petitioners, vs.
BENSON INDUSTRIES, INC., respondent.
732 SCRA 318, G.R. No. 200746, August 6,
2014.
The postulation that Benson had closed its
establishment and ceased operations due to serious
business losses cannot be accepted as an excuse to
clear itself of any liability since the ground of
serious business losses is not considered as an
exculpatory parameter under the aforementioned
CBA. While serious business losses generally
exempt the employer from paying separation
benefits, it must be pointed that the exemption only
pertains to the obligation of the employer under the
Labor Code.
ADMINISTRATIVE LAW
En Banc
Grave Misconduct
PRESIDING JUDGE JOSE B. LAGADO and
CLERK OF COURT II JOSEFINA C.
EMPUESTO, both of the MUNICIPAL
TRIAL COURT, MAHAPLAG, LEYTE,
complainants, vs. CLERK II BRYAN
ANTONIO C. LEONIDO, respondent.
732 SCRA 579, A.M. No. P-14-3222, August 12,
2014.
(formerly A.M. OCA I.P.I. No. 11-3609-P)
In this case, Leonido was guilty of Dishonesty and
Gross Misconduct for fraudulently intercepting the
subject checks through the use of a falsified
authorization letter purportedly signed by
Empuesto and keeping such checks in his
possession without the complainants’ knowledge
and authority. The subsequent return of the subject
checks to their lawful owners is of no moment as it
did not change the unlawful nature of Leonido’s
acts which is tantamount to stealing.
ADMINISTRATIVE LAW
First Division
Legal Ethics
MAXIMINO NOBLE III, complainant, vs.
ATTY. ORLANDO O. AILES, respondent.
761 SCRA 1, A.C. No. 10628, July 1, 2015.
As a member of the bar, Orlando should have been
more circumspect in his words, being fully aware
that they pertain to another lawyer to whom
fairness as well as candor is owed. It must be
emphasized that membership in the bar is a
privilege burdened with conditions such that a
lawyer’s words and actions directly affect the
public’s opinion of the legal profession.
LABOR LAW
First Division
Abandonment
FORTUNATO R. BARON, MANOLO B.
BERSABAL, and RECTO A. MELENDRES,
petitioners, vs. EPE TRANSPORT, INC.**
and/or ERNESTO P. ENRIQUEZ,
respondents.
765 SCRA 345, G.R. No. 202645, August 5,
2015.
Abandonment of work does not per se sever the
employer-employee relationship. It is merely a
form of neglect of duty, which is, in turn, a just
cause for termination of employment. Since
petitioners’ abandonment was not proven by
respondents in this case, the NLRC correctly ruled
that the former were illegally dismissed.
REMEDIAL LAW
First Division
Waiver of Defenses
DOMINADOR M. APIQUE, petitioner, vs.
EVANGELINE APIQUE FAHNENSTICH,
respondent.
765 SCRA 399, G.R. No. 205705, August 5,
2015.
The Court cannot subscribe to Dominador’s claim
for payment of compensation as administrator of
the business affairs of Evangeline based on the
principle of quantum meruit, which was not raised
as an affirmative defense or counterclaim in his
answer to the complaint. Settled is the rule that
defenses which are not raised in the answer are
deemed waived, and counterclaims not set up in the
answer shall be barred.
LABOR LAW
First Division
Fixed-term Employment
OKS DESIGNTECH, INC., represented by
ZAMBY O. PONGAD, petitioner, vs. MARY
JAYNE L. CACCAM,** respondent.
765 SCRA 433, G.R. No. 211263, August 5,
2015.
An employee is said to be under a fixed-term
employment when he is hired under a contract
which specifies that the employment will last only
for a definite period. The Court upholds the
NLRC’s finding that respondent was a fixed-term
employee and not a regular one whose employment
may be validly terminated upon the expiration of
her contract.
ADMINISTRATIVE LAW
First Division
Effect on Administrative Case
OFFICE OF THE OMBUDSMAN,
represented by HON. CONCHITA CARPIO-
MORALES, in her capacity as Tanodbayan,
and HON. GERARD A. MOSQUERA, in his
capacity as Deputy Ombudsman for Luzon,
petitioners, vs. ROGER F. BORJA,
respondent.
774 SCRA 228, G.R. No. 201830, November 10,
2015.
The dismissal of the criminal case is not a ground
for the dismissal of the administrative case, in
consonance with the rule that a criminal case is
separate from an administrative case and each must
be disposed of according to the facts and the law
applicable to each case. Thus, while the absence of
bad faith may negate criminal liability for graft and
corrupt practices under RA 3019, it does not
automatically absolve Borja of administrative
liability for conduct prejudicial to the best interest
of the service.
COMMERCIAL LAW
First Division
Intra-Corporate Controversies
MANUEL LUIS C. GONZALES and
FRANCIS MARTIN D. GONZALES,
petitioners, vs. GJH LAND, INC. (formerly
known as S.J. LAND, INC.), CHANG
HWAN JANG a.k.a. STEVE JANG, SANG
RAK KIM, MARIECHU N. YAP, and ATTY.
ROBERTO P. MALLARI II, respondents.
774 SCRA 242, G.R. No. 202664, November 10,
2015.
Applying the relationship test and the nature of the
controversy test, the suit between the parties is
clearly rooted in the existence of an intra-corporate
relationship and pertains to the enforcement of
their correlative rights and obligations under the
Corporation Code and the internal and intra-
corporate regulatory rules of the corporation,
hence, intra-corporate, which should be heard by
the designated Special Commercial Court.
COMMERCIAL LAW
First Division
Shares of Stock
F & S VELASCO COMPANY, INC., IRWIN
J. SEVA, ROSINA B. VELASCO-
SCRIBNER, MERCEDEZ SUNICO, and
JOSE SATURNINO O. VELASCO,**
petitioners, vs. DR. ROMMEL L. MADRID,
PETER PAUL L. DANAO, MANUEL L.
ARIMADO, and MAUREEN R. LABALAN,
respondents.
774 SCRA 388, G.R. No. 208844, November 10,
2015.
Madrid could not have made a valid call of the
meeting as his stock ownership of FSVCI as
registered in the Stock and Transfer Book is only
4.16% in view of the nonregistration of Angela’s
shares of stock in the FSVCI Stock and Transfer
Book in his favor. An owner of shares of stock
cannot be accorded the rights pertaining to a
stockholder — such as the right to call for a
meeting and the right to vote, or be voted for — if
his ownership of such shares is not recorded in the
Stock and Transfer Book.
CIVIL LAW
First Division
Simulated Contracts
RENEE B. TANCHULING, and the HEIRS
OF VICENTE N. Y. TANCHULING,
namely: REBECCA TANCHULING-TAN,
RITA TANCHULING-MAPA, ROSEMARIE
TANCHULING-SALINAS, and VINCENT
RAYMOND B. TANCHULING, petitioners,
vs. SOTERO C. CANTELA, respondent.
774 SCRA 406, G.R. No. 209284, November 10,
2015.
Simulation takes place when the parties do not
really want the contract they have executed to
produce the legal effects expressed by its wordings.
Absolute simulation takes place when the parties
do not intend to be bound at all and is void; relative
simulation occurs when the parties conceal their
true agreement and binds the parties to their
agreement when it does not prejudice a third
person and is not intended for any purpose
contrary to law, morals, good customs, public order
or public policy.
CONSTITUTIONAL LAW
First Division
Jurisdiction
CONCHITA CARPIO-MORALES, in her
capacity as the Ombudsman, petitioner, vs.
COURT OF APPEALS (SIXTH DIVISION)
and JEJOMAR ERWIN S. BINAY, JR.,
respondents.
774 SCRA 431, G.R. Nos. 217126-27,
November 10, 2015.
The concept of Ombudsman independence cannot
be invoked as basis to insulate the Ombudsman
from judicial power constitutionally vested unto the
courts. Courts are apolitical bodies, which are
ordained to act as impartial tribunals and apply
even justice to all. Hence, the Ombudsman’s
notion that it can be exempt from an incident of
judicial power — that is, a provisional writ of
injunction against a preventive suspension order —
clearly strays from the concept’s rationale of
insulating the office from political harassment or
pressure.
REMEDIAL LAW
First Division
Appeals
SPOUSES AMADOR C. CAYAGO, JR. and
ERMALINDA B. CAYAGO, petitioners, vs.
SPOUSES EVELITO CANTARA and
SOLEDAD CANTARA, respondents.
776 SCRA 23, G.R. No. 203918, December 2,
2015.
The right to appeal is merely statutory privilege,
subject to the court’s discretion by virtue of which
no party can assume that its motion for extension
would be granted. However, where strong
considerations of substantial justice are present, the
stringent application of technical rules could be
relaxed in the exercise of equity jurisdiction. It is a
travesty of justice to dismiss outright a petition for
review which complied with the rules only because
of reasons not attributable to the petitioners such
as delay on the part of the personnel of the CA in
transmitting case records to their respective
ponentes.
CIVIL LAW
First Division
Reciprocal Obligations
ROGELIO S. NOLASCO, NICANORA N.
GUEVARA, LEONARDA N. ELPEDES,
HEIRS OF ARNULFO S. NOLASCO, and
REMEDIOS M. NOLASCO, represented by
ELENITA
M. NOLASCO, petitioners, vs. CELERINO
S. CUERPO, JOSELITO ENCABO,
JOSEPH ASCUTIA, and DOMILO
LUCENARIO, respondents.
777 SCRA 447, G.R. No. 210215, December 9,
2015.
For a contracting party to be entitled to rescission
(or resolution) in accordance with the Civil Code,
the other contracting party must be in substantial
breach of the terms and conditions of their
contract. A substantial breach of a contract, unlike
slight and casual breaches thereof, is a fundamental
breach that defeats the object of the parties in
entering into an agreement.
REMEDIAL LAW
First Division
Immutability of Final Judgments
ROLANDO S. ABADILLA, JR., petitioner,
vs. SPOUSES BONIFACIO P. OBRERO and
BERNABELA N. OBRERO, and JUDITH
OBRERO-TIMBRESA, respondents.
777 SCRA 457, G.R. No. 210855, December 9,
2015.
Given the improper remedy taken, the order of
dismissal rendered by the RTC has, thus, become
final and immutable and, therefore, can no longer
be altered or modified in any respect. The doctrine
of immutability of judgments bars courts from
modifying decisions that had already attained
finality, even if the purpose of the modification is
to correct errors of fact or law.
CIVIL LAW
First Division
Estoppel
FILINVEST ALABANG, INC., petitioner, vs.
CENTURY IRON WORKS, INC.,
respondent.
777 SCRA 519, G.R. No. 213229, December 9,
2015.
The petitioner’s issuance of the Certificate of
Completion and Acceptance signifying that it had
already accepted respondent’s work as up to par
already estops the former from withholding the
amounts due to respondent’s purported
substandard workmanship. It is settled that
whenever a party has, by his own declaration, act,
or omission, intentionally and deliberately led
another to believe a particular thing true, and to act
upon such belief, he cannot, in any litigation arising
out of such declaration, act or omission, be
permitted to falsify it, as in this case.
LABOR LAW
First Division
Due Process
QUANTUM FOODS, INC., petitioner, vs.
MARCELINO ESLOYO and GLEN
MAGSILA, respondents.
777 SCRA 532, G.R. No. 213696, December 9,
2015.
It is well to emphasize that technical rules are not
binding in cases submitted before the NLRC. In
fact, labor officials are enjoined to use every and
reasonable means to ascertain the facts in each case
speedily and objectively, without regard to
technicalities of law or procedure, in the interest of
due process. Consequently, the NLRC cannot be
faulted for relaxing its own rules in the interest of
substantial justice.
CRIMINAL LAW
First Division
Impulse of Uncontrollable Fear
ADINA B. MANANSALA, petitioner, vs.
PEOPLE OF THE PHILIPPINES,
respondent.
777 SCRA 563, G.R. No. 215424, December 9,
2015.
For the circumstance of acting under an impulse of
uncontrollable fear to be appreciated in favor of an
accused, the following elements must concur: (a)
the existence of an uncontrollable fear; (b) that the
fear must be real and imminent; and (c) the fear of
an injury is greater than, or at least equal to, that
committed. In the instant case, nothing would
show that Lacanilao, or any of her superiors at
UMC for that matter, threatened her with loss of
employment should she fail to do so.
POLITICAL LAW
En Banc
Biometrics
KABATAAN PARTY-LIST, represented by
REPRESENTATIVE JAMES MARK TERRY
L. RIDON and MARJOHARA S. TUCAY;
SARAH JANE I. ELAGO, PRESIDENT OF
THE NATIONAL UNION OF STUDENTS
OF THE PHILIPPINES; VENCER MARI
E. CRISOSTOMO, CHAIRPERSON OF
THE ANAKBAYAN; MARC LINO J. ABILA,
NATIONAL PRESIDENT OF THE
COLLEGE EDITORS GUILD OF THE
PHILIPPINES; EINSTEIN Z. RECEDES,
DEPUTY SECRETARY-GENERAL OF
ANAKBAYAN; CHARISSE BERNADINE I.
BAÑEZ, CHAIRPERSON OF THE
LEAGUE OF FILIPINO STUDENTS;
ARLENE CLARISSE Y. JULVE, MEMBER
OF ALYANSA NG MGA GRUPONG
HALIGI NG AGHAM AT TEKNOLOHIYA
PARA SA MAMAMAYAN (AGHAM); and
SINING MARIA ROSA L. MARFORI,
petitioners, vs. COMMISSION ON
ELECTIONS, respondent.
777 SCRA 574, G.R. No. 221318, December 16,
2015.
The biometrics validation imposed under RA
10367 is a requirement and not a “qualification” to
the exercise of the right of suffrage, but a mere
aspect of the registration procedure, of which the
State has the right to reasonably regulate. RA 10367
was precisely designed to facilitate the conduct of
orderly, honest, and credible elections by
containing — if not eliminating, the perennial
problem of having flying voters, as well as dead and
multiple registrants.
LEGAL ETHICS
En Banc; Attorneys
Borrowing Money from Clients
SPOUSES HENRY A. CONCEPCION and
BLESILDA S. CONCEPCION,
complainants, vs. ATTY. ELMER A. DELA
ROSA, respondent.
749 SCRA 26, A.C. No. 10681, February 3,
2015.
In unduly borrowing money from the complainants
and by blatantly refusing to pay the same,
respondent abused the trust and confidence
reposed in him by his clients, and, in so doing,
failed to uphold the integrity and dignity of the legal
profession. Thus, he should be equally held
administratively liable on this score.
LEGAL ETHICS
First Division
Notary Public
MELANIO S. SALITA, complainant, vs.
ATTY. REYNALDO T. SALVE, respondent.
749 SCRA 463, A.C. No. 8101, February 4,
2015.
The function of a notary public is, among others,
to guard against any illegal or immoral
arrangements. Atty. Salve’s act of certifying under
oath an irregular Deed of Absolute Sale without
requiring the personal appearance of the persons
executing the same constitutes gross negligence in
the performance of duty as a notary public.
LEGAL ETHICS
First Division
Lawyer’s Oath
SPOUSES WILLIE and AMELIA
UMAGUING, complainants, vs. ATTY.
WALLEN R. DE VERA, respondent.
749 SCRA 473, A.C. No. 10451, February 4,
2015.
It is highly improbable for Atty. De Vera to have
remained in the dark about the authenticity of the
documents he himself submitted to the court when
his professional duty requires him to represent his
client with zeal and within the bounds of the law.
The Lawyer’s Oath enjoins every lawyer not only to
obey the laws of the land but also to refrain from
doing any falsehood in or out of court or from
consenting to the doing of any in court, and to
conduct himself according to the best of his
knowledge and discretion with all good fidelity to
the courts as well as to his clients.
ADMINISTRATIVE LAW
First Division
Penalties
MARY-ANN** S. TORDILLA, COURT
STENOGRAPHER III, REGIONAL TRIAL
COURT OF NAGA CITY, CAMARINES
SUR, BRANCH 27, complainant, vs. LORNA
H. AMILANO, COURT STENOGRAPHER
III, REGIONAL TRIAL COURT OF NAGA
CITY, CAMARINES SUR, BRANCH 61,
respondent.
749 SCRA 487, A.M. No. P-14-3241, February
4, 2015.
(formerly OCA I.P.I. No. 11-3672-P)
The penalty imposed by law is not directed at
respondent’s private life, but rather at her actuation
unbecoming of a public official. Willful refusal to
pay just debts, much like misconduct, equally
contemplates the punishment of the errant official
in view of the damage done to the image of the
Judiciary. Willful failure to pay just debts is
classified as a light offense, with the corresponding
penalty of reprimand.
CIVIL LAW
First Division
Forbearance
WT CONSTRUCTION, INC., petitioner, vs.
THE PROVINCE OF CEBU, respondent.
771 SCRA 13, G.R. No. 208984, September 16,
2015.
The liability of the Province of Cebu involves a
forbearance of money. The term “forbearance,”
within the context of usury law, has been described
as a contractual obligation of a lender or creditor to
refrain, during a given period of time, from
requiring the borrower or debtor to repay the loan
or debt then due and payable.
TAXATION LAW
First Division
Estoppel
COMMISSIONER OF INTERNAL
REVENUE, petitioner, vs. NIPPON
EXPRESS (PHILS.) CORPORATION,
respondent.
771 SCRA 27, G.R. No. 212920, September 16,
2015.
It deserves mentioning that the CIR is not estopped
from assailing the validity of the Tax Credit
Certificate which was issued by her subordinates in
the BIR. In matters of taxation, the government
cannot be estopped by the mistakes, errors or
omissions of its agents for upon it depends the
ability of the government to serve the people for
whose benefit taxes are collected.
CORPORATION LAW
First Division
Liability of Corporate Officers

JAKERSON G. GARGALLO, petitioner, vs.
DOHLE SEAFRONT CREWING
(MANILA), INC., DOHLE MANNING
AGENCIES, INC., and MR. MAYRONILO
B. PADIZ, respondents.
771 SCRA 88, G.R. No. 215551, September 16,
2015.
The Court finds no basis to hold respondent Dohle
Seafront President Padiz, solidarily liable with
respondents Dohle Manning and Dohle Seafront
for the payment of the monetary awards granted to
petitioner, absent any showing that he had acted
beyond the scope of his authority or with malice.
Settled is the rule that in the absence of malice and
bad faith, or a specific provision of law making a
corporate officer liable, such officer cannot be
made personally liable for corporate liabilities.
LEGAL ETHICS
First Division
Notary Public
ATTY. BENIGNO T. BARTOLOME,
complainant, vs. ATTY. CHRISTOPHER A.
BASILIO, respondent.
772 SCRA 213, A.C. No. 10783, October 14,
2015.
A notary public should not notarize a document
unless the person who signed the same is the very
person who executed and personally appeared
before him to attest to the contents and the truth
of what are stated therein. By failing in this regard,
the notary public permits a falsehood which does
not only transgress the Notarial Rules but also the
Code of Professional Responsibility.
LEGAL ETHICS
First Division
Notarized Documents
ELENA BIETE LEONES VDA. DE
MILLER, complainant, vs. ATTY.
ROLANDO B. MIRANDA, respondent.
774 SCRA 205, A.C. No. 8507, November 10,
2015.
Respondent’s failure to carefully double-check the
draft of the original SPA submitted to him by his
secretary led him to notarize a document which did
not reflect the true intent of his client. Respondent
himself caused the intercalation of the notarized
SPA by inserting handwritten alterations therein
which changed its meaning, thus, violating the
Code of Professional Responsibility. A lawyer shall
not engage in unlawful, dishonest, immoral or
deceitful conduct.
CRIMINAL LAW
First Division
Extinction of Penal Actions
DOLORES DIAZ, petitioner, vs. PEOPLE
OF THE PHILIPPINES and LETICIA S.
ARCILLA, respondents.
776 SCRA 43, G.R. No. 208113, December 2,
2015.
The extinction of the penal action does not carry
with it the extinction of the civil liability where the
acquittal is based on reasonable doubt as only
preponderance of evidence, or “greater weight of
the credible evidence,” is required. Thus, an
accused acquitted of estafa may still be held civilly
liable where the facts established by the evidence so
warrant, as in this case.
LABOR LAW
First Division
Floating Status
RAFAEL B. QUILLOPA, petitioner, vs.
QUALITY GUARDS SERVICES AND
INVESTIGATION AGENCY and ISMAEL
BASABICA, JR., respondents.
776 SCRA 85, G.R. No. 213814, December 2,
2015.
The unjustified failure to place petitioner back in
active duty within the allowable six (6)-month
period hold respondents liable for petitioner’s
constructive dismissal. Placing a security guard in
temporary “off-detail” or “floating status” is part
of management prerogative of the employer-
security agency and does not, per se, constitute a
severance of the employer-employee relationship.
Furthermore, the security guard must not remain in
such status for a period of more than six (6)
months; otherwise, he is deemed terminated.
REMEDIAL LAW
First Division
Jurisdiction
 NARRA NICKEL MINING AND
DEVELOPMENT CORPORATION,
TESORO MINING AND
DEVELOPMENT, INC., and MCARTHUR
MINING, INC., petitioners, vs. REDMONT
CONSOLIDATED MINES
CORPORATION, respondent.
777 SCRA 258, G.R. No. 202877, December 9,
2015.
It is a fundamental rule that the question of
jurisdiction may be tackled motu proprio on appeal
even if none of the parties raised the same. The
reason for the rule is that a court without
jurisdiction cannot render a valid judgment. The
jurisdictional parameter that the appeal be taken
against a judgment, final order, resolution or award
of a “quasi-judicial agency in the exercise of its
quasi-judicial functions” is explicitly stated in the
Rules of Court.
ADMINISTRATIVE LAW
First Division
Procedural Due Process
HON. HERMOGENES E. EBDANE, JR., in
his official capacity as Acting Secretary of the
Department of Public Works and Highways
(DPWH), ATTY. JOEL L. JACOB, in his
official capacity as Officer-in-Charge, Legal
Service (DPWH), ATTY. OLIVER T.
RODULFO, in his official capacity as Head,
Internal Affairs Office (DPWH), and HON.
JAIME A. PACANAN, in his official capacity
as Regional Director (DPWH), Regional
Office No. VIII, petitioners, vs. ALVARO Y.
APURILLO, ERDA P. GABRIANA,
JOCELYN S. JO, IRAIDA R. LASTIMADO,
and FRANCISCO B. VINEGAS, JR.,
respondents.
777 SCRA 324, G.R. No. 204172, December 9,
2015.
In this case, the Court finds that while there were
missteps in the proceedings conducted before the
DPWH, they were, nonetheless, accorded a fair
opportunity to be heard when the formal charge
directed them. In administrative proceedings, as in
the case at bar, procedural due process simply
means the opportunity to explain one’s side or the
opportunity to seek a reconsideration of the action
or ruling complained of. “To be heard” does not
mean only verbal arguments in court; one may also
be heard thru pleadings.
LABOR LAW
First Division
Burden of Proof
VICENTE C. TATEL, petitioner, vs. JLFP
INVESTIGATION AND SECURITY
AGENCY, INC., JOSE LUIS F.
PAMINTUAN, and/or PAOLO C. TURNO,
respondents.
777 SCRA 347, G.R. No. 206942, December 9,
2015.
Jurisprudence has placed upon the employer the
burden of proving that an employee was not
dismissed or, if dismissed, that the dismissal was for
a valid or authorized cause. In this case,
respondents have adequately discharged this
burden, proving that they did not dismiss Tatel.
Accordingly, the burden of proof has shifted to the
latter to establish otherwise, which he, however,
failed to do.
REMEDIAL LAW
First Division
Rule 108 of the Rules of Court
IN THE MATTER OF THE PETITION
FOR CORRECTION OF ENTRY
(CHANGE OF FAMILY NAME IN THE
BIRTH CERTIFICATE OF FELIPE C.
ALMOJUELA AS APPEARING IN THE
RECORDS OF THE NATIONAL
STATISTICS OFFICE),
FELIPE C. ALMOJUELA, petitioner, vs.
REPUBLIC OF THE PHILIPPINES,
respondent.
801 SCRA 399, G.R. No. 211724, August 24,
2016.
An adversary proceeding is defined as one “having
opposing parties; contested, as distinguished from
an ex parte application, one of which the party
seeking relief has given legal warning to the other
party, and afforded the latter an opportunity to
contest it.” The failure to strictly comply with the
above discussed requirements provided by law for
correction of an entry in the civil registrar involving
substantial and controversial alterations renders the
entire proceedings therein null and void.

CIVIL LAW
First Division
Antichresis
SPOUSES CHARITO M. REYES and
ROBERTO REYES, and SPOUSES VILMA
M. MARAVILLO and DOMINGO
MARAVILLO, JR., petitioners, vs. HEIRS
OF BENJAMIN MALANCE,** namely:
ROSALINA M. MALANCE, BERNABE M.
MALANCE, BIENVENIDO M. MALANCE,
and DOMINGA*** M. MALANCE,
represented by BIENVENIDO M.
MALANCE, respondents.
801 SCRA 485, G.R. No. 219071, August 24,
2016.
As antichretic creditors, the Magtalas sisters are
entitled to retain enjoyment of the subject land until
the debt has been totally paid. Antichresis involves
an express agreement between parties whereby: (a)
the creditor will have possession of the debtor’s real
property given as security; (b) such creditor will
apply the fruits of the said property to the interest
owed by the debtor, if any, then to the principal
amount; (c) the creditor retains enjoyment of such
property until the debtor has totally paid what he
owes; and (d) should the obligation be duly paid,
then the contract is automatically extinguished
proceeding from the accessory character of the
agreement.
CRIMINAL LAW
First Division
Chain of Custody Rule
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. ROMEO LINTAG y
LAUREOLA, accused-appellant.
802 SCRA 257, G.R. No. 219855, September 6,
2016.
In the given case, it was SPO3 Valdez — and not
SPO2 Gonzales — who delivered such request and
presumably, the seized plastic sachets as well, to
Forensic Chemical Officer PI Mariano. This
immediately puts into question how SPO3 Valdez
came into possession of the seized items, which
was not explained by the prosecution through the
presentation of testimonial or documentary
evidence. It is settled that in criminal prosecutions
involving illegal drugs, the presentation of the
drugs which constitute the corpus delicti of the crime
calls for the necessity of proving with moral
certainty that they are the same seized items.
CRIMINAL LAW
First Division
Searches Incidental to a Lawful Arrest
ELMER G. SINDAC @
“TAMER,” petitioner, vs. THE PEOPLE OF
THE PHILIPPINES, respondent.
802 SCRA 270, G.R. No. 220732, September 6,
2016.
As a consequence of Sindac’s unlawful arrest, it
follows that there could be no valid search
incidental to a lawful arrest which had yielded the
plastic sachet containing shabu from Sindac. Since
the shabu purportedly seized from Sindac
constitutes inadmissible evidence in violation of
Article III of the 1987 Constitution, and given that
the confiscated shabu is the very corpus delicti of the
crime charged, the Court finds Sindac’s conviction
to be improper and therefore, acquits him.
CRIMINAL LAW
First Division
Searches Incidental to a Lawful Arrest
EDMUND BULAUITAN y MAUAYAN,**
petitioner, vs. PEOPLE OF THE
PHILIPPINES, respondent.
803 SCRA 367, G.R. No. 218891, September 19,
2016.
The three (3) plastic sachets containing shabu
recovered therefrom are inadmissible in evidence
for being the proverbial fruit of the poisonous tree.
Therefore, Bulauitan must necessarily be acquitted
and exonerated from all criminal liability. The 1987
Constitution provides that evidence obtained from
unreasonable searches and seizures shall be
inadmissible in evidence for any purpose in any
proceeding.
CRIMINAL LAW
First Division;
Illegal Possession of Dangerous Drugs
 ANTONIO GAMBOA y DELOS SANTOS,
petitioner, vs. PEOPLE OF THE
PHILIPPINES, respondent.
808 SCRA 24, G.R. No. 220333, November 14,
2016.
The breaches of the procedure contained in RA
9165 committed by the police officers, militate
against a finding of guilt beyond reasonable doubt
against the accused as the integrity and evidentiary
value of the corpus delicti had been compromised. In
order to secure the conviction of an accused
charged with illegal possession of dangerous drugs,
the prosecution must prove that: (a) the accused
was in possession of an item or object identified as
a dangerous drug; (b) such possession was not
authorized by law; and (c) the accused freely and
consciously possessed the said drug.
CIVIL LAW
Second Division
Psychological Incapacity
REPUBLIC OF THE PHILIPPINES,
petitioner, vs. RODOLFO O. DE GRACIA,
respondent.
716 SCRA 8, G.R. No. 171557, February 12,
2014.
Verily, although expert opinions furnished by
psychologists regarding the psychological
temperament of parties are usually given
considerable weight by the courts, the existence of
psychological incapacity must still be proven by
independent evidence. Natividad’s refusal to live
with Rodolfo and to assume her duties as wife and
mother as well as her emotional immaturity,
irresponsibility and infidelity do not rise to the level
of psychological incapacity that would justify the
nullification of the parties’ marriage.
CIVIL LAW
Second Division
Solidary Obligations
TRADE AND INVESTMENT
DEVELOPMENT CORPORATION OF
THE PHILIPPINES (Formerly
PHILIPPINE EXPORT AND FOREIGN
LOAN GUARANTEE CORPORATION),
petitioner, vs. ASIA PACES
CORPORATION, PACES INDUSTRIAL
CORPORATION, NICOLAS C.
BALDERRAMA, SIDDCOR INSURANCE
CORPORATION (now MEGA PACIFIC
INSURANCE CORPORATION),
PHILIPPINE PHOENIX SURETY AND
INSURANCE, INC., PARAMOUNT
INSURANCE CORPORATION,** AND
FORTUNE LIFE AND GENERAL
INSURANCE COMPANY, respondents.
716 SCRA 67, G.R. No. 187403, February 12,
2014.
Under the Civil Code, an extension of time given
to the principal debtor by the creditor without the
surety’s consent would deprive the surety of his
right to pay the creditor and to be immediately
subrogated to the creditor’s remedies against the
principal debtor upon the maturity date.
Considering the inoperability of Article 2079 of the
Civil Code in this case, the bonding companies’
liabilities to TIDCORP under the Surety Bonds —
except those issued by Paramount and covered by
its Compromise Agreement with TIDCORP —
have not been extinguished.
REMEDIAL LAW
Second Division
Hearsay Evidence
RICARDO L. ATIENZA AND ALFREDO A.
CASTRO, petitioners, vs. PEOPLE OF THE
PHILIPPINES, respondent.
716 SCRA 84, G.R. No. 188694, February 12,
2014.
It is settled that while affidavits may be considered
as public documents if they are acknowledged
before a notary public, they are still classified as
hearsay evidence unless the affiants themselves are
placed on the witness stand to testify thereon and
the adverse party is accorded the opportunity to
cross-examine them. With the prosecution’s failure
to present Nelson to affirm his statement that
Castro caused the return of Volume 266, the
prosecution’s evidence on the matter should be
treated as hearsay and, thus, inadmissible to
establish the truth or falsity of the relevant claims.
REMEDIAL LAW
First Division
Petition for Certiorari
PROVINCE OF LEYTE, herein represented
by MR. RODOLFO BADIABLE, in his
capacity as the ICO-Provincial Treasurer,
Province of Leyte, petitioner, vs. ENERGY
DEVELOPMENT CORPORATION,
respondent.
760 SCRA 149, G.R. No. 203124, June 22, 2015.
Thus, in petitions for certiorari filed before the CA,
the latter acquires jurisdiction over the person of
the respondent upon: (a) the service of the order or
resolution indicating the CA’s initial action on the
petition to the respondent; or (b) the voluntary
submission of the respondent to the CA’s
jurisdiction. Hence, the CA had already acquired
jurisdiction over both parties to the instant case due
to compliance to the abovementioned
requirements.
CRIMINAL LAW
First Division
Treachery
PEOPLE OF THE PHILIPPINES, plaintiff-
appellee, vs. ERNIE INCIONG y ORENSE,
accused-appellant.
760 SCRA 249, G.R. No. 213383, June 22, 2015.
Treachery is present when the offender commits
any of the crimes against persons, employing
means, methods, or forms in the execution, which
tend directly and specially to insure its execution,
without risk to the offender arising from the
defense which the offended party might make. The
assault on Lumbera ensured that accused-appellant
would be able to consummate the crime without
risk to his own person, hence, the qualifying
circumstance of treachery.
CRIMINAL LAW
First Division
Mitigating Circumstance
GUILLERMO WACOY y BITOL, petitioner,
vs. PEOPLE OF THE PHILIPPINES,
respondent.
760 SCRA 259, G.R. No. 213792, June 22, 2015.
The penalty for the crime of Homicide must be
imposed in its minimum period due to the presence
of the mitigating circumstance of lack of intention
to commit so grave a wrong under the RPC in favor
of Wacoy and Quibac, as correctly appreciated by
the CA. In determining the presence of this
circumstance, it must be considered that since
intention is a mental process and is an internal state
of mind, the accused’s intention must be judged by
his conduct and external overt acts.
CIVIL LAW
First Division
Solidary Obligations
GO TONG ELECTRICAL SUPPLY CO.,
INC. and GEORGE C. GO, petitioners, vs.
BPI FAMILY SAVINGS BANK, INC.,
substituted by PHILIPPINE INVESTMENT
ONE [SPV-AMC], INC.,** respondent.
760 SCRA 486, G.R. No. 187487, June 29, 2015.
Go had clearly bound himself as a surety to Go
Tong Electrical’s loan obligation. Thus, there is no
question that Go’s liability thereto is solidary with
the former. As provided under the Civil Code, “the
surety undertakes to be bound solidarily with the
principal obligor”.
REMEDIAL LAW
First Division
Preliminary Investigations
PHILIPPINE DEPOSIT INSURANCE
CORPORATION (PDIC), petitioner, vs.
HON. ORLANDO C. CASIMIRO, in his
capacity as Overall Deputy Ombudsman,
FIDEL C. CU, CARMELITA B. ZATE, and
MARY LOU S. APELO, respondents.
769 SCRA 110, G.R. No. 206866, September 2,
2015.
It was error on the part of the Ombudsman to
simply discredit Gomez’s affidavit as inadmissible
in evidence for being hearsay. The technical rules
of evidence should not be applied in the course of
its proceedings. Hearsay evidence is admissible in
determining probable cause in preliminary
investigations because such investigation is merely
preliminary, and does not finally adjudicate rights
and obligations of parties.
REMEDIAL LAW
First Division
Hearsay Evidence Rule
PRESIDENTIAL COMMISSION ON
GOOD GOVERNMENT, petitioner, vs. MA.
MERCEDITAS NAVARRO-GUTIERREZ
(as then Ombudsman), DON M. FERRY,
JOSE R. TENGCO, JR., ROLANDO M.
ZOSA, CESAR C. ZALAMEA, OFELIA I.
CASTELL, and RAFAEL A. SISON, public
respondents,
RODOLFO M. CUENCA, MANUEL I.
TINIO, and ANTONIO R. ROQUE, private
respondents.
773 SCRA 434, G.R. No. 194159, October 21,
2015.
The Ombudsman erred in simply discrediting the
TWG’s findings contained in the Executive
Summary which were adopted by the Ad Hoc
Committee for being hearsay, self-serving, and of
little probative value. Owing to the initiatory nature
of preliminary investigations, the technical rules of
evidence should not be applied in the course of its
proceedings. Hearsay evidence is admissible in
determining probable cause in preliminary
investigations because such investigation is merely
preliminary, and does not finally adjudicate rights
and obligations of parties.
CONSTITUTIONAL LAW
First Division
Enforced Disappearances
SPOUSES ROZELLE RAYMOND MARTIN
and CLAUDINE MARGARET SANTIAGO,
petitioners, vs. RAFFY TULFO, BEN
TULFO, and ERWIN TULFO, respondents.
773 SCRA 558, G.R. No. 205039, October 21,
2015.
“Extrajudicial killings,” according to case law, are
generally characterized as “killings committed
without due process of law, i.e., without legal
safeguards or judicial proceedings,” while
“enforced disappearances,” according to Republic
Act No. 9851, “means the arrest, detention, or
abduction of persons by, or with the authorization,
support or acquiescence of, a State or a political
organization followed by a refusal to acknowledge
that deprivation of freedom or to give information
on the fate or whereabouts of those persons, with
the intention of removing from the protection of
the law for a prolonged period of time.”
CRIMINAL LAW
First Division
Anti-Trafficking in Persons Act of 2003
VINSON** D. YOUNG a.k.a. BENZON
ONG and BENNY YOUNG a.k.a. BENNY
ONG, petitioners, vs. PEOPLE OF THE
PHILIPPINES, as represented by the
OFFICE OF THE SOLICITOR GENERAL,
respondent.
783 SCRA 286, G.R. No. 213910, February 3,
2016.
In this case, the assailed RTC Order was a patent
nullity for being rendered with grave abuse of
discretion amounting to lack or in excess of
jurisdiction. The present case involves public
interest as it imputes violations of the “Anti-
Trafficking in Persons Act of 2003,” a crime so
abhorrent and reprehensible that is characterized
by sexual violence and slavery. Accordingly, direct
resort to a certiorari petition sans a motion for
reconsideration is clearly sanctioned in this case.
REMEDIAL LAW
First Division
Doctrine of Judicial Stability or
Noninterference
ELDEFONSO G. DEL ROSARIO and
JOSEFINO R. ORTIZ, petitioners, vs.
CRISTINA OCAMPO-FERRER, respondent.
794 SCRA 116, G.R. No. 215348, June 20, 2016.
The Court emphasizes that under the doctrine of
judicial stability or noninterference in the regular
orders or judgments of a coequal court, the various
trial courts of a province or city, having the same
equal authority, should not, cannot, and are not
permitted to interfere with their respective cases,
much less with their orders or judgments. The
doctrine of judicial stability or noninterference in
the regular orders or judgments of a coequal court
is an elementary principle in the administration of
justice: no court can interfere by injunction with the
judgments or orders of another court of concurrent
jurisdiction having the power to grant the relief
sought by the injunction.
REMEDIAL LAW
First Division
Petition for Review on Certiorari
TING TRUCKING/MARY VIOLAINE A.
TING, petitioner, vs. JOHN C. MAKILAN,
respondent.
794 SCRA 140, G.R. No. 216452, June 20, 2016.
The Rules of Court provides that the Supreme
Court is not the proper venue to consider a factual
issue as it is not a trier of facts. The rule, however,
is not ironclad and a departure therefrom may be
warranted where the findings of fact of the LA and
the NLRC, on the one hand, and the CA, on the
other hand, are contradictory, as in this case. There
is therefore a need to review the records to
determine whether the CA, in the exercise of its
certiorari jurisdiction, erred in finding grave abuse of
discretion on the part of the NLRC, in ruling that
respondent was not illegally dismissed.
CONSTITUTIONAL LAW
En Banc
Writ of Amparo
ARTHUR BALAO, WINSTON BALAO,
NONETTE BALAO, JONILYN BALAO-
STRUGAR, and BEVERLY LONGID,
petitioners, vs. EDUARDO ERMITA,
GILBERTO TEODORO, RONALDO
PUNO, NORBERTO GONZALES, GEN.
ALEXANDER YANO, GEN. JESUS
VERZOSA, BRIG. GEN. REYNALDO
MAPAGU, LT. P/DIR. EDGARDO
DOROMAL, MAJ. GEN. ISAGANI
CACHUELA, Commanding Officer of the
AFP-ISU based in Baguio City, PSS
EUGENE MARTIN, and several JOHN
DOES, respondents.
794 SCRA 177, G.R. No. 186050, June 21, 2016.
The court shall not dismiss the petition, but shall
archive it, if upon its determination it cannot
proceed for a valid cause such as the failure of
petitioner or witnesses to appear due to threats on
their lives. The Amparo rule sanctions the archiving
of cases, provided that it is impelled by a valid
cause, such as when the witnesses fail to appear due
to threats on their lives or to similar analogous
causes that would prevent the court from
effectively hearing and conducting the Amparo
proceedings which, however, do not obtain in these
cases
CRIMINAL LAW
First Division
Burden of Proof
DAMASO T. AMBRAY and CEFERINO T.
AMBRAY, JR.,** petitioners, vs. SYLVIA A.
TSOUROUS, CARMENCITA AMBRAY-
LAUREL, HEDY AMBRAY-AZORES,
VIVIEN AMBRAY-YATCO, NANCY
AMBRAY-ESCUDERO, MARISTELA
AMBRAY-ILAGAN, ELIZABETH
AMBRAY-SORIANO, MA. LUISA FE
AMBRAY-ARCILLA, and CRISTINA
AMBRAY-LABIT, respondents.
795 SCRA 627, G.R. No. 209264, July 5, 2016.
As a rule, forgery cannot be presumed and must be
proved by clear, positive and convincing evidence,
and the burden of proof lies on the party alleging
forgery. One who alleges forgery has the burden to
establish his case by a preponderance of evidence,
or evidence which is of greater weight or more
convincing than that which is offered in opposition
to it. The fact of forgery can only be established by
a comparison between the alleged forged signature
and the authentic and genuine signature of the
person whose signature is theorized to have been
forged.
REMEDIAL LAW
First Division
Petition for Review on Certiorari
JULIUS BAUTISTA, ARSENIO
LARANANG, REYNALDO BALDEMOR,
CARMELITA MANAYAN, NORMA
FLORES, CONSUELO ESTIGOY,
CARMELITA VALMONTE, SIMEON
MARTIN, MAGDALENA GADIAN, JOSE
GINNO DELA MERCED, JOVEN SILAN,
JR., JULIO DIAZ, GIDEON ACOSTA, and
WENCESLA BAUTISTA, petitioners, vs. LT.
COL. BENITO DONIEGO, JR., LT. COL.
ALFREDO PATARATA, and MAJOR
GENERAL GREGORIO PIO CATAPANG,
respondents.
797 SCRA 724, G.R. No. 218665, July 20, 2016.
The Rules of Court require that in an appeal by way
of a petition for review, the appeal is deemed
perfected as to the petitioner upon the timely filing
of the petition and the payment of docket and other
lawful fees. To perfect the appeal, the party has to
file the petition for review and to pay the docket
fees within the prescribed period. Consequently,
without the petition, the CA cannot be said to have
acquired jurisdiction over the case.
ADMINISTRATIVE LAW
First division
Court Personnel
Corpuz vs. Rivera
801 SCRA 572, A.M. No. P-16-3541, A.M. No.
P-16-3542, A.M. No. P-16-3543, OCA I.P.I.
No. 14-2731-MTJ August 30, 2016
Rivera’s money-lending activities which were done
even during office hours and within the court
premises surely put the integrity of her office under
suspicion, as it gave the impression that she took
advantage of her position and abused the
confidence reposed in her in doing her business.
LEGAL ETHICS
En Banc
Suspension from Practice of Law
Reyes vs. Nieva
802 SCRA 196, A.C. No. 8560 September 6,
2016
Lawyers may be suspended from the practice of law
or disbarred for any misconduct, even if it pertains
to his private activities, as long as it shows him to
be wanting in moral character, honesty, probity or
good demeanor.
CIVIL LAW
First division
Words and Phrases
Onstott vs. Upper Tagpos Neighborhood
Association, Inc.
803 SCRA 280, G.R. No. 221047 September 14,
2016
Although the taxable person who has actual and
beneficial use and possession of a property may be
charged with the payment of unpaid realty tax due
thereon, such assumption of liability does not
clothe the said person with the legal title or interest
over the property.
LABOR LAW
First Division
Control Test
Felicilda vs. Uy
803 SCRA 296, G.R. No. 221241 September 14,
2016
The power of control refers merely to the existence
of the power. It is not essential for the employer to
actually supervise the performance of duties of the
employee, as it is sufficient that the former has a
right to wield the power, as in this case.
REMEDIAL LAW
Second Division
Dismissal of Actions
Sahar International Trading, Inc. vs. Warner
Lambert Co., LLC
725 SCRA 460, G.R. No. 194872 June 9, 2014
No actual substantial relief which a petitioner
would be entitled to, and which would be negated
by the dismissal of the petition. Courts generally
decline jurisdiction over such case or dismiss it on
the ground of mootness. Thus, judgment will not
serve any useful purpose or have any practical legal
effect because, in the nature of things, it cannot be
enforced.
LEGAL ETHICS
First Division
Felipe layos vs. Atty. Marlito I. Villanueva
A.C. No. 8085. December 1, 2014.
Atty. Villanueva was suspended for his constant
failure to attend hearings which resulted to the
issuance by the RTC of an adverse decision against
his client, Layos.

TAXATION LAW
First Division
Tax Refunds
CBK Power Company Limited vs.
Commissioner of Internal Revenue
743 SCRA 693, G.R. No. 198928 December 3,
2014
During the period December 10, 2003 to October
6, 2010 by virtue of DA-489-03, taxpayers-
claimants need not observe the one hundred twenty
(120)-day period before it could file a judicial claim
for refund of excess input Value-Added Tax (VAT)
before the Court of Tax Appeals.
REMEDIAL LAW
First Division
Mandamus
Martinez vs. Martin
743 SCRA 719, G.R. No. 203022 December 3,
2014
The petition for writ of mandamus filed by
Martinez should fail on the ground that Motion for
Reconsideration filed before the RTC when the
writ was filed was still pending.
CRIMINAL LAW
First Division
When Death Results From the Commission of
a Crime
People vs. Parba
773 SCRA 83, G.R. No. 214506 October 19,
2015
When death results from the commission of a
crime, the heirs of the victim are entitled to the
following awards: (a) civil indemnity ex delicto for
the death of the victim without need of evidence
other than the commission of the crime; (b) actual
or compensatory damages to the extent proved, or
temperate damages when some pecuniary loss has
been suffered but its amount cannot be provided
with certainty; (c) moral damages; and (d)
exemplary damages when the crime was committed
with one or more aggravating circumstances
REMEDIAL LAW
First Division
Nonjoinder of Indispensable Parties ;
Laus vs. Optimum Security Services, Inc.
783 SCRA 257, G.R. No. 208343 February 3,
2016
The refusal of the petioner to implead an
indispensable party despite the order of the court,
the latter may dismiss the complaint/petition for
the plaintiff’s/petitioner’s failure to comply
therewith.
CONSTITUTIONAL LAW
First Division
Warrantless Searches and Seizures
People vs. Manago
801 SCRA 103, G.R. No. 212340 August 17,
2016
A variant of searching moving vehicles without a
warrant may entail the setup of military or police
checkpoints are not illegal per se for as long as its
necessity is justified by the exigencies of public
order and conducted in a way least intrusive to
motorists. Hence, the search conducted by the
police officers were valid.
LEGAL ETHICS
First Division
Attorney’s Fees
Jakerson G. Gargallo vs. DOHLE Seafront
Crewing
G.R. No. 215551, August 17, 2016
Absent any showing of any bad faith on the part of
the respondents to pay, the award of attorney’s fees
must be deleted.
LABOR LAW
First Division
Service Incentive Leave
HSY Marketing Ltd. Co. vs. Villastique
801 SCRA 163, G.R. No. 219569 August 17,
2016
Villanueva, an employee of petitioner for more
than 1 year is entitled to service incentive leave pay
which may be used as leave days or he may collect
its monetary value, unless the working days in the
establishment as a matter of practice or policy, or
that provided in the employment contracts, is less
than 12 months, in which case said period shall be
considered as one [(1)] year.
CRIMINAL LAW
First Division
Damages
People vs. Bagamano
801 SCRA 209, G.R. No. 222658 August 17,
2016
Courts may modify the amount of exemplary
damages awarded to AAA in order to conform with
prevailing jurisprudence. Hence, accused appellant
is ordered to pay AAA the amount of P75,000.00
as exemplary damages. Meanwhile, the awards of
P75,000.00 as civil indemnity and P75,000.00 as
moral damages are affirmed.
CIVIL LAW
First Division
Contracts
Sagun vs. ANZ Global Services and
Operations (Manila), Inc.
801 SCRA 243, G.R. No. 220399 August 22,
2016
The non-compliance of the petitioner with the
satisfactory background check will not create any
obligation on the part of the ANZ to recognize and
fully accord him rights under his employment
contract.
LEGAL ETHICS
First Division
Grave Misconduct
Field Investigation Office of the Office of the
Ombudsman vs. Castillo
801 SCRA 586, G.R. No. 221848 August 30,
2016
Respondent was held guilty of Grave Misconduct
which was classified as a grave offense punishable
by dismissal even for first time offenders, with all
the accessory penalties.
REMEDIAL LAW
First Division
Voluntary Arbitration
Coca-Cola Femsa Philippines, Inc. vs.
Bacolod Sales Force Union-Congress of
Independent Organization-ALU
804 SCRA 139, G.R. No. 220605 September 21,
2016
Where the VA was averred to have acted without
or in excess of his jurisdiction or with grave abuse
of discretion amounting to lack or excess of
jurisdiction, the filing of a petition for certiorari
from the VA’s judgment to the CA under Rule 65
of the same Rules was allowed, as in this case.
LABOR LAW
First Division
Separation Pay
Manila Doctors College vs. Olores
804 SCRA 482, G.R. No. 225044 October 3,
2016
Failure of the petitioners to comply with said order,
the CA correctly declared respondent to be entitled
to the payment of his accrued salaries during the
period of the appeal until the reversal of the
December 8, 2010 Decision of LA Amansec.
CIVIL LAW
First Division
Damages
CDR. RESTITUTO C. BUENVIAJE vs.
SPOUSES JOVITO R. and LYDIA B.
SALONGA, JEBSON HOLDINGS
CORPORATION and FERDINAND JUAT
BAÑEZ
G.R. No. 216023, October 05, 2016
Buenviaje’s was made liable to pay for moral
damages and attorney’s fees to Sps. Salonga on his
alleged connivance with Jebson and Bañez in
diluting the cash portion of his down payments to
the prejudice of Sps. Salonga.

REMEDIAL LAW
First Division
Motion for Reconsideration
Sy-Vargas vs. The Estate of Rolando Ogsos,
Sr.
805 SCRA 438, G.R. No. 221062 October 5,
2016
Since March 29, 2014 fell on a Saturday, petitioner
and Kathryn were completely justified in filing their
motion for reconsideration on the next working
day: Monday, March 31, 2014. Accordingly, the CA
should not have considered it filed out of time, and
instead, resolved such motion on the merits.
LEGAL ETHICS
First Division
Suspension
Dumanlag vs. Intong
805 SCRA 489, A.C. No. 8638 October 10, 2016
For failure to file his position paper upon directive
of the court, the latter finds it proper to reprimand
him for his first infraction with warning that
commission of the same or similar infraction will
be dealt with more severely. Since it was also his
first infraction, respondent therein was merely
reprimanded by the Court, as in this case.
ADMINISTRATIVE LAW
First Division
Public Utilities
NASECORE vs. MERALCO
805 SCRA 501, G.R. No. 191150 October 10,
2016
ERC’s shift from the RORB to the PBR
methodology should therefore be deemed as a
supervening circumstance that rendered
inconsequential this Court’s provisional approval
of the rate increases applied for by MERALCO in
Lualhati which was made under the context of the
now-defunct RORB system.
CIVIL LAW
First Division
Temperate Damages
Evangelista vs. Andolong III
809 SCRA 271, G.R. No. 221770 November 16,
2016
Nanito should have received remittances
representing net profits from respondents, albeit he
failed to prove the exact amount he should receive
from the latter. Hence, the Court allowed the
recovery of temperate damages in instances where
it has been established that some pecuniary loss has
been suffered, but its amount cannot be proven
with certainty.
CRIMINAL LAW
Second Division
Aberratio Ictus
People vs. Umawid
725 SCRA 597, G.R. No. 208719 June 9, 2014
Maureen’s death is a case of aberratio ictus, given
that the fatal blow therefor was only delivered by
mistake as it was actually Vicente who was
Umawid’s intended target.
REMEDIAL LAW
First Division
Burden of Proof
Tze Sun Wong vs. Wong
743 SCRA 567, G.R. No. 180364 December 3,
2014
For failure of the petitioner to prove his allegations
by affirmative evidence of irregularity or failure to
perform a duty, the presumption of regularity was
upheld due to the absence of any clear and
convincing evidence to the contrary.
REMEDIAL LAW
First Division
Jurisdiction
Reicon Realty Builders Corporation vs.
Diamond Dragon Realty and Management,
Inc.
750 SCRA 37, G.R. No. 204796 February 4,
2015
If the defendant, however, enters a special CRIMINAL LAW
appearance but grounds the same on the service of First Division
the complainant’s initiatory pleading to him, then Chain of Custody Rule
that would not be considered as an objection to the
court’s jurisdiction over his person. People vs. Goco
806 SCRA 240, G.R. No. 219584 October 17,
LEGAL ETHICS 2016
First Division
Attorney-Client Relationship The lapses committed by the police officers in
accounting for the procedure in handling of the
Egger vs. Duran seized drugs, and cast serious doubt on the integrity
802 SCRA 571, A.C. No. 11323 September 14, and evidentiary value of the seized items. Hence,
2016 creating a reasonable doubt as to the guilt of
accused.
The letter signed by Reposo herself shows that she
and complainant jointly sought the services of
respondent to work on their annulment case. Thus, LABOR LAW
attorney-client relationship has already exist. First Division
Presumptions

CRIMINAL LAW Toyota Pasig, Inc. vs. De Peralta

First Division 807 SCRA 120, G.R. No. 213488 November 7,
Civil Liability 2016

People vs. Layag The failure of employers to submit the necessary

806 SCRA 190, G.R. No. 214875 October 17, documents that are in their possession gives rise to
2016 the presumption that the presentation thereof is
prejudicial to its cause.
Layag’s civil liability in connection with his acts
against the victim, AAA, may be based on sources
other than delicts; in which case, AAA may file a LABOR LAW
separate civil action against the estate of Layag, as First Division
may be warranted by law and procedural rules. Willful Disobedience

Sta. Isabel vs. Perla Compañia de Seguros,

CIVIL LAW Inc.
First Division 807 SCRA 162, G.R. No. 219430 November 7,
Estoppel 2016

Magsano vs. Pangasinan Savings and Loan The refusal of Sta. Isabel to appear before Perla’s
Bank, Inc. Head Office despite due notice and warnings
806 SCRA 197, G.R. No. 215038 October 17, constitutes insubordination. Thus, a valid ground
2016 for dismissal.

The sale made by Susana of the entire co-owned LABOR LAW

property binds her undivided interest in the subject First Division
conjugal property based on the principle of Project Employees
estoppel. Hence, through estoppel an admission or
representation is rendered conclusive upon the Quebral vs. Angbus Construction, Inc.
person making it, and cannot be denied or 807 SCRA 176, G.R. No. 221897 November 7,
disproved as against the person relying thereon. 2016
A project-based employee is assigned to a project
which begins and ends at determined or
determinable times. The services of employees who
are hired as such may be lawfully terminated at the
completion of the project.
LABOR LAW
First Division
Termination
BUENAFLOR CAR SERVICES, INC. vs.
CEZAR DURUMPILI DAVID, JR.
GR No. 222730, November 07, 2016
Respondent’s termination was grounded on his
violation of petitioner’s Code of conduct and
behavior which was held to be tantamount to
serious misconduct and willful breach of trust.
Hence, the dismissal was legal.
REMEDIAL LAW
First Division
Docket Fees
Camaso vs. TSM Shipping (Phils.), Inc.
807 SCRA 204, G.R. No. 223290 November 7,
2016
The failure to pay the required docket fees per se
should not necessarily lead to the dismissal of a
case. Provided that, the fees are paid within a
reasonable period; and there was no intention on
the part of the claimant to defraud the government.
LEGAL ETHICS
First Division
Attorneys
Curammeng vs. People
808 SCRA 613, G.R. No. 219510 November 14,
2016
The mistakes of counsel binds the client, may not
be strictly followed where observance of it would
result in the outright deprivation of the client’s
liberty or property, or where the interest of justice
so requires.
LEGAL ETHICS
First Division
Attorneys
Belo-Henares vs. Guevarra
811 SCRA 392, A.C. No. 11394 December 1,
2016
Lawyers may be disciplined even for any conduct
committed in their private capacity, as long as their
misconduct reflects their want of probity or good
demeanor, a good character being an essential
qualification for the admission to the practice of
law and for continuance of such privilege.
REMEDIAL LAW
First Division
Petition for Review on Certiorari
Ayson vs. Fil-Estate Properties, Inc.
811 SCRA 520, G.R. No. 223254, G.R. No.
223269 December 1, 2016
The findings of Fil-Estate and Fairways’ bad faith,
as well as their liability for moral damages,
exemplary damages, and attorney’s fees, are all
factual matters which are not within the ambit of
the instant petition for review on certiorari under
Rule 45 of the Rules of Court.
REMEDIAL LAW
En Banc
Cambe vs. Office of the Ombudsman
812 SCRA 537, G.R. Nos. 212014-15, G.R. Nos.
212427-28 December 6, 2016
Probable cause can be established with hearsay
evidence, such as the testimonies of the
whistleblowers, as long as there is substantial basis
for crediting the hearsay.
AGRARIAN LAW
En Banc
Just Composition
Heirs of Pablo Feliciano, Jr. vs. Land Bank of
the Philippines
814 SCRA 289, G.R. No. 215290 January 11,
2017
The acquisition process under PD 27 is still
incomplete where the just compensation due the
landowner has yet to be settled. Hence, just
compensation should be determined and the
process be concluded under Republic Act (RA) No.
6657.
LABOR LAW
First Division
POEA-Standard Employment Contract
Jebsens Maritime, Inc. vs. Rapiz
814 SCRA 303, G.R. No. 218871 January 11,
2017
The provisions of the stipulations of a contract
under POEA-SEC shall determine the amount of
disability benefits a claimant shall be entitled to.
CIVIL LAW
First Division
Reconstitution of Titles
Republic vs. Susi
814 SCRA 397, G.R. No. 213209 January 16,
2017
The purpose of the reconstitution is to enable, after
observing the procedures prescribed by law, the
reproduction of the lost or destroyed Torrens
certificate in the same form and in exactly the same
way it was at the time of the loss or destruction.
REMEDIAL LAW
First Division
Evidence
Republic vs. Galeno
815 SCRA 191, G.R. No. 215009 January 23,
2017
The contents of the certifications are hearsay
because respondent’s sole witness and attorney-in-
fact, Lea Galeno Barraca, was incompetent to
testify on the veracity of their contents, as she did
not prepare any of the certifications nor was she a
public officer of the concerned government
agencies.
CRIMINAL LAW
First Division
Use of Unlicensed Firearm
Ramos vs. People
G.R. No. 218466, January 23, 2017
The use of an unlicensed firearm in the commission
of a crime must still be proven before it can be
appreciated as an aggravating circumstance.
ADMINISTRATIVE LAW
First Division
Administrative Due Process
Nestlé Philippines, Inc. vs. Puedan, Jr.
816 SCRA 243, G.R. No. 220617 January 30,
2017
As the Information alleged that accused-appellants
used an unlicensed firearm in killing Rolando, the
prosecution was duty-bound to prove this
allegation. Having failed in this respect, the Court
cannot simply appreciate the use of an unlicensed
firearm as an aggravating circumstance.
MERCANTILE LAW
First Division
Complete and Delivered Instruments
Ubas, Sr. vs. Chan
816 SCRA 659, G.R. No. 215910 February 6,
2017
The Negotiable Instruments Law (NIL) provides
that when an instrument is no longer in the
possession of the person who signed it and it is
complete in its terms, “a valid and intentional
delivery by him is presumed until the contrary is
proved.” Thus, the Respondent’s defense that the
subject checks were lost and, thus, were not actually
issued to petitioner which has already passed upon
the RTC shall not hold water.
ADMINISTRATIVE LAW
En Banc
Substantial Evidence
Re: Complaint of Aero Engr. Darwin A. Reci
Against Court Administrator Jose Midas P.
Marquez and Deputy Court Administrator
Thelma C. Bahia Relative to Criminal Case
No. 05-236956
817 SCRA 14, A.M. No. 17-01-04-SC February
7, 2017
CA Marquez and DCA Bahia are presumed to have
regularly performed their duties. Until otherwise
proven by substantial evidence to the contrary.
CIVIL LAW
First Division
Psychological Incapacity
Del Rosario vs. Del Rosario
818 SCRA 83, G.R. No. 222541 February 15,
2017
Based on the totality of the evidence presented,
there exists insufficient factual or legal basis to
conclude that Jose’s immaturity, irresponsibility, or
infidelity amount to psychological incapacity.
ADMINISTRATIVE LAW
En Banc
Sexual Harassment
Arabani, Jr. vs. Arabani, 818 SCRA 245
A.M. No. SCC-10-14-P, A.M. No. SCC-10-15-P,
A.M. No. SCC-11-17 February 21, 2017
Judge Arabani’s act of making a drawing a vagina
and a penis, and thereafter showing it to an
employee of the court constitutes sexual
harassment.
ELECTION LAW
En Banc
Canvassing of Votes
Commission on Elections vs. Mamalinta
820 SCRA 286, G.R. No. 226622 March 14,
2017
The CA failed to determine Mamalinta’s
administrative liability on the third act she was
accused of committing such as the premature
proclamation of Sinsuat as the winning candidate
on the basis of an incomplete canvass of election
returns.
CIVIL LAW
First Division
Solutio Indebiti
Bank of the Philippine Islands vs. Mendoza
821 SCRA 41, G.R. No. 198799 March 20, 2017
Bank of the Philippine Islands’ (BPI’s) payment of
the proceeds of the subject check was due to a
mistaken notion that such check was cleared, when
in fact, it was dishonored due to an alteration in the
amount indicated therein. Such payment on the
part of BPI to respondents was clearly made by
mistake, giving rise to the quasi-contractual
obligation of solutio indebiti under Article 2154 in
relation to Article 2163 of the Civil Code.
LEGAL ETHICS
First Division
Attorney’s Fees
Dinglasan-Delos Santos vs. Abejon
821 SCRA 132, G.R. No. 215820 March 20, 2017
The award attorney’s fees demands factual, legal,
and equitable justification. In this case, the Court
finds no justification for the award of attorney’s
fees to either party. Accordingly, any award for
attorney’s fees made by the courts a quo must be
deleted.
CIVIL LAW
First Division
Reconstitution of Titles
Sebastian vs. Cruz
821 scra 150, G.R. No. 220940 March 20, 2017
A reconstitution of title cannot be granted to Sps.
Cruz because the said title was not actually lost or
destroyed, but is in fact in the possession of another
person.
LABOR LAW
First Division
Mandatory Contribution
Navarra vs. People
821 SCRA 179, G.R. No. 224943 March 20, 2017
FENICS’s President and Chairman of the Board of
Directors at that time, is charged for violation of
Section 22(a), in relation to Section 28(h) and (f), of
RA 8282 for FENICS’s failure and/or refusal to
remit its employees’ SSS contributions to the SSS
during the period from July 1997 to June 2000.
CRIMINAL LAW
First Division
Death of the Accused
People vs. Toukyo
821 SCRA 190, G.R. No. 225593 March 20, 2017
Upon Toukyo’s death pending appeal of his
conviction, the criminal action is extinguished
inasmuch as there is no longer a defendant to stand
as the accused.
CRIMINAL LAW
First Division
Anti0Grtaft and Corrupt Practices Act
Fuentes vs. People
822 SCRA 509, G.R. No. 186421 April 17, 2017
Fuentes’ acts of refusing to issue a Business Permit
in Valenzuela’s favor, effectively barred Triple A
from engaging in its ship chandling operations
without such Business Permit, caused some sort of
undue injury on the part of Valenzuela.
ELECTION LAW
En Banc
Certificate of Candidacy
Dimapilis vs. Commission on Elections
823 SCRA 451, G.R. No. 227158 April 18, 2017
Since Dimapilis was held guilty for grave
misconduct with an accesroy of perpetual
disqualification, his certificate of candidacy shall be
deemed void ab inito.
REMEDIAL LAW
First Division
Jurisdiction
Bilag vs. Ay-Ay
824 SCRA 78, G.R. No. 189950 April 24, 2017
Plaintiff therein seeks to quiet title over lands of
public domain – a subject matter to which the RTC
has no jurisdiction over. Hence, the only power it
has is to dismiss the action.
MERCANTILE LAW
First Division
Corporate Rehabilitation
Bureau of Internal Revenue vs. Lepanto
Ceramics, Inc.
824 SCRA 125, G.R. No. 224764 April 24, 2017
It was improper for Misajon, et al. to collect, or even
attempt to collect, deficiency taxes from LCI
outside of the rehabilitation proceedings
concerning the latter, and in the process, willfully
disregard the Commencement Order lawfully
issued by the Rehabilitation Court.
LEGAL ETHICS
First Division
Penalties
Yap-Paras vs. Paras
820 SCRA 116, A.C. No. 5333 March 13, 2017
Atty. Paras cannot resume to practice law without
the order of the court lifting the suspension order
against him.
CRIMINAL LAW
First Division
Chain of Custody Rule
People vs. Macapundag
820 SCRA 204, G.R. No. 225965 March 13,
2017
The plurality of the breaches of procedure
committed by the police officers, unacknowledged
and unexplained by the State, militate against a
finding of guilt beyond reasonable doubt against
the accused, as the integrity and evidentiary value
of the corpus delicti had been compromised.
REMEDIAL LAW
First Division
Docket fees
Dee vs. Harvest All Investment Limited
820 scra 585, G.R. No. 224834, G.R. No.
224871 March 15, 2017
Harvest All was correct in basing the docket fees
on the 1 Billion SRO since the complaint does not
involve the recovery of sum of money.
ADMINISTRATIVE LAW
First Division
Absence without Official Leave
Re: Dropping from the Rolls of Rowie A.
Quimno, Utility Worker I, Municipal Circuit
Trial Court of Ipil-Tungawan- Roseller T.
Lim, Ipil, Zamboanga Sibugay
822 SCRA 476, A.M. No. 17-03-33-MCTC April
17, 2017
Quimno should be separated from service or
dropped from the rolls in view of his continued
absence without leave.
REMEDIAL LAW
First Division
Mandamus
City of Davao vs. Olanolan
822 SCRA 481, G.R. No. 181149 April 17, 2017
Olanolan had no right to the office of Punong
Barangay at the time he filed his mandamus
petition, during which the status quo ante order
(SQAO) had already been recalled, he had no valid
legal interest to the reliefs prayed for.
TAXATION LAW
First Division
Prescriptive Period
Metropolitan Bank & Trust Company
vs.Commissioner of Internal Revenue
822 SCRA 496, G.R. No. 182582 April 17, 2017
Metrobank’s final withholding tax liability in March
2001 was remitted to the BIR on April 25, 2001. As
such, it only had until April 25, 2003 to file its
administrative and judicial claims for refund.
However, while Metrobank’s administrative claim
was filed on December 27, 2002, its corresponding
judicial claim was only filed on September 10, 2003.
Therefore, Metrobank’s claim for refund had
clearly prescribed.
MERCANTILE LAW
First Division
Merger of Corporations
Sumifru (Philippines) Corporation vs. Baya
822 SCRA 564, G.R. No. 188269 April 17, 2017
One of the effects of a merger is that the surviving
company shall inherit not only the assets, but also
the liabilities of the corporation it merged with.
Therefore, Sumifru’s contention that it should only
be held liable for the period when Baya stayed with
DFC as it only merged with the latter and not with
AMSFC is untenable.
ADMINISTRATIVE LAW
First Division
Simple Negligence
Daplas vs. Department of Finance
823 SCRA 44, G.R. No. 221153 April 17, 2017
Daplas was held guilty of Simple Negligence in
omitting to include a property in her SALN under
the presumption that such property was a part of
their conjugal property which does not have any
relation with her employment.
ADMINISTRATIVE LAW
First Division
Simpke Neglect of Duty
Olympia-Geronilla vs. Montemayor, Jr.
825 SCRA 315, A.M. No. P-17-3676 June 5,
2017
The Court imposes on Atty. Centron the penalty,
for simple negligence, of fine in the amount of
P10,000.00, with a stern warning that a repetition
of the same or any similar act shall be dealt with
more severely.
TAXATION LAW
First Division
Tax Refund
Mitsubishi Corporation-Manila Branch vs.
Commissioner of Internal Revenue
 825 SCRA 332, G.R. No. 175772 June 5, 2017
Petitioner paid the subject taxes in the aggregate
amount of P52,612,812.00, which it was not
required to pay, the Bureau of Internal Revenue
(BIR) erroneously collected such amount.
Accordingly, petitioner is entitled to its refund.
CRIMINAL LAW
First Division
Civil Liability Arising from Crime
People vs. Culas
825 SCRA 552, G.R. No. 211166 June 5, 2017
Upon accused-appellant’s death pending appeal of
his conviction, the criminal action is extinguished
inasmuch as there is no longer a defendant to stand
as the accused; the civil action instituted therein for
the recovery of the civil liability ex delicto is ipso
facto extinguished, grounded as it is on the criminal
action.
REMEDIAL LAW
First Division
Dismissal of Action
Edron Construction Corporation vs.
Provincial Government of Surigao Del Sur
826 SCRA 47, G.R. No. 220211 June 5, 2017
The failure of the respondents to implead or raise a
defense in either in his motion to dismiss or answer
is deemed waived, and the respondents cannot rely
on upon it due to estoppel.
ADMINISTRATIVE LAW
En Banc
Substantial Evidence
RE: LETTER OF LUCENA
OFENDOREYES ALLEGING ILLICIT
ACTIVITIES OF A CERTAIN ATTY.
CAJAYON INVOLVING CASES IN THE
COURT OF APPEALS, CAGAYAN DE ORO
CITY.
826 SCRA 74, A.M. No. 16-12-03-CA, I.P.I.
No. 17-248-CA-J June 6, 2017
In administrative cases disciplining for grave
offense court employees or magistrates. Petitioners
must submit competent evidence against the
respondent which should be derived from direct
knowledge. Hence, the respondents are not obliged
to prove their exception or defense.
ADMINISTRATIVE LAW
En Banc
Court Personnel
Judaya vs. Balbona
826 SCRA 81, A.M. No. P-06-2279 June 6, 2017
Balbona’s act of soliciting and receiving money
from litigants for personal gain constitute Grave
Misconduct, for which the court employee guilty
thereof should be held administratively liable.
ADMINISTRATIVE LAW
First Division
Judges
Rizalado vs. Bollozos
827 SCRA 205, OCA I.P.I. No. 11-3800-RTJ,
OCA I.P.I. No. 12-3867-RTJ, OCA I.P.I. No.
12-3897-RTJ, OCA I.P.I. No. 13-4070-RTJ
June 19, 2017
Before filing of an administrative complaint, the
petitioner must first resort to and exhaustion of
these judicial remedies, as well as the entry of
judgment in the corresponding action or
proceeding, are prerequisites for the taking of other
measures against the persons of the judges
concerned, whether of civil, administrative, or
criminal nature.
REMEDIAL LAW
First Division
Petition for Review on Certiorari
Estate of Honorio Poblador, Jr. vs. Manzano
827 SCRA 253, G.R. No. 192391 June 19, 2017
Poblador’s petition for review must fail on the
account of his failure to prove even by
preponderance of evidence the existence of any act
or omission of Manzano that would support its
claim of civil liability ex delicto.
CRIMINAL LAW
First Division
Denials

People vs. Monroyo
828 SCRA 416, G.R. No. 223708 June 28, 2017
Monroyo only proffered the defense of denial
which was found to be too shallow and
insignificant so as to impel BBB to falsely charge
her uncle and publicly disclose that she was raped.
REMEDIAL LAW
First Division
Remand of Cases
Cariaga vs. Sapigao
436, G.R. No. 223844 June 28, 2017
The court may dispense with the time-consuming
procedure of remand in order to prevent further
delays in the disposition of the case and to better
serve the ends of justice. Thus, Cariaga’s petition
on the merits insofar as the crimes of false
Certification and Slander by Deed are concerned.
CIVIL LAW
First Division
Register of Deeds
Geñorga vs. Heirs of Julian Meliton
828 SCRA 673, G.R. No. 224515 July 3, 2017
In the absence of a verified and approved
subdivision plan and technical description duly
submitted for registration on TCT No. 8027, it
must return the same to the presenter, in this case,
petitioner who, as aforesaid, failed to establish a
better right to the possession of the said owner’s
duplicate title as against respondents.
CRIMINAL LAW
First Division
Death of the Accused Pending Appeal
People vs. Jao
157, G.R. No. 225634 June 7, 2017
Upon Catigtig’s death pending appeal of his
conviction his criminal liability is extinguished
inasmuch as there is no longer a defendant to stand
as the accused.
LEGAL ETHICS
First Division
Attorneys
Festin vs. Zubiri
A.C. No. 11600, June 19, 2017
Atty. Zubiri’s disregard of the procedural rules,
misusage of rules to causes injustice, and failure to
exhibit fairness towards is professional colleagues
undoubtedly violated his professional obligations
under CPR.
ADMINISTRATIVE LAW
First Division
Simple Neglect of Duties
Baguio vs. Lacuna
827 SCRA 195, A.M. No. P-17-3709 June 19,
2017
The court cannot impose the actual penalties in the
presence of mitigating facts, such as, length of
service in the judiciary, the acknowledgment of
infractions and feelings of remorse, and family
circumstances, among others.
LEGAL ETHICS
First Division
Penalties
Montecillo vs. Gatchalian
828 SCRA 222, A.C. No. 8371 June 28, 2017
The court may suspend the lawyer from the
practice of law for neglecting their clients’ affairs by
failing to attend hearings and/or failing to update
clients about court decisions.
CIVIL LAW
First Division
Interest Rates
Zaragoza vs. Iloilo Santos Truckers, Inc.
828 SCRA 452, G.R. No. 224022 June 28, 2017
Considering that all the requisites of a suit for
unlawful detainer have been complied with,
petitioner is justified in ejecting respondent from
the subject land. Thus, the rental arrearages due to
petitioner shall earn legal interest of twelve percent
(12%) per annum, computed from first demand on
May 24, 2011 to June 30, 2013, and six percent (6%)
per annum from July 1, 2013 until fully paid.
REMEDIAL LAW
First Division People vs. Ladra
Findings of Facts 831 SCRA 252, G.R. No. 221443 July 17, 2017

Belmonte vs. People Rape can be committed even in places where

828 SCRA 463, G.R. No. 224143 June 28, 2017
Findings of the trial court which are factual in
nature and involve the credibility of witnesses, are
accorded respect when no glaring errors, gross
misapprehension of facts or speculative, arbitrary
and unsupported conclusions are made from such
findings.
ADMINISTRATIVE LAW
First Division
Penalties
people congregate, in parks, along the roadside,
within school premises, inside a house where there
are other occupants, and even in the same room
where other members of the family are also
sleeping. Hence, the presence of AAA’s brother in
the room does not negate the commission of the
crime.
CRIMINAL LAW
Special Third Division
Civil Liability
People vs. Dimaala
831 SCRA 270, G.R. No. 225054 July 17, 2017

Office of the Deputy Ombudsman for Luzon Accused-appellant’s civil liability based on sources
vs. Dionisio other than the subject delict survives, and the
830 SCRA 501, G.R. No. 220700 July 10, 2017 victim may file a separate civil action against the
estate of accused-appellant, as may be warranted by
Dionisio was held guilty og grave misconduct for law and procedural rules.
his failure to justify the resort in the construction
of the school canteen and in the purchase of the AGRARIAN LAW
educational equipment. En Banc
Just Compensation
REMEDIAL LAW
First Division Land Bank of the Philippines vs. Rural Bank
Injunction of Hermosa (Bataan), Inc.
832 SCRA 78, G.R. No. 181953 July 25, 2017
Cayabyab vs. Dimson
830 SCRA 520, G.R. No. 223862 July 10, 2017 When the agrarian reform process is still
incomplete, such as in this case where the just
Dimson cannot secure a writ of injunction without compensation due the landowner has yet to be
showing the possibility of irreparable damage and settled, just compensation should be determined
proof of an existing right toward such claim. and the process be concluded under Republic Act
(RA) No. 6657.
LEGAL ETHICS
First Division POLITICAL LAW
Penlties En Banc
Samonte vs. Jumamil House Of Representatives
831 SCRA 180, A.C. No. 11668 July 17, 2017 Baguilat, Jr. vs. Alvarez
832 SCRA 111 July 25, 2017
Atty. Jumamil was suspended from the practice of
law for his neglect of duties which adversely caused The Speaker of the House of Representatives shall
the interest of his client. be elected by a majority vote of its entire
membership. Said provision also states that the
CRIMINAL LAW House of Representatives may decide to have
First Division officers other than the Speaker, and that the
Rape
method and manner as to how these officers are
chosen is something within its sole control.