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10 Consteel vs. IAC

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G.R. No.

L-64673 October 21, 1988

A. CONSTEEL CONSTRUCTION COMPANY, INCORPORATION


RATED, Petitioner, vs. THE INTERMEDIATE APPELLATE COURT,
DANILO C. REYES, for himself and as Attorney-in-fact of
FELIXBERTO MACASPAC, JAIME C. PAULE, ROGELIO DE
JESUS, DELFIN NUQUI, VICENTE FLORES, GODOFREDO D.
BANAL, MANUEL GUEVARRA and ENRIQUE
MANANSALA, Respondents.

N.O. Ramoso & Associates for petitioner. chanrobles virtual law library

Citizens Legal Assistance Office for respondents.

PARAS, J.:

The issue posed for decision is whether or not the court a quo has
jurisdiction over claims for damages arising out of an overseas
employment contract.   chanroblesvirtualawlibrary chanrobles virtual law library

The antecedent facts of the case are as follows:  chanrobles virtual law library

On October 23, 1980, private respondents filed a complaint for


alleged Breach of Contract with Damages against the petitioner
before the Court of First Instance of Pampanga, Fifth Judicial
District, docketed as Civil Case No. 5913. Among others, the
complaint alleges that in 1978, the petitioner hired private
respondents to work in the construction projects undertaken by the
petitioner in Saudi Arabia; that prior to their departure from the
Philippines, the private respondents and the petitioner signed
employment contracts which contained the terms and conditions of
their employment; but that while private respondents were working
in Saudi Arabia, they were not given adequate compensation or
overtime/holiday pay. Neither were they given medical benefits nor
adequate meals. Thus, private respondents pray that the petitioner
be ordered to pay to them such amount representing the difference
between the compensation agreed upon and the compensation
actually paid to them, aside from moral and exemplary
damages.   chanroblesvirtualawlibrary chanrobles virtual law library

The petitioner moved to dismiss the case on the ground that


jurisdiction over the nature of the suit pertained to the Bureau of
Employment Services pursuant to Section 1 of Presidential Decree
No. 1412, which amended Article 15 paragraph (b) of the Labor
Code.  
chanroblesvirtualawlibrary chanrobles virtual law library

Private respondents opposed dismissal, alleging that jurisdiction


over the case belonged to the Court of First Instance since not all of
their causes of action are capable of pecuniary estimation. Section
44 of the Judiciary Act of 1948 clearly states that the Courts of First
Instance shall have exclusive jurisdiction over all civil actions in
which the subject of the litigation is not capable of pecuniary
estimation.  
chanroblesvirtualawlibrary chanrobles virtual law library

The judge denied petitioner's motion to dismiss and its motion for
reconsideration thereof. On appeal, the Court of Appeals * ruled
that the court a quo has jurisdiction over the subject matter
because reinstatement is not sought and private respondents seek
unpaid salaries and damages resulting from alleged breach of
contract (pp. 66, Rollo). Hence, the present petition. We find for the
petitioner. Private respondents' claims indubitably arose out of
employer-employee relations involving overseas employment. All
their claims, while couched in different forms of damages, are
nonetheless money claims for employment benefits. The Judiciary
Act of 1948 relied upon by the private respondents which governs
matters which are not capable of pecuniary estimation is a general
law. Cases arising out of employer-employee relations involving
overseas employment, however, are governed by special laws. **

WHEREFORE, the Petition is GRANTED. Respondent judge is directed


to dismiss Civil Case No. 5913.   chanroblesvirtualawlibrary chanrobles virtual law library

SO ORDERED.

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