JD 5 0 2: O B L I GA T IO N S a n d C O N T RA C T S w i t h S A LE S

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LO C S I N V . ME K EN I
[ GR N O . 19 2 1 05, 09 D E C E M B E R 2 013 ]
P o ne nt e: C A S T IL L O , J.

FACTS:
A nt o n i o L o cs i n I I wa s t h e R e g i o n a l Sa l es M an a g e r o f M ek e n i Fo o d
C o rp o rat i o n. H e w as t o o v e rs e e t h e N a ti on a l C a p it a l R eg i o n an d L u z on
op e ra ti o n s . I n a dd it i o n t o h i s c o m p e ns at io n a nd b e n e f i ts p ac kag e, a c ar w as
of f e re d t o hi m un d e r w h i c h o ne- h a l f of t he co s t o f t h e v e h ic l e is t o be p a id b y
t h e c om p a n y an d th e o th e r ha l f t o b e d e d u ct e d f ro m L oc s i n' s s a la ry. T h e ca r
w as va l ue d a t P hP 2 8 0, 00 0 w h i c h L ocs i n p a i d t h r o ug h s a l a ry d e du ct i o n s o f
5, 0 00 p er m o nt h.
T wo y ea rs a f t e r b ei n g h i red , L o cs in res ig n e d. A t o ta l of 11 2 ,5 0 0.0 0 h a d
al r ea d y be e n de d uc t e d f r om h is m on th l y s a la ry a n d a p p li e d as pa rt of h i s
s ha r e in t h e ca r p la n. U p on r es ig n at io n, L oc s i n ma d e p ers o na l an d w ri tt en
fo l lo w -u ps reg a r di n g h is u n p a i d s a l ar i es , c o m mi s s i o ns , b e n e fi t s , a n d of f e r to
pu rc h a s e h is s e rv ic e ve h ic l e. L at e r, L o c s i n fi l e d a ga i ns t M ek e n i a n d/ o r i t s
P r es i d e nt , P ru d e nc i o S . G a rc ia , a C om p l ai n t f o r t h e r eco v er y o f m o n et a ry
cl ai ms c o ns is t i n g of u n p a i d s a l a ri es , co m m is s i o n s , s ic k/v ac at i on l ea v e
b en e f it s , a n d re c o ve ry o f mo n t h ly s a la ry d ed uc t i on s w h ic h w er e ea r ma rke d
fo r h i s c os t -s ha r i ng i n t he ca r p l a n.
L a bo r A rb it er d i re c t e d Me ke n i t o t u rn o ve r t o L o cs i n, t h e s u bj ect ve h ic l e
up o n L oc s i n ’s pa ym en t t o t he m. T h e A rb it e r's D e c i s i o n w as re v ers e d by t h e
N L RC . Th e C o urt o f A p pe a ls re v ers e d t h e de cis i o n o n t h e g r o u n d t hat N L RC
has n o j u ri s d i ct i o n o ve r t h e c a s e.

IS S UE:
W he th e r L ac s o n is e n t i t le d t o a re f u n d o f a l l t h e a m ou nt s ap p li e d t o t h e
co s t o f t h e s e rv ic e v eh ic l e u n d er t he c a r p la n .

H E LD : YE S
Un d er A r t i cl e 2 2 o f t he C iv i l C o d e, “ e ve ry p er s o n w h o t h ro ug h a n act o f
p er f o r ma nc e b y a n o t h er, o r a n y ot h e r m ea n s , ac qu i res o r c o me s i nt o
po s s es s i o n o f s om et h in g a t t he e x p en s e o f th e la t t e r w it ho ut j us t o r l e g a l
gr o u n d, s ha l l re tu r n t h e s a m e t o h i m. " A rt ic le 2 14 2 o f t h e s a me C o d e l i k ew is e
cl ari fi es t h at t h er e a re c ert a in l a w fu l, vo l unt a ry, a n d u ni l at eral ac t s w h ic h
gi ve r is e t o t h e ju r i d i c a l re la t i on o f qu a s i -co nt rac t , t o t he e n d t h a t no o ne
s ha l l b e u nju s t l y e nr ic h e d o r be n ef it e d a t th e e xp e ns e o f an o t h er. I n t h e
abs e nc e of s p ec i f i c t er ms a n d c on d i t i o n s g o ve r n in g t h e c ar p la n ar ran g em e nt
b et w e en L oc s in a n d M ek e ni, a q u a s i -c o n tra ct u a l re la t i o ns h i p was c re at ed
b et w e en t h e m. C o ns e qu en t l y, M ek en i m ay n o t en r ic h it s el f by c ha rg i ng
L acs o n f o r t h e us e o f it s v e h ic le w h ic h i s ot he rw i s e n ec es s a ry f o r t h e f ul l an d
ef f ec t iv e p ro m o ti o n of i ts b u s in es s . It m ay n o t, u n d er t h e c l ai m t h at L o cs i n's
pa y me nt s co ns t i t ut e re nt s f or t h e us e o f t he v eh i c l e. G iv en t h e v as t t e r rit o ry,
he h a d t o c ov e r t o b e a b l e t o p e r fo rm hi s wo r k e f fe ct i v el y an d g e n er at e
bu s i n es s f o r h i s e m p lo ye r, t h e s e rv ic e v eh ic l e wa s a n a b s o l ut e n ec es s it y, o r
el s e M ek e n i' s bu s i n e s s w o u l d s u ff e r a d ve rs el y. T hu s , it is c l e a r t h a t w h i l e
L oc s i n w a s p ay i ng f or h a lf of t he v eh i c l e's va l u e, M ek e n i w a s rea p i n g t h e f u ll
b en e f it s f ro m t h e us e t he r eo f .

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