Effect of absence of Verification

Verification and Certification against Forum-Shopping Guidelines Posted by Atty. Fel Lester G. Brillantes)
In Altres v. Empleo (G.R. No. 180986, December 10, 2008) , the SC revealed the courts guidelines for the bench and bar which were culled from jurisprudential pronouncements.

"For the guidance of the bench and bar, the Court restates in capsule form the jurisprudential pronouncements already reflected above respecting non-compliance with the requirements on, or submission of defective, verification and certification against forum shopping: 1) A distinction must be made between non-compliance with the requirement on or submission of defective verification, and non-compliance with the requirement on or submission of defective certification against forum shopping. 2) As to verification, non-compliance therewith or a defect therein does not necessarily render the pleading fatally defective. The court may order its submission or correction or act on the pleading if the attending circumstances are such that strict compliance with the Rule may be dispensed with in order that the ends of justice may be served thereby. 3) Verification is deemed substantially complied with when one who has ample knowledge to swear to the truth of the allegations in the complaint or petition signs the verification, and when matters alleged in the petition have been made in good faith or are true and correct.

4) As to certification against forum shopping, non-compliance therewith or a defect therein, unlike in verification, is generally not curable by its subsequent submission or correction thereof, unless there is a need to relax the Rule on the ground of substantial compliance or presence of special circumstances or compelling reasons.

5) The certification against forum shopping must be signed by all the plaintiffs or petitioners in a case; otherwise, those who did not sign will be dropped as parties to the case. Under reasonable or justifiable circumstances, however, as when all the plaintiffs or petitioners share a common interest and invoke a common cause of action or defense, the signature of only one of them in the certification against forum shopping substantially complies with the Rule.

6) Finally, the certification against forum shopping must be executed by the party-pleader, not by his counsel. fellester.blogspot.com If, however, for reasonable or justifiable reasons, the party-pleader is

unable to sign, he must execute a Special Power of Attorney designating his counsel of record to sign on his behalf.

IN CASE OF CORPORATIONS there should be a Board Resolution or a secretarys certificate confirming authority to sign for the corporation. Where the petitioner is a corporation, the certification against forum shopping should be signed by its duly authorized director or representative. This was enunciated in Eslaban, Jr. v. Vda. de Onorio, where the Court held that if the real party-in-interest is a corporate body, an officer of the corporation can sign the certification against forum shopping so long as he has been duly authorized by a resolution of its board of directors. Likewise, where there are several petitioners, it is insufficient that only one of them executes the certification, absent a showing that he was so authorized by the others. That certification requires personal knowledge and it cannot be presumed that the signatory knew that his co-petitioners had the same or similar actions filed or pending. Hence, a certification which had been signed without the proper authorization is defective and constitutes a valid cause for the dismissal of the petition. Officers or employees who can sign Verification and Certification without a Board Resolution In the recent case of Cagayan Valley Drug Corporation v. Commissioner of Internal Revenue (G.R. No. 151413, February 13, 2008), the Court clarified the issue on whether the President of a corporation is authorized to sign the verification and certification against forum shopping, without need of a board resolution. In sum, we have held that the following officials or employees of the company can sign the verification and certification without need of a board resolution: (1) the Chairperson of the Board of Directors, (2) the President of a corporation, (3) the General Manager or Acting General Manager, (4) Personnel Officer, and (5) an Employment Specialist in a labor case.

It must be borne in mind that Sec. 23, in relation to Sec. 25, of the Corporation Code, clearly enunciates that all corporate powers are exercised, all business conducted, and all properties controlled by the board of directors. A corporation has a separate and distinct personality from its directors and officers and can only exercise its corporate powers through the board of directors. Thus, it is clear that an individual corporate fellester.blogspot.com officer cannot solely exercise any corporate power

pertaining to the corporation without authority from the board of directors. This has been our constant holding in cases instituted by a corporation.

In a slew of cases, however, we have recognized the authority of some corporate officers to sign the verification and certification against forum shopping. In Mactan-Cebu International Airport Authority v. CA (G.R. No. 139495, November 27, 2000, 346 SCRA 126, 132-133), we recognized the authority of a general manager or acting general manager to sign the verification and certificate against forum shopping; in Pfizer v. Galan (G.R. No. 143389, May 25, 2001, 358 SCRA 240, 246-248), we upheld the validity of a verification signed by an employment specialist who had not even presented any proof of her authority to represent the company; in Novelty Philippines, Inc. v. CA (G.R. No. 146125, September 17, 2003, 411 SCRA 211, 217-220), we ruled that a fellester.blogspot.com personnel officer who signed the petition but did not attach the authority from the company is authorized to sign the verification and non-forum shopping certificate; and in Lepanto Consolidated Mining Company v. WMC Resources International Pty. Ltd (Lepanto) (G.R. No. 153885, September 24, 2003, 412 SCRA 101, 109), we ruled that the Chairperson of the Board and President of the Company can sign the verification and certificate against non-forum shopping even without the submission of the boards authorization.

While the above cases do not provide a complete listing of authorized signatories to the verification and certification required by the rules, the determination of the sufficiency of the authority was done on a case-to-case basis. The rationale applied in the foregoing cases is to justify the authority of corporate officers or representatives of the corporation to sign the verification or certificate against forum shopping, being in a position to verify the truthfulness and correctness of the allegations in the petition.

Section 4. Verification. Pleadings need NOT be verified EXCEPT when otherwise provided by the law or rules. A verification must now be based on personal knowledge or based on authentic records.

Section 5. Certification against forum shopping. FORUM SHOPPING the filing of a two or more cases based on the same cause of action in different courts for the purpose of obtaining a favorable decision in either. Test to determine the presence of forum-shopping: whether in the two (or more) cases pending, there is identity of (a) parties, (b) rights or causes of action, and (c) reliefs sought. The certificate is to be executed by petitioner, and not by counsel.

Required ONLY for complaints or initiatory pleadings. Certificate of non-forum shopping is not required in a compulsory counterclaim (UST Hosp. vs. Surla). EFFECT OF FAILURE TO COMPLY: 1. Not curable by amendment of said pleading 2. shall be cause for the dismissal of the case, without prejudice, unless otherwise provided, upon motion and after hearing

EFFECT OF SUBMISSION OF FALSE CERTIFICATION OR NON-COMPLIANCE WITH THE UNDERTAKINGS THEREIN: 1. indirect contempt 2. administrative and criminal actions EFFECT OF WILFULL AND DELIBERATE FORUM SHOPPING: 1. shall be ground for summary dismissal of the case with prejudice; 2. direct contempt.

Moreover, in any case, it is settled that the requirements of verification and certification against forum shopping are not jurisdictional. Verification is required to secure an assurance that the allegations in the petition have been made in good faith or are true and correct, and not merely speculative. Non-compliance with the verification requirement does not necessarily render the pleading fatally defective, and is substantially complied with when signed by one who has ample knowledge of the truth of the allegations in the complaint or petition, and when matters alleged in the petition have been made in good faith or are true ad correct. On the other hand, the certification against forum shopping us required based on the principle that a party litigant should not be allowed to pursue simultaneous remedies in different fora. While the certification requirement is obligatory, non-compliance or a defect in the certificate could be cured by its subsequent correction or submission under special circumstances or compelling reasons or on the ground of substantial compliance. Sps. Eugene L. Lim and Constancia Lim v. The Court of Appeals-Mindanao Station, et al.; G.R. No. 192615, January 30, 2013

IN CASE OF CORPORATIONS there should be a Board Resolution or a secretarys certificate confirming authority to sign for the corporation.

Where the petitioner is a corporation, the certification against forum shopping should be signed by its duly authorized director or representative. This was enunciated in Eslaban, Jr. v. Vda. de Onorio, where the Court held that if the real party-in-interest is a corporate body, an officer of the corporation can sign the certification against forum shopping so long as he has been duly authorized by a resolution of its board of directors. Likewise, where there are several petitioners, it is insufficient that only one of them executes the certification, absent a showing that he was so authorized by the others. That certification requires personal knowledge and it cannot be presumed that the signatory knew that his co-petitioners had the same or similar actions filed or pending. Hence, a certification which had been signed without the proper authorization is defective and constitutes a valid cause for the dismissal of the petition. Officers or employees who can sign Verification and Certification without a Board Resolution In the recent case of Cagayan Valley Drug Corporation v. Commissioner of Internal Revenue (G.R. No. 151413, February 13, 2008), the Court clarified the issue on whether the President of a corporation is authorized to sign the verification and certification against forum shopping, without need of a board resolution. In sum, we have held that the following officials or employees of the company can sign the verification and certification without need of a board resolution: (1) the Chairperson of the Board of Directors, (2) the President of a corporation, (3) the General Manager or Acting General Manager, (4) Personnel Officer, and (5) an Employment Specialist in a labor case. It must be borne in mind that Sec. 23, in relation to Sec. 25, of the Corporation Code, clearly enunciates that all corporate powers are exercised, all business conducted, and all properties controlled by the board of directors. A corporation has a separate and distinct personality from its directors and officers and can only exercise its corporate powers through the board of directors. Thus, it is clear that an individual corporate fellester.blogspot.com officer cannot solely exercise any corporate power pertaining to the corporation without authority from the board of directors. This has been our constant holding in cases instituted by a corporation. In a slew of cases, however, we have recognized the authority of some corporate officers to sign the verification and certification against forum shopping. In Mactan-Cebu International Airport Authority v. CA (G.R. No. 139495, November 27, 2000, 346 SCRA 126, 132-133), we

recognized the authority of a general manager or acting general manager to sign the verification and certificate against forum shopping; in Pfizer v. Galan (G.R. No. 143389, May 25, 2001, 358 SCRA 240, 246-248), we upheld the validity of a verification signed by an employment specialist who had not even presented any proof of her authority to represent the company; in Novelty Philippines, Inc. v. CA (G.R. No. 146125, September 17, 2003, 411 SCRA 211, 217220), we ruled that a fellester.blogspot.com personnel officer who signed the petition but did not attach the authority from the company is authorized to sign the verification and non-forum shopping certificate; and in Lepanto Consolidated Mining Company v. WMC Resources International Pty. Ltd (Lepanto) (G.R. No. 153885, September 24, 2003, 412 SCRA 101, 109), we ruled that the Chairperson of the Board and President of the Company can sign the verification and certificate against non-forum shopping even without the submission of the boards authorization. While the above cases do not provide a complete listing of authorized signatories to the verification and certification required by the rules, the determination of the sufficiency of the authority was done on a case-to-case basis. The rationale applied in the foregoing cases is to justify the authority of corporate officers or representatives of the corporation to sign the verification or certificate against forum shopping, being in a position to verify the truthfulness and correctness of the allegations in the petition.