February 2006

Case Nature Law Ruling

February 02, 2006
NATIONAL ASSOCIATION Petition for RA 9136 The Court declared ERC Order dated
OF ELECTRICITY Certiorari for (Electric June 2, 2004 in ERC Case No. 2004-
CONSUMERS FOR lack of the Industry 112 VOID because such order,
REFORMS (NASECORE), requisite Reform Act of approving the increase of Respondent
represented by PETRONILO publication of 2001) and its MERALCOs generation charge
ILAGAN, et. al. v. ENERGY the application IRR effective immediately, was made
REGULATORY or motion for without giving the consumers any
COMMISSION (ERC) and provisional rate opportunity to file their comments
MANILA ELECTRIC adjustment. thereon in violation of Section 4(e),
COMPANY (MERALCO) Rule 3 of the IRR of the EPIRA. Said
G.R. No. 163935 section introduced important
requirements among those are: first,
the publication of the application itself,
not merely the notice of hearing issued
by the ERC, in a newspaper of general
circulation in the locality where the
applicant operates and; second, the
need for the ERC to consider the
comments or pleadings of the
customers and LGU concerned in its
action on the application or motion for
provisional rate adjustment.
February 06, 2006
DEUTSCHE BANK Petition for Rule 64 of the The Court ruled that the trial court in
MANILA v. SPOUSES Certiorari for Rules of Court its ruling on the admissibility of its
CHUA YOK SEE and admitting documentary exhibits did not commit
REBECCA SEE, JOMIRA documentary grave abuse of discretion. Not every
CORPORATION, F.E.E. exhibits only as error in proceeding or every erroneous
INTERNATIONAL part of the conclusion of law or fact is abuse of
PHILIPPINES, INC., testimonies of discretion. A ruling on the admission of
JOSEFINA LIM, LUCITA L. the witnesses evidence, even if wrong, is not an
KHO, and LILY L. CO who abuse of discretion but simply an
G.R. No. 165606 respectively erroneous ruling. As long as the trial
testified therein court acts within its jurisdiction, any
alleged error committed in the exercise
of its discretion will amount to nothing
more than mere errors of judgments,
correctible by an appeal and not by a
petition for certiorari.
JAN-DEC Complaint for Law on The Court dismissed the petition
CONSTRUCTION sum of money Obligations holding that neither Art. 2242 of the
CORPORATION v. COURT and enforcement and Contracts Civil Code nor the enforcement of the
OF APPEALS and FOOD of contractors lien is applicable, because said
TERMINAL, INC. lien provision applies only to cases in
G.R. No. 146818 which there are several creditors
carrying on a legal action against an
insolvent debtor. Respondent is not a
debtor of the petitioner. Respondent is
not a party to the Construction
Agreement between petitioner and
Intermodal.
February 09, 2006
BOSTON BANK OF THE Complaint for Law on Sales The Court reversed Court of Appeals
PHILIPPINES, (formerly Specific decision holding that a contract of sale
BANK OF COMMERCE) v. Performance is perfected at the moment there is a
PERLA P. MANALO and and Damages meeting of the minds upon the thing
CARLOS MANALO, JR. which is the object of the contract and
G.R. No. 158149
UNION INDUSTRIES, INC.
v. GASPAR VALES and
PRUDENCIO CERDENIA
G.R. No. 140102
MARICALUM MINING
CORPORATION v. HON.
ARTURO BRION in his
official capacity as Acting
Secretary of Labor and
Employment and the
NATIONAL MINES AND
ALLIED WORKERS
UNION (NAMAWU Local
103)
G.R. No. 157696-97
February 10, 2006
ALLGEMEINE-BAU-
CHEMIE PHILS., INC. v.
METROPOLITAN BANK &
the price. A definite agreement as to
the price is an essential element of a
binding agreement to sell personal or
real property because it seriously
affects the rights and obligations of the
parties. However, it is not enough for
the parties to agree on the price of the
property. The parties must also agree
on the manner of payment of the price
of the property to give rise to a binding
and enforceable contract of sale or
contract to sell. This is so because the
agreement as to the manner of payment
goes into the price, such that a
disagreement on the manner of
payment is tantamount to a failure to
agree on the price.
Illegal Rule 45 of the The Court affirmed the Court of
Dismissal Rules of Court Appeals decision which affirmed the
NLRC and Labor Arbiters decision of
dismissing the complaint for illegal
dismissal but ordered the payment of
separation of benefits. As a rule,
factual findings of the Labor Arbiter,
when affirmed by the NLRC and the
Court of Appeals, are binding on this
Court. It is not our function to analyze
or weigh all over again the evidence
already considered in the proceedings
below. Our jurisdiction in a petition for
review under Rule 45 of the Rules of
Court is limited to reviewing only
errors of law.
Petition for Remedial Law The Order that we sustained in the
Certiorari for foregoing fallo is the Quisumbing
the order and Order which is dated July 30, 1997 and
issuance of a definitely not the Trajano Order which
writ of is dated April 17, 1998. Even if we did
execution based not explicitly annul the Trajano Order,
on the nevertheless, the tenor of the
Quisumbing Resolutions dispositive portion
Order and not indubitably decreed that we sustained
on the recent the order dated July 30, 1997 or the
Trajano Order Quisumbing Order. Indeed, it is the
dispositive part of the judgment that
actually settles and declares the rights
and obligations of the parties finally,
definitively, authoritatively,
notwithstanding the existence of
inconsistent statements in the body that
may tend to confuse. It is the
dispositive part that controls, for
purposes of execution. Hence, there is
no doubt that it was the Quisumbing
order, not the Trajano order, that we
upheld in our Resolution and which
should be the basis of the writ of
execution.
Petition for Rule 58 of the An original action for injunction is
issuance of a Rules of Court outside the jurisdiction of the Court of
Writ of and Batas Appeals, however. Under B.P. 129, the
TRUST CO., HONORABLE Preliminary Pambansa Blg. appellate court has original jurisdiction
N.C. PERELLO, Presiding Injunction 129 only over actions for annulment of
Judge of the REGIONAL judgments of the RTCs and has
TRIAL COURT- original jurisdiction to issue writs of
MUNTINLUPA, BRANCH mandamus, prohibition, certiorari,
276 and SHERIFF FELIX habeas corpus and quo warranto, and
FALCOTELLO auxiliary writs or processed whether or
G.R. No. 159296 not they are in aid of its appellate
jurisdiction.
PAN PACIFIC Action for Law on Deeply embedded in our jurisprudence
INDUSTRIAL SALES CO., nullification or Evidence is the rule that notarial documents
INC. v. COURT OF rescission of celebrated with all the legal requisites
APPEALS and NICOLAS Deeds of under the safeguard of a notarial
CAPISTRANO Absolute Sale certificate is evidence of a high
G.R. No. 125283 character and to overcome its recitals,
it is incumbent upon the party
challenging it to prove his claim with
clear, convincing and more than
merely preponderant evidence. The
burden of proof to overcome the
presumption of due execution of a
notarial document lies on the one
contesting the same. Furthermore, an
allegation of forgery must be proved
by clear and convincing evidence, and
whoever alleges it has the burden of
proving the same.
February 13, 2006
ROLANDO LIMPO v. Complaint for Law on It is settled that a compromise
COURT OF APPEALS and Sum of Money Contracts agreement cannot bind persons who
SECURITY BANK AND are not parties to it. This rule is based
TRUST COMPANY on Article 1311 (1) of the Civil Code
G.R. No. 144732 which provides that contracts take
effect only between the parties, their
assigns, and heirs x x x x. The sound
reason for the exclusion of non-parties
to an agreement is the absence of a
vinculum or juridical tie which is the
efficient cause for the establishment of
an obligation. In the Compromise
Agreement that was presented to the
trial court, there is no question that
only the Spouses Uy and the Bank
were parties. Limpo did not participate
in its execution and there was no
reference to him in any of its
provisions. He cannot be bound by the
Compromise Agreement.
Thus, a decision that fails to expressly
mention the liability of one of the
defendants will be taken to mean that
he has been absolved in that case.
From this pronouncement, the failure
to mention Limpo in the judgment of
the RTC of Pasig will correspondingly
mean his absence of liability to the
Bank. As this implied declaration
became final with the approval of the
Compromise Agreement, the Court of
Appeals instruction to continue the
proceedings against Limpo in Civil
Case No. 62226 amount to an
 alteration of a matter that is already res
judicata.
SPOUSES CRISOLOGO Complaint for Rules on Civil An action may be dismissed when
ABINES and PRISCILLA O. collection of Procedure there is another action pending
ABINES v. BANK OF THE sum of money between the same parties for the same
PHILIPPINE ISLANDS and and damages cause. This ground for dismissal is
BPI FAMILY BANK commonly known as litis pendentia,
G.R. No. 167900 the requisites of which are: (a) identity
of parties or at least such as
representing the same interests in both
actions; (b) identity of rights asserted
and reliefs prayed for, the relief being
founded on the same facts; and (c) the
identity of the two cases should be
such that the judgment that may be
rendered in one would, regardless of
which party is successful, amounts to
res judicata in the other.
The resolution of both cases revolve on
the validity and enforceability of the
promissory notes and real estate
mortgages and foreclosure
proceedings. A judgment in the
COLLECTION CASE will be res
judicata in the REFORMATION
CASE and vice versa. The same
evidence would be presented and the
same subject matter would be litigated.
February 16, 2006
PHILIPPINE PORTS Petition for EO No. 159 What is clear from Section 1, which is
AUTHORITY and JUAN O. Certiorari (Reverting to cited by petitioners as legal basis of
PEA, ARTURO S. seeking to annul the Philippine their claim, is that all revenues of the
BERNARDINO and the Decision of Ports Authority Philippine Ports Authority generated
VICENTE D. RAMOS, for the Commission its Corporate from the administration of its port of
their own and in behalf of the on Audit Autonomy, port-oriented services and from
PPA Officials and Employees disallowing the ensuring the whatever sources shall be utilized
v. COMMISSION ON grant of hazard rapid exclusively for the operations of the
AUDIT duty pay and development Philippine Ports Authority as well as
G.R. No. 159200 birthday cash of ports or the for the maintenance, improvement and
gift to officials port systems development of its port facilities.
and employees directly under Nowhere in the above provisions can it
of Philippine it, and be found that the PPA Board of
Ports Authority authorizing it Directors is authorized to grant
to execute port additional compensation, allowances or
projects under benefits to the employees of the PPA.
its port Neither does PD No. 857, otherwise
program) known as the Revised Charter of the
Philippine Ports Authority, authorize
PPA or its Board of Directors to grant
additional compensation, allowances or
benefits to PPA employees. Hence,
PPA grant of birthday cash gift in 1998
per PPA Memorandum Circular No.
22-97 is without legal basis. Petitioners
also cannot use PPAs corporate
autonomy under EO No. 159 to justify
PPAs grant of the hazard duty pay in
the first semester of 1997.
JOSE TEOFILO T. Contempt Freedom of A person charged with contempt of
MERCADO and MA. speech and court for his utterances which clearly
AGNES R. MERCADO v. privacy of constitute contempt may not ordinarily
SECURITY BANK communicatio escape liability by merely invoking the
CORPORATION
G.R. No. 160445
February 17, 2006
FIL-ESTATE
MANAGEMENT INC.,
MEGATOP REALTY
DEVELOPMENT, INC.,
PEAKSUN ENTERPRISES
AND EXPORT CORP.,
ARTURO DY, AND ELENA
DY JAO v. GEORGE H.
TRONO, MA. TERESA
TRONO, MA. VIRGINIA
TRONO, JESSE TRONO,
MA. CRISTINA TRONO,
PATRICIA TRONO, MA.
DIVINA TRONO,
INOCENCIO TRONO, JR.,
CARMEN TRONO and
ZENAIDA TRONO
G.R. No. 130871
February 20, 2006
HON. EXECUTIVE
SECRETARY, HON.
SECRETARY OF THE
DEPARTMENT OF
TRANSPORTATION AND
COMMUNICATION
(DOTC),
COMMISSIONEER OF
CUSTOMES, ASSISTANT
SECRETARY, LAND
TRANSPORTATION
OFFICE (LTO),
COLLECTOR OF
CUSTOMS, SUBIC BAY
FREE PORT ZONE, AND
CHIEF OF LTO, SUBIC
BAY FREE PORT ZONE v.
SOUTHWING HEAVY
INDUSTRIES, INC.,
represented by its President
JOSE T. DIZON, UNITED
AUCTIONEERS, INC.,
represented by its President
DOMINIC SYTIN, and
n constitutional guaranty of freedom of
speech. Liberty of speech must not be
confused with abuse of such liberty.
When he attributed those
contemptuous remarks to Chief Justice
Davide and the ponente, Mercado
abused such liberty. His statements cast
aspersions to their reputation and
integrity and create distrust to the
Judiciary.
Land PD 1529 Respondents application for
Registration (Property registration of a parcel of land already
Registration covered by a Torrens title is actually a
Decree) collateral attack against petitioners title
not permitted under the principle of
indefeasibility of a Torrens title. It is
well settled that a Torrens title cannot
be collaterally attacked; the issue on
the validity of the title, i.e., whether or
not it was fraudulently issued, can only
be raised in an action expressly
instituted for the purpose. Hence,
whether or not respondents have the
right to claim title over the property in
question is beyond the province of the
instant proceeding. That should be
threshed out in a proper action. It has
been invariably stated that the real
purpose of the Torrens System is to
quiet title to land and to stop forever
any question as to its legality. Once a
title is registered, the owner may rest
secure, without the necessity of waiting
in the portals of the court, or sitting on
the mirador su casa to avoid the
possibility of losing his land.
Constitutionalit RA 7227 The proscription in the importation of
y of Article 2, (Philippine used motor vehicles should be
Section 3.1 of Bases operative only outside the Freeport and
Executive Order Conversion the inclusion of said zone within the
No. 156 and ambit of the prohibition is an invalid
Development modification of RA 7227. Indeed,
Act) and its when the application of an
IRR administrative issuance modifies
existing laws or exceeds the intended
scope, as in the instant case, the
issuance becomes void, not only for
being ultra vires, but also for being
unreasonable.
Furthermore, the importation ban
should be declared void for its too
sweeping and unnecessary application
to the Freeport which has no bearing
on the objective of the prohibition. If
the aim of the EO is to prevent the
entry of used motor vehicles from the
Freeport to the customs territory, the
solution is not to forbid entry of these
vehicles into the Freeport, but to
intensify governmental campaign and
MICROVAN, INC., measures to thwart illegal ingress of
represented by its President used motor vehicles into the customs
MARIANO C. SONON territory.
G.R. No. 164171/G.R. No.
164172/G.R. No. 168741
MONEYTREND LENDING Complaint for Rule on Civil In a long line of decision, the Court has
CORPORATION, Annulment of Procedure in repeatedly held that, while the rules of
MERCANTILE CREDIT Documents, relation to procedure are liberally construed, the
RESOURCES Real Estate period of filing provisions on reglementary periods are
CORPORATION, RMJ Mortgages, of pleadings strictly applied, indispensable as they
AGRO-INDUSTRIAL Promissory are to the prevention of needless delays
DEVELOPMENT Notes and and are necessary to the orderly and
CORPORATION and Annulment of speedy discharge of judicial business.
PROVINCIAL SHERIFF OF Foreclosure The same is true with respect to the
AKLAN v. COURT OF Proceedings rules on the manner and periods for
APPEALS, THE HEIRS OF perfecting appeals. It bears stressing
SOTERANIA SIEL that the time perfection of an appeal is
G.R. No. 165580 a mandatory requirement not to be
trifled with as a mere technicality to
suit the interest of a party. The rules on
periods for filing appeals are to be
observed religiously and the parties
who seek to avail themselves of the
privilege must comply with the rules.
The failure to perfect an appeal as
required by law renders the judgment
final, immutable and executor.
POSEIDON Complaint for Art. 280 of the In fine, inasmuch as private
FISHING/TERRY DE Illegal Labor Code respondents functions as described
JESUS v. NATIONAL Dismissal above are no doubt usually necessary
LABOR RELATIONS or desirable in the usual business or
COMMISSION and JIMMY trade of petitioner fishing company and
S. ESTOQUIA he was hired continuously for 12 years
G.R. No. 168052 for the same nature of tasks, we are
constrained to say that he belongs to
the ilk of regular employee. Being one,
private respondents dismissal without
valid cause was illegal. And, where
illegal dismissal is prove, the worker is
entitled to back wages and other
similar benefits without deductions or
conditions.
WESTMONT Complaint for Labor Law on In constructive dismissal, the employer
PHARMACEUTICALS Illegal Termination of has the burden of proving that the
INC., UNITED Dismissal Employment transfer of an employee is for just and
LABORATORIES, INC., valid grounds, such as genuine
and/or JOSE YAO business necessity. The employer must
CAMPOS, CARLOS be able to show that the transfer is not
EJERCITO, ERNESTO unreasonable, inconvenient, or
SALAZAR, ELIEZER prejudicial to the employee. It must not
SALAZAR, JOSE involve a demotion in rank or a
SOLIDUM, JR. v. diminution of salary and other benefits.
RICARDO C. SAMANIEGO If the employer cannot overcome this
G.R. Nos. 146653-54/G.R. burden of proof, the employees transfer
Nos. 147407-08 shall be tantamount to unlawful
constructive dismissal.
There may also be constructive
dismissal if an act of clear insensibility
or disdain by an employer becomes so
unbearable on the part of the employee
that it could foreclose any choice by
him except to forego his continued
 employment. This was what happened
to Samaniego. Thus, he is entitled to
reinstatement without loss of seniority
rights, full backwages, inclusive of
allowances and other benefits or their
monetary equivalent, computed from
the time his compensation was
withheld from him up to the time of his
actual reinstatement.
February 22, 2006
PHILIPPINE CARPET Illegal Labor Law on The retrenchment effected by
EMPLOYEES Dismissal and Termination of respondent corporation is invalid due
ASSOCIATION (PHILCEA), Union Busting Employment to a substantive defect, noncompliance
for and in behalf of its 77 with the substantial requirements to
Members Affected v. HON. effect a valid retrenchment; it
PATRICIA STO. TOMAS, necessarily follows that the termination
SECRETARY OF LABOR of the employment of petitioners
AND EMPLOYMENT, union members on such ground is,
PHILIPPINE CARPET likewise, illegal. As such, they
MANUFACTURING (petitioner union members) are entitled
CORPORATION, to reinstatement with full backwages.
PATRICIO LIM, EVELYN However, in the case of those
LIM FORBES, RAFAEL employees-members of Petitioner
VILLAREAL and MANUEL Union who have received their
IKE DIAZ respective separation pay, the amount
G.R. No. 168719 of such payments shall be deducted
from the backwages due them. Where
reinstatement is no longer feasible
because the positions they previously
held no longer exits, respondent
Corporation shall pay the employees-
members of petitioner union
backwages plus, in lieu of
reinstatement, separation pay
equivalent to one-month pay or one-
half month pay for every year of
service, whichever is higher.
February 23, 2006
REPUBLIC PLANTERS Complaint for Art. 2199 of To prove actual damages, the best
BANK v. RICARDO O. breach of the Civil Code evidence available to the injured party
MONTINOLA, JR. and contract and must be presented: the court cannot
RAMON MONFORT damages rely on uncorroborated testimony
G.R. No. 134728/G.R. No. whose truth is suspect nut must depend
134794 upon competent proof that such
damages have been actually suffered. x
x x x The Civil Code, in its Art. 2199
expressly stated that except as
provided by law or by stipulation, one
is entitled to an adequate compensation
only by such pecuniary loss suffered
by him as he has duly proved. x x x x
The reduced amount of actual damages
awarded by the CA complies with the
foregoing provision, being the
adequate compensation for the
pecuniary loss which petitioners could
have possibly suffered under the
circumstances established by the
evidence proffered. Anything over and
above such amount would definitely
result in their unjust enrichment at the
expense of RPB. The court will not

February 27, 2006
EDWIN SALUSIANO
MATUTINA v.
PHIILIPPINE NATIONAL
BANK
G.R. No. 165570
ABACUS SECURITIES
CORPORATION v. RUBEN
U. AMPIL
G.R. No. 160016
INTERNATIONAL
EXCHANGE BANK v. HON.
COURT OF APPEALS, THE
HON. ANTONIO M.
ESTEVES, in his capacity as
the Presiding Judge of RTC
Branch V, Bagio City, and
AYALA LAND
INCORPORATED
G.R. No. 165403
allow such inequitable situation.
Complaint for Finding that the requisites for a writ of
annulment of preliminary injunction to issue, to wit:
mortgage with (1) that the complainant has a clear
prayer for the legal right; (2) that his right has been
issuance of a violated and the invasion is material
TRO and and substantial; and (3) there is an
preliminary urgent and permanent necessity for the
injunction writ to prevent serious damage, were
not present as the trial court simply
adopted the general allegations of the
[herein petitioner] in his Complaint
which were not supported by proof x x
x x.
Complaint for Section 23 and Otherwise stated, the margin
sum of money 25 of the requirements set out in the RSA are
Revised primarily intended to achieve a
Securities Act macroeconomic purpose -- the
protection of the overall economy from
excessive speculation in
securities. Their recognized secondary
purpose is to protect small investors.
The law places the burden of
compliance with margin requirements
primarily upon the brokers and
dealers. Sections 23 and 25 and Rule
25-1, otherwise known as the
mandatory close-out rule, clearly vest
upon petitioner the obligation, not just
the right, to cancel or otherwise
liquidate a customers order, if
payment is not received within three
days from the date of purchase. The
word shall as opposed to the word may,
is imperative and operates to impose a
duty, which may be legally
enforced. For transactions
subsequent to an unpaid order, the
broker should require its customer to
deposit funds into the account
sufficient to cover each purchase
transaction prior to its execution. These
duties are imposed upon the broker to
ensure faithful compliance with the
margin requirements of the law, which
forbids a broker from extending undue
credit to a customer.
Action for Rule 45 and Petitioners Petition
Quieting of Title Rule 65 of the for Certiorari should be dismissed for
and/or Removal Rules of Court adopting the wrong mode of
of Annotations appeal. Petitioner received the Court of
Appeals resolution denying its Motion
for Reconsideration on 19 August
2004. Petitioners remedy should have
been to appeal before this Court from
the resolution of the appellate court by
filing a petition for review
on certiorari under Rule 45 of the
Rules of Civil Procedure within 15
days from receipt of said
resolution. Instead, on 13 October
 2004, or 55 days after receipt of said
resolution, petitioner filed before this
Court its Motion for Extension of Time
to File Petition for Certiorari praying
that it be given an extension of 15 days
within which to file its
petition. Presumably, petitioner
resorted to this special civil action
because it had failed to take an appeal
within the 15-day reglementary period
which expired on 03 September 2004.
This Court has already
elucidated in numerous cases that the
special civil action for certiorari cannot
be used as a substitute for an appeal
which the petitioner already lost. We
have time and again reminded
members of the bench and bar that a
special civil action for certiorari under
Rule 65 lies only when there is no
appeal nor plain, speedy and adequate
remedy in the ordinary course of
law. Certiorari cannot be allowed
when a party to a case fails to appeal a
judgment to the proper forum despite
the availability of that
remedy, certiorari not being a
substitute for lost appeal.
SOCIAL SECURITY Claim for SSS Art. 164 of the
SYSTEM v. ROSANNA H. death benefits Family Code It bears stressing that under Art. 164 of
AGUAS, JANET H. AGUAS, the Family Code, children conceived or
and minor JEYLNN H. born during the marriage of the parents
AGUAS, represented by her are legitimate.
Legal Guardian, ROSANNA
H. AGUAS Indeed, impugning the legitimacy of a
G.R. No. 165546 child is a strictly personal right of the
husband or, in exceptional cases, his
heirs. In this case, there is no showing
that Pablo challenged the legitimacy of
Jeylnn during his lifetime. Hence,
Jeylnns status as a legitimate child of
Pablo can no longer be contested.

The presumption that Jeylnn is a

legitimate child is buttressed by her
birth certificate bearing Pablos
signature, which was verified from his
specimen signature on file with
petitioner. A birth certificate signed by
the father is a competent evidence of
paternity.

The presumption of legitimacy under

Article 164, however, can not extend to
Janet because her date of birth was not
substantially proven. Such presumption
may be availed only upon convincing
proof of the factual basis
therefor, i.e., that the childs parents
were legally married and that his/her
conception or birth occurred during the
subsistence of that marriage. It should
be noted that respondents likewise
 submitted a photocopy of Janets
alleged birth certificate. However, the
Court cannot give said birth certificate
the same probative weight as Jeylnns
because it was not verified in any way
by the civil register. It stands as a mere
photocopy, without probative weight.

Unlike Jeylnn, there was no

confirmation by the civil register of the
fact of Janets birth on the date stated in
the certificate.

In any case, a record of birth is

merely prima facie evidence of the
facts contained therein. Here, the
witnesses were unanimous in saying
that Janet was not the real child but
merely adopted by Rosanna and
Pablo. Leticia also testified that Janets
adoption did not undergo any legal
proceedings; hence, there were no
papers to prove it. Under Section 8(e)
of Republic Act No. 1161, as amended,
only legally adopted children are
considered dependent children. Absent
any proof that the family has legally
adopted Janet, the Court cannot
consider her a dependent child of
Pablo, hence, not a primary
beneficiary.
February 28, 2006
TELENGTAN BROTHERS Action for Art. 1250 of Extraordinary inflation or deflation, as
& SONS, INC. v. UNITED payment of the Civil Code the case may be, exists when there is
STATES LINES, INC. and demurrage an unusual increase or decrease in the
the COURT OF APPEALS charges purchasing power of the Philippine
G.R. No. 132284 peso which is beyond the common
fluctuation in the value of said
currency, and such increase or decrease
could not have been reasonably
foreseen or was manifestly beyond the
contemplation of the parties at the time
of the establishment of the
obligation. Extraordinary inflation can
never be assumed; he who alleges the
existence of such phenomenon must
prove the same.
The Court holds that there has been no
extraordinary inflation within the
meaning of Article 1250 of the Civil
Code. Accordingly, there is no
plausible reason for ordering the
payment of an obligation in an amount
different from what has been agreed
upon because of the purported
supervention of extraordinary inflation.
ELSA TAGUNICAR and Complaint for Act 3135 (Act
EMERSON TAGUNICAR v. sum of money to Regulate the Section 3 of Act No. 3135, as amended
LORNA EXPRESS CREDIT Sale of provides that notice shall be given by
CORP. Property under posting notices of the sale for not less
G.R. No. 138592 Special Powers than twenty days in at least three
 inserted in or
annexed to real public places of the municipality or
estate city where the property is situated, and
mortgages) if such property is worth more than
four hundred pesos, such notice shall
also be published once a week for at
least three consecutive weeks in a
newspaper of general circulation in the
municipality or city.

The language of the above law is clear,

explicit and unequivocal. It admits no
room for interpretation. This is a basic
legal precept.

Records show that the notice of auction

sale was posted in three public places
in the Municipality of Taguig and
Pasig City. The said notice was
published once a week for three
consecutive weeks or on October 4, 11
and 18, 1997 in Bongga, a newspaper
of general circulation. Thus, the
mandatory requirements of notice and
publication were complied with.
TPI PHILIPPINES Complaint for Art. 283 of the As mandated by Article 283 of the
CEMENT CORPORATION, Illegal Labor Code Labor Code, the employer shall serve
TPI PHILIPPINES VINYL Dismissal on the worker and the DOLE notice of
CORPORATION and THUN retrenchment to prevent losses, at least
TRITASAVIT v. one month before the intended date
BENEDICTO A. CAJUCOM thereof.
VII Records show that on December 3,
G.R. No. 149138 1998, petitioners sent respondent and
the DOLE separate notices of
retrenchment effective December 30,
1988. Following the provision of
Article 283, these notices should have
been served one month before, or
on November 30, 1998. Clearly,
petitioners failed to comply with the
one-month notice requirement.
NICANOR T. SANTOS
DEVELOPMENT
CORPORATION v. HON.
SECRETARY,
DEPARTMENT OF
AGRARIAN REFORM,
DAR ADJUDICATION
BOARD & MUNICIPAL
AGRARIAN REFORM
OFFICE (ANDREA F.
DALMACIO), TUBA,
BENGUET
G.R. No. 159654