131468-1990-EDCA Publishing Distributing Corp. V.
131468-1990-EDCA Publishing Distributing Corp. V.
131468-1990-EDCA Publishing Distributing Corp. V.
ratio ISSUE: Is the Municipal Ordinance enforceable within the US Naval Base?
o Pursuant to Section 6 of Article I of the Philippine-U S. Labor Agreement of May 27,
1968, the United States Armed Forces undertook, consistent with military requirements, "to HELD: Yes. The Philippine Government has not abdicated its sovereignty over the bases as
provide security for employment, and, in the event certain services are contracted out, the part of the Philippine territory or divested itself completely of jurisdiction over offenses
United States Armed Forces shall require the contractor or concessioner to give priority committed therein. Under the terms of the treaty, the United States Government has prior
consideration to affected employees for employment. or preferential but not exclusive jurisdiction of such offenses. The Philippine Government
o A treaty has two (2) aspects — as an international agreement between states, and retains not only jurisdictional rights not granted, but also all such ceded rights as the United
as municipal law for the people of each state to observe. States Military authorities for reasons of their own decline to make use of (Military Bases
o Being part of municipal law, the provision of the treaty forms part of the contract Agreement). Hence, in the exercise of its sovereignty, the State through the City of Olongapo
between petitioner and the U.S. Naval Base authorities. does have administrative jurisdiction over the lot located within the US Naval Base.
o In view of said stipulation, the new contractor is, therefore, bound to give "priority"
to the employment of the qualified employees of the previous contractor. It is obviously in 4) Bayan Muna v. Romulo and Ople
recognition of such obligation that petitioner entered into the afore-mentioned Compromise Then US Ambassador Francis Ricciardone sent US Embassy Note 0470 to the DFA proposing
Agreement the terms of the Non-surrender Bilateral Agreement between the Philippines and the US. Via
o Under the Compromise Agreement as embodied in the Resolution of this Court Exchange of Notes BFO-028-03, the Philippines, through Sec. Ople, agreed and accepted the
dated October 24, 1975, the parties agreed to submit to the Secretary of Labor the US proposals embodied under the US Embassy Note and put in effect the Non-surrender
determination as to who of the members of the respondent union BTEA-KILUSAN shall be Agreement with the US government.
absorbed or employed by the herein petitioner Guerrero's Transport Services, Inc., and that
such determination shall be considered as final. The Non-surrender Agreement aims to protect what it refers to and defines as persons of the
o The Compromise-Agreement of the parties is more than a mere contract and has Philippines and the US from frivolous and harassment suits that might be brought against
the force and effect of any other judgment, it is, therefore, conclusive upon the parties and them in international tribunals. It provides that the persons of one party present in the
their privies. territory of the other shall not, absent the express consent of the first party be surrendered
o For it is settled that a compromise has, upon the parties, the effect and authority of or transferred by any means to any international tribunal for any purpose or by any means to
res judicata and is enforceable by execution upon approval by the court. any other entity or third country or expelled to a third country for the purpose of surrender
o Since the resolution of the NLRC of October 31, 1973 required the absorption of to or transfer to any international tribunal, unless such tribunal has been established by the
the applicants subject to the conditions therein contained, and there being no showing that UN Security Council. When the US/Philippines extradites, surrenders, or otherwise transfers
such conditions were complied with, the Labor Arbiter exceeded his authority in awarding a person of the Philippines/US to a third country, the US/Philippines will not agree to the
back wages to the 129 complainants. surrender or transfer of that person by the third country to any international tribunal, unless
such tribunal has been established by the UN Security Council, absent the express consent of
3) People of the Philippines vs Loreta Gozo the Government of the US/Philippines.
53 SCRA 476 – Political Law – Sovereignty
Petitioners argue that the Exchange of Notes BFO-028-03 cannot be a valid medium for
Loreta Gozo bought a house and lot which was located inside the US Naval Reservation which concluding an agreement, that it cannot partake the nature of a treaty without being ratified
is within the territorial jurisdiction of Olongapo City. Upon the advice of an assistant in the by the Senate, that the Non-surrender Agreement does not fall under any subject-categories
Mayor’s Office and some neighbors, she demolished the house standing thereon without enumerated in a previous case, and that the Non-surrender Agreement infringes the
acquiring the necessary permits and then later on erected another house. She was then effectivity of the Rome Statute insofar as it unduly restricts the ICC’s jurisdiction.
charged by the City Engineer’s Office for violating a municipal order which requires her to
Issues 2) The Non-surrender agreement does not undermine the Rome Statute. The
1) Can the Non-surrender Agreement be validly concluded through exchanges of notes? Is jurisdiction of the ICC is to be complementary to national criminal jurisdiction of signatory
the Non-surrender Agreement a violation of the obligation of the Philippines under the Rome states. It is the duty of every State to exercise its criminal jurisdiction over those responsible
Statute? for international crimes. The primary jurisdiction over the so-called international crimes
rests, at the first instance, with the State where the crime was committed; secondarily with
Held the ICC in appropriate situations. The Non-surrender agreement does not violate the
The Petition is denied for lack of merit. Philippines’ duty required by the imperatives of good faith to refrain from performing any act
tending to impair the Rome Statute.
Ratio
1) An exchange of notes falls into the category of inter-governmental agreements The Philippines has not abdicated its sovereignty by bargaining away the jurisdiction of the
which is an internationally accepted form of international agreement. It as a record of ICC to prosecute US national who commit serious crimes of international concerns in the
routine agreement that has many similarities with the private law contract. The agreement Philippines. The Non-surrender agreement is an affirmance of the Philippines’ national
consists of 2 documents, each of the parties being in the possession of the one signed by the criminal jurisdiction. The Philippines may decide to try persons of the US under our national
representative of the other. Under the usual procedure, the accepting State repeats the text criminal jurisdiction. Or the country may opt not to exercise its criminal jurisdiction and defer
of the offering State to record its assent. The signatories of the letters may be government to the ICC. As to persons of the US whom the Philippines refuses to prosecute, the country
ministers, diplomats or departmental heads. The technique of exchange of notes is would in effect accord discretion to the US to exercise wither its national criminal jurisdiction
frequently resorted to, either because of its speedy procedure, or sometimes to avoid the or consent to the referral of the matter to the ICC for trial. By their nature, international
process of legislative approval. The terms exchanges of notes and executive agreements have agreements actually have a limiting effect on the otherwise encompassing nature of
been used interchangeably, the former being a form of executive agreement that becomes sovereignty. By their voluntary act, nations may decide to surrender or waive some aspects
binding through executive action. of their state power. In this partial surrender, greater benefits are derived from a pact or
reciprocal undertaking. Evidently, there is as yet, no overwhelming consensus, let alone
The categorization of subject matters that may be covered by international agreements prevalent practice, among the different countries in the world that the prosecution of
mentioned in Eastern Sea Trading case is not cast in stone. There are no hard and fast rules internationally recognized crimes should be handled by a particular international criminal
on the propriety of entering, on a given subject, into a treaty or executive agreement as an court.
instrument of international relations. The primary consideration in the choice of the form of Rome Statute – This establishes the International Criminal Court with the power to exercise
agreement is the parties’ intent and desire to craft an international agreement in the form jurisdiction over persons for the most serious crimes of international concern and shall be
they so wish to further their respective interests. complementary to the national criminal jurisdiction. Under the Vienna Convention on the
Law of Treaties:
There is no difference between treaties and executive agreements in terms of their binding 1) State Party – is legally obliged to follow all the provisions of a treaty in good faith
effects on the contracting parties, as long as the negotiating functionaries have remained 2) Signatory State – is only obliged to refrain from acts which would defeat the object
within their powers. The right of the Executive to enter into binding agreements without the and purpose of a treaty.
necessity of subsequent Congressional approval has been confirmed by long usage, the
validity of which has never been seriously questioned by the Court. The President as head of As of writing the ponencia, the Philippines is only a signatory state to the Rome Statute and
state and government is the sole organ and authority in the external affairs of the country. not a State Party for lack of ratification by the Senate. Any argument obliging the Philippines
The Constitution vests in the President the power to enter into international agreements, to follow any provision in the treaty would be premature.
subject to the required concurrence votes of the Senate. But agreements may be validly
entered into without such concurrence as the President wields vast powers and influence; Treaty – international agreement concluded between States in written form and governed by
her conduct in the external affairs of the nation is executive altogether. The President by international law, whether embodied in a single instrument or in two or more related
ratifying through her deputies the Non-surrender agreement, did nothing more than instruments and whatever its particular designation. International agreements may be in the
discharge a constitutional duty and exercise a prerogative that pertains to the Office. form of 1) treaties that require legislative concurrence after executive ratification or 2)
executive agreements that are similar to treaties, except that they do not require legislative
concurrence and are usually less formal and deal with a narrower range of subject matters primacy to the WB guidelines on the conduct and implementation of the
that treaties. bidding/procurement process in question.
Foreign loan agreements with international financial institutions, such as Loan No. 7118-PH,
partake of an executive or international agreement within the purview of Sec. 4 of RA9184.
Jus cogens – means the compelling law. It holds the highest hierarchical position among all Significantly, whatever was stipulated in the loan agreement, shall primarily govern the
other customary norms and principles. Jus cogens norms are deemed peremptory and non- procurement of goods necessary to implement the main project.
derogable. When applied to international crimes, jus cogens crimes have been deemed so
fundamental to the existence of a just international legal order that state cannot derogate 6) Commissioner of Customs & Collector of Customs vs Eastern Sea Trading
from them, even by agreement.
FACTS: Eastern Sea Trading (EST) was a shipping company which imports from Japan onion
and garlic into the Philippines. In 1956, the Commissioner of Customs ordered the seizure
5) DBM vs. Kolonwel G.R. No. 175608 June 8,2007
and forfeiture of the import goods because EST was not able to comply with Central Bank
July 25, 2009 at 11:46 am (1)
Circulars 44 and 45. The said circulars were pursuant to Executive Order 328. On the other
This is a petition for review, with a prayer for temporary restraining order to nullify and set
hand, EO 328 was the implementing law of the Trades and Financial Agreements, an
aside the Order dated Dec. 04, 2006 of the Manila RTC.
executive agreement, entered into between the Philippines and Japan. The said executive
agreement states, among others, that all import transactions between Japan and the
In the middle of 2005, DepEd requested the services of the DBM-PS to undertake
Philippines should be invoiced in dollar. In this case, the said items imported by EST from
procurement project which is to be jointly funded by the World Bank (WB), thru the Second
Japan were not invoiced in dollar.
Social Expenditure Management Program (SEMP2) of the RP-IBRD Loan Agreement No. 7118-
PH and the Asian Development Bank (ABD) thru SEDIP Loan No. 1654-PHI. In October 2005, EST questioned the validity of the said EO averring that the executive agreement that the EO
the DBM-PS called for a bidding for the supply of the Makabayan textbooks and teachers was implementing was never concurred upon by the Senate. The issue was elevated to the
manuals. Of the entities, foreign and local, only eleven (11) bidders submitted, including Court of Tax Appeals and the latter ruled in favor of EST. The Commissioner appealed.
private respondent Kolonwel.
ISSUE: Whether or not the Executive Agreement is subject to the concurrence by the Senate.
Following the bid and the book content/body evaluation process, DBM committee issued a HELD: No, Executive Agreements are not like treaties which are subject to the concurrence of
resolution disqualifying, among others, Kolonwel for “failure in cover stock testing “. at least 2/3 of the members of the Senate. Agreements concluded by the President which fall
Kolonwel was informed of this and subsequently filed with RTC Manila a special civil action short of treaties are commonly referred to as executive agreements and are no less common
for certiorari with a prayer for TRO. In support of its TRO application, Kolonwel alleged, in our scheme of government than are the more formal instruments — treaties and
among other things, that the supply-awardees were rushing with the implementation of the conventions. They sometimes take the form of exchanges of notes and at other times that of
void supply contracts to beat the closing-date deadline. After summary hearing, the Manila more formal documents denominated ‘agreements’ or ‘protocols’.
RTC issued a 20-day TRO, and later issued a decision wherein Resolution 001-2006-A of the
The point where ordinary correspondence between this and other governments ends and
DBM was annulled and set aside. Hence this petition.
agreements — whether denominated executive agreements or exchanges of notes or
otherwise — begin, may sometimes be difficult of ready ascertainment. It would be useless
ISSUE : Will the petition prosper?
to undertake to discuss here the large variety of executive agreements as such, concluded
from time to time. Hundreds of executive agreements, other than those entered into under
RULING : The petition is granted and the assailed decision of the Manila RTC is hereby
the trade- agreements act, have been negotiated with foreign governments. . . . It would
nullified and set aside.
seem to be sufficient, in order to show that the trade agreements under the act of 1934 are
not anomalous in character, that they are not treaties, and that they have abundant
Under the fundamental international principle of pacta sunt servanda, the RP, as borrower
precedent in our history, to refer to certain classes of agreements heretofore entered into by
bound itself to perform in good faith the duties and obligations under Loan No. 7118-PH.
the Executive without the approval of the Senate.
Applying this postulate, the DBM IABAC, was legally obliged to comply with, or accord
They cover such subjects as the inspection of vessels, navigation dues, income tax on
shipping profits, the admission of civil aircraft, customs matters, and commercial relations
generally, international claims, postal matters, the registration of trade-marks and
copyrights, etc. Some of them were concluded not by specific congressional authorization
Respondents, on the other hand, argue that Section 21 Article VII is applicable so that, what
but in conformity with policies declared in acts of Congress with respect to the general
is requires for such treaty to be valid and effective is the concurrence in by at least two-thirds
subject matter, such as tariff acts; while still others, particularly those with respect to the
of all the members of the senate.
settlement of claims against foreign governments, were concluded independently of any
legislation.
7) Bayan v Zamora
FACTS: The Philippines and the United States entered into a Mutual Defense Treaty on 1. Issue 1: Do the Petitioners have legal standing as concerned citizens, taxpayers, or
August 30, 1951, To further strengthen their defense and security relationship. Under the legislators to question the constitutionality of the VFA?
treaty, the parties agreed to respond to any external armed attack on their territory, armed
forces, public vessels, and aircraft.
NO. Petitioners Bayan Muna, etc. have no standing. A party bringing a suit challenging the
Constitutionality of a law must show not only that the law is invalid, but that he has
On September 16, 1991, the Philippine Senate rejected the proposed RP-US Treaty of sustained or is in immediate danger of sustaining some direct injury as a result of its
Friendship, Cooperation and Security which, in effect, would have extended the presence of enforcement, and not merely that he suffers thereby in some indefinite way. Petitioners
US military bases in the Philippines. have failed to show that they are in any danger of direct injury as a result of the VFA.
On July 18, 1997 RP and US exchanged notes and discussed, among other things, the possible As taxpayers, they have failed to establish that the VFA involves the exercise by Congress of
elements of the Visiting Forces Agreement (VFA).This resulted to a series of conferences and its taxing or spending powers. A taxpayer's suit refers to a case where the act complained of
negotiations which culminated on January 12 and 13, 1998. Thereafter, President Fidel directly involves the illegal disbursement of public funds derived from taxation. Before he
Ramos approved the VFA, which was respectively signed by Secretary Siazon and United can invoke the power of judicial review, he must specifically prove that he has sufficient
States Ambassador Thomas Hubbard. interest in preventing the illegal expenditure of money raised by taxation and that he will
sustain a direct injury as a result of the enforcement of the questioned statute or contract. It
is not sufficient that he has merely a general interest common to all members of the public.
On October 5, 1998, President Joseph E. Estrada, through respondent Secretary of Foreign Clearly, inasmuch as no public funds raised by taxation are involved in this case, and in the
Affairs, ratified the VFA. On October 6, 1998, the President, acting through respondent absence of any allegation by petitioners that public funds are being misspent or illegally
Executive Secretary Ronaldo Zamora, officially transmitted to the Senate of the expended, petitioners, as taxpayers, have no legal standing to assail the legality of the VFA.
Philippines,the Instrument of Ratification, the letter of the President and the VFA, for
concurrence pursuant to Section 21, Article VII of the 1987 Constitution.
Similarly, the petitioner-legislators (Tanada, Arroyo, etc.) do not possess the requisite locus
standi to sue. In the absence of a clear showing of any direct injury to their person or to the
Petitions for certiorari and prohibition, petitioners – as legislators, non-governmental institution to which they belong, they cannot sue. The Integrated Bar of the Philippines (IBP)
organizations, citizens and taxpayers – assail the constitutionality of the VFA and impute to is also stripped of standing in these cases. The IBP lacks the legal capacity to bring this suit in
herein respondents grave abuse of discretion in ratifying the agreement. the absence of a board resolution from its Board of Governors authorizing its National
President to commence the present action.
Petitioner contends, under they provision cited, the “foreign military bases, troops, or
facilities” may be allowed in the Philippines unless the following conditions are sufficiently Notwithstanding, in view of the paramount importance and the constitutional significance of
met: a) it must be a treaty,b) it must be duly concurred in by the senate, ratified by a the issues raised, the Court may brush aside the procedural barrier and takes cognizance of
majority of the votes cast in a national referendum held for that purpose if so required by the petitions.
congress, and c) recognized as such by the other contracting state.
further defines the rights of the US and RP government in the matter of criminal jurisdiction,
movement of vessel and aircraft, import and export of equipment, materials and supplies.
2. Issue 2: Is the VFA governed by section 21, Art. VII, or section 25, Art. XVIII of the
Undoubtedly, Section 25, Article XVIII, which specifically deals with treaties involving foreign
Constitution?
military bases, troops, or facilities, should apply in the instant case. To a certain extent,
however, the provisions of Section 21, Article VII will find applicability with regard to
determining the number of votes required to obtain the valid concurrence of the Senate.
Section 25, Art XVIII, not section 21, Art. VII, applies, as the VFA involves the presence of
foreign military troops in the Philippines.
It is specious to argue that Section 25, Article XVIII is inapplicable to mere transient
agreements for the reason that there is no permanent placing of structure for the
The Constitution contains two provisions requiring the concurrence of the Senate on treaties
establishment of a military base. The Constitution makes no distinction between “transient”
or international agreements.
and “permanent”. We find nothing in Section 25, Article XVIII that requires foreign troops or
facilities to be stationed or placed permanently in the Philippines. When no distinction is
made by law; the Court should not distinguish. We do not subscribe to the argument that
Section 21, Article VII reads: “[n]o treaty or international agreement shall be valid and
Section 25, Article XVIII is not controlling since no foreign military bases, but merely foreign
effective unless concurred in by at least two-thirds of all the Members of the Senate.”
troops and facilities, are involved in the VFA. The proscription covers “foreign military bases,
troops, or facilities.” Stated differently, this prohibition is not limited to the entry of troops
Section 25, Article XVIII, provides:”[a]fter the expiration in 1991 of the Agreement between and facilities without any foreign bases being established. The clause does not refer to
the Republic of the Philippines and the United States of America concerning Military Bases, “foreign military bases, troops, or facilities” collectively but treats them as separate and
foreign military bases, troops, or facilities shall not be allowed in the Philippines except under independent subjects, such that three different situations are contemplated — a military
a treaty duly concurred in by the Senate and, when the Congress so requires, ratified by a treaty the subject of which could be either (a) foreign bases, (b) foreign troops, or (c) foreign
majority of the votes cast by the people in a national referendum held for that purpose, and facilities — any of the three standing alone places it under the coverage of Section 25, Article
recognized as a treaty by the other contracting State.” XVIII.
Section 21, Article VII deals with treaties or international agreements in general, in which 3. Issue 3: Was Sec 25 Art XVIII's requisites satisfied to make the VFA effective?
case, the concurrence of at least two-thirds (2/3) of all the Members of the Senate is
required to make the treaty valid and binding to the Philippines. This provision lays down the
YES
general rule on treaties. All treaties, regardless of subject matter, coverage, or particular
designation or appellation, requires the concurrence of the Senate to be valid and effective.
In contrast, Section 25, Article XVIII is a special provision that applies to treaties which
Section 25, Article XVIII disallows foreign military bases, troops, or facilities in the country,
involve the presence of foreign military bases, troops or facilities in the Philippines. Under
unless the following conditions are sufficiently met:
this provision, the concurrence of the Senate is only one of the requisites to render
compliance with the constitutional requirements and to consider the agreement binding on (a) it must be under a treaty;
the Philippines. Sec 25 further requires that “foreign military bases, troops, or facilities” may
(b) the treaty must be duly concurred in by the Senate and, when so required by Congress,
be allowed in the Philippines only by virtue of a treaty duly concurred in by the Senate,
ratified by a majority of the votes cast by the people in a national referendum; and
ratified by a majority of the votes cast in a national referendum held for that purpose if so
required by Congress, and recognized as such by the other contracting state. (c) recognized as a treaty by the other contracting state.
On the whole, the VFA is an agreement which defines the treatment of US troops visiting the
Philippines. It provides for the guidelines to govern such visits of military personnel, and
There is no dispute as to the presence of the first two requisites in the case of the VFA. The Trademark Law to bring their suit and the Paris Convention to protect their trademarks. The
concurrence handed by the Senate through Resolution No. 18 is in accordance with the court denied the prayer for injunction stating that since petitioners are not doing business in
Constitution, as there were at least 16 Senators that concurred. the Philippines, respondent’s cigarettes would not cause irreparable damage to petitioner.
CA granted the injunction but on a subsequent motion, dissolved the writ.
Issues:
As to condition (c), the Court held that the phrase “recognized as a treaty” means that the
other contracting party accepts or acknowledges the agreement as a treaty. To require the (1) Whether or not petitioner’s mark may be afforded protection under said laws;
US to submit the VFA to the US Senate for concurrence pursuant to its Constitution, is to
(2) Whether or not petitioner may be granted injunctive relief.
accord strict meaning to the phrase. Well-entrenched is the principle that the words used in
the Constitution are to be given their ordinary meaning except where technical terms are Ruling:
employed, in which case the significance thus attached to them prevails. Its language should
(4) NO. Yet, insofar as this discourse is concerned, there is no necessity to treat
be understood in the sense they have in common use.
the matter with an extensive response because adherence of the Philippines
to the 1965 international covenant due to pact sunt servanda had been
acknowledged in La Chemise.Given these confluence of existing laws amidst
The records reveal that the US Government, through Ambassador Hubbard, has stated that
the cases involving trademarks, there can be no disagreement to the guiding
the US has fully committed to living up to the terms of the VFA. For as long as the US accepts
principle in commercial law that foreign corporations not engaged in business
or acknowledges the VFA as a treaty, and binds itself further to comply with its treaty
in the Philippines may maintain a cause of action for infringement primarily
obligations, there is indeed compliance with the mandate of the Constitution.
because of Section 21-A of the Trademark Law when the legal standing to sue
is alleged, which petitioners have done in the case at hand.
Worth stressing too, is that the ratification by the President of the VFA, and the concurrence Petitioners may have the capacity to sue for infringement irrespective of lack of business
of the Senate, should be taken as a clear and unequivocal expression of our nation's consent activity in the Philippines on account of Section 21-A of the Trademark Law but the question
to be bound by said treaty, with the concomitant duty to uphold the obligations and whether they have an exclusive right over their symbol as to justify issuance of the
responsibilities embodied thereunder. Ratification is generally held to be an executive act, controversial writ will depend on actual use of their trademarks in the Philippines in line with
undertaken by the head of the state, through which the formal acceptance of the treaty is Sections 2 and 2-A of the same law. It is thus incongruous for petitioners to claim that when a
proclaimed. A State may provide in its domestic legislation the process of ratification of a foreign corporation not licensed to do business in Philippines files a complaint for
treaty. In our jurisdiction, the power to ratify is vested in the President and not, as commonly infringement, the entity need not be actually using its trademark in commerce in the
believed, in the legislature. The role of the Senate is limited only to giving or withholding its Philippines. Such a foreign corporation may have the personality to file a suit for
consent, or concurrence, to the ratification. infringement but it may not necessarily be entitled to protection due to absence of actual
use of the emblem in the local market.
(2) NO. More telling are the allegations of petitioners in their complaint as well as in the very
With the ratification of the VFA it now becomes obligatory and incumbent on our part, under
petition filed with this Court indicating that they are not doing business in the Philippines, for
principles of international law (pacta sunt servanda), to be bound by the terms of the
these frank representations are inconsistent and incongruent with any pretense of a right
agreement. Thus, no less than Section 2, Article II declares that the Philippines adopts the
which can breached. Indeed, to be entitled to an injunctive writ, petitioner must show that
generally accepted principles of international law as part of the law of the land and adheres
there exists a right to be protected and that the facts against which injunction is directed are
to the policy of peace, equality, justice, freedom, cooperation and amity with all nations.
violative of said right. On the economic repercussion of this case, we are extremely bothered
8) PHILIP MORRIS V. CA (G.R. NO. 91332) by the thought of having to participate in throwing into the streets Filipino workers engaged
in the manufacture and sale of private respondent’s “MARK” cigarettes who might be
Facts: Petitioners are foreign corporations organized under US laws not doing business in the
retrenched and forced to join the ranks of the many unemployed and unproductive as a
Philippines and registered owners of symbols ‘MARK VII,’ ‘MARK TEN,’ and ‘LARK’ used in
result of the issuance of a simple writ of preliminary injunction and this, during the pendency
their cigarette products. Petitioners moved to enjoin respondent Fortune Tobacco from
of the case before the trial court, not to mention the diminution of tax revenues represented
manufacturing and selling cigarettes bearing the symbol ‘MARK’ asserting that it is identical
to be close to a quarter million pesos annually. On the other hand, if the status quo is
or confusingly similar with their trademarks. Petitioners relied on Section 21-A of the
maintained, there will be no damage that would be suffered by petitioners inasmuch as they provides that subject to reasonable conditions prescribed by law, the State adopts and
are not doing business in the Philippines. In view of the explicit representation of petitioners implements a policy of full public disclosure of all its transactions involving public interest.
in the complaint that they are not engaged in business in the Philippines, it inevitably follows Moreover, the policy of full public disclosure enunciated in above-quoted Section 28
that no conceivable damage can be suffered by them not to mention the foremost complements the right of access to information on matters of public concern found in the Bill
consideration heretofore discussed on the absence of their “right” to be protected. of Rights. The right to information guarantees the right of the people to demand information,
while Section 28 recognizes the duty of officialdom to give information even if nobody
9) THE PROVINCE OF NORTH COTABATO, et al . v . THE GOVERNMENT OF THE REPUBLIC OF
demands. The policy of public disclosure establishes a concrete ethical principle for the
THE PHILIPPINES, et al .
conduct of public affairs in a genuinely open democracy, with the people‘s right to know as
President Gloria Macapagal-Arroyo, in line with the government‘s policy of pursuing peace the centerpiece. It is a mandate of the State to be accountable by following such policy.
negotiations with the Moro Islamic Liberation Front (MILF), asked Prime Minister Mahathir These provisions are vital to the exercise of the freedom of expression and essential to hold
Mohammad to convince the MILF to continue negotiating with the government. MILF, public officials at all times accountable to the people. Indubitably, the effectivity of the policy
thereafter, convened its Central Committee and decided to meet with the Government of of public disclosure need not await the passing of a statute. As Congress cannot revoke this
the Republic of the Philippines (GRP). Formal peace talks were held in Libya which resulted to principle, it is merely directed to provide for ―reasonable safeguards.‖ The complete and
the crafting of the GRP-MILF Tripoli Agreement on Peace (Tripoli Agreement 2001) which effective exercise of the right to information necessitates that its complementary provision
consists of three (3) aspects: a.) security aspect; b.) rehabilitation aspect; and c.) ancestral on public disclosure derive the same self-executory nature. Since both provisions go hand-in-
domain aspect. Various negotiations were held which led to the finalization of the hand, it is absurd to say that the broader right to information on matters of public concern is
Memorandum of Agreement on the Ancestral Domain (MOA-AD). The said memorandum already enforceable while the correlative duty of the State to disclose its transactions
was set to be signed last August 5, 2008. In its body, it grants ―the authority and jurisdiction involving public interest is not enforceable until there is an enabling law. Respondents cannot
over the Ancestral Domain and Ancestral Lands of the Bangsamoro to the Bangsamoro thus point to the absence of an implementing legislation as an excuse in not effecting such
Juridical Entity (BJE). The latter, in addition, has the freedom to enter into any economic policy. An essential element of these freedoms is to keep open a continuing dialogue or
cooperation and trade relation with foreign countries. ―The sharing between the Central process of communication between the government and the people. It is in the interest of
Government and the BJE of total production pertaining to natural resources is to be 75:25 in the State that the channels for free political discussion be maintained to the end that the
favor of the BJE. The MOA-AD further provides for the extent of the territory of the government may perceive and be responsive to the people‘s will. Envisioned to be corollary
Bangsamoro. It describes it as ―the land mass as well as the maritime, terrestrial, fluvial and to the twin rights to information and disclosure is the design for feedback mechanisms. The
alluvial domains, including the aerial domain and the atmospheric space above it, embracing imperative of a public consultation, as a species of the right to information, is evident in the
the Mindanao-Sulu-Palawan geographic region. With regard to governance, on the other ―marching orders‖ to respondents. The mechanics for the duty to disclose information and
hand, a shared responsibility and authority between the Central Government and BJE was to conduct public consultation regarding the peace agenda and process is manifestly
provided. The relationship was described as ―associative. With the formulation of the MOA- provided by E.O. No. 3. The erambulatory clause of E.O. No. 3 declares that there is a need to
AD, petitioners aver that the negotiation and finalization of the MOA-AD violates further enhance the contribution of civil society to the comprehensive peace process by
constitutional and statutory provisions on public consultation, as mandated by Executive institutionalizing the people‘s participation. One of the three underlying principles of the
Order No. 3, and right to information. They further contend that it violates the Constitution comprehensive peace process is that it ―should be community-based, reflecting the
and laws. Hence, the filing of the petition. sentiments, values and principles important to all Filipinos and ―shall be defined not by the
government alone, nor by the different contending groups only, but by all Filipinos as one
ISSUES:
community. Included as a component of the comprehensive peace process is consensus-
4) Whether or not the MOA-AD violates constitutional and statutory provisions on building and empowerment for peace, which includes ―continuing consultations on both
public consultation and right to information 2) Whether or not the MOA-AD violates the national and local levels to build consensus for a peace agenda and process, and the
Constitution and the laws. mobilization and facilitation of people‘s participation in the peace process.Clearly, E.O. No. 3
contemplates not just the conduct of a plebiscite to effectuate “continuing” consultations,
HELD:
contrary to respondents’ position that plebiscite is “more than sufficient
The MOA-AD subject of the present cases is of public concern, involving as it does the consultation.Further, E.O. No. 3 enumerates the functions and responsibilities of the PAPP,
sovereignty and territorial integrity of the State, which directly affects the lives of the public one of which is to ―conduct regular dialogues with the National Peace Forum (NPF) and
at large. Intended as a ―splendid symmetry to the right to information under the Bill of other peace partners to seek relevant information, comments, recommendations as well as
Rights is the policy of public disclosure under Section 28, Article II of the Constitution which
to render appropriate and timely reports on the progress of the comprehensive peace is not recognized under the present Constitution. No province, city, or municipality, not even
process. E.O. No. 3 mandates the establishment of the NPF to be ―the principal forum for the ARMM, is recognized under our laws as having an ―associative‖ relationship with the
the Presidential Adviser on Peace Progress (PAPP) to consult with and seek advi[c]e from the national government. Indeed, the concept implies powers that go beyond anything ever
peace advocates, peace partners and concerned sectors of society on both national and local granted by the Constitution to any local or regional government. It also implies the
levels, on the implementation of the comprehensive peace process, as well as for recognition of the associated entity as a state. The Constitution, however, does not
government[-]civil society dialogue and consensus-building on peace agenda and initiatives. contemplate any state in this jurisdiction other than the Philippine State, much less does it
In fine, E.O. No. 3 establishes petitioners’ right to be consulted on the peace agenda, as a provide for a transitory status that aims to prepare any part of Philippine territory for
corollary to the constitutional right to information and disclosure. In general, the objections independence.
against the MOA-AD center on the extent of the powers conceded therein to the BJE.
Even the mere concept animating many of the MOA-AD‘s provisions, therefore, already
Petitioners assert that the powers granted to the BJE exceed those granted to any local
requires for its validity the amendment of constitutional provisions, specifically the following
government under present laws, and even go beyond those of the present ARMM. Before
provisions of Article X:
assessing some of the specific powers that would have been vested in the BJE, however, it
would be useful to turn first to a general idea that serves as a unifying link to the different SECTION 1. The territorial and political subdivisions of the Republic of the Philippines are the
provisions of the MOA-AD, namely, the international law concept of association. Significantly, provinces, cities, municipalities, and barangays. There shall be autonomous regions in
the MOA-AD explicitly alludes to this concept, indicating that the Parties actually framed its Muslim Mindanao and the Cordilleras as hereinafter provided. SECTION 15. There shall be
provisions with it in mind. Association is referred to in paragraph 3 on TERRITORY, paragraph created autonomous regions in Muslim Mindanao and in the Cordilleras consisting of
11 on RESOURCES, and paragraph 4 on GOVERNANCE. It is in the last mentioned provision, provinces, cities, municipalities, and geographical areas sharing common and distinctive
however, that the MOA-AD most clearly uses it to describe the envisioned relationship historical and cultural heritage, economic and social structures, and other relevant
between the BJE and the Central Government. characteristics within the framework of this Constitution and the national sovereignty as well
as territorial integrity of the Republic of the Philippines.
4. The relationship between the Central Government and the Bangsamoro juridical entity
shall be associative characterized by shared authority and responsibility with a structure of It is not merely an expanded version of the ARMM, the status of its relationship with the
governance based on executive, legislative, judicial and administrative institutions with national government being fundamentally different from that of the ARMM. Indeed, BJE is a
defined powers and functions in the comprehensive compact. A period of transition shall be state in all but name as it meets the criteria of a state laid down in the Montevideo
established in a comprehensive peace compact specifying the relationship between the Convention, namely, a permanent population, a defined territory, a government, and a
Central Government and the BJE. The nature of the ―associative relationship may have been capacity to enter into relations with other states.
intended to be defined more precisely in the still to be forged Comprehensive Compact.
The defining concept underlying the relationship between the national government and the
Nonetheless, given that there is a concept of ―association in international law, and the
BJE being itself contrary to the present Constitution, it is not surprising that many of the
MOA-AD – by its inclusion of international law instruments in its TOR– placed itself in an
specific provisions of the M OA-AD on the formation and powers of the BJE are in conflict
international legal context, that concept of association may be brought to bear in
with the Constitution and the laws. Article X, Section 18 of the Constitution provides that
understanding the use of the term ―associative in the MOA-AD. The MOA-AD contains many
―[t]he creation of the autonomous region shall be effective when approved by a majority of
provisions which are consistent with the international legal concept of association,
the votes cast by the constituent units in a plebiscite called for the purpose, provided that
specifically the following: the BJE‘s capacity to enter into economic and trade relations with
only provinces, cities, and geographic areas voting favorably in such plebiscite shall be
foreign countries, the commitment of the Central Government to ensure the BJE‘s
included in the autonomous region.
participation in meetings and events in the ASEAN and the specialized UN agencies, and the
continuing responsibility of the Central Government over external defense. Moreover, the The BJE is more of a state than an autonomous region. But even assuming that it is covered
BJE‘s right to participate in Philippine official missions bearing on negotiation of border by the term ―autonomous region in the constitutional provision just quoted, the MOA-AD
agreements, environmental protection, and sharing of revenues pertaining to the bodies of would still be in conflict with it. Under paragraph 2€ on TERRITORY in relation to 2(d) and 2€,
water adjacent to or between the islands forming part of the ancestral domain, resembles the present geographic area of the ARMM and, in addition, the municipalities of Lanao del
the right of the governments of FSM and the Marshall Islands to be consulted by the U.S. Norte which voted for inclusion in the ARMM during the 2001 plebiscite – Baloi, Munai,
government on any foreign affairs matter affecting them. These provisions of the MOA Nunungan, Pantar, Tagoloan and Tangkal – are automatically part of the BJE without need of
indicate, among other things, that the Parties aimed to vest in the BJE the status of an another plebiscite, in contrast to the areas under Categories A and B mentioned earlier in the
associated state or, at any rate, a status closely approximating it. The concept of association overview. That the present components of the ARMM and the above-mentioned
municipalities voted for inclusion therein in 2001, however, does not render another 2. the court of its principal place of business (which is San Francisco, USA);
plebiscite unnecessary under the Constitution, precisely because what these areas voted for
3. the court where it has a place of business through which the contract had been made
then was their inclusion in the ARMM, not the BJE.
(ticket was purchased in San Francisco so that’s where the contract was made);
Article II, Section 22 of the Constitution must also be amended if the scheme envisioned in
4. the court of the place of destination (Santos bought a round trip ticket which final
the MOA-AD is to be effected. That constitutional provision states: ―The State recognizes
destination is San Francisco).
and promotes the rights of indigenous cultural communities within the framework of
national unity and development. An associative arrangement does not uphold national unity. The lower court ruled in favor of NOA. Santos III averred that Philippine courts have
While there may be a semblance of unity because of the associative ties between the BJE and jurisdiction over the case and he questioned the constitutionality of Article 28 (1) of the
the national government, the act of placing a portion of Philippine territory in a status which, Warsaw Convention.
in international practice, has generally been a preparation for independence, is certainly not
ISSUE: Whether or not Philippine courts have jurisdiction over the matter to conduct judicial
conducive to national unity.
review.
The MOA-AD cannot be reconciled with the present Constitution and laws. Not only its
HELD: No. The Supreme Court ruled that they cannot rule over the matter for the SC is bound
specific provisions but the very concept underlying them, namely, the associative
by the provisions of the Warsaw Convention which was ratified by the Senate. Until & unless
relationship envisioned between the GRP and the BJE, are unconstitutional, for the concept
there would be amendment to the Warsaw Convention, the only remedy for Santos III is to
presupposes that the associated entity is a state and implies that the same is on its way to
sue in any of the place indicated in the Convention such as in San Francisco, USA.
independence.
The SC cannot rule upon the constitutionality of Article 28(1) of the Warsaw Convention. In
While there is a clause in the MOA-AD stating that the provisions thereof inconsistent with
the first place, it is a treaty which was a joint act by the legislative and the executive. The
the present legal framework will not be effective until that framework is amended, the same
presumption is that it was first carefully studied and determined to be constitutional before
does not cure its defect. The inclusion of provisions in the MOA-AD establishing an
it was adopted and given the force of law in this country. In this case, Santos was not able to
associative relationship between the BJE and the Central Government is, itself, a violation of
offer any compelling argument to overcome the presumption.
the Memorandum of Instructions from the President dated March 1, 2001, addressed to the
government peace panel. Moreover, as the clause is worded, it virtually guarantees that the
necessary amendments to the Constitution and the laws will eventually be put in place.
Neither the GRP Peace Panel nor the President herself is authorized to make such a
guarantee. Upholding such an act would amount to authorizing a usurpation of the
constituent powers vested only in Congress, a Constitutional Convention, or the people
themselves through the process of initiative, for the only way that the Executive can ensure
the outcome of the amendment process is through an undue influence or interference with
that process.
FACTS: Augusto Benedicto Santos III is a minor represented by his dad. In October 1986, he
bought a round trip ticket from Northwest Orient Airlines (NOA) in San Francisco. His flight
would be from San Francisco to Manila via Tokyo and back to San Francisco. His scheduled
flight was in December. A day before his departure he checked with NOA and NOA said he
made no reservation and that he bought no ticket. The next year, due to the incident, he
sued NOA for damages. He sued NOA in Manila. NOA argued that Philippine courts have no
jurisdiction over the matter pursuant to Article 28(1) of the Warsaw Convention, which
provides that complaints against international carriers can only be instituted in:
1. the court of the domicile of the carrier (NOA’s domicile is in the USA);