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Case Facts Issues Held Ratio/Ruling

Philippine Philippine Society for the Prevention Whether or Not the NO The charter test
Society for the of Cruelty to Animals was Philippine Society for cannot be applied.
Prevention of incorporated as a juridical entity by the Prevention of It is predicated on
Cruelty to virtue of Act No. 1285 by the Cruelty to Animals is the legal regime
Animals Philippine Commission in order to subject to CoA’s Audit established by the
enforce laws relating to the cruelty Authority. 1935 Constitution,
Vs inflicted upon animals and for the Sec.7, Art. XIII. Since
protection of and to perform all the underpinnings
Commission things which may tend to alleviate of the charter test
on Audit the suffering of animals and promote had been
their welfare. introduced by the
G.R. No. 1935 Constitution
169752 and not earlier, the
September 25, test cannot be
2007 applied to PSPCA
which was
534 SCRA 112 incorporated on
(2007) January 19, 1905.
Laws, generally,
have no retroactive
effect unless the
contrary is
provided. There are
a few exceptions:
(1) when expressly
provided; (2)
remedial statutes;
(3) curative
statutes; and (4)
laws interpreting
others. None of the
exceptions apply in
the instant case.
The mere fact that a
corporation has
been created by a
special law doesn’t
necessarily qualify it
as a public
corporation. At the
time PSPCA was
formed, the
Philippine Bill of
1902 was the
applicable law and
no proscription
similar to the
charter test can be
found therein.
There was no
restriction on the
legislature to create
private
corporations in
1903. The
amendments
introduced by CA
148 made it clear
that PSPCA was a
private corporation,
not a government
agency. PSPCA’s
charter shows that
it is not subject to
control or
supervision by any
agency of the State.
Like all private
corporations, the
successors of its
members are
determined
voluntarily and
solely by the
petitioner, and may
exercise powers
generally accorded
to private
corporations.
PSPCA’s employees
are registered and
covered by the SSS
at the latter’s
initiative and not
through the GSIS.
The fact that a
private corporation
is impressed with
public interest does
not make the entity
a public
corporation. They
may be considered
quasi-public
corporations which
areprivate
corporations that
render public
service, supply
public wants and
pursue other
exemplary
objectives. The true
criterion to
determine whether
a corporation is
public or private is
found in the totality
of the relation of
the corporate to the
State. It is public if it
is created by the
latter’s own agency
or instrumentality,
otherwise, it is
private.