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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])

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