SANGGUNIANG PANLUNGSOD NG BAGUIO CITY, Petitioner, vs.

JADEWELL
PARKING SYSTEMS CORPORATION, Respondent. G.R. No. 160025, April 23,
2014

DOCTRINE: The local government is vested and tasked the power to legally
implement and facilitate all ordinances and rules within its territory.
Furthermore, the LGU are mandatorily required to abide by order of the court
in the exercise of their delegated powers.

FACTS: On February 9, 2005, this Court issued a writ of preliminary

mandatory injunction directing Baguio City Mayor Braulio D. Yaranon, his
agents, representatives and/or any person or persons acting upon his orders or
in his place or stead to immediately reopen the streets and/or premises
operated and/or occupied by Jadewell Parking Systems Corporation (Jadewell).
They were further directed to let the said streets and premises
remain open until further orders of this Court.

However, Jadewell subsequently informed this Court that, contrary to the

representation of Mayor Yaranon and in violation of the writ (of preliminary
mandatory injunction), the parking spaces, roads and streets operated and/or
occupied by Jadewell remained closed. It presented pictures taken on March 1,
2005 showing the continued closure of the parking spaces at Burnham Park
and the adjoining Abad Santos Drive, Lake Drive and Harrison Road. It also
submitted affidavits of pay parking customers attesting to the fact that until
now, the parking spaces and streets that Jadewell previously utilized for pay
parking has not been opened. Further, counsel for Jadewell furnished with a
copy to the court of its February 15, 2005 letter to Mayor Yaranon urging the
latter to comply with the writ.

Faced with the conflicting manifestations of the parties, this Court directed
Judge Iluminada Cabato-Cortes, Executive Judge of the Regional Trial Court
(RTC) of Baguio City, to determine whether or not Mayor Yaranon in fact
complied with the writ of preliminary mandatory injunction and to submit a
report thereon. Investigation of the Judge are as follows: That on March 21,
2005 at around 2:25 in the afternoon, the Honorable Executive Judge
instructed the undersigned together with Gilbert Evangelista to go to Jadewell
Parking Systems particularly along Harrison and Ganza Areas to verify
whether said premises are already open for business, but it is still closed with
G.I. pipe railings measuring about 74 feet at the main entrance and exit; April
4, 2005, the undersigned were again instructed by the Executive Judge to
check on the premises of Jadewell Parking Systems, particularly located at the
aforementioned areas to find out whether there were changes in the physical
set up but there was none; Judge Cabato-Cortes personally visited the
premises on April 4, 2005. She found that the account of sheriff Bacolod
accurately reflected the actual condition in the said premises. She observed
that there were several policemen posted at the parking area adjacent to
Ganza Restaurant. When she interviewed some of the policemen, they
confirmed that the entrance and exit to the parking area were indeed closed.
Issue: Whether or not the City Mayor of Baguio committed direct and indirect
contempt by disobedience and acting opposition to its authority.

Held: Contempt of court is disobedience to the court by acting in opposition to

its authority, justice and dignity. It signifies not only a willful disregard or
defiance of the court's orders but also such conduct as tends to bring the
authority of the court arid the administration of law into disrepute or in some
manner to impede the due administration of justice. Under the Rules of Court,
contempt is classified into either direct or indirect contempt. Direct contempt
is committed in the presence of or so near a court or judge. It can be punished
summarily without hearing.If the pleading containing derogatory, offensive or
malicious statements is submitted in the same court where the proceedings
are pending, it is direct contempt. It is equivalent to a misbehavior committed
in the presence of or so near a judge. Contemptuous statements made in the
pleadings filed with the court constitute direct contempt. Similarly, false or
misleading allegations in a pleading or other document filed with the court
having cognizance of the case tending to frustrate the due dispensation of
justice constitute direct contempt. Candidness to the court is essential for the
expeditious administration of justice.

Here, Mayor Yaranon misled this Court into believing that he had already
obeyed the directive contained in the writ. The very caption of his paper itself
manifested his intention to make believe that the writ had been fully complied
with. It attempted to create the impression that the premises and streets
previously operated by Jadewell were already open pursuant to this Court's
order when in fact they were not. Indubitably, it constituted fraud on the court
punishable as contempt.

His continuing refusal to carry out and implement the writ is a willful
disregard of and disobedience to this Court's lawful orders. His defiance
controvertibly proves his intention to tie the hands of justice and prevent it
from taking its due course. Hence Baguio City Mayor Braulio D. Yaranon is
hereby found GUILTY of (1) direct contempt for the falsehood he deliberately
foisted on this Court and (2) indirect contempt for his continued disobedience
to and defiance of the writ of preliminary injunction the court had issued.