Confli ctofLawsCas es19511960 ( 1) ( 2) ( 3) ( 4) ( 5) ( 6) ( 7) ( 8) ( 9) ( 10) ( 11) ( 12) ( 13) ( 14) ( 15) ( 16) ( 17)
Saur aI mportandExportCo. ,I nc.v.Bi bi anoL.Meer GRNo.L2927 Febr uary26,1951 Phi l i ppi neRefini ngv.Ledesma ma GR No.L2193 Apri l27,1951 I nr e:Tes t at eEst at eoft hedeceas edJoseB.Sunt ay GR Nos.L3087andL3088 Jul y31,1954 Paci ficMi Mi cr oni si anLi nev.DelRosar i o GR No.L7154 Oct ober23,1954 Ki ngMau Wu Wu v .Syci p GR No.L5897 Apri l23,1954 Arcav.Javi er GR No.L6768 Jul y31,1954 Del osSant osandAst r aqui l l ov.Republ i c GRNo.L4818 Febr uary28,1955 Cayet anoLi wanagv .Rober tHami mi l l GRNo.L7881 Febr uary27,1956 PaulMacDonal dv.Nat i onalCi t yBankofNY GRNo.L7991 May21,1956 CuUnj i engSonsv.Boar dofTaxAppeal s GRNo.L6296 Sept emb mber29,1956 Mam me er t oCor r ev.Guadal upeCor r e GRNo.L10128 Nov ember13,1956 LaoI chongetal .v.Jai meHer nandez 101 i l1155 May31,1957 Eas t boar dNavi gat i onv.JuanYsmaelCo. 102Phi l1 Sept emb mber10,1957 LyGi Gi okHaetal .v.Gal ang 101Phi l459 May17,1957 Amer i canBi bl eSoci et yv.Ci t yofMani l a 101Phi l386 Apr i l30,1957 Cl audi naVdadeVi l l ar uelv.Mani l aMo Mot or 104Phi l926 Dec emb mber13,1958 Rom ma anCat hol i cApost ol i cAdm mi i ni s t r at orofDavaov.TheLand
Regi st rati on Comm mmi ssi on 102Phi l596 Dec emb mber20,1957 ( 18) Li m Si okHu Hueyv.Al f r edoLapi z 103Phi l930 May28,1958 ( 19) LeeSuanAyetal .v.Gal ang 106Phi l707 Dec emb mber23,1959
( 20) KoWa WaiMev.Gal ang 106Phi l661 Nov emb mber28,1959 ( 21) Tes t at eEs t at eofC. O.Bohananv.Bohananetal . , G. R.No.L12105 January30,1960 ( 22) Beni t oLi m v.Her ber tBr ownw we el l 107Phi l344 Mar ch24,1960
SAURAI MPORTAND EXP XPORTCO. ,I NC. v , .BI BI ANO L.MEER G. R.No.L2927Februar y26,1951 Do c t r i ne :W :Whi l e on ar my bases ofi nst al l at i ons wi t hi n Phi l i ppi nes,t he goods pur c hased wer e,i nc ont empl at i on ofl aw,on f or ei gn soi l .The r esul twas t hat whe n Saur a,af t e rac q ui r i ng t i t l et os uc hg o ods ,br o ug htt he m o ut s i deo ft ho s e bas e so rd epo t s ,t he r ewa wasi mpo r t at i o ni nt heor di nar ys e ns e .
FACTS:Thi si san act i on t or ecov erat axpai di n pr ot es tbySaur aI mportand ExportCo.I nc. Saur aI mport and Expor tI nc bought f r om t he For ei gn Li qui dat i on Comm mmi ssi on,aUn Uni t edSt at esGove r nmentagency ,j eeps,weaponscar r i er s,and t rucks,al lofwhi ch,att het i meofpur chase,wer el ocat ed i n di ffer entUni t ed St at esAr mydepot si nt hePhi l i ppi nes.I mmedi at el yt her eaf t er ,Saur a had t he pur chase s del i ve r ed t oi t wh whi ch i n t ur n sol di tt ot hi r d per sons i nt he Phi l i ppi nes. Lowe werCour tRul i ng: Saur aI mportandExportI nci san i mport erandl evi edon t hemo mot orv ehi cl espur chased t heper cent aget axaspr escr i bedi n Sect i ons185 and186ofComm mmonweal t hActNo.466. I SSUE: 1.W . Whe t herornotSaur ai sani mport er . RATI O:Yes ,Saur ai s an i mpor t er .The sal esi tma made t ot hi r d per sons wer e ori gi nalsal est axabl eundert hesect i onsme ment i onedabove. Att i meofSaur a’ spur chase,t heUni t ed St at esAr myi nt hePhi l i ppi nes was a bel l i ger entoccupant ,atl eas tofar my bases,ar my depot s,and ar my i nst al l at i onsi twasusi ngf ort hepr osecut i on oft heexi st i ngwa war .Bysect i on 280 oft heRul esofLandWarf are,bel l i ger entoccupat i on ( i nt hi scasebyt heUn Uni t ed acuat ed t St at esAr my)ce ased onl ywh when " t heoccupantev he di st ri ctorwas ev eeenm ma assee,andt dr i ve n outbyt heenemy my ,orbyl hel egi t i mat egover nment es ume medi act ual l yr t sf unt i ons . " Bypol i t i calr el at i onshi pbet ween t hePhi l i ppi nesandbet ween t heUni t ed St at esandbyr easonofwar ,t heUni t edSt at esGo Gove r nmentont hatdat eenj oye d
j ur i sdi ct i onalr i ght s over cer t ai n ar eas oft he Phi l i ppi ne t er r i t ory and over mi l i t arygoodsbr oughther eandi nt endedf ort heUn Uni t edSt at esAr my .Whi l eon army bases of i nst al l at i ons wi t hi n Phi l i ppi nes t hose goods wer e, i n cont emp mpl at i on ofl aw,on f or ei gn soi l .The r esul twas t hatwhen Saur a,af t er acqui r i ngt i t l et osuch goods,br oughtt hem out si deoft hosebasesordepot s, t her ewasi mport at i oni nt heor di narysense.
PH HI I LI PPI NE REFI NI NG COMPANY,I NC.v.CESAR LEDESMA GR.No.L2913Apri l27,1951 Doct r i ne:Undert heHaw Pi adoct r i ne,apr ewardebt orwhohadpai dhi sdebt dur i ngt heJapaneseocc upat i onwi t ht heaut hor i zedoffic ffice/bodyoft heocc upant i sr el easedf r om al lhi sl i abi l i t yt ot hef or me merc r edi t or .
FACTS:Phi l i ppi neRefini ngCorpor at i on i sa dome mest i ccorpor at i on oper at i ngas an oi lmanuf act ur erand r efiner ,wi t hi t scapi t alst ock bei ngowned most l yby Bri t i shandDut chi nt er est s. On Febr uary 15,1939,t he Phi l i ppi ne Refini ng Comp mpany sol dt ot he def endantCesarLedesma ma,aFi l i pi noci t i zen,t hr eeparcel sofl andi nPar anaque, Ri z alf ort heamountofP413, 644.Ledesma del i v er ed P103, 411 i n cash,and ex ec ut ed si x pr omi mi ss or y not es f or t he bal ance , eac h f or t he amo mount of P51, 705. 50,mat ur i ngsucc es si v el y on February15 oft heyear s1940,1941, 1942, 1943, 1944, and 1945. To secur e payment of t he not es, Ledesma mort gaged t het hr eepar cel sofl and.Thefir stt wopr omi mi ssor ynot eswe wer epai d. Howev er ,dur i ngt heJapaneseoccupat i on,Ledesma masat i sfiedt her ema mai ni ngf our pr omi mi ssor y not es t ot he Office of t he Enemy Pr oper t y Cust odi an of t he JapaneseAr my ,upon pr evi ousdemandbyt hel at er .Thepaymentwasmadei n Japanese mi l i t ary not es.Consequent l y ,t he Japanese aut hor i t i es caused t he mort gaget obecancel l edandt hi swasdul ynot edi npr operRegi st ryofDeeds. Lowe werCourtRul i ng:Thepayme mentma madebyLedes ma i sval i d aspert heHa Haw Pi adoct r i newh whi chabsol ve dapr ewardebt oroft heChi naBanki ngCorporat i on whohadpai dhi sdebtdur i ngt heJapaneseoccupat i on wi t h Japanesemi l i t ar y not est ot heBankofTai wan,t hathadbeendesi gnat edbyt heJapaneseMi Mi l i t ary
t ol i qui dat et he af ore sai d bank, an enemy myowned i nst i t ut i on est abl i shed i n occupi e dt e r r i t or y . I SSUE: 1.Whet herornott hepayme menti sval i d ast hepr ese ntcont r ove r syi nvol ve d di ffer entf act sf r om t heHa Haw Pi acont r ov er syast het hepayme mentwasnot del i ver edt ot heBankofTai wan,oranyot herbank.–Yes. RATI O T :The payme ntmade by Ledesma i s val i d.He i sr el eased f r om al lhi s l i abi l i t yt ohi sf orme mercredi t or ,t hePhi l i ppi neRefini ngCo Corporat i on. TheCFIi scor r ecti nr el yi ngi nt heHaw Pi adoct r i ne.Upon t hest r engt h of t hi s doct r i ne, t he Cour t had al so val i dat ed payme ment s under si mi l ar ci r cumst ance si nHSBC vSamani l l o.
I N RE:TESTATE ESTATE OFTHE HEDE DECEASED JOSEB.SUNTAY.SI LVI NO SUNTAY VSI N RE:I NTESTATE ESTATE G. R.Nos.L3087andL3088Jul y31,1954 Do c t r i ne : Wi l l spr o v e d andal l o we we di naf o r e i g nc o unt r y ,ac c o r di ngt ot hel awso f suc h co unt r y,may be al l owe wed,fil ed,and r eco r ded by t hepr operCour tofFi r st I ns t anc ei nt hePhi l i ppi ne s.
FACTS J :JoseSunt ay ,aFi l i pi noci t i z en and r esi dentoft hePhi l i ppi nes,di ed i n t heci t yofAmoy,Fooki enpr ovi nce,Republ i cofChi na,l eavi ngrealandper sonal pr oper t i esi nt hePhi l i ppi nesand a housei n Amoy ,Fooki en pr ovi nce,Chi na, and chi l dr en by hi s firstma marr i age wi t h Manuel a T.Cr uz name mel y ,Apol oni o, Concepci on,Angel ,Manuel ,Feder i co,Ana,Aur ora,Emi l i ano,andchi l dr enwi t h hi s se cond marr i age t o Mari a Nat i vi dad Li m Bi l l i an name mel y Jose,Jr .and Si l v i no. I nt est at e pr oceedi ngs wer ei nst i t ut ed i nt he CourtofFi r stI nst ance of Bul acan.Apol oni oSunt aywa wasdecl aredadmi ni st r at or .Af t erhi sdeath,Federi co C.Sunt ay was appoi nt ed admi ni st r at oroft he es t at e.Mari a Nat i vi dad fil ed a pet i t i on i nt heCourtofFi r stI nst anceofBul acan f ort hepr obat eofal astwi l l
andt est amentcl ai medt ohavebeen exec ut edand si gnedi nt hePhi l i ppi neson Nove mber1929byt hel at eJoseB.Sunt ay .Thi spet i t i on wasdeni edbecauseof t hel ossofsai dwi l landoft hei nsuffici encyoft heevi dencet oest abl i sh t hel oss oft hesai dwi l l .Anappealwast akenf r om sai dorderdenyi ngt hepr obat eoft he wi l landt hi sCour thel dt heevi dencebef or et hepr obat ecour tsuffici entt opr ove t hel ossoft hewi l land r emanded t hecaset ot heCour tofFi r stI nst anceof Bul acanf ort hef urt herpr oceedi ngs. Si l vi noSunt ay ,cl ai mi ngt hathehad f oundamongt hefil es,r ecor dsand document s of hi sl at ef at her a wi l land t es t ament i n Chi nes e char act er s exec ut edandsi gnedbyt hedec easedon4January1931andt hatt hesamewas fil ed,r ecor ded and pr obat ed i nt he Amoy di st r i ctc ourt ,Pr ovi nce ofFooki en, Chi na,fil edapet i t i on i nt hei nt est at epr oceedi ngspr ayi ngf ort hepr obat eoft he wi l lexecut edi nt hePhi l i ppi nesoroft hewi l lexecut edi nAmoy ,Fooki en,Chi na. Wi t nesseswer epr esent edt opr ovet heexi st enceoft hewi l lal l egedl yl ef tbyJose Suntay. LowerCour tRul i ng: Di ssal l owedal l egedwi l landt est amentexecut edi nMani l a on Nov ember 1929, and t he al l eg ed l ast wi l l and t es t ament execut ed i n Kul angsu,Amoy ,Chi na,on4January1931,byJoseB.Sunt ay . I SSUE: 1.Whet herornott hewi l l sal l egedl yl ef tbyJoseSUnt aycan bepr obat ed. RATI O: Uphel ddeci si on oft heCourtofFi r stI nst ance.Gr ant i ngt hatt her ewas awi l ldul yexecut edbyJoseB.Sunt ay ,andt hati twasi nexi st enceatt het i me of , and not er ev oked bef or e hi s deat h, t he t es t i moni es of t he wi t nes se s pr esent ed f al lf al l sshortoft hel egalr equi rementt hatt heprovi si onsoft hel ost wi l lmus tbe" cl ear l yand di st i nct l ypr oved byatl eas tt wocr edi bl ewi t nesses. " Cr edi bl e wi t ness esmean compet entwi t ness esand t hosewho t es t i f yt of act s f r om oruponhears ayarenei t hercompet entnorcr edi bl ewi t nesses. As t ot he wi l lcl ai me dt o hav e been execut ed on 4 Januar y 1931 i n Amoy , Chi na,t hel aw ont hepoi nti nRul e78.Sect i on1oft her ul epr ovi des: Wi l l s pr ov ed and al l owed i n af or ei gn count r y ,accor di ng t ot he l awsofsuch count ry ,maybeal l owed,fil ed,and r ecor ded by t he pr operCourtofFi rs tI nst ancei nt hePhi l i ppi nes. Sect i on2pr ovi des: When a copy of such wi l l and t he al l owance t her eof , dul y aut hent i cat ed, i s fil ed wi t h a pet i t i on f or al l owance i n t he Phi l i ppi nes,by t he execut or or ot her per son i nt er est ed,i nt he courthavi ngj uri sdi ct i on,suchcourtshal lfixat i meandpl acef or t heheari ng,andcausenot i cet her eoft obegi venasi n caseofan ori gi nalwi l lpresent edf oral l owance. Sect i on3pr ovi des:
I fi tappearsatt heheari ngt hatt hewi l lshoul dbeal l owed i nt he Phi l i ppi nes,t he courtshal lso al l ow i t ,and a cert i ficat e ofi t s al l owance,si gned by t heJudge,and at t es t ed by t hesealoft he court s,t owhi ch shal lbeat t achedacopyoft hewi l l ,shal lbefil ed andr ecor dedbyt hecl er k,andt hewi l lshal lhavet hesameeffect asi fori gi nal l ypr ovedandal l owedi nsuchcourt . Thef actt hatt hemuni ci paldi st r i ctcour tofAmoy ,Chi na,i sa pr obat ecour t mus tbeprove d.Thel aw ofChi naon pr ocedur ei nt hepr obat eoral l owanceof wi l l smustal so bepr oved.Thel egalr equi r eme nt sf ort heexecut i on ofa val i d wi l li n Chi na i n 1931 shoul d al so be est abl i shed by compet ent evi dence. Howev er ,t her ewas no evi dencepr ese nt ed t o pr ovet hi spoi nt .Theunver i fied answer st ot heques t i onspr opoundedbycounself ort heappel l antt ot heConsul Gener aloft heRepubl i cofChi na,obj ect ed t oby counself ort heappel l ee,are i nadmi ssi bl e,becauseapartf r om t hef actt hatt heofficeofConsulGener aldoes notqual i f yandmaket heper sonwhohol dsi tan exper ton t heChi nes el aw on pr ocedur ei npr obat emat t er s,i ft hesamebeadmi t t ed,t headver separt ywoul d bedepr i vedofhi sr i ghtt oconf r ontandcr ossexami net hewi t ness.Consul sar e appoi nt ed t o at t end t ot r ade mat t er s. Mor eov er ,i t appears t hat al lt he pr oceedi ngshadi nt hemuni ci paldi st ri ctcourtofAmoywer ef ort hepur poseof t aki ngthet est i monyoft woat t est i ngwi t nessest ot hewi l landt hatt heor derof t hemuni ci paldi st ri ctcourtofAmoydoesnotpurportt opr obat et hewi l l .I nt he absenceofpr ooft hatt hemuni ci paldi st ri ctcourtofAmoyi sa pr obat ecourt and on t heChi nes el aw ofpr ocedur ei n probat emat t er s,i tmaybepr es umed t hatt hepr oceedi ngsi nt hemat t erofpr obat i ngoral l owi ngawi l li nt heChi nese court sar et headeposi t i on ort oaperpet uat i on oft est i mony,andeveni fi twer e soi tdoesnotmeasur esameast hosepr ovi dedf ori nourl awson t hesubj ect .I t i sapr oceedi ngi nr em andf ort heval i di t yofsuch pr oceedi ngsper sonalnot i ce orbypubl i cat i on orbot ht oal li nt er est edpart i esmustbemade.Thei nt er est ed part i esi nt hecasewer eknownt or esi dei nt hePhi l i ppi nes.Theevi denceshows t hatno such not i ce was r ece i ved by t he i nt er es t ed part i es r esi di ng i nt he Phi l i ppi nes The or der oft he muni ci paldi st r i ct cour t ofAmo y ,Chi na,does not purportt opr obat eoral l ow t hewi l lwhi chwast hesubj ectoft hepr oceedi ngs.I n vi ew t her eof ,t hewi l land t heal l eged pr obat et her eofcannotbesai dt o have been donei n accor dance wi t ht he accept ed basi c and f undame nt alconcept s andpri nci pl esf ol l owedi nt hepr obat eandal l owanceofwi l l s.Consequent l y ,t he aut hent i cat ed t r anscri ptofpr oceedi ngshel di nt hemuni ci paldi st ri ctcourtof Amo y ,Chi na,cannotbe deeme d and accept ed as pr oceedi ngs l eadi ng t ot he pr obat eoral l owanceofawi l land,t heref ore,t hewi l lr ef err edt ot her ei n cannot beal l owed,fil edandr ecor dedbyacompet entcour toft hi scount r y .
PACI FI C MI CRONI SI AN LI NE,I NC.v.DELROSARI O G. R.No.L7154Oct ober23,1954 Doctr i ne: I nordert hatservi cesmaybeeffect eduponpri vat ecorpor at i ons,i ti s ngbus i ne s si nt he r equi r edt hatt hef orei gncorporat i onbeonewhi chi sdoi Phi l i ppi ne s.Thi nequanon si sasi r equi r ement .Thi sf actmustbefir st es t abl i shedi nor dert hatsummonscanbemadeandj ur i sdi ct i onacqui r ed. FACTS: Al f onsaPel i ngon fil edacl ai mf orcompensat i on f orher sel fandhert wo mi nor chi l dr en wi t ht he Wor kmen' s Compensat i on Commi ss i on agai nst t he Luzon St evedori ngCo. ,I nc. ,whoref usedt oent er t ai nt hecl ai m on t hegr ound t hat sai d company was not t he empl oy er oft he dec eased husband oft he cl ai mant .TheWor kmen' sCompensat i on Commi ss i on,bel i ev i ngt hatt hePaci fic Far East Li ne, I nc. ,a f or ei gn cor por at i on l i censed t o do busi ness i nt he Phi l i ppi nes,was an agentofpet i t i oner wi t h aut hori t yt or ecei ve ser vi ce of pr ocess,servednot i ceoft hecl ai m on an offici alofsai df orei gncorporat i on who i nt urnf orwar dedt henot i cet opet i t i onereveni ft hel at t erwasnotan agentof , norwasi taut hori zed t oacceptservi ceofpr ocessi n behal fof ,sai d pet i t i oner . Paci fic fil ed a speci al appear ance wi t h t he Wor kmen' s Compensat i on Commi ssi on f ort hesol epurposeofaski ngf ort hedi smi ssaloft hecl ai m on t he gr ound t hatt heCommi ssi on had noj ur i sdi ct i on overi tbecausei ti sa f ore i gn corporati on notdomi ci l edi nt hi scount ry ,i ti snotl i censedt oengageandi snot engagi ng i n busi nes st her ei n,has no office i nt he Phi l i ppi nes ,and i s not r epre sent ed byanyagentaut hori ze dt or ece i vesummonsoranyot herj udi ci al pr ocessi ni t snameandbehal f . Lower Cour t Rul i ng: The Wor kme n' s Compensat i on Commi ssi on has j ur i sdi ct i onovert hepet i t i oner .Hence,t hecasecanbet r i edoni t sme r i t s. I SSUE: 1.Whet herornot ,pet i t i oner ,as a pr i vat ef or ei gn corpor at i on notdoi ng busi nessi nt hePhi l i ppi nes,canbebr oughtwi t hi nt hej ur i sdi ct i onofour court sby se r vi ng t hesummonsupon t heagentwho r epr es ent ed i ti n ent er i ngi nt ot hecont r actofempl oymentwi t ht hedece asedhusband. RATI O : heper T t i nentr ul et obeconsi der edi ssect i on14,Rul e7,oft heRul esof Court ,whi ch r ef er st o servi ceupon pri vat ef orei gn corporat i ons.Thi ssect i on provides:
c eupo npr i v at ef o r e i gnc o r p or at i o ns . I SEC.14.Servi — ft hedef endanti sa f orei gncorporat i on,oranonr esi dentj oi ntst ockcompanyorassoci at i on, doi ngbusi nessi nt hePhi l i ppi nes,ser vi cemaybemadeon i t sr esi dent agentdesi gnat edi n accor dancewi t hl aw f ort hatpurpose,or ,i ft her ebe no such age nt ,on t he gov er nmentoffici aldesi gnat ed by l aw t ot hat effect ,oronanyofi t sofficer soragent swi t hi nt hePhi l i ppi nes.
Theabovesect i on pr ovi desf ort hr eemodesofeffect i ngser vi cesupon a pr i vat e cor por at i on, namel y: ( 1) by ser vi ng upon t he agent desi gnat ed i n accor dancewi t hl aw t o accepts er vi ceofsummons;( 2)i ft her ebeno speci al agent ,by ser vi ngon t hegover nmentoffici aldesi gnat ed by l aw t ot hateffect ; and( 3)byser vi ngon anyofficeroragentwi t hi nt hePhi l i ppi nes.But ,i tshoul d benot ed,i n or dert hatser vi cesmaybeeffect ed i nt hemannerabov est at ed, ng sai d sect i on al so r equi r est hatt hef ore i gn corpor at i on beonewhi ch i sdoi si sasi re qui r ement .Thi sf actmust bus i ne s si nt hePhi l i ppi ne s.Thi nequanon be fir s t est abl i shed i n or der t hat summons can be made and j ur i sdi ct i on acqui r ed.Thi si snotonl ycl eari nt herul ebuti sreflect edi nar ecentdeci si on of t hi sCour t .Wet her esai dt hat" as l ongas f or ei gn pri vat ecorporat i on doesor engages i n busi ness i nt hi sj ur i sdi ct i on,i tshoul d and wi l lbe amenabl et o pr ocessandt hej uri sdi ct i on oft hel ocalcourt s. " Pet i t i oneri sacorpor at i on excl usi vel yengagedi nt hebusi nessofcarr yi ng goods and passenger s by se a bet wee nt he t er r i t ory ofGuam and t he Tr ust Ter r i t or i esoft hePaci ficI sl andsandf ort hatpur posei twasoper at i ngafleetof vessel spl yi ngbet ween t hosepor t sort er r i t or i es.Pet i t i onerhasnopr oper t yor officei nt hePhi l i ppi nes,nori si tl i censedt odobusi nessi nt hePhi l i ppi nes.And t heonl yacti tdi dher ewast osecur et heservi cesofLucenoPel i ngon t oactas cookandchi efst ewar di noneofi t svessel saut hori zi ngt othateffectt heLuzon St evedori ngCo. ,I nc.adomest i ccorporati on.Pet i t i onerengaged t heservi cesof Pel i ngon notaspartoft heoper at i on ofi t sbusi nessbutmer el yt oempl oyhi m as memberoft hecre wi n oneofi t sshi ps.Thatactapparent l yi san i sol at ed one,i nci dent al ,orcasual ,and " notofa charact ert oi ndi cat e a purpose t o engagei n busi nes s"wi t hi nt hemeani ngoft herul e.TheCommi ss i on hasno j ur i sdi ct i on overt hepet i t i onerand,t her ef or e,t hepr esentpr oceedi ngscannot cont i nueandshoul dbedi smi ss ed.
KI NG MAU WU v.FRANCI SCO SYCI P GR No.L5897Apri l23,1954 Do c t r i ne A : nonr esi dentmaysuear esi denti nt hec our t soft hi sc ount r y wher e t hedef endantmaybesummoned andhi spr oper t yl evi abl euponexec ut i oni nt he c a seo faf av o r abl e ,final ,ande x e c ut o r yj udg me nt .
FACTS:Thi si san act i on t o col l ec tfil ed by Ki ng Maw Wu agai nstFr anci sc o Syci pf ort he amountofP59, 082. 92,t oget herwi t hl awf uli nt er est sf r om 14 Oct ober1947,t hedat eoft hewr i t t endemandf orpayment ,andcost s. Ki ngMau Wuu,agentofFr anci sc oSyc i p,sol d and del i ve r ed1, 000 t ons ofcoconutoi lemul si on t o Jas Maxwel lFasset .Fasseti nt ur n assi gned i tt o Fort r adeCor por at i on.Underanagencyagr ee mente xec ut edi nNew Yor k,whi ch was addr esse and accept ed by Fr anci sco Syci p on November22,1945,Ki ng Mau Wuwasmadet heexcl usi veagentofSyci pi nt hesal eofcoconutoi landi t s der i vat i esout si det hePhi l i ppi nesandwast obepai d2½ per centon t heact ual sal epri ceofs al esobt ai ned t hr u hi seffort s,i n addi t i on t o 50 per centoft he di ffer encebet weent heaut hori zedsal epri ceandt heact ualsal epri ce. Ki ngMau Wu cl ai mst hatf ort hesal et oFasset ,hei sent i t l edundert he agencycont r actt oacommi ssi on of2½ per centon t het ot alact ualsal epri ceof 1, 000 t onsofcoconutoi lemul si on and 50 percentoft hedi ffer encebet wee n t heaut hori zedsal epr i ceof$350 pert on and t heact ualsel l i ngpri ceof$400 per t on. As Syci p al r eady made pr evi ous payment s,Ki ng Mau Wu i sj ust col l ect i ngonbal ancepayment sduet ohi m.
Syc i p,on t heot herhand,cont endst hatt hesal est r ansact i on was not cov er ed by t he agencycont r actdat ed Nov ember22 as t he sal eswas agr ee d upon on Oct ober16 and t hati twasan i ndependentand se par at et r ansact i on f orwhi chKi ngMauWuhadbee ndul yc ompensat ed. LowerCour tRul i ng: Render edj udgmenti nf av orofKi ngMau Wu anddeni ed bot ht hemot i on f orr econsi der at i on andnew t r i alfil ed bySyci p.Syci p fil ed an appeal , cont endi ng t hat t he Cour t of Fi r st I ns t ance of Mani l a has no j ur i sdi ct i onovert hecaseast heagencycont r actwasexecut edi nNew Yor k. I SSUE : et Wh herornott heCour tofFi r stI nst anceofMani l ahasj ur i sdi ct i on. RATI O: CFIhasj uri sdi ct i on.Anonr esi dentmaysuearesi denti nt hecourt sof t hi scount r ywher et hedef endantmaybesummonedandhi sproper t yl ev i abl e upon execut i on i nt hecaseofaf avorabl e,final ,andexecut oryj udgment .I ti sa per sonalact i on f ort hecol l ect i on ofasum ofmoneywhi ch t heCourt sofFi r st I nst ancehavej uri sdi ct i on t ot ryanddeci de.Ther ei snoconfli ctofl awsi nvol ved i nt hecase,becausei ti sonl yaquest i on ofenf orci nganobl i gat i on cr eat edbyor ari si ng f r om cont r act ;and unl esst heenf or cementoft hecont r actbe agai nst publ i cpol i cyoft hef orum,i tmustbeenf orced. Thepl ai nt i ffi sent i t l edt ocol l ectP7, 589. 88f orcommi ssi on andP50, 000 f oronehal foft heoverpri ce,ora t ot alofP57, 589. 88,l awf uli nt er est st her eon f r om t hedat eoft hefil i ngoft hecompl ai nt ,andcost si nbot hi nst ances.
SALUD R.ARCA andALFREDO JAVI ER JR. ,v.ALFREDO JAVI ER, G. R.No.L6768Jul y31,1954 Do c t r i ne :Oneo ft hee ss ent i alc o ndi t i o nsf o rt hev al i di t yo fade c r e eo fdi v o r c ei s t hatt hec our tmus thav ej ur i s di c t i o no v ert hesubj e c tmat t e randi no r de rt hatt hi s maybeac q ui r e d,pl ai nt i ff mus tbedo mi c i l e di ng oo df ai t hi nt heSt at ei nwhi c hi t i sg r ant e d
FACTS : l A f r edoJavi er( Al f r edo)wasanat i vebor nci t i z enoft hePhi l i ppi neswho, i n 1937,marri ed Sal ud R.Ar ca ( Sal ud) ,anot herFi l i pi no ci t i zen.Bef oret hei r marr i age t hey had al r eady a chi l d,Al f r edo Javi er ,Jr . ,who t her eby became l egi t i mat ed.I n 1927 appel l antenl i st ed i nt heU. S.Navyandi n 1938 sai l ed f or t he Uni t ed St at es aboard a navy shi pi n connect i on wi t h hi s ser vi ce l eavi ng behi ndhi swi f eandchi l d,andonAugust13,1940,hefil edanact i onf ordi v or ce i nt he Ci r cui tCour tofMobi l e Count y ,Al abama,U. S. A. ,al l egi ng as gr ound abandonmentbyhi swi f e.Havi ngre cei ve d acopyoft hecompl ai nt ,Sal ud fil ed
an answeral l egi ng,amongot hert hi ngs,t hatappel l antwas notar esi dentof Mobi l eCount y,butofNai c,Cavi t e,Phi l i ppi nes,andt hati twasnott ruet hatt he causeoft hei rseparat i on wasabandonmenton herpartbutt hatappel l antwas i nt he Uni t ed St at es,wi t houther ,becausehe was t hen enl i st ed i nt he U. S. Navy . Nev er t hel es s,t he Ci r cui t Cour t of Mobi l e Count yr ender ed j udgment grant i ngappel l antadecr eeofdi vor ceonApri l9,1941 A .f t ersecur i ngadi v or ce Al f r edo mar r i ed Thel ma Fr anci s,an Ame r i can ci t i z en.The l at t er ,however , obt ai nedadi vor cef r om hi mf orr easonsnotdi scl osed byt heevi dence.Al f r edo Javi err et ur ned t ot he Phi l i ppi nes ar me d wi t ht wo decr ees ofdi v or ce — one agai nsthi sfir stwi f eSal udR.Ar caandt heot heragai nsthi m byhi ssecondwi f e Thel maFr anci s.Whenr et ur nedt ot hePhi l i ppi nesandmar r i edMar i aOdvi naof Nai c,Cavi t e. Att he i nst ance ofpl ai nt i ff Sal ud R.Ar ca an i nf ormat i on f or bi gamy was fil ed by t he Ci t y Fi scalofMani l a on Jul y 25,1950 agai nst def endantAl f r edoJavi er . Al f r edowasacqui t t edoft hecharg eofBi gamypr edi cat ed LowerCour tRul i ng: on t hepr oposi t i on t hatt hemarri ageofdef endantAl f r edoJavi erwi t ht heMari a Odvi nawasmadei nal lgoodf ai t handi nt hehonestbel i ef . I SSUES: 1.Doest hi sdecr eehaveaval i deffecti nt hi sj uri sdi ct i on?–NO 2.Whet herAl f r edoi sgui l t yofbi gamy–YES RATI O T : hi scour thashadal r eadyoccasi on t opassupon quest i onsofsi mi l ar nat ur ei n anumberofcasesandi t srul i nghasi nvari abl ybeent odenyval i di t y t ot hedecree.I nessence,i twashel dt hatoneoft heessent i alcondi t i onsf ort he val i di t yofadecr eeofdi vor cei st hatt hecour tmusthav ej ur i sdi ct i on overt he subj ec t mat t er and i n or der t hat t hi s may be acqui r ed, pl ai nt i ff must be domi ci l ed i n good f ai t hi nt he St at ei n whi ch i ti s gr ant ed ( Cousi ns Hi xvs. Fl uemer ,55Phi l . ,851,856) . I ti st ruet hatSal udR.Ar cafil edan answeri nt hedi vorcecasei nst i t ut ed at t he Mobi l e Count yi n vi ew oft he summons ser ved upon her i nt hi s j ur i sdi ct i on,butt hi s act i on cannotbe i nt er pr et ed as pl aci ng herundert he j ur i sdi ct i on oft hecour tbecausei t sonl ypur posewast oi mpugn t hecl ai m of appel l antt hathi sdomi ci l eorl egalr esi denceatt hatt i mewasMobi l eCount y , andt oshow t hatt hegr oundofdese r t i oni mput edt oherwasbasel essandf al se. Such answers houl d be consi der ed as a speci alappear ancet he pur poseof whi chi st oi mpugnt hej ur i sdi ct i onoft hecour tovert hecase. I n deci di ngt heCanson case,t hi scourtdi dnotover l ook t heot hercases pr evi ousl ydeci dedon t hemat t er ,butpr eci sel yt ook good not eoft hem.Among r ezvs .Gmur t hecasesi nvoked areRami ,42Phi l .855;Cousi nsHi xvs.Fl uemer , r e t t oGo nz al e sv s .Go nz al e s 55Phi l . ,851,andBar ,58Phi l . ,67.
I nt hecasesj ustment i oned,t hi scourtl ai ddownt hef ol l owi ngdoct ri nes: I ti s est abl i shed by t he gr eatwei ghtofaut hori t yt hatt he cour tofa count ryi nwhi chnei t heroft hespousesi sdomi ci l edandt owhi choneor bot h oft hem mayr esor tmer el yf ort hepur poseofobt ai ni nga di vor ce hasnoj uri sdi ct i on t odet ermi net hei rmat ri moni alst at us;andadi vor ce See gr ant ed by such a courti snotent i t l ed t or ecogni t i on el sewher e.( Not et o Successi on of Bent on, 59 L. R. A. , 143) The vol unt ar y appearanceoft hedef endantbef oresuch at ri bunaldoesnoti nves tt he courtwi t hj uri sdi ct i on.( Andr ewsvs.Andr ews,188U.S. ,14;47L.ed. , 366. ) I tf ol l owsthat ,t ogi veacourtj uri sdi ct i onon t hegr oundoft hepl ai nt i ff' s r esi dence i nt he St at e orcount ryoft he j udi ci alf orum,hi sr esi dence mustbebona fide.( 14 Cyc .817,181. ) "( Rami r ezvs.Gmur ,82 Phi l . , 855. ) Buteve ni fhi sr esi dencehadbeent akenupi sgood f ai t h,andt hecour t had acqui r ed j uri sdi ct i on t ot ake cogni zance oft he di vor ce sui t ,t he decr ee i ssued i n hi sf avori s notbi ndi ng upon t he appel l ant ;f ort he mat r i moni aldomi ci l eoft hespousesbei ng t heCi t yofMani l a,and no new domi ci l ehavi ngbeenacqui r edi nWes tVi r gi ni a,t hesummonsmade bypubl i cat i on,shenothavi ngent er edanappear ancei nt hecase,ei t her personal l yorbycounsel ,di dnotconf erj uri sdi ct i on upon sai dcourtover herper son.( Cousi nsHi xvs. Fl uemer ,55Phi l . ,851. ) Atal lt i mest hemat r i moni aldomi ci l eoft hi scoupl ehasbeen wi t hi nt he Phi l i ppi neI sl andsandt here si denceacqui r edi nt heSt at eofNevadaby t hehusband f ort hepur poseofse cur i ngadi v or cewasnotabonafide r esi denceanddi d notconf erj uri sdi ct i on upon t hecourtoft heSt at et o di ss ol ve t he bonds ofmat r i mony i n whi ch he had ent er ed i n 1919. ( Barr et t oGonzal esvs.Gonzal es,58Phi l . ,67. ) I nt hel i ghtoft hef oregoi ngaut hori t i es,i tcannott heref orebesai dt hatt he Mobi l eCount yCour tofAl abamahadacqui r edj uri sdi ct i on overt hecasef ort he si mpl ereason t hatatt het i mei twasfil edappel l ant ' sl egalr esi dencewast hen i nt hePhi l i ppi nes.Hecoul d nothaveacqui r ed l egalr esi denceordomi ci l e at Mobi l eCount ybecauseatt hatt i mehewasst i l li nt heservi ceoft heU. S.Navy and mer el yrent ed a r oom wher eheuse dt ost aydur i nghi soccasi onalshor e l eavef orshi f tdut y .Thatheneveri nt ended t ol i vet her epermanent l yi sshown byt hef actt hataf t erhi smar r i aget oThel maFr anci si n1941,hemovedt oNew Yor kandaf t erhi sdi vor cef r om Thel mai n1949andhi sr et i r eme ntf r om t heU. S. Navy ,her et ur nedt ot hePhi l i ppi nesandmarr i edMari aOdvi naofNai c,Cavi t e, wher ehel i vedeversi nce.I tmayt her ef or ebesai dt hatappel l antwentt oMobi l e
Count y ,notwi t ht hei nt ent i on ofpermanent l yresi di ngther e,orofconsi deri ng t hatpl aceashi spermanentabode,butf ort hesol epurposeofobt ai ni ngdi vor ce f r om hi s wi f e.Such r esi dence i s notsuffici entt o conf erj ur i sdi ct i on on t he court .
APOLI NARI O G.DE LOSSANTOSandI SABELO ASTRAQUI LLO v , .J. HOWARD MCGRATH ATTORNEY GENERALOFTHE UNI TED STATES, SUCCESSOR TO THE PHI LI PPI NE ALI EN PROPERTY ADMI NI STRATI ON OF THE UNI TED STATES,REPUBLI C OFTHE PHI LI PPI NES, G. R.No.L4818Februar y28,1955 Do c t r i ne :Thef ai l ur eo ft hePhi l i ppi neg ov er nme ntt oi nc o r p or at ei t spr o vi s i o nsi n o urs t at ut ebo o ks ,f o rape r i o do fal mo s t45ye ar s ,i s ,t oo urmi nd,c l e arp r o o fo f t heunwi l l i ng ne s so fo urde par t me ntt oc hang et hepo l i c ys e tf o r t hi ns e c t i o n35o f Ac tNo.1459.
FACTS: Thi s act i on i nvol v es t he t i t l et o 1, 600, 000 shar es ofs t ock oft he Lepant o Consol i dat ed Mi ni ng Co. ,I nc.Pl ai nt i ffs cont end t hatDe l os Sant os bought55, 000shar esf r om Juan Campos,i n Mani l a,ear l yi n December ,1942; t hathebought300, 000 shar esf r om Car lHes s;and t hat ,bef or eChr i st masof 1942,hebought800, 000shar esf r om Car lHes s,t hi st i mef ort heaccountand benefitofAst r aqui l l o.Byvi r t ueofv est i ngP12,dat ed Febr uary18,1945,t i t l e t ot he1, 600, 000 sharesofst ock i n di sput ewas,however ,ves t ed i nt heAl i en Pr oper t y Cust odi an of t he U. S. ( her ei naf t er r ef er r ed t o as t he Pr oper t y Cust odi an)asJapanesepr opert y .Hence,pl ai nt i ffsfil ed t hei rr espect i vecl ai ms wi t ht he Pr oper t y Cust odi an. I n due cour se, t he Ves t ed Pr oper t y Cl ai ms Commi t t ee of t he Phi l i ppi ne Al i en Pr oper t y Admi ni st r at i on made a " det er mi nat i on, " dat ed Mar ch 9, 1948, al l owi ng sai d cl ai ms, whi ch wer e consi der edandheardj oi nt l yasCl ai m No.535,but ,upon per sonalr evi ew,t he Phi l i ppi neAl i en Pr oper t yAdmi ni st r at i on madebysai d Commi t t eeand decr eed t hat" t i t l et ot hesharesi n quest i on shal lr emai ni nt henameoft hePhi l i ppi ne Al i en Pr oper t y Admi ni st r at or . "Consequent l y ,pl ai nt i ffs i ns t i t ut ed t he pr esent act i on t o est abl i sh t i t l et ot he af or ement i oned share s ofs t ock and pr ay t hat j udgmentbe r ender ed decl ar i ng t hem l awf ulowner s ofsai d shar es ofst ock, wi t h such di vi dends,pr ofit sand r i ght sasmayhav eaccr uedt her et o;r equi r i ng t he def endant t or ender account s and t ot r ansf er sai d shar es of s t ock t o pl ai nt i ffs'names;andsent enci ngt hef ormert opaythecost s. The def endanther ei n,At t or ney Gener aloft he U.S. ,successort ot he " Admi ni st r at or" ,cont endst hatpri ort ot heout br eak oft hewari nt hePaci fic, sai d sharesofst ock wer eboughtbyVi cent eMadri gal ,i nt rustf or ,and f ort he benefitof ,t heMi t suiBussanKai sha( her ei naf t err ef er r edt oast he" Mi t sui s" ) ,a cor porat i on or gani z ed i n accor dancewi t ht he l aws ofJapan,t he t r ue owner t her eof ,wi t h br anch officei nt hePhi l i ppi nes;t haton orbef or eMar ch,1942, Madr i gal del i ve r ed t he cor r es pondi ng st ock ce r t i ficat es , wi t h hi s bl ank i ndorsementt her eon,t ot heMi t sui s,whi ch keptsai dcert i ficat es,i nt hefil esof i t sofficei nMani l a,unt i lt hel i berat i on oft hel at t erbyt heAmeri canf orcesear l y
i n 1945;t hatt heMi t sui shad neversol d,orot herwi sedi sposedof ,sai dshare s ofst ock;and t hatt hest ock cer t i ficat esaf or ement i onedmusthavebeen st ol en orl oot ed,t her ef ore,duri ngtheemergencyr esul t i ngf r om sai dl i berat i on. LowerCour tRul i ng: Judgmentwasr ender edi nf avoroft hepl ai nt i ffs I SSUE: 1.Whet herpl ai nt i ffshadpur chasedt heshar esofst ocki nques t i on. -NO RATI O:I tappear sf r om t heevi dencepr ese nt ed t hatt heonl yevi denceon t he al l egedsal eoft hesharesofst ocki nquest i on t ot hepl ai nt i ffs— t hemai ni ssue i nt he caseatbar— i st he t es t i mony ofApol i nari o de l os Sant os,who now cl ai mst obet hesol eownert her eof . Thus,t he i ssue i s based,and mus ts t and orf al l ,t her ef or e,upon t he uncorr oborat edt est i monyofpl ai nt i ffApol i nari odel osSant os,andt hecr edence and wei ghtt hatmaybegi v en t her et o.Upon a r ev i ew oft her ec or d,wefind, howeve r ,t hatsai dt est i monyi shi ghl yi mpr obabl eandi nher ent l yweak. The st at us ofquasi negot i abi l i t y gener al l y accor ded t o,and atpr esent enj oyed by, cert i ficat es of st ock, under t he Phi l i ppi ne l aw, i si n i t sel fa ne go t i abl e. I r ecogni t i on of t he f act t hat t he cer t i ficat es are nonnst ead of sust ai ni ngappel l ees'cl ai m,sect i on 5 oft heuni f orm St ock Transf erAct ,whi ch ef ut es " gi v esf ul lne go t i abi l i t yt oc er t i fic at e sofs t oc k, "r sai dcl ai m andconfirms t heno nne go t i abl ec h ar ac t e ro fs t o c kc e r t i fic at e si nt heabs e nc eo fs ai d Uni f r o m Ac t ,f or ,obvi ousl y,t hesamecoul dnothavegi ven,negot i abi l i t yt oani nst rument s t i nc t al r eadypossessi ngt hi sat t ri but epri ort her et o.Agai n,apartf r om bei ngdi f r om t hegeneralCorporat i on Law,t heaf or ement i oned Uni f orm Acti snoti n al f orcei nt hePhi l i ppi nes.I nt hi sconnect i on,i tshoul dbenot edt hatt hi sspeci
pi eceofl egi sl at i on wasadopt edi nsomest at esoft heuni on asearl yast heyear 1910.Thef ai l ur eoft hePhi l i ppi negovernmentt oi ncorporat ei t spr ovi si onsi n ours t at ut ebooks,f oraperi odofal most45year s,i s,t oourmi nd,cl earpr oofof t heunwi l l i ngnessofourdepart mentt ochanget hepol i cysetf ort hi nsect i on 35 ofActNo.1459.Needl esst o say ,t hi sf actnegat esouraut hori t y — whi ch i s t h al li t s l i mi t ed t ot he i nt er pr et at i on of t he l aw, and i t s appl i cat i on,wi i mpe r f e c t i o ns — t o abandon whatt hedi ssent i ngopi ni on char act er i z esast he " ci vi ll aw st andpoi nt , "andsubst i t ut e,i nl i eu t hereof ,t hecommerci alvi ewpoi nt , byappl yi ngsai d sect i on 5 oft heUni f or m St ock Tr ansf erAct ,al t hough nota partoft he l aw oft he l and.I ndeed,e ven i n mat t er s gener al l y consi der ed as f al l i ngwi t hi n" commer ci alt er ri t ory" ,t heRoman Law concepthasnotgi venway i c i t i nt hePhi l i ppi nest ot heCommon Law approac h,ex ce ptwhen t her ei sexpl st at ut orypr ovi si on t ot hecont rary .
CAYETANO B.LI WANAG,v.ROBERTS.HAMI LL,ET AL. G. R.No.L7881.Februar y27,1956 Doc t r i ne:Laws oft he Phi l i ppi nes cont i nue t o be i nf or ce i n sai d bases except whenot her wi seagr eeduponi nanagr eement .
FACTS:Rober tS.Hami l l ,Maj or ,USAF,Assi st antBasePr ovostMarshal ,Cl ark Ai r For ce Base,pr ovi nce ofPampanga,fil ed an ame nded compl ai ntagai ns t Li wanagf orvi ol ati on ofsect i on174oft heI nt ernalRevenueCode.I ti sal l egedi n t heamended compl ai ntt hatLi wanag,“ a pr i vat ei ndi vi dual ,wi t houtaut hori t y what soever ,and wi t houtpayi ngt hecor r espondi ngspeci fict axofTWO PESOS ( P2)per cart oon,di dt hen and t her e wi l l f ul l y ,unl awf ul l y and f el oni ousl y , posses s and havei n hi s cont r olsev ent een car t oons ofi mport ed f r ee oft ax Ame r i can ci gar et t esf oruseonl yoft heUS Mi l i t ar yandNavalFor cesst at i oned i nt hePhi l i ppi nes. ”Thecompl ai ntwassubscr i bed and sworn t obef or eJudge Lor enzo D.Li cup.Counse lf orLi wanag mov ed t o quash t hecompl ai nti nt he Just i ce oft he Peace Cour t ,butt hi s was deni ed.Ther eupon Li wanag fil ed a pet i t i on f orpr ohi bi t i on wi t ht heCourtofFi rs tI nst ance,al l egi ngt hatRobertS. Hami l lhasnoper sonalcapaci t yt osubscr i bet ot hecompl ai ntandt heJust i ce of t he Peace cour t ,t her ef or e, acqui r ed no j ur i sdi ct i on t o conduct t he pr e l i mi nar yi nv e s t i g at i on. LowerCour tRul i ng:Rober tS.Hami l li snotapeaceofficeroft heRepubl i cof t he Phi l i ppi nes and, t her ef or e, i s not aut hori ze d t o fil e a compl ai nt i n accordancewi t hsect i on2,Rul e106oft heRul esofCour t . I SSUE: 1.Whe t her a Provost Mar shal ofCl ar k Fi el di s a peace office r oft he
Republ i c oft he Phi l i ppi nes who i s aut hori ze dt o fil e a compl ai ntf or vi ol at i onoft heI nt er nalRevenueCode.–YES. RATI O:I ti sadmi t t edt hatt hePr ovostMarshalofCl arkFi el di sapeaceofficer . Pr ovos tMar shal si n Ar mybasesar epol i ceoffice r s,and t heyhav et hepower s anddut i esofchi ef sofpol i cei nmuni ci pal i t i es. Undert heagr ee mentbet wee nt heRepubl i c oft hePhi l i ppi nesand t he Uni t edSt at esofAmeri ca,f ort heest abl i shmentofbasesbythel at t erwi t hi nt he t erri t ory oft hef ormer ,l awsoft hePhi l i ppi nescont i nuet obei nf orcei n sai d bases except when ot her wi se agr eed upon i nt he agr eeme nt .And f or t he pur poseofheari ngcasest her ei n,j ust i cesoft hepeaceareappoi nt edandhol d office .Theyare notappoi nt ed by t he Uni t ed St at ed ofAmer i ca,butby t he Pr es i dent oft he Phi l i ppi nes ,s ubj ec tt o confirmat i on by t he Commi ss i on on Appoi nt me nt s.Butot hert han j ust i ces oft he peace,no ot herofficer s oft he Republ i coft hePhi l i ppi nesar eappoi nt edi nt hebases,muchl esspeaceofficer s, al t houghagent soft heRepubl i coft hePhi l i ppi nesmayhaveaccessi nt hebases t oseethatt hel awsoft hePhi l i ppi nesar eenf orced. Butt he ques t i on ofpeaceand or derwi t hi nt he bases i sl ef tt o peace office r s oft he Uni t ed St at es ofAmer i ca,t he chi efofwhom i st he pr ov ost mars hal .Toal l ow peaceofficer sofsai dRepubl i ct ogot her ei nandmakearr est s or i nst i t ut e pr osecut i ons f or vi ol at i on ofPhi l i ppi ne l aws woul d cert ai nl y gi ve occasi on f orconfli ct sofaut hori t y .Sonopr ovi si on i smadef ort heappoi nt ment ofpeaceofficer soft heRepubl i coft hePhi l i ppi neswi t hi nt hebases,and i ti s under st oodt hatt heenf orcementofPhi l i ppi nesl awsi sl ef tt ot heofficer soft he Uni t edSt at esofAmeri ca. I ti si l l ogi calt o deny t ot hese peaceofficer s( oft he Uni t ed St at es)t he powert o pr osecut e vi ol at i ons ofPhi l i ppi ne l aws i nt he mi l i t ary bases.Si nce t hesebaseswer eest abl i shedt heRepubl i coft hePhi l i ppi neshasabst ai nedf r om appoi nt i ng peace officer s of i t s own; t hi s must have been wi t h t he under st andi ng t hatt he exe cut i on ofPhi l i ppi ne l aws woul d be t aken car e of t her ei n by t hepeaceoffice r soft heUni t ed St at esofAmer i ca.Theabsenceof peaceofficer soft heRepubl i coft hePhi l i ppi nesi nt hesebasesi sduet ot hef act t hatt heenf or cementand pr osecut i on ofoffensesagai nstPhi l i ppi nel awswas i nt endedt obel odgedwi t ht hepeaceofficer soft heUni t edSt at esofAmer i ca.
PAULMACDONALD,ETAL. ,v.NATI ONALCI TYBANK OFNEW YORK G. R.No.L7991 May21,1956 Doc t r i ne:Whi l e an unr egi st er ed c ommer c i al par t ner shi p has no j ur i di c al per sonal i t y, nev er t hel ess, wher et wo or mor e per sons at t empt t oc r eat ea par t ner shi pf ai l i ngt oc ompl ywi t hal lt hel egalf or mal i t i es,t hel aw c onsi der st hem aspar t ne r sand t heas s oc i at i o ni sapar t ne r s hi pi ns of arasi ti saf av o r abl et o t hi r dpe r s o ns ,byr e as ono ft heeq ui t abl epr i nc i pl eofe st o ppe l .
FACTS: Pr endant St i or t o June 3, 1949,Def asi ki nocey had an ov er dr af t accountwi t hTheNat i onalCi t yBankofNew York,af or ei gnbanki ngassoci at i on dul yl i censedt odobusi nessi nt hePhi l i ppi nes.On June3,1949,t heover dr af t showed a bal anceofP6, 134. 92 agai nstSt asi ki noce y ort he Car di nalRat t an, whi ch account ,due t ot he f ai l ur e oft he par t ner shi pt o make t he r equi r ed payment ,was conver t ed i nt o an or di nary l oan f or whi ch t he cor r espondi ng
pr omi ssory‘ j oi ntnot enonnegot i abl e’wasexecut edbyLoui sF.daCost af orand i nt henameoft heCar di nalRat t an,Loui sF.da Cost a and Al an Gor ce y .Thi s wassecur ed on June7,1949,bya chat t elmor t gageexecut ed byLoui sF.da Cost a,Jr . ,Gener alPart nerf orandi nt henameofSt asi ki nocey,al l egedt obea dul yr egi st er ed Phi l i ppi ne part ner shi p,doi ng busi nessundert he name and st yl eofCar di nalRat t an. Themor t gage deed was f ul l yr egi st er ed by t he mor t gagee on June 11, 1949,i nt heOfficeoft heRegi st erofDeeds f ort hepr ovi nceofRi zal ,atPasi g and amongot herpr ovi si onsi tcont ai nedt hef ol l owi ng:( a) Thatt hemort gagor shal lnotsel lorotherwi sedi sposeoft hesai dchat t el swi t houtt hemort gagee’ s wr i t t en consent ;and( b)Thatt hemor t gageemayf or ecl oset hemor t gageatany t i me,af t erbr each ofanycondi t i on t her eof ,t hemort gagorwai vi ngt he30-day no t i c eoff or e c l os ur e . TheNat i onalCi t yBankofNew Yor k,Respondent her ei nl earnedt hatt he part ner shi pSt asi ki noceyt r ansf err edt oWi l l i am Shaeffer ,f r om t hel at t ert oPaul McDonal d,and f r om PaulMcDonal dt o Benj ami n Gonzal es ,oft he vehi cl es pr evi ousl ypl edgedbySt asi ki noceyt ot heRespondent .ThusRes pondentfil edan act i on agai nstSt asi ki noceyand i t sal l ege d part ner sGor ceyand Da Cost a,as wel las PaulMcDonal d and Benj ami n Gonz al es,t or ecoveri t s cr edi tand t o f or ec l ose t he cor r es pondi ng chat t elmor t gage .McDonal d and Gonz al es wer e madeDef becauset heycl ai med t ohavea bet t err i ghtovert hepl edged endant s vehi cl e. LowerCour tRul i ng : udgme J nti nf avoroft heRespondent ,annul l i ngt hesal e oft he ve hi cl es i n ques t i on t o Benj ami n Gonz al es ;se nt enci ng Da Cost a and Gor ce yt o pay t ot heRespondent j oi nt l yand seve r al l yt hesum ofP6, 134. 92, wi t hl egali nt er es tf r om t hedebtoft hepr omi ssorynot ei nvol ved;sent enci ngt he Pe t i t i oner Gonzal est odel i vert hevehi cl esi n quest i on t ot heRespondent f orsal e at publ i c auct i on i fDa Cost a and Gor ce y shoul df ai lt o pay t he money j udgment ;and sent enci ng Da Cos t a,Gor cey and Shaeffer st o pay t ot he j oi nt l yandsev er al l yanydefici encyt hatmayre mai n unpai dshoul d Respondent t hepr ocee ds oft hesal enotbe suffici ent ;and se nt enci ng Gor ce y ,Da Cost a, McDonal dandShaeffert opayt hecost s. Appel l at e Cour tRul i ng:Thedeci si on appeal edf r om i saffir medbutmodi fied A l ant ast o ppel Wi l l i am Shaefferi nt heobl i gat i on ofpayi ng,j oi nt l yandseveral l y, t oget herwi t hAl an W.Gor ceyandLoui sF.daCost a,Jr . ,anydefici encyt hatmay r emai nunpai daf t erappl yi ngt hepr oceedsoft hesal eoft hesai dmot orvehi cl es whi ch shal lbe under t aken upon t he l apse of90 days f r om t he dat et hi s endant s deci si on becomesfinal ,i fbyt henDef Loui sF.daCost a,Jr . ,and Al an W.Gor ceyhadnotpai dt heamountoft hej udgme ntdebt . I SSUE:
1.Whe t her an unr egi s t er ed commer ci al copart ner shi p whi ch has no i ndependentj uri di calper sonal i t ycan havea ‘ domi ci l esot hata chat t el mort gager egi st er ed i nt hat‘ domi ci l e’woul d bi nd t hi r d per sonswhoare i nnocentpur chasersf orval ue–YES RATI O: Whi l e an unr egi st er ed commer ci al par t ner shi p has no j ur i di cal per sonal i t y ,nev er t hel es s,wher et wo or mor e per sons at t empt t o cr eat ea part nershi pf ai l i ng t o compl y wi t h al lt he l egalf ormal i t i es,t he l aw consi ders t hem as part ner s and t he associ at i on i s a part ner shi pi n so f aras i ti sa f avorabl et ot hi r d persons,byr eason oft heequi t abl epri nci pl eofest oppel .I n HungManYocvs.Ki engChi ongSeng,6Phi l . ,498,i twashel dt hatal t hough“ i t hasnol egalst andi ng,i ti sapart ner shi pdef act oandt hegener alpr ovi si onsof t heCodeappl i cabl et oal lpart nershi psappl yt oi t . ”
CU UNJI ENG SONSV.BOARD OFTAX APPEALS G. R.No.L6296 Sept ember29,1956
Doct r i ne:Commonweal t h ActNo.466 ( Nat i onalI nt er nalRevenueCode)doesnot aut hor i zededuct i onsf orwarl osse swhi c hwer ecompensat edbyt heWarDamage Commi ssi on si nce suc h c ompensat i on does not f al l wi t hi nt he pur vi ew of “ c ompensat i on by i nsur anc e orot her wi se, ” as t he U. S.Gov er nmentwas not unde rany l e g alo bl i g at i o nt o do s o ,u nt i lU. S.Co ng r e s s pas s e dt he Phi l i ppi ne Re habi l i t at i o nAc to f1946( Publ i cL aw 370) .
FACTS:CuUnj i engSons( CUS)i sadomes t i ccor por at i on.Mor et han 70% ofi t s capi t alst ocki sownedbyFi l i pi noci t i zens. On Febr uary 1948, CUS fil ed wi t h t he Phi l i ppi ne War Damag e Commi ss i on ( Commi ss i on)a cl ai m f orcompensat i on i n acc or dancewi t ht he Phi l i ppi ne Rehabi l i t at i on Actof1945.The P1, 079, 388. 05 cl ai m i s based on al l eged l osses sust ai ned duri ng t he bat t l e ofl i ber at i on ofMani l a and ot her part soft hePhi l i ppi nes.Oft hesum cl ai med,onl yP671, 770. 19wasappr ovedby t heCommi ss i onandP470, 239. 19wi l lbepai d. On June 15,1950,CSU r ecei ved a U. S.Tr easur y War r antf orP202, 531. 06aspart i alpaymentoft heappr ove dcl ai m.Anot herTr easuryWarr antf or P151, 14. 31 was t r ansmi t t ed on Nov ember8,1950.Tog et herwi t ht he se cond check,CUS wasnot i fied t hati twoul d bet hel astpaymentt obemade byt he Commi ss i on cover i ng CUS’ s cl ai m unl es st he U. S.Congr es s makes f ur t her appr opri at i ont heref ore. I ni t si ncome t ax r et ur ns f ort he year s 19451950,CUS di d notpay i ncomet ax f ort heyear s 19451946 and i tdeduct ed warl osse si nt heyear s 19451947. Howev er ,t heCommi ssi oneron I nt er nalRev enue( CI R)di sal l owed deduct i onsf orwarl osse scl ai medbyCUS f ort heye ar s1946 and1947on t he gr ound t hatal lwarl oss essust ai ned by CUS shoul d hav e been cl ai med asa deduct i on f ort he ye ar 1945 when t he sai dl osse s wer e act ual l y sus t ai ned, pur suantt ot heNat i onalI nt er nalRev enueCode( NI RC) . CUSmai nt ai nst hat t hesai dl osseswer ecompensat ed by “ i nsur anceorot her wi se, ”and t hatsi nce not i ce was gi v en by t he Commi ss i on i n 1950,i tf ol l ows t hatt he l osses i n quest i onwer enotcharge abl easdeduct i onsi nt heyear1945. Commi ss i onerofI nt er nalRevenueRul i ng : hel T osseswer enotcompensat ed f or by i nsur ance or ot her wi se , and t hat , acc or di ngl y ,t he cor r espondi ng deduct i onwasper mi ssi bl ei n1945onl y . BoardofTaxAppeal sRul i ng : ffir A me dCI R Rul i ng. I SSUE: 1.Whe t hert hel oss essuffer edbyCUS i n 1945 wer ededuct i bl e,f ori ncome t ax purposes,i n 1945,when t hel osseswer ephysi cal l ysust ai ned,ori n 1950,when CUS was advi sed by t he Commi ssi on t hatno payment s,
ot hert hant hosemadebyt heCommi ssi oni n Juneand Nov ember1950, woul dbemadef orsai dl osses. RATI O :The det er mi nat i on oft hi s quest i on hi nges on t he i nt er pr et at i on and const r uct i on ofSec.30oft heNI RC,asi mpl ement edbyRev enueRegul at i on No. 2.Accor di ngt ot hel aw,t hel ossesi n quest i on coul donl ybecharge doff i nt he i ncomet axr et ur nf ort heyear1945,unl esscompensat edf orby“ i nsur anceor otherwi se. ” Wi t hr egar dt ot hequest i on on whet hert hel ossesaf or eme nt i oned wer e “ compensat edf orbyi nsur ance”i n1945,CUSr el i esuponSect i on 5( g)ofan Act ofCongr es s oft he Uni t ed St at esofMar ch 27,1942 ( Publ i c Law 506) .The pr ovi si on aut hori ze st heReconst r uct i on Fi nanceCorpor at i on t o empowert he War Damage Cor por at i on “ t o use i t sf und t o pr ovi de, t hr ough i nsur ance, r ei nsur anceorot herwi se,r easonabl epr ot ect i on agai nstl ossof ,ordamaget o, pr oper t ywhi ch mayr esul tf r om enemyat t ack”and t hat“ such pr ot ect i on shal l be made avai l abl e upon payme ntofsuch pr emi um or ot her char ge as t he Commi ssi on mayest abl i sh. ”I n or dert ocomeundersai dpr ovi si on,t her emust be( 1)“ i nsur ance,r ei nsur ance,orot her wi se”and( 2)“ payme ntofsuchpr emi um or ot her char ge as t he War Damage Cor por at i on may es t abl i sh. ” Nei t her r equi r ementi s pr ese nti nt he caseatbar .Hence,CUS i s note nt i t l ed t ot he benefit soft hePubl i cLaw 506. CUS i nsi st st hat i t s pr oper t y wer e, i n effect ,c ove r ed by a “ speci al st at ut oryi nsurance, ”r egar dl essofanyl egi sl at i on t her eon,because:( 1)on Dec. 13, 1941, t he Feder al Loan Agency of t he U. S. announced t hat t he Rehabi l i t at i onFi nanceCorpor at i onhadcr eat edt heWarDamageCorporat i ont o pr ovi depr ot ect i on agai nstl ossesr esul t i ngf r om enemyat t ack whi ch mi ghtbe sust ai nedbyowner sofpr opert yi n cont i nent alU. S. ;( 2)on Dec.23,1941,sai d Agency f ur t herannounced t hatt heWarI nsur anceCor por at i on woul d ext end t he same pr ot ect i on t o pr oper t y owner s i n t he Phi l i ppi nes; t hese announcement s wer e publ i shed i n t he Mani l a Day Bul l et i n and wer e subsequent l yconfirmedi nr adi obr oadcast soft he“ Voi ceofAmer i ca” ;( 4)Jesse Jones, t he Feder al Loan Admi ni st r at or of t he U. S. decl ar ed t hat sai d announcement was i nt ended as i nsur ance pol i cy; and, ( 5) compl i ance t her ewi t h,accor di ngt oSenat orTydi ngs,wasa“ l egalobl i gat i on”on t hepartof t heU. S.CUS admi t st hatl osse ssust ai ned l at ert han Jul y1,1942,doesnot cov erl ossesorpr oper t ydamagewhi chmayr esul tf r om enemyat t ack( i ncl udi ng anyact i on t aken bymi l i t ary ,naval ,orai rf orcesoft heU. S.i nr esi st i ngenemy at t ac k) . CUSsuffer edi t saf or ement i onedl ossesi n1945,dur i ngt hebat t l ef ort he l i ber at i on oft he Phi l i ppi nes by t he Al l i ed,especi al l y Ameri can Forces.Those l osseswer enott here sul tofenemyat t ack,orofact i on byt hearmedf or cedof t heU. S.i nr es i s t i ng enemy at t ack.Themai n enemy wasJapan,and nei t her Japan norany ofi t s associ at es,was at t acki ng i nt he Phi l i ppi nes.I ti s cl ear
t her ef oret hatt hel ossesofCUSdonotcomewi t hi nt hepurvi ew ei t herofPubl i c Law 506 oroft heannounce ment sabove ment i oned,and ar enotcompensat ed f orby“ i nsur ance, ”ast het erm i susedi nt heNI RC. Whe t hert hesai dl ossescoul d notbededuct ed i n 1945,because t hey wer e“ compensat ed f orbyi nsur anceorot her wi se, ”CUS i nvokest hePhi l i ppi ne Rehabi l i t at i onActof1946( Publ i cLaw 370) .Thel aw wasappr oved,andbecame effect i ve,on Apri l30,1946.I nordert obeent i t l edt odef erdeduct i onsf orl osses mat eri al l ysust ai nedwi t hi nagi venyear ,t heri ghtt ocompensat i on t heref or ,“ by wayofi nsur anceorot her wi se, ”i fany ,mustexi s t s,pr i ort ot heendofsai dyear . Consequent l y ,t heappr ovaloft hePhi l i ppi neRehabi l i t at i on Actof1946di dnot const i t ut ei n1945‘ acompensat i on’“ bywayori nsur ance”anddi dnotaut hori ze CUS her ei nt o post pone,t o anot heryear ,i t scl ai m f ordeduct i on ari si ngf r om t hewarl ossesi nquest i on. I ti sal socl ai med t hatt heact sand decl arat i onsofr esponsi bl eoffici al s and or gans oft heU. S.Gov er nmentbef or et heend of1945 wer e such ast o const i t ut e “ concl usi ve assur ance t hat proper t y owner s had r easonabl e expect at i on t hatt hei rwar l osses woul d be compensat ed f or . ”Al l egedl y ,t hi s “ r easonabl e expect at i on” suffice dt o pl ace t he l osse s ofCUS,dur i ng 1945, wi t hi nt he pur vi ew oft he phr ase “ compensat ed f or … ot her wi se” t han by i nsur anceundert he NI RC.The cont ent i on i s unt enabl e.“ Ot her wi se ”i nt he cl ause “ compensat ed f orby i nsur ance orot her wi se ”shoul d be cons t r ued t o r ef ert o compensat i on due undera t i t l e anal ogous orsi mi l art oi nsur ance. I nasmuch ast hel at t eri sa cont r actest abl i shi ng a l egalobl i gat i on,i tf ol l ows t hat i n or der t o be deemed “ compensat i on f or … ot her wi se , ”t he l osse s sust ai ned by t he t axpayermustbe cover ed by a j udi ci al l y enf or ceabl er i ght , spri ngi ngf r om anyoft hej uri di calsour cesofobl i gat i on:l aw,cont ract ,quasi c ont r a ct ,t or t s ,orc r i me . I ti snotcont ended t hati ndemni t ywas duet o CUS by r eason oft or t , cr i me,or quasi cont r act .Upon t he ot her hand, CUS,i n 1945,no r i ght t o i ndemni t y spr i ngi ng f r om l aw,f ort he Phi l i ppi ne Rehabi l i t at i on Actwas not appr ove dunt i lApri l1946.Thepr es srel ease sandannounce ment swer emer el y expre ssi onsofa pol i cyoft heExecut i veDepar t mentoft heU. S.Theydi d not i mpl yanyi nt entt oi nves t ,i nt heowner sofpr oper t ydamagesordest r oyed i n t hePhi l i ppi nesduri ngt hewar ,al egalri ghtt odemandi ndemni t yf r om t heU. S. Mor eove r ,t he payment of i ndemni t y by t he U. S. nec es sar i l yr equi r ed an appr opr i at i on ofpubl i cf undswhi chcoul dbemadeonl ybyan actofCongr ess oft heU. S. ,and,asr egardswarl ossesordamagessust ai nedi nt hePhi l i ppi nes “ l at ert han Jul y1,1942, ”nosuchappr opri at i on l aw exi st edatt hecl oseof1945 orbef or e.Thet heoryt hatt heannouncement sr esul t edi nani mpl i edcont r acti s c l e ar l yde v oi dofme r i t . Mor eove r ,t heGove r nmentoft heU. S.was underno l egalobl i gat i on t o payi ndemni t yf orl ossescausedbyt heenemyi nt hePhi l i ppi nes.Nei t herwasi t l i abl ef ordamagescaused by t heAmer i can f or cesdur i ng i t swaroper at i ons t her ei n,i n conf ormi t y wi t ht he l aws and cust oms ofwar .Consequent l y ,t he
i ndemni t y pr ovi dedf ori nt hePhi l i ppi neRehabi l i t at i on Actof1945waspur el y an obl i gat i on vol unt ari l yassumed sol el yf ormoralconsi der at i ons,and di d not exi stasal egalobl i gat i on pri ort otheapprovalofsai dActon Apri l30,1946.
MAMERTO CORRE V.GUADALUPE CORRE G. R.No.L10128 Oct ober13,1956 Do c t r i ne:Thet er m“ r esi dence”asused i nt herul esofcour ti ssynonymouswi t h “ domi ci l e. ” Thus,mer el y soj our ni ng i n a cer t ai n ar ea ort empor ar yr esi dence c anno ts e r v easbas i sf o rt hepur po s eo fde t e r mi ni ngt heve nuei nc i v i lc as e s.
FACTS:Mamer o Cor r e,pl ai nt i ff,i s a 44 ye ar ol d Amer i can ci t i z en and a r es i dent of Las Vegas, U. S. He i s a mast er ser ge ant i n t he U. S. Ar my . Guadal upe,def endant ,i s40yearsol dandaresi dentofSamar ,Phi l i ppi nes. Mamer o br ought an act i on i nt he Cour t ofFi r s tI nst ance of Mani l a seeki nghi sl egalseparat i on f r om Guadal upe,hi swi f e,andt hepl aci ngoft hei r mi norchi l dr enundert hecar eandcust odyofar eput abl ewomen’ sdormi t oryor i ns t i t ut i on as t he cour tmay r ec ommend.Guadal upe mov ed t o di smi sst he compl ai nton t he gr ound t hatt he ve nue i si mpr oper l yl ai d.She cl ai ms t hat si ncei tappear si nt he compl ai ntt hatnei t herMamer o norGuadal upe i sa r esi dentoft heCi t yofMani l ai nt hecour twher et heact i on wasfil edi snott he pr opercourtt ot akecogni zanceoft hecase. Lower Cour t Rul i ng: The cour t di smi ssed t he compl ai nt wi t hout pr onouncement sast ocost s. Appel l at eCour tRul i ng:Notappl i cabl e. I SSUE: 1.Whet hert hel owercour ter r edi ndi smi ssi ngt hecompl ai nt .
RATI O:CFIaffir med.Forpur posesoffil i ng ci vi lact i ons,t he Rul esofCour t pr ovi det hatt hepl ai nt i ff can el ectt ofil et heact i on i n cour themaychoosei f bot h t he pl ai nt i ff and def endant have t hei rr esi dence i nt he Phi l i ppi nes. Ot herwi se,t heact i on can onl ybebr oughti nt hepl acewer eei t heroner esi des. I nt hepr ese ntc ase,compl ai nant /pl ai nt i ff Mamer oi sa r esi dentofLasVegas, U. S.whi l edef endantGuadal upei sar esi dentofCat bal ogan,Samar .Suchbei ng t hecase,Mamer ohasnochoi ceot hert han t ofil et heact i on i nt hecourtoffir st i nst anceofGuadal upe’ spr ovi nce. The al l egat i on ofMame r o“ f orpur poses offil i ng and mai nt ai ni ng t hi s sui t ,t emporar i l yr esi desatSant aMesa,Mani l a”cannots erv easbasi sf ort he pur poseofdet er mi ni ngt hevenuef ort hati snott her esi dencecont empl at edby t herul e.Ot her wi se,i twoul d cr eat ea si t uat i on wher ea per son mayhavehi s r es i dence i n one provi nce and, t o sui t hi s conveni ence , or t o har ass t he def endant ,maybri ngt heact i oni nt hecourtofanyot herpr ovi nce. Resi dence,as used i n sai dr ul e,i s synonymouswi t h domi ci l e.Thi si s defined as “ t he per manent home,t he pl ace t o whi ch,whenever abse nt f or busi ness or pl easur e, one i nt ends t or et ur n, and depends on f act s and ci r cumst ances,i nt hesenset hatt heydi scl osei nt ent . ”
LAO I CHONG ETAL.V.JAI MEHERNANDEZ 101Phi l1155 ( 05/31/57) Do c t r i ne :A l aw di s t i ng ui s hi ng al i e nsf r o m r e s i de nt sdo e s no tv i o l at et hee q ual pr ot ec t i on c l ause oft he Cons t i t ut i on bec ause suffic i entgr ounds exi s tf or t he di s t i nc t i onbe t we enal i e nandc i t i z eni nt heex er c i s eo ft heoc c upat i o nr e gul at e d.I t al so does not vi ol at et he due pr oc ess of l aw c l ause,because t he l aw i s pr ospec t i v ei noper at i onandr ec ogni z est hepr i vi l egeofal i ensal r eadyengagedi n t heoc c upat i o nandr e as onabl ypr o t e c t st he i rp r i v i l e ge .
FACTS:Republ i cActNo.1180 ( “ An Actt oRegul at et heRet ai lBusi ness ” )was passed t oeffect i vel ynat i onal i zet her et ai lt r adebusi ness.Themai n pr ovi si ons oft heActare:( 1)aprohi bi t i on agai nstpersons,notci t i zensoft hePhi l i ppi nes, andagai nstassoci at i ons,part nershi ps,orcorporati onst hecapi t alofwhi char e notwhol l y owned by ci t i ze ns oft he Phi l i ppi nes,f r om engagi ng di r ect l y or i ndi rect l yi nt heret ai lt rade;( 2)anexcept i onf r om t heabovepr ohi bi t i on i nf avor ofal i ensact ual l yengagedi nsai dbusi nessonMay15,1954,whoar eal l owedt o cont i nuet o engaged t her ei n,unl esst hei rl i censesaref orf ei t ed i n accor dance wi t ht he l aw,unt i lt hei r deat h or vol unt ar yr et i r eme nt i n case ofnat ur al persons,andf ort enyearsaf t ert heappr ovaloft heActorunt i lt heexpi rat i on of t erm i n caseofj uri di calpersons;( 3)an except i on t her ef r om i nf avorofci t i zens
and j uri di calent i t i esoft heUni t ed St at es;( 4)a pr ovi si on f ort hef orf ei t ureof l i censes ( t o engage i n t he r et ai l busi ness )f or vi ol at i on of t he l aws on nat i onal i zat i on,cont r olwei ght sandmeasur esandl aborandot herl awsr el at i ng t ot r ade,commer ceandi ndust ry;( 5)apr ohi bi t i on agai nstt heest abl i shmentor openi ngbyal i ensact ual l yengagedi nt heret ai lbusi nessofaddi t i onalst oresor br anchesofr et ai lbusi ness,( 6)apr ovi si on r equi r i ngal i ensact ual l yengagedi n t he r et ai lbusi ness t o pr esentf or r egi st r at i on wi t ht he pr oper aut hori t i es a ver i fied s t at eme ntconcer ni ng t hei rbusi nesses,gi vi ng,among ot hermat t er s, t he nat ur e oft he busi ness,t hei rasset s and l i abi l i t i es and t hei roffices and pri nci paloffices ofj udi ci alent i t i es;and ( 7)a pr ovi si on al l owi ng t he hei r s of al i ensnow engaged i nt here t ai lbusi nesswhodi e,t ocont i nuesuch busi ness f oraperi odofsi xmont hsf orpurposesofl i qui dat i on. Pet i t i oner ,f or and i n hi s own behal f and on behal f of ot her al i en r esi dent s,corporat i ons,andpart ner shi psadver sel yaffect edbyt hepr ovi si onsof R. A.No.1180,br oughtt hi sact i on t oobt ai naj udi ci aldecl arat i on t hatsai dAct i s unconst i t ut i onal , and t o enj oi nt he Secr et ary of Fi nance and al lo t her per sons act i ng underhi m,part i cul arl y ci t y and muni ci palt r easur er s,f r om enf orci ngi t spr ovi si ons.Amongot hert hi ngs,pet i t i onercont endsthatt heAct deni est oal i en r esi dent st heequalpr ot ect i on oft hel awsand depri vesoft hei r l i bert yandpr opert ywi t houtduepr ocessofl aw and vi ol at esi nt ernat i onaland t r e at yobl i g at i onsoft hePhi l i ppi ne s. LowerCour tRul i ng:Notappl i cabl e. Appel l at eCour tRul i ng:Notappl i cabl e. I SSUE: 1.Whet herornott hel aw i sunconst i t ut i onal . RATI O : hel T aw i scons t i t ut i onal . Eq ualPr o t e c t i o n Cl aus e :The mai 1. n poi ntf or det er mi nat i on i s whet her al i enage i st he r ootand cause oft he di st i nct i on bet ween t he al i en and t he nat i onalasa t r ader .Theal i en r esi dentowesal l egi ancet ot hecount ryofhi s bi r t h orhi sadopt ed count r y;hi sst ayher ei sf orper sonalconveni ence;hei s at t r act ed by t he l ur e ofgai n and pr ofit .Whi l ehi sai m orpur posei snei t her i l l egi t i mat enori mmoral ,henat ur al l yl acksthespi ri tofl oyal t yandent husi asm f ort hi scount rywher ehet emporari l yst aysandmakeshi sl i vi ng,orofspi ri tof r egard,sympathy,andconsi der at i onf orhi sFi l i pi nocust omer saswoul dpr event hi m f r om t aki ng advant age oft hei rweaknes s and expl oi t i ng t hem.Anot her obj ect i on t ot heal i en r et ai l eri nt hi scount ryi st hatheneverr eal l y makesa genui necont r i but i on t onat i onali ncomeandweal t hsi ncet hegai nsandpr ofit s hemakesarenoti nve st edi ni ndust r i est hatwoul dhel pt hecount ry’ seconomy andi ncr easenat i onalweal t h.
Theaboveobj ect i onabl echar act er i s t i csoft heexer ci seoft her et ai lt r ade by t he al i ens, whi ch ar e act ual and r eal ,f ur ni sh suffici ent gr ounds f or l egi sl at i vecl assi ficat i on ofr et ai lt r adersi nt o nat i onal sand al i ens.Some may di sagr eewi t ht hewi sdom oft hel egi sl at ur e' scl assi ficat i on.Tot hi sweanswer , t hatt hi si st hepr er ogat i veoft hel awmaki ngpower .Si ncet heCour tfindst hat t hecl assi ficat i on i sact ual ,r ealandr easonabl e,andal lpersonsofonecl assar e t r eat ed al i ke, and as i t cannot be sai dt hat t he cl assi ficat i on i s pat ent l y unr easonabl eandunf ounded,i ti si ndut yboundt odecl aret hatt hel egi sl at ur e act ed wi t hi ni t sl egi t i mat e pr er ogat i ve and i t cannot decl are t hat t he act t ranscendst hel i mi tofequalpr ot ect i on est abl i shedbyt heConst i t ut i on. Due Pr oc ess :Pet 2. i t i oner ’ s mai n ar gumenti st hatr et ai li s a common, ordi naryoccupat i on,oneoft hosepri vi l egesl ongagor ecogni zedasessent i alt o t heorder l ypur suantofhappi nessbyf r eemen;t hati ti sa gai nf uland honest occupat i on and t her ef orebeyond t hepoweroft hel egi sl at ur et o pr ohi bi tand penal i zed.However ,t herealquest i on ati ssuei s“ whet hert heexcl usi on i nt he f ut ur e ofal i ensf r om t her et ai lt r adeunr easonabl e,arbi t r ary,and capri ci ous t aki ngi nt oaccountt hei l l egi t i mat eand per ni ci ousf orm and manneri n whi ch t heal i enshaveher et of oreengaged t her ei n?Ast huscorr ect l yst at edt heanswer i scl ear .Thel aw i n quest i on i sdeemedabsol ut el ynecessaryt obri ngaboutt he de si r e dl e gi s l at i v eobj e ct i v e ,i . e . ,t of r e enat i onale conomyf r o m al i e nc ont r o land domi nance.I ti snotnecessari l yunr easonabl ebecausei taffect spri vat eri ght s and pr i vi l eges.The t estofr easonabl enessofa l aw i st he appr opri at enessor adequacy under al lci r cumst ance s oft he means adopt ed t o car ry out i t s purposei nt oeffect .Judged byt hi st est ,t hedi sput ed l egi sl at i on,whi ch i snot mer el yr easonabl e but act ual l y nec es sar y ,mus t be consi der ed not t o hav e i nf ri ngedt heconst i t ut i onall i mi t at i on ofr easonabl eness. l eged vi ol at i on of i nt er nat i onal t r eat i es and obl i gat i ons 3. Al : Anot her subordi nat ear gumentagai nstt heval i di t yoft hel aw i st hesupposed vi ol at i on t her eby oft he Chart eroft he Uni t ed Nat i ons and oft he Decl arat i on oft he Human Ri ght sadopt ed by t he Uni t ed Nat i ons Gener alAssembl y .Wefind no meri ti nt heNat i onsChart eri mposesnost ri ctorl egalobl i gat i onsr egar di ngt he r i ght s and f r ee dom oft hei rsubj ec t s,and t he Dec l ar at i on ofHuman Ri ght s cont ai nsnot hi ngmor et han amer er ec ommendat i on oracommon st andar dof achi ev ementf oral lpeopl es and al lnat i ons.Thatsuch i st he i mportoft he Uni t edNat i onsChart erai doft heDecl arat i on ofHuman Ri ght scan bei nf er r ed t hef actt hatmember soft heUni t edNat i onsOr gani zat i ons,suchasNorwayand Denmark,pr ohi bi tf orei gner sf r om engagi ngi nr et ai lt r ade,andi nmostnat i ons oft heworl dl awsagai nstf orei gner sengagedi ndomest i ct r adear eadopt ed. The Tr eat y ofAmi t y bet ween t he Republ i c oft he Phi l i ppi nes and t he Republ i cofChi naofApri l18,1947i sal socl ai medt obevi ol at edbyt hel aw i n quest i on.Al lt hatt het r eat yguarant eesi sequal i t yoft r eat mentt ot heChi nese nat i onal s" upon t hesamet er msast henat i onal sofanyot hercount ry . "Butt he
nat i onal sofChi naarenotdi scri mi nat i ngagai nstbecausenat i onal sofal lot her count ri es,exceptt hoseoft heUni t ed St at es,whoaregrant ed speci alri ght sby t heConst i t ut i on,ar eal lpr ohi bi t ed f r om engagi ngi nt heret ai lt rade.Buteven supposi ng t hatt he l aw i nf r i nges upon t he sai dt r eat y ,t he t r eat yi s al ways subj ec tt oqual i ficat i on oramendmentbyasubse quentl aw,andt hesamemay nevercurt ai lorrest ri ctt hescopeoft hepol i cepoweroft heSt at e.
EASTBOARD NAVI GATI ON V.JUANYSMAELCO. ,I NC.
No.L9090 Sept ember1,1957 Do c t r i ne:The l aw oft he f or um gov er ns pr oc edur almat t er s( such as not i c e r equi r ement s) .The l aw oft he st at e wher ea f or ei gn j udgmenti s soughtt o be enf or cedcannotbei nvoked t oi mpugn t heval i di t y oft hepr oceedi ngswher et he f or ei gnj udgmentwasmade.
FACTS : uanYsmaelCo. J ,I nc( def endant ) ,t hr oughK.H.Hemady( i t spr esi dent andgeneralmanager) ,chart eredEast boar dNavi gat i on’ s( pl ai nt i ff)vesselt ol oad a cargoofscr ap i r on i nt hePhi l i ppi nesf orBuenos Ai r es.Thechart erpart y agr eement cont ai ned, bes i des t he r egul ar chart er par t y pri nt ed f or m, a t ypewri t t encl ausepr ovi di ngf orcompul soryarbi t r at i oni nt hest at eofNew Yor k, U. S.i n caseofanydi sput est hatmayar i seofsai d agr ee ment .Juan Ysmael , t hr ough K. H.Hemady ,si gnednotonl yt hepr i nt edport i on oft hechart erpar t y butt het ypewr i t t en por t i on.I tappear st hataf t ert hedi sput east ot hel i abi l i t y ofJuan Ysmael( f ort hepaymentf r ei ghtand demur r age)ar ose ,K. H.Hemady appoi nt edNew Yor kAt t ys.Manni ng,Harni sch,andHol l i ngert ore pr ese ntJuan Ysmaeli nt hear bi t r at i onpr oceedi ngst obehel di nNew Yor k.OnMay23,1959, Mess r s.Manni ng,Harni sc h,andHol l i nger ,act i ngasat t orneysf orJuan Ysmael execut ed wi t ht heat t orneyf orEast boar d Navi gat i on an arbi t r at i on agreement . Thear bi t r at i on agr eeme ntwaspr esent ed byEast boar d Navi gat i on t ot heU. S. Di s t r i ct Cour t , Sout her n Di st r i ct , Sout her n Di st r i ct of New Yor k, f or confir mat i on and sai dCour t( act i ngasan admi r al t ycour t )confir med t hesai d arbi t r at i on deci si on i ni t sOr derand Fi nalDecr eeofAugust15,1950 ( “ Or der andFi nalDecree” ) . East boar dNavi gat i on br oughtt hi sact i on t oenf orcet heaf oresai d“ Or der andFi nalDecr ee”pur suantt oSect i on 48,Rul e39oft heRul esofCour twhi ch provi des t hat “ i n case of a j udgment agai nst a per son, t he j udgment I s pr esumpt i veevi denceofar i ghtasbet ween t hepart i esandt hei rsuccessor si n i nt er estbyasubsequentt i t l e;butt hej udgmentmayber epel l edbyevi denceof a wantofj uri sdi ct i on,wantofnot i ce t ot he part y,col l usi on,f r aud,orcl ear mi st ake ofl aw orf act . ”Juan Ysmaelse t sup t hedef enset hatt he j udgment cannotbeenf or cedi nt hePhi l i ppi nesbecausewhent heNew Yor kDi st r i ctCour t act edon t hecase,i tdi dnothavej uri sdi ct i on overt hepersonoft hedef endant . LowerCour tRul i ng:Dec i si onoft heNew Yor kDi st r i ctCour taffir medandt hat t he“ Or derandFi nalDecr ee”shoul dbeenf or ced. Appel l at eCour tRul i ng:Notappl i cabl e. I SSUE: 1. Whe t herornott hel owercour ter r ed i n enf or ci ngt he“ Or derand Fi nal Decr ee”i ssuedbyt heNew YorkDi st r i ctCourt .
RATI O:CFIaffir med. 1. Ast owhet herJuan Ysmaelagr eed t osubmi tt ocompul sor yar bi t r at i on i t sdi sput ewi t h East boar d Navi gat i on i nt hechart erpar t yagreementexecut ed be t ween t hem,t he Cour thel dt hati ti nt ended t o submi ti t s di sput e wi t h East boar d Navi gat i on t o arbi t r at i on. Ot her wi se, t he l ogi cal st ep t hat Juan Ysmaelshoul d havet aken woul d bet or epudi at et heactofi t spr esi dentand gener almanager .Farf r om doi ngso,Juan Ysmaelr at i fiedi tbysubsequentact s whi ch cl ear l yi ndi cat et hati twasagr eeabl et o sai d ar bi t r at i on.Consequent l y , sai d arbi t r at i on pr oceedi ngs as wel l as t he arbi t r at i on deci si on r ender ed pur suantt her eof ,as confir med by t heDi st r i ctCour tofNew Yor k,ar eval i d; hence,enf orceabl ei nt hi sj uri sdi ct i on.
2. Ast o whet hert hedec i si on r ender ed by t heU. S.Di st r i ctcour tofNew Yor k si t t i ng as an Admi r al t y Cour t ,whi ch r at i fied t he awar d made by t he arbi t r at ors ,hasnobi ndi ngeffecton def endantcorporat i on orwhet heri tcan be enf or ced i n t hi sj ur i sdi ct i on as t he U. S. Di st r i ct cour t di d not acqui r e j ur i sdi ct i on ov er Juan Ysmael ,t he Cour t hel dt hat such cont ent i on was unmer i t ori ous.Thecl ai mi spr edi cat ed on t heal l eged f actt hatdef endantwas neve rser vedwi t hnot i ce,summons,orprocessr el at i vet ot hesubmi ssi on oft he awar doft hear bi t rat orst osai dcourt ,i nvoki ngU. S.Arbi t r at i on ActofFebruary 12,1925 underwhi ch t heNew Yor k Di st r i ctcour tc onfirmed t hear bi t r at or ’ s award.Thel aw i nvoked,howeve r ,doesnotsust ai n def endant ’ spr et ensesi nce t he Ar bi t r at i on Actdoes notnecessari l yr equi r et hatservi ce ofnot i ce oft he appl i cat i on f orconfir mat i on bemadeon t headver separt yhi msel f( i n caseofa nonr esi dent ) ,i tbei ngsuffici entt hati tbemadeupon hi sat t orney .I nt hi scase, a copy ofnot i ceofsubmi ssi on oft heawar dt ot heDi st r i ctCour tofNew Yor k was served upon def endant ’ s counselwho i n due t i memade ofr ecor dt hei r appear ance and act ual l y appear ed when t he cas e was hear d. I ti s al so si gni ficantt hat def endant ’ s counselnev er i mpugned t he j ur i sdi ct i on oft he courtoverdef endantnordi dt heyeve rpl ead bef or ei tt hatt heywer eber ef tof aut hori t yt or epr esentdef endant .Def endantcannott her ef orei nt hi sdi st ance def eatt he effectoft hi s deci si on by al l egi ng wantofj uri sdi ct i on,orwantof not i ce,aspr ovi dedf ori nSec.48,Rul e39oft hePhi l i ppi neRul esofCourt .
LYGI OK HAETAL.V.GALANG G. R.No.L10760 ( 5/17/57) Do c t r i ne A or ei gnerwhopos t edabondt omakehi s/herent r yf easi bl ei nt he : nyf c o unt r yandt he r e af t e rbemar r i e dt oac i t i z eno ft hePhi l i ppi ne swi l lbeent i t l e dt o t her e t ur no ft hes ai dbo nd.
FACTS:Pet i t i onerLyGi ok Ha,al i asWyGi ok Ha,ent er ed t hePhi l i ppi nesasa ci t i zenoft heNat i onal i stRepubl i cofChi naandat emporaryvi si t or ,ext endedup t o Mar ch 14,1956.I n or dert o make sai d ent ryf easi bl e,hersi st erand copet i t i onerWyHong Eng,had,on Mar ch 28,1955,madewi t ht heBur eau of I mmi gr at i on,acashdeposi tofP10, 000.LyGi okHa,al i asWyGi okHa,marr i ed Res t i t ut o Lacas t a, a Fi l i pi no. Thi s not wi t hst andi ng, on Mar ch 16, 1956, r es pondentEmi l i o L.Gal ang,as Commi ss i onerofI mmi gr at i on decl ar ed sai d cashdeposi tf orf ei t ed.LyGi ok Ha,herhusbandRest i t ut oLacast a,t hef ormer ' s si st er ,WyHongEng,and t hel at t er ' shusband,Ngo I n,i nst i t ut ed t hepr esent act i onagai nstEmi l i oL.Gal ang. LowerCour tRul i ng: TheCour tofFi r stI nst anceofMani l ar ender edj udgment f ort hepe t i t i one r s. Appel l at eCour tRul i ng:N/A I SSUE: 1. Whe t herornothermar r i aget oaFi l i pi noj ust i fiedorexcusedt hef ai l ur e ofLy Gi ok Ha t odepartf r om t hePhi l i ppi nesand t hust hef orf ei t ur eof t hecash bondpost edwasavi ol at i onofherri ght .–Yes RATI O: Ont hi si ssueofvi ol at i ngherbondwhi chst at es,“ t heunder si gned,wi t h f ul lknowl edget hatLy Gi ok Ha,a t empor aryvi si t orwhoseaut hori ze d st ayi n t hi scount ryi sl i mi t ed onl yup t o and i ncl udi ngAugust14,1955,do her eby
under t aket hatsai dLyGi ok Hawi l lact ual l ydepartf r om t hePhi l i ppi neson or bef or e sai d dat e so speci fied,orwi t hi n such per i od as i n hi s di scr et i on t he Commi ssi oner ofi mmi gr at i on or hi s aut hori ze dr epre sent at i ve may pr oper l y al l ow, ”aski ng f oran ext ensi on di d notvi ol at et he bond on f ourr easons:( a) Compet entaut hori t i esgr ant edsai dr equest s;( b)t hebondcl earl yi ndi cat esthat t he Commi ss i oner of I mmi gr at i on, or hi s aut hor i z ed r epr es ent at i ve , may pr oper l yal l ow an ext ensi on;( c)Therequest sf orext ensi on i nvol ved i nt hecase atbardo not ,i n any mannerwhat ev er ,r un count ert o any oft hepur poses soughtt o be se rv ed by t hebond i n ques t i on;( d)Res pondentGal angdi d not r egardsai dr equest sf orext ensi onasabr each ofsai dundert aki ng. On t hei ssueofwhet herhermarri aget oaFi l i pi noj ust i fied or ,atl east , excusedt heaf oresai df ai l ur eofLyGi okHat odepartf r om t hePhi l i ppi neson or bef or eMar ch 14,1956,Theper t i nentpar tofsect i on 15ofCommonweal t h Act No.473,upon whi ch pet i t i oner srel y ,r eads,“ Any woman who i snow ormay her eaf t erbemarr i ed t oaci t i zen oft hePhi l i ppi nes,and whomi ghther sel fbe l awf ul l ynat ur al i zedshal lbedeemed aci t i zen oft hePhi l i ppi nes. ”Byr eason of c suchnat ur al i zat i on t hr ough marr i age,sect i on 40( )ofCommonweal t h ActNo. 613pr ovi dest hat" i nt heeventoft henat ur al i zat i on asaPhi l i ppi neci t i zen ... he bond shal lbe oft he al i en on whose behal ft he bond deposi ti s gi v en,t cancel l ed ort hesum deposi t ed shal lbe r et ur ned t ot hedeposi t ororhi sl egal r e pr e s ent at i v e. ” Consi deri ng,however ,t hatnei t heri nt headmi ni st r at i vepr oceedi ngs,nor i nt hel owercour t ,had t hepart i esseemi ngl yf el tt hatt her ewas an i ssueon whe t herLyGi okHamay" bel awf ul l ynat ur al i z ed, "andt hi sbei ngacaseoffir s t i mpr essi on i nourcourt s,TheSC i soft heopi ni on t hat,i nt hei nt erestofequi t y andj ust i ce,t hepart i esshoul dbegi venan opport uni t yt oi nt r oduceevi dence,i f t heyhaveany ,onsai di ssue.Thedeci si onappeal edf r om i sher ebysetasi deand l et t he r ec or ds of t hi s case be r emanded t ot he l ower cour tf or f ur t her pr oceedi ngs
AMERI CAN BI BLE SOCI ETY V.CI TY OFMANI LA G. R.No.L9637Apri l30,1957 Do c t r i ne:Co r po r at i o ns o ras s o c i at i o ns o r g ani z e d and o pe r at e de x c l us i v e l yf o r r e l i g i o us ,c h ar i t abl e ,o re duc at i o nalpur po s es ,ar ee x emptf r o mc o r po r at ei nc o me t a x e s .
FACTS: Pl ai nt i ffappel l ant i s a f orei gn, nonst ock, nonpr ofit ,r el i gi ous, mi ssi onary corpor at i on dul yr egi st er ed and doi ng busi nessi nt hePhi l i ppi nes t hr oughi t sPhi l i ppi neagencyest abl i shedi nMani l a.Thedef endantappel l eei sa muni ci palcorpor at i on wi t h power st hatar et obeexer ci sed i n conf ormi t ywi t h t hepr ovi si onsofRepubl i cActNo.409,known as t heRevi sed Chart eroft he Ci t yofMani l a.
I nt he cour se ofi t s mi ni st ry ,pl ai nt i ff' s Phi l i ppi ne agency has been di st r i but i ng and se l l i ng bi bl es and/or gospel por t i ons t hr oughout t he Phi l i ppi nes.On May29 1953,t heact i ngCi t yTr easur eroft heCi t yofMani l a i nf ormed pl ai nt i fft hati twasconduct i ngt hebusi nessofgener almer chandi se si nce 1945,wi t houtpr ovi di ng i t sel fwi t ht he nece ssar y Mayor ' s per mi tand muni ci pal l i ce nse ,i n vi ol at i on of Or di nance No. 3000, as amended, and Or di nancesNos.2529,3028and3364,andr equi r edpl ai nt i fft osecur e,wi t hi n t hr ee days,t he cor r espondi ng per mi tand l i cense f ees ,i nt he t ot alsum of P5, 821. 45. Pl ai nt i ff pai dt othedef endantunderpr ot estt hesai dpermi tandl i cense f eesi nt heaf ore ment i oned amount ,gi vi ngatt hesamet i menot i cet ot heCi t y Tr easur er t hatsui twoul d be t aken i n cour tt o quest i on t he l egal i t y oft he or di nancesunderwhi ch,t he sai df eeswer e bei ng col l ect ed.Wi t hr egar dt o Or di nanceNo.2529,asamendedby Or di nancesNos.2779,2821 and 3028, appel l antcont endst hati ti sunconst i t ut i onaland i l l egalbecause i tr est r ai ns t he f r ee exer ci se and enj oymentoft he r el i gi ous pr of ess i on and wor shi p of appel l ant . LowerCour tRul i ng: Fort hepur poseoft axi ngt hemer chandi sement i onedi n sai dl egalpr ovi si onsandt hatt het axest obel evi edbysai dordi nancesi si nt he nat ur eofper cent agegr aduat edt axes,t heRTC hel dt hatt hecasebedi smi sse d f orl ac kofme r i t . Appel l at e Cour tRul i ng: Ver i fied t hecaset ot heSC f ort her eason t hatt he err orsassi gnedt ot hel owerCourti nvol vedonl yquest i onsofl aw. I SSUE: 1. Whe t herornott he sal e and di st r i but i on ofbi bl es by t he appel l anti s t axabl e.-No RATI O: I tmaybet ruet hati nt hecaseatbart hepri ceasked f ort hebi bl esand ot herr el i gi ous pamphl et s was i n some i nst ances a l i t t l e bi thi ghert han t he act ualcostoft hesamebutt hi scannotmeant hatappel l antwasengagedi nt he busi nessoroccupat i on ofsel l i ngsai d" mer chandi se"f orpr ofit .Fort hi sr eason t heCourtbel i evet hatt hepr ovi si onsofCi t yofMani l aOr di nanceNo.2529,as amended,cannotbeappl i edt oappel l ant ,f ori ndoi ngsoi twoul di mpai ri t sf r ee exer ci seand enj oymentofi t sr el i gi ous pr of essi on and wors hi p as wel las i t s r i g ht sofdi s se mi nat i onofr e l i g i ousbe l i e f s . Wi t hr espectt o Or di nance No.3000,as ame nded,whi ch r equi r es t he obt ent i on t he May or ' s per mi t bef or e any per son can engage i n any oft he busi nesses,t r adesoroccupat i onsenume r at ed t her ei n,i tdoesnotfind t hati t i mposesanychar geupon t heenj oymentofar i ghtgr ant edbyt heConst i t ut i on, nort axt hee xe r c i s eofr e l i g i ouspr a ct i c es .
TheCour tt husr ever set hedeci si onappeal edf r om,sent enci ngdef endant r et urnt opl ai nt i fft hesum ofP5, 891. 45undul ycol l ect edf r om i t .
CLAUDI NA VDADEVI LLARUELV.MANI LA G. R.No.L10394December13,1958 Do c t r i ne:Mani l a Mot orCo.shoul d notbe hel dl i abl ef ort he r ent al s oft he pr emi sesl eased c or r espondi ngt ot hel apseoft i met hatt hey wer eoc c upi ed as quar t er sorbar r ac ksbyt hei nvadi ngJapanesear my.
FACTS: Thepl ai nt i ff Cl audi na Vi l l ar ueland t hedef endantMani l a Mot orCo. , I nc.ent er ed i nt oacont r act( Exhi bi t" A" )wher eby,t hef ormeragr eed t oconvey by way ofl easet ot he l at t ert he pr oper t y .Thet er m oft he l ease wasfive( 5) year s,r enewabl ef oran addi t i onalper i od offiv e( 5)year s.Thel eased pr emi ses wer epl acedi nt hepossessi onoft hel esseeont he31s tdayofOct ober ,1940. The Mani l a Mot or Co. ,I nc. and i t s br anch manager enj oyi ng t he pr emi ses,and t he l essor sr ecei vi ng t he corr espondi ng r ent al s as st i pul at ed, cont i nued unt i lt he i nvas i on of1941;t he enemy f or ce s hel d and use dt he pr oper t i esl ease d as par toft hei rquar t er sf r om June 1,1942 t o Mar ch 29, 1945,oust i ng t hel es se et her ef r om.No paymentofr ent al swer emadeatany t i meduri ngt hesai d per i od.Upon t hel i ber at i on oft hesai d ci t yi n 1945,t he Ame r i can For ces occupi ed t he same bui l di ngs t hat wer e vacat ed by t he Japanese,unt i lOct ober 31,1945.Mont hl yr ent al s wer e pai d by t he sai d occupant s.When t heUni t ed St at esAr my final l y gave up t heoccupancyt he pr emi ses,t heMani l aMot orCo. ,I nc. ,deci ded t oexer ci set hei ropt i on t or enew t hecont r actf ort headdi t i onalperi odoffive( 5)years.Si mul t aneousl ywi t hsuch r enewal ,t he company subl e tt he same bui l di ngs,exc ept t hat use df or t he r esi denceoft hebr anch manager ,t ot heot herdef endant ,Ar t ur o Col menar es. Howeve r , bef or er esumi ng t he col l ect i on of r ent al s, Dr . Al f r edo Vi l l aruel , consul t ed At t y .Lui sHi l adoon whet hert heyhad t heri ghtt ocol l ect ,f r om t he def endant company, r ent al s cor r es pondi ng t ot he t i me dur i ng whi ch t he Japanese mi l i t ary f or ces had cont r olover t he l eased pr emi ses.Upon bei ng advi sed t hatt heyhad such a r i ght ,Dr .Vi l l arueldemanded paymentt her eof , butt hedef endantcompanyr ef usedt opay .Asar esul t ,Dr .Vi l l ar uelgavenot i ce seeki ngt heresci ssi on oft hecont r actofl easeandt hepaymentofr ent al s.The l es sor s commenced t hi s act i on on Apri l26, 1947 wi t ht he Cour t ofFi r s t I nst anceofNegrosOcci dent alagai nstt heappel l ant sherei n. Dur i ngt hependencyoft hecase,a fir eori gi nat i ngf r om t hepr oj ect i on r oom oft he Ci t y Theat r e,i nt o whi ch Ar t ur o Col menar es ,had conver t ed t he f ormerr epai rshop oft heMani l aMot orCo.I nc. ,compl et el yrazedt hebui l di ng. Pl ai nt i ffsdemandedr ei mbur sementbutt hedef endant sr ef used. LowerCour tRul i ng: Thecasewasaccor di ngl yhear dandt her eaf t er ,j udgment wasr ender edi npl ai nt i ffs'f avor . Appel l at eCour tRul i ng:N/A
I SSUE: t herornotMani l aMot orCo.shoul dbehel dl i abl ef ort her ent al sof 1. Whe t hepr emi sesl eased cor r espondi ng t ot hel apseoft i met hatt heywer e occupi edasquart er sorbarr acksbyt hei nvadi ngJapanesear my .-No RATI O: Ont hei ss ueoft heamendmenti nt hec ompl ai ntf r om t henonpayment oft he r ent al s dur i ng t he Japanes e occupat i on,t ot he nonpayment oft he bur nedpr oper t y ,t hi scannotbeconsi der edasal r eadyal t er i ngt het heor yoft he case whi ch i s mer el y a change i nt he r el i efpray ed f or ,brought about by ci r cumst ance s occurr i ng dur i ng t he pendency of t he act i on, and i s not i mpr oper .Sect i on 2,Rul e17 oft heRul esofCourtst at es," t ot heend t hatt he r ealmat t eri n di sput e and al lmat t er si nt he act i on i n di sput e bet ween t he part i esmay,asf araspossi bl ebecompl et el ydet ermi nedi nasi ngl epr oceedi ng" . On t hei ss ueoft henonpaymentdur i ngt heJapanes eocc upat i on,t he fir stparagr aph ofart i cl e1560,t hel ess ordoesnotanswerf ora mer e actof p t ur bac i on de mer o hec ho t r espass (er )as di st i ngui shed f r om t r espass under t ur baci on deder ec ho) col oroft i t l e(per .Upon t hebasi soft hedi st i nct i on t hus per t ur baci ondehecho pe r t ur bac i o ndede r e c h o, est abl i shedbet weent he andt he i ti sdemonst r abl et hatt heoust eroft heappel l antby t heJapaneseoccupyi ng ec ho.Forundert f or cesbel ongst ot hesecond cl assofdi st ur bances,deder he gener al l y accept ed pri nci pl esofi nt ernat i onall aw,a bel l i ger entoccupantmay l egi t i mat el ybi l l etorquart eri t st roopsi npri vat el yownedl andandbui l di ngsf or t hedur at i on ofi t smi l i t aryoper at i ons,orasmi l i t arynecessi t yshoul ddemand. Wear et husf or ced t o concl udet hati n evi ct i ngt hel essee,Mani l a Mot orCo. , I nc.f r om t hel easedbui l di ngsand occupyi ngt hesameasquart er sf ort r oops, t heJapaneseaut hori t i esact edpur suantt oar i ghtr ecogni zedbyi nt er nat i onal and domest i cl aw. I t s act of di spossessi on, t her ef ore , di d not const i t ut e per t ur bac i on de hec ho t ur bac i on de der ec ho f buta per or whi ch t he l essor s Vi l l ar uelwer el i abl e and f or t he consequences ofwhi ch sai dl essor s must r espond,si ncet heresul toft hedi st ur bancewast hedepri vat i on oft hel esseeof t hepeacef uluseand enj oymentoft hepr opert yl eased.Wher ef ore,t hel at t er ' s cor r espondi ng obl i gat i on t o pay r ent al s ce ased dur i ng such depr i vat i on. Consequent l y ,i twasr ever si bl eerr ort osent encet heappel l ant st opayP2, 165a mont h asreasonabl eval ueoft heoccupat i on oft hepr emi se sf r om Jul y1946, andtheval ueoft hedest r oyedbui l di ngsamount i ngt oP30, 000.
ROMAN CATHOLI CAPOSTOLI CADMI NI STRATOR OFDAVAO V.THELAND REGI STRATI ON G. R.No.L8451 December20,1957
Do c t r i ne A or por at i onsol e,i r r espec t i veoft hec i t i z enshi pofi t si nc umbent ,i sno t : c pr ohi bi t edordi squal i fiedt oac qui r eandhol dr ealpr oper t i esi nt hePhi l i ppi nes.
FACTS: Mat eo L.Rodi s,a Fi l i pi no ci t i zen and r esi dentoft he Ci t y ofDavao, execut ed adeed ofsal eofapar celofl and l ocat ed i nt hesameci t y ,i nf avorof t he Roman Cat hol i c Apost ol i c Admi ni st r at or ofDavao I nc. ,c orpor at i on sol e org ani zed and exi st i ng i n accordancewi t h Phi l i ppi neLaws,wi t h Msgr .Cl ovi s Thi baul t ,aCanadi an ci t i z en,asact uali ncumbent .When t hedeed ofsal ewas pr esent edt oRegi st erofDeedsofDavaof orr egi st rat i on,t hel at t err equi r edsai d cor porat i on sol et o submi t an affidavi t dec l ar i ng t hat 60 per ce nt of t he member st her eofwer eFi l i pi noci t i zens. Ast heRegi s t erofDeedsent er t ai nedsomedoubt sast ot her egi st er abi l i t y of t he document ,t he mat t er was r ef er r ed t o t he Land Regi st r at i on t af Commi ssi oneren consul orr esol ut i on.Pr operheari ng on t he mat t erwas conduct ed by t heCommi ssi onerand af t ert hepet i t i onerc orporat i on had fil ed i t s memor andum, a r es ol ut i on was r ender ed, hol di ng t hat i n vi ew oft he pr ovi si onsofSect i on 1 and 5 ofArt i cl eXI I Ioft hePhi l i ppi neConst i t ut i on,t he vendee was notqual i fied t o acqui r e pr i vat el ands i nt he Phi l i ppi nes i nt he absenceofpr ooft hatatl east60percent um oft hecapi t al ,pr opert y,orasset sof t heRoman Cat hol i cApost ol i cAdmi ni st r at orofDavao,I nc. ,wasact ual l yowned or cont r ol l ed by Fi l i pi no ci t i zens,t her e bei ng no quest i on t hat t he pr esent i ncumbentoft he cor por at i on sol e was a Canadi an ci t i z en.I twas al so t he opi ni on of t he Land Regi st r at i on Commi ss i oner t hat sec t i on 159 of t he cor porat i on Law r el i ed upon by t he vendee was r ender ed oper at i ve by t he af orement i onedpr ovi si onsoft heConst i t ut i on wi t hr espectt or ealest at e,unl ess t hepr eci secondi t i on sett her ei n— t hatatl east60 percentofi t scapi t ali s ownedbyFi l i pi noci t i zens— bepr esent ,and,t her ef ore,orderedt heRegi st er ed
DeedsofDavaot odenyregi st r at i on oft hedeedofsal ei nt heabsenceofpr oofof compl i ancewi t hsuchcondi t i on. Land Regi st r at i on Commi ssi oner Rul i ng: The vendee was notqual i fied t o acqui r epri vat el andsi nt hePhi l i ppi nesi nt heabsenceofpr ooft hatatl east60 percent um oft hecapi t al ,pr oper t y ,orasset soft heRoman Cat hol i cApost ol i c Admi ni st r at or ofDavao,I nc. ,was act ual l y owned or cont r ol l ed by Fi l i pi no c i t i z ens . I SSUE: 1.Whet herornota corporat i on sol e,i rr espect i veoft heci t i zenshi p ofi t s i ncumbent ,i s notpr ohi bi t ed ordi squal i fied t o acqui r e and hol dr eal pr o pe r t i e s.–Y es RATI O A : l t hough abr anch oft heUni ver salRoman Cat hol i cApost ol i cChur ch, everyRoman Cathol i cChur ch i n di ffer entcount ri es,i fi texer ci sesi t smi ssi on andi sl awf ul l yi ncorporat edi naccor dancewi t ht hel awsoft hecount rywher ei t i sl ocat ed,i sconsi der ed an ent i t yorperson wi t h al lt heri ght sand pri vi l eges gr ant ed t o such art i fici albei ngundert hel awsoft hatcount ry ,separ at eand di st i nctf r om t he per sonal i t y oft he Roman Pont i ff ort he Hol y See ,wi t hout pr ej udi ce t oi t sr el i gi ous r el at i ons wi t ht he l at t erwhi ch aregoverned by t he CanonLaw ort hei rr ul esandr egul at i ons. As pr ovi ded by l aw,l ands hel di nt r ustf or speci fic pur poses me be subj ectofr egi st r at i on ( sect i on 69,Act496) ,and t hecapaci t yofacorporati on sol e,l i kepet i t i onerherei n,t oregi st erl andsbel ongi ngt oi ti sacknowl edged,and t i t l et her et o may bei ssued i ni t s name ( Bi shop ofNuev a Segovi a vs.I nsul ar Gove r nment ,26Phi l .3001913) . Thef r ame r soft heConst i t ut i oni nt endedcer t ai npr ovi si onsasbar r i erf or f orei gner sorcorpor at i onsfinanced bysuch f orei gner st o acqui r e,expl oi tand devel op ournat ur alr esour ces.Butt hati snott hecaseofcorporat i onssol ei n t he Phi l i ppi nes,f or ,t hey are mer e admi ni st r at ors oft he " t emporal i t i es"or pr oper t i es t i t l ed i nt hei rname and f ort he benefitoft he member s oft hei r r espect i ver el i gi on composed ofan over whel mi ng maj ori t yofFi l i pi nos.Hence, r espondentRegi st erofDeedsoft heCi t yofDavaoi sorder edt or egi st ert hedeed ofsal e exe cut ed by Mat eo L.Rodi si nf avoroft he Roman Cat hol i c Apost ol i c Admi ni st r at orofDavao.
LI M SI OK HUEY ET AL.V.ALFREDO LAPI ZET AL. , G. R.No.L12289May28,1958 Do c t r i ne :I nc as eo ff o r e i g n pl ai nt i ffs ,t heaut ho r i z at i o ng i v e nt ot hec o uns elmus t bec l e ar ,s pe c i fic ,andune q ui v o c al .
FACTS :Thi si san act i on byt hespouseand t hechi l dr en ofChuaPuaLun t o r ecov erdamages f r om Al f r edo Lapi z,t he dr i ve roft he Jaguarj eepneywhi ch col l i dedwi t h abus,r esul t i ngt ot hedeathofChua. Ast wooft hechi l dr en are mi nor s,t hecour t ,upon mot i on oft hei rc ounse l ,appoi nt ed Chua Pua Tam,a i t e mt br ot heroft hedeceased,asguar di anad l or epre sentt hem i nt hi scase. Af t ert r i al ,however ,t hel owercour tdi smi ssedt hecompl ai ntont het heor yt hat pl ai nt i ffsf ai l edt oaut hori zeanyonet ofil et hecompl ai nton t hei rbehal f ,whi ch i sf at alt ot hei rcause as t hey ar e al lci t i ze ns and r esi dent s ofCommuni st i t em,t Chi na.I nf act ,ChuaPuaTam,t heguar di anadl e s t i fie dt hatt hepl ai nt i ffs hadnotwr i t t ent ohi m norhadhec ommuni cat edwi t ht hem.
LowerCour tRul i ng:t hel owercourtdi smi ssedt hecompl ai nt . I SSUE: 1.Whe t herornott he pl ai nt i ffs hav e hav e aut hor i z ed anyone t o fil et he pr esentcaseagai nstt hedef endant s–No. RATI O T : heSupr emeCour tf oundt hatt her ewasnoer r ori nt hefindi ngsmade byt het r i alcour t .I tappear st hatt hepl ai nt i ffsar eal lci t i z ensandr esi dent sof Communi stChi naand not wi t hst andi ngt hef actt hatt heyhav ebeen i nf or med oft hedeat h oft hedec ease d,t heyhav enotse ntanycommuni cat i on t oanyone i nt he Phi l i ppi nesgi vi ng aut hori t yt ot ake what everact i on may be pr opert o obt ai nani ndemni t yf orhi sdeat h. e pr e s e nt e d me r e l yb yt he i r Thepr esentact i on wasi ni t i at edbypl ai nt i ffsr c o uns e land t he ques t i on ar ose as t o whet her t he l at t er had t he pr oper aut hori t yt or epr esentt hef ormeri nvi ew oft hef actt hatt heyar eal lr esi dent sof af or ei gn count ry .Whi l ea l awyeri s pr esumed t o be pr oper l y aut hori ze dt o r epr es entany causei n whi ch heappear s,hemayhowev erber equi r edbyt he court on mot i on ofei t her par t yt o produce hi s aut hor i t y under whi ch he appear sandcounself ort hepl ai nt i ffsf ai l ed. i t em woul The appoi nt me ntofChua Pua Tam as guar di anad l d not sufficet o mee tt her equi r ementoft he r ul e whi ch provi des t hatev er y act i on mustbepr osecut edi nt henameoft her ealpart yi ni nt er est .Agai n,i tmustbe shownt hatChuaPuaTam wasaut hor i z edbyt hehei r sabr oadt oactassuchi n behal foft hemi nor s.Butwhen i nt hecour seoft het r i al ,i twasf oundt hathe nev erhad anycommuni cat i on wi t h anyoft hehei r sand,much l es s,r ec ei ve d any aut hori t yf r om t hem t het r i alcour tact ed accordi ngl yi n consi der i ng hi s r epr esent at i on i neffect i ve.
LEESUAN AY,ALBERTO TAN,& LEECHI AO V.EMI LI O GALANG ET AL. , G. R.No.L1185 December13,1959 Doct r i ne: The f act s i n obt ai ni ng ci t i zenshi p, al lt he qual i ficat i ons and di s q ual i fic at i o ns ,mus tbepr o v e dbe f o r et hec o ur t .
FACTS:I n1954,LeeSuanAy ,aChi neseci t i zen,arri vedi nt hePhi l i ppi nesand wasadmi t t ed and aut hor i z ed t ost ayasat empor ar yvi si t orf orper i od oft hr ee mont hs.Thi swasext endedunt i l25Mar ch1955.Bef or eherarr i val ,herf at her post edacashbondamount i ngt oP10, 000asguar ant eef orhercompl i ancewi t h
t het er msand condi t i onsofherst ayi nt hePhi l i ppi nes . On 18 Mar ch 1955, Al ber t oTan,aFi l i pi no,and LeeSuan Ayr equest ed t heJust i ceoft hePeaceof LasPi ñas,Ri zal ,t oj oi nt hem i n marr i age.Here f usedt odosoasshehad t o obt ai npar ent aladvi ce,bei ngl esst han23year sol d. On 28 Mar ch 1955, t he bondsman wr ot ea l et t er i nf or mi ng t he Commi ss i onerofI mmi gr at i on t hathi s daught erwas i l land confined att he Chi nes eGener alHospi t alsi nce21 Mar ch1955 andt hatasshemi ghtcol l apse dur i ng t he r et ur nt r i pt o Hongkong,she def er r ed herdepart ur e se tf or23 Marc h,andr equest i ngt hatshebegr ant edt endaysext ensi on ofheraut hori zed peri odoft emporaryst ayi nt hePhi l i ppi nest oenabl ehert or estandr ecuper at e. On 1Apri l1955,LeeSuan AyandAl ber t oTan wer ej oi nedi n mar r i agebyt he Just i ceoft hePeaceofLasPi ñas.Af t ert hei rmar r i age,t hey r ecei ved a l et t er f r om t heCommi ssi onerofI mmi gr at i on denyi ngt hei rpet i t i on f orext ensi on of hert emporaryst ayi nt hePhi l i ppi nesand decl ari ngt hecash bond f orf ei t ed i n f avoroft heGove r nment .Herf at herasked f orr econsi der at i on on t hegr ound t hathavi ngmarri edaFi l i pi noci t i zen,LeSuan Ayf ol l owst heCi t i zenshi pofher husbandandceasedt obean al i ent empor aryvi si t or ,andt hatr eason t hecash bondfil edshoul dber et ur nedt ohi m;andt hatherf ai l ur et opr esenther sel ft o t heCommi ss i onerofI mmi gr at i on wi t hi n 24 hour sf r om r ec ei ptofnot i cewas duet oi l l nessandl ossofwei ght .Thus,t hi scasewasfil ed. LowerCour tRul i ng : heCour T tdi smi ssedt hepl ai nt i ffs'compl ai ntbutl ef tt he r educt i on of t he bond t ot he sound di sc r et i on of t he Commi ss i oner of I mmi gr at i on. I SSUE: 1.Whe t herornott heP10, 000 bond or i gi nal l yfil ed shoul d be r et ur ned – No. RATI O T : hef actt hatLeeSuan Aywasmar r i ed t o a Fi l i pi noci t i z en doesnot r el i evet hebondsman f r om hi sl i abi l i t yon t hebond. Themarr i aget ook pl ace on 1 Apri l 1955, and t he vi ol at i ons of t he t er ms and condi t i ons of t he under t aki ng i nt he bond — f ai l ur et o depart f r om t he Phi l i ppi nes upon expi r at i on ofheraut hori zed per i od oft emporary st ay i nt he Phi l i ppi nes ( 25 Mar ch 1955)and f ai l ur et or eportt ot heCommi ssi onerofI mmi gr at i on wi t hi n 24 hour sf r om r ec ei pt of not i ce — wer e commi t t ed bef or et he mar r i age . Mor eover ,f ora val i d ci t i ze nshi p acqui r ed by marr i age,i tmustbeshown t hat shepossessesthequal i ficat i onsr equi r edbyl aw t obecomeaFi l i pi noci t i zenby nat ur al i z at i on. Ther ei s no showi ng t hat Lee Suan Ay posses se s al lt he qual i ficat i onsandnoneoft hedi squal i ficat i onspr ovi dedf orbyl aw t obecomea Fi l i pi noci t i zenbynat ur al i zat i on.Thus,t heorderappeal edf r om i saffirmed.
TESTATE ESTATE OFC.O.BOHANAN,PHI LI PPI NE TRUSTCO. ,v. MAGDALENA C.BOHANAN,EDWARD C.BOHANAN,andMARYLYDI A BOHANAN G. R.No.L12105January30,1960 Do c t r i ne :Asi n ac c o r danc ewi t h Ar t i c l e10 o ft heo l d Ci v i lCo de ,t hev al i di t yo f t e s t ame nt ar ydi s po s i t i o nsar et obeg o v e r n ed b yt henat i o nall aw o ft het e s t at o r pr o vi dedt hatt hel aw bee vi denc edi nt hec our t .
FACTS:Magdal enaC.Bohanan wer emar r i ed on Januar y30,1909,and t hat di vor cewasgr ant edt ohi m onMay20,1922. Dece dent i nt hi s case gav e out of t he t ot al est at e( af t er deduct i ng admi ni st r at i on expenses )ofP211, 639. 33i ncash,hi sgr andsonP90, 819. 67and onehal fofal lsharesofst ock ofsev er almi ni ngcompani esand t ohi sbr ot her and si st ert hesameamount .To hi schi l dr en hegavea l egacyofonl yP6, 000 each,orat ot alofP12, 000. The wi f e Magadal ena C.Bohanan and her t wo chi l dr en quest i on t he val i di t y oft het est ame nt ar y pr ovi si onsdi sposi ng oft heest at ei nt hemanner abovei ndi cat ed,cl ai mi ngt hatt heyhavebeendepri vedoft hel egi t i mat et hatt he l awsoft hef orm concedet ot hem. LowerCour tRul i ng:Di smi ss edt heobj ec t i onsfil edbyMagdal enaC.Bohanan, MaryBohanan and Edwar d Bohanan t ot heproj ec tofpart i t i on submi t t edby t heexecut orandappr ovi ngt hesai dpr oj ect . The t est at or per manent r esi dence or domi ci l ei nt he Uni t ed St at es depended upon hi s per sonali nt entordesi r e,and hese l ec t ed Nev ada as hi s homi ci deandt heref oreatt het i meofhi sdeat h,hewasaci t i zenoft hatst at e. Wher ef or e,t hecour tfindst hatt het est at orC.O.Bohanan wasatt he t i meofhi sdeat h aci t i zenoft heUni t edSt at esandoft heSt at eofNevadaand decl aresthathi swi l landt est ament ,Exhi bi tA,i sf ul l yi n accordancewi t ht he l awsoft hest at eofNevadaandadmi t st hesamet opr obat e. I SSUES: 1.Whe t herMagdal enaC.Bohanancancl ai m.NO 2.Whet hert het est ament arydi sposi t i ons,especi al l yt hosef ort hechi l dr en whi ch ar e shor toft he l egi t i me gi ven t hem by t he Ci vi lCode oft he Phi l i ppi nes,ar eval i dNO. RATI O: The cour t bel ow had f ound t hat t he t est at or and Magdal ena C. Bohanan wer emarr i edon January30,1909,and t hatdi v or cewasgr ant edt o
hi m onMay20,1922;t hatsomet i mei n 1925,Magdal enaC.Bohanan mar r i ed Car lAar on and t hi smar r i agewas subsi st i ng att het i meoft hedeat h oft he t est at or .Si ncenori ghtt o shar ei nt hei nheri t ancei nf avorofa di vorced wi f e exi st si nt heSt at eofNev adaandsi ncet hecour tbel ow had al r eadyf oundt hat t her e was no conj ugal pr oper t y bet wee n t he t es t at or and Magdal ena C. Bohanan,t hel at t erc an now havenol ongercl ai mt opayport i on oft heest at e l e f tbyt het e st at or . Edwar d and Mary Lydi a,who had r ec ei ved l eg aci esi nt heamountof P6, 000each onl y ,and,t her ef ore,havenotbeen gi vent hei rsharesi nt heest at e whi ch,i n accor dancewi t ht hel awsoft hef or um,shoul d bet wot hi r dsoft he e st at el e f tbyt het e s t at or . Theol dCi vi lCode,whi ch i sappl i cabl et ot hi scasebecauset het est at or di ed i n 1944,expr essl ypr ovi desthatsuccessi onalri ght st oper sonalpr opert y ar et o be ear ned by t he nat i onall aw oft he per son whosesucc es si on i si n quest i on. I nt hepr oceedi ngsf ort hepr obat eoft hewi l l ,i twasf oundoutandi twas deci ded t hatt het est at orwasaci t i zen oft heSt at eofNevada becausehehad sel ect edt hi sashi sdomi ci l eandhi sper manentr esi dence.( SeeDeci si on dat ed Apr i l24,1950,supra) .So t hequest i on ati ssuei swhet hert het est ement ary di sposi t i ons,especi al l y hose f ort he chi l dr en whi ch areshortoft he l egi t i me gi vent hem bytheCi vi lCodeoft hePhi l i ppi nes,ar eval i d.I ti snotdi sput edt hat t hel awsofNevadaal l ow at est at ort odi sposeofal lhi spr opert i esbywi l l( Sec. 9905,Compl i edNev adaLawsof1925,supra) .Thel aw ofNevada,bei ngaf orei gn l aw can onl ybepr ov ed i n ourc our t si nt hef or m and mannerprovi ded f orby ourRul es,whi chareasf ol l ows: SEC.41.Pr i alr ecor d or an ent r y o o fo fpubl i co roffic i alr e c o r d.— An offic t her ei n,when admi ss i bl ef orany pur pose,may be ev i denced by an offici al publ i cat i on t her eoforbyacopyt est edbyt heofficerhavi ngt hel egalcust odyof here cor d,orby hi sdeput y ,and accompani ed,i ft here cor di snotkepti nt he Phi l i ppi nes,wi t hacert i ficat et hatsuchofficerhast hecust ody....( Rul e123) . Wehave,however ,consul t ed t her ecor dsoft hecasei nt hecour tbel ow and we hav ef ound t hat t he f or ei gn l aw was i nt r oduce di n evi dence by appel l ant ' s( herei n)counselasExhi bi t s"2" . I n addi t i on,t heot herappel l ant s,chi l dr en oft het est at or ,donotdi sput e t heabovequot ed pr ovi si on oft hel awsoft heSt at e ofNevada.Underal lt he abov e ci r cumst ance s,we ar e const r ai ned t o hol dt hatt he pert i nentl aw of Nev ada,es peci al l ySec t i on 9905 oft heCompi l edNev adaLawsof1925,can be t aken j udi ci alnot i ceofbyus,wi t houtpr oofofsuchl aw havi ngbeen offer edat t heheari ngoft heproj ectofpart i t i on.
BENI TO E.LI M V.HERBERTBROWNWELL,JR. , G. R.No.L8587 Mar ch24,1960 Do c t r i ne :Af o r e i g ng o ve r n me ntc anno tbes ue dwi t ho uti t sc o ns e nt .
FACTS: The pr oper t yi n di sput e consi st s off ourpar cel s ofl and si t uat ed i n TondoMani l awi t h at ot alar eaof29, 151 squar eme t er s.Thel andswer e,af t er t hewor l dwar ,f oundbyt heAl i enPr oper t yCust odi an oft heUni t edSt at est obe r egi st er ed i nt henameofAsai chiKagawa,nat i onalofan enemycount ry .The Phi l i ppi ne Al i en Pr oper t y Admi ni st r at or and t he Pr esi dentoft he Phi l i ppi nes t henexecut edt wof ormalagreement swi t ht heUni t edSt at est ot r ansf eral lf our l ot st ot heRepubl i c oft hePhi l i ppi neswi t h an under t aki ng t oi ndemni f yt he Uni t edSt at esf oral lcl ai msi nrel at i ont ot hepropert ytr ansf erred. Beni t o Li m, fil ed a f ormal not i ce of cl ai m wi t ht he Phi l i ppi ne Al i en Pr opert yAdmi ni st rat or ,cont endi ngt hatt hel ot si nquest i on st i l lbel ongedt ot he est at eofhermot her ,Ar seni aEnri quez.Heal l egedt hatt hel ot swer eoncet he pr oper t yofAr seni aEnr i quez;t hatt heywer emort gagedbyhert ot heMer cant i l e BankofChi na;t hatt hemort gagehavi ngbeenf or ecl osed,t hepr oper t ywassol d at publ i c auct i on dur i ng t he war t ot he Japanese Asai chi Kagawa, who succ ee ded i n prev ent i ng Ar se ni a Enr i quez f r om exer ci si ng her r i ght of r edempt i on;and t hatKagawa nev eracqui r ed any val i dt i t l et ot he pr oper t y becausehewasi nel i gi bl eundert heCons t i t ut i on t oacqui r er esi dent i all and i n t hePhi l i ppi nesbyreasonofal i enage. TheVes t ed Pr oper t yCl ai msCommi t t eeoft hePhi l i ppi neAl i en Pr oper t y Admi ni st r at ordi sal l owed t he cl ai m. The or derbecamefinalas Li m di d not appealt heref r om.Thus,Li m,asadmi ni st r at oroft hei nt est at eest at eofArseni a Enri quez,fil edacompl ai nti nt heCourtofFi r stI nst anceofMani l aagai nstt he
Phi l i ppi ne Al i en Pr oper t y Admi ni st r at or ( l at er subst i t ut ed by t he At t orney Gener aloft heUni t ed St at es)f ort herecoveryoft hepr opert yi n quest i on wi t h back r ent s.The compl ai ntwas l at erame nded t oi ncl ude Asai chiKagawa as def endant .Hewassummonedbypubl i cat i on,buthavi ngf ai l edt ofil eananswer t othecompl ai nt ,hewasdecl aredi ndef aul t . LowerCour tRul i ng : hecour T tdi smi ssedt hecompl ai nton t hegr oundt hati t had noj ur i sdi ct i on overt hesubj ectmat t ersi ncet hecl ai m const i t ut ed a sui t agai nstt heUni t edSt at est owhi chi thadnotgi veni t sconsent .
I SSUES: 1.Whe t herornott hecompl ai ntwasasui tagai nstt heGov er nmentoft he Uni t edSt at es–Yes,butt her ewasconsent . 2.Whe t herornotdamage smustbepai d –No,t heconsentoft heUni t ed St at eswasl i mi t edt ofil i ngofsui tanddoesnotext endt ot hepaymentof damages. RATI O T : heor derofdi smi ssalcannotbesust ai nedi ni t sent i r et y .Al t hought he act i on i si nsubst anceagai nstt heUni t edSt at es,t hei mmuni t yoft hest at ef r om sui t ,cannotbei nvokedwher et heact i oni si nst i t ut edbyaper sonwhoi snei t her an enemyoral l yofan enemyf ort hepurposeofest abl i shi nghi sri ght ,t i t l eor i nt er esti nvest edpr opert y ,andofr ecoveri nghi sowner shi pandpossessi on.The consentt osuchsui thasexpr essl ybeengi venbyt heUni t edSt at esi n Sec.3of t hePhi l i ppi nePr opert yActof1946. Tur ni ngt ot hecl ai m ofdamages,t heor derofdi smi ssalmustbeuphel d. Ther el i efavai l abl et oaper son cl ai mi ngenemypr oper t ywhi ch hasbeenvest ed e ss l y by t he Phi l i ppi nes Al i en Pr oper t y Cust odi an i sl i mi t ed t ot hoseexpr pr ovi dedf ori nt heTradi ngwi t ht heEnemyAct ,whi chdoesnoti ncl udeasui t f ordamagesf ort heuseofsuchvest edpr opert y . . Wi t hr espectt ot her ecover yorr et ur noft hepr oper t i esvest ed,sect i on33 oft he Tradi ng wi t ht he Enemy Actpr ovi des a pr escr i pt i veper i od:t he cl ai m shoul dnotbefil edl at ert han Apr i l30,1949,orwi t hi nt woyear sf r om t hedat e ofv est i ng,whi cheveri sl at er .I n comput i ngt het woyears,however ,t heperi od dur i ng whi ch t her e was pendi ng a sui torcl ai m f ort he r et ur n oft he sai d pr opert yshal lbeexcl uded. Her e,i nsof arasl ot s3and4oft hel andi ndi sput ear econcerned,vest i ng occur r edonJul y6,1948andconsequent l yt het woye arperi odwi t hi nwhi cht o fil et heact i on f ort hei rr ecover yexpi r edon Jul y7,1950.Buti ncomput i ngt hat t het woyearperi od,t het i meduri ngwhi ch pl ai nt i ff' scl ai m wi t ht hePhi l i ppi ne Al i en Pr oper t y Admi ni s t r at i on waspendi ng— f r om Nov ember16,1948 when t hecl ai m wasfil edt oMar ch 7,1950 when i twasdi ss al l owed — shoul d be