MACARIOLA VS.

ASUNCION
A.M. No. 133-J, May 31, 1982
Facts:
1. Judge Elias Asuncion was the presiding Judge in Civil Case No. 3010 for
partition. Civil Case No. 3010 was a complaint for partition filed by Sinforosa R.
Bales and company against Bernardita R. Macariola concerning the properties
left by the deceased Francisco Reyes, the common father of the plaintiffs and
defendant.
2. Judge Macariola rendered a decision, which became final for lack of an appeal. A
project of partition was submitted to Judge Asuncion which he approved.
3. A portion of lot 1184-E, one of the properties subject to partition under Civil Case
No. 3010, was acquired by purchase by Judge Macariola and his wife.
4. Thereafter, spouses Asuncion and spouses Galapon conveyed their respective
shares and interest in Lot 1184-E to "The Traders Manufacturing and Fishing
Industries Inc." Spouses Asuncion were major stockholders of Traders
Manufacturing and Fishing Industries Inc.
5. Bernardita Macariola thus charged Judge Asuncion of the CFI of Leyte, now
Associate Justice of the Court of Appeals with acts unbecoming of a judge.
6. Macariola alleged that Asuncion violated, among others, Article 14 of the Code of
Commerce.
Issue:
Is the actuation of Judge Asuncion in acquiring by purchase a portion of property
in a Civil Case previously handled by him an act unbecoming of a Judge?
Held:
The complainant alleged that Judge Asuncion violated paragraphs 1 and 5,
Article 14 of the Code of Commerce when he associated himself with the Traders
Manufacturing and Fishing Industries, Inc. as a stockholder and a ranking officer, said
corporation having been organized to engage in business.
Although the aforestated provision is incorporated in the Code of Commerce
which is part of the commercial laws of the Philippines, it, however, partakes of the
nature of a political law as it regulates the relationship between the government
and certain public officers and employees, like justices and judges.
Political Law has been defined as that branch of public law which deals
with the organization and operation of the governmental organs of the State and
define the relations of the state with the inhabitants of its territory (People vs.
Perfecto, 43 Phil. 887, 897 [1922]). It may be recalled that political law embraces
constitutional law, law of public corporations, administrative law including the law on
public officers and elections. Specifically, Article 14 of the Code of Commerce partakes
more of the nature of an administrative law because it regulates the conduct of certain
public officers and employees with respect to engaging in business: hence, political in
essence.
Upon the transfer of sovereignty from Spain to the United States and later
on from the United States to the Republic of the Philippines, Art. 14 of the Code of
Commerce must be deemed to have been abrogated because where there is a
change of sovereignty, the political laws of the former sovereign, whether

Page 1 of 2

compatible or not with those of the new sovereign, are automatically abrogated,
unless they are expressly re-enacted by affirmative act of the new sovereign.

Page 2 of 2