GI RL YI CO v .STI
G. R.No.185100
09Jul y2014
DelCast i l l o,J.
CI N SYLLABUS: TOPI Cor por at eJ ur i di c al Per s onal i t y ;Doc t r i neofSepar at eJ ur i di c al Per s onal i t y
c owa sd emo t e dwh enh erp o s i t i o nwa sa l l e ge dl ya bo l i s h eda f t e rSTI ’ sme r g er .Sh ewa sa l s os u bj e c t e dt o SUMMARY:I e mb mb ar r a s s me me nta ndy el l e da tb yf o r me rCEO,F er n an de z .Sh efi l e dac omp l a i n ta ga i n s tSTI ,t h ef o r me rCEO,a ndt h en ew CEO.SC h el dt h ato nl yt hef o r merCEO wa sl i a bl eb ec a us es omeo fh i sac t i o nswe r ewi t h ou ts a nc t i o no fSTIi t s e l f ,an d wer ec ommi t t edout s i deoft h eaut hor i t ygi v ent ohi mb yt h es c hool ;t h eybor der edont heper s on al ,r at hert hanoffic i al . NE: DOCTRI Obl i gat i onsi nc ur r edasar es ul toft hedi r ec t or s ’andoffic er s ’ac t sasc or por at eagent s ,ar enott hei rper s onal l i abi l i t ybutt hedi r ec tr es pons i bi l i t yoft hec or por at i ont heyr epr es ent .Asar ul e,t heyar eonl ys ol i dar i l yl i abl ewi t ht he c or por at i onf ort hei l l egal t er mi nat i onofs er v i c esofempl oy eesi ft heyac t edwi t hmal i c eorbadf ai t h. PROCEDURALANTECEDENTS: Pet i t i onf orRev i ewonCer as sai l i ngCA’ sdi s mi mi s sal ofI c o’ spet i t i onv s.STI t i o r a r i FACTS: Gi r l yI c ohel ds ev er alpos i t i onsa tSTIf r om 1 99720 03.Shewasi ni t i al l yhi r edasaf ac ul t ymember ,wasl at er p r o mo mo t e dt oDe an ,t h en ,s h ewa sma ma deCh i e fOp er a t i n gOffic e r .I n2 0 03 ,d ur i n gh ers t i n ta sCOO a n dSc h o ol Admi n i s t r a t o ro fSTI Ma ka t i ,aPl a no fMe r g erwase x ec u t e db et we enSTIa ndSTICo l l e geMak at i( I n c. ) ,wh er e by t hel at t erwoul dbeab sor bedb ySTI .STICol l eg eMak at i ( I nc . )t husc eas edt oe x i s t . 2004–Pur s uantt oSTI ’ s“ or g ani z at i onalr es t r uc t ur i ng” ,I c o’ spos ta sCOO atSTI Mak at iwasabol i s hed.Shewas d es i g na t e da sCo mp mp l i a nc eMa na ge ra ndwa sg i v e nal o we rs a l a r y .STIc o nd uc t e di n v e s t i g at i o nsa nda l l e ge dl y di s c ov er ed s ev er ali r r egul ar i t i esi nI c o’ swor k .Shewasal s os ubj ec t e dt oo t here mb mbar r as s me ment s ,i nc l udi nga me et i n gwi t hSTIMa k at i ’ sCEO ( Fer n an de z)r e pe at e dl ys ho ut e da th er .So ona f t erp et i t i o ne rwa sr e mo mo v edf r o m t h ep os i t i o n,Fe r n an de zwa sa pp oi n t e dt ot a k eh erpl a cea sSTI Ma ka t iCOO;h i sap po i n t me ntwa se v enp ub l i c l y a nn ou nc e dv i aa noffic i a lc o mm mmu ni c a t i o ndi s s e mi mi n at e dc omp an y wi d e. 2 00 5–I c owa sdi s mi mi s s e d.Sh efi l e dac omp l a i n ta ga i n s tSTI ,Mo ni c oJ ac o b( n ewPr e s i d en ta ndCEO) ,a ndPe t e r Fe r n an de z( f o r me rCEO;l a t e rt o oko v e rI c o ’ sp os ta sCOO)b ef o r et h eNL RC. o LA:I c owasi l l eg al l ydi s mi mi s s ed.STIwasor d er edt or ei ns t at eher +pa yf ul l bac kwages . NL RC r e v e r s e d. I c o ’ st r a ns f e rt ohe rn ew p os i t i o na sCo mp mp l i a nc eMa Ma na ge rb ec a mene me c es s a r y ,a st h e o p os i t i o no fSTI Ma k at i COO wa sa bo l i s he da sar e su l to far e or g an i z at i ont h atwa si mp l e me me nt e dp ur s u an t t ot h eme r g e r .CAa ffir me d . •
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I SSUES&RULI NGS: ( 1 )W/ )W Nt he r ewa scons t r uc t i v ei l l e ga ldi s mi mi s sa l YES.Sh es houl dber e i ns t a t e d. ( 2 )W/ )W Na l lr e s ponde nt sc a nbeh el dr e s pon si bl e NO.Onl yFe r na nde zc anbehe l dl i a bl e .
He ra pp oi n t me ntt ot h ep os i t i o no fCo mp mp l i a nc eMa Ma na ge rwa si nf a c tad emo t i o n.Sh ewa s PETI TI ONER I CO ARGU GUES: s u bj ec t e dt oh ar as s me me nta ndd i s c r i mi n at i o n,h umi l i a t ed( a to n ep oi nt ,s hewa sn ’ ti n f o r me do fas t a ffo ut i nga nds hewas l ef tbehi nd)andbec amet hev i c t i m ofSTI ’ sf r audul e nts c hemet oi l l egal l yous th erf r om herp os i t i onasSTI Mak at i COO. RESPONDENTSARGU GUE: Pet i t i oner ’ st r ans f erwasi nl i newi t hs uc hmer gerandr eor gani z at i on;nobadf ai t hma yt husbe i nf er r edf r om t hei rac t i ons .Al s o,pet i t i oner ’ st r ans f erdi dnotamountt oademot i oni nr ank ,ast hepos i t i onsofCOO and Co mp mp l i a nc eMa Ma na ge ra r eo fe qu al i mp or t a nc e . RATI O: 1 .I ta pp ear st h att h ep os i t i o no fSTI Mak at i COOwa sa ct u al l yne v era bo l i s he d.Fe r n an de zj u s tr e pl a ce dh er . 2 . Th eCo ur tf a i l st od i s c er na nyb adf a i t ho rn eg l i g en ceo nt h ep ar tofr e sp on de ntJ ac o b.Th ep r i n ci pa lc h ar a ct ert h at fi gur espr omi nent l yi nt hi sc as ei sFer nandez ;heal o ner el ent l es s l yc aus edpe t i t i oner ’ shar ds hi psands uff er i ng .He al onei sgui l t yofper s ec ut i ngpet i t i oner .I ndeed,s omeofhi sac t i onswer ewi t houts anc t i onofSTIi t s el f ,andwer e c ommi t t edout s i d eoft hea ut hor i t ygi v ent ohi mb yt hes c ho ol ;t he ybor der edont hep er s onal ,r at hert hanoffic i al .
VILLARAMA, BINKEE
COM LAW REV CASE #132
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Ac or por at i on,asa j ur i di c alent i t y ,ma y ac to nl yt hr ough i t sdi r ec t or s ,o ffic er sa nd empl o y ees . Obl i ga t i ons i ncur r e da sar e sul toft hedi r e ct or s ’a ndoffic er s ’a ct sa sc or por a t eage nt s ,a r enott he i rper s ona ll i abi l i t y butt hedi r ec tr e spons i bi l i t yoft hec or por a t i ont he yr epr e se nt .Asar ul e ,t he ya r eonl ys ol i da r i l yl i a bl e wi t ht hec or por a t i onf ort hei l l e ga lt e r mi na t i onofs er v i c esofe mpl oy ee si ft he ya ct e dwi t hma l i c eorba d f ai t h. T ohol dadi r ec t ororoffic erper s onal l yl i abl ef orc or por at eobl i gat i ons ,t wor equi s i t esmus tc onc ur : ( 1)i tmus tbeal l egedi nt hec ompl ai ntt hatt hedi r ec t ororoffic eras s ent e dt opat ent l yunl a wf ulac t sof t hec or por at i onort hatt heoffic erwasgui l t yofgr os snegl i genc eorbadf ai t h;and her emus tbepr ooft hatt heoffic erac t edi nbadf ai t h. (2) t
VILLARAMA, BINKEE
COM LAW REV CASE #132