Professional Documents
Culture Documents
FACTS:
• Respondent Leandro Legaspi was employed as Utility Pastry • CA: The CA partially granted the petition for certiorari and
on board the vessel "Azamara Journey" under the employment of modified the assailed resolutions of the NLRC, awarding only
petitioner Philippine Transmarine Carriers, Inc. US$60,000.00 pursuant to the CBA between Celebrity Cruise Lines
• Legaspi’s employment was covered by a Collective and Federazione Italianaa Transporti CISL.
Bargaining Agreement (CBA) wherein it was agreed that the o Unaware of a) the September 5, 2010 entry of judgment of
company shall pay a maximum disability compensation of up to the NLRC, b) the October 22, 2010 payment of US$81,320.00, and c)
US$60,000.00 only. the writ of execution issued by the LA, the CA rendered its Decision,
• While on board the vessel, respondent suffered "Cardiac dated June 29, 2011.
Arrest S/P ICD Insertation." • Petitioner: since it had already paid the total amount of
• He was checked by the ship’s doctor and was prescribed US$89,452.00, it was entitled to the return of the excess payment in
medications. the amount of US$29,452.00.
• On November 14, 2008, respondent was repatriated to receive • CA: denied the motion and ruled that the petition should have
further medical treatment and examination. The company designated been dismissed for being moot and academic because:
physician assessed his condition to be Disability Grade 2. o the assailed decision of the NLRC had become final and
• Not satisfied, respondent filed a complaint for full and executory on September 5, 2010, and
permanent disability compensation against petitioner before the Labor o the said judgment had been satisfied on October 22, 2010,
Arbiter (LA). even before the filing of the petition for certiorari on November 8,
• LA: Ruled in favor of Legaspi (See Notes for awards) 2010
o Award was based on the ITF Cruise Ship Model Agreement o Cited Career Philippines Ship Management v. Geronimo
for Catering Personnel, not on the CBA. Madjus : the satisfaction of the monetary award rendered the petition
• Not satisfied, petitioner appealed the LA decision before the for certiorari moot.
NLRC • Petitioner filed a motion for reconsideration but it was denied
• NLRC: Affirmed the decision of the LA. by the CA in its assailed July 20, 2012 Resolution.
• Petitioner agreed to pay respondent US$81,320.00. The terms • Petitioner:
and conditions of said payment were embodied in the Receipt of o They filed its petition for certiorari within the 60-day
Judgment Award with Undertaking, wherein respondent reglementary period and, thus, the NLRC resolutions could not have
acknowledged receipt of the said amount and undertook to return it to attained finality
petitioner in the event the latter’s petition for certiorari would be Cites Delima v. Gois : NLRC cannot declare that a decision
granted. has become final and executory because the period to file the petition
o It was also agreed upon that the remaining balance would be has not yet expired
given on the next scheduled conference. The finality of the NLRC judgment did not render the petition
• On November 8, 2010, petitioner filed a petition for certiorari moot and academic because such is null and void ab initio
with the CA o The Receipt of the Judgment Award with Undertaking (which
• In the meantime, LA issued a writ of execution which noted was never refuted by respondent) clearly stated that the payment of
petitioner’s payment of the amount of US$81,320.00.
the judgment award was without prejudice to its right to file a petition Section 4 Rule XI of the 2011 NLRC Rules of Procedure, provides
for certiorari with CA that a petition for certiorari filed with the CA shall not stay the
Career Philippines (cited by CA) not applicable because not execution of the assailed decision unless a restraining order is issued.
on all fours with this case • Leonis Navigation case said:
Applicable case should be Leonis Navigation Co. Inc v. o “The CA, therefore, could grant the petition for certiorari if it
Villamater: satisfaction of the monetary award by the employer does finds that the NLRC, in its assailed decision or resolution, committed
not render the petition for certiorari moot before the CA grave abuse of discretion by capriciously, whimsically, or arbitrarily
• Respondent: reiterates the CA ruling; voluntary satisfaction disregarding evidence that is material to or decisive of the
by petitioner of the full judgment award rendered the case moot controversy; and it cannot make this determination without looking
into the evidence of the parties.”
RULING: Petition GRANTED o “Necessarily, the appellate court can only evaluate the
materiality or significance of the evidence, which is alleged to have
Whether or not petition for Certiorari is moot and academic—NO been capriciously, whimsically, or arbitrarily disregarded by the
• Section 14, Rule VII of the 2011 NLRC Rules of Procedure NLRC, in relation to all other evidence on record. Notably, if the CA
provides that decisions, resolutions or orders of the NLRC shall grants the petition and nullifies the decision or resolution of the
become final and executory after ten (10) calendar days from receipt NLRC on the ground of grave abuse of discretion amounting to
thereof by the parties, and entry of judgment shall be made upon the excess or lack of jurisdiction, the decision or resolution of the NLRC
expiration of the said period is, in contemplation of law, null and void ab initio; hence, the decision
• In St. Martin Funeral Home v. NLRC, however, it was ruled or resolution never became final and executory.”
that judicial review of decisions of the NLRC may be sought via a
petition for certiorari before the CA under Rule 65 of the Rules of NOTES:
Court; and under Section 4 thereof, petitioners are allowed sixty (60) • US$80,000.00 or its peso equivalent at the time of payment as
days from notice of the assailed order or resolution within which to permanent disability compensation; US$1,320.00 or its peso
file the petition. equivalent as sick wages;
• Hence, in cases where a petition for certiorari is filed after the
expiration of the 10-day period under the 2011 NLRC Rules of
Procedure but within the 60-day period under Rule 65 of the Rules of
Court, the CA can grant the petition and modify, nullify and reverse a
decision or resolution of the NLRC.
• Accordingly, in this case, although the petition for certiorari
was not filed within the 10-day period, petitioner timely filed it before
the CA within the 60-day reglementary period under Rule 65.
• Thus, CA’s review of the decisions or resolutions of the
NLRC under Rule 65, particularly those which have already been
executed, does not affect their statutory finality, considering that
CASE DIGEST: Abbott Laboratories Phil. et.al. v. Pearlie Ann F. (a) she will handle the staff of Hospira ALSU and will directly report
Alcaraz [G.R. No. 192571, July 23, 2013] to Almazar on matters regarding Hopira’s local operations,
Subject: Labor Law – Probationary employees – Standards to operational budget, and performance evaluation of the Hospira ALSU
qualify as a regular employee Staff who are on probationary status;
Decision (Perlas-Bernarbe, J.) (b) she must implement Abbott’s Code of Good Corporate Conduct
Dissent (Brion, J.) (Code of Conduct), office policies on human resources and finance,
FACTS: and ensure that Abbott will hire people who are fit in the
On June 27, 2004, Abbott Laboratories, Philippines (Abbott) caused organizational discipline;
the publication in a major broadsheet newspaper of its need for a (c) Kelly Walsh, Manager of the Literature Drug Surveillance Drug
Medical and Regulatory Affairs Manager who would: (a) be Safety of Hospira, will be her immediate supervisor;
responsible for drug safety surveillance operations, staffing, and (d) she should always coordinate with Abbott’s human resource
budget; (b) lead the development and implementation of standard officers in the management and discipline of the staff;
operating procedures/policies for drug safety surveillance and (e) Hospira ALSU will spin off from Abbott in early 2006 and will be
vigilance; and (c) act as the primary interface with internal and officially incorporated and known as Hospira, Philippines; and
external customers regarding safety operations and queries. (f) the processing of information and/or raw material data subject of
Alcaraz – who was then a Regulatory Affairs and Information Hospira ALSU operations will be strictly confined and controlled
Manager at Aventis Pasteur Philippines, Incorporated (another under the computer system and network being maintained and
pharmaceutical company like Abbott) – showed interest and operated from the United States. For this purpose, all those involved
submitted her application on October 4, 2004. in Hospira ALSU are required to use two identification cards: one, to
On December 7, 2004, Abbott formally offered Alcaraz the above- identify them as Abbott’s employees and another, to identify them as
mentioned position which was an item under the company’s Hospira Hospira employees.
Affiliate Local Surveillance Unit (ALSU) department. On March 3, 2005, Maria Olivia T. Yabut-Misa, Abbott’s Human
In Abbott’s offer sheet, it was stated that Alcaraz was to be Resources (HR) Director, sent Alcaraz an e-mail which contained
employed on a probationary basis. an explanation of the procedure for evaluating the performance
Later that day, she accepted the said offer and received an electronic of probationary employees and further indicated that Abbott had
mail (e-mail) from Abbott’s Recruitment Officer, Teresita C. only one evaluation system for all of its employees. Alcaraz was
Bernardo (Bernardo), confirming the same. Attached to Bernardo’s also given copies of Abbott’s Code of Conduct and Probationary
e-mail were Abbott’s organizational chart and a job description Performance Standards and Evaluation (PPSE) and Performance
of Alcaraz’s work. Excellence Orientation Modules (Performance Modules) which
On February 12, 2005, Alcaraz signed an employment contract she had to apply in line with her task of evaluating the Hospira
which stated that she was to be placed on probation for a period ALSU staff.
of six (6) months beginning February 15, 2005 to August 14, 2005. Abbott’s PPSE procedure mandates that the job performance of a
During Alcaraz’s pre-employment orientation, Allan G. Almazar, probationary employee should be formally reviewed and
Hospira’s Country Transition Manager, briefed her on her duties discussed with the employee at least twice: first on the third month
and responsibilities as Regulatory Affairs Manager: and second on the fifth month from the date of employment.
The necessary Performance Improvement Plan should also be terminated effective May 19, 2005. The letter detailed the reasons
made during the third-month review in case of a gap between the for Alcaraz’s termination – particularly, that Alcaraz:
employee’s performance and the standards set. These performance (a) did not manage her time effectively;
standards should be discussed in detail with the employee within (b) failed to gain the trust of her staff and to build an effective rapport
the first two (2) weeks on the job. It was equally required that a with them;
signed copy of the PPSE form must be submitted to Abbott’s (c) failed to train her staff effectively; and
Human Resources Department (HRD) and shall serve as (d) was not able to obtain the knowledge and ability to make sound
documentation of the employee’s performance during his/her judgments on case processing and article review which were
probationary period. This shall form the basis for recommending the necessary for the proper performance of her duties.
confirmation or termination of the probationary employment. Alcaraz felt that she was unjustly terminated from her employment
On April 20, 2005, Alcaraz had a meeting with Cecille Terrible, and thus, filed a complaint for illegal dismissal and damages against
Abbott’s former HR Director, to discuss certain issues regarding Abbott and its officers, namely, Misa, Bernardo, Almazar, Walsh,
staff performance standards. In the course thereof, Alcaraz Terrible, and Feist. She claimed that she should have already been
accidentally saw a printed copy of an e-mail sent by Walsh to considered as a regular and not a probationary employee given
some staff members which essentially contained queries regarding Abbott’s failure to inform her of the reasonable standards for her
the former’s job performance. Alcaraz asked if Walsh’s action regularization upon her engagement as required under Article
was the normal process of evaluation. Terrible said that it was 295 of the Labor Code. In this relation, she contended that while her
not. employment contract stated that she was to be engaged on a
On May 16, 2005, Alcaraz was called to a meeting with Walsh and probationary status, the same did not indicate the standards on
Terrible where she was informed that she failed to meet the which her regularization would be based. She further averred
regularization standards for the position of Regulatory Affairs that the individual petitioners maliciously connived to illegally
Manager. Thereafter, Walsh and Terrible requested Alcaraz to dismiss her when:
tender her resignation, else they be forced to terminate her (a) they threatened her with termination;
services. She was also told that, regardless of her choice, she (b) she was ordered not to enter company premises even if she was
should no longer report for work and was asked to surrender her still an employee thereof; and
office identification cards. She requested to be given one week to (c) they publicly announced that she already resigned in order to
decide on the same, but to no avail. humiliate her.
On May 17, 2005, Alcaraz told her administrative assistant, Claude Abbott maintained that Alcaraz was validly terminated from her
Gonzales (Gonzales), that she would be on leave for that probationary employment given her failure to satisfy the prescribed
day. However, Gonzales told her that Walsh and Terrible already standards for her regularization which were made known to her at the
announced to the whole Hospira ALSU staff that Alcaraz already time of her engagement.
resigned due to health reasons. The Labor Arbiter ruled in Abbott’s favor. The NLRC reversed,
On May 23, 2005, Walsh, Almazar, and Bernardo personally upholding Alcaraz’s allegations. The CA affirmed the NLRC
handed to Alcaraz a letter stating that her services had been decision.
ISSUES:
1) WON Alcaraz was sufficiently informed of the reasonable further notified that Abbott had only one evaluation system for all of
standards to qualify her as a regular employee its employees; and
MAJORITY: YES. Abbott clearly conveyed to Alcaraz her duties (h) Moreover, Alcaraz had previously worked for another
and responsibilities as Regulatory Affairs Manager prior to, during pharmaceutical company and had admitted to have an “extensive
the time of her engagement, and the incipient stages of her training and background” to acquire the necessary skills for her job.
employment. On this score, the Court finds it apt to detail not only the Considering the totality of the above-stated circumstances, Alcaraz
incidents which point out to the efforts made by Abbott but also those was well-aware that her regularization would depend on her ability
circumstances which would show that Alcaraz was well-apprised of and capacity to fulfill the requirements of her position as Regulatory
her employer’s expectations that would, in turn, determine her Affairs Manager and that her failure to perform such would give
regularization: Abbott a valid cause to terminate her probationary
(a) On June 27, 2004, Abbott caused the publication in a major employment. Verily, basic knowledge and common sense dictate
broadsheet newspaper of its need for a Regulatory Affairs Manager, that the adequate performance of one’s duties is, by and of
indicating therein the job description for as well as the duties and itself, an inherent and implied standard for a probationary
responsibilities attendant to the aforesaid position; this prompted employee to be regularized; such is a regularization standard
Alcaraz to submit her application to Abbott on October 4, 2004; which need not be literally spelled out or mapped into technical
(b) In Abbott’s December 7, 2004 offer sheet, it was stated that indicators in every case.
Alcaraz was to be employed on a probationary status; DISSENT (Brion, J.): NO. The Offer Sheet was designed to
(c) On February 12, 2005, Alcaraz signed an employment contract inform Alcaraz of the compensation and benefits package offered
which specifically stated, inter alia, that she was to be placed on to her by Abbott and can in no way be read as a statement of the
probation for a period of six (6) months beginning February 15, 2005 applicable probationary employment standard. It was
to August 14, 2005; communicated even prior to engagement when the parties were
(d) On the day Alcaraz accepted Abbott’s employment offer, Bernardo negotiating, not at the point of engagement as the law requires.
sent her (d) On the day Alcaraz accepted Abbott’s employment offer, The pre-employment orientation on Alcaraz’s duty to implement
Bernardo sent her copies of Abbott’s organizational structure and her Abbott’s Code of Conduct, office policies and training
job description through e-mail; program likewise cannot be characterized as performance
(e) Alcaraz was made to undergo a pre-employment orientation where standards; they simply related to activities aimed at acquainting
Almazar informed her that she had to implement Abbott’s Code of and training Alcaraz on her duties and not for the purpose of
Conduct and office policies on human resources and finance and that informing her of the performance standards applicable to
she would be reporting directly to Walsh; her. What stands out is that they do not pertain specifically to
(f) Alcaraz was also required to undergo a training program as part Alcaraz and the required performance standard applicable for her
of her orientation; qualification for regular employment; they related to the staff
(g) Alcaraz received copies of Abbott’s Code of Conduct and Alcaraz managed and supervised. Additionally, these were all
Performance Modules from Misa who explained to her the procedure relayed prior to or after Alcaraz was engaged by Abbott.
for evaluating the performance of probationary employees; she was An important distinction to remember at this point is that Alcaraz’s
knowledge of the duties that her work entailed, and her
knowledge of the employer’s performance standard, are two measure of how these duties and responsibilities should be
distinct matters separately requiring the presentation of delivered. They are separate elements and the latter element is
independent proof. missing in the present case.
MAJORITY: Keeping with [the Omnibus Rules Implementing the 2nd. The ponencia glosses over the communication aspect. Not only
Labor Code], an employer is deemed to have made known the must there be express performance standards; there must be effective
standards that would qualify a probationary employee to be a communication. If no standards were provided, what would be
regular employee when it has exerted reasonable efforts to communicated?
apprise the employee of what he is expected to do to accomplish 3rd. The ponencia badly contradicts itself in claiming that actual
during the trial of probation.This goes without saying that the communication of specific standards might not be necessary “when
employee is sufficiently made aware of his probationary status as well the job is self-descriptive in nature, for instance, in the case of maids,
as the length of time of the probation. cooks, drivers, or messengers.” Alcaraz, in the first place, was
The exception to the foregoing is when the job is self-descriptive never a maid, cook, driver or a messenger and cannot be placed
in nature, for instance, in the case of maids, cooks, drivers, or under this classification; she was hired and employed as a human
messengers. Also in Aberdeen Court, Inc v. Agustin, it has been held resources manager, in short, a managerial employee. Plain and
that the rule on notifying a probationary employee of the common sense reasoning by one who ever had been in an
standards of regularization should not be used to exculpate an employment situation dictates that the job of a manager cannot be
employee in a manner contrary to basic knowledge and common self-explanatory, in the way the ponencia implied; the complexity of
sense in regard to which there is no need to spell out a policy or a managerial job must necessarily require that the level of
standard to be met. In the same light, an employee’s failure to performance to be delivered must be specified and cannot simply be
perform the duties and responsibilities which have been clearly assumed based on the communication of the manager’s duties and
made known to him constitutes a justifiable basis for a responsibilities.
probationary employee’s non-regularization. 4th. The ponencia also forgets that what these “performance
DISSENT (Brion, J.): Based on these premises, the ponencia then standards” or measures cannot simply be assumed because they
deftly argues that because the duties and responsibilities of the are critically important in this case, or for that matter, in any case
position have been explained to Alcaraz, an experienced human involving jobs whose duties and responsibilities are not simple or
resource specialist, she should have known what was expected for self-descriptive. If Alcaraz had been evaluated or assessed in the
her to attain regular status. The ponencia’s reasoning, however, is manner that the company’s internal rules require, these standards
badly flawed. would have been the basis for her performance or lack of it. Last but
1st. The ponencia impliedly admits that no performance standards not the least, Alcaraz’s services were terminated on the basis of the
were expressly given but argues that because Alcaraz had been performance standards that, by law, the employer set or prescribed at
informed of her duties and responsibilities (a fact that was and is not the time of the employee’s engagement. If none had been prescribed
disputed), she should be deemed to know what was expected of her in the first place, under what basis could the employee then be
for purposes of regularization. This is a major flaw that the ponencia assessed for purposes of termination or regularization?
satisfies only via an assumption. The ponencia apparently forgets 2) WON Alcaraz was validly terminated from her employment
that knowledge of duties and responsibilities is different from the
MAJORITY: NO. Abbott failed to follow the above-stated performance standard, the evidence failed to show that Alcaraz did
procedure in evaluating Alcaraz. For one, there lies a hiatus of not meet this standard in a manner and to the extent equivalent to
evidence that a signed copy of Alcaraz’s PPSE form was submitted to the “just cause” that the law requires.
the HRD. It was not even shown that a PPSE form was completed to In defense of Abbott’s failure to observe the two-notice requirement,
formally assess her performance. Neither was the performance the ponencia argues that a different procedure applies when
evaluation discussed with her during the third and fifth months of her terminating a probationary employee; the usual two-notice
employment. Nor did Abbott come up with the necessary requirement does not govern, citing for this purpose Section 2, Rule I,
Performance Improvement Plan to properly gauge Alcaraz’s Book VI of the Implementing Rules of the Labor Code. The ponencia,
performance with the set company standards. however, forgets that the single notice rule applies only if the
The Court modified Agabon v. NLRC in the case of Jaka Food employee is validly on probationary basis; it does not apply where
Processing Corporation v. Pacot where it created a distinction the employee is deemed a regular employee for the company’s
between procedurally defective dismissals due to a just cause, on one failure to provide and to communicate a prescribed performance
hand, and those due to an authorized cause, on the other. standard applicable to the probationary employee.
If the dismissal is based on a just cause under Article 296 of the 3) WON the individual petitioners herein are liable
Labor Code but the employer failed to comply with the notice MAJORITY: NO. Other than her unfounded assertions on the
requirement, the sanction to be imposed upon him should be matter, there is no evidence to support the fact that the individual
tempered because the dismissal process was, in effect, initiated by petitioners herein, in their capacity as Abbott’s officers and
an act imputable to the employee employees, acted in bad faith or were motivated by ill will in
If the dismissal is based on an authorized cause under Article 297 terminating Alcaraz’s services. The fact that Alcaraz was made to
but the employer failed to comply with the notice requirement, the resign and not allowed to enter the workplace does not necessarily
sanction should be stiffer because the dismissal process was indicate bad faith on Abbott’s part since a sufficient ground existed
initiated by the employer’s exercise of his management for the latter to actually proceed with her termination. On the alleged
prerogative. loss of her personal belongings, records are bereft of any showing that
Alcaraz’s dismissal proceeded from her failure to comply with the the same could be attributed to Abbott or any of its officers.
standards required for her regularization. As such, it is DISSENT (Brion, J.): YES. The NLRC exhaustively discussed
undeniable that the dismissal process was, in effect, initiated by Abbott’s bad faith, as demonstrated by the actions of the individual
an act imputable to the employee, akin to dismissals due to just petitioners:
causesunder Article 296 of the Labor Code. Therefore, the Court First, Alcaraz was pressured to resign:
deems it appropriate to fix the amount of nominal damages at the (1) she was threatened with termination, which will surely damage
amount of P30,000.00, consistent with its rulings in her reputation in the pharmaceutical industry;
both Agabon and Jaka. (2) she was asked to evacuate her Commission and ordered not to
DISSENT (Brion, J.): YES. Alcaraz was dismissed as she “failed to enter the Company’s premises even if she was still an Abbott
qualify as regular employee in accordance with the prescribed employee; and
standards set by the Company.” Even granting for the sake of (3) Terrible and Walsh made a public announcement to the staff that
argument that Abbott had apprised Alcaraz of an applicable Alcaraz already resigned even if in reality she did not.
The CA also described in detail the abrupt and oppressive manner in AMA Computer College-Santiago City, Inc. vs. Chelly P. Nacino,
which Alcaraz’s employment was dismissed by Abbott: G.R. No. 162739, February 12, 2008)
On May 23, 2005, Alcaraz still reported for work since Abbott had
not yet handed the termination notice to her. However, the security FACTS:
guard did not allow her to enter the Hospira ALSU office pursuant
to Walsh[’s] instruction. She requested Walsh that she be allowed to Aggrieved, Nacino filed on December 13, 2002 a Complaint10 for
enter the company premises to retrieve her last remaining things in Illegal Suspension and Termination before the National Conciliation
her office which are mostly her personal belongings. She was allowed and Mediation Board (NCMB) in Tuguegarao City. On January 10,
to enter. However, she was surprised to see her drawers already 2003, Maria Luanne M. Jali-jali (Jali-jali), AMA's representative,
unlocked and, when she opened the same, she discovered that her signed the submission Agreement, accepting the jurisdiction of
small brown envelope x x x, white pouch containing the duplicate Voluntary Arbitrator Nicanor Y. Samaniego (Voluntary Arbitrator)
keys, and the staff’s final evaluation sheets were over the controversy.
missing.Alcaraz informed Bernardo about the incident. The latter
responded by saying she was no longer an employee of the company Before the Voluntary Arbitrator, the parties agreed to settle the case
since May 19, 2005. amicably, with Nacino discharging and releasing AMA from all his
Alcaraz reported the matter to the Pasig Police Station and asked for claims in consideration of the sum of P7,719.81. The
help regarding the theft of her properties. The Pasig Police incident Decision11 embodying the Compromise Agreement and the
report stated as follows: corresponding Quitclaim and Release,12 both dated February 21,
x x x x When confronted by the suspect, in the presence of one SOCO 2003, were duly prepared and signed, but the check in payment of the
officer and staff, named Christian Perez, Kelly Walsh allegedly consideration for the settlement had yet to be released.
admitted that she was the one who opened the drawer and got the
green folders containing the staff evaluations. The Reportee was told On April 1, 2003, Nacino died in an accident. On April 15, 2003, the
by Kelly Walsh that her Rolex wristwatch will be returned to her Voluntary Arbitrator rendered the assailed Decision,13 ordering
provided that she will immediately vacate her office. Nacino's reinstatement and the payment of his backwages and
On the same date, Alcaraz’s termination letter dated May 19, 2005 13th month pay. Therein, the Voluntary Arbitrator manifested that,
was handed to her by Walsh, Almazar and Bernardo. due to AMA's failure to pay the sum of P7,719.81, Nacino withdrew
RESULT: CA reversed. In favor of Abbott. from the Compromise Agreement, as shown by the conduct of a
hearing on March 15, 2003 where both parties appeared and were
directed to file their position papers. The Voluntary Arbitrator also
stated that Nacino complied, but AMA failed to file its position paper
and to appear before him despite summons. On May 7, 2003, the
Voluntary Arbitrator issued a Writ of Execution14 upon motion of
Nacino's surviving spouse, one Bernadeth V. Nacino. AMA filed a
Motion to Quash the said Writ but the Voluntary Arbitrator allegedly
refused to receive the same.15 Thus, on May 22, 2003, the heirs of On the other hand, the heirs of Nacino refused to receive this Court's
Nacino were able to garnish AMA's bank deposits in the amount Resolution requiring them to file their Comment18 and, as such, were
of P52,021.70. considered to have waived their right to file the same.19
On June 16, 2003, AMA filed a Petition16 for Certiorari under Rule The instant petition lacks merit.
65 before the CA. On June 23, 2003, the CA dismissed the said
petition because it was a wrong mode of review. It held that the Pertinent is our ruling in Centro Escolar University Faculty and
proper remedy was an appeal by way of Rule 43 of the Rules of Civil Allied Workers Union-Independent v. Court of Appeals,20 where we
Procedure. Accordingly, the CA opined, an erroneous appeal shall be held:
dismissed outright pursuant to Section 2, Rule 50 of the Rules of Civil
Procedure. We find that the Court of Appeals did not err in holding that
petitioner used a wrong remedy when it filed a special civil
AMA filed its Motion for Reconsideration but the CA denied it in its action on certiorari under Rule 65 instead of an appeal under
Resolution dated March 3, 2004. Rule 43 of the 1997 Rules of Civil Procedure. The Court held
in Luzon Development Bank v. Association of Luzon
Hence, this petition based on the sole ground that: Development Bank Employees that decisions of the voluntary
arbitrator under the Labor Code are appealable to the Court of
THE COURT OF APPEALS COMMITTED SERIOUS Appeals. In that case, the Court observed that the Labor Code
ERROR OF LAW IN DISMISSING THE PETITION FOR was silent as regards the appeals from the decisions of the
CERTIORARI UNDER RULE 65 OF THE 1997 RULES OF voluntary arbitrator, unlike those of the Labor Arbiter which
CIVIL PROCEDURE FILED BY HEREIN PETITIONER. may be appealed to the National Labor Relations
Commission. The Court noted, however, that the voluntary
AMA claims that Jali-jali was misinformed and misled in signing the arbitrator is a government instrumentality within the
Submission Agreement, subjecting AMA to the jurisdiction of the contemplation of Section 9 of Batas Pambansa Blg. (BP) 129
Voluntary Arbitrator; that the Voluntary Arbitrator's Decision was which provides for the appellate jurisdiction of the Court of
issued under the Labor Code and, as such, the same is not appealable Appeals. The decisions of the voluntary arbitrator are akin to
under Rule 43, as provided for by Section 217 thereof, but under Rule those of the Regional Trial Court, and, therefore, should first
65 of the Rules of Civil Procedure; and that the petition be appealed to the Court of Appeals before being elevated to
for certiorari is the only plain, speedy and adequate remedy in this this Court. This is in furtherance and consistent with the
case since the Voluntary Arbitrator acted with grave abuse of original purpose of Circular No. 1-91 to provide a uniform
discretion in disregarding the parties' compromise agreement, in procedure for the appellate review of adjudications of all
rendering the assailed Decision, and in issuing the Writ of Execution quasi-judicial agencies not expressly excepted from the
without affording AMA its right to due process. coverage of Section 9 of BP 129. Circular No. 1-91 was later
revised and became Revised Administrative Circular No. 1-
95. The Rules of Court Revision Committee incorporated said Verily, rules of procedure exist for a noble purpose, and to disregard
circular in Rule 43 of the 1997 Rules of Civil Procedure. The such rules in the guise of liberal construction would be to defeat such
inclusion of the decisions of the voluntary arbitrator in the purpose. Procedural rules are not to be disdained as mere
Rule was based on the Court's pronouncements in Luzon technicalities. They may not be ignored to suit the convenience of a
Development Bank v. Association of Luzon Development party. Adjective law ensures the effective enforcement of substantive
Bank Employees. Petitioner's argument, therefore, that the rights through the orderly and speedy administration of justice. Rules
ruling in said case is inapplicable in this case is without merit. are not intended to hamper litigants or complicate litigation. But they
help provide for a vital system of justice where suitors may be heard
We are not unmindful of instances when certiorari was granted following judicial procedure and in the correct forum. Public order
despite the availability of appeal, such as (a) when public welfare and and our system of justice are well served by a conscientious
the advancement of public policy dictates; (b) when the broader observance by the parties of the procedural rules.25
interest of justice so requires; (c) when the writs issued are null and
void; or (d) when the questioned order amounts to an oppressive WHEREFORE, the instant Petition is DENIED for lack of merit.
exercise of judicial authority. 21 However, none of these recognized The assailed Court of Appeals Resolutions dated June 23, 2003 and
exceptions attends the case at bar. AMA has sadly failed to show March 3, 2004 are hereby AFFIRMED. Costs against the petitioner.
circumstances that would justify a deviation from the general rule.