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Agency Syllabus

Course Title

AGENCY, PARTNERSHIP & TRUST

Course Credit
Pre-requisites
Pre-requisites to
Type of Course
Faculty

:
:

Three (3) units

Obligations & Contracts
None
Major Subject

:
:
:

Atty. Crisostomo A. Uribe

Course Description :
Agency basically is covered by Book IV, Title X of the Civil Code of the Philippines. It
deals with the basic principles, rights and obligations of the parties to a contract of
agency; and the modes of extinguishment of this contract.

Course Objectives :
1.
Understand the basic principles applicable to contracts of agency.
2.
Identify the rights and obligations of parties to a contract of agency.
3.
Appreciate and apply these fundamental principles to actual business transactions.
4.
Encourage diligence and the observance of honesty and fair dealings at all times.

Course Outline

I.

HISTORICAL CONTEXT
A. World Context
B.

Philippine Context
1.
2.
3.
4.

Laws 28 and 32 Title 12, Partida 3

Spanish Civil Code (civil agency)
Spanish Code of Commerce (commercial agency)
Civil Code of the Philippines Art. 2270 (2)

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II.

NATURE, CONCEPT AND PURPOSE

A. Agency as a contract.
1. Definition
a. Art. 1868
b. Critique
i.
Espiritu, XV Lawyers Journal 297
ii. J.B.L. Reyes XVI Lawyers Journal138
c. Others definitions
2. Essential requisites / Elements Art 1318

Rallos v. Felix Go Chan & Sons Realty Corp. 81 SCRA 251

3. Characteristics
4.
B.

Purpose

Agency as a relation
1. Fiduciary character
2. Representative character

C.

Agency distinguished from/ compared with other relations

1. Partnership - Art. 1767
Esteban B. Bautista, Treatise on Philippine
Partnership Law, pp. 55-56
2. Lease of Work or Service -Art. 1644
2 C. J. S. 1029

Nielson & Co. v. Lepanto Consolidated Mining Co, 26 SCRA 540

De la Cruz v. Northern Theatrical. 95 Phil 739
3. Independent Contractor - Art 1713
Fressel v. Mariano Uy Chanco Sons & Co, 34 Phil 122
Shell Company v. Firemens Insurance 100 Phil. 757
Africa v. Caltex Phil. Inc., 16 SCRA 448
4. Negotiorum Gestio - Arts. 2144- 2145
De la Pea v. Hidalgo, 16 Phil . 450

5. Loans - Art. 1933

2 C. J. S. 1030
Jai Alai Corp. v BPI, 66 SCRA69
6. Sale - Art 1458
Quiroga v. Parsons Hardware, 38 Phil 501
Gonzalo Puyat and Sons v. Arco Amusement Co. 72 Phil 402
Velasco v. Universal Trading Co., 45 O.G. 4504
Ker & Co, v. Lingad, 38 SCRA 524
Far Easter Export & Import Co. v. Lim Teck Suan, 97 Phil. 171
Pearl Island Commercial Corp. v. Lim Tiang Tong, 101 Phil.789
Lim v. People, 133 SCRA 333
Green Valley Poultry & Allied Products Inc. v. IAC, 133 SCRA 697
Bert Osmea & Associates v. CA, 120 SCRA 395
7. Trusteeship - Art. 1440
2 C. J. S. 1034
8. Broker
Pacific Commercial Co. v. Yatco, 68 Phil 398
Guardianship - 2 C. J. S. 1027
AmJur 2d 421
Fessenden v. Jones, 75 Am. Dec. 445
Mc Donald v. Spring Valley, 120 N.E. 476, 2 ALR 1355
9. Bailment - 2 C. J. S. 1027
10. Ship Agent
Switzerland General Insurance Co. Ltd. v. Ramirez, 96 SCRA 297

III.

KINDS CREATION & EXISTENCE

A. General Classification
1. Actual agency - Art 1868

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.

2.

Apparent or ostensible agency - Art 1873

J.B.L. Reyes 16 Lawyers Journal 138

Rallos v. Yangco , 20 Phil. 269

Compania General de Tabacos v. Diaba , 20 Phil 321
3.

Agency by estoppel - 2 C.J. 444-445

2 C.J. 464- 466

Macke v. Camps, 7 Phil 553

B.

Kinds of Actual Agency

1.
2.
3.
4.

C.

As to manner of creation - Art 1869

As to character - Art 1875
As to extent - Art 1876
As to scope of authority - Art 18 77, 1878

Creation & Elements of Actual Agency

1. Consent / Mandate
a.

Manifestation of mandate
i.
Express - Art 1869, 1874
ii.
Implied

Conde v. CA, 119 SCRA 245

b. Manifestation of acceptance
i.
ii.

Express - Art 1869, 1870

Implied - Art 1870- 1872

Jimenez v. Rabot, 38 Phil. 378

IV.

OBLIGATIONS OF THE AGENT

Lian v. Puno, 31 Phil. 259

Katigbak v. Tai Hing Co., 52 Phil 622
Amigo v. Teves, 96 Phil. 252
Villa v. Garcia Bosgue, 49 Phil. 126
Dir. of Public Works v. Sing Juco, 53 Phil. 205
BPI v. De Coster, 47 Phil. 594

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German & Co. v. Donaldson, 1 Phil 63
Macke v. Camps, 7 Phil 553
Municipal Council of Iloilo v. Evangelista, 55 Phil. 290
Yu Chuck v. Kong Li Po, 46 Phil. 608
Insular Drug v. Phil. National Bank, 58 Phil 683
Int l Films (China) v. Lyric Films Exchange, 63 Phil. 776
Nepomuceno, et. al. v. Heredia, 7 Phil 563
Domingo v. Domingo, 42 SCRA 131
U.S. v. Kiene, 7 Phil. 736
U.S. v. Reyes, 36 Phil 791
Ojinaga v. Estate of Perez, 9 Phil. 185
De Borja v. De Borja, 58 Phil. 811
PNB v. Welch, Fairchild & Co, 44 Phil. 780
Harry Keeler Electric Co. v. Rodriquez 44 Phil. 19
Austria v. CA, 39 SCRA 527

V.

OBLIGATIONS OF THE PRINCIPAL

Gonzalez & Gomez v. Haberer, 47 Phil. 380

Albaladejo y Cia v. Phil. Refining Co., 45 Phil 556

VI.

MODES OF EXTINGUISHMENT OF AGENCY

Rallos v. Felix Go Chan & Sons Realty Corp. 81 SCRA 251

Barretto v. Santa Maria, 26 Phil. 440
Coleongco v. Claparols, 10 SCRA 577
De Buncio & Co. v. Ong Guan Gan, 60 Phil. 696
New Manila Lumber Co. Inc. v. Republic, 107 Phil. 824
Infante v. Cunanan, 93 Phil 693
Valera v. Velasco, 51 Phil. 695
Buason and Reyes v. Panuyas, 105 Phil 795
Herrera et. al. v. Luy Kim Guam, 110 Phil 1020
Del Rosario v. Abad, 104 Phil 648
Pasno v. Ravina and Ravina, 54 Phil. 378
Perez v. PNB, 17 SCRA 834

Prescribed Textbook:

Hector S. De Leon, Comments and Cases on Partnership, Agency, and Trusts, Eighth
Edition, Rex Printing Company, Inc., 2010
References:

1.

Arturo M. Tolentino, Commentaries & Jurisprudence on the Civil Code of the

Philippines, Vol. 5, Central LawBook Pub., 1987

Teaching Methods/Strategies
A question-and-answer format will basically be employed to determine whether the
student read and understood the provisions of the law and the decisions of the Supreme
Court. Quizzes will also be administered to check knowledge, understanding and the
analyzing skills of the students. Lectures, group discussions and visual aids may be used
when applicable.

Grading Criteria:
MidTerm Exam
Recitation & Quizzes
Final Exam

Cau
25May2011

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