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chapter 1 digests of statutory construction cases

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    STATCON

    In addition to your assigned readings, please read the following cases for our 29 June 2013meeting.

    1. Araneta vs. Dinglasan [G.R. No. L-2044, August 26, 1949]

    2. Manila Prince Hotel vs. GSIS [G.R. No. 122156, February 3, 1997]

    3. Datu Michael Abas Kida v. Senate of the Philippines, [G.R. No. 196271, 18 October 2011. ]

    4. Arroyo vs. De Venecia [G.R. No. 127255, August 14, 1997]

    5. U.S. vs. Pons [G.R. No. 11530, August 12, 1916]

    6. Casco Philippine Chemical Co. vs. Gimenez [G.R. No. L-17931, February 28, 1963]

    7. Philippine Judges Association vs. Prado [G.R. No. 105371, November 11, 1993]

    8. Tolentino vs. Secretary of Finance [G.R. No. 115544, August 25, 1994]

    9. Alvarez vs. Guingona [G.R. No. 118303, January 31, 1996]

    10. Garcia vs. Mata [G.R. No. L-33713, July 30, 1975]

    11. Philconsa vs. Gimenez [G.R. No. L-23326, December 18, 1965]

    12. Tio vs. Videogram Regulatory Board [G.R. No. L-75697, June 18, 1987]

    13. Tan vs. Del Rosario [G.R. No. 109289, October 3, 1994]

    14. Tobias vs. Abalos [G.R. No. 114783, December 8, 1994]

    15. ABAKADA Guro Party List vs. Ermita [G.R. No. 168056, September 1, 2005]

    16. Gonzales vs. Macaraig [G.R. No. 87636, November 19, 1990]

    17. Bengzon vs. Drilon [G.R. No. 103524, April 15, 1992]

    18. Philconsa vs. Enriquez [G.R. No. 113105, August 19, 1994]

    19. Pelaez v. Auditor General, [G.R. No. 23825, December 25, 1965]

    20. Grego v. COMELEC [274 SCRA 481, 1997]

    21. First Lepanto Ceramics v. CA [237 SCRA 519, 1994]

    22. Angara v. Electoral Commission [63 Phil., 139 (1936)]

    23. Tatad v. Secretary of Energy [281 SCRA 330, 1997]

    24. Taada v. Tuvera [G.R. No. L-63915. December 29, 1986.]

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    Antonio Araneta vs Judge Rafael DinglasanonNovember 10, 2011

    Political LawFirst Emergency Powers Cases

    Araneta is being charged under violation of EO 62 which regulates rentals for houses and lots

    for residential buildings. Dinglasan is the judge hearing the case. Araneta appealed seeking to

    prohibit Dinglasan and the Fiscal from proceeding with the case. He averred that EO 62 was

    issued by virtue of Commonwealth Act (CA) No. 671. 3 other cases were consolidated with this

    one. L-3055 which is an appeal by Ma. Guerrero, a shoe exporter, against EO 192 which

    controls exports in the Philippines; he is seeking to have permit. L-3054 is filed by Rodriguez to

    prohibit the treasury from disbursing funds [from 49-50] pursuant to EO 225. L-3056 is filed by

    Barredo is attacking EO 226 w/c is appropriating funds to hold the national elections. CA 671 is

    otherwise known as AN ACT DECLARING A STATE OF TOTAL EMERGENCY AS A RESULTOF WAR INVOLVING THE PHILIPPINES AND AUTHORIZING THE PRESIDENT TO

    PROMULGATE RULES AND REGULATIONS TO MEET SUCH EMERGENCY or simply the

    Emergency Powers Act. All the petitioners aver that CA 671 ceased to have any force and effect

    hence all EOs passed pursuant to it had likewise ceased.

    ISSUE: Whether or not CA 671 has ceased.

    HELD: CA 671 became inoperative ex proprio vigore when Congress met in regular session on

    May 25, 1946, and that Executive Orders Nos. 62, 192, 225 and 226 were issued without

    authority of law. In setting the first regular session of Congress instead of the first special

    session which preceded it as the point of expiration of the Act, the SC is giving effect to the

    purpose and intention of the National Assembly. In a special session, the Congress may

    consider general legislation or only such subjects as he (President) may designate. Such acts

    were to be good only up to the corresponding dates of adjournment of the following sessions of

    the Legislature, unless sooner amended or repealed by the National Assembly. Even if war

    continues to rage on, new legislation must be made and approved in order to continue the

    EPAs, otherwise it is lifted upon reconvening or upon early repeal.

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    Manila Prince Hotel vs GSISonJuly 19, 2011

    Supremacy of the ConstitutionFilipino First PolicyNational PatrimonyQualified Filipinos

    Pursuant to the privatization program of the government, GSIS decided to sell 30-51% of the

    Manila Hotel Corporation. Two bidders participated, MPH and Malaysian Firm Renong Berhad.

    MPHs bid was at P41.58/per share while RBs bid was at P44.00/share. RB w as the highest

    bidder hence it was logically considered as the winning bidder but is yet to be declared so.

    Pending declaration, MPH matches RBs bid and invoked the Filipino First policy enshrined

    under par. 2, Sec. 10, Art. 12 of the 1987 Constitution**, but GSIS refused to accept. In turn

    MPH filed a TRO to avoid the perfection/consummation of the sale to RB.

    RB then assailed the TRO issued in favor of MPH arguing among others that:

    1. Par. 2, Sec. 10, Art. 12 of the 1987 Constitution needs an implementing law because it is

    merely a statement of principle and policy (not self-executing);

    2. Even if said passage is self-executing, Manila Hotel does not fall under national patrimony.

    ISSUE: Whether or not RB should be admitted as the highest bidder and hence be proclaimed

    as the legit buyer of shares.

    HELD:No. MPH should be awarded the sale pursuant to Art 12 of the 1987 Const. This is in

    light of the Filipino First Policy.

    Par. 2, Sec. 10, Art. 12 of the 1987 Constitution is self executing. The Constitution is the

    fundamental, paramount and supreme law of the nation, it is deemed written in every statute

    and contract.

    Manila Hotel falls under national patrimony. Patrimony in its plain and ordinary meaning pertains

    to heritage. When the Constitution speaks of national patrimony, it refers not only to the natural

    resources of the Philippines, as the Constitution could have very well used the term natural

    resources, but also to the cultural heritage of the Filipinos. It also refers to our intelligence in

    arts, sciences and letters. Therefore, we should develop not only our lands, forests, mines and

    other natural resources but also the mental ability or faculty of our people. Note that, for more

    than 8 decades (9 now) Manila Hotel has bore mute witness to the triumphs and failures, loves

    and frustrations of the Filipinos; its existence is impressed with public interest; its own historicity

    associated with our struggle for sovereignty, independence and nationhood.

    Herein resolved as well is the term Qualified Filipinos which not only pertains to individuals but

    to corporations as well and other juridical entities/personalities. The term qualified Filipinos

    simply means that preference shall be given to those citizens who can make a viable

    contribution to the common good, because of credible competence and efficiency. It certainly

    does NOT mandate the pampering and preferential treatment to Filipino citizens or

    organizations that are incompetent or inefficient, since such an indiscriminate preference would

    be counter productive and inimical to the common good.

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    In the granting of economic rights, privileges, and concessions, when a choice has to be made

    between a qualified foreigner and a qualified Filipino, the latter shall be chosen over the

    former.

    **Section 10. The Congress shall, upon recommendation of the economic and planning agency,

    when the national interest dictates, reserve to citizens of the Philippines or to corporations or

    associations at least sixty per centum of whose capital is owned by such citizens, or such higher

    percentage as Congress may prescribe, certain areas of investments. The Congress shall enact

    measures that will encourage the formation and operation of enterprises whose capital is wholly

    owned by Filipinos.

    In the grant of rights, privileges, and concessions covering the national economy and

    patrimony, the State shall give preference to qualified Filipinos.The State shall regulate and exercise authority over foreign investments within its national

    jurisdiction and in accordance with its national goals and priorities.

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    Datu Michael Abas Kida v. Senate of the Philippines

    I. THE FACTS

    Several laws pertaining to the Autonomous Region in Muslim Mindanao (ARMM) were enacted

    by Congress. Republic Act (RA) No. 6734 is the organic act that established the ARMM and

    scheduled the first regular elections for the ARMM regional officials. RA No. 9054 amended the

    ARMM Charter and reset the regular elections for the ARMM regional officials to the second

    Monday of September 2001. RA No. 9140further reset the first regular elections to November

    26, 2001. RA No. 9333reset for the third time the ARMM regional elections to the 2 ndMonday

    of August 2005 and on the same date every 3 years thereafter.

    Pursuant to RA No. 9333, the next ARMM regional elections should have been held on August

    8, 2011. COMELEC had begun preparations for these elections and had accepted certificates of

    candidacies for the various regional offices to be elected. But on June 30, 2011, RA No.

    10153was enacted, resetting the next ARMM regular elections to May 2013 to coincide with the

    regular national and local elections of the country.

    In these consolidated petitions filed directly with the Supreme Court, the petitioners assailed the

    constitutionality of RA No. 10153.

    II. THE ISSUES:

    1. Does the 1987 Constitution mandate the synchronization of elections [including the ARMM

    elections]?

    2. Does the passage of RA No. 10153 violate the three-readings-on-separate-days rule under

    Section 26(2), Article VI of the 1987 Constitution?

    3. Is the grant [to the President] of the power to appoint OICs constitutional?

    III. THE RULING

    [The Supreme Court] DISMISSED the petitions and UPHELD the constitutionality of RA No.

    10153 in toto.]

    1. YES, the 1987 Cons t i tut ion m andates the synch ronizat ion of elect ions.

    While the Constitution does not expressly state that Congress has to synchronize national and

    local elections, the clear intent towards this objective can be gleaned from the Transitory

    Provisions (Article XVIII) of the Constitution, which show the extent to which the Constitutional

    Commission, by deliberately making adjustments to the terms of the incumbent officials, sought

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    to attain synchronization of elections. The Constitutional Commission exchanges, read with the

    provisions of the Transitory Provisions of the Constitution, all serve as patent indicators of the

    constitutional mandate to hold synchronized national and local elections, starting the second

    Monday of May 1992 and for all the following elections.

    In this case, the ARMM elections, although called regional elections, should be included

    among the elections to be synchronized as it is a local election based on the wording and

    structure of the Constitution.

    Thus, it is clear from the foregoing that the 1987 Constitution mandates the synchronization of

    elections, including the ARMM elections.

    2. NO, the p assage of RA No . 10153 DOES NOT violate the three-readings-on-separate-

    days requ irement in Sect ion 26(2), Art ic le VI of the 1987 Const i tu t ion.

    The general rule that before bills passed by either the House or the Senate can become laws

    they must pass through three readings on separate days, is subject to the EXCEPTION when

    the President certifies to the necessity of the bills immediate enactment. The Court, inTolentino

    v. Secretary of Finance, explained the effect of the Presidents certification of necessity in the

    following manner:

    The presidential certification dispensed with the requirement not only of printing but also that of

    reading the bill on separate days. The phrase "except when the President certifies to the

    necessity of its immediate enactment, etc." in Art. VI, Section 26[2] qualifies the two stated

    conditions before a bill can become a law: [i] the bill has passed three readings on separate

    days and [ii] it has been printed in its final form and distributed three days before it is finally

    approved.

    In the present case, the records show that the President wrote to the Speaker of the House of

    Representatives to certify the necessity of the immediate enactment of a law synchronizing the

    ARMM elections with the national and local elections. Following our Tolentinoruling, the

    Presidents certification exempted both the House and the Senate from having to comply with

    the three separate readings requirement.

    3. YES, the grant [to the President] of the power to appo int OICs in the ARMM isconst i tu t ional

    [During the oral arguments, the Court identified the three options open to Congress in order to

    resolve the problem on who should sit as ARMM officials in the interim [in order to achieve

    synchronization in the 2013 elections]: (1) allow the [incumbent] elective officials in the ARMM

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    to remain in office in a hold o ver capaci ty until those elected in the synchronized elections

    assume office; (2) hold special elect ion sin the ARMM, with the terms of those elected to

    expire when those elected in the [2013] synchronized elections assume office; or (3) authorize

    the President to appoin t OICs, [their respective terms to last also until those elected in the 2013

    synchronized elections assume office.]

    3.1. 1s topt ion: Holdover is uncon st i tu t ional s ince it wou ld extend the terms of of f ice of

    the incum bent ARMM of f ic ia ls

    We rule out the [hold over] option since it violates Section 8, Article X of the Constitution. This

    provision states:

    Section 8. The term of office of elective local officials, except barangay officials, which shall be

    determined by law, shall be three years and no such official shall serve for more than three

    consecutive terms. [emphases ours]

    Since elective ARMM officials are local officials, they are covered and boundby the three-year

    term limit prescribed by the Constitution; they cannot extend their term through a holdover. xxx.

    If it will be claimed that the holdover period is effectively another term mandated by Congress,

    the net result is for Congress to create a new term and to appoint the occupant for the new

    term. This view like the extension of the elective term is constitutionally infirm because

    Congress cannot do indirectly what it cannot do directly, i.e., to act in a way that would

    effectively extend the term of the incumbents. Indeed, if acts that cannot be legally done directly

    can be done indirectly, then all laws would be illusory. Congress cannot also create a new term

    and effectively appoint the occupant of the position for the new term. This is effectively an act of

    appointment by Congress and an unconstitutional intrusion into the constitutional appointment

    power of the President. Hence, holdover whichever way it is viewed is a constitutionallyinfirm option that Congress could not have undertaken.

    Even assuming that holdover is constitutionally permissible, and there had been statutory basis

    for it (namely Section 7, Article VII of RA No. 9054) in the past, we have to remember that the

    rule of holdover can only apply as an available option where no express or implied legislative

    intent to the contrary exists; it cannot apply where such contrary intent is evident.

    Congress, in passing RA No. 10153, made it explicitly clear that it had the intention ofsuppressing the holdover rule that prevailed under RA No. 9054 by completely removing this

    provision. The deletion is a policy decision that is wholly within the discretion of Congress to

    make in the exercise of its plenary legislative powers; this Court cannot pass

    upon questionsof wisdom, justice or expediency of legislation, except where an attendant

    unconstitutionality or grave abuse of discretion results.

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    3.2. 2ndopt ion: Cal ling specia l elect ions is u ncon st i tu t ional s ince COMELEC, on i ts

    own , has no author i ty to o rder specia l elect ions.

    The power to fix the date of elections is essentially legislative in nature. [N]o elections may be

    held on any other date for the positions of President, Vice President, Members of Congress and

    local officials, except when so provided by another Act of Congress, or upon orders of a body or

    officer to whom Congress may have delegated either the power or the authority to ascertain or

    fill in the details in the execution of that power.

    Notably, Congress has acted on the ARMM elections by postponing the scheduled August 2011

    elections and setting another dateMay 13, 2011for regional elections synchronized with the

    presidential, congressional and other local elections. By so doing, Congress itself has madea

    policy decision in the exercise of its legislative wisdom that it shall not call special elections as

    an adjustment measure in synchronizing the ARMM elections with the other elections.

    After Congress has so acted, neither the Executive nor the Judiciary can act to the contrary by

    ordering special elections instead at the call of the COMELEC. This Court, particularly, cannot

    make this call without thereby supplanting the legislative decision and effectively legislating. To

    be sure, the Court is not without the power to declare an act of Congress null and void for being

    unconstitutional or for having been exercised in grave abuse of discretion.But our power rests

    on very narrow ground and is merely to annul a contravening act of Congress; it is not to

    supplant the decision of Congress nor to mandate what Congress itself should have done in the

    exercise of its legislative powers.

    Thus, in the same way that the term of elective ARMM officials cannot be extended through a

    holdover, the term cannot be shortened by putting an expiration date earlier than the three (3)

    years that the Constitution itself commands. This is what will happena term of less than twoyearsif a call for special elections shall prevail. In sum, while synchronization is achieved, the

    result is at the cost of a violation of an express provision of the Constitution.

    3.3. 3rdopt ion: Grant to the President of the pow er to appoint ARMM OICs in the inter im

    is val id .

    The above considerations leave only Congress chosen interim measure RA No. 10153 and

    the appointment by the President of OICs to govern the ARMM during the pre-synchronizationperiod pursuant to Sections 3, 4 and 5 of this law as the only measure that Congress can

    make. This choice itself, however, should be examined for any attendant constitutional infirmity.

    At the outset, the power to appoint is essentially executive in nature, and the limitations on or

    qualifications to the exercise of this power should be strictly construed; these limitations or

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    qualifications must be clearly stated in order to be recognized. The appointing power is

    embodied in Section 16, Article VII of the Constitution, which states:

    Section 16. The President shall nominate and, with the consent of the Commission on

    Appointments, appoint the heads of the executive departments, ambassadors, other public

    ministers and consuls or officers of the armed forces from the rank of colonel or naval captain,

    and other officers whose appointments are vested in him in this Constitution. He shall also

    appoint all other officers of the Government whose appointments are not otherwise provided for

    by law, and those whom he may be authorized by law to appoint. The Congress may, by law,

    vest the appointment of other officers lower in rank in the President alone, in the courts, or in the

    heads of departments, agencies, commissions, or boards. [emphasis ours]

    This provision classifies into four groups the officers that the President can appoint. These are:

    First, the heads of the executive departments; ambassadors; other public ministers and consuls;

    officers of the Armed Forces of the Philippines, from the rank of colonel or naval captain; and

    other officers whose appointments are vested in the President in this Constitution;

    Second, all other officers of the government whose appointments are not otherwise provided for

    by law;

    Third, those whom the President may be authorized by law to appoint; and

    Fourth, officers lower in rank whose appointments the Congress may by law vest in the

    President alone.

    Since the Presidents authority to appoint OICs emanates from RA No. 10153, it falls under the

    third group of officials that the President can appoint pursuant to Section 16, Article VII of the

    Constitution. Thus, the assailed law faciallyrests on clear constitutional basis.

    If at all, the gravest challenge posed by the petitions to the authority to appoint OICs underSection 3 of RA No. 10153 is the assertion that the Constitution requires that the ARMM

    executive and legislative officials to be elective and representative of the constituent political

    units. This requirement indeed is an express lim itation whose non-observance in the assailed

    law leaves the appointment of OICs constitutionally defective.

    After fully examining the issue, we hold that this alleged constitutional problem is more

    apparent than real and becomes very real only if RA No. 10153 were to be mistakenly read as a

    law that changes the elective and representative character of ARMM positions. RA No. 10153,however, does not in any way amend what the organic law of the ARMM (RA No. 9054) sets

    outs in terms of structure of governance. What RA No. 10153 in fact only does is to appoint

    officers-in-charge for the Office of the Regional Governor, Regional Vice Governor and

    Members of the Regional Legislative Assembly who shall perform the functions pertaining to the

    said offices until the officials duly elected in the May 2013 elections shall have qualified and

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    assumed office. This power is far different from appointing elective ARMM officials for the

    abbreviated term ending on the assumption to office of the officials elected in the May 2013

    elections.

    [T]he legal reality is that RA No. 10153 did not amend RA No. 9054. RA No. 10153, in fact,

    provides only for synchronization of elections and for the interim measures that must in the

    meanwhile prevail. And this is how RA No. 10153 should be readin the manner it was written

    and based on its unambiguous facial terms.Aside from its order for synchronization, it is purely

    and simply an interim measure responding to the adjustments that the synchronization

    requires.

    United States vs Juan Pons

    onJanuary 4, 2012

    Political LawJournalConclusiveness of the Journals

    Pons and Gabino Beliso were trading partners. On 5 Apr 1914, the steamer Lopez y Lopez

    arrived at Manila from Spain and it contained 25 barrels of wine. The said barrels of wine were

    delivered to Beliso. Beliso subsequently delivered 5 barrels to Pons house. On the other hand,

    the customs authorities noticed that the said 25 barrels listed as wine on record were not

    delivered to any listed merchant (Beliso not being one). And so the customs officers conducted

    an investigation thereby discovering that the 25 barrels of wine actually contained tins of opium.

    Since the ct of trading and dealing opium is against Act 2381, Pons and Beliso were charged for

    illegally and fraudulently importing and introducing such contraband material to the Philippines.

    Pons appealed the sentence arguing that Act 2381 was not approved while the Philippine

    Commission (Congress) was not in session. He said that his witnesses claim that the said law

    was passed/approved on 01 March 1914 while the special session of the Commission was

    adjourned at 12MN on 28 Feb 1914. Since this is the case, Act 2381 should be null and void.

    ISSUE: Whether or not the SC must go beyond the recitals of the Journals to determine if Act

    2381 was indeed made a as law on 28 Feb 1914.

    HELD: The SC looked into the Journals to ascertain the date of adjournment but the SC refused

    to go beyond the recitals in the legislative Journals. The said Journals are conclusive on the

    Court and to inquire into the veracity of the journals of the Philippine Legislature, when they

    are, as the SC have said, clear and explicit, would be to violate both the letter and the spirit of

    the organic laws by which the Philippine Government was brought into existence, to invade a

    coordinate and independent department of the Government, and to interfere with the legitimate

    powers and functions of the Legislature. Pons witnesses cannot be given due weight against

    the conclusiveness of the Journals which is an act of the legislature. The journals say that the

    Legislature adjourned at 12 midnight on February 28, 1914. This settles the question, and the

    court did not err in declining to go behind these journals. The SC passed upon the

    conclusiveness of the enrolled bill in this particular case.

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    Arroyo vs. De Venecia G.R. No. 127255, August 14, 1997

    Facts:A petition was filed challenging the validity of RA 8240, which amends certain provisionsof theNational Internal Revenue Code. Petitioners, who are members of the House ofRepresentatives, chargedthat there is violation of the rules of the House which petitioners claimare constitutionally-mandated so that their violation is tantamount to a violation of theConstitution.

    The law originated in the House of Representatives. The Senate approved it with certainamendments.A bicameral conference committee was formed to reconcile the disagreeing provisions of the House andSenate versions of the bill. The bicameral committee submitted its report tothe House. During theinterpellations, Rep. Arroyo made an interruption and moved toadjourn for lack of quorum. But after aroll call, the Chair declared the presence of aquorum. The interpellation then proceeded. AfterRep.Arroyosinterpellation of the sponsor of the committee report, Majority Leader Albano moved for theapproval and ratification of the conference committee report. The Chair called out forobjections to themotion. Then the Chair declared: Therebeing none, approved.At the sametime the Chair was sayingthis, Rep. Arroyo was asking, What is thatMr. Speaker?The Chair and Rep. Arroyo were talkingsimultaneously. Thus, although Rep. Arroyosubsequently objected to the Majority Leaders motion, the approval of the conferencecommittee report had by then already been declared by the Chair.

    On the same day, the bill was signed by the Speaker of the House of Representatives and thePresident of the Senate and cer tified by the respective secretaries of both Houses ofCongress. The enrolled bill was signed into law by President Ramos.

    Issue:Whether or not RA 8240 is null and void because it was passed in violation ofthe rules of t heHouse

    Held:Rules of each House of Congress are hardly permanent in character. They aresubject to revocation,modification or waiver at the pleasure of the body adopting them asthey are primarily procedural. Courtsordinarily have no concern with their observance. Theymay be waived or disregarded by the legislative body. Consequently, mere failure toconform tothem does not have the effect of nullifying the act taken if the requisite number of members hasagreed to a particular measure. But this is subject to qualification.

    Where the construction to be given to a rule affects person other than members of thelegislative body, thequestion presented is necessarily judicial in character. Even its

    va li di ty is open to ques tion in a case where private rights are involved

    In the case, no rights of private individuals are involved but only those of a memberwho, instead of seeking redress in the House, chose to transfer the dispute to theCourt.

    The matter complained of concerns a matter of internal procedure of the Housewith which the Courtshould not be concerned. The claim is not that there was noquorum but only that Rep. Arroyo waseffectively prevented from questioning the presenceof a quorum. Rep. Arroyos earlier motion to adjournfor lack of quorum had already beendefeated, as the roll call established the existence of a quorum. Thequestion of quorum cannotbe raised repeatedly especially when the quorum is obviously present for thepurpose of

    delaying the business of the House.

    http://cofferette.blogspot.com/2009/01/arroyo-vs-de-venecia-gr-no-127255.htmlhttp://cofferette.blogspot.com/2009/01/arroyo-vs-de-venecia-gr-no-127255.html
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    CASCO Philippines vs GimenezonJanuary 9, 2012

    Political LawJournalConclusiveness of the Enrolled Bill

    Casco Philippine Chemical Co., Inc. was engaged in the production of synthetic resin glues

    used primarily in the production of plywood. The main components of the said glue are urea and

    formaldehyde which are both being imported abroad. Pursuant to RA 2609 (Foreign Exchange

    Margin Fee Law), the Central Bank of the Philippines issued on July 1, 1959, its Circular No. 95,

    fixing a uniform margin fee of 25% on foreign exchange transactions. To supplement the

    circular, the Bank later promulgated a memorandum establishing the procedure for applications

    for exemption from the payment of said fee, as provided in same law. In compliance, Casco

    paid the fees but later moved for reimbursement as Casco maintained that urea and

    formaldehyde are exempted from such fees. The CBP issued the vouchers for refund (pursuantto Resolution 1529 of the CBP) but the banks auditor refused to honor the vouchers since he

    maintained that this is in contrast to the provision of Sec 2, par 18 of RA 2609 which provides:

    The margin established by the Monetary Board pursuant to the provision of section one hereof

    shall not be imposed upon the sale of foreign exchange for the importation of the following:

    xxx xxx xxx

    XVIII. Urea formaldehyde for the manufacture of plywood and hardboard when imported by and

    for the exclusive use of end-users.

    The Auditor General, Gimenez, affirmed the ruling of CBPs auditor. Casco maintains that the

    term urea formaldehyde appearing in this provision should be construed as urea and

    formaldehyde He further contends that the bill approved in Congress contained the copulative

    conjunction and between the terms urea and, formaldehyde, and that the members of

    Congress intended to exempt urea and formaldehyde separately as essential elements in the

    manufacture of the synthetic resin glue called urea formaldehyde, not the latter a finished

    product, citing in support of this view the statements made on the floor of the Senate, during theconsideration of the bill before said House, by members thereof.

    ISSUE: Whether or not the term urea formaldehyde should be construed as urea and

    formaldehyde.

    HELD: Urea formaldehyde is not a chemical solution. It is the synthetic resin formed as a

    condensation product from definite proportions of urea and formaldehyde under certain

    conditions relating to temperature, acidity, and time of reaction. This produce when applied in

    water solution and extended with inexpensive fillers constitutes a fairly low cost adhesive for use

    in the manufacture of plywood. Urea formaldehyde is clearly a finished product, which is

    patently distinct and different from urea and formaldehyde, as separate articles used in the

    manufacture of the synthetic resin known as urea formaldehyde The opinions of any member

    of Congress does not represent the entirety of the Congress itself. What is printed in the

    enrolled bill would be conclusive upon the courts. It is well settled that the enrolled bill which

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    uses the term urea formaldehyde instead of urea and formaldehyde is conclusive upon

    the courts as regards the tenor of the measure passed by Congress and approved by the

    President. If there has been any mistake in the printing of the bill before it was certified by the

    officers of Congress and approved by the Executive on which the SC cannot speculate,

    without jeopardizing the principle of separation of powers and undermining one of the

    cornerstones of our democratic system the remedy is by amendment or curative legislation,

    not by judicial de

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    Philippine Judges Association et al vs DOTC Secretary Pete Prado et alonNovember 6, 2010

    EqualProtection Franking Privilege of the Judiciary

    A report came in showing that available data from the Postal Service Office show that from

    January 1988 to June 1992, the total volume of frank mails amounted to P90,424,175.00, of this

    amount, frank mails from the Judiciary and other agencies whose functions include the service

    of judicial processes, such as the intervenor, the Department of Justice and the Office of the

    Ombudsman, amounted to P86,481,759. Frank mails coming from the Judiciary amounted to

    P73,574,864.00, and those coming from the petitioners reached the total amount of

    P60,991,431.00. The postmasters conclusion is that because of this considerable volume of

    mail from the Judiciary, the franking privilege must be withdrawn from it. Acting from this, Prado

    implemented Circ. No. 9228 as the IRR for the said law. PJA assailed the said law complaining

    that the law would adversely impair the communication within the judiciary as it may impair the

    sending of judicial notices. PJA averred that the law is discriminatory as it disallowed the

    franking privilege of the Judiciary but has not disallowed the franking privilege of others such as

    the executive, former executives and their widows among others.

    ISSUE: Whether or not there has been a violation of equal protection before the law.

    HELD: The SC ruled that there is a violation of the equal protection clause. The judiciary needs

    the franking privilege so badly as it is vital to its operation. Evident to that need is the high

    expense allotted to the judiciarys franking needs. The Postmaster cannot be sustained in

    contending that the removal of the franking privilege from the judiciary is in order to cut

    expenditure. This is untenable for if the Postmaster would intend to cut expenditure by removing

    the franking privilege of the judiciary, then they should have removed the franking privilege all at

    once from all the other departments. If the problem of the respondents is the loss of revenues

    from the franking privilege, the remedy is to withdraw it altogether from all agencies of the

    government, including those who do not need it. The problem is not solved by retaining it for

    some and withdrawing it from others, especially where there is no substantial distinction

    between those favored, which may or may not need it at all, and the Judiciary, which definitely

    needs it. The problem is not solved by violating the Constitution.

    The equal protection clause does not require the universal application of the laws on all persons

    or things without distinction. This might in fact sometimes result in unequal protection, as where,

    for example, a law prohibiting mature books to all persons, regardless of age, would benefit the

    morals of the youth but violate the liberty of adults. What the clause requires is equality among

    equals as determined according to a valid classification. By classification is meant the grouping

    of persons or things similar to each other in certain particulars and different from all others in

    these same particulars.

    In lumping the Judiciary with the other offices from which the franking privilege has been

    withdrawn, Sec 35 has placed the courts of justice in a category to which it does not belong. If it

    recognizes the need of the President of the Philippines and the members of Congress for the

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    franking privilege, there is no reason why it should not recognize a similar and in fact greater

    need on the part of the Judiciary for such privilege.

    Arturo Tolentino vs Secretary of Finance

    onNovember 10, 2011

    Political LawOrigination of Revenue BillsEVATAmendment by Substitution

    Tolentino et al is questioning the constitutionality of RA 7716 otherwise known as the Expanded

    Value Added Tax (EVAT) Law. Tolentino averred that this revenue bill did not exclusively

    originate from the House of Representatives as required by Section 24, Article 6 of the

    Constitution. Even though RA 7716 originated as HB 11197 and that it passed the 3 readings in

    the HoR, the same did not complete the 3 readings in Senate for after the 1st reading it was

    referred to the Senate Ways & Means Committee thereafter Senate passed its own version

    known as Senate Bill 1630. Tolentino averred that what Senate could have done is amend HB

    11197 by striking out its text and substituting it w/ the text of SB 1630 in that way the bill

    remains a House Bill and the Senate version just becomes the text (only the text) of the HB.

    Tolentino and co-petitioner Roco [however] even signed the said Senate Bill.

    ISSUE: Whether or not EVAT originated in the HoR.

    HELD: By a 9-6 vote, the SC rejected the challenge, holding that such consolidation was

    consistent with the power of the Senate to propose or concur with amendments to the version

    originated in the HoR. What the Constitution simply means, according to the 9 justices, is that

    the initiative must come from the HoR. Note also that there were several instances before where

    Senate passed its own version rather than having the HoR version as far as revenue and other

    such bills are concerned. This practice of amendment by substitution has always been

    accepted. The proposition of Tolentino concerns a mere matter of form. There is no showing

    that it would make a significant difference if Senate were to adopt his over what has been done.

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    Garcia vs. Mata

    Facts:

    Garcia was a reserve officer on active duty who was reversed to inactive status. He filed an

    action for mandamus to compel the DND and AFP to reinstate him to active service and

    readjust his rank and pay emoluments.

    Garcia claims that his reversion to inactive status is violation of RA 1600 which prohibits the

    reversion of officers with at least 10 years of service.

    On the other hand, the AFP and DND contend that the said provision of RA 1600 has no

    relevance or pertinence to the budget in question or to any appropriation item therein. (RA 1600

    was an appropriation law for 1956-57).

    Issue:

    Whether RA 1600 is valid? Does it contain rider in an appropriation bill?

    Held:

    The incongruity and irrelevancy are already evident. Section 11 of RA 1600 fails to disclose the

    relevance to any appropriation item. RA 1600 is an appropriation law for the operation of

    government while Section 11 refers to a fundamental governmental policy of calling to active

    duty and the reversion of inactive statute of reserve officers in the AFP.

    Hence it was A NON-APPROPRIATION ITEM INSERTED IN AN APPROPRIATION

    MEASURE, in violation of the constitutional prohibition against RIDERS to the general

    appropriation act. It was indeed a new and completely unrelated provision attached to the GAA.

    It also violates the rule on one-bill, one subject. The subject to be considered must be

    expressed in the title of the act. When an act contains provisions which are clearly not

    embraced in the subject of the act, as expressed in the title, such provisions are void,

    inoperative and without effect.

    SECTION 11 is unconstitutional. Garcia cannot compel the AFP to reinstate him.

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    Alvarez vs GuingonaonJune 23, 2011

    Municipal CorporationLGU RequirementIncomeInclusion of IRAs

    In April 1993, HB 8817 (An Act Converting the Municipality of Santiago into an Independent

    Component City to be known as the City of Santiago) was passed in the HOR.

    In May 1993, a Senate bill (SB 1243) of similar title and content with that of HB 8817 was

    introduced in the Senate.

    In January 1994, the HB 8817 was transmitted to the Senate. In February 1994, the Senate

    conducted a public hearing on SB 1243. In March 1994, the Senate Committee on Local

    Government rolled out its recommendation for approval of HB 8817 as it was totally the same

    with SB 1243. Eventually, HB 8817 became a law (RA 7720).

    Now Alvarez et al are assailing the constitutionality of the said law on the ground that the bill

    creating the law did not originate from the lower house and that the Santiago was not able to

    comply with the income of at least P20M per annum in order for it to be a city. That in the

    computation of the reported average income of P20,974,581.97 included the IRA which should

    not be.

    ISSUES:

    1.Whether or not RA 7720 is invalid for not being originally from the HOR.

    2. Whether or not the IRA should be included in the computation of an LGUs income.

    HELD: 1. NO. The house bill was filed first before the senate bill as the record shows. Further,

    the Senate held in abeyance any hearing on the said SB while the HB was on its 1 st, 2ndand

    3rd reading in the HOR. The Senate only conducted its 1sthearing on the said SB one month

    after the HB was transmitted to the Senate (in anticipation of the said HB as well).

    2. YES. The IRA should be added in the compu tation of an LGUs average annual income as

    was done in the case at bar. The IRAs are items of income because they form part of the gross

    accretion of the funds of the local government unit. The IRAs regularly and automatically accrue

    to the local treasury without need of any further action on the part of the local government unit.

    They thus constitute income which the local government can invariably rely upon as the source

    of much needed funds.

    To reiterate, IRAs are a regular, recurring item of income; nil is there a basis, too, to classify the

    same as a special fund or transfer, since IRAs have a technical definition and meaning all its

    own as used in the Local Government Code that unequivocally makes it distinct from special

    funds or transfers referred to when the Code speaks of funding support from the national

    government, its instrumentalities and government-owned-or-controlled corporations.

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    BENGZON VS DRILON

    Veto Power of the President

    FACTS:

    On 15 Jan 1992, some provisions of the Special Provision for the Supreme Court and the LowerCourts General Appropriations were vetoed by the President because a resolution by the Courtproviding for appropriations for retired justices has been enacted. The vetoed bill provided forthe increase of the pensions of the retired justices of the Supreme Court, and the Court ofAppeals as well as members of the Constitutional Commission.

    ISSUE:

    Whether or not the veto of the President on that portion of the General Appropriations bill isconstitutional.

    HELD:

    The Justices of the Court have vested rights to the accrued pension that is due to them inaccordance to Republic Act 1797. The president has no power to set aside and override thedecision of the Supreme Court neither does the president have the power to enact or amendstatutes promulgated by her predecessors much less to the repeal of existing laws. The veto isunconstitutional since the power of the president to disapprove any item or items in theappropriations bill does not grant the authority to veto part of an item and to approve theremaining portion of said item.

    NOTES: Pocket Veto Not Allowed

    Under the Constitution, the President does not have the so-called pocket-veto power, i.e.,disapproval of a bill by inaction on his part. The failure of the President to communicate his vetoof any bill represented to him within 30 days after the receipt thereof automatically causes the

    bill to become a law.This rule corrects the Presidential practice under the 1935 Constitution of releasing vetomessages long after he should have acted on the bill. It also avoids uncertainty as to what newlaws are in force.

    When is it allowed?

    The exception is provided in par (2),Sec 27 of Art 6 of the Constitution which grants thePresident power to veto any particular item or items in an appropriation, revenue or tariff bill.The veto in such case shall not affect the item or items to which he does not object.

    3 ways how a bill becomes a law.

    1.When the President signs it2. When the President vetoes it but the veto is overridden by 2/3 vote of all the members ofeach House; and3. When the president does not act upon the measure within 30 days after it shall have beenpresented to him.

    http://lawskool.ygunited.com/?p=141http://lawskool.ygunited.com/?p=141
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    Philippine Constitution Association vs Gimenez

    on January 2, 2012

    Political LawSalaries of the Members of CongressOther Emolument

    Philippine Constitution Association, Inc (PHILCONSA) assails the validity of RA 3836 insofar as

    the same allows retirement gratuity and commutation of vacation and sick leave to Senators and

    Representatives, and to the elective officials of both Houses (of Congress). The provision on

    retirement gratuity is an attempt to circumvent the Constitutional ban on increase of salaries of

    the members of Congress during their term of office, contrary to the provisions of Article VI,

    Section 14 of the Constitution. The same provision constitutes selfish class legislation because

    it allows members and officers of Congress to retire after twelve (12) years of service and gives

    them a gratuity equivalent to one year salary for every four years of service, which is not

    refundable in case of reinstatement or re election of the retiree, while all other officers and

    employees of the government can retire only after at least twenty (20) years of service and are

    given a gratuity which is only equivalent to one month salary for every year of service, which, inany case, cannot exceed 24 months. The provision on vacation and sick leave, commutable at

    the highest rate received, insofar as members of Congress are concerned, is another attempt of

    the legislator to further increase their compensation in violation of the Constitution.

    The Sol-Gen counter argued alleging that The grant of retirement or pension benefits under

    Republic Act No. 3836 to the officers objected to by the petitioner does not constitute forbidden

    compensation within the meaning of Section 14 of Article VI of the Philippine Constitution. The

    law in question does not constitute class legislation. The payment of commutable vacation and

    sick leave benefits under the said Act is merely in the nature of a basis for computing the

    gratuity due each retiring member and, therefore, is not an indirect scheme to increase their

    salary.

    ISSUE: Whether or not RA 3836 is constitutional.

    HELD: Section 14, Article VI, of the Constitution, which reads:

    The senators and the Members of the House of Representatives shall, unless otherwise

    provided by law, receive an annual compensation of seven thousand two hundred pesos each,

    including per diems and other emoluments or allowances, and exclusive only of travelling

    expenses to and from their respective district in the case of Members of the House of

    Representatives and to and from their places of residence in the case of Senators, when

    attending sessions of the Congress. No increase in said compensation shall take effect until

    after the expiration of the full term of all the Members of the Senate and of the House of

    Representatives approving such increase. Until otherwise provided by law, the President of the

    Senate and the Speaker of the House of Representatives shall each receive an annual

    compensation of sixteen thousand pesos.

    When the Constitutional Convention first determined the compensation for the Members of

    Congress, the amount fixed by it was only P5,000.00 per annum but it embodies a special

    proviso which reads as follows: No increase in said compensation shall take effect until after

    the expiration of the full term of all the members of the National Assembly elected subsequent to

    approval of such increase. In other words, under the original constitutional provision regarding

    the power of the National Assembly to increase the salaries of its members, no increase would

    take effect until after the expiration of the full term of the members of the Assembly elected

    subsequent to the approval of such increase.

    The Constitutional provision in the aforementioned Section 14, Article VI, includes in the term

    compensation other emoluments.This is the pivotal point on this fundamental question as to

    whether the retirement benefit as provided for in Republic Act 3836 fall within the purview of the

    term other emoluments.

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    Emolument as the profit arising from office or employment; that which is received as

    compensation for services or which is annexed to the possession of an office, as salary, fees

    and perquisites.

    It is evident that retirement benefit is a form or another species of emolument, because it is a

    part of compensation for services of one possessing any office.

    Republic Act 3836 provides for an increase in the emoluments of Senators and Members of the

    House of Representatives, to take effect upon the approval of said Act, which was on June 22,

    1963. Retirement were immediately available thereunder, without awaiting the expiration of the

    full term of all the Members of the Senate and the House of Representatives approving such

    increase. Such provision clearly runs counter to the prohibition in Article VI, Section 14 of the

    Constitution. RA 3836 is hereby declared unconstitutional by the SC.

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    Tio vs Videogram Regulatory Board

    Political LawThe Embrace of Only One Subject by a Bill

    Tio is a videogram operator who assailed the constitutionality of PD 1987 entitled An Act

    Creating the Videogram Regulatory Board with broad powers to regulate and supervise the

    videogram industry. The PD was also reinforced by PD 1994 which amended the National

    Internal Revenue Code. The amendment provides that there shall be collected on each

    processed video-tape cassette, ready for playback, regardless of length, an annual tax of five

    pesos; Provided, that locally manufactured or imported blank video tapes shall be subject to

    sales tax. The said law was brought about by the need to regulate the sale of videograms as it

    has adverse effects to the movie industry. The proliferation of videograms has significantly

    lessened the revenue being acquired from the movie industry, and that such loss may be

    recovered if videograms are to be taxed. Sec 10 of the PD imposes a 30% tax on the gross

    receipts payable to the LGUs. Tio countered, among others, that the tax imposition provision is

    a rider and is not germane to the subject matter of the PD.

    ISSUE:

    Whether or not the PD embraces only one subject.

    HELD:

    The Constitutional requirement that every bill shall embrace only one subject which shall be

    expressed in the title thereof is sufficiently complied with if the title be comprehensive enough

    to include the general purpose which a statute seeks to achieve. It is not necessary that the title

    express each and every end that the statute wishes to accomplish. The requirement is satisfied

    if all the parts of the statute are related, and are germane to the subject matter expressed in the

    title, or as long as they are not inconsistent with or foreign to the general subject and title. An

    act having a single general subject, indicated in the title, may contain any number of provisions,

    no matter how diverse they may be, so long as they are not inconsistent with or foreign to the

    general subject, and may be considered in furtherance of such subject by providing for the

    method and means of carrying out the general object. The rule also is that the constitutional

    requirement as to the title of a bill should not be so narrowly construed as to cripple or impede

    the power of legislation. It should be given a practical rather than technical construction. In the

    case at bar, the questioned provision is allied and germane to, and is reasonably necessary for

    the accomplishment of, the general object of the PD, which is the regulation of the video

    industry through the VRB as expressed in its title. The tax provision is not inconsistent with, norforeign to that general subject and title. As a tool for regulation it is simply one of the regulatory

    and control mechanisms scattered throughout the PD. The express purpose of the PD to

    include taxation of the video industry in order to regulate and rationalize the uncontrolled

    distribution of videograms is evident from Preambles 2 and 5 of the said PD which explain the

    motives of the lawmakers in presenting the measure. The title of the PD, which is the creation of

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    the VRB, is comprehensive enough to include the purposes expressed in its Preamble and

    reasonably covers all its provisions. It is unnecessary to express all those objectives in the title

    or that the latter be an index to the body of the PD.

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    Neptali Gonzales vs MacaraigonNovember 12, 2011

    Political LawVeto PowerInappropriate Provision in an Appropriation Bill

    Gonzales, together w/ 22 other senators, assailed the constitutionality of Corys veto of Section

    55 of the 1989 Appropriations Bill (Sec 55 FY 89, and subsequently of its counterpart Section

    16 of the 1990 Appropriations Bill (Sec 16 FY 90). Gonzalez averred the following: (1) the

    Presidents line-veto power as regards appropriation bills is limited to item/s and does not cover

    provision/s; therefore, she exceeded her authority when she vetoed Section 55 (FY 89) and

    Section 16 (FY 90) which are provision; (2) when the President objects to a provision of an

    appropriation bill, she cannot exercise the item-veto power but should veto the entire bill; (3) the

    item-veto power does not carry with it the power to strike out conditions or restrictions for that

    would be legislation, in violation of the doctrine of separation of powers; and (4) the power ofaugmentation in Article VI, Section 25 [5] of the 1987 Constitution, has to be provided for by law

    and, therefore, Congress is also vested with the prerogative to impose restrictions on the

    exercise of that power.

    ISSUE:

    Whether or not the President exceeded the item-veto power accorded by the Constitution. Or

    differently put, has the President the power to veto `provisions of an Appropriations Bill.

    HELD:

    SC ruled that Congress cannot include in a general appropriations bill matters that should be

    more properly enacted in separate legislation, and if it does that, the inappropriate provisions

    inserted by it must be treated as item, which can be vetoed by the President in the exercise of

    his item-veto power. The SC went one step further and rules that even assuming arguendo that

    provisions are beyond the executive power to veto, and Section 55 (FY 89) and Section 16

    (FY 90) were not provisions in the budgetary sense of the term, they are inappropriate

    provisions that should be treated as items for the purpose of the Presidents veto power.

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    Philippine Constitution Association vs EnriquezonNovember 13, 2011

    Political LawVeto PowerPart of the Legislative Process

    This is a consolidation of cases which sought to question the veto authority of the president

    involving the General Appropriations Act of 1994. This case also involves the power of

    Congress as far as the pork barrel fund is concerned. Philippine Constitu tion Association

    (PHILCONSA) questions the countrywide development fund. PHILCONSA said that Congress

    can only allocate funds but they cannot specify the items as to which those funds would be

    applied for since that is already the function of the executive. In another case, after the vetoing

    by the president of some provisions of the GAA of 1994, neither house of congress took steps to

    override the veto. Instead, Senators Taada and Romulo sought the issuance of the writs of

    prohibition and mandamus against the same respondents in G.R. No. 113766. In this petition,petitioners contest the constitutionality of: (1) the veto on four special provisions added to items

    in the GAA of 1994 for the Armed Forces of the Philippines (AFP) and the Department of Public

    Works and Highways (DPWH); and (2) the conditions imposed by the President in the

    implementation of certain appropriations for the CAFGUs, the DPWH, and the National Housing

    Authority (NHA).

    ISSUE:

    Whether or not the Presidents veto is valid.

    HELD:

    In the PHILCONSA petition, the SC ruled that Congress acted within its power. In the Taada

    petitions the SC dismissed the other petitions and granted the others.

    Veto on special provisions

    The president did his veto with certain conditions and compliant to the ruling in Gonzales vs

    Macaraig. The president particularly vetoed the debt reduction scheme in the GAA of 1994

    commenting that the scheme is already taken cared of by other legislation and may be more

    properly addressed by revising the debt policy. He, however did not delete the

    P86,323,438,000.00 appropriation therefor. Taada et al averred that the president cannot

    validly veto that provision w/o vetoing the amount allotted therefor. The veto of the president

    herein is sustained for the vetoed provision is considered inappropriate; in fact the Sc found

    that such provision if not vetoed would in effect repeal the Foreign Borrowing Act making the

    legislation as a log-rolling legislation.

    Veto of provisions for revolving funds of SUCs

    The appropriation for State Universities and Colleges (SUCs), the President vetoed special

    provisions which authorize the use of income and the creation, operation and maintenance of

    revolving funds was likewise vetoed. The reason for the veto is that there were already funds

    allotted for the same in the National expenditure Program. Taada et al claimed this as

    unconstitutional. The SC ruled that the veto is valid for it is in compliant to the One Fund Policy

    it avoided double funding and redundancy.

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    Veto of provision on 70% (administrative)/30% (contract) ratio for road maintenance

    The President vetoed this provision on the basis that it may result to a breach of contractual

    obligations. The funds if allotted may result to abandonment of some existing contracts. The SC

    ruled that this Special Provision in question is not an inappropriate provision which can be the

    subject of a veto. It is not alien to the appropriation for road maintenance, and on the other

    hand, it specifies how the said item shall be expended 70% by administrative and 30% by

    contract. The 1987 Constitution allows the addition by Congress of special provisions,

    conditions to items in an expenditure bill, which cannot be vetoed separately from the items to

    which they relate so long as they are appropriate in the budgetary sense. The veto herein is

    then not valid.

    Veto of provision on prior approval of Congress for purchase of military equipment

    As reason for the veto, the President stated that the said condition and prohibition violate the

    Constitutional mandate of non-impairment of contractual obligations, and if allowed, shall

    effectively alter the original intent of the AFP Modernization Fund to cover all military equipment

    deemed necessary to modernize the AFP. The SC affirmed the veto. Any provi sion blocking an

    administrative action in implementing a law or requiring legislative approval of executive acts

    must be incorporated in a separate and substantive bill. Therefore, being inappropriate

    provisions.

    Veto of provision on use of savings to augment AFP pension fundsAccording to the President, the grant of retirement and separation benefits should be covered

    by direct appropriations specifically approved for the purpose pursuant to Section 29(1) of

    Article VI of the Constitution. Moreover, he stated that the authority to use savings is lodged in

    the officials enumerated in Section 25(5) of Article VI of the Constitution. The SC retained the

    veto per reasons provided by the president.

    Condition on the deactivation of the CAFGUs

    Congress appropriated compensation for the CAFGUs including the payment of separation

    benefits. The President declared in his Veto Message that the implementation of this Special

    Provision to the item on the CAFGUs shall be subject to prior Presidential approval pursuant to

    P.D. No. 1597 and R.A. No. 6758. The SC ruled to retain the veto per reasons provided by the

    president. Further, if this provision is allowed the it would only lead to the repeal of said existing

    laws.

    Conditions on the appropriation for the Supreme Court, etc

    In his veto message: The said condition is consistent with the Constitutional injunction

    prescribed under Section 8, Article IX-B of the Constitutional which states that no elective or

    appointive public officer or employee shall receive additional, double, or indirect compensation

    unless specifically authorized by law. I am, therefore, confident that the heads of the said

    offices shall maintain fidelity to the law and faithfully adhere to the well-established principle on

    compensation standardization. Taada et al claim that the conditions imposed by the President

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    violated the independence and fiscal autonomy of the Supreme court, the Ombudsman, the

    COA and the CHR. The SC sustained the veto: In the first place, the conditions questioned by

    petitioners were placed in the GAB by Congress itself, not by the President. The Veto Message

    merely highlighted the Constitutional mandate that additional or indirect compensation can only

    be given pursuant to law. In the second place, such statements are mere reminders that the

    disbursements of appropriations must be made in accordance with law. Such statements may,

    at worse, be treated as superfluities.

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    Pelaez vs Auditor GeneralonDecember 18, 2011

    Political LawSufficient Standard Test and Completeness Test

    From Sept 04 to Oct 29, 1964, the President (Marcos) issued executive orders creating 33

    municipalities this is purportedly in pursuant to Sec 68 of the Revised Administrative Code

    which provides that the President of the Philippines may by executive order define the

    boundary, or boundaries, of any province, sub-province, municipality, [township] municipal

    district or other political subdivision, and increase or diminish the territory comprised therein,

    may divide any province into one or more subprovincesThe VP Emmanuel Pelaez and a

    taxpayer filed a special civil action to prohibit the auditor general from disbursing funds to be

    appropriated for the said municipalities. Pelaez claims that the EOs are unconstitutional. He

    said that Sec 68 of the RAC has been impliedly repealed by Sec 3 of RA 2370 which providesthat barrios may not be created or their boundaries altered nor their names changed except by

    Act of Congress or of the corresponding provincial board upon petition of a majority of the

    voters in the areas affected and the recommendation of the council of the municipality or

    municipalities in which the proposed barrio is situated. Pelaez argues, accordingly: If the

    President, under this new law, cannot even create a barrio, can he create a municipality which

    is composed of several barrios, since barrios are units of municipalities? The Auditor General

    countered that only barrios are barred from being created by the President. Municipalities are

    exempt from the bar and that t a municipality can be created without creating barrios. Existingbarrios can just be placed into the new municipality. This theory overlooks, however, the main

    import of Pelaez argument, which is that the statutory denial of the presidential authority to

    create a new barrio implies a negation of the bigger power to create municipalities, each of

    which consists of several barrios.

    ISSUE: Whether or not Congress has delegated the power to create barrios to the President by

    virtue of Sec 68 of the RAC.

    HELD:Although Congress may delegate to another branch of the government the power to fill

    in the details in the execution, enforcement or administration of a law, it is essential, to forestall

    a violation of the principle of separation of powers, that said law: (a) be complete in itself it

    must set forth therein the policy to be executed, carried out or implemented by the delegate

    and (b) fix a standard the limits of which are sufficiently determinate or determinable to

    which the delegate must conform in the performance of his functions. Indeed, without a

    statutory declaration of policy, the delegate would, in effect, make or formulate such policy,

    which is the essence of every law; and, without the aforementioned standard, there would be no

    means to determine, with reasonable certainty, whether the delegate has acted within or beyond

    the scope of his authority.

    In the case at bar, the power to create municipalities is eminently legislative in character not

    administrative.

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    GREGO vs. COMELEC

    Facts:

    On October 31, 1981, before the effectivity of the Local Government Code of 1991, private

    respondent Humberto Basco was removed from his position as Deputy Sheriff by no less than

    the Supreme Court upon a finding of serious misconduct in an administrative complaint.

    Subsequently, Basco ran as a candidate for councilor in the Second District of the City of Manila

    in the January 18, 1988 local elections. He won and assumed office. He was successfully re-

    elected in 1992 and 1995.

    It was his latest re-election which is the subject of the present petition on the ground that he is

    disqualified under Section 40(b) of the LGC of 1991. Under said section, those removed from

    office as a result of an administrative case are disqualified to run for any elective local position.

    Issue:

    Does Section 40(b) of the Local Government Code of 1991 apply retroactively to those removed

    from office before it took effect on January 1, 1992?

    Held:

    The Supreme Court held that its refusal to give retroactive application to the provision of Section

    40(b) is already a settled issue and there exist no compelling reason for the Court to depart

    therefrom. That the provision of the Code in question does not qualify the date of a candidates

    removal from office and that it is couched in the past tense should not deter the Court from

    applying the law prospectively. A statute, despite the generality in its language, must not be so

    construed as to overreach acts, events or matters which transpired before its passage.

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    First Lepanto Ceramics v. CA

    FACTS:

    1. Petitioner assailed the conflicting provisions of B.P. 129, EO 226 (Art. 82) and a circular, 1-91 issued by the Supreme Court which deals with the jurisdiction of courts for appeal of cases

    decided by quasi-judicial agencies such as the Board of Investments (BOI).

    2. BOI granted petitioner First Lepanto Ceramics, Inc.'s application to amend its BOI certificate

    of registration by changing the scope of its registered product from "glazed floor tiles" to

    "ceramic tiles." Oppositor Mariwasa filed a motion for reconsideration of the said BOI decision

    while oppositor Fil-Hispano Ceramics, Inc. did not move to reconsider the same nor appeal

    therefrom. Soon rebuffed in its bid for reconsideration, Mariwasa filed a petition for review with

    CA.

    4. CA temporarily restrained the BOI from implementing its decision. The TRO lapsed by itsown terms twenty (20) days after its issuance, without respondent court issuing any preliminary

    injunction.

    5. Petitioner filed a motion to dismiss and to lift the restraining order contending that CA does

    not have jurisdiction over the BOI case, since the same is exclusively vested with the Supreme

    Court pursuant to Article 82 of the Omnibus Investments Code of 1987.

    6. Petitioner argued that the Judiciary Reorganization Act of 1980 or B.P. 129 and Circular 1-

    91, "Prescribing the Rules Governing Appeals to the Court of Appeals from a Final Order or

    Decision of the Court of Tax Appeals and Quasi-Judicial Agencies" cannot be the basis of

    Mariwasa's appeal to respondent court because the procedure for appeal laid down therein runs

    contrary to Article 82 of E.O. 226, which provides that appeals from decisions or orders of the

    BOI shall be filed directly with the Supreme Court.

    7. While Mariwasa maintains that whatever inconsistency there may have been between B.P.

    129 and Article 82 of E.O. 226 on the question of venue for appeal, has already been resolved

    by Circular 1-91 of the Supreme Court, which was promulgated on February 27, 1991 or four (4)

    years after E.O. 226 was enacted.

    ISSUE: Whether or not the Court of Appeals has jurisdiction over the case.

    HELD: YES. Circular 1-91 effectively repealed or superseded Article 82 of E.O. 226 insofar as

    the manner and method of enforcing the right to appeal from decisions of the BOI areconcerned. Appeals from decisions of the BOI, which by statute was previously allowed to be

    filed directly with the Supreme Court, should now be brought to the Court of Appeals.

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    Jose Angara vs Electoral CommissiononDecember 6, 2011

    Political LawSeparation of Powers

    In the elections of Sept 17, 1935, Angara, and the respondents, Pedro Ynsua et al. were

    candidates voted for the position of member of the National Assembly for the first district of the

    Province of Tayabas. On Oct 7, 1935, Angara was proclaimed as member-elect of the NA for

    the said district. On November 15, 1935, he took his oath of office. On Dec 3, 1935, the NA in

    session assembled, passed Resolution No. 8 confirming the election of the members of the

    National Assembly against whom no protest had thus far been filed. On Dec 8, 1935, Ynsua,

    filed before the Electoral Commission a Motion of Protest against the election of Angara. On

    Dec 9, 1935, the EC adopted a resolution, par. 6 of which fixed said date as the last day for the

    filing of protests against the election, returns and qualifications of members of the NA,notwithstanding the previous confirmation made by the NA. Angara filed a Motion to Dismiss

    arguing that by virtue of the NA proclamation, Ynsua can no longer protest. Ynsua argued back

    by claiming that EC proclamation governs and that the EC can take cognizance of the election

    protest and that the EC can not be subject to a writ of prohibition from the SC.

    ISSUES:

    Whether or not the SC has jurisdiction over such matter.

    Whether or not EC acted without or in excess of jurisdiction in taking cognizance of the

    election protest.

    HELD:

    (a). The government established by the Constitution follows the theory of separation of powers

    of the legislative, the executive and the judicial.

    (b) The system of checks and balances and the overlapping of functions and duties often

    makes difficult the delimitation of the powers granted.

    (c) That in cases of conflict between the several departments and among the agenciesthereof, the judiciary, with the Supreme Court as the final arbiter, is the only constitutional

    mechanism devised finally to resolve the conflict and allocate constitutional boundaries.

    (d) That judicial supremacy is but the power of judicial review in actual and appropriate

    cases and controversies, and is the power and duty to see that no one branch or agency of the

    government transcends the Constitution, which is the source of all authority.

    (e) That the Electoral Commission is an independent constitutional creation with specific

    powers and functions to execute and perform, closer for purposes of classification to the

    legislative than to any of the other two departments of the government.

    (f) That the Electoral Commission is the sole judge of all contests relating to the election,

    returns and qualifications of members of the National Assembly.

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    (g) That under the organic law prevailing before the (1935) Constitution went into effect,

    each house of the legislature was respectively the sole judge of the elections, returns, and

    qualifications of their elective members.

    (h) That the (1935) Constitution has transferred all the powers previously exercised by the

    legislature with respect to contests relating to the election, returns and qualifications of its

    members, to the Electoral Commission.

    (i) That such transfer of power from the legislature to the Electoral Commission was full,

    clear and complete, and carried with it ex necesitate rei the implied power inter alia to prescribe

    the rules and regulations as to the time and manner of filing protests.

    (j) That the avowed purpose in creating the Electoral Commission was to have an

    independent constitutional organ pass upon all contests relating to the election, returns and

    qualifications of members of the National Assembly, devoid of partisan influence or

    consideration, which object would be frustrated if the National Assembly were to retain the

    power to prescribe rules and regulations regarding the manner of conducting said contests.

    (k) That section 4 of article VI of the (1935) Constitution repealed not only section 18 of

    the Jones Law making each house of the Philippine Legislature respectively the sole judge of

    the elections, returns and qualifications of its elective members, but also section 478 of Act No.

    3387 empowering each house to prescribe by resolution the time and manner of filing contests

    against the election of its members, the time and manner of notifying the adverse party, and

    bond or bonds, to be required, if any, and to fix the costs and expenses of contest.

    (l) That confirmation by the National Assembly of the election of any member,

    irrespective of whether his election is contested or not, is not essential before such member-

    elect may discharge the duties and enjoy the privileges of a member of the National Assembly.

    (m) That confirmation by the National Assembly of the election of any member against

    whom no protest had been filed prior to said confirmation, does not and cannot deprive the

    Electoral Commission of its incidental power to prescribe the time within which protest against

    the election of any member of the National Assembly should be filed.

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    Tatad vs Secretary of EnergyonNovember 12, 2011

    Political LawOne Title One Subject RuleOil Deregulation Law

    Considering that oil is not endemic to this country, history shows that the government has

    always been finding ways to alleviate the oil industry. The government created laws

    accommodate these innovations in the oil industry. One such law is the Downstream Oil

    Deregulation Act of 1996 or RA 8180. This law allows that any person or entity may import or

    purchase any quantity of crude oil and petroleum products from a foreign or domestic source,

    lease or own and operate refineries and other downstream oil facilities and market such crude

    oil or use the same for his own requirement, subject only to monitoring by the Department of

    Energy. Tatad assails the constitutionality of the law. He claims that section 5 (b) of R.A. No.

    8180 violates the one title one rule of Sec 26, Art 6 of the Constitution. Section 5 (b) provides:

    b) Any law to the contrary notwithstanding and starting with the effectivity of this Act, tariff duty

    shall be imposed and collected on imported crude oil at the rate of three percent (3%) and

    imported refined petroleum products at the rate of seven percent (7%), except fuel oil and LPG,

    the rate for which shall be the same as that for imported crude oil: Provided, That beginning on

    January 1, 2004 the tariff rate on imported crude oil and refined petroleum products shall be the

    same: Provided, further, That this provision may be amended only by an Act of Congress.

    The inclusion of the tariff provision in section 5(b) of R.A. No. 8180 violates Section 26(1) Article

    VI of the Constitution requiring every law to have only one subject which shall be expressed in

    its title. Petitioner contends that the imposition of tariff rates in section 5(b) of R.A. No. 8180 is

    foreign to the subject of the law which is the deregulation of the downstream oil industry.

    ISSUE: Whether or not RA 8180 is constitutional.

    HELD: The SC declared the unconstitutionality of RA 8180 not because it violated the one title

    one subject rule but rather because it violated Sec 19 of Art 12 of the Constitution. It violated

    that provision because it only strengthens oligopoly which is contrary to free competition. TheSC emphasized that the provision of Sec 5 (b) of RA 8180 does not violate the one title one

    subject rule. The SC, as a policy, has adopted a liberal construction of the one title one

    subject rule. The SC also emphasized that the title need not mirror, fully index or catalogue all

    contents and minute details of a law. A law having a single general subject indicated in the title

    may contain any number of provisions, no matter how diverse they may be, so long as they are

    not inconsistent with or foreign to the general subject, and may be considered in furtherance of

    such subject by providing for the method and means of carrying out the general subject. The SC

    held that section 5(b) providing for tariff differential is germane to the subject of RA 8180 whichis the deregulation of the downstream oil industry. The section is supposed to sway prospective

    investors to put up refineries in our country and make them rely less on imported petroleum.

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    FRANCISCO VS. HOUSE OF REPRESENTATIVES

    Facts:

    On 28 November 2001, the 12th Congress of the House of Representatives adopted and

    approved the Rules of Procedure in Impeachment Proceedings, superseding the previous

    House Impeachment Rules approved by the 11th Congress. On 22 July 2002, the House of

    Representatives adopted a Resolution, which directed the Committee on Justice "to conduct an

    investigation, in aid of legislation, on the manner of disbursements and expenditures by the

    Chief Justice of the Supreme Court of the Judiciary Development Fund (JDF). On 2 June 2003,

    former President Joseph E. Estrada filed an impeachment complaint (first impeachment

    complaint) against Chief Justice Hilario G.Davide Jr. and seven Associate Justices of the

    Supreme Court for "culpable violation of the Constitution, betrayal of the public trust and other

    high crimes." The complaint was endorsed by House Representatives, and was referred to the

    House Committee on Justice on 5 August 2003 in accordance with Section 3(2) of Article XI ofthe Constitution. The House Committee on Justice ruled on 13 October 2003 that the first

    impeachment complaint was "sufficient inform," but voted to dismiss the same on 22 October

    2003 for being insufficient in substance. Four months and three weeks since the filing of the first

    complaint or on 23 October 2003, a day after the House Committee on Justice voted to dismiss

    it, the second impeachment complaint was filed with the Secretary General of the House by

    House Representatives against Chief Justice Hilario G. Davide, Jr., founded on the alleged

    results of the legislative inquiry initiated by above-mentioned House Resolution. The second

    impeachment complaint was accompanied by a Resolutionof Endorsement/Impeachment"

    signed by at least 1/3 of all the Members of the House of Representatives. Various petitions for

    certiorari, prohibition, and mandamus were filed with the Supreme Court against the House of

    Representatives, et. al., most of which petitions contend that the filing of the second

    impeachment complaint is unconstitutional as it violates the provision of Section 5 of Article XI

    of the Constitution that "[n]o impeachment proceedings shall be initiated against the same

    official more than once within a period of one year."

    Issue:

    Whether the power of judicial review extends to those arising from impeachment proceedings.

    Held:

    The Court's power of judicial review is conferred on the judicial branch of the government in

    Section 1, Article VIII of our present 1987 Constitution. The "moderating power" to "determine

    the proper allocation of powers" of the different branches of government and "to direct the

    course of government along constitutional channels" is inherent in all courts as a necessary

    consequence of the judicial power itself, which is "the power of the court to settle actual

    controversies involving rights which are legally demandable and enforceable." As indicated in

    Angara v. Electoral Commission, judicial review is indeed an integral component of the delicate

    system of checks and balances which, together with the corollary principle of separation of

    powers, forms the bedrock of our republican form of government and insures that its vast

    powers are utilized only for the benefit of the people for which it serves. The separation of

    powers is a fundamental principle in our system of government. It obtains not through express

    provision but by actual division in our Constitution. Each department of the government has

    exclusive cognizance of matters within its jurisdiction, and is supreme within its own sphere. But

    it does not follow from the fact that the three powers are to be kept separate and distinct that the

    Constitution intended them to be absolutely unrestrained and independent of each other. The

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    Constitution has provided for an elaborate system of checks and balances to secure

    coordination in the workings of the various departments of the government. And the judiciary in

    turn, with the Supreme Court as the final arbiter,effectively checks the other departments in the

    exercise of its power to determine the law, and hence to declare executive and legislative acts

    void if violative of the Constitution.The major difference between the judicial power of the

    Philippine Supreme Court and that of the U.S. Supreme Court is that while the power of judicialreview is only impliedly granted to the U.S. Supreme Court and is discretionary in nature,that

    granted to the Philippine Supreme Court and lower courts, as expressly provided for in the

    Constitution, is not just a power but also a duty, and it was given an expanded definition to

    include the power to correct any grave abuse of discretion on the part of any government

    branch or instrumentality. There are also glaring distinctions between the U.S.

    Constitution and the Philippine Constitution with respect to the power of the House of

    Representatives over impeachment proceedings. While the U.S. Constitution bestows sole

    power of impeachment to the House of Representatives without limitation, our Constitution,

    though vesting in the House of Representatives the exclusive power to initiate impeachment

    cases, provides for several limitations to the exercise of such power as embodied in Section3(2), (3), (4) and (5), Article XI thereof. These limitations include the manner of filing, required

    vote to impeach,and the one year bar on the impeachment of one and the same official. The

    people expressed their will when they instituted the above-mentioned safeguards in the

    Constitution. This shows that the Constitution did not intend to leave the matter of impeachment

    to the sole discretion of Congress. Instead, it provided for certain well-defined limits, or

    "judicially discoverable standards" for determining the validity of the exercise of such discretion,

    through the power of judicial review. There is indeed a plethora of cases in which this Court

    exercised the power of judicial review over congressional action. Finally, there exists no

    constitutional basis for the contention that the exercise of judicial review over impeachment

    proceedings would upset the system of checks and balances. Verily, the Constitution is to beinterpreted as a whole and "one section is not to be allowed to defeat another." Both are integral

    components of the calibrated system of independence and interdependence that insures that no

    branch of government act beyond the powers assigned to it by the Constitution.

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    DE AGBAYANI VS. PNB

    Effects of Constitutionality

    FACTS:

    Agbayani obtained a loan P450 from PNB secured by a REM, which was to mature 5 years

    later.

    15 years later, PNB sought to foreclose the REM.

    Agbayani filed a complaint claiming that it was barred by prescription. She also claims that

    she obtained an injunction against the sheriff.

    PNB argued that the claim has not yet prescribed if the period from the time of issuance of

    EO32 to the time when RA 342 was issued shou