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NATURE: FACTS:
Petition for Review Montaño worked as a legal assistant of the
Federation of Free Workers (FFW) Legal
SUMMARY: Center on 1 October 1994.
Montaño was a legal assistant of the FFW Legal o He subsequently joined the union of
Center. He was later nominated for the position rank-and-file employees, the FFW
of National VP. The FFW COMELEC sent him a Staff Association, and eventually
letter stating that he was not qualified for the became the employees’ union
position as his candidacy violated the FFW CBL president in July 1997.
(see footnote 1). During the election, pending o In November 1998, he was
Montaño’s MR and despite opposition from designated OIC of the Legal Center.
Verceles, the convention delegates allowed his During the 21st National Convention and
candidacy. Montaño won the election as Election of National Officers of FFW,
National VP. Verceles filed a Petition for the Montaño was nominated for the position of
nullification of Montaño’s election before the National VP.
BLR. The BLR dismissed the Petition. On In a letter (25 May 2001) by the FFW
Certiorari, the CA nullified Montaño’s election for COMELEC, however, Montaño was
violation of Art. VIII, Sec. 26 of the FFW CBL informed that he was not qualified for the
(see footnote 3). Hence, the instant Petition for position.
Review. The SC upheld the CA’s decision but on o His candidacy violates the 1998
the ground that Montaño was barred from sitting FFW Constitution and By-Laws
in the Governing Board while he was employed (CBL), particularly Art. XIX, Sec. 76 1
as a staff of the FFW (the same ground used by and Art. VIII, Sec. 25(a)2.
the FFW COMELEC). Montaño filed an urgent MR
to be included in the official
DOCTRINE: list of candidates.
The Federation/Union's Constitution and By- Election ensued on 26-27 May 2001 in the
Laws govern the relationship between and National Convention held at Subic
among its members. They are akin to International Hotel.
ordinary contracts in that their provisions o The convention delagates allowed
have obligatory force upon the federation/ Montaño’s candidacy; he won and
union and its member. What has been
expressly stipulated therein shall be strictly 1 “Except as otherwise provided in this Constitution,
binding on both. no Member of the Governing Board shall at the same
Under Book V, Rule XV, Section 2 (b) and (i) time be an employee in the staff of the Federation.”
of the IRR, the Committee [referring to the
FFW COMELEC] shall have the power to 2 “A Candidate/Nominee for the position of
prescribe rules on the qualification and Governing Board Member, whether Titular or
eligibility of candidates and such other rules Deputy shall, except as otherwise provided in this
Constitution, possess the following
as may facilitate the orderly conduct of qualifications:a. he/she must be a bonafide
elections. member of the Federation for at least two (2)
The Committee [referring to the FFW consecutive years and a member of an affiliated
COMELEC] is also regarded as the final organization which is up to date with its monthly
dues to the Federation.
arbiter of all election protests.
x x x”
The FFW COMELEC, undeniably, has
sufficient authority to adopt its own
was proclaimed as National VP body in allowing Atty. Montaño's
despite the pending MR with the candidacy is not valid in view of the
FFW COMELEC and the strong fact that it runs counter to the FFW
opposition and protest of Verceles, a Constitution and the body at that
delegate to the convention and time was not acting as a
president of University of the East Constitutional Convention body
Employees' Association (UEEA- empowered to amend the FFW
FFW) which is an affiliate union of Constitution on the spot.”
FFW. o This was used by Verceles as an
In a letter to the FFW COMELEC Chairman, additional annex to his BLR Petition.
dated 28 May 2001, Verceles reiterated his On 20 August 2001, BLR directed Montaño
protest over Montaño's candidacy which he to submit his Answer.
manifested during the plenary session o The parties thereafter submitted
before the holding of the election in the their respective pleadings and
Convention. position papers.
o On 18 June 2001, Verceles sent a On 8 May 2002, the BLR dismissed
follow-up letter to the FFW Verceles’ Petition for lack of merit.
President requesting immediate o While it upheld its jurisdiction over
action on his protest. the intra-union dispute case and
On 13 July 2001, Verceles, as President of affirmed Verceles' legal personality
UEEA-FFW and officer of the Governing to institute the action as president of
Board of FFW, filed before the BLR a an affiliate union of FFW, the BLR
Petition for the nullification of the election of ruled that there were no grounds to
Montaño. hold Montaño unqualified to run for
o As already ruled by the FFW National VP.
COMELEC, Montaño is not qualified o BLR held that the applicable
to run because Art. XIX, Sec. 76 provision to determine whether one
prohibits federation employees from is qualified to run for office is not Art.
sitting in its Governing Board. XIX, Sec. 76, but Art. VIII, Sec. 263.
o Verceles also prayed for injunctive o The BLR found that there was
relief, claiming that Montaño’s sufficient compliance with the
premature assumption of duties and requirements; moreover, the
formal induction as vice-president convention delegates unanimously
will cause serious damage.
Montaño filed a Comment with MTD. 3 “A candidate for the position of National
President, National Vice-President, and National
o DOLE RD, not the BLR, has
Treasurer shall possess the following
jurisdiction over the case. qualifications:a. a candidate must be a bonafide
o The Petition was prematurely filed member of the Federation for at least two (2)
due to the pending protest before consecutive years;
the FFW COMELEC. b. a candidate must be of good moral character and
has not been convicted by a final judgment of a crime
o Verceles has no legal standing, not
involving moral turpitude before a candidate's election
being a real party-in-interest. to office or during a candidate's incumbency;
Meanwhile, on 16 July 2001, FFW c. except the Treasurer, a candidate must serve the
COMELEC sent a letter to FFW National Federation full time for the period of his/her
President Jabar concerning the election incumbency;
d. a candidate for National President and National
protest. Vice-President must be or must have been an
o “We would like to reiterate what we officer or member of a legitimate labor
stated during the plenary session organization in the FFW for at least three (3)
that our decision was final in view of years. A legitimate labor organization shall mean a
the cited pertinent provisions of the duly registered labor union as defined by the
Labor Code as Amended.”
FFW Constitution and we submit
that the decision of the convention
decided that Montaño was qualified matters relating to his affiliation with
to run. FFW.
Verceles’ MR was denied; thus, he filed a Believing that it will be prejudiced by the CA
Petition for Certiorari before the CA. Decision since its legal existence was put at
o The Convention had no authority stake, the FFW Staff Association, through its
under the FFW CBL to overrule and president, Laserna, sought intervention.
set aside FFW COMELEC’s On 28 June 2005, the CA denied Montaño’s
decision rendered pursuant to the MR and FFW Staff Association’s Motion for
latter’s power to screen candidates. Intervention/Clarification.
On 28 May 2004, the CA set aside the o Montaño thus filed the instant
BLR’s decision. Petition for Review before the SC.
o While it agreed with the BLR
regarding jurisdiction, standing, and NOTE: SEE ISSUE 5
the provision applicable, it held that
Montaño was not qualified under ISSUE 1: Whether or not BLR has jurisdiction
Sec. 26 (d). over intra-union disputes involving a federation
Since Montañom as legal (YES)
assistant employed by FFW, RATIO 1:
is considered a confidential Montaño argues that under Rule XV, Sec.
employee, he is ineligible to 64, in relation to Rule XIV, Sec. 1 5 of the IRR,
join FFW Staff Association, it is the DOLE RD, not the BLR, who has
the rank-and-file union of jurisdiction over the case.
FFW. The SC held that the BLR has jurisdiction
o The CA nullified the election of over the case.
Montaño. o LC 2266 clearly provides that the
Montaño filed an MR. BLR and the Regional Directors
o The CA seriously erred in granting of DOLE have concurrent
Verceles' petition on the ground that jurisdiction over inter-union and
FFW Staff Association, of which he intra-union disputes.
is an officer and member, is not a Such disputes include the
legitimate labor organization. conduct or nullification of
The legitimacy of the union election of union and
was never raised as an workers' association
issue. officers.7
The declaration of the CA
that FFW Staff Association
is not a legitimate labor
4 SEC. 6. Protests and petitions for annulment of
organization amounts to a election results. - Protests or petitions for
collateral attack upon its annulment of the result of an election shall be
legal personality, which is filed with and acted upon by the Regional Director
proscribed by law. in accordance with the provisions prescribed in
o Montaño also reiterated his Rule XIV of this Book. No protest or petition shall
allegations of lack of jurisdiction and be entertained by the Regional Director unless the
lack of cause of action due to a issue raised has been resolved by the committee.
pending protest.
o There was violation of the 5 SEC 1. Complaint; who may file. - Any member
mandatory requirement on of a union may file with the Regional Director a
certification against forum shopping. complaint for any violation of the constitution and
o The case was moot and academic by-laws and the rights and conditions of
due to the appointment of Verceles membership under Article 241 of the Code. x x x.
as NLRC Commissioner, thereby Such complaint shall be filed in the Regional
Office where the union is domiciled.
divesting himself of interest in any
The SC agreed with the BLR’s observation FFW COMELEC pursuant to Book V, Rule
that: “Rule XVI lays down the decentralized XV, Sec. 6 of the IRR8.
intra-union dispute settlement mechanism. The SC held that while it is true that under
Section 1 states that any complaint in this the IRR, redress must first be sought within
regard `shall be filed in the Regional Office the organization itself in accordance with its
where the union is domiciled.' The concept CBL, this requirement is not absolute but
of domicile in labor relations regulation is yields to exception under varying
equivalent to the place where the union circumstances (Villar v. Inciong).
seeks to operate or has established a o CAB: Verceles made his protest
geographical presence for purposes of over Montaño's candidacy during
collective bargaining or for dealing with the plenary session before the
employers concerning terms and conditions holding of the election proceedings.
of employment. The FFW COMELEC,
The matter of venue becomes problematic notwithstanding its reservation and
when the intra-union dispute involves a despite objections from certain
federation, because the geographical convention delegates, allowed
presence of a federation may encompass Montaño's candidacy and
more than one administrative region. proclaimed him winner for the
Pursuant to its authority under Article 226, position. Under the rules, the
this Bureau exercises original jurisdiction COMELEC shall endeavor to settle
over intra-union disputes involving or resolve all protests during or
federations. It is well-settled that FFW, immediately after the close of
having local unions all over the country, election proceedings and any
operates in more than one administrative protest left unresolved shall be
region. Therefore, this Bureau maintains resolved by the committee within
original and exclusive jurisdiction over five days after the close of the
disputes arising from any violation of or election proceedings.9 A day or two
disagreement over any provision of its after the election, Atty. Verceles
constitution and by-laws.” made his written/formal protest over
Atty. Montaño's
ISSUE 2: Whether or not Vercele’s Peition was candidacy/proclamation with the
prematurely filed (NO) FFW COMELEC. He exhausted the
RATIO 2: remedies under the constitution and
Montaño argues that the petition should by-laws to have his protest acted
have been immediately dismissed due to a upon by the proper forum and even
pending and unresolved protest before the asked for a formal hearing on the
matter. Still, the FFW COMELEC
6 ART. 226. BUREAU OF LABOR RELATIONS. - The failed to timely act thereon.
Bureau of Labor Relations and the Labor Relations o “Thus, Atty. Verceles had no other
Divisions in the regional offices of the Department of recourse but to take the next
Labor shall have original and exclusive authority to available remedy to protect the
act, at their own initiative or upon request of either or
both parties, on all inter-union and intra-union
interest of the union he
conflicts, and all disputes, grievances or problems represents as well as the whole
arising from or affecting labor-management relations federation, especially so that Atty.
in all workplaces whether agricultural or Montaño, immediately after being
nonagricultural, except those arising from the proclaimed, already assumed and
implementation or interpretation of collective
bargaining agreements which shall be the subject of
grievance procedure and/or voluntary arbitration.x x x 8 See footnote 4.