SPECIAL COMMERCIAL COURTS

Medical Plaza Makati Condominium Corp. v. Cullen, G.R. No. 181416,

November 11, 2013

ISSUE:

Whether or not the controversy between the MPMCC and Cullen is

considered as intra-corporate issue or would fall within the jurisidction
of regular courts.

RULING:

The case involves intra-corporate controversy which arose from the

intra-corporate relations between the parties, and the questions
involved pertain to their rights and obligations under the Corporation
Code and matters relating to the regulation of the corporation.

In determining whether a dispute constitutes an intra-corporate

controversy, the Court uses two tests:
(1) The relationship test; and
(2) The nature of the controversy test.

An intra-corporate controversy is one which pertains to any of the

following relationships:
(1) between the corporation, partnership or association and the public;
(2) between the corporation, partnership or association and the State
insofar as its franchise, permit or license to operate is concerned;
(3) between the corporation, partnership or association and its
stockholders, partners, members or officers; and
(4) among the stockholders, partners or associates themselves.

Thus, under the relationship test, the existence of any of the above
intra-corporate relations makes the case intra-corporate.

The petitioner is a condominium corporation duly organized and

existing under Philippine laws, charged with the management of the
Medical Plaza Makati. Respondent, on the other hand, is the registered
owner of Unit No. 1201 and is thus a stockholder/member of the
condominium corporation. Hence, there is an intra-corporate
relationship between the corporation and a stockholder/member.