Bernabe – high profile cases
being committed. To require him to
1. EDCA (voted against or dissented)
2. Disbursement Acceleration Program
(DAP) (voted against)
Parts of the DAP are unconstitutional –
concur
3. pork barrel system unconstitutional
4. condonation doctrine (abandoned)
Officials can no longer be absolved of
administrative liabilities if they are
reelected.
5. GMA acquitted of plunder (concurred)
– main plunderer principle (dissented)
“It is of no moment that the main
plunderer was not identified on the face
of the Information. Contrary to the
ponencia's stand, the identification of a
main plunderer is not a constitutive
element of the crime of plunder
6. Martial law in Mindanao
constitutional. - concur
Was there actual case of rebellion to
merit proclamation
"The President only needs to convince
himself that there is probable cause or
evidence showing that more likely than
not a rebellion was committed or is
satisfy a higher standard of proof would
restrict the exercise of his emergency
powers,"
The Court “carries no technical
competence” to assess a president’s
factual basis
“Our deference to the President must
be circumscribed within the bounds of
truth and reason. Otherwise, our
constitutional authority to check the
President's power to impose martial law
would amount to nothing but an empty
and futile exercise
The Court should always ask itself
whether or not the President's call to
impose martial law in a certain territory
is rationally commensurate to the
needs of the public. For after all, the
dangers to society's well-being, both
actual and perceived, are what justify
the imposition of martial law.”
**
Supreme Court should only check
whether there was rational factual basis
for the President to declare martial law.
This is a low threshold in line with
broader legal doctrine on commander
in chief powers.
Judges are not competent to
second-guess military strategy and
intelligence.
**
 14. Downgrade changes of globe asiatique
martial law may be extended until
all rebels are arrested.
beyond actual armed combat,
elements of rebellion such as
recruitment, intelligence and
fundraising are just as crucial.
7. Arrest of de lima is valid – dissent
8. Oust chief justice sereno via quo
warranto – dissent
9. Philippine Airlines (PAL) retrenchment
case
the retrenchment of thousands of its
workers legal.
10. Estafa case of Globe Asiatique (GA)
owner Delfin Lee.
11. Court cannot demand USS guardian to
pay damages in the tubbataha reef –
concur
12. Allow the construction of torre d e
manila – concur
13. PAL retrenchment of thousand of its
workers is valid – concur
owner delfin lee to simple estafa and
allow him bail – concur
The SC majority downgraded the
charges of Lee from syndicated estafa
to simple estafa in a case of defrauding
Pag-ibig home funds contributors of
P6.6 billion.
One of the elements of syndicated
estafa under Presidential Decree No.
1689 is that more than 5 people should
have conspired. But in the Lee case, the
5th member – the lawyer who
notarized the affidavits – was excluded
as a co-conspirator, leading the SC to
say there is no case for syndicated
estafa.
Bernabe did believe that the syndicate
was run by at least 5 individuals. It was
for another reason that she voted to
downgrade the charges.
The 3rd and last element of syndicated
estafa is that the fraud should have
“resulted in the misappropriation of
moneys contributed by stockholders, or
members of rural banks, cooperatives,
‘samahang nayons’ or farmers
associations or of funds solicited by
corporations/associations from the
general public.
“After a careful study of this case, I find
the third element to be lacking,”
Defrauding must be done against the
“general public,”

Here, ,it is undoubted that the private
complainant is HDMF (Home
Development Mutual Fund or Pag-ibig);
not the general public who claim to
have been defrauded through the use
of any juridical entity.”
“Therefore, respondents cannot be
indicted for syndicated estafa,”
15. Increase the limit on campaign ads –
concur
16. Pdaf is unconstitutional – concur
17. junked petitions of the Malaya Lolas
comfort women to compel the
government to demand compensation
from Japan. – concur
18. denying the petitions that sought to
demand payment from the United
States for the damages inflicted by the
USS Guardian on Tubbataha Reef. –
concur
19. Stop the hold departure order vs arroyo
– dissent
DOJ cannot issue hold departure order.
The making of rules for pleadings,
practice and procedure exclusively
belongs to the Supreme Court. It is not
shared anymore with the Congress or
the executive.
20. Joseph Estrada can run for office after
he was pardoned in plunder conviction
– concur
21. PMA can dismiss cadet cudia because of
dishonesty in tardiness – concur
22. Enrile can post bail for plunder – dissent
23. Allow hero’s burial for the late
President Ferdinand Marcos – concur
24. Justice Gregory ong is dismissed over
links to napoles - concur
25. Allow posters of candidates who are
anti or pro RH law – concur
26. Grace poe is a natural born Filipino
citizen – dissent
27. Strike down provisions of RH law that
deal with religious convictions – dissent
28. Masses can be held inside courts as this
will not violate separation of church and
state – concur
29. Diocese of Bacolod
30. Bernabe dissented that drug charges
against De Lima were intertwined
with her being secretary of justice.
Thus, the Sandiganbayan, not a trial
court, had jurisdiction.
31. Bt talong
32. Belgica vs Ochoa
33. Bank of commerce vs bernabe G.R. No.
172393

MERC
The Mercantile Law – Bar
Exam Questions in 2007
I.
(10%)
R issued a check for P1M which he used to
pay S for killing his political enemy.
Can the check be considered a negotiable
instrument?
Does S. have a cause of action against R in
case of dishonor by the drawee bank?
If S negotiated the check to T, who accepted
it in good faith and for value, may R be held
secondarily liable by T?
Reason briefly in (a), (b) and (c).
II.
(10%)
Alex deposited goods for which Billy,
warehouseman, issued a negotiable
warehouse receipt wherein the goods were
deliverable to Alex or order. Alex negotiated
the receipt to Caloy. Thereafter, Dario, a
creditor secured judgment against Alex and
served notice of levy over the goods on the
warehouseman.
To whom should the warehouseman deliver
the goods upon demand?
Would you answer be the same if the
warehouseman issued a non-negotiable
warehouse receipt
III.
(5%)
Diana and Piolo are famous personalities in
showbusiness who kept their love affair
secret. They use a special instant messaging
service which allows them to see one
another’s typing on their own screen as
each letter key is pressed. When Greg, the
controller of the service facility, found out
their identities, he kept a copy of all the
messages Diana and Piolo sent each other
and published them. Is Greg liable for
copyright infringement? Reason briefly.
IV.
(10%)
Alfredo took out a policy to insure his
commercial building against fire. The broker
for the insurance company agreed to give a
15-day credit within which to pay the
insurance premium. Upon delivery of the
policy on May 15, 2006, Alfredo issued a
postdated check payable on May 30, 2006.
On May 28, 2006, a fire broke out and
destroyed the building owned by Alfredo.
May Alfredo recover on the insurance
policy?
Would your answer in (a) be the same if it
was found that the proximate cause of the
fire was an explosion and that fire was but
the immediate cause of loss and there is no
excepted peril under the policy?
If the fire was found to have been caused by
Alfredo’s own negligence, can he still
recover on the policy?
Reason briefly in (a), (b) and (c).
V.
(5%)
C contracted D to renovate his commercial
building. D ordered construction materials
from E and received delivery thereof. The
following day, C went to F Bank to apply for
a loan to pay the construction materials. As
security for the loan, C was made to
execute a trust receipt. One year later, after
C failed to pay the balance on the loan, F
Bank charged him with violation of the
Trust Receipts Law.
What is a Trust Receipt?
Will the case against C prosper? Reason
briefly.
VI.
(5%)
Discuss the trust fund doctrine
VII.
(10%)
In a stockholder’s meeting, S dissented from
the corporate act converting preferred
voting shares to non-voting shares.
Thereafter, S submitted his certificates of
stock for notation that his shares are
dissenting. The next day, S transferred his
shares to T to whom new certificates were
issued. Now, T demands from the
corporation the payment of the value of his
shares.
What is the meaning of a stockholder’s
appraisal right?
Can T exercise the right of appraisal?
Reason briefly.
VIII.
(10%)
Due to growing financial difficulties, Z Bank
was unable to finish construction of its 21-
storey building on a prime lot located in
Makati City. Inevitably, the Bangko Sentral
ordered the closure of Z Bank and
consequently placed it under receivership.
In a bid to save the bank’s property
investment, the President of Z Bank entered
into a financing agreement with a group of
investors for the completion of the
construction of the 21-storey building in
exchange for a ten year lease and the
exclusive option to purchase the building.
Is the act of the President valid? Why or
why not?
Will a suit to enforce the exclusive right of
the investors to purchase the property
prosper? Reason briefly.
IX.
(5%)
On December 4, 2003, RED Corporation
executed a real estate mortgage in favor of
BLUE Bank. RED Corporation defaulted in
the payment of its loan. Consequently, on
June 4, 2004, BLUE Bank extrajudicially
foreclosed the property. Being the highest Would the transaction be covered by the
bidder in the auction sale conducted, the provisions of the Bulk Sales Law?
Bank was issued a Certificate of Sale which
was registered on August 4, 2004. How would X Corporation effect a valid
sale?
Does RED Corporation still have the right to
redeem the property as of September 14, XIII.
2007? Reason briefly. (10%)

X. What are the preferred claims that shall be

(5%) satisfied first from the assets of an insolvent
corporation?
Name at least five (5) predicate crimes to
money laundering. How shall the remaining non-preferred
creditors share in the estate of the insolvent
XI. corporation above?
(10%)

Two vessels figured in a collision along the

Straits of Guimaras resulting in considerable
loss of cargo. The damaged vessels were
safely conducted to the Port of Iloilo.
Passenger A failed to file a maritime
protest. B. a non-passenger but a shipper
who suffered damage to his cargo, likewise
did not file a maritime protest at all.

What is a maritime protest?

Can A and B successfully maintain an action

to recover losses and damages arising from
the collision? Reason briefly.

XII.
(5%)

Seeking to streamline its operations and to

bail out its losing ventures, the stockholders
of X Corporation unanimously adopted a
proposal to sell substantially all of the
machineries and equipment used in and out
its manufacturing business and to sink the
proceeds of the sale for the expansion of its
cargo transport services.