CORPORATION LAW (LAW 106) 2nd Semester, AY 2013-2014 THE CORPORATION CODE I.

GENERAL Read: I Campos, Chapters I (cases will not be discussed) and II (including cases) A. Definition (Sec. 2, Corp. Code) Concepts Theories on Formation Tayag v. Benguet Consolidated Inc. 26 SCRA 242 (1968) Tan Boon Bee & Co. Inc. v. Jarencio, 163 SCRA 205 (1988) PSE v. Court of Appeals, 281 SCRA 232 (1997)

B. Advantages and Disadvantages Stockholders of F. Guanzon and Sons, Inc. v. Register of Deeds of Manila, 6 SCRA 373 (1962) C. Distinguished from other entities Sole proprietorships Partnerships Pioneer Insurance v. Court of Appeals, 175 SCRA 668 (1989) Lim Tong Lim v. Philippine Fishing Gear Industries, Inc., 317 SCRA 728 (1999) Cooperatives (Article 3, R.A. No. 3968) Joint Ventures Business Trusts (Article 1442, Civil Code) Sociedad Anonimas Mead v. McCullough, 21 Phil. 95 (1911) Benguet Consolidated Mining Co. v. Pineda, 98 Phil. 711 (1956) Cuentas en participacion

D. Nature and Attributes (Sec. 16, Article XII, 1987 Constitution; Sec. 2, Corp. Code; Articles 44(3), 45, 46, and 1775, Civil Code) Read: Kiobel v. Royal Dutch Petroleum Co., 133 S. Ct. 1659, 185 L. Ed. 2d 671 (2013) [2013 BL 103044] and Amicus Curiae brief at http://sblog.s3.amazonaws.com/wpcontent/uploads/2011/10/Center-for-Constitutional-Rights-KiobelAmicus.pdf

Monfort Hermanos Agricultural Devt. Corp. v. Monfort III 434 SCRA 27 (2004) Smith Bell & Co. v. Natividad, 40 Phil. 144 (1920) Bache & Co v. Ruiz, 37 SCRA 823 (1971) Stonehill v. Diokno, 20 SCRA 383 (1967) Bataan Shipyard & Engineering v. PCGG, 150 SCRA 181 (1987) PNB v. CA, 83 SCRA 237 (1978) Ulep v. The Legal Clinic, 223 SCRA 378 (1993) Alfafara v. Acebedo Optical Company, 381 SCRA 293 (2002) West Coast Life Ins. Co. v. Hurd, 27 Phil. 401 (1914) People v. Tan Boon Kong, 54 Phil. 607 (1930)

Sia v. Court of Appeals, 121 SCRA 655 (1983) Ching v. Secretary of Justice, 481 SCRA 602 (2006) Consolidated Bank v. Court of Appeals, 356 SCRA 671 (2003). Prime White Cement Corp. v. IAC, 220 SCRA 103 (1993) Filipinas Broadcasting Network v. Ago Medical and Educational Center, 448 SCRA 413 (2005)

E. Kinds of Corporations 1. Vis--vis State: Public, quasi-public, private Boy Scouts of the Philippines v. COA, 651 SCRA 146 (2011) Marilao Water Consumers Association Inc. v. IAC, G.R. No. 72807, September 9, 1991 Shipside Inc. v. CA, 352 SCRA 334 (2001) Camparedondo v. NLRC, 312 SCRA 47 (1999) Strategic Alliance Devt Corp v. Radstock Securities Ltd., et al, 607 SCRA 413 (2009) PNOC-Energy Development Corp. v. NLRC, 201 SCRA 487 (1991) 2. As to place of incorporation: (Sec. 123) Domestic, foreign 3. As to purpose: (Sec. 88, 106-109, 116) municipal, religious, educational, charitable, scientific or vocational, business 4. As to number of members: (Sec. 110, 96) Corporation sole, close, aggregate Roman Catholic Apostolic Administrator of Davao, Inc. v. LRC, 102 Phil. 596 (1957) See also Republic v. IAC, 168 SCRA 165 (1988) 5. As to existence of shares: Stock (Sec. 3), Non-stock (Sec. 87-88) 6. As to legal status: de jure, de facto (Sec. 20), corporation by estoppel (Sec. 21) Read: I Campos, pp. 86-120 (including cases) Sawadjaan v. CA, 459 SCRA 516 (2005) Intl Express Travel v. CA, 343 SCRA 674 (2000)