Northwest Airlines vs CA

FACTS: Northwest Airlines and Sharp entered into an International Passenger Sales Agency
Agreement, whereby the former authorized the latter to sell its air transportation tickets.
Attempts of service were unsuccessful, the judge of the Tokyo District Court decided to have the
complaint and the writs of summons served at the head office of the defendant in Manila. The
Director of the Tokyo District Court requested the Supreme Court of Japan to serve the summons
through diplomatic channels upon the defendant’s head office in Manila.
Despite receipt of the summons, defendant failed to appear at the scheduled hearing. Thus, the
Tokyo Court proceeded to hear the plaintiff’s complaint and, rendered judgment ordering the
defendant to pay the plaintiff for damages for delay.
ISSUE: Whether the doctrine of processual presumption applies in this case?
HELD: YES

In as much as SHARP was admittedly doing business in Japan through its four duly registered
branches at the time the collection suit against it was filed, then in the light of the processual
presumption, SHARP may be deemed a resident of Japan, and, as such, was amenable to the
jurisdiction of the courts therein and may be deemed to have assented to the said courts' lawful
methods of serving process.

Accordingly, the extraterritorial service of summons on it by the Japanese Court was valid not
only under the processual presumption but also because of the presumption of regularity of
performance of official duty.