Conflict of Laws Syllabus FEU DLSU 2014

FEU-DLSU JD-MBA PROGRAM
2
ND
TRIMESTER SY 2012
Course Tite: PRI!ATE INTERNATIONAL LA"
I#stru$tor% ENRI&UE !' DELA CRU() JR'
1
COURSE DESCRIPTION
The course deals primarily with conflict of law rules under Philippine law, and the
relevant principles and case law which deserve the attention of law students, particularly
the areas most frequently asked in the bar exams.
The course begins with a discussion of the general principles of private
international law and the corresponding cases, which provide an overview of the entire
subject matter. detail treatment of the different subject areas will follow, including the
concepts of jurisdiction, choice of law, choice of forum, characteri!ation, nationality,
domicile, renvoi, personal status and capacity, family law, contracts, international sale of
goods, conflict laws in torts, foreign corporations, and enforcement of foreign judgment.
GRADING SYSTEM%
"lass #tanding $%&
Preliminary 'xaminations (%&
)inal 'xaminations *+&
,++&
Class standing includes attendance, quizzes and other written works, which may
be assigned from time to time.
For purposes of marking exams and quizzes (essays), the passing score is !
points.
COURSE REFERENCE%
#tudents are not required to buy any book for this class. -owever, students may
use as course reference, two .$/ books .any edition/: *CONFLICT OF LA"S+, by 0orge
1. "oquia and 'li!abeth . Pangalangan2 and *PRI!ATE INTERNATIONAL LA"+, by
0ovito 1. #alonga.
COURSE OUTLINE ,"IT- CASE LIST.%
General Principles:
&% "/0t is Pri10te I#ter#0tio#0 L023
A% Part of municipal law of a #tate which directs its courts and administrati"e agencies,
when confronted with a legal problem involving foreign element, whether or not they
should apply foreign law3s or not.
1
tty. 4ela "ru! obtained his M0ster o4 L02s i# I#ter#0tio#0 5 Co670r0ti1e Busi#ess 02 (with #istinction) from the
5ondon 6etropolitan 7niversity, and a Di7o60 i# I#ter#0tio#0 Tr08e L02 from the 7niversity "ollege 5ondon, 7.8., as a
"hevening scholar of the 9ritish government. :n 4ecember $++$, he completed a )ellowship on 5eadership and
I#ter#0tio#0 Re0tio#s at the 0ohn ). 8ennedy #chool of ;overnment, -arvard 7niversity, 7#. :n $++,, he obtained his
M0sters i# Pu9i$ M0#0:e6e#t degree from the teneo #chool of ;overnment. -e earned his B0$/eor o4 L02s degree
($
rd
%onors) in $+++ and his AB Le:0 M0#0:e6e#t degree (cum laude) in ,<<=, both from the 7niversity of #anto Tomas
as a 1ector>s #cholar. -e is currently an elected 9oard 6ember of the $
nd
4istrict of 9ulacan. -e is also currently a Partner
at the Ponce 'nrile 1eyes ? 6analastas . www.P'"91.ph / 5aw @ffice in 6akati "ity.
Confict of Laws Syllabus
Atty. Enrique V. dela Cruz, Jr.
&% "/0t 0re t/e Fu#$tio#s o4 Pri10te I#ter#0tio#0 L023
A%
,. 4etermination of which country has jurisdiction
$. pplicability of a particular place of either the local or foreign law
(. 4etermination of the force, validity ? effectiveness of a foreign judgment
&% -o2 is Pri10te Disti#:uis/e8 4ro6 Pu9i$ I#ter#0tio#0 L023
A%
,. &onist school A 9oth subjects are essentially the same, because they manifest a
single concept of law, ultimately addressed to the same individual.
'. #ualist (chool
Pri10te I#ter#0tio#0
L02
Pu9i$ I#ter#0tio#0 L02
N0ture 6unicipal in character :nternational in character
Perso#s I#1o1e8 Private individuals
#overeign states and other
entities possessed of international
personality
Tr0#s0$-
tio#s
I#1o1e8
Private transactions b3w
private individuals
Transactions w3 generally affect
public interest2 or of interest only
to sovereign states
Re6e8ies;
S0#$tio#s
1esort to municipal
tribunals
1emedies may be peaceful or
forcible
&% "/0t 0re t/e P/ii77i#e Co#4i$t Rues Fou#8 i# t/e Ci1i Co8e3
A%
Arti$e De4i#i#: Poi#ts
1< Territoriality Principle
BPenal laws and those of public security and safety shall be obligatory upon
all who live or sojourn in the Philippines, subject to the principles of
international law and treaty stipulations.C
1= Dationality Principle
B5aws relating to family rights and duties, or to the status, condition, and
legal capacity of persons are binding upon citi!ens of the Philippines, even
though living abroad.C
1> 5ex 1ei #itae
B1eal property as well as personal property is subject to the law of the
country where it is situated.C
1? 5ex 5oci "elebrationis
BThe forms and solemnities of contracts, wills, and other public instruments
shall be governed by the laws of the country in which they are executed.C
21)FC Ehen either or both of the parties to a marriage are aliens, it is necessary,
before securing marriage license, to provide themselves w3 certificate of
legal capacity to contract marriage.
2>)FC ll marriages solemni!ed outside Philippines in accord w3 the law in force
in the country where they are solemni!ed, and valid there as such, shall
also be valid here except those prohibited under rts (% .,/, .*/, .%/, .=/,
(=,(F, (G of )".
@0)FC )n absence of contrary stipulation in a marriage settlement, property
relations of spouses shall be governed by Philippine laws regardless of the
place of the celebration of marriage? their residence
@1= *he will of a Filipino in a foreign country, provided he is authori!ed to make
a will in any of the forms established in the country where he is, may be
probated in the Philippines
@1> Eill of an alien produces effect in the Philippines if made w3 formalities
prescribed by law of the place where he resides, or of his own country, or
2
of the "ivil "ode of the Philippines
@1? )f an alien makes a will in the +hilippines in accord w3 formalities prescribed
by the laws of his country, his will shall have same effect as if executed
according to Philippine laws
@1A ,oint wills executed by )ilipinos in a foreign country will not be valid
@2A -e"ocation of will done outside +hilippines by person who does not have
his domicile here is valid when done according to the law of the place
where testator had his domicile at the time
10BA Capacity to succeed is governed by decedent>s national law
1?=B .aw of the country to w/c goods are to be transported shall govern the
liability of the common carrier for their loss, destruction or deterioration
CASES:
9ank of merica v. "ourt of ppeals, ;.1. Do. ,$+,(%, 6arch (,, $++(
Phil. 'xport and )oreign 5oan ;uarantee "orp., v. H.P. 'usebio "onstruction, :nc.,
;.1. Do. ,*++*F, 0uly ,(, $++*
Dorthwest @rient irlines, :nc., v. ", ;.1. Do. ,,$%F(, )ebruary <, ,<<%
#audi rabian irlines v. "ourt of ppeals, ;.1. Do. ,$$,<,, @ctober G, ,<<G
9ienvenido 6. "adalin v. P@', ;.1. Do. ,+*FF=, 4ecember %, ,<<*
Jurisdiction, Choice of Law, and Forum Non Conveniens
&% "/0t "i t/e Court Do i4 it is Co#4ro#te8 2it/ 0 C0se I#1o1i#: 0 Forei:#
Ee6e#t3
A% :f the court is faced with a case involving a foreign element, it should first determine:
,. Ehether it has jurisdiction over the case2
$. :f it has no jurisdiction, it should be dismissed on that ground2
(. :f it has jurisdiction, the court will determine whether it should assume jurisdiction,
or it should dismiss the case on the ground of forum non conveniens2
*. @nce the court has determined it has jurisdiction over the case, it will next
determine whether to apply the internal law of the forum or apply the proper
foreign law.
&% "/0t is Forum Non Conveniens3
A% The refusal to assume jurisdiction because it would prove inconvenient for the forum.
&% "/0t 0re t/e Re0so#s "/C 0 Court "i Dis6iss t/e C0se o# t/e B0sis o4 Forum
Non Conveniens3
A% ,EDB-CIID.
,. Evidence and witnessess may not be readily available in the forum2
$. "ourt 8ockets of the forum are already clogged that would hamper the speedy
administration of justice2
(. The matter can be 9etter tried and decided in another forum2
*. To $urb the evils of forum shopping2
%. The forum has no particular interest in the case, as when the parties are not
citi!ens of the forum or are residents elsewhere2
=. Inadequacy of the local judicial machinery in effectuating the right sought to be
enforced2
F. Difficulty in ascertaining the foreign law applicable.
&% "/e# C0# I#ter#0 or Do6esti$ 02 Be A77ie83
3
A% ENE
,. 5aw of forum expressly so provides in its conflicts rule
$. Proper foreign law has #ot been properly pleaded and proved
(. "ase involves any of the exceptions to the application of proper foreign law.
0hen the foreign law, 1udgment or contract is2 CCPPF!"N
a. Contrary to sound and established policy of the forum
b. Contrary to almost uni"ersally conceded principles of morality (contra
bonos mores)
c. :nvolves 7rocedural matters
d. :nvolves 7enal laws, contracts, judgments
e. Purely 4iscal or administrative matters
f. :nvolves real or personal property situated in the forum
0hen application of the foreign law, 1udgment or contract2
g. 6ay work undeniable injustice to the citi!ens3residents of the forum
h. 6ay work against vital interests ? #ational security of the state of the forum
&% "/0t 0re t/e T/eories o# "/C t/e Forei:# L02 M0C 9e Gi1e# E44e$t3
A%
3. *heory of Comity A 1ecognition w3c a nation allows w3in its territory, to the
legislative, executive, or judicial acts of another nation, having due regard to
both international duty ? convenience and to the rights of its citi!ens, of other
persons under its protection
4inds of Comity2
a. "omity based on reciprocity
b. "omity based on the persuasiveness of the foreign judgment
'. *heory of 5ested -ights A To enforce not the foreign law or foreign judgment
itself but the simply the vested rights that have been vested under such foreign
law or judgment
$. *heory of .ocal .aw A To apply foreign law, not because it is foreign, but
because our own rules by applying similar rules require us to do so, hence it is
as if the foreign law has become part ? parcel of our own local law
6. *heory of %armony of .aw A To apply the foreign law so that wherever a case
is decided, that is, irrespective of the forum, the solution should be
approximately the same, as such, identical or similar problems must have
identical or similar solutions somewhere
!. *heory of ,ustice I Purpose of all laws is the dispensation of justice, if this can
be attained by applying the proper foreign law, then we must do so
CASES:
#antos ::: v. Dorthwest @rient irlines, :nc., ;.1. Do. ,+,%(G, 0une $(, ,<<$
"ommunications 6aterials and 4esign v. ", ;.1. Do. ,+$$$(, ugust $$, ,<<=
)irst Philippine :nternational 9ank v. ", ;.1. Do. ,,%G*<, 0anuary $*, ,<<=
Characteri#ation, Nationalit$, %omicile, and !envoi
&% "/0t 0re Co#4i$t Rues3
4
A% Provisions found in a country>s own law which govern factual situations possessed of
foreign element.
4inds2
a. 7ne8sided rule I :ndicates when Philippine internal law will apply .e.g. rt. ,% "."./
b. 9ll8sided rule I :ndicates when foreign law is to be applied .e.g. rt. ,=/
&% "/0t 0re t/e T/eories o# Perso#0 L02 or t/e L02 t/0t S/ou8 Go1er# St0tus
0#8 C070$itC i# Ge#er03
A%
,. :ationality theory A 9y virtue of which the status and capacity of an individual are
generally governed by the law of his nationality .+ersonal theory)
$. #omiciliary theory A #tates the law of the domicile as the proper determinative law
on status and capacity .*erritorial theory)
(. (itus theory A Hiews the particular place or situs of an event or transaction as
generally the controlling law .;clectic theory/
Note: :n this jurisdiction, we adhere to the Dationality theory .rt ,%2 $
nd
par., rt ,=2 also
rt. ,+(< "."./.
&% "/0t is Do6i$ie3
A% :t is the place with which a person has a settled connection for certain legal purposes,
either because his home is there or because that is the place assigned to him by law.
&% "/0t 0re t/e B0si$ Pri#$i7es o4 Do6i$ie3
A:
,. Do natural person can ever be without a domicile.
$. That a person can have but one domicile at a time.
(. 'very natural person, free and sui juris, may establish and change his domicile.
*. domicile once acquired is retained until a new one is gained.
%. The presumption is in favor of continuance of an existing domicile.
&% "/0t 0re t/e < Esse#ti0 ReDuisites Nee8e8 i# Or8er to A$Duire 0 Do6i$ie o4
C/oi$e3
A% CAFI
,. Capacity
$. Actual physical presence in the place chosen
(. Freedom of choice
*. Provable intent that it should be one>s fixed and permanent place of abode A one>s
home A that is, there should be Banimus manendiC .intent to remain/ or Banimus
nonIrevertendiC .intent not to return to the original abode/.
&: %efine: Co'novit, (orrowin' Statute, Characteri#ation, %octrine of Forum Non
Conveniens, Lon' Arm Statute, Conflicts Case)
A:
Co'novit I "onfession of judgment whereby a portion of the complaint is confessed by
the defendant who denies the rest thereof.
(orrowin' Statute A 5aws of the state on jurisdiction used by another state in deciding
conflicts question involved in the choice of law. :t directs the state of the forum to apply the
foreign statute of limitations to the pending claims based on the foreign law and has the
practical effect of treating the foreign statute of limitations as one of substance. :t bars the
5
filing of a suit in the forum if it is already barred by the statute of limitations in the place
where the cause of action arose. Thus, when the country has a borrowing statute, the
characteri!ation of a statute into a procedural or substantive law becomes irrelevant.
Characteri#ation I @therwise called classification or qualification. :t is the process of
assigning a disputed question to its correct legal category. (,<<* 9ar Juestion/
Forum Non Conveniens I Principle in private international law that where the ends of
justice strongly indicate that the controversy may be more suitably tried elsewhere, then
jurisdiction should be declined and the parties relegated to relief to be sought in another
forum. (,<<* 9ar Juestion)
Lon' Arm Statute I legislative act which provides for personal jurisdiction, via
substituted service or process over persons or corporations which are nonIresidents of the
state and which voluntarily go into the state directly or by agent or communicate with
persons in the state for limited purposes, in actions which concern claims relating to
performance or execution or those purposes2 5ongIarm statute refers simply to authori!ed
substituted service.
Ehere the factual antecedents satisfactory establish the existence of a foreign element,
the problem could present a conflicts case. factual situation that cuts across territorial
lines and is affected by the diverse laws of two or more states is said to contain a Bforeign
element.C
DOMICILE OF ORIGIN 0#8
CONSTRUCTI!E DOMICILE
DOMICILE OF ORIGIN CONSTRUCTI!E DOMICILE
cquired at birth ;iven after birth
pplies only to infants 1efers to all those who lack capacity to choose
their domicile: infants, idiots and the insane.
:e"er changes &ay change from time to time.
&% "/0t 0re t/e Le:0 C0ssi4i$0tio#s o4 Do6i$ie3
A%
,. #omicile of origin A the domicile of a person>s parents at the time of birth
$. Constructi"e domicile A domicile established by law after birth in case of persons
under legal disability, regardless of their intention or voluntary act
(. #omicile of Choice A is the place voluntarily chosen by a person sui juris as his
home and to which, whenever he is absent, he has the intention to return
CASES:
Paula T. 5lorente v. "ourt of ppeals, ;.1. Do. ,$*(F,, Dovember $(, $+++
0uan )rivaldo v. "@6'5'", ,F* #"1 $*% .,<G</
:melda 6arcos v. "@6'5'", ;.1. Do. ,,<<F=, #eptember ,G, ,<<%
gapito quino v. "@6'5'", ;.1. Do. ,$+$=%, #eptember ,G, ,<<%
9sistio ". 9guirre, <.-. :o. 3=33'6, 9pril ', '>3>
CITI(ENS-IP
Arti$e I!) 1A@? Co#stitutio#
6oy Ka 5im Kao v. "ommissioner of :mmigration, *, #"1 $<$.
:n 1e: "hing, 9ar 6atter Do. <,*, @ctober +,, ,<<<.
6
"o v. -1'T, ;.1. Dos. <$,<,I<$. 0uly (+, ,<<,.
)rivaldo v. "@6'5'", ;.1. Do. ,$+$<%. 0une $G, ,<<=.
6ercado v. 6an!ano, (+F #"1 =(+.
9engson ::: v. -1'T, ;.1. Do. ,*$G*+. 6ay F, $++,.
Tecson v. "@6'5'", ;.1. Do. ,=,*(*, 6arch +(, $++*.
Cordora ". C7&;.;C, <.-. :o. 3?=6, February 3=, '>>=
,apson ". C7&;.;C, <.- .:o. 3@>>@@, ,an. 3=,'>>=
:estor 9. ,acot ". -ogen *. #al and C7&;.;C, <.-. :o. 3=@6@, :o".', '>>@
6ercado v. 6an!ano, (+F #"1 =(+ .,<<</
Halles v. "@6'5'", ((F #"1 %*( .$+++/
Teodora #obejanaI"ondon v. "@6'5'", ;1 Do. ,<GF*$, ugust ,+, $+,$
1ommel 0alosjos v. "@6'5'", ;.1. Do. ,<,<F+, pril $*, $+,$
#vetlana 0alosjos v. "@6'5'", ;.1. D@. ,<((,*. )'9171K $=, $+,(
1'K'# v. "@6'5'", ;.1. Do. $+F$=*. 0une $%, $+,(.
6aquiling v. "@6'5'", ;.1. Do. ,<%=*<. pril ,=, $+,(
*FA*"L+ LA, - PE!S.NAL CAPAC"/++
Ge#er0 Rue% 7nder rticle $= of the )amily "ode, all marriages solemni!ed outside
the Philippines in accordance with the laws in force in the country where they were
solemni!ed and valid there as such, is also valid in the Philippines.
E0ception: :f the marriage is void under Philippine law, then the marriage is void even
if it is valid in the country where the marriage was solemni!ed.
CASES:
4e 4ios "arlos v. #andoval, ;.1. Do. ,F<<$$, 4ecember ,=, $++G
;race ;arcia v. 1ederick 1ecio, ;.1. Do. ,(G($$, @ctober (, $++,
1epublic v. @rbecido :::, ;1. Do. ,%*(G+, @ct. %, $++%
1epublic v. :yoy, ;.1. Do. ,%$%FF, #ept. $,, $++%
)e Juita v. "ourt of ppeals, ;.1. Do. ,$*G=$, 4ecember $$, ,<<G
:melda Pilapil v. "orona :bayI#omera, ;.1. Do. G+,,=, 0une (+, ,<G<
lice 1eyes Han 4orn v. 6anuel 1omillo, ;.1. Do. 5I=G*F+, @ctober G, ,<G%
"orpu! v. #anto Tomas, ;.1. Do. ,G=%F,, ugust ,,, $+,+
SUCCESSION
7
Art. 26. FAMILY CODE. All marriages solemnized outside the
Philippines in accordance with the laws in force in the country
where they were solemnized, and valid there as such, shall also be
valid in this country, except those prohibited under Articles 35(!,
("!, (5!, and (#!, 3#, 3$, and 3%.
Art. 16, CIVIL CODE. &eal property as well as personal
property is sub'ect to the law of the country where it is stipulated.
(owever, intestate and testamentary successions, both with
respect to the order of succession and to the amount of successional
rights and to the intrinsic validity of testamentary provisions, shall be
regulated by the national law of the person whose succession is under
consideration, whatever may be the nature of the property and
regardless of the country wherein said property may be found.
rt. G,=. The will of an alien who is abroad produces effect in the Philippines if
made with the formalities prescribed by the law of the place in which he resides, or
according to the formalities observed in his country, or in conformity with those
which this "ode prescribes.
rt. G,F. will made in the Philippines by a citi!en or subject of another country,
which is executed in accordance with the law of the country of which he is a citi!en
or subject, and which might be proved and allowed by the law of his own country,
shall have the same effect as if executed according to the laws of the Philippines.
Probate is an adjudication that the last will and testament of a person was
executed with all the formalities required by law.
:t does not pass upon the validity of the provision of the will. .authentication only/
The disallownace of a will being essentially procedural in character, the law of the
forum will govern procedural matters.
-owever, the court will look into the law of the foreign state where the suit was
made as to whether the extrinsic requirements in the execution of the will have
been complied with .rt. ,F, G,= and G,F "."./.
&' M0C 0 2i o4 0# 0ie# 7ro8u$e e44e$t i# t/e P/ii77i#es3 EE70i#'
D#: Kes. The will of an alien who is abroad produces effect in the Philippines if made
with the formalities prescribed by the law of the place in which he resides, or according to
the formalities observed in his country, or in conformity with those which this "ode
prescribes. .rt. G,=, D""/. Proof that the will conforms to the laws mentioned is
imperative. .#alud Teodoro Hda. 4e Pere! vs. -on. Tolete, %$ #"4 *=, ;.1. Do. F=F,*,
0une $, ,<<*/.
&' -o2 $0# 0 2i eEe$ute8 09ro08 9e 608e e44e$ti1e i# t/e P/ii77i#es3
D#: will made in a foreign country may be probated in the Philippines after sufficient
proof is presented showing that the will was duly executed in the manner required by law
and that the testator had testamentary capacity at the time he executed the will.
&' "/0t e1i8e#$e 0re #e$ess0rC 4or t/e 0o20#$e o4 2is 2/i$/ /01e 9ee#
7ro90te8 outsi8e o4 t/e P/ii77i#es3

D#: The evidence necessary for the allowance of wills which have been probated
outside of the Philippines are as follows:
.,/ the due execution of the will in accordance with the foreign laws2
.$/ the testator has his domicile in the foreign country and not in the Philippines2
.(/ the will has been admitted to probate in such country2
.*/ the fact that the foreign tribunal is a probate court2 and
.%/ the laws of a foreign country on procedure and allowance of wills .#untay v.
#untay, <% Phil. %++ L,<%*M2 )luemer v. -ix, %* Phil. =,+ L,<(+M/.
&% "/0t is t/e Me0#i#: o4 *!envoi+3
A% )rench word which means Breferring backC. :t is a term used in "onflicts of 5aws to
denote the phenomenon where the conflicts rule of the forum makes a reference to a
8
foreign law, but the foreign law is found to contain a conflict rule that returns or refers back
the matter to the law of the forum.
CASES:
5lorente v. "ourt of ppeals, ;.1. Do. ,$*(F,. Dovember $(, $+++.
!nar v. ;arcia, ;.1. Do. 5I,=F*<. 0anuary (,, ,<=(.
P": 9ank v. 'scolin, ;.1. Dos. 5I$FG=+ ? 5I$FG<=. 6arch $<, ,<F*.
&% "/0t "i t/e Court Do) i4 it is Co#4ro#te8 2it/ 0 C0se 2it/ 0 *!envoi+ Pro9e63
A%
,. -e1ect the ren"oi I -ere we do not want the referring back to us A so we apply the
foreign internal law.
$. 9ccept the ren"oi I -ere we welcome the reference back to us A so we apply our
internal law/.
(. Follow the *heory of #esistment I lso referred to as &utual #isclaimer of
,urisdiction *heory I hence we follow our own internal law.
*. &ake use of the Foreign Court *heory I This means that the Philippine court will
put itself in the position of the foreign court A and whatever the foreign court will
do respecting the case, the Philippine court will do likewise.
&% "/0t is Dou9e !envoi3
A% :t is what occurs when the local court, in adopting the foreign court theory, discovers
that the foreign court accepts the ren"oi .hence ultimately, it is the foreign internal law that
will be used.
&% "/0t is Tr0#s6issio#3
A: :t is the process of applying the law of a foreign state through the law of a second
foreign state.
&% "/0t 0re t/e Di44ere#$es 9et2ee# !envoi ,si#:e or 8ou9e. 0#8 Tr0#s6issio#3
A%
Re#1oi Tr0#s6issio#
4eals with ' countries 4eals with $ or more countries
4eals with Areferring backB 4eals with Areferring acrossB or AtransmittingB
RE!OCATION OF "ILLS
9eing a unilateral and purely personal act, a will is revocable at any time before
the death of the testator. ny waiver or restriction of this right is void .rt. FGG/.
7nder rt. G$< of the "ivil "ode, a revocation done outside the Philippines, by a
person who does not have a domicile in this country, is valid when it is done
according to: .i/ 5ex loci celebrationis or .ii/ lex domicilii
9
:f the revocation is done outside the Philippines by one domiciled here, then the
governing law is either Philippine law or the law of the place of revocation.
:f the revocation takes place in the Philippines .regardless of nationality/, then
Philippine law will apply.
TORTS
&% "/0t L02 Go1er#s Li09iitC 4or Torts3
A% The law of the place where the alleged tort was committed will govern. (lex loci delicti
commissi)
&% "/0t is t/e O9i:0tio# T/eorC3
A% The tortuous act gives rise to an obligation which is transitory and follows the person
committing the tortuous act and maybe enforced wherever he may be found.
&% "/0t is t/e P/ii77i#e Rue Re:0r8i#: Tort Pro9e6s Brou:/t i# t/is
Juris8i$tio#3
A% :f the tort law of the Philippines embodies a social or economic policy, then the law of
the forum on torts shall be applied. :f the Philippines has no concern or interest in the
application of the internal law, and the other #tate have an interest, apply the law of such
#tate.
Note% The #tate where an injury has occurred has interest in compensating the injured
party, while the #tate where the tortfeasor has acted has an interest in regulating the
conduct of persons found in its territory.
Contracts and Forei'n Corporations
CASES:
5a "hemise 5acoste v. @scar )ernande!, ;.1. Do. =(F<=, 6ay $,, ,<G*
"olumbia Pictures v. "ourt of ppeals, ;.1. Do. ,,+(,G, ugust $G, ,<<=
von :nsurance Plc v. "ourt of ppeals, ;.1. Do. <F=*$, ugust $<, ,<<F
gilent Technologies #ingapore v. :ntegrated #ilicon Technology Phil>s., ;.1. Do.
,%*=,G, pril ,*, $++*
Ar1itration and Enforcement of Forei'n Jud'ment
RECOGNITION 5 ENFORCEMENT OF FOREIGN JUDGMENT
&% Disti#:uis/ Re$o:#itio# 4ro6 E#4or$e6e#t o4 Forei:# Ju8:6e#t3
A%
Re$o:#itio# o4 Forei:# Ju8:6e#t E#4or$e6e#t o4 Forei:# Ju8:6e#t
10
Art. 17. CIVIL CODE. )he forms and solemnities of contracts, wills,
and other public instruments shall be governed by the laws of the country
in which they are executed.
*hen the acts referred to are executed before the diplomatic or
consular officials of the &epublic of the Philippines in a foreign country,
the solemnities established by Philippine laws shall be observed in their
execution.
Prohibitive laws concerning persons, their acts or property, and
those which have for their ob'ect public order, public policy and good
customs shall not be rendered ineffective by laws or 'udgments
promulgated, or by determinations or conventions agreed upon in a
foreign country.
The defendant or respondent is presenting the
foreign judgment merely as a defense, on the
basis of res 1udicata
The plaintiff or petitioner wants the court to
positively carry out and make effective the
foreign judgment
:nvolves merely the sense of justice :mplies a direct act of sovereignty
4oes not require either an action or a special
proceeding
1equires a separate action brought precisely
to make the foreign judgment effective
&% "/0t 0re t/e ReDuisites 4or Re$o:#itio# or E#4or$e6e#t o4 0 Forei:# Ju8:6e#t3
A%
,. 6ust be a judgment of a 1udicial or quasi81udicial agency which is an impartial
tribunal2
$. 4efendant must be given a reasonable notice and opportunity to be heard2
(. 6ust be a judgment on a ci"il or commercial matter2
*. 6ust have disposed of the contro"ersy on the merits2
%. 6ust be final and executory to constitute as res 1udicata in another action2
=. 6ust not be contrary to the public policy or good morals of the country where it is
sought to be enforced2
F. 6ust not be barred by prescription in both states2
G. 6ust not be obtained by fraud, collusion, mistake of fact or law.
&% "/0t 0re t/e E44e$ts o4 0 Ju8:6e#t or Fi#0 Or8er o4 0 Forei:# Tri9u#0 or Court
i# C0se t/e Ju8:6e#t is Bei#: Sou:/t E#4or$e6e#t i# t/e P/ii77i#e Courts3
A%
,. :n case the 1udgment is on a specific thing A the judgment is conclusive upon the
title of the thing2
$. :n case the 1udgment is against a person A the judgment is a presumptive
evidence of a right between the parties and their successors in interest by a
subsequent title, which may be repelled by evidence of want of jurisdiction, want
of notice to the other party, collusion, fraud, or clear mistake of law or fact.
CASES:
siavest 6erchant 9ankers v. "ourt of ppeals, ;.1. Do. ,,+$=(, 0uly $+, $++,
Philsec :nvestment "orp., v. "ourt of ppeals, ;.1. Do. ,+(*<(, 0une ,<, ,<<F
Phil. luminum Eheels v. )#;: 'nterprises, ;.1. Do. ,(F(FG, @ct. ,$, $+++
;il 6iguel Puyat v. 1on Nabarte, ;.1. Do. ,*,%(=, )ebruary $=, $++,
@il ? Datural ;as "ommission v. ", ;.1. Do. ,,*($(, #eptember $G, ,<<<
6ijares v. -on. 1anada, ;.1. Do. ,(<($%. pril ,$, $++%
Juasha et al., v. "ourt of ppeals, ;.1. Do. ,G$+,(. 4ecember *, $++<
SC#o7sis o4 t/e Rues o# Re0 0#8 Perso#0 Pro7ertC
FACTUAL SITUATION POINT OF CONTACT
1' REAL PROPERTY . extrinsic and intrinsic
validity of alienation, transfers, mortgage,
capacity of parties, interpretation of
documents, effects of ownership, coI
ownership, accession, usufruct, lease
easement, police power, eminent domain,
taxation, quieting of title, registration, and
prescription/
EE$e7tio#s%
LeE rei sit0e ( 9rt. 3?, par. 3 Ci"il Code)
EE$e7tio#s%
a. Dational law of the decedent (9rt. 3?, par
', Ci"il Code).
b. Dational law of the decedent ( 9rt. 3>$=,
Ci"il Code)
c. the law intended will be the proper law of
the contract . lex loci voluntatis or lex loci
11
a. #uccessional rights
b. "apacity to succeed
c. contracts involving real
d. property but which do not deal with the
title thereto.
e. "ontracts where the real property is
given as security
intentiones/
d. The principal contract .usually loan/ is
governed by the proper law of the
contract A .lex loci voluntatis or the lex
loci intentionis/.
Note% The mortgage itself, however, is governed
by the lex rei sitae. There is a possibility that the
principal contract is valid but the mortgage is
void2 or it may be the other way around. :f the
principal contract is void, the mortgage would
also be void .for lack of proper cause for
consideration/ although by itself the mortgage
could have been valid.
2' TANGIBLE PERSONAL PROPERTY
.chose in possession/
a/ in general .see the things enumerated in
Do.,/
.'xceptionsI same as those for real property
.see Do.,//
b/ means of transportation
,. vessels
$. other means
c/ thing in transitu . these have a changing
status because they move/
,. loss, destruction, deterioration.
$. Halidity and effect of the goods.
(. disposition or alienage of the goods
a/ lex rei sitae ( 9rt. 3?, par.3, Ci"il Code).
EE$e7tio#s%
#ame as those for real property except that in the
example concerning the mortgage, the same
must be changed to a pledge of personal
property.
b/
,. the law of the flag . or in some case the place
of registry/
$. the law of the depot . storage place for
supplies/ or resting place
c/ The law of destination (9rt. 3!$, Ci"il Code)
,. 5ocus regit actum .where sei!ed/ A
because said place is their temporary
situs.
$. 5ex loci voluntatis or lex loci intentionis
because here there is a contract.
(. INTANGIBLE PERSONAL PROPERTY
,C/ooses i# A$tio#.
a. 1ecovery of debts or involuntary
assignment of debts .garnishment/
b. Holuntary assignment of debts
c. Taxation of debts
d. dministration of debts
e. Degotiability or nonInegotiability of an
instrument. bill of exchange,for
example/
f. Halidity of transfer, delivery or
negotiation of the instrument
g. 'ffect on a corporation of the sale of
corporate shares
h. 'ffect between the parties of the sale
corporate shares
i. Taxation on the dividends of corporate
shares
(. Ehere debtor may be effectively served with
summons . usually the domicile/
a. lex loci voluntatis or lex loci intentiones
. proper law of the contract/ other
theories:
,. national law of the debtor or
creditor
$. 4omicile of the debtor or the
creditor
(. lex loci celebrationis
*. lex loci solutionis
b. 4omicile of creditor
c. 5ex situs of assets of the debtor . for
these assets can be held liable for the
payment of the debts /
d. The right embodied in the instrument .for
example, in the case of a #wedish bill of
exchange, #wedish law determine its
negotiability/
e. :n general, situs of the instrument at the
time of transfer, delivery or negotiation
12
j. Taxation on the income from the sale
of corporate shares
k. )ranchise
l. ;oodwill of a business and taxation
thereon
m. Patents, copyrights, trademarks, trade
names.
f. 5aw of the place of incorporation
g. 5ex loci voluntatis or lex loci intentiones .
proper law of the contract/ A for this is
really a contract2 usually, this is the place
where the certificates is delivered
h. 5aw of the place of incorporation
i. 5aw of the place where the sale was
consummated
j. 5aw of the place that granted them.
k. 5aw of the place where the business is
carried on.
l. :n the absence of treaty, they are
protected only by the state that granted
them.
Note% )oreigners may sue on infringement of
trade names in the Philippines only if )ilipinos
granted reciprocal concessions in the state of the
foreigners
SC#o7sis o4 t/e Rues o# St0tus i# Ge#er0
9eginning of personality of
natural persons
Dational law of the child
(9rt. 3!, Ci"il Code)
Eays and effects of emancipation Dational law (9rt.3!)
ge of majority Dational law (9rt.3!)
7se of names and surnames Dational law (9rt.3!)
7se of Titles of nobility Dational law (9rt.3!)
bsence Dational law (9rt.3!)
Presumptions of death and
survivorship
5ex fori ((ee 9rt.6$,$=>,$=3, Ci"il CodeC
-ule 3$3, (ec !(11) -ules of Court)
)rom the above table, the status of a person depends on his national law. (9rt. 3!)
SC#o7sis o4 t/e Rues o# M0rri0:e 0s 0 Co#tr0$t
,. I4 $ee9r0te8 09ro08
.a/ between )ilipinos
.b/ between foreigners
.c/ 6ixed
.a/ lex loci celebrationis is without prejudice to the
exceptions under rt. $=,(% .,, *,%,=/, (=,(F and
(G
of the )amily "ode .bigamous,
polygamous and incestuous
marriages/ and consular marriages
b/ .ex loci celebrationis except if the marriage is
-ighly immoral .like bigamous and polygamous
marriages/ or 7niversally considered incestuous,
i.e., between brothers and sisters whole or halfI
blood.
.c/ apply .,Ib/ to uphold the validity of the
13
marriage
$. I4 $ee9r0te8 i# t/e P/ii77i#es
.a/ between foreigners
.b/ 6ixed
.a/ national law (9rt. '3, Family Code) provided
the marriage is not highly immoral or universally
considered incestuous/
.b/ Dational law of the )ilipino .otherwise public
policy maybe
militated against /
(. M0rri0:e 9C 7roEC . Dote: a
marriage by proxy is considered as where
the proxy appears/
(. 5ex loci celebrationis .with prejudice to the
foregoing rules/
SC#o7sis o4 t/e Rues o# M0rri0:e 0s 0 St0tus
Personal 1ights and @bligations between
-usband and Eife .mutual fidelity,
cohabitation, respect, assistance and
support2 right of wife to use husband>s
name2 duty to follow husband>s residence/
Dational law of the husband.
Property relations between -usband and
Eife
Dational law of the husband, without
prejudice to what the "ivil "ode provides
concerning the 1eal Property located in the
Philippines. (9rt.@>)
SC#o7sis o4 Rues o# A9soute Di1or$e
:f sought in the Philippines whether by
)ilipinos or by foreigners
5ex fori . therefore, will not be granted/
exception: 6oslem divorces
:f obtained abroad:
a/ between )ilipinos
b/ between foreigners
c/ 6ixed
a/ national law . therefore, not valid here
even if valid abroad2 and this is true
regardless of the cause of the divorce/
b/ national law . if valid in the #tate
granting it, and valid according to the
national law of the parties, will also be valid
here/ ( (ee 9rt. 3!, Ci"il Code)
c/ pply .a/ and .b/ respectively. #ee
however, rt. $=, second par. @f the )amily
"ode.
14
SC#o7sis o4 t/e Rues o# A##u6e#t o4 0 !oi809e M0rri0:e 0#8 t/e
De$0r0tio# o4 NuitC o4 0 !oi8 M0rri0:e
;rounds for annulment . if the marriage
is merely voidable/ and grounds for the
declaration of nullity .if the marriage is
void ab initio/
The law alleged to have been violated: in
other words, it is the law of the place of
celebration .lex loci celebrationis/ subject
to the exceptions, that furnishes the
grounds/
Note% The proper court to annul the marriage or to declare it null and void is the
court of the country of which the parties are nationals or domiciliaries.
Co#4i$ts rues o# So6e Grou#8s 4or Le:0 Se70r0tio#
Grou#8s 4or e:0 se70r0tio#
.a/dultery
.b/"oncubinage
.c/ttempt by one spouse against the
life of the other
N0tio#0 02 o4 t/e 70rties
.a/ :f of the same or common nationality A
the common national law governs
.b/ if of different nationalities A the
grounds given by both national law should all be
considered proper grounds.
Note% 1esidence requirement if suit is brought in the
Philippines:
.a/ if cause occurred in the Philippines A D@ residence
requirement
.b/ :f cause occurred out the Philippines A one year
residence in our country.( 9rt. ==, Ci"il Code)
SC#o7sis o4 Co#4i$t Rues o# P0ter#itC) A8o7tio#) Gu0r8i0#s/i7) 0#8 Fu#er0s
P0ter#itC 0#8 Fii0tio# .:ncluding
Parental and 1eciprocal #upport/ A
legitimacy, recognition, presumptions of
legitimacy, rights and obligations of
parents and children, including parental
authority, and reciprocal support.
a/ if legitimate A national law of the
father (9rt. 3!, Ci"il "ode/
b/ if :llegitimate A national law of the
mother unless recogni!ed by the father in which
case the national law of the father. (9rt. 3!, Ci"il
Code)
c/ determination of whether legitimate
or illegitimate . national law of the father, as a
rule/ 9rt. 3! of the Ci"il Code.
A8o7tio#I creation of the status of in general, national law of the adopter
15
adoption2 rights and obligations of adopter and
adopted. Note% :n the Philippines, adoption by a
)ilipino does not confer )ilipino
citi!enship to an adopted alien child.
Gu0r8i0#s/i7
a/ over the person
,. appointing court
$. powers of guardian
b/ over the property
,. appointing court
$. powers of guardian
c/ over the person and over the property
.general guardian/
a/
,. court of the domicile of the ward
$. coIextensive with those of the
appointing court . law of the appointing
state/
b/
,. the court where the property is found
.lex rei sitae/
$. "oIextensive with those of the
appointing court . law of the appointing
state/
c/ see (.a/ and (.b/
Fu#er0s- i#$i8e#ts t/ereo4 Ehere the body is buried.
SC#o7sis o4 Co#4i$t Rues o# "is) Su$$essio# 0#8 A86i#istr0tio#
EEtri#si$ !0i8itC o4 "is
a/ made by an alien abroad
b/ made by a )ilipino broad
c/ made by an alien in the Philippines
a/ lex nationalii or lex domicile or
Philippines law (9rt. @3?, Ci"il Code), or
5ex loci celebrationis .rt. ,F, par ,, "ivil
"ode/
b/ lex nationalii or lex loci celebrations
.9rt. @3!, Ci"il Code)
c/ lex nationalii or lex loci celebrations
.9rt. @3, Ci"il Code)
$. EEtri#si$ !0i8itC o4 Joi#t "is .made in
the same instrument/
a/ made by )ilipinos abroad
b/ made by aliens abroad
c/ made by aliens in the Philippines
a/ lex nationalii .is void even if valid where
made/ (9rt.@3=, Ci"il Code)
b/ valid if valid according to the lex
nationalii, or lex celebrationis or lex
domicilii ( (ee :o. 3 (a)C 9lso 9rt. @3=, Ci"il Code)
c/ lex loci celebrationis therefore void even if
apparently allowed by rt. G,FI because the
prohibition on joint wills is a clear expression of our
public policy/
I#tri#si$ !0i8itC o4 "is .including
order of succession, amount of successional
rights and intrinsic validity of the provisions of
the will/
5ex nationalii of the deceased regardless of the
location and nature of the property (9rt, 3?, par. ',
Ci"il Code)
C070$itC to su$$ee8 lex nationalii of the deceasedI not that
@f the heir .9rt.3>$= of the Ci"il Code)
16
Re1o$0tio# o4 "is
a/ :f done :D the Philippines
b/ :f done @7T#:4' the Philippines
,. by a D@DI4@6:":5:1K
$. by a 4@6:":5:1K of the Philippines
a/ lex loci actus . of the revocation/
.9rt@'=, Ci"il Code)
b/
,. 5ex loci celebrationis . of the making of
the will, not the revocation/, or lex domicilii (9rt.
@'=, Ci"il Code)
$. 5ex domicilii .Phil. 5aw or the lex loci actus . of
the revocation/ (9rt. 3, Ci"il
Code)
Pro90te o4 2is 608e 09ro08
if not yet probated abroad 5ex fori of the Philippines applies to the procedural
aspects A that isI the will must be fully probated
here and due execution must be shown
if already probated abroad lex fori of the Philippines again applies
to procedural aspectsI that is, the will must also be
probated hereI but instead of proving due
execution, generally it is
enough to ask for the enforcement here of the
foreign judgment on the probate
abroad.
EEe$utors 0#8 A86i#istr0tors
a/ where appointed
b/ powers
a/ place where domiciled at death or in
case of nonIdomiciliary, where assets are
found
b/ "oIextensive with the qualifying or the
appointing courtI that isI powers may be
exercised only within the territorial
jurisdiction of the court concerned.
Note% These rules also apply to principal,
domiciliary, or administrators and
receivers even in nonIsuccessional cases
SC#o7sis o4 Co#4i$ts Rues o# O9i:0tio#s 0#8 Co#tr0$ts
For60 or eEtri#si$ 10i8itC%
EE$e7tio#s%
a/ alienation and encumbrance
of property
b/ consular contracts
5ex loci celebrationis .9rt. 3, par.3, Ci"il Code)
a/ lex situs ( 9rt. 3?, par. 3, Ci"il Code)
b/ law of the Philippines .if made in
Philippine "onsulates/
C070$itC o4 t/e $o#tr0$ti#: 70rties
EE$e7tio#% alienation and encumbrance of
property
Dational law (art. 3!, Ci"il Code) without
prejudice to the case of :nsular <o"ernment ".
Frank, 3$ +hil. '$?, where the #upreme "ourt
adhered to the theory of 5ex loci celebrations.
The case is not clear whether )rank is a 7#
national. :f national law is applied, contract is
still valid.
EE$e7tio#%
5ex situs (9rt. 3?, par. 3Ci"il Code)
I#tri#si$ 10i8itC .including The proper law of the lex contractI the lex
17
interpretation of instruments, and amount of
damages for breach
contractus . in the broad sense/, meaning the
lex loci voluntatis or the lex loci intentionis
SC#o7sis o4 Co#4i$t Rues 4or S7e$i4i$ Co#tr0$ts
S0es 0#8 B0rter
a/ extrinsic validity
b/ capacity of parties
c/ intrinsic validity
a/ lex situs
b/ lex situs
c/ lex situs
Le0se o4 7ro7ertC
a/ lex situs
b/ lex situs
c/ lex situs
Le0se o4 Ser1i$es
a/ lex loci celebrationis
b/ national law
c/ lex loci voluntatis or lex loci intentiones
Co#tr0$t o4 Co66o# C0rri0:e o4 Goo8s
d/ liability for loss, destruction, or
deterioration of goods in transitu
a/ fixed situs of the carrier .depot or
resting place
b/ fixed situs of the carrier
c/ fixed situs of the carrier
d/ law of the destination (9rt. 3!$, Ci"il Code)
Co#tr0$t o4 A:e#$C
a/ lex loci celebrationis .unless the agency deals
with the conveyance or encumbering of propertyI
in which case the lex situs of the property applies/
b/ national law of the parties .unless the agency
deals with the conveyance or encumbering of
propertyI in which case the lex situs of the
property applies/
c/ lex loci voluntatis or lex loci intentionis .unless
the agency deals with the conveyance or
encumbering of propertyI in which case the lex
situs of the property applies/
Si67e Lo0# ,Mutuu6.
b/ national law
c/ lex loci voluntatis or lex loci intentionis
Co66o80tu6
a/ lex situs
b/ lex situs
c/ lex situs
Pe8:e) $/0tte 6ort:0:e) re0
6ort:0:e) 0#8 A#ti$/resis
a/ lex situs
b/ lex situs
c/ lex situs
Gu0r0#tC 0#8 SuretCs/i7
b/ national law
c/ lex loci voluntatis or lex loci intentionis
SC#o7sis o4 Co#4i$t Rues O# &u0si-Dei$ts
5iability and 4amages for Torts in ;eneral
5ex 5oci 4elicti commissi . law of the
place where the delict was committed/
18
#tate of the most significant contacts rule .#audia
v. "/
"hoice of law by the parties
Note% 5iability for foreign torts may be enforced in
the Philippines if:
a/ the tort is not penal in character
b/ if the enforcement of the tortuous liability will not
contravene our public policy
c/ if our judicial machinery is adequate for such
enforcement
SC#o7sis o4 Co#4i$t Rues o# Juri8i$0 7erso#s
CORPORATIONS
a/ powers and liabilities Ge#er0 L02 I law of the place of incorporation
EE$e7tio#s%
,/ )or constitutional purposes Ieven if the
corporation was incorporated in the Philippines,
it is not deemed a )ilipino corporation and
therefore cannot acquire land, exploit our
natural resources, and operate public utilities
unless =+& of the capital is )ilipino owned.
.:mportant: this statement has to be reconciled
with the holding in 5a 9ugal 9laan case/
$/ )or wartime purposes A here, we pierce the
veil of corporate identity and go to the
nationality of the controlling stockholders to
determine if the corporation is an enemy
corporation or not ,CONTROL
TEST;GRANDFAT-ER RULE.
b/ formation of the corporation: kind of stocks2
transfer of stocks to bind the corporation2
issuance, amount, and legality of dividends2
powers and duties of the members, stockholders
and officers
law of the place of incorporation
c/ validity of the corporate acts and contracts
.including ultra vires acts/
law of the place of incorporation and the law of
the place of performance
d/ right to sue and amenability to court processes
and suits against it.
5ex fori
e/ 6anner and effect of dissolution law of the place of incorporation provided that
the public policy of the forum is not militated
against
PARTNERS-IPS
a/ the existence or nonIexistence of legal
personality of the firm2 capacity to contract2
liability of the firm and the partners to third
persons
the personal law of the partnership that is A the
law of the place where it was created.
b/ creation of branches in the Philippines2 validly
and effect of branches2 commercial transaction2
and the jurisdiction of courts
Philippine law .rt.,% "ode of "ommerce/
c/ dissolution, winding up, and termination of
branches in the Philippines
Philippine law
d/ 4omicile #ee rule on "orporation
e/ 1eceivers Philippine law insofar as the assets in the
Philippines are concerned
19
f/ domicile f/ if not fixed by the law creating or recogni!ing
the corporation or by the any other provision A
the domicile is where its legal representation is
established or where it exercises its principal
functions.
g/ receivers .appointment and powers/ g/ principal receiver is appointed by the
courts of the state of incorporation.
CONFLICT OF LA"S TERMS
LeE Fori The law of the place where the court sits2 the law of the forum
LeE $0us0 The law which applies to resolve a given case
LeE situs The law of the place where the thing in question is situated
LeE rei sit0e The law of the place where the real property is situated.
Mo9ii0 seDuu#tur
7erso#06
The movable property follows the owner.
LeE Do6i$iii The law of the placed where a person is domiciled.
LeE 70tri0e The law of the country of which a person is national.
LeE 7erso#0i or
7erso#0 02
The law which governs the status or legal condition of a person in a society.
LeE o$i 0$tus The law of the place where an act or transaction takes place.
LeE o$i
$ee9r0tio#is
The law of the place where the marriage is celebrated.
LeE o$i
soutio#is
The law of the place where the contract is to be performed or where the
debt is to be paid.
LeE o$i
i#te#tio#is
The law intended or provided by the contracting parties to apply.
LeE o$i 8ei$ti
$o66issi
The law of the place where a wrong or tortuous act is committed.
LeE 10i80tis The law of the place that gives validity to an act or transaction.
LeE
$o#1e#ie#s
The most appropriate law applicable in the circumstances of the case.
20

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