action taken by him cannot be imputed to the cases coming from this Tribunal starting
government which he represents. from a 1945 decision, Raquiza v.
No. L-24294. May 3, 1974.* Courts; Jurisdiction; Preliminary Bradford1 to Johnson v. DONALD BAER, Commander U.S. Naval injunction; Trial court has no authority to Turner,2promulgated in 1954. The doctrine Base, Subic Bay, Olongapo, Zambales, grant a writ of preliminary injunction of immunity from suit is of undoubted petitioner, vs.HON. TITO V. TIZON, as against U.S. naval authorities in the applicability in this jurisdiction. It cannot be Presiding Judge of the Court of First Philippines in favor of a timber licensee otherwise, for under the 1935 Constitution, Instance of Bataan, and EDGARDO whose license already expired.— as now, it is expressly made clear that the GENER, respondents. The infirmity of the actuation of the Philippines "adopts the generally accepted respondent Judge becomes even more principles of international law as part of the Political law; State immunity from glaring when it is considered that private law of the Nation."3 As will subsequently be suit; A foreign government acting through its respondent had ceased to have any right of shown, there was a failure on the part of the naval commanding officer is immune from entering within the base area. This is made lower court to accord deference and respect suit relative to the performance of an clear in the petition in these words: "In 1962, to such a basic doctrine, a failure important public Junction of any respondent Gener was issued by the Bureau compounded by its refusal to take note of the government, the defense and security of its of Forestry an ordinary timber license to cut absence of any legal right on the part of naval base in the Philippines granted under logs in Barrio Mabayo, Morong, Bataan. The petitioner. Hence, certiorari is the proper a treaty.—The invocation of the doctrine of license was renewed on July 10, 1963. In remedy. immunity from suit of a foreign state without 1963, he commenced logging operation inside The facts are not in dispute. On its consent is appropriate. More specifically, the United States Naval Base, Subic Bay, November 17, 1964, respondent Edgardo insofar as alien armed forces is concerned, but in November, 1963 he was apprehended Gener, as plaintiff, filed acomplaint for the starting point in Raquiza v. Bradford, a and stopped by the Base authorities from injunction with the Court of First Instance of 1945 decision. x x x The solidity of the stand logging inside the Base. The renewal of his Bataan against petitioner, Donald Baer, of petitioner is therefore evident. What was license expired on July 30, 1964, and to date Commander of the United States Naval Base sought by private respondent and what was his license has not been renewed by the in Olongapo. It was docketed as Civil Case granted by respondent Judge amounted to Bureau of Forestry. * * * In July 1964, the No. 2984 of the Court of First Instance of an interference with the performance of the Mutual Defense Board, a joint Philippines- Bataan. He alleged that he was engaged in duties of petitioner in the base area in United States agency established pursuant the business of logging in an area situated in accordance with the powers possessed by to an exchange of diplomatic notes between Barrio Mabayo, Municipality of Morong, him under the Philippine-American Military the Secretary of Foreign Affairs and the Bataan and that the American Naval Base Bases Agreement. This point was made clear United States Ambassador to provide 'direct authorities stopped his logging operations. in these words: "Assuming, for purposes of liaison and consultation between He prayed for a writ of preliminary argument, that the Philippine Government, appropriate Philippine and United States injunction restraining petitioner from through the Bureau of Forestry, possesses authorities on military matters of mutual interfering with his logging operations. A the 'authority to issue a Timber License to concern,' advised the Secretary of Foreign restraining order was issued by respondent cut logs' inside a military base, the Bases Affairs in writing that The enclosed map Judge on November 23, 1964.4 Counsel for Agreement subjects the exercise of rights shows that the area in which Mr. Gener was petitioner, upon instructions of the American under a timber license issued by the logging definitely falls within the boundaries Ambassador to the Philippines, entered their Philippine Government to the exercise by the of the base. This map also depicts certain appearance for the purpose of contesting the United States of its rights, powers and contiguous and overlapping areas whose jurisdiction of respondent Judge on the authority of control within the bases; and the functional usage would be interfered with by ground that the suit was one against a findings of the Mutual Defense Board, an the logging operations.'" Nowhere in the foreign sovereign without its consent.5 Then, agency of both the Philippine and United answer of respondents, nor in their on December 12, 1964, petitioner filed a States Governments, that 'continued logging memorandum, was this point met. It motion to dismiss, wherein such ground was operation by Mr. Gener within the remained unrefuted. reiterated. It was therein pointed out that he boundaries of the U.S. Naval Base would not is the chief or head of an agency or be consistent with the security and ORIGINAL ACTION in the Supreme Court. instrumentality of the United States of operations of the Base,' is conclusive upon Certiorari with preliminary injunction. America, with the subject matter of the the respondent Judge. * * * The doctrine of action being official acts done by him for and state immunity is not limited to cases which in behalf of the United States of America. It The facts are stated in the opinion of the would result in a pecuniary charge against was added that in directing the cessation of Court. the sovereign or would require the doing of logging operations by respondent Gener Sycip, Salazar, Luna Manalo & Feliciano for an affirmative act by it. Prevention of a within the Naval Base, petitioner was petitioner. sovereign from doing an affirmative act entirely within the scope of his authority and A. E. Dacanay for private respondent. pertaining directly and immediately to the official duty, the maintenance of the security Solicitor Camilo D. Quiason as most important public function of any of the Naval Base and of the installations amicus curiae. government—the defense of the state—is therein being the first concern and most equally as untenable as requiring it to do an important duty of the Commander of the affirmative act." That such an appraisal is FERNANDO, J.: Base.6 There was, on December 14, 1964, an not opposed to the interpretation of the opposition and reply to petitioner's motion to relevant treaty provision by our government There is nothing novel about the question dismiss by respondent Gener, relying on the is made clear in the aforesaid manifestation raised in this certiorari proceeding against principle that "a private citizen claiming title and memorandum as amicus curiae,wherein the then Judge Tito V. Tizon, f filed by and right of possession of certain property it joined petitioner for the grant of the petitioner Donald Baer, then Commander of may, to recover possession of said property, remedy prayed for. the United States Naval Base, Subic Bay, sue as individuals, officers and agents of the Same; Same; A naval commander Olongapo, Zambales, seeking to nullify the Government, who are said to be illegally may, however, be sued in his orders of respondent Judge denying his withholding the same from him, though in personal capacity.—There should be no motion to dismiss a complaint filed against doing so, said officers and agents claim that misinterpretation of the scope of the decision him by the private respondent, Edgardo they are acting for the Government." That reached by this Court. Petitioner, as the Gener, on the ground of sovereign immunity was his basis for sustaining the jurisdiction Commander of the United States Naval Base of a foreign power, his contention being that of respondent Judge.7 Petitioner, thereafter, in Olongapo, does not possess diplomatic it was in effect a suit against the United on January 12, 1965, made a written offer of immunity. He may therefore be proceeded States, which had not given its consent. The documentary evidence, including certified against in his personal capacity, or when the answer given is supplied by a number of copies of telegrams of the Forestry Director to Forestry personnel in Balanga, Bataan Bradford and cited in support thereof against the United States. To the same effect dated January 8, and January 11, 1965, excerpts from the works of the following is Parreño v. McGranery,28 as the following directing immediate investigation of illegal authoritative writers: Vattel, Wheaton, Hall, excerpt from the opinion of Justice Tuason timber cutting in Bataan and calling Lawrence, Oppenhein, Westlake, Hyde, and clearly shows: "It is a widely accepted attention to the fact that the records of the McNair and Lauterpacht.18 Accuracy principle of international law, which is made office show no new renewal of timber license demands the clarification that after the a part of the law of the land (Article II, or temporary extension permits.8 The above conclusion of the Philippine-American Section 3 of the Constitution), that a foreign notwithstanding, respondent Judge, on Military Bases Agreement, the treaty state may not be brought to suit before the January 12, 1965, issued an order granting provisions should control on such matter, the courts of another state or its own courts respondent Gener's application for the assumption being that there was a without its cohsent."29 Finally, there issuance of a writ of preliminary injunction manifestation of the submission to is Johnson v. Turner,30 an appeal by the and denying petitioner's motion to dismiss jurisdiction on the part of the foreign power defendant, then Commanding General, the opposition to the application for a writ of whenever appropriate.19More to the point is Philippine Command (Air Force, with office preliminary injunction.9 Syquia v. Almeda Lopez,20 where plaintiffs at Clark Field) from a decision ordering the A motion for reconsideration having as lessors sued the Commanding General of return to plaintiff of the confiscated military proved futile, this petition for certiorari was the United States Army in the Philippines, payment certificates known as scrip money. filed with this Court. The prayer was for the seeking the restoration to them of the In reversing the lower court decision, this nullification and setting aside of the writ of apartment buildings they owned leased to Tribunal, through Justice Montemayor, preliminary injunction issued by respondent United States armed forces stationed in the relied on Syquia v. Almeda Judge in the aforesaid Civil Case No. 2984 of Manila area. A motion to dismiss on the Lopez,31explaining why it could not be the Court of First Instance of Bataan. A ground of non-suability was filed and upheld sustained. resolution of March 17, 1965 was issued by by respondent Judge. The matter was taken The solidity of the stand of petitioner is this Court requiring respondents to file an to this Court in a mandamus proceeding. It therefore evident. What was sought by answer and upon petitioner's posting a bond failed. It was the ruling that respondent private respondent and what was granted by of P5,000.00 enjoining them from enforcing Judge acted correctly considering that the respondent Judge amounted to an such writ of preliminary injunction. The "action must be considered as one against the interference with the performance of the answer was duly forthcoming. It sought to U.S. Government."21 The opinion of Justice duties of petitioner in the base area in meet the judicial question raised by the legal Montemayor continued: accordance with the powers possessed by proposition that a private citizen claiming "It is clear that the courts of the him under the Philippine-American Military title and right of possession of a certain Philippines including the Municipal Court of Bases Agreement. This point was made clear property may, to recover the same, sue as Manila have no jurisdiction over the present in these words: "Assuming, for purposes of individuals officers and agents of the case for unlawful detainer. The question of argument, that the Philippine Government, government alleged to be illegally lack of jurisdiction was raised and interposed through the Bureau of Forestry, possesses withholding such property even if there is an at the very beginning of the action. The U.S. the 'authority to issue a Timber License to assertion on their part that they are acting Government has not given its consent to the cut logs' inside a military base, the Bases for the government. Support for such a view filing of this suit which is essentially against Agreement subjects the exercise of rights is found in the American Supreme Court her, though not in name. Moreover, this is under a timber license issued by the decisions of United States v. Lee10 and Land not only a case of a citizen filing a suit Philippine Government to the exercise by the v. Dollar.11 Thus the issue is squarely joined against his own Government without the United States of its rights, power and as to whether or not the doctrine of immunity latter's consent but it is of a citizen filing an authority of control. within the bases; and. from suit without consent is applicable. action against a foreign government without the findings of the Mutual Defense Board, an Thereafter, extensive memoranda were filed said government's. consent, which renders agency of both the Philippine and United both by petitioner and respondents. In more obvious the lack of jurisdiction of the States Governments, that 'continued logging addition, there was a manifestation and courts of his country. The principles of law operation by Mr. Gener within the memorandum of the Republic of the behind this rule are so elementary and of boundaries of the U.S. Naval Base would not Philippines as amicus curiae where, after a such general acceptance that we deem it be consistent with the security and operation citation of American Supreme Court unnecessary to cite authorities in support of the Base,' is conclusive upon the decisions going back to Schooner Exchange thereof."22 Then came Marvel Building respondent Judge. * * * The doctrine of state v. M'faddon,12 an 1812 decision, to United Corporation v. Philippine War Damage immunity is not limited to cases which would States v. Belmont,13 decided in 1937, the plea Commission,23 where respondent, a United result in a pecuniary charge against the was made that the petition for certiorari be States agency established to compensate sovereign or would require the doing of an granted. damages suffered by the Philippines during affirmative act by it. Prevention of a A careful study of the crucial issue posed World War II was held as falling within the sovereign from doing an affirmative act in this dispute yields the conclusion, as above doctrine as the suit against it "would pertaining directly and immediately to the already announced, that petitioner should eventually be a charge against or financial most important public function of any prevail. liability of the United States Government government—the defense of the state—is 1. The invocation of the doctrine of because * * *, the Commission has no funds equally as untenable as requiring it to do an immunity from suit of a foreign state without of its own for the purpose of paying money affirmative act."32 That such an appraisal is its consent is appropriate. More specifically, judgments."24The Syquia ruling was again not opposed to the interpretation of the insofar as alien armed forces is concerned, explicitly relied upon in Marquez Lim v. relevant treaty provision by our government the starting point is Raquiza v. Bradford, a Nelson,25involving a complaint for the is made clear in the aforesaid manifestation 1945 decision.14 In dismissing a habeas recovery of a motor launch, plus damages, and memorandum as amicus corpus petition for the release of petitioners the special defense interposed being "that curiae, wherein it joined petitioner for the confined by American army authorities, the vessel belonged to the United States grant of the remedy prayed for. Justice Hilado, speaking for the Court, cited Government, that the defendants merely 2. There should be no misinterpretation from Coleman v. Tennessee,15 where it was acted as agents of said Government, and that of the scope of the decision reached by this explicitly declared: "It is well settled that a the United States Government is therefore Court. Petitioner, as the Commander of the foreign army, permitted to march through a the real party in interest."26 So it was United States Naval Base in Olongapo, does friendly country or to be stationed in it, by in Philippine Alien Property Administration not possess diplomatic immunity. He may permission of its government or sovereign, is v. Castelo,27 where it was held that a suit therefore be proceeded against in his exempt from the civil and criminal against the Alien Property Custodian and personal capacity, or when the action taken jurisdiction of the place."16Two years later, in the Attorney General of the United States by him cannot be imputed to the government Tubb and Tedrow v. Griess,17 this Court involving vested property under the Trading which he represents. Thus, after the Military relied on the ruling in Raquiza v. with the Enemy Act is in substance a suit Bases Agreement, in Miquiabas v. Commanding General33 and Dizon v. The Certiorari granted, writ of preliminary International Law; Jurisdiction; It is Commanding General of the Philippine- injunction nullified and set aside. beyond question that petitioner SEAFDEC is Ryukus Command,34 both of them Notes.—Statutory provisions waiving an international agency enjoying diplomatic being habeas corpuspetitions, there was no State immunity from suits are strictly immunity.—It is beyond question that question as to the submission to jurisdiction construed and waiver of immunity, being in petitioner SEAFDEC is an international of the respondents. As a matter of fact, derogation of sovereignty, will not be lightly agency enjoying diplomatic immunity. This, in Miquiabas v. Commanding General,35 the inferred (Mobil Philippines Exploration, Inc. we have already held in Southeast Asian immediate release of the petitioner was vs. Customs Arrastre Service, 18 SCRA Fisheries Development Center-Aquaculture ordered, it being apparent that the general 1120). The immunity of the State from suit Department vs. National Labor Relations court martial appointed by respondent cannot be invoked where the action is Commission, G.R. No. 86773, 206 SCRA Commanding General was without instituted by a person who is neither an 283/1992/; see also Lacanilao v. de Leon, G.R. jurisdiction to try petitioner. Thereafter, in enemy nor an ally of an enemy for the No. 76532, 147 SCRA 286/1987, where we the cited cases of Syquia, Marquez Lim, and purpose of establishing his right, title or said—“Petitioner Southeast Asian Fisheries Johnson, the parties proceeded against were interest in a vested property, and of Development Center-Aquaculture American army commanding officers recovering his ownership and possession Department (SEAFDEC-AQD) is an stationed in the Philippines. The insuperable thereof (Bureau of Printing vs. Bureau of international agency beyond the jurisdiction obstacle to the jurisdiction of respondent Printing Employees Ass'n., 1 SCRA of public respondent NLRC. Judge is that a foreign sovereign without its 340; Philippine Resources Development Same; Same; Same; Section 2 of PD consent is haled into court in connection with Corporation vs. Republic, 13 SCRA No. 292 had provided for the autonomous acts performed by it pursuant to treaty 697; Mobil Philippines Exploration, Inc. vs. character of SEAFDEC.—Furthermore, provisions and thus impressed with a Customs Arrastre Service, 18 SCRA Section 2 of the same decree had provided for governmental character. 1120; American Ins. Co. vs. Macondray & the autonomous character of SEAFDEC, 3. The infirmity of the actuation of Co., Inc., 20 SCRA 1103; Equitable Ins. & thus: “x x x All funds received by the respondent Judge becomes even more Casualty Co., Inc. vs. Smith, Bell & Co., 20 Department shall be receipted and disbursed glaring when it is considered that private SCRA 1121; Insurance Company of North in accordance with the Agreement respondent had ceased to have any right of America vs. Republic, 20 SCRA establishing the Southeast Asian Fisheries entering within the base area. This is made 1159; Champion Auto Supply Co., Inc. vs. Development Center and pertinent clear in the petition in these words: "In 1962, Bureau of Customs, 21 SCRA 460; Hartford resolutions duly approved by the SEAFDEC respondent Gener was issued by the Bureau Fire Ins. Co. vs. Customs Arrastre Service, 21 Council.” of Forestry an ordinary timber license to cut SCRA 461; Insurance Company of North Same; Same; Same; Anent the issue of logs in Barrio Mabayo, Moring, Bataan. The America vs. Republic, 21 SCRA 463; Union waiver of immunity, suffice it to say at the license was renewed on July 10, 1963. In Insurance Society of Canton, Ltd. vs. moment that the petitioner has timely raised 1963, he commenced logging operation inside Republic, 27 SCRA 445; Insurance Company the issue of jurisdiction.—Anent the issue of the United States Naval Base, Subic Bay, of North America vs. Osaka Shosen waiver of immunity, suffice it to say at the but in November 1963 he was apprehended Kaisha, 27 SCRA 780; Providence moment that the petitioner has timely raised and stopped by the Base authorities from Washington Ins. Co. vs. Republic, 29 SCRA the issue of jurisdiction. While the petitioner logging inside the Base. The renewal of his 598). did not question the public respondent’s lack license expired on July 30, 1964, and to date It is the duty of the party to allege in his of jurisdiction at the early stages of the his license has not been renewed by the complaint the State's consent to be proceedings, it, nevertheless, did so before it Bureau of Forestry. * * * In July 1964, the sued (Insurance Company of North America rested its case and certainly well before the Mutual Defense Board, a joint Philippines- vs. Republic,20 SCRA 627, 20 SCRA proceedings thereat had terminated. United States agency established pursuant 648; North British & Mercantile Ins. Co., to an exchange of diplomatic notes between Ltd. vs. Isthmian Lines, Inc., 20 SCRA SPECIAL CIVIL ACTION for certiorari and the Secretary of Foreign Affairs and the 629; Shell Refinery Company (Phil), Inc. vs. prohibition. United States Ambassador to provide 'direct Manila Port Service, 20 SCRA liaison and consultation between 919; Equitable Insurance & Casualty Co., The facts are stated in the resolution of the appropriate Philippine and United States Inc. vs. Smith, Bell & Co. (Phil.),Inc., 20 Court. authorities on military matters of mutual SCRA 1121). Hector P. Teodosio for petitioner. concern,' advised the Secretary of Foreign Cirilo Ganzon, Jr. for private Affairs in writing that: The enclosed map LEGAL RESEARCH SERVICE respondents. shows that the area in which Mr. Gener was logging definitely falls within the boundaries RESOLUTION See SCRA Quick Index-Digest, Volume One, of the base. This map also depicts certain page 375 on Constitutional Law; and page contiguous and overlapping areas whose VITUG, J.: 501 on Courts. functional usage would be interfered with by See also SCRA Quick Index- the logging operations.'"36Nowhere in the Digest, Volume two, page 1114 on This is an original petition for certiorari and answer of respondents, nor in their Jurisdiction; and page 1739 on Preliminary prohibition, with a prayer for the issuance of memorandum, was this point met. It Injunction. a restraining order, to set aside the order of remained unrefuted. respondent labor arbiter, dated 20 WHEREFORE, the writ of certiorari ———o0o——— September 1990, denying herein petitioner’s prayed for is granted, nullifying and setting motion to dismiss the cases subject matter of aside the writ of preliminary injunction the petition for lack of jurisdiction. issued by respondent Judge in Civil Case No. G.R. Nos. 97468-70. September 2, 1993.* Two labor cases, docketed as RAB Case 2984 of the Court of First Instance of Bataan. SOUTHEAST ASIAN FISHERIES No. VI-0156-86and RAB Case No. VI—0214- The injunction issued by this Court on March DEVELOPMENT CENTER, represented 86, were filed by the herein private 18, 1965 enjoining the enforcement of the by its Chief, DR. FLOR J. LACANILAO, respondents against the petitioner, aforesaid writ of preliminary injunction of petitioner, vs. DANILO ACOSTA in his Southeast Asian Fisheries Development respondent Judge is hereby made capacity as Labor Arbiter of the Center (SEAFDEC), before the National permanent. Costs against private National Labor Relations Commission, Labor Relations Commission (NLRC), respondent Edgardo Gener. Regional Arbitration, Branch VI, Regional Arbitration Branch, Iloilo City. In Zaldivar, Antonio, Fernandez and CORAZON CANTO, DAN BALIAO, these cases, the private respondents claim Aquino, JJ.,concur. ELIZABETH SUPETRAN, CARMELITA having been wrongfully terminated from Barredo, J., did not take part. FERRER, CATHRYN CONTRADOR, and their employment by the petitioner. DORIC VELOSO, respondents. On 22 August 1990, the petitioner, “The Republic of the Philippines became “The then Minister of Justice likewise contending to be an international inter- a signatory to the Agreement establishing opined that Philippine Courts have no government organization, composed of SEAFDEC on January 16, 1968. Its purpose jurisdiction over SEAFDEC-AQD in Opinion various Southeast Asian countries, filed a is as follows: No. 139, Series of 1984— Motion to Dismiss, challenging the The purpose of the Center is to contribute to ‘4. One of the basic immunities of an jurisdiction of the public respondent in the promotion of the fisheries development in international organization is immunity from taking cognizance of the above cases. Southeast Asia by mutual cooperation local jurisdiction, i.e., that it is immune from On 20 September 1990, the public among the member governments of the the legal writs and processes issued by the respondent issued the assailed order denying Center, hereinafter called the ‘Members’, tribunals of the country where it is found. the Motion to Dismiss. In due course, a and through collaboration with international (See Jenks, Id., pp. 37-44) The obvious Motion for Reconsideration was interposed organizations and governments external to reason for this is that the subjection of such but the same, in an order, dated 07 January the Center. (Agreement Establishing the an organization to the authority of the local 1991, was likewise denied. SEAFDEC, Art. 1; x x x). courts would afford a convenient medium Hence, the instant petition. This Court, thru which the host government may on 20 March 1991, issued the temporary “SEAFDEC-AQD was organized during interfere in their operations or even restraining order prayed for. the Sixth Council Meeting of SEAFDEC on influence or control its policies and decisions The private respondents, as well as July 3-7, 1973 in Kuala Lumpur, Malaysia as of the organization; besides, such subjection respondent labor arbiter, allege that the one of the principal departments of to local jurisdiction would impair the petitioner is not immune from suit and SEAFDEC x x x to be established in Iloilo for capacity of such body to discharge its assuming that if, indeed, it is an the promotion of research in aquaculture. responsibilities impartially on behalf of its international organization, it has, however, Paragraph 1, Article 6 of the Agreement member-states. In the case at bar, for impliedly, if not expressly, waived its establishing SEAFDEC mandates: instance, the entertainment by the National immunity by belatedly raising the issue of Labor Relations Commission of Mr. jurisdiction. 1. ‘1.The Council shall be the Madamba’s reinstatement cases would The Solicitor (General, on his part, filed supreme organ of the Center and amount to interference by the Philippine a Manifestation and Motion, which the Court all powers of the Center shall be Government in the management decisions of granted, praying that he be excused from vested in the Council.’ the SEARCA governing board; even worse, it filing his comment for respondent Labor could compromise the desired impartiality of Arbiter, he not being in agreement with the the organization since it will have to suit its latter’s position on this matter. “Being an intergovernmental actuations to the requirements of Philippine On 30 March 1992, this Court dismissed organization, SEAFDEC including its law, which may not necessarily coincide with the instant petition in a resolution which Department (AQD), enjoys functional the interests of the other member-states. It reads: independence and freedom from control of is precisely to forestall these possibilities “x x x—Considering the allegations, issues the state in whose territory its office is that in cases where the extent of the and arguments adduced in the petition for located. immunity is specified in the enabling certiorari as well as the separate comments “As Senator Jovito R. Salonga and instruments of international organizations, thereon of the public and private Former Chief Justice Pedro L. Yap stated in (jurisdictional immunity, is specified in the respondents, and the consolidated reply their book, Public International Law (p. 83, enabling instruments of international thereto of the petitioner, the Court 1956 ed.): organizations) jurisdictional immunity from RESOLVED to dismiss the petition for ‘Permanent international commissions and the host country is invariably among the first failure to sufficiently show that the administrative bodies have been created by accorded.’ (See Jenks, Id.; See Bowett. The questioned judgment is tainted with grave the agreement of a considerable number of Law of International Institutions, pp. 284- abuse of discretion. The temporary States for a variety of international 285).” restraining order issued on March 20, 1991 purposes, economic or social and mainly non- is hereby LIFTED effective immediately.” political. Among the notable instances are At its Sixth Meeting held at Kuala Lumpur, the International Labor Organization, the Malaysia, on 3 to 7 July 1973, the SEAFDEC In time, the petitioner moved for a International Institute of Agriculture, the Council approved the formal establishment reconsideration, arguing that the ground for International Danube Commission. In so far of its Aquaculture Department in the its seeking the allowance of the petition is as they are autonomous and beyond the province of Iloilo, Philippines, to promote the labor arbiter’s lack of jurisdiction over control of any one State, they have a distinct research in Aquaculture as so expressed in the dispute. juridical personality independent of the the ‘Whereas” Clauses of Presidential Decree The court is now asked to rule upon the municipal law of the State where they are No. 292 issued on 13 September motion for reconsideration. situated. As such, according to one leading 1973.1 Furthermore, Section 2 of the same We rule for the petitioner. authority (t)hey must be deemed to possess a decree had provided for the autonomous It is beyond question that petitioner species of international personality of their character of SEAFDEC, thus: SEAFDEC is an international agency own. (Salonga and Yap, Public International “x x x All funds received by the Department enjoying diplomatic immunity. This, we have Law, 83 [1956 ed.]’ shall be receipted and disbursed in already held in Southeast Asian Fisheries accordance with the Agreement establishing Development CenterAquaculture “Pursuant to its being a signatory to the the Southeast Asian Fisheries Development Department vs. National Labor Relations Agreement, the Republic of the Philippines Center and pertinent resolutions duly Commission, G.R. No. 86773, 206 SCRA agreed to be represented by one Director in approved by the SEAFDEC Council.” 283 [1992]; see also Lacanilao v. de the governing SEAFDEC Council Leon, G.R. No. 76532, 147 SCRA 286 [1987], (Agreement Establishing SEAFDEC, Art. 5, As aptly pointed out by Associate Justice where we said— Par. 1, x x x), and that its national laws and Isagani Cruz of this Court— “Petitioner Southeast Asian Fisheries regulations shall apply only insofar as its “Certain administrative bodies created by Development Center-Aquaculture contributions to SEAFDEC of “an agreed agreement among states may be vested with Department (SEAFDEC-AQD) is an amount of money, movable and immovable international personality when two international agency beyond the jurisdiction property and services necessary for the conditions concur, to wit:, that their purposes of public respondent NLRC. establishment and operation of the Center” are mainly non-political and that they are “It was established by the Governments are concerned (Art. 11, ibid).It expressly autonomous, i.e., not subject to the control of of Burma, Kingdom of Cambodia, Republic of waived the application of the Philippines any state.”2 Indonesia, Japan, Kingdom of Laos, laws on the disbursement of funds of Malaysia, Republic of the Philippines, petitioner SEAFDECAQD (Section 2, P.D. Anent the issue of waiver of immunity, Republic of Singapore, Kingdom of Thailand No. 292). suffice it to say at the moment that the and Republic of Vietnam x x x. petitioner has timely raised the issue of jurisdiction. While the petitioner did not Also, by virtue of the employment of Morada SAUDIA also filed an Answer In Ex question the public respondent’s lack of with the petitioner SAUDIA as a flight Abundante Cautelam dated February 20, jurisdiction at the early stages of the stewardess, events did transpire during her 1995. What is very patent and explicit from proceedings, it, nevertheless, did so before it many occasions of travel across national the motions filed, is that SAUDIA prayed for rested its case and certainly well before the borders, particularly from Manila, other reliefs under the premises. proceedings thereat had terminated. Philippines to Jeddah, Saudi Arabia, and Undeniably, petitioner SAUDIA has WHEREFORE, our resolution, dated 30 vice versa, that caused a “conflicts” situation effectively submitted to the trial court’s March 1992, dismissing the petition for to arise. jurisdiction by praying for the dismissal of certiorari, is hereby reconsidered, and the Amended Complaint on grounds other another is entered (a) granting due course to Same; Same; Damages; While Article than lack of jurisdiction. the petition; (b) setting aside the order dated 19 of the Civil Code merely declares a Same; Choice-of-law problems seek to 20 September 1990, of the public respondent; principle of law, Article 21 gives flesh to its answer two important questions: (1) What and (c) enjoining the public respondent from provisions; Violations of Articles 19 and 21 legal system should control a given situation further proceeding with RAB Case No. VI- are actionable, with judicially enforceable where some of the significant facts occurred 0156-86 and RAB Case No. VI-0214-86. No remedies in the municipal forum.—Although in two or more states; and (2) to what extent costs. Article 19 merely declares a principle of law, should the chosen legal system regulate the SO ORDERED. Article 21 gives flesh to its provisions. Thus, situation.—As to the choice of applicable law, Feliciano, Bidin, Romero and Melo we agree with private respondent’s assertion we note that choice-of-law problems seek to , JJ.,concur. that violations of Articles 19 and 21 are answer two important questions: (1) What actionable, with judicially enforceable legal system should control a given situation Petition given due course. Questioned remedies in the municipal forum. Based on where some of the significant facts occurred order set aside. the allegations in the Amended Complaint, in two or more states; and (2) to what extent Note.—A party who voluntarily read in the light of the Rules of Court on should the chosen legal system regulate the participates in the trial cannot later on raise jurisdiction we find that the Regional Trial situation. the issue of the court’s lack of jurisdiction Court (RTC) of Quezon City possesses (Maersk-Tabacalera Shipping Agency jurisdiction over the subject matter of the Same; Although ideally, all choice-of- (Filipinas) Inc. vs. Court of Appeals, 187 suit. Its authority to try and hear the case is law theories should intrinsically advance SCRA 646). provided for under Section 1 of Republic Act both notions of justice and predictability, they No. 7691. do not always do so, in which case the forum ——o0o—— Same; Same; Forum Non is then faced with the problem of deciding Conveniens; Forum Shopping; Plaintiff may which of these two important values should not, by choice of an inconvenient forum, ‘vex,’ be stressed.—Several theories have been G.R. No. 122191. October 8, 1998.* ‘harass,’ or ‘oppress’ the defendant, e.g. by propounded in order to identify the legal SAUDI ARABIAN AIRLINES, inflicting upon him needless expense or system that should ultimately control. petitioner, vs. COURT OF APPEALS, disturbance, but unless the balance is Although ideally, all choice-of-law theories MILAGROS P. MORADA and HON. strongly in favor of the defendant, the should intrinsically advance both notions of RODOLFO A. ORTIZ, in his capacity as plaintiff’s choice of forum should rarely be justice and predictability, they do not always Presiding Judge of Branch 89, Regional disturbed.—Pragmatic considerations, do so. The forum is then faced with the Trial Court of Quezon City, including the convenience of the parties, also problem of deciding which of these two respondents. weigh heavily in favor of the RTC Quezon important values should be stressed. City assuming jurisdiction. Paramount is the Conflict of Laws; Actions; Where the private interest of the litigant. Enforceability Same; Characterization or Doctrine of factual antecedents satisfactorily establish of a judgment if one is obtained is quite Qualification; Words and the existence of a foreign element, the problem obvious. Relative advantages and obstacles Phrases; Characterization is the “process of could present a “conflicts” case.—Where the to a fair trial are equally important. Plaintiff deciding whether or not the facts relate to the factual antecedents satisfactorily establish may not, by choice of an inconvenient forum, kind of question specified in a conflicts the existence of a foreign element, we agree ‘vex,’ ‘harass,’ or ‘oppress’ the rule.”—Before a choice can be made, it is with petitioner that the problem herein could defendant, e.g.by inflicting upon him necessary for us to determine under what present a “conflicts” case. A factual situation needless expense or disturbance. But unless category a certain set of facts or rules fall. that cuts across territorial lines and is the balance is strongly in favor of the This process is known as “characterization,” affected by the diverse laws of two or more defendant, the plaintiff’s choice of forum or the “doctrine of qualification.” It is the states is said to contain a “foreign element.” should rarely be disturbed. “process of deciding whether or not the facts The presence of a foreign element is relate to the kind of question specified in a inevitable since social and economic affairs of Same; Same; Forcing a party to seek conflicts rule.” The purpose of individuals and associations are rarely remedial action in a place where she no “characterization” is to enable the forum to confined to the geographic limits of their longer maintains substantial connections select the proper law. birth or conception. would cause a fundamental unfairness to her.—Weighing the relative claims of the Same; Same; An essential element of Same; Same; The forms in which a parties, the court a quo found it best to hear conflict rules is the indication of a “test” or foreign element may appear are many, such the case in the Philippines. Had it refused to “connecting factor” or “point of contact.”— as the fact that one party is a resident take cognizance of the case, it would be Our starting point of analysis here is not a Philippine national, and that the other is a forcing plaintiff (private respondent now) to legal relation, but a factual situation, event, resident foreign corporation.—The forms in seek remedial action elsewhere, i.e. in the or operative fact. An essential element of which this foreign element may appear are Kingdom of Saudi Arabia where she no conflict rules is the indication of a “test” or many. The foreign element may simply longer maintains substantial connections. “connecting factor” or “point of contact.” consist in the fact that one of the parties to a That would have caused a fundamental Choice-of-law rules invariably consist of a contract is an alien or has a foreign domicile, unfairness to her. factual relationship (such as property right, or that a contract between nationals of one contract claim) and a connecting factor or State involves properties situated in another Same; Same; A party effectively point of contact, such as the situs of the res, State. In other cases, the foreign element submits to the trial court’s jurisdiction by the place of celebration, the place of may assume a complex form. In the instant praying for the dismissal of the complaint on performance, or the place of wrongdoing. case, the foreign element consisted in the fact grounds other than lack of jurisdiction.—The Same; Same; “Test Factors” or “Points that private respondent Morada is a resident records show that petitioner SAUDIA has of Contact” or “Connecting Factors.”—Note Philippine national, and that petitioner filed several motions praying for the that one or more circumstances may be SAUDIA is a resident foreign corporation. dismissal of Morada’s Amended Complaint. present to serve as the possible test for the determination of the applicable law. These where the over-all harm or the totality of the action is based on a Philippine law has no “test factors” or “points of contact” or alleged injury to the person, reputation, obligation to plead and prove the law of “connecting factors” could be any of the social standing and human rights of another State.—We find untenable following: “(1) the nationality of a person, his complainant, had lodged, according to the petitioner’s insistence that “[s]ince private domicile, his residence, his place of sojourn, plaintiff below (herein private respondent). respondent instituted this suit, she has the or his origin; (2) the seat of a legal or juridical All told, it is not without basis to identify the burden of pleading and proving the person, such as a corporation; (3) the situs of Philippines as the situs of the alleged tort. applicable Saudi law on the matter.” As aptly a thing, that is, the place where a thing is, or Same; Same; Same; Same; “State of said by private respondent, she has “no is deemed to be situated. In particular, the Most Significant Relationship” Rule; The obligation to plead and prove the law of the the lex situs is decisive when real rights are “State of the most significant relationship” Kingdom of Saudi Arabia since her cause of involved; (4) the place where an act has been rule is the appropriate modern theory on tort action is based on Articles 19 and 21” of the done, the locus actus, such as the place where liability to apply in the instant case.—With Civil Code of the Philippines. In her a contract has been made, a marriage the widespread criticism of the traditional Amended Complaint and subsequent celebrated, a will signed or a tort committed. rule of lex loci delicti commissi, modern pleadings, she never alleged that Saudi law The lex loci actus is particularly important in theories and rules on tort liability have been should govern this case. And as correctly contracts and torts; (5) the place where an act advanced to offer fresh judicial approaches to held by the respondent appellate court, is intended to come into effect, e.g., the place arrive at just results. In keeping abreast “considering that it was the petitioner who of performance of contractual duties, or the with the modern theories on tort liability, we was invoking the applicability of the law of place where a power of attorney is to be find here an occasion to apply the “State of Saudi Arabia, then the burden was on it exercised; (6) the intention of the contracting the most significant relationship” rule, which [petitioner] to plead and to establish what parties as to the law that should govern their in our view should be appropriate to apply the law of Saudi Arabia is.” agreement, the lex loci intentionis; (7) the now, given the factual context of this case. In place where judicial or administrative applying said principle to determine the PETITION for review on certiorari of a proceedings are instituted or done. The lex State which has the most significant decision of the Court of Appeals. fori—the law of the forum—is particularly relationship, the following contacts are to be important because, as we have seen earlier, taken into account and evaluated according The facts are stated in the opinion of the matters of ‘procedure’ not going to the to their relative importance with respect to Court. substance of the claim involved are governed the particular issue: (a) the place where the Siguion Reyna, Montecillo & by it; and because the lex fori applies injury occurred; (b) the place where the Ongsiako for petitioner. whenever the content of the otherwise conduct causing the injury occurred; (c) the Padilla, Jimenez, Kintanar & Asuncion Law applicable foreign law is excluded from domicile, residence, nationality, place of Offices for private respondent. application in a given case for the reason that incorporation and place of business of the it falls under one of the exceptions to the parties; and (d) the place where the applications of foreign law; and (8) the flag of relationship, if any, between the parties is QUISUMBING, J.: a ship, which in many cases is decisive of centered. practically all legal relationships of the ship This petition for certiorari pursuant to Rule and of its master or owner as such. It also Same; Same; Same; Same; Same; Wh 45 of the Rules of Court seeks to annul and covers contractual relationships particularly ere the Philippines is the situs of the tort set aside the Resolution1 dated September contracts of affreightment.” (Italics ours.) complained of and the place “having the most 27, 1995 and the Decision2 dated April 10, interest in the problem,” the Philippine law 1996 of the Court of Appeals3 in CA-G.R. SP Same; Same; Same; Torts; Where the on tort liability should have paramount No. 36533,4 and the Orders5 dated August action is one involving torts, the “connecting application to and control in the resolution of 29, 19946 and February 2, 19957 that were factor” or “point of contact” could be the place the legal issues arising therein.—As already issued by the trial court in Civil Case No. Q- or places where the tortious conduct or lex loci discussed, there is basis for the claim that 93-18394.8 actus occurred; The Philippines is the situs of over-all injury occurred and lodged in the The pertinent antecedent facts which the tort where it is in the Philippines where Philippines. There is likewise no question gave rise to the instant petition, as stated in the defendant allegedly deceived the plaintiff, that private respondent is a resident Filipina the questioned Decision,9 are as follows: a citizen residing and working here, and the national, working with petitioner, a resident “On January 21, 1988 defendant SAUDIA fact that certain acts or parts of the injury foreign corporation engaged here in the hired plaintiff as a Flight Attendant for its occurred in another country is of no moment, business of international air carriage. Thus, airlines based in Jeddah, Saudi Arabia. x x x for what is important is the place where the the “relationship” between the parties was On April 27, 1990, while on a lay-over in over-all harm or the totality of the injury to centered here, although it should be stressed Jakarta, Indonesia, plaintiff went to a disco the person, reputation, social standing and that this suit is not based on mere labor law dance with fellow crew members Thamer human rights of the plaintiff had lodged.— violations. From the record, the claim that AlGazzawi and Allah Al-Gazzawi, both Considering that the complaint in the court a the Philippines has the most significant Saudi nationals. Because it was almost quo is one involving torts, the “connecting contact with the matter in this dispute, morning when they returned to their hotels, factor” or “point of contact” could be the place raised by private respondent as plaintiff they agreed to have breakfast together at the or places where the tortious conduct or lex below against defendant (herein petitioner), room of Thamer. When they were in te (sic) loci actus occurred. And applying the torts in our view, has been properly established. room, Allah left on some pretext. Shortly principle in a conflicts case, we find that the Prescinding from this premise that the after he did, Thamer attempted to rape Philippines could be said as a situs of the tort Philippines is the situs of the tort complained plaintiff. Fortunately, a roomboy and several (the place where the alleged tortious conduct of and the place “having the most interest in security personnel heard her cries for help took place). This is because it is in the the problem,” we find, by way of and rescued her. Later, the Indonesian police Philippines where petitioner allegedly recapitulation, that the Philippine law on came and arrested Thamer and Allah Al- deceived private respondent, a Filipina tort liability should have paramount Gazzawi, the latter as an accomplice. residing and working here. According to her, application to and control in the resolution of When plaintiff returned to Jeddah a few she had honestly believed that petitioner the legal issues arising out of this case. days later, several SAUDIA officials would, in the exercise of its rights and in the Further, we hold that the respondent interrogated her about the Jakarta incident. performance of its duties, “act with justice, Regional Trial Court has jurisdiction over They then requested her to go back to give her her due and observe honesty and the parties and the subject matter of the Jakarta to help arrange the release of good faith.” Instead, petitioner failed to complaint; the appropriate venue is in Thamer and Allah. In Jakarta, SAUDIA protect her, she claimed. That certain acts or Quezon City, which could properly apply Legal Officer Sirah Akkad and base manager parts of the injury allegedly occurred in Philippine law. Baharini negotiated with the police for the another country is of no moment. For in our Same; Pleadings and immediate release of the detained crew view what is important here is the place Practice; Evidence; A party whose cause of members but did not succeed because shock, rendered a decision, translated to her the Philippines does not have any plaintiff refused to cooperate. She was afraid in English, sentencing her to five months substantial interest in the prosecution of the that she might be tricked into something she imprisonment and to 286 lashes. Only then instant case, and hence, without jurisdiction did not want because of her inability to did she realize that the Saudi court had tried to adjudicate the same. understand the local dialect. She also her, together with Thamer and Allah, for Respondent Judge subsequently issued declined to sign a blank paper and a what happened in Jakarta. The court found another Order24dated February 2, 1995, document written in the local dialect. plaintiff guilty of (1) adultery; (2) going to a denying SAUDIA’s Motion for Eventually, SAUDIA allowed plaintiff to disco, dancing and listening to the music in Reconsideration. The pertinent portion of the return to Jeddah but barred her from the violation of Islamic laws; and (3) socializing assailed Order reads as follows: Jakarta flights. with the male crew, in contravention of “Acting on the Motion for Reconsideration of Plaintiff learned that, through the Islamic tradition.”10 defendant Saudi Arabian Airlines filed, thru intercession of the Saudi Arabian counsel, on September 20, 1994, and the government, the Indonesian authorities Facing conviction, private respondent sought Opposition thereto of the plaintiff filed, thru agreed to deport Thamer and Allah after two the help of her employer, petitioner SAUDIA. counsel, on October 14, 1994, as well as the weeks of detention. Eventually, they were Unfortunately, she was denied any Reply therewith of defendant Saudi Arabian again put in service by defendant SAUDIA assistance. She then asked the Philippine Airlines filed, thru counsel, on October 24, (sic). In September 1990, defendant SAUDIA Embassy in Jeddah to help her while her 1994, considering that a perusal of the transferred plaintiff to Manila. case is on appeal. Meanwhile, to pay for her plaintiff’s Amended Complaint, which is one On January 14, 1992, just when plaintiff upkeep, she worked on the domestic flight of for the recovery of actual, moral and thought that the Jakarta incident was SAUDIA, while Thamer and Allah continued exemplary damages plus attorney’s fees, already behind her, her superiors requested to serve in the international flights.11 upon the basis of the applicable Philippine her to see Mr. Ali Meniewy, Chief Legal Because she was wrongfully convicted, law, Article 21 of the New Civil Code of the Officer of SAUDIA, in Jeddah, Saudi Arabia. the Prince of Makkah dismissed the case Philippines, is, clearly, within the When she saw him, he brought her to the against her and allowed her to leave Saudi jurisdiction of this Court as regards the police station where the police took her Arabia. Shortly before her return to subject matter, and there being nothing new passport and questioned her about the Manila,12she was terminated from the of substance which might cause the reversal Jakarta incident. Miniewy simply stood by as service by SAUDIA, without her being or modification of the order sought to be the police put pressure on her to make a informed of the cause. reconsidered, the motion for reconsideration statement dropping the case against Thamer On November 23, 1993, Morada filed a of the defendant, is DENIED. and Allah. Not until she agreed to do so did Complaint13 for damages against SAUDIA, SO ORDERED.”25 the police return her passport and allowed and Khaled Al-Balawi (“Al-Balawi”), its her to catch the afternoon flight out of country manager. Consequently, on February 20, 1995, Jeddah. On January 19, 1994, SAUDIA filed an SAUDIA filed its Petition for Certiorari and One year and a half later or on June 16, Omnibus Motion To Dismiss14 which raised Prohibition with Prayer for Issuance of Writ 1993, in Riyadh, Saudi Arabia, a few minutes the following grounds, to wit: (1) that the of Preliminary Injunction and/or Temporary before the departure of her flight to Manila, Complaint states no cause of action against Restraining Order26 with the Court of plaintiff was not allowed to board the plane SAUDIA; (2) that defendant Al-Balawi is not Appeals. and instead ordered to take a later flight to a real party in interest; (3) that the claim or Respondent Court of Appeals Jeddah to see Mr. Miniewy, the Chief Legal demand set forth in the Complaint has been promulgated a Resolution with Temporary Officer of SAUDIA. When she did, a certain waived, abandoned or otherwise Restraining Order27 dated February 23, Khalid of the SAUDIA office brought her to a extinguished; and (4) that the trial court has 1995, prohibiting the respondent Judge from Saudi court where she was asked to sign a no jurisdiction to try the case. further conducting any proceeding, unless document written in Arabic. They told her On February 10, 1994, Morada filed her otherwise directed, in the interim. that this was necessary to close the case Opposition (To Motion to In another Resolution28 promulgated on against Thamer and Allah. As it turned out, Dismiss).15 SAUDIA filed a reply16 thereto on September 27, 1995, now assailed, the plaintiff signed a notice to her to appear March 3, 1994. appellate court denied SAUDIA’s Petition for before the court on June 27, 1993. Plaintiff On June 23, 1994, Morada filed an the Issuance of a Writ of Preliminary then returned to Manila. Amended Complaint17 wherein Al-Balawi Injunction dated February 18, 1995, to wit: was dropped as party defendant. On August “The Petition for the Issuance of a Writ of Shortly afterwards, defendant SAUDIA 11, 1994, SAUDIA filed its Manifestation Preliminary Injunction is hereby DENIED, summoned plaintiff to report to Jeddah once and Motion to Dismiss Amended after considering the Answer, with Prayer to again and see Miniewy on June 27, 1993 for Complaint.18 Deny Writ of Preliminary Injunction (Rollo, further investigation. Plaintiff did so after The trial court issued an Order19 dated p. 135) the Reply and Rejoinder, it appearing receiving assurance from SAUDIA’s Manila August 29, 1994 denying the Motion to that herein petitioner is not clearly entitled manager, Aslam Saleemi, that the Dismiss Amended Complaint filed by thereto (Unciano Paramedical College, et al. investigation was routinary and that it posed SAUDIA. v. Court of Appeals, et al., G.R. No. 100335, no danger to her. From the Order of respondent April 7, 1993, Second Division). In Jeddah, a SAUDIA legal officer Judge20 denying the Motion to Dismiss, SO ORDERED.” brought plaintiff to the same Saudi court on SAUDIA filed on September 20, 1994, its June 27, 1993. Nothing happened then but Motion for Reconsideration21 of the Order On October 20, 1995, SAUDIA filed with this on June 28, 1993, a Saudi judge interrogated dated August 29, 1994. It alleged that the Honorable Court the instant Petition29 for plaintiff through an interpreter about the trial court has no jurisdiction to hear and try Review with Prayer for Temporary Jakarta incident. After one hour of the case on the basis of Article 21 of the Civil Restraining Order dated October 13, 1995. interrogation, they let her go. At the airport, Code, since the proper law applicable is the However, during the pendency of the however, just as her plane was about to take law of the Kingdom of Saudi Arabia. On instant Petition, respondent Court of off, a SAUDIA officer told her that the airline October 14, 1994, Morada filed her Appeals rendered the Decision30 dated April had forbidden her to take flight. At the Opposition22 (To Defendant’s Motion for 10, 1996, now also assailed. It ruled that the Inflight Service Office where she was told to Reconsideration). Philippines is an appropriate forum go, the secretary of Mr. Yahya Saddick took In the Reply23 filed with the trial court considering that the Amended Complaint’s away her passport and told her to remain in on October 24, 1994, SAUDIA alleged that basis for recovery of damages is Article 21 of Jeddah, at the crew quarters, until further since its Motion for Reconsideration raised the Civil Code, and thus, clearly within the orders. lack of jurisdiction as its cause of action, the jurisdiction of respondent Court. It further On July 3, 1993, a SAUDIA legal officer Omnibus Motion Rule does not apply, even if held that certiorari is not the proper remedy again escorted plaintiff to the same court that ground is raised for the first time on in a denial of a Motion to Dismiss, inasmuch where the judge, to her astonishment and appeal. Additionally, SAUDIA alleged that as the petitioner should have proceeded to trial, and in case of an adverse ruling, find WHETHER RESPONDENT take a later flight to Jeddah to recourse in an appeal. APPELLATE COURT ERRED IN RULING see Mr. Meniewy, the Chief Legal On May 7, 1996, SAUDIA filed its THAT IN THIS CASE PHILIPPINE LAW Officer of SAUDIA. When she Supplemental Petition for Review with SHOULD GOVERN. did, a certain Khalid of the Prayer for Temporary Restraining SAUDIA office brought her to a Order31dated April 30, 1996, given due Petitioner SAUDIA claims that before us is a Saudi court where she was asked course by this Court. After both parties conflict of laws that must be settled at the to sign a document written in submitted their Memoranda,32 the instant outset. It maintains that private Arabic. They told her that this case is now deemed submitted for decision. respondent’s claim for alleged abuse of rights was necessary to close the case Petitioner SAUDIA raised the following occurred in the Kingdom of Saudi Arabia. It against Thamer and Allah. As it issues: alleges that the existence of a foreign turned out, plaintiff signed a “I. element qualifies the instant case for the notice to her to appear before the application of the law of the Kingdom of court on June 27, 1993. Plaintiff Saudi Arabia, by virtue of the lex loci delicti then returned to Manila. The trial court has no jurisdiction to hear and try Civil Case No. Q-93-18394 based on commissi rule.34 Article 21 of the New Civil Code since the On the other hand, private respondent contends that since her Amended Complaint 1. 9.Shortly afterwards, defendant proper law applicable is the law of the SAUDIA summoned plaintiff to Kingdom of Saudi Arabia inasmuch as this is based on Articles 1935 and 2136 of the Civil Code, then the instant case is properly a report to Jeddah once again and case involves what is known in private see Miniewy on June 27, 1993 for matter of domestic law.37 international law as a ‘conflicts problem.’ further investigation. Plaintiff Under the factual antecedents obtaining Otherwise, the Republic of the Philippines did so after receiving assurance will sit in judgment of the acts done by in this case, there is no dispute that the interplay of events occurred in two states, from SAUDIA’s Manila manager, another sovereign state which is abhorred. Aslam Saleemi, that the the Philippines and Saudi Arabia. As stated by private respondent in her investigation was routinary and II. Amended Complaint38 dated June 23, 1994: that it posed no danger to her. 2. 10.In Jeddah, a SAUDIA legal Leave of court before filing a officer brought plaintiff to the 1. “2. Defendant SAUDI ARABIAN same Saudi court on June 27, supplemental pleading is not a jurisdictional AIRLINES or SAUDIA is a 1993. Nothing happened then but requirement. Besides, the matter as to foreign airlines corporation doing on June 28, 1993, a Saudi judge absence of leave of court is now moot and business in the Philippines. It interrogated plaintiff through an academic when this Honorable Court may be served with summons and interpreter about the Jakarta required the respondents to comment on other court processes at Travel incident. After one hour of petitioner’s April 30, 1996 Supplemental Wide Associated Sales (Phils.), interrogation, they let her go. At Petition For Review With Prayer For A Inc., 3rd Floor, Cougar Building, the airport, however, just as her Temporary Restraining Order Within Ten 114 Valero St., Salcedo Village, plane was about to take off, a (10) Days From Notice Thereof. Further, the Makati, Metro Manila.x x x x SAUDIA officer told her that the Revised Rules of Court should be construed xx xxx airline had forbidden her to take with liberality pursuant to Section 2, Rule 1 2. 6.Plaintiff learned that, through that flight. At the Inflight Service thereof. the intercession of the Saudi Office where she was told to go, Arabian government, the the secretary of Mr. Yahya III. Indonesian authorities agreed to Saddick took away her passport deport Thamer and Allah after and told her to remain in Jeddah, Petitioner received on April 22, 1996 the two weeks of detention. at the crew quarters, until April 10, 1996 decision in CA-G.R. SP No. Eventually, they were again put further orders. 36533 entitled ‘Saudi Arabian Airlines v. in service by defendant 3. 11.On July 3, 1993 a SAUDIA legal Hon. Rodolfo A. Ortiz, et al.’ and filed its SAUDIA. In September 1990, officer again escorted plaintiff to April 30, 1996 Supplemental Petition For defendant SAUDIA transferred the same court where the judge, Review With Prayer For A Temporary plaintiff to Manila. to her astonishment and shock, Restraining Order on May 7, 1996 at 10:29 3. 7.On January 14, 1992, just when rendered a decision, translated to a.m. or within the 15-day reglementary plaintiff thought that the Jakarta her in English, sentencing her to period as provided for under Section 1, Rule incident was already behind her, five months imprisonment and to 45 of the Revised Rules of Court. Therefore, her superiors requested her to see 286 lashes. Only then did she the decision in CA-G.R. SP No. 36533has not Mr. Ali Meniewy, Chief Legal realize that the Saudi court had yet become final and executory and this Officer of SAUDIA, in Jeddah, tried her, together with Thamer Honorable Court can take cognizance of this Saudi Arabia. When she saw and Allah, for what happened in case.”33 him, he brought her to the police Jakarta. The court found plaintiff From the foregoing factual and procedural station where the police took her guilty of (1) adultery; (2) going to antecedents, the following issues emerge for passport and questioned her a disco, dancing, and listening to our resolution: about the Jakarta incident. the music in violation of Islamic I. Miniewy simply stood by as the laws; (3) socializing with the police put pressure on her to male crew, in contravention of WHETHER RESPONDENT APPELLATE make a statement dropping the Islamic tradition. COURT ERRED IN HOLDING THAT THE case against Thamer and Allah. 4. 12.Because SAUDIA refused to REGIONAL TRIAL COURT OF QUEZON Not until she agreed to do so did lend her a hand in the case, CITY HAS JURISDICTION TO HEAR AND the police return her passport plaintiff sought the help of the TRY CIVIL CASE NO. Q-93- and allowed her to catch the Philippine Embassy in Jeddah. 18394 ENTITLED “MILAGROS P. afternoon flight out of Jeddah. The latter helped her pursue an MORADA V. SAUDI ARABIAN AIRLINES.” 4. 8.One year and a half later or on appeal from the decision of the June 16, 1993, in Riyadh, Saudi court. To pay for her upkeep, she Arabia, a few minutes before the worked on the domestic flights of II. departure of her flight to Manila, defendant SAUDIA while, plaintiff was not allowed to board ironically, Thamer and Allah the plane and instead ordered to freely served the international provisions. Thus, we agree with private the parties. The choice of forum of the flights.”39 respondent’s assertion that violations of plaintiff (now private respondent) should be Articles 19 and 21 are actionable, with upheld. judicially enforceable remedies in the Similarly, the trial court also possesses Where the factual antecedents satisfactorily municipal forum. jurisdiction over the persons of the parties establish the existence of a foreign element, Based on the allegations46 in the herein. By filing her Complaint and we agree with petitioner that the problem Amended Complaint, read in the light of the Amended Complaint with the trial court, herein could present a “conflicts” case. Rules of Court on jurisdiction47 we find that private respondent has voluntarily A factual situation that cuts across the Regional Trial Court (RTC) of Quezon submitted herself to the jurisdiction of the territorial lines and is affected by the diverse City possesses jurisdiction over the subject court. laws of two or more states is said to contain matter of the suit.48Its authority to try and The records show that petitioner a “foreign element.” The presence of a foreign hear the case is provided for under Section 1 SAUDIA has filed several motions50 praying element is inevitable since social and of Republic Act No. 7691, to wit: for the dismissal of Morada’s Amended economic affairs of individuals and “Section 1. Section 19 of Batas Pambansa Complaint. SAUDIA also filed an Answer associations are rarely confined to the Blg. 129, otherwise known as the “Judiciary In Ex Abundante Cautelam dated February geographic limits of their birth or Reorganization Act of 1980,” is hereby 20, 1995. What is very patent and explicit conception.40 amended to read as follows: from the motions filed, is that SAUDIA The forms in which this foreign element SEC. 19. Jurisdiction in Civil Cases.— prayed for other reliefs under the premises. may appear are many.41 The foreign element Regional Trial Courts shall exercise Undeniably, petitioner SAUDIA has may simply consist in the fact that one of the exclusive jurisdiction: effectively submitted to the trial court’s parties to a contract is an alien or has a xxx xxx xxx jurisdiction by praying for the dismissal of foreign domicile, or that a contract between (8) In all other cases in which the Amended Complaint on grounds other nationals of one State involves properties demand, exclusive of interest, damages of than lack of jurisdiction. situated in another State. In other cases, the whatever kind, attorney’s fees, litigation foreign element may assume a complex expenses, and cost or the value of the As held by this Court in Republic vs. Ker and form.42 property in controversy exceeds One Company, Ltd.:51 In the instant case, the foreign element hundred thousand pesos (P100,000.00) or, in “We observe that the motion to dismiss filed consisted in the fact that private respondent such other cases in Metro Manila, where the on April 14, 1962, aside from disputing the Morada is a resident Philippine national, demand, exclusive of the above-mentioned lower court’s jurisdiction over defendant’s and that petitioner SAUDIA is a resident items exceeds Two hundred thousand pesos person, prayed for dismissal of the complaint foreign corporation. Also, by virtue of the (P200,000.00). (Emphasis ours) on the ground that plaintiff’s cause of action employment of Morada with the petitioner xxx xxx xxx has prescribed. By interposing such second SAUDIA as a flight stewardess, events did ground in its motion to dismiss, Ker and Co., transpire during her many occasions of And following Section 2(b), Rule 4 of the Ltd. availed of an affirmative defense on the travel across national borders, particularly Revised Rules of Court—the venue, Quezon basis of which it prayed the court to resolve from Manila, Philippines to Jeddah, Saudi City, is appropriate: controversy in its favor. For the court to Arabia, and vice versa, that caused a “SEC. 2. Venue in Courts of First Instance.— validly decide the said plea of defendant Ker “conflicts” situation to arise. [Now Regional Trial Court] & Co., Ltd., it necessarily had to acquire We thus find private respondent’s (a) x x x xxx xxx jurisdiction upon the latter’s person, who, assertion that the case is purely domestic, (b) Personal actions.—All other actions being the proponent of the affirmative imprecise. A conflicts problem presents itself may be commenced and tried where the defense, should be deemed to have here, and the question of defendant or any of the defendants resides or abandoned its special appearance and jurisdiction43confronts the court a quo. may be found, or where the plaintiff or any of voluntarily submitted itself to the After a careful study of the private the plaintiff resides, at the election of the jurisdiction of the court.” respondent’s Amended Complaint,44 and the plaintiff.” Comment thereon, we note that she aptly Similarly, the case of De Midgely vs. predicated her cause of action on Articles 19 Pragmatic considerations, including the Ferandos, held that: and 21 of the New Civil Code. convenience of the parties, also weigh “When the appearance is by motion for the On one hand, Article 19 of the New Civil heavily in favor of the RTC Quezon City purpose of objecting to the jurisdiction of the Code provides: assuming jurisdiction. Paramount is the court over the person, it must be for the sole “Art. 19. Every person must, in the exercise private interest of the litigant. Enforceability and separate purpose of objecting to the of his rights and in the performance of his of a judgment if one is obtained is quite jurisdiction of the court. If his motion is for duties, act with justice give everyone his due obvious. Relative advantages and obstacles any other purpose than to object to the and observe honesty and good faith.” to a fair trial are equally important. Plaintiff jurisdiction of the court over his person, he may not, by choice of an inconvenient forum, thereby submits himself to the jurisdiction of On the other hand, Article 21 of the New ‘vex,’ ‘harass,’ or ‘oppress’ the defendant, e.g. the court. A special appearance by motion Civil Code provides: by inflicting upon him needless expense or made for the purpose of objecting to the “Art. 21. Any person who willfully causes loss disturbance. jurisdiction of the court over the person will or injury to another in a manner that is be held to be a general appearance, if the contrary to morals, good customs or public But unless the balance is strongly in favor of party in said motion should, for example, ask policy shall compensate the latter for the defendant, the plaintiff’s choice of forum for a dismissal of the action upon the further damages.” should rarely be disturbed.49 ground that the court had no jurisdiction Weighing the relative claims of the over the subject matter.”52 Thus, in Philippine National Bank (PNB) vs. parties, the court a quo found it best to hear Court of Appeals,45 this Court held that: the case in the Philippines. Had it refused to Clearly, petitioner had submitted to the “The aforecited provisions on human take cognizance of the case, it would be jurisdiction of the Regional Trial Court of relations were intended to expand the forcing plaintiff (private respondent now) to Quezon City. Thus, we find that the trial concept of torts in this jurisdiction by seek remedial action elsewhere, i.e. in the court has jurisdiction over the case and that granting adequate legal remedy for the Kingdom of Saudi Arabia where she no its exercise thereof, justified. untold number of moral wrongs which is longer maintains substantial connections. As to the choice of applicable law, we impossible for human foresight to specifically That would have caused a fundamental note that choice-of-law problems seek to provide in the statutes.” unfairness to her. answer two important questions: (1) What Although Article 19 merely declares a Moreover, by hearing the case in the legal system should control a given situation principle of law, Article 21 gives flesh to its Philippines no unnecessary difficulties and where some of the significant facts occurred inconvenience have been shown by either of in two or more states; and (2) to what extent should the chosen legal system regulate the of ‘procedure’ not going to the Instead, petitioner failed to protect her, she situation.53 substance of the claim involved claimed. That certain acts or parts of the Several theories have been propounded are governed by it; and because injury allegedly occurred in another country in order to identify the legal system that the lex foriapplies whenever the is of no moment. For in our view what is should ultimately control. Although ideally, content of the otherwise important here is the place where the over- all choice-of-law theories should intrinsically applicable foreign law is excluded all harm or the totality of the alleged injury advance both notions of justice and from application in a given case to the person, reputation, social standing and predictability, they do not always do so. The for the reason that it falls under human rights of complainant, had lodged, forum is then faced with the problem of one of the exceptions to the according to the plaintiff below (herein deciding which of these two important values applications of foreign law; and private respondent). All told, it is not without should be stressed.54 8. (8)the flag of a ship, which in many basis to identify the Philippines as the situs Before a choice can be made, it is cases is decisive of practically all of the alleged tort. necessary for us to determine under what legal relationships of the ship Moreover, with the widespread criticism category a certain set of facts or rules fall. and of its master or owner as of the traditional rule of lex loci delicti This process is known as “characterization,” such. It also covers contractual commissi, modern theories and rules on tort or the “doctrine of qualification.” It is the relationships particularly liability61 have been advanced to offer fresh “process of deciding whether or not the facts contracts of judicial approaches to arrive at just results. relate to the kind of question specified in a affreightment.”60 (Italics ours.) In keeping abreast with the modern theories conflicts rule.”55 The purpose of on tort liability, we find here an occasion to “characterization” is to enable the forum to apply the “State of the most significant After a careful study of the pleadings on select the proper law.56 relationship” rule, which in our view should record, including allegations in the Amended Our starting point of analysis here is not be appropriate to apply now, given the Complaint deemed admitted for purposes of a legal relation, but a factual situation, factual context of this case. the motion to dismiss, we are convinced that event, or operative fact.57An essential In applying said principle to determine there is reasonable basis for private element of conflict rules is the indication of a the State which has the most significant respondent’s assertion that although she was “test” or “connecting factor” or “point of relationship, the following contacts are to be already working in Manila, petitioner contact.” Choice-of-law rules invariably taken into account and evaluated according brought her to Jeddah on the pretense that consist of a factual relationship (such as to their relative importance with respect to she would merely testify in an investigation property right, contract claim) and a the particular issue: (a) the place where the of the charges she made against the two connecting factor or point of contact, such as injury occurred; (b) the place where the SAUDIA crew members for the attack on her the situs of the res, the place of celebration, conduct causing the injury occurred; (c) the person while they were in Jakarta. As it the place of performance, or the place of domicile, residence, nationality, place of turned out, she was the one made to face trial wrongdoing.58 incorporation and place of business of the for very serious charges, including adultery Note that one or more circumstances parties; and (d) the place where the and violation of Islamic laws and tradition. may be present to serve as the possible test relationship, if any, between the parties is There is likewise logical basis on record for the determination of the applicable centered.62 for the claim that the “handing over” or law.59 These “test factors” or “points of As already discussed, there is basis for “turning over” of the person of private contact” or “connecting factors” could be any the claim that overall injury occurred and respondent to Jeddah officials, petitioner of the following: lodged in the Philippines. There is likewise may have acted beyond its duties as no question that private respondent is a employer. Petitioner’s purported act resident Filipina national, working with 1. “(1)the nationality of a person, his contributed to and amplified or even petitioner, a resident foreign corporation domicile, his residence, his place proximately caused additional humiliation, engaged here in the business of international of sojourn, or his origin; misery and suffering of private respondent. air carriage. Thus, the “relationship” 2. (2)the seat of a legal or juridical Petitioner thereby allegedly facilitated the between the parties was centered here, person, such as a corporation; arrest, detention and prosecution of private although it should be stressed that this suit 3. (3)the situs of a thing, that is, the respondent under the guise of petitioner’s is not based on mere labor law violations. place where a thing is, or is authority as employer, taking advantage of From the record, the claim that the deemed to be situated. In the trust, confidence and faith she reposed Philippines has the most significant contact particular, the lex situs is upon it. As purportedly found by the Prince with the matter in this dispute,63 raised by decisive when real rights are of Makkah, the alleged conviction and private respondent as plaintiff below against involved; imprisonment of private respondent was defendant (herein petitioner), in our view, 4. (4)the place where an act has been wrongful. But these capped the injury or has been properly established. done, the locus actus, such as the harm allegedly inflicted upon her person and Prescinding from this premise that the place where a contract has been reputation, for which petitioner could be Philippines is the situs of the tort complained made, a marriage celebrated, a liable as claimed, to provide compensation or of and the place “having the most interest in will signed or a tort committed. redress for the wrongs done, once duly the problem,” we find, by way of The lex loci actus is particularly proven. recapitulation, that the Philippine law on important in contracts and torts; Considering that the complaint in the tort liability should have paramount 5. (5)the place where an act is court a quo is one involving torts, the application to and control in the resolution of intended to come into effect, e.g., “connecting factor” or “point of contact” could the legal issues arising out of this case. the place of performance of be the place or places where the tortious Further, we hold that the respondent contractual duties, or the place conduct or lex loci actus occurred. And Regional Trial Court has jurisdiction over where a power of attorney is to be applying the torts principle in a conflicts the parties and the subject matter of the exercised; case, we find that the Philippines could be complaint; the appropriate venue is in 6. (6)the intention of the contracting said as a situs of the tort (the place where the Quezon City, which could properly apply parties as to the law that should alleged tortious conduct took place). This is Philip-pine law. Moreover, we find untenable govern their agreement, the lex because it is in the Philippines where petitioner’s insistence that “[s]ince private loci intentionis; petitioner allegedly deceived private respondent instituted this suit, she has the 7. (7)the place where judicial or respondent, a Filipina residing and working burden of pleading and proving the administrative proceedings are here. According to her, she had honestly applicable Saudi law on the matter.”64 As instituted or done. The lex fori— believed that petitioner would, in the aptly said by private respondent, she has “no the law of the forum—is exercise of its rights and in the performance obligation to plead and prove the law of the particularly important because, of its duties, “act with justice, give her her Kingdom of Saudi Arabia since her cause of as we have seen earlier, matters due and observe honesty and good faith.” action is based on Articles 19 and 21” of the Civil Code of the Philippines. In her Amended Complaint and subsequent pleadings, she never alleged that Saudi law should govern this case.65 And as correctly held by the respondent appellate court, “considering that it was the petitioner who was invoking the applicability of the law of Saudi Arabia, then the burden was on it [petitioner] to plead and to establish what the law of Saudi Arabia is.”66 Lastly, no error could be imputed to the respondent appellate court in upholding the trial court’s denial of defendant’s (herein petitioner’s) motion to dismiss the case. Not only was jurisdiction in order and venue properly laid, but appeal after trial was obviously available, and expeditious trial itself indicated by the nature of the case at hand. Indubitably, the Philippines is the state intimately concerned with the ultimate outcome of the case below, not just for the benefit of all the litigants, but also for the vindication of the country’s system of law and justice in a transnational setting. With these guidelines in mind, the trial court must proceed to try and adjudge the case in the light of relevant Philippine law, with due consideration of the foreign element or elements involved. Nothing said herein, of course, should be construed as prejudging the results of the case in any manner whatsoever. WHEREFORE, the instant petition for certiorari is hereby DISMISSED Civil Case No. Q-93-18394 entitled “Milagros P. Morada vs. Saudi Arabia Airlines” is hereby REMANDED to Regional Trial Court of Quezon City, Branch 89 for further proceedings. SO ORDERED. Davide, Jr. (Chairman), Bellosillo, Vitug and Panga niban, JJ., concur.
Petition dismissed, Civil Case No. Q-93-
18394 remanded to lower court. Notes.—Forum-shopping originated as a concept in private international law, where non-resident litigants are given the option to choose the forum or place wherein to bring their suit for various reasons or excuses, including to secure procedural advantages, to annoy and harass the defendant, to avoid overcrowded dockets, or to select a more friendly venue. (First Philippine International Bank vs. Court of Appeals, 252 SCRA 259 [1996]) After having acquired jurisdiction over a plaintiff foreign corporation by virtue of the filing of the original complaint, the Philippine court now has the discretion, based on the facts of the case, to either give due course to the suit or dismiss it, on the principle of forum non conveniens. (Communication Materials and Design, Inc. vs. Court of Appeals, 260 SCRA 673 [1996])