FIRST DIVISION
ELIDAD ELID AD KH KHO O and and VIOL VIOLET ETA A KHO, Petitioners,
- versus versus -
).R. No. *+-''
Present: PANGANIBAN, C.J. Chairperson, YNARES-SANTIAGO, AUSTRIA-MARTINE, CA!!E"O, SR., and C#ICO-NAARIO, JJ C#ICO-NAARIO, JJ .
HON. ENRI HON. ENRICO CO LANZ LANZAN ANAS AS,, Presiding Judge o !"e Regiona# Tria# Cour! o $ani#a %ran&" ' Pro$%&'ated: and S($$ERVILLE )ENERAL $ERCHANDISIN), Ma( ), *++ Respondents. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
ECISION
C#ICO-NAARIO, J C#ICO-NAARIO, J .: .: C%&&ed /ro$ the re0ords are the /o&&o1in' ante0edent /a0ts: Sh%n Yih Che$istr( 2a0tor( 3SYC24, a 5%siness eistin' and operatin' in Tai1an and en'a'ed in the $an%/a0t%re and sa&e o/ Chin Ch%n S% Crea$s6Cos$eti0s, appoin appointed ted Yo%n' 2a0tor 2a0tor Enterp Enterpris rises es in the Phi&ip Phi&ippin pines, es, o1ned o1ned and operat operated ed 5( 7%intin Chen' Chen' a&so 8no1n as 9ho Sen' #io8, as its distri5%tor o/ Chin Ch%n S% prod prod%0 %0ts ts in the the Phi& Phi&ip ippi pine ness /or /or a ter$ ter$ o/ t1o t1o (ear (earss 5e'i 5e'inn nnin in' ' ;<= ;<=.. >?
7%in 7%inti tin n Chen Chen' ' re'i re'ist ster ered ed 1ith 1ith the the B%rea B%rea% % o/ 2ood 2ood and and r%' r%'ss 3B2 3B2A4 as
distri distri5%t 5%tor or o/ Chin Chin Ch%n Ch%n S% prod%0 prod%0ts. ts. 7%inti 7%intin n Chen' Chen' s%5se@ s%5se@%en %ent&( t&( se0%re se0%red d a s%pp s%pp&e &e$e $ent nta& a& re'i re'ist stra rati tion on /or /or Chin Chin Ch%n Ch%n S% and and dei dei0e 0e.. >*? This s%pp&e$en s%pp&e$enta& ta& re'ist re'istrat ration ion 1as ordere ordered d 0an0e& 0an0e&&ed &ed 5( the B%rea% B%rea% o/ Patent Patents, s, Trade Trade$ar $ar8s 8s and Te0hno&o'( Trans/er >? on the 'ro%nd o/ /ai&%re o/ the re'istrant to /i&e the re@%ired a//i a//ida dai itt o/ nonnon-%s %see as re@%i re@%ire red d 5( Se0t Se0tio ion n * o/ Rep% Rep%5& 5&i0 i0 A0t A0t No. No. , , as a$ended.>)? Not1ithstandin' Not1ithstandin' this 0an0e&&ation, 7%intin Chen' Chen' ee0%ted on + "an%ar( ;;+ an Assi Assi'n 'n$e $ent nt o/ a Re'i Re'ist ster ered ed Trade$ ade$ar ar8 8 >? and a S%pp&e$e e$entar( eed o/ Assi'n$ent>? dated* Noe$5er ;; 1herein he so&d a&& his ri'ht, tit&e, interest and 'ood1i&& in the trade$ar8 Chin Ch%n S% and dei0e to petitioner E&idad 9ho. In the $eanti$e, ani$osit( arose 5et1een SYC2 and 7%intin Chen' res%&tin' in the ter$ination o/ their distri5%torship a'ree$ent on + O0to5er ;;+. >
on +
Noe$5er
appo appoin inte ted d resp respon onde dent nt S%$$ S%$$er eri i&& &&ee Gene Genera ra&&
;;+,
Mer0 Mer0ha hand ndis isin in', ',
SYC2 repr repres esen ente ted d
5( An' Tia$ Tia$ Cha( and Di0tor Di0tor Ch%a, as its e0&%sie i$porter, re-pa08er and distri5%tor o/ Chin Ch%n S% prod%0ts in the Phi&ippines >=? /or a period o/ /ie (ears or %nti& Ma( *++. SYC2 /%rther ee0%ted a Spe0ia& Po1er o/ Attorne( dated Septe$5er ;; in /aor /aor o/ S%$$er S%$$eri&& i&&ee Genera Genera&& Mer0ha Mer0handi ndisin sin' ' 'ranti 'rantin' n' it the a%thor a%thorit( it( to /i&e /i&e 0o$p&aints a'ainst %s%rpers o/ Chin Ch%n S% trade$ar8s6tradena$e. >;? 2ro$ ro$
the
/ore' re'oin'
%di0ia& pro0eedin's. pro0eedin's.
in0idents
arose
seera& ra&
%di0ia&
and
@%asi-
1) Civil Case No. Q-91-10926 before the Regional Trial Court (RTC) of Queon Cit!" #ran$h 90 On *+ e0e$5er ;;, E&idad 9ho69EC !a5orator( /i&ed a Co$p&aint /or In%n0tion
and
a$a'es
a'ainst An' Tia$ Cha( and S%$$eri&&e Genera&
Mer0handisin' 5e/ore the RTC o/ 7%eFon Cit(, Bran0h ;+, do08eted as Cii& Case No. 7-;-+;*. P&ainti// therein E&idad 9ho69EC !a5orator( so%'ht to enoin de/endants An' Tia$ Cha( andS%$$eri&&e Genera& Mer0handisin' /ro$ %sin' the na$e Chin Ch%n S% in their 0rea$ prod%0ts.
On ** "an%ar( ;;, a de0ision in Cii& Case No. 7-;-+;* 1as rendered, the dispositie portion o/ 1hi0h proides: ACCORING!Y, %d'$ent is here5( rendered: . e0&arin' that p&ainti// is not &e'a&&( a%thoriFed to %se the trade$ar8 C#IN C#UN SU and %pho&din' the ri'ht o/ de/endant S%$$eri&&e Genera& Mer0handisin' Co. to %se said trade$ar8 as a%thoriFed 5( Sh%n Yih Che$istr( 2a0tor( o/ Tai1anH *. e0&arin' p&ainti// to hae the ri'ht to %se the 0op(ri'ht 0&ai$ on ODA! 2ACIA! CREAM CONTAINER6CASE 5( irt%e o/ Certi/i0ate o/ Cop(ri'ht Re'istration No. =< iss%ed 5( the Nationa& !i5rar( on Ma( *, ;;H . No a1ard o/ da$a'esH ). Co%nse&s /or p&ainti// and de/endants are a1arded P<,+++.++ ea0h as attorne(s /eesH and .
Both parties to pa( proportionate /ees. >+?
Both parties appea&ed the RTC de0ision to the Co%rt o/ Appea&s, do08eted as CAG.R. CD NO. )=+) entit&ed, E&idad C. 9ho, doin' 5%siness %nder the st(&e o/
9EC Cos$eti0 !a5orator( . S%$$eri&&e Genera& Mer0handisin' and Co., et a&. In
a
de0ision >? dated **
Noe$5er
;;;,
the
appe&&ate
0o%rt
a//ir$ed in toto the de0ision o/ the tria& 0o%rt. >*? E&idad 9ho e&eated the 0ase to this Co%rt, do08eted as G.R. No. ))++. In a reso&%tion dated *= A%'%st *+++, 1e denied the petition. e he&d that: The iss%e is 1ho, 5et1een petitioner E&idad C. 9ho and respondent S%$$eri&&e Genera& Mer0handisin' and Co$pan( has the 5etter ri'ht to %se the trade$ar8 Chin Ch%n S% on their /a0ia& 0rea$ prod%0tJ e a'ree 1ith 5oth the Co%rt o/ Appea&s and the tria& 0o%rt that S%$$eri&&e Genera& Mer0handisin' and Co$pan( has the 5etter ri'ht to %se the trade$ar8 Chin Ch%n S% on its /a0ia& 0rea$ prod%0t 5( irt%e o/ the e0&%sie i$portation and distri5%tion ri'hts 'ien to it 5( Sh%n Yih Che$istr( 2a0tor( o/ Tai1an on Noe$5er *+, ;;+ a/ter the &atter 0an0e&&ed and ter$inated on O0to5er +, ;;+ its So&e istri5%torship A'ree$ent 1ith one 7%intin Chen', 1ho assi'ned and trans/erred his ri'hts %nder said a'ree$ent to petitioner E&idad C. 9ho on "an%ar( , ;;+. As 0orre0t&( he&d 5( the Co%rt o/ Appea&s, petitioner 9ho is not the a%thor o/ the trade$ar8 Chin Ch%n S% and his on&( 0&ai$ to the %se o/ the trade$ar8 is 5ased on the eed o/ A'ree$ent ee0%ted in his /aor 5( 7%intin Chen'. B( irt%e thereo/, he re'istered the trade$ar8 in his na$e. The re'istration 1as a patent n%&&it( 5e0a%se petitioner is not the 0reator o/ the trade$ar8 Chin Ch%n S% and, there/ore, has no ri'ht to re'ister the sa$e in his na$e. 2%rther$ore, the a%thorit( o/ 7%intin Chen' to 5e the so&e distri5%tor o/ Chin Ch%n S% in the Phi&ippines had a&read( 5een ter$inated 5( Sh%n Yih Che$istr( o/ Tai1an. itha&, he had no ri'ht to assi'n or to trans/er the sa$e to petitioner 9ho. #ERE2ORE, the instant petition is here5( denied d%e 0o%rse. >?
2) #%&' Coseti$ Case No. C-0*0-91
At the other end o/ the spe0tr%$, d%e to the pro&i/eration o/ /a8e Chin Ch%n S% prod%0ts, S%$$eri&&e Genera& Mer0handisin' /i&ed a Co$p&aint >)? 5e/ore the B2A a'ainst 9EC Cos$eti0 !a5orator( o1ned 5( E&idad 9ho. In a reso&%tion o/ the B2A dated ) 2e5r%ar( ;;*, it r%&ed that: #ERE2ORE, the 5rand na$e 0&earan0e o/ CCS in /aor o/ 9EC is re0a&&ed and 0os$eti0 re'istration n%$5er R-K-<= dtd 6<6<= is TEMPORARI!Y CANCE!!E %nti& 9EC app&ies to 0han'e or a$end the 5rand na$e CCS it is no1 %sin'. 2or this p%rpose, 9EC is here5( ordered to retriee a&& &o0a&&( prod%0ed Chin Ch%n S% Pear& Crea$ /or re&a5e&&in' as soon as the a$end$ent o/ its 5rand na$e has 5een approed 5( this B%rea% 1ith the 0orrespondin' a$ended Certi/i0ate o/ Re'istration. S%$$eri&&es app&i0ation to re'ister 3rene1 or reinstate4 CCS Medi0ated Crea$ %nder R-K-<= in the na$e o/ Sh%n Yih Che$istr( 2a0tor( is here1ith approed /or pro0essin' at B2A-Prod%0t Seri0es iision. >?
+)
Criinal Case No. 00-1,+261 before the RTC of anila" #ran$h 1
This is the 0ase /i&ed 5e/ore the RTC o/ Mani&a, Bran0h , entit&ed, Peop&e o/ the Phi&ippines . E&idad and Dio&eta 9ho and Ro'er 9ho, p%rs%ant to the O" Reso&%tion in I.S. No. ++A-+*; and I.S. No. ++B-+;<, orderin' the /i&in' o/ a 0ri$ina& 0o$p&aint a'ainst E&idad, Ro'er and Dio&eta 9ho. >? Prior to the /i&in' o/ Cri$ina& Case No. ++-=* 5e/ore the RTC o/ Mani&a, Bran0h , on = "an%ar( *+++, Di0tor Ch%a, representin' S%$$eri&&e Genera& Mer0handisin', /i&ed a Co$p&aint /or Un/air Co$petition, do08eted as I.S. No. ++A-+*; entit&ed, S%$$eri&&e Genera& Mer0handisin', represented 5( Di0tor
Ch%a . E&idad and Dio&eta 9ho, 5e/ore the O//i0e o/ the Cit( Prose0%tor o/ Mani&a. E&idad and Dio&eta 9ho /i&ed their 0o%nter-a//idait in the Co$p&aint /or Un/air
Co$petition
1hi0h
sered
as
their
0o%nter0har'e
a'ainst An' Tia$ Cha( and Di0tor Ch%a, &i8e1ise /or Un/air Co$petition, do08eted as I.S. No. OOB-+;<. On *; Mar0h *+++, the O//i0e o/ the Cit( Prose0%tor 'ranted the 0onso&idation o/ 5oth I.S. No. ++A-+*; and I.S. No. ++B-+;<. On * Apri& *+++, Assistant Cit( Prose0%tor Re0tor Ma0apa'a& rendered a oint reso&%tion dis$issin' 5oth the Co$p&aint and 0o%nter0har'e. This reso&%tion o/ dis$issa& 1as reersed 5( the reie1 reso&%tion>
>=?
On <
A%'%st *+++, epart$ent o/ "%sti0e 3O"4 Underse0retar( Re'is P%no iss%ed a reso&%tion>;? dis$issin' the petition /or reie1 /i&ed 5( E&idad and Dio&eta 9ho and %pho&din' the r%&in' o/ Assistant Cit( Prose0%tor Ca&&edo, dire0tin' the /i&in' o/ 0har'es
a'ainst
the 9hos. E&idad and Dio&eta 9ho /i&ed
a
$otion
/or
re0onsideration, and in a 0o$p&ete t%rna5o%t, on *= Septe$5er *++, a reso&%tion>*+? 1as iss%ed 5( then O" Se0retar( #ernando PereF a'ain dis$issin' the Co$p&aint and 0o%nter0har'e in I.S. No. ++A-+*; and I.S. No. ++B-+;< /or &a08 o/ $erit. S%$$eri&&e Genera& Mer0handisin' a00ordin'&( /i&ed a $otion /or re0onsideration o/ this O" reso&%tion dated *+ Septe$5er *++. In ie1 o/ the &atest O" reso&%tion orderin' the dis$issa& o/ the 0o$p&aint o/ S%$$eri&&e Genera& Mer0handisin' a'ainst the 9hos, the RTC o/ Mani&a, Bran0h
, iss%ed an Order dated *) O0to5er *++ dire0tin' the dis$issa& o/ the Co$p&aint in Cri$ina& Case No. ++-=*. >*? S%$$eri&&e Genera& Mer0handisin' /i&ed 1ith the RTC o/ Mani&a, Bran0h , a $otion /or re0onsideration o/ its Order o/ dis$issa&
o/
Cri$ina&
Case
No.
++-=*. 2or
their
part, E&idad and Dio&eta 9ho a&so /i&ed 1ith the sa$e 0o%rt a s%pp&e$enta& $otion insistin' that the Order dis$issin' Cri$ina& Case No. ++-=* 0annot 5e set aside 5e0a%se to do so 1o%&d, in e//e0t, reinstate the said 0ri$ina& 0ase and 1o%&d a&read( 0onstit%te do%5&e eopard(. A0tin' on these $otions, the RTC o/ Mani&a, Bran0h , iss%ed an Order dated * A%'%st *++* reso&in' the $otions in the /o&&o1in' $anner: The /ore'oin' d%&( esta5&ished /a0ts ind%5ita5&( s%pports a00%seds 0ontention that a re-/i&in' >o?/ the In/or$ation 1o%&d p%t the$ in do%5&e eopard(. As r%&ed 5( the S%pre$e Co%rt in Mar0e&o . Co%rt o/ Appea&s, * SCRA ;, %pon 1ithdra1a& o/ the In/or$ation, 1hi0h is the &o'i0a& 0onse@%en0e o/ the 'rant o/ the Motion to ithdra1, there no &on'er re$ained an( 0ase to dis$iss. A00ordin'&(, /indin' $erit in the Motion /or Re0onsideration, the sa$e is here5( 'ranted. The in/or$ation a'ainst a00%sed is here5( dis$issed. The C&er8 o/ Co%rt is here5( dire0ted to ret%rn to the a00%sed the 0ash 5onds posted 5( the &atter /or their proisiona& &i5ert( %pon presentation o/ the re@%isite re0eipts. The r%&in' renders the re$ainin' in0idents $oot and a0ade$i0. >**?
Therea/ter, on < Septe$5er *++*, the O" Se0retar(, #ernando B. PereF, 'ranted the pendin' $otion o/ S%$$eri&&e Genera& Mer0handisin' /or re0onsideration o/ the O" reso&%tion >*? dated *= Septe$5er *++, 1hi0h dis$issed the Co$p&aint o/ $oant S%$$eri&&e Genera& Mer0handisin' in I.S. No. ++A-+*;, and
a00ordin'&( iss%ed another reso&%tion a0atin' the @%estioned *= Septe$5er *++ reso&%tion and dire0tin' the Cit( Prose0%tor o/ Mani&a to 0ontin%e 1ith the 0ri$ina& prose0%tion o/ the 9hos /or Un/air Co$petition.
E&idad and Dio&eta 9ho /i&ed a $otion /or re0onsideration o/ the reso&%tion dated < Septe$5er *++* 5e/ore the O". The O", >*)? thr% the ne1 Se0retar( Si$eon A.at%$anon' denied that do%5&e eopard( &ies, in a reso&%tion dated < "%&( *++, de0&ared that: A/ter an ea&%ation o/ the re0ord, 1e reso&e to den( the $otion /or re0onsideration. 2or do%5&e eopard( to atta0h, the /o&&o1in' re@%ire$ents $%st 5e present: 34 %pon a a&id indi0t$entH 3*4 5e/ore a 0o$petent 0o%rtH 34 a/ter arrai'n$entH 3)4 1hen a a&id p&ea has 5een enteredH and 34 1hen the de/endant 1as 0oni0ted, a0@%itted, or the 0ase 1as dis$issed or other1ise ter$inated 1itho%t the epress 0onsent o/ the a00%sed. 3 eole v. Court of &eals, += SCRA =<4. In the instant 0ase, it appears that the 0ase 1as ter$inated 1ith the epress 0onsent o/ the respondent, as the 0ri$ina& 0ase 1as dis$issed %pon the epress app&i0ation o/ the a00%sed. #er a0tion in hain' the 0ase dis$issed 0onstit%tes a 1aier o/ her 0onstit%tiona& prero'atie a'ainst do%5&e eopard( as she there5( preented the 0o%rt /ro$ pro0eedin' to tria& on the $erits and renderin' a %d'$ent o/ 0oni0tion a'ainst her. >*?
At odds 1ith the /ina& O" reso&%tion, the RTC o/ Mani&a, Bran0h , hand&in' Cri$ina& Case No. ++-=*, he&d in its Order dated * Apri& *++ that: Considerin' the tenors o/ the orders o/ dis$issa&, 1hateer $a(5e the $erits o/ the Motion /or Re0onsideration, reia& o/ the 0ase is no1 5arred 5( the i$pre'na5&e 1a&& o/ do%5&e eopard(. ACCORDIN)L, the Motion /or Re0onsideration dated Septe$5er +, *++* /i&ed 5( the priate prose0%tor and s%5e0t o/ the Motion to Reso&e is here5( denied 1ith /ina&it(.
The C&er8 o/ Co%rt is here5( dire0ted to ret%rn to the a00%sed the 0ash 5ond posted 5( the$ /or their proisiona& &i5ert( %pon presentation o/ the re@%ired re0eipts.>*?
Th%s, S%$$eri&&e Genera& Mer0handisin' raised its 0ase to the Co%rt o/ Appea&s, do08eted as CA-G.R. SP No. <<=+, assai&in' the Order dated *) O0to5er *++ o/ the RTC o/ Mani&a, Bran0h , dis$issin' Cri$ina& Case No. ++-=*, as 1e&& as the Orders dated * A%'%st *++* and * Apri& *++ o/ the sa$e 0o%rt a//ir$in' its preio%s order o/ dis$issa&. In a de0ision o/ the Co%rt o/ Appea&s dated * Ma( *++) in CA-G.R. SP No. <<=+,>**=? *) /ear$h 5arrant No. 99-120 before the RTC of anila" #ran$h 7
Short&( 5e/ore instit%tin' Cri$ina& Case No. ++-=* a'ainst the 9hos, or on < "an%ar( *+++, S%$$eri&&e Genera& Mer0handisin' app&ied /or the iss%an0e o/ a sear0h 1arrant a'ainst the Spo%ses E&idad and Dio&eta 9ho and Ro'er 9ho, sin0e the( persisted in $an%/a0t%rin' and se&&in' Chin Ch%n S% prod%0ts despite the B2A order dire0tin' the$ to re/rain /ro$ doin' so. The app&i0ation 1as do08eted as Sear0h arrant No. ;;-*+ 5e/ore the RTC o/ Mani&a, Bran0h <, 1hi0h 1as presided oer 5( respondent herein, "%d'e Enri0o A. !anFanas. A hearin' on the app&i0ation 1as he&d on + "an%ar( *+++ >*;? and the sear0h 1arrant
1as
iss%ed
a'ainst E&idad, Dio&eta and
Ro'er 9ho on
the
sa$e
da(. >+? Its
en/or0e$ent &ed to the seiF%re o/ seera& Chin Ch%n S% prod%0ts. >? On < "an%ar( *+++, E&idad, Dio&eta and Ro'er 9ho /i&ed 5e/ore the RTC o/ Mani&a, Bran0h <, a $otion to @%ash the sear0h 1arrant and /or the ret%rn o/ the ite$s %n&a1/%&&( seiFed. The $otion 1as opposed 5( S%$$eri&&e Genera& Mer0handisin'. In an Order >*? dated Apri& *+++, the RTC o/ Mani&a, Bran0h <, denied E&idad and Dio&eta 9hos $otion to @%ash and to ret%rn the seiFed arti0&es /or &a08 o/ $erit. >?E&idad and Dio&eta 9ho /i&ed a $otion /or re0onsideration and $otion to trans/er the pro0eedin's in RTC o/ Mani&a, Bran0h <, to RTC o/ Mani&a, Bran0h , 0itin' S%pre$e Co%rt Ad$inistratie Order -; >)? desi'natin' the RTC o/ Mani&a, Bran0h , as an Inte&&e0t%a& Propert( Co%rt. The RTC o/ Mani&a, Bran0h <, denied these $otions in an Order dated "%ne *+++, >? ep&ainin' that: Anent the Motion to Co$pe& this Bran0h to trans/er the 0ase to Bran0h o/ this Co%rt, s%//i0e it to sa( that the 0ases /or io&ation o/ Arts. == and =; o/ the Reised Pena& Code 3no1 %nder the Inte&&e0t%a& Propert( !a14 are those that are a&read( /i&ed in 0o%rt a/ter the proper pre&i$inar( inesti'ation and not 0ases /or app&i0ation /or sear0h 1arrant ino&in' pro5a5&e io&ation o/ said &a1. S%pre$e Co%rt Ad$inistratie Cir0%&ar No. -; itse&/ desi'nates the a&&%ded 0o%rt or 5ran0h thereo/ to tr( and de0ide 1hi0h 0&ear&( e0&%des 0ases6app&i0ations /or sear0h 1arrant 1hi0h o5io%s&( does not ino&e tr(in' and de0idin' 0ase /or io&ation o/ the Inte&&e0t%a& Propert( &a1. On respondents Motion /or Re0onsideration, the Co%rt /inds their ar'%$ents therein a rehash o/ the iss%es and ar'%$ents raised in their Motion to 7%ash. #ERE2ORE, /or &a08 o/ $erit, respondents Motion /or Re0onsideration and Motion to Trans/er, are here5( ENIE. >?
E&idad and Dio&eta 9ho /i&ed
a
Petition
/or Certiorari and
Pre&i$inar(
Mandator( In%n0tion, >=? 1as rendered 5( the Co%rt o/ Appea&s den(in' the petition. It %phe&d Sear0h arrant No. ;;-*+ as hain' 5een a&id&( iss%ed and proper&( ee0%ted and, th%s, there is no 5asis /or the ret%rn o/ the 'oods seiFed. A $otion /or re0onsideration /i&ed 5( the 9hos 1as denied 5( the Co%rt o/ Appea&s in an Order dated Noe$5er *++. >;? E&idad and Dio&eta 9ho /i&ed a s%pp&e$ent to their Motion /or Re0onsideration dated *+ Noe$5er *++ >)+? 5e/ore the Co%rt o/ Appea&s in CA-G.R. SP No. ++=), reiteratin' their pra(er /or the @%asha& o/ Sear0h arrant No. ;;-*+ and the ret%rn o/ the seiFed ite$s. The Co%rt o/ Appea&s, in a reso&%tion dated ) e0e$5er *++,>)? $ere&( noted the $otion in ie1 o/ its ear&ier reso&%tion rendered on Noe$5er
*++ a&read( den(in' E&idad and Dio&eta 9hos Motion
/or
Re0onsideration. Pained 5( the de0isions and orders o/ the tria& 0o%rt and appe&&ate 0o%rt, petitioners E&idad and Dio&eta 9ho /i&ed
the
present petition pra(in' that
the
de0ision o/ the Co%rt o/ Appea&s in CA-G.R. SP No. ++=) dated A%'%st *++ 5e reersed and set aside, and a ne1 de0ision 5e iss%ed 'rantin' the @%asha& o/ Sear0h arrant No. ;;-*+ and orderin' the ret%rn o/ the ite$s %n&a1/%&&( seiFed. >)*?
In their Me$orand%$, petitioners raise the /o&&o1in' iss%es /or reso&%tion: #ET#ER OR NOT T#E COURT O2 APPEA!S ERRE IN ISREGARING T#E IT#RAA! O2 T#E IN2ORMATION 2OR UN2AIR COMPETITION AGAINST T#E PETITIONERS IN BRANC# O2 RTC-MANI!A AS A RESU!T O2 T#E
RESO!UTION O2 T#E EPARTMENT O2 "USTICE 2INING NO PROBAB!E CAUSE. #ET#ER OR NOT T#E COURT O2 APPEA!S ERRE IN 2INING T#AT NO GRADE ABUSE O2 ISCRETION AS COMMITTE BY #ONORAB!E "UGE ENRICO !ANANAS IN 2INING T#AT PROBAB!E CAUSE EKISTE AGAINST T#E PETITIONERS 2OR T#E ISSUANCE O2 SEARC# ARRANT NO. ;;-*+. #ET#ER OR NOT T#E COURT O2 APPEA!S ERRE IN 2INING T#AT BRANC# < O2 T#E REGIONA! TRIA! COURT O2 MANI!A #A "URISICTION TO ISSUE SEARC# ARRANT NO. ;;-*+. #ET#ER OR NOT T#E COURT O2 APPEA!S ERRE IN 2INING T#AT NO GRADE ABUSE O2 ISCRETION AS COMMITTE BY #ONORAB!E "UGE ENRICO !ANANAS IN RU!ING T#AT SEARC# ARRANT NO. ;;-*+ AS !A2U!!Y EKECUTE. #ET#ER OR NOT T#E COURT O2 APPEA!S ERRE IN 2INING T#AT NO GRADE ABUSE O2 ISCRETION AS COMMITTE BY #ONORAB!E "UGE ENRICO !ANANAS IN NOT ORERING T#E RETURN O2 T#E ITEMS SEIE UNER SEARC# ARRANT NO. ;;-*+. >)?
The petition is deoid o/ $erit. As to the /irst iss%e, it $%st 5e noted that the dis$issa& o/ Cri$ina& Case No. ++-=* 5( the RTC o/ Mani&a, Bran0h , 1as initia&&( 5( irt%e o/ the reso&%tion o/ the O" dated *= Septe$5er *++ >))? orderin' the dis$issa& o/ the 0ri$ina& 0ase /or %n/air 0o$petition. This order o/ dis$issa&, ho1eer, 1as a'ain set aside 5( the O" in its reso&%tion dated < Septe$5er *++* >)? dire0tin' that appropriate in/or$ation /or Un/air
Co$petition
5e
/i&ed
a'ainst
the 9hos. The
$otion
/or
re0onsideration
o/ E&idad and Dio&eta 9ho 1as denied 5( the O" in its reso&%tion dated < "%&( *++.>)? This is the &atest eistin'reso&%tion o/ the O" on the $atter, dated < "%&( *++, 1hi0h a//ir$ed the reso&%tion o/ the then O" Se0retar( #ernando B. PereF dire0tin' the Cit( Prose0%tor o/ Mani&a to /i&e the appropriate in/or$ation a'ainst E&idad and Dio&eta 9ho /or Un/air Co$petition as de/ined and pena&iFed %nder Se0tion =.3a4, in re&ation to Se0tions = and <+ o/ Rep. A0t No. =*; or The Inte&&e0t%a& Propert( Code o/ the Phi&ippines. There/ore, at the ti$e o/ the dis$issa& o/ Cri$ina& Case No. ++-=* 5( the RTC o/ Mani&a, Bran0h , on *) O0to5er *++, the O" reso&%tion on I.S. No. ++A-+*; on 1hi0h Cri$ina& Case No. ++-=* is 5ased has not 5een 1ritten finis as (et. Ta8in' into 0onsideration these 0ir0%$stan0es, the Co%rt o/ Appea&s did not err in a//ir$in' the Order o/ the RTC o/ Mani&a, Bran0h <, den(in' the $otion to @%ash /i&ed 5( the herein petitioners 5e0a%se, s%5se@%ent&(, the O" sti&& ordered the /i&in' o/ 0har'es a'ainst E&idad and Dio&eta 9ho. As to 1hether the RTC o/ Mani&a, Bran0h , proper&( dis$issed the 0ri$ina& 0ase a'ainst the 9hos despite the reso&%tion o/ the O" orderin' their 0ri$ina& prose0%tion, 1e 0annot d1e&& $ore on the iss%e 5e0a%se it is a&read( the s%5e0t o/ G.R. No. <) 5e/ore another diision o/ this Co%rt. Iss%es t1o, three and /o%r, on the other hand, 5oi& do1n to the 0entra& iss%e o/ 1hether or not the Co%rt o/ Appea&s erred in %pho&din' the RTC o/ Mani&a, Bran0h <, in its /indin's o/ pro5a5&e 0a%se to iss%e a sear0h 1arrant. A&so restin' on ho1 1e sha&& reso&e the /ore'oin' iss%e is the /i/th and &ast iss%e in the Petition at 5ar 1hi0h @%estions the re/%sa& 5( 5oth the Co%rt o/ Appea&s and the RTC o/ Mani&a, Bran0h <, to ret%rn the seiFed ite$s.
The iss%an0e o/ Sear0h arrants is 'oerned 5( R%&e * o/ the Reised R%&es o/ Co%rt reprod%0ed 5e&o1: SECTION . /ear$h 8arrant efine . A sear0h 1arrant is an order in 1ritin' iss%ed in the na$e o/ the Peop&e o/ the Phi&ippines, si'ned 5( a %d'e and dire0ted to a pea0e o//i0er, 0o$$andin' hi$ to sear0h /or persona& propert( des0ri5ed therein and 5rin' it 5e/ore the 0o%rt. SEC. *. Court 8here ali$ation for sear$h 8arrant shall be file. - An app&i0ation /or sear0h 1arrant sha&& 5e /i&ed 1ith the /o&&o1in': a4 An( 0o%rt 1ithin 1hose territoria& %risdi0tion a 0ri$e 1as 0o$$itted. 54 2or 0o$pe&&in' reasons stated in the app&i0ation, an( 0o%rt 1ithin the %di0ia& re'ion 1here the 0ri$e 1as 0o$$itted i/ the p&a0e o/ the 0o$$ission o/ the 0ri$e is 8no1n, or an( 0o%rt 1ithin the %di0ia& re'ion 1here the 1arrant sha&& 5e en/or0ed. #o1eer, i/ the 0ri$ina& a0tion has a&read( 5een /i&ed, the app&i0ation sha&& on&( 5e $ade in the 0o%rt 1here the 0ri$ina& a0tion is pendin'. SEC. . ersonal roert! to be seie . A sear0h 1arrant $a( 5e iss%ed /or the sear0h and seiF%re o/ persona& propert(: 3a4 S%5e0t o/ the o//enseH 354 Sto&en or e$5eFF&ed and other pro0eeds or /r%its o/ the o//enseH or 304 Used or intended to 5e %sed as the $eans o/ 0o$$ittin' an o//ense. SEC. ). Reuisites for issuing sear$h 8arrant . A sear0h 1arrant sha&& not iss%e e0ept %pon pro5a5&e 0a%se in 0onne0tion 1ith one spe0i/i0 o//ense to 5e deter$ined persona&&( 5( the %d'e a/ter ea$ination %nder oath or a//ir$ation o/ the 0o$p&ainant and the 1itnesses he $a( prod%0e, and
parti0%&ar&( des0ri5in' the p&a0e to 5e sear0hed and the thin's to 5e seiFed 1hi0h $a( 5e an(1here in the Phi&ippines. SEC.. 3:aination of $olainant; re$or. The %d'e $%st, 5e/ore iss%in' the 1arrant, persona&&( ea$ine in the /or$ o/ sear0hin' @%estions and ans1ers, in 1ritin' and %nder oath, the 0o$p&ainant and the 1itnesses he $a( prod%0e on /a0ts persona&&( 8no1n to the$ and atta0h to the re0ord their s1orn state$ents to'ether 1ith the a//idaits s%5$itted. SEC. . ssuan$e an for of sear$h 8arrant . I/ the %d'e is satis/ied o/ the eisten0e o/ /a0ts %pon 1hi0h the app&i0ation is 5ased or that there is pro5a5&e 0a%se to 5e&iee that the( eist, he sha&& iss%e the 1arrant, 1hi0h $%st 5e s%5stantia&&( in the /or$ pres0ri5ed 5( these R%&es.
hat 0onstit%tes pro5a5&e 0a%se is 1e&& sett&ed. In i$rosoft Cororation v. a:i$or" n$.,>)
0a%se is deter$ined in the &i'ht o/ 0onditions o5tainin' in a 'ien sit%ation.
In Colubia i$tures" n$. v. Court of &eals ,>)=? 1e ep&ained /%rther that: A&tho%'h the ter$ pro5a5&e 0a%se has 5een said to hae a 1e&&-de/ined $eanin' in the &a1, the ter$ is e0eedin'&( di//i0%&t to de/ine, in this 0ase, 1ith an( de'ree o/ pre0isionH indeed, no de/inition o/ it 1hi0h 1o%&d %sti/( the iss%an0e o/ a sear0h 1arrant 0an 5e /or$%&ated 1hi0h 1o%&d 0oer eer( state o/ /a0ts 1hi0h $i'ht arise, and no /or$%&a or standard, or hard and /ast r%&e, $a( 5e &aid do1n 1hi0h $a( 5e app&ied to the /a0ts o/ eer( sit%ation. As to 1hat a0ts 0onstit%te pro5a5&e 0a%se see$ in0apa5&e o/ de/inition. There is, o/ ne0essit(, no ea0t test. At 5est, the ter$ pro5a5&e 0a%se has 5een %nderstood to $ean a reasona5&e 'ro%nd o/ s%spi0ion, s%pported 5( 0ir0%$stan0es s%//i0ient&( stron' in the$se&es to 1arrant a 0a%tio%s $an in the 5e&ie/ that the person a00%sed is '%i&t( o/ the o//ense 1ith 1hi0h he is 0har'edH or the eisten0e o/ s%0h /a0ts and 0ir0%$stan0es as 1o%&d e0ite an honest 5e&ie/ in a reasona5&e $ind a0tin' on a&& the /a0ts and 0ir0%$stan0es 1ithin the 8no1&ed'e o/ the $a'istrate that the 0har'e $ade 5( the app&i0ant /or the 1arrant is tr%e. Pro5a5&e 0a%se does not $ean a0t%a& and positie 0a%se, nor does it i$port a5so&%te 0ertaint(. The deter$ination o/ the eisten0e o/ pro5a5&e 0a%se is not 0on0erned 1ith the @%estion o/ 1hether the o//ense 0har'ed has 5een or is 5ein' 0o$$itted in /a0t, or 1hether the a00%sed is '%i&t( or inno0ent, 5%t on&( 1hether the a//iant has reasona5&e 'ro%nds /or his 5e&ie/. The re@%ire$ent is &ess than 0ertaint( or proo/, 5%t $ore than s%spi0ion or possi5i&it(. In Phi&ippine %rispr%den0e, pro5a5&e 0a%se has 5een %ni/or$&( de/ined as s%0h /a0ts and 0ir0%$stan0es 1hi0h 1o%&d &ead a reasona5&e, dis0reet and pr%dent $an to 5e&iee that an o//ense has 5een 0o$$itted, and that the o5e0ts so%'ht in 0onne0tion 1ith the o//ense are in the p&a0e so%'ht to 5e sear0hed. It 5ein' the d%t( o/ the iss%in' o//i0er to iss%e, or re/%se to iss%e, the 1arrant as soon as pra0ti0a5&e a/ter the app&i0ation there/or is /i&ed, the /a0ts 1arrantin' the 0on0&%sion o/ pro5a5&e 0a%se $%st 5e assessed at the ti$e o/ s%0h %di0ia&
deter$ination 5( ne0essari&( %sin' &e'a& standards then set /orth in &a1 and %rispr%den0e, and not those that hae (et to 5e 0ra/ted therea/ter.
e a&so de0&ared in eole v. Chiu,>);? 0itin' alaloan v. Court of &eals" [50]
that a sear0h 1arrant is $ere&( a %di0ia& pro0ess desi'ned 5( the R%&es to
respond on&( to an in0ident in the $ain 0ase, i/ one has a&read( 5een instit%ted, or in anti0ipation thereo/. It 5ears repeatin' that the pro0eedin's 5e/ore the RTC o/ Mani&a, Bran0h <, 1as so&e&( /or the iss%an0e o/ Sear0h arrant No. ;;-*+, 1hi&e the $ain 0ase a'ainst E&idadand Dio&eta 9ho /or io&ation o/ The Inte&&e0t%a& Propert( Code 1as instit%ted on&( &ater on as Cri$ina& Case No. ++-=* 5e/ore the RTC o/ Mani&a, Bran0h . hat is 5e/ore %s in the Petition at 5ar is the a&idit( o/ the sear0h 1arrant iss%ed in the pro0eedin's in Sear0h arrant No. ;;-*+. A perspi0a0io%s ea$ination o/ the re0ords reea& that the RTC o/ Mani&a, Bran0h <, /o&&o1ed the pres0ri5ed pro0ed%re /or the iss%an0e o/ Sear0h arrant No. ;;-*+, na$e&(, 34 the ea$ination %nder oath or a//ir$ation o/ the Co$p&ainant
and
his
1itnesses
"%d'e Enri0o A. !anFanas persona&&(
and,
ea$ined
in
this
0ase,
0o$p&ainant-po&i0e1o$an
SPO) Nedita A&ario Ba&a'5is, and Mr. Di0tor Ch%a, the representatie6o//i0er o/ S%$$eri&&e Genera& Mer0handisin', at the hearin' on the app&i0ation /or Sear0h arrant No. ;;-*+ he&d on + "an%ar( *+++H 3*4 an ea$ination persona&&( 0ond%0ted 5( then Presidin' "%d'e !anFanas, in the /or$ o/ sear0hin' @%estions and ans1ers, in 1ritin' and %nder oath, o/ the 0o$p&ainant and 1itnesses on /a0ts persona&&( 8no1n to the$H and 34 the ta8in' o/ s1orn state$ents, to'ether 1ith the a//idaits s%5$itted, 1hi0h 1ere d%&( atta0hed to the re0ords. >?
In deter$inin' pro5a5&e 0a%se in the iss%an0e o/ a sear0h 1arrant, the oath re@%ired $%st re/er to the tr%th o/ the /a0ts 1ithin the persona& 8no1&ed'e o/ the app&i0ant or his 1itnesses, 5e0a%se the p%rpose thereo/ is to 0onin0e the 0o$$ittin' $a'istrate, not the indiid%a& $a8in' the a//idait and see8in' the iss%an0e o/ the 1arrant, o/ the eisten0e o/ pro5a5&e 0a%se. >*? 2ro$ the a//idait dated < "an%ar( *+++ o/ SPO) Nedita Ba&a'5is, in s%pport o/ the app&i0ation /or sear0h 1arrant, she stated that S%$$eri&&e Genera& Mer0handisin' represented 5( Mr. Di0tor Ch%a so%'ht the assistan0e o/ their po&i0e station in 0onne0tion 1ith the pro&i/eration o/ /a8e Chin Ch%n S% prod%0ts. ith Di0tor
Ch%a,
the(
$ade
a
s%rei&&an0e
o/
na$e&( *)+< Topa0io Street and *)* Ra($%ndo Street 5oth
t1o in
p&a0es, San
Andres, Mani&a. Thro%'h this, the( 1ere a5&e to eri/( that p&asti0 0ontainers 1ere 5ein'
&a5e&ed
1ith
Chin
Ch%n
S%
sti08ers
/i&&ed
1ith
0rea$
at *)+< Topa0io Street. On the other hand, in the a//idait dated < "an%ar( *+++ o/ Di0tor Ch%a, he stated that S%$$eri&&e Genera& Mer0handisin', 5ein' the e0&%sie i$porter, distri5%tor and dea&er o/ Chin Ch%n S% prod%0ts re0eied re&ia5&e in/or$ation that persons 'oin' 5( the na$e o/ E&idad, Dio&eta and Ro'er 9ho 1ere en'a'ed in the i&&e'a& $an%/a0t%re and sa&e o/ these prod%0ts. 2ro$ the s%rei&&an0e 0ond%0ted 1ith the he&p o/ SPO) Ba&a'5is, the( sa1 a tri0(0&e /%&& o/ 0ontainers ta8en to a ho%se at *)* Ra($%ndo Street, San Andres, Mani&a. It 1as at this address that Chin Ch%n S% sti08ers 1ere 5ein' a//ied. The 0ontainers 1ere therea/ter ta8en to *)+< Topa0io Street to 5e /i&&ed 1ith the 0rea$ prod%0t. C&ear&(, pro5a5&e 0a%se eisted /or the iss%an0e o/ the 1arrant as sho1n 5( the a//idaits o/ the a5oe a//iants 1ho had persona& 8no1&ed'e o/ /a0ts indi0atin' that an o//ense ino&in' io&ation o/ inte&&e0t%a& propert( ri'hts 1as 5ein'
0o$$itted and that the o5e0ts so%'ht in 0onne0tion 1ith the o//ense are in the p&a0e
so%'ht
to
5e
sear0hed.
The
s%rei&&an0e
0ond%0ted
5(
SPO) Nedita Ba&a'5is on the 5asis o/ re&ia5&e in/or$ation that E&idad, Dio&eta and Ro'er 9ho 1ere en'a'ed in the i&&e'a& $an%/a0t%re and sa&e o/ /a8e Chin Ch%n S% prod%0ts ena5&ed her to 'ain persona& 8no1&ed'e o/ the i&&e'a& a0tiities o/ the 9hos. >? This /a0t 1as s%//i0ient %sti/i0ation /or the ea$inin' %d'e, in this 0ase "%d'e !anFanas, to 0on0&%de that there 1as pro5a5&e 0a%se /or the iss%an0e o/ the sear0h 1arrant. At the hearin' 0ond%0ted 5( "%d'e !anFanas, SPO) Nedita Ba&a'5is and Di0tor Ch%a testi/ied on the a//idaits the( separate&( ee0%ted, and essentia&&( stated therein %pon in@%ir( 5( "%d'e !anFanas that indeed seera& /a8e Chin Ch%n S% prod%0ts 1ere &oaded to a tri0(0&e and 5ro%'ht to a 1areho%se in Topa0io Street. In eole v. Tee" [54] this Co%rt he&d that: It is pres%$ed that a %di0ia& /%n0tion has 5een re'%&ar&( per/or$ed, a5sent a sho1in' to the 0ontrar(. A $a'istrates deter$ination o/ pro5a5&e 0a%se /or the iss%an0e o/ a sear0h 1arrant is paid 'reat de/eren0e 5( a reie1in' 0o%rt, as &on' as there 1as s%5stantia& 5asis /or that deter$ination. S%5stantia& 5asis $eans that the @%estions o/ the ea$inin' %d'e 5ro%'ht o%t s%0h /a0ts and 0ir0%$stan0es as 1o%&d &ead a reasona5&( dis0reet and pr%dent $an to 5e&iee that an o//ense has 5een 0o$$itted, and the o5e0ts in 0onne0tion 1ith the o//ense so%'ht to 5e seiFed are in the p&a0e so%'ht to 5e sear0hed.
e 0annot /ind an( irre'%&arit( or a5%se o/ dis0retion on the part o/ "%d'e !anFanas /or iss%in' the assai&ed sear0h 1arrant. On the 0ontrar(, 1e /ind that he had 0o$p&ied 1ith the pro0ed%ra& and s%5stantie re@%ire$ents /or iss%in'
a sear0h 1arrant. e are, there/ore, 5o%nd to respe0t his /indin' o/ pro5a5&e 0a%se /or iss%in' Sear0h arrant No. ;;-*+. A/ter de0&arin' that Sear0h arrant No. ;;-*+ 1as a&id&( iss%ed 5( the RTC o/ Mani&a, Bran0h <, then there is no reason /or %s to order the ret%rn o/ the arti0&es seiFed 5( irt%e thereo/. #ERE2ORE, the e0ision o/ the Co%rt o/ Appea&s dated A%'%st *++ and Reso&%tion dated Noe$5er *++, den(in' the @%asha& o/ Sear0h arrant No. ;;-*+ and the ret%rn o/ the seiFed ite$s, are here5( A22IRME. Costs a'ainst petitioners. SO ORDERED.
$INITA V. CHICO/NAZARIO Asso0iate "%sti0e
E CONCUR:
ARTE$IO V. PAN)ANI%AN Chie/ "%sti0e Chairperson
No part CONS(ELO NARES/SANTIA)O $A. ALICIA A(STRIA/$ARTINEZ Asso0iate "%sti0e Asso0iate "%sti0e
RO$EO J. CALLEJO, SR. Asso0iate "%sti0e
CERTI2ICATION P%rs%ant to Arti0&e DIII, Se0tion o/ the Constit%tion, it is here5( 0erti/ied that the 0on0&%sions in the a5oe e0ision 1ere rea0hed in 0ons%&tation 5e/ore the 0ase 1as assi'ned to the 1riter o/ the opinion o/ the Co%rts iision.
ARTE$IO V. PAN)ANI%AN Chie/ "%sti0e
