ICCT Colleges Foundation Inc.

V.V Soliven Ave. II, Cainta, Rizal

College of Business and Accountancy

BLAW103 - LAW ON SALES, AGENCY, LABOR AND OTHER COMMERCIAL LAWS

Midterm Quiz
March 08, 2020

Name: John C. Lacsamana Section: E45 Score: ____________

INSTRUCTIONS: NO ERASURE ALLOWED. ERASABLE PEN/PENCIL IS ALSO NOT

ALLOWED. USE EITHER BLUE OR BLACK BALLPEN.

PART I. ESSAY. Write your answer legibly and in good form in the blank provided. Support your
answer with legal basis. (15 points each)

1. Tamara was employed by VMall. He was assigned to perform the duties of a salesman. In many
instances, it was shown that he deviated from certain company rules with the consent of his
supervisor. Due to the several complaints against him, his service was terminated for loss of trust
and confidence on the ground of willful disobedience. Thus, Tamara filed for illegal dismissal. Was
the dismissal of Tamara proper?

No, even with just cause in this case which is "loss of trust and confidence on the ground of willful
disobedience" without due process accorded to the employee before termination of employment, the
dismissal is illegal thus the filing of illegal dismissal is right for such case of Tamara.

2. Paray was dismissed from employment for having been absent without leave (AWOL) for eight (8)
months, it turned out that the reason for his absence was his incarceration after he was mistaken as
the hostage taker in Greenhills. Eventually acquitted and released from jail, Paray returned to his
employer and demanded reinstatement and full backwages. Is Paray entitled to reinstatement and
backwages?

Yes, Paray is entitled to reinstatement and full backwages. According to Article 282 of the Labor Code, an
employer can terminate an employee for just causes, which could be any of the following:
serious misconduct or willful disobedience by the employee of the lawful orders of his employer or
representative in connection with his work; gross and habitual neglect by the employee of his duties;
fraud or willful breach by the employee of the trust reposed in him by his employer or duly authorized
representatives; commission of a crime or offense by the employee against the person of his employer or any
immediate member of his family or his duly authorized representatives; and
other similar causes. In this case (i.e., AWOL), it is under "gross and habitual neglect by the employee of his
duties" which is a just cause like the above mentioned causes under Art. 282 and there's no due process
accorded to the employee before termination of employment. The due process is different for both authorized
and just causes. Just cause involves a two-notice rule while authorized cause requires a 30-day notice. If due
process is not accorded to the employee before termination of the employment or the termination itself is
declared illegal, the employee is entitled to receive reinstatement and full backwages (Art. 279, Labor Code).
If reinstatement is no longer possible where the dismissal was unjust, separation pay may be granted.

***END OF EXAMINATION***

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