LBC Express, Inc. vs. Court of Appeals
-_ A 608, Se enka a eft
Ponente: Justice Puno
Facts: Adolf M- Carloto, incumbent President-Manager ee
of Labason, alleged that fee instructed tego te Manila te follow
on the Banks p lan of pay ) ayment eed obligations with
davel | Bank's i of fie ‘where he rele 4 round trip tichef
and phore his sister tosend him Ans vy) a which
LBC failed fodeliver, and evertaall y, Carloto was not able to’submit
the rediscountin " dicamons, and te Bank was made. Ta pay the
Centra] Bank 733,000 00, as fen Pe and alle Ileged athe suf
~fered soibanassoaT ied io ‘tion. The Ruro| Bank of Labason was
later on joined as one of tHe plaintitt and roy red) for He veimburse men?
of P.34,000-00- Carloto and rhe Bank were fed ot and| etem
7 lary damages of 710,000.00 ancl #5,000-00 reyect rely.
Tssue: Whether or rot the Rural Bank of Labe.son, Ene being an
artifiala) being, should be awarded meval damages ?
ae La Mora) ana et aegeio in kar pla sue
NH
| ang wish, Fir if b Serious anniely besmi
fe 5, oral al sho } sical humifatioh and in Fe oni
oiporert'an , beAng an artifictal person o Having eftstence ony
in nie al mani lation, has no feo cho emotions, ho Senses, Hheetive,
iF Cannot experience. pi psi setiery ard menta| anguish: Mental
suffering can be experienced only byone. having a = system, ard
iF flouk from real ills, sorroud ad groves Ife -all whch
cannot be sutfered by tHe ura a ie, Trey as an arti
~fictal perton-
pls thay, woundedFilipinas Broadcasting Network vs. Age Medical and Educrtional Cerrtey
442 SCRA 413, January [F, 2005
Porente: Taste tpio
Facts: Rima and Alegre. were hast of Filpinas Breadcastng Never Ire
radio v0aratn “Expose e Ago was the owner of He Medical and Educatjonel
te [subject of He radio piajrom “Expose * AMEC dained that the proad
casts were defamatory and over Ago and schoo] AMEC claimed tor da
-masyes The complaint Further alleged that AMEL isa be learnin
instthetion. With the s pposed 20, FBN|, Rina and Alewe ‘ans tel
mnaltcious Inpurtations dndas such, destroyed pleintitt's repatation. FAY) vas
included - defendant tor all ly fal ing to exercsse'due diltsene in
the selection and supervision st its emphyes- The tra) court found Rinals
Statements to be within He bunds teed of sgeech and ruled that
the broadcast was libelous. T+ ordered the defendants Megre and FBM)
topay AME 7-300, 000.60 for mora] dainages-
Lisug: Whether or not AMEC is entitled fe moral damages ?
Held: Yes. AS a general rale, a Jaridteal pesn Js net entitled fo meral
damages, because anbke-4 natural we it-cannat expenence physical
suffering or such Sentiments as wounded feelings, serious amtiely,
mental anguish or mura) shock. Nevertheless | MEC dali or 10 dra)
damages fal] under item 7 of Art. 2414 of the New Gui) Gde-This
ronision authorizes the recovery of moral damages in Cues of libel,
‘slander ar any form of defamation AA. al TF does not gality
whether the’plaintit# is a natural or Juridica) person. There ore, b
ue ofan eet, a juridical peson SUCH as 4 Copormiion caval
a Inplain for [hel or any other orm of defamahan and cain tor mora]
dainages.CIR vs. Club Filipino, Dre. De Cebu
SSCKA 318, May 3), 1968
Porente: Justice Paredes
Facts: Clab Filipint, Tne De Cebu gporses a clabhouse, a bowlin alley a
olf coarse anda bar restautant where. it-sells wines, ly 5, 50 tlio,
ineals and short ordees to Hts members and Heir quests. The-bar and sertawant
was a necessary ncrdent To He peration of He Cub and ib golf ause is
oferated fend with funds derlved trom membeshp tees ae Whatever
rotits it had’ were used to detiay its oterhead expenses and inprove its
golf coarse: Tn (45), as aresal-of capta| surplus anising from He. yevaliaton
ot its real prpeckes, the Clap dedlaied stock dividends. In (154, He blk
assessed petites fares on the grets vecipt of fhe Club's par and vestay
rant porseant +e Tor Code.
Losue: Whether or net the Club is luble far the assessment, and isa
stock corporation ?
Held: No. The. lability or fred and ercentaye fares does not ipso tae
attach by mere reason of-He operaton of a bat and restaurant. Poy the
lability te attach, the port theredt must-be engaged tn the. business as
a bar hegper and restauvantew, The factthat the Club denved profits tam
the operation oF Hs bar and vestauvent does rot necessarily convert ik ito
a roti ona king errlerpnie: Theta club makes post does not male Ha
ofit~ making club "The Club is neha stack carpuation as tts pot
t, aged in He business of spevator of&-bar and vettauvant. For a steck
corporation te exist, two (2)regunsifes must be complied with: (i)a
capital stock divided inte shares, (a) an authony to distribute. fe He.
heldets of such shares, dividends or ‘allotments ot suplas prot on He
basis of He shares held.PNOC- Energy Development Corp. vs. MRC
a0l Sees ‘ah Saploobe i), [44]
Ponente: Tastice- Paras
Facts: Danilo Mercado, an em leyee. o€ herein petitiener (NOC ~ENC was
dismissed on He ey of dshokeky and violation of compaty rales and
regulations. He Filed an illegal dtsynseal complant betore the ALAC who
raled on his Cavour, ie the motion to dismiss of PNOC~ BDL that
the CSC has jurisdiction over the case.
Tissue: Whelter or not NLRC has_jartsdiction over He case.?
Held: Jes. Employees of G0LLs, wheter created by special lay w
formed as subsidianes under the Coporation Law ale governed bythe
Cuil Service Law and rot the Labo Gde, under He. [993 CanStitution
has been saat by He present Constitution. Thus, under He presen!
State of th aw, tHe'test in determining whether a Goce is subject fo
the Civil Servive Law is He-manner & its creation, such hat? over niner|-
corpontions cheated by § ecial Charter ae. Subject fits rows is while
those tncaperated under the General Coyperaton Law ate not within is
cworaye- PNOL has its yecial charter! but its subsidiary /, PWC Et,
havirig been incorporated wrder te General Corpoatin Lay was held
to We a GOL whose enplsjes are subject fo the prom'viens ofthe
Labor Code.National Coal Company v5. CR
[6 Phil 523, Deceotber 4, Ifa4
foverfe: Justice Tohnson
Facts: The National Coal Cy ny wos created Foy ihe pape of devel ping
the coal indastry in He nie and was actual engaged ir in He mi
-ning of coal on reserved (ards belonging to the = “a breught-an
action for He purpose of recovering a sum of money alle ly pald by
under a he defendant, aspecife tar on Some ii oF
claimed erem ion tram fares inde Sec [469 of He hie Cede. which
provides that" on all coal and coke Shall bo collected per metnc fon tty
Lemtaves” OF the 30,000-00 shares issued! by the corpora my He Phi'lj ip ne
government is He owner of F204 shots or substantia MY al of He
Shaves of the company.
Lssue: Whether or not the National Coal langeny isa poblc wipombon?
Held: Wo. The Wationa| Coal on Is aprivate corporation . The mere fact
that the. government happens to'be a yn ajority stockhalder, dies not make
ce coyporaton. As a private corporation, H-has no greater rights,
and vivileyes than' an = Co spornbon whit a be onanisad
He same! puygése under veh baw, and cerfaln Iy ius mot
The intention! oF tHe erntaw Toy Wwe ita peterene or night or
privilege oler other [e Shine conorakion In the mals of cma].Red Line Transportation Co. vs Rural Transit Co-
60 Phi]: 544, ae 6, [934
Ponente: Justve Butte
Facts: Rural Transit Co- Ltd. Filed with He Pablc Service Commiss ion
an ane fora certificate of public convenience far a new trans
po tion service between Tasuegarao and Plagan- Ked Line Trangport
Co- oppased, allegin that it alyea ly holds a certiticate of public con
~veience. on Said route, and is ‘Yenderin adeprate an Satistactry
service: The certificate was issued in the name o€ Bachvach Motus
Coy Tne: and Rural Transit: Co- Ltd: is being used by Bachrach Motns
Coy Inc only as a tradename
Tssye: Who is the veal party in Interest?
Held: Bachrach Motors Co,Tnc- was the veal rly in interest. A
corporation, once formed, Cannot use any hele name. unless ithag
been amended in accordance with law as this would result in confusion
and Inay open the door fo traud and evasion as well as difficulhios
o€ administration and saperusion- A cavperation has no 8 oF
implied authority To assulne another name: The assumpktn of Bach
ch Motots Co. Ene: the-name. of Rural Twansit (é,, Ltd: as its
tradename is void:Universal Mills Cor Wp VS Universal Textile Mills, Dre.
78 SCRA '6A July 38, 1977
Ponente: ale Barredo
Facts: Universal Textile Mills, Ine: was registered with the. SBC
earlier than Universal Mille Con. Universal Tertile Mills, Doc: alle leged
at because of the sinilordy of ts coprorate name to tinea
Mills Corp news Hes mi ppear on leas apes carryi pie
on the she created uncertal Sod on Lame bankers,
aah and customers. So’ Universal Textile Mille, Dre. ra heép
announcernent and clavitied that it was Universal Mills (op. whose
fifee y was pened Chiversa! Mills ee maintained el eames
He}
wo (8) cxporatiens ave not similar and even if fhere-be some.
sand L pee confusing or derephie- SEL erdered Universa |
Mills Cop. ne if ppm jae on the graund hat its
“catuslgh pa
Tissue: Whether or not te SEC exereited grave abace of dsvefen
in ordering Universa) Mills Cup. fo change ‘Fs cuparete name?
ceptively simi lay’ to Chive] | Tertie Mills, Tn.
Held: No- The. calpoate names ih genie are not} identical, but the) they
are andispytably'so similar. Apne on, once-Cormed, cannfuse!
any other name, ankess it hat beeh amended in actordanre with lew,
this would vesult in corfuston, and may pen the door to faud,
and evasion, as well as diffical Ihes obadintttation and syfersson,B a cc Philpp ines, Inc. vs- Court-of Appeals
i Ah AD Mioeh agg i
= aon % lushee Feliciano
Facts: Lyceum of te Philt, Inc. is an educational coporation pepistered
with the SBC on (950 and has used its name trom he +t time on. Tf
petitioned prrcedings betore the SEC To cunpel rey expondents which ae
~~ fien di teint vrovinies to deed. te word “Lyceum “from
thelr cuporate- nawtes fearing ¢ of ves of the SEC attinmed Oe
es to have an pe visht tease the word “L Lyreuwn 0h appeal
FL en panc reversed ving of ters decison, oh they youn
eae The. geographi a names fo the. wad “Lreun "serod eee
todistin igh Hehe fom one anther. CA affirmed SECen banc.
Tssue: Whether or net He private i ordents should pe divected to
delete tHe word “yeun! ” tom thdir coiporate names ?
Held: No- The co ape natres of private yespondents' institutions are
considered not-identical with or! dec ef Similar fo that of Lytexm
of the Philsy The: Confusion or dewey % prechided by tela attach
~ment of- cogiphi locations to th vard il eum | She 8 ts hold
to apply: x oF against foreign corporat iony- es the ward" "bream!
Is generic, ee notacutved 4 secondal eating The doctrine of
adhe hs is a word orp shrase. ors hall incapable of exclusive.
a ‘hn v 7 Fh eturome ihe an arbre in the a because of
pine He Ih yor otherwise descriptive, Ht eer Holes have beon
He ; long ‘and so exclusive) ely by one wee with veference to his
article that, in thatfrade. and ‘o thdt branch of the urclasing
publi, He-word a phrose has become to mean that fhe ae
was his iis duct.Philips Tae rata VS ny of i a
forete: eH Mobke C0-| Herren
Facts: Philps Export B-V- (FBV) is the registered owner ofthe trade
ry PHILIPS and PHILIPS SHIELD EMBLEM issued by te pie
tent Offre: Philps Electric. Lamp, Ine: and Phil i boda
Derlnert Tre: bre He authorized users of fa A at
oo Export BV. filed a case with SEL pry vying tor a wrt of
iuhchon Peprchibit Standard Prilps op te ‘ram wing the. ward
HH [LIPS” in its Comporate- name, which yas wend and affirmed
Wile Court of tipeals.
Lssue: Whether or. not Standard Philips should pe divected to delble
the word “PHILIPS” from is Caporaté name?
Held: Jes. The corporate names of Philips ypert B- V- and Phikps
Standard are net dentical, put it lend one'to conclude that Ye
word “PHILIPS” ix the dominant word. The test is whether tHe
similarity is sach as to miskad a persen ati & ord ay care and
discrimination: Sec: lp tv rg usites, on ka hibition on
eure of colporate vibe. whit choat be. any ot ver: (1) Com pi
-nant coyporation acpuived . over tHe use aio &
Bi na ., (a) 1 Bait is either: (a) Ldertica), (b) Det
tial, or ntaingy ‘hile ae existing co elas zi
other nameale ready p rotected py | ie and Ce ‘a tent) ly deep
Vey Comtisting or conn extthing law.Clavecilla Radto System v5 Antillon
SA 374, February Lf, |167
Ponente: Justice yale
Facts: The New Cogay an Greery filed a cony Maint agains} Clavec'lly
Radio System roe | incl in the l= ofa message
which Chang eal the oon tex dake causing damages «The
cong lair is filed in the City burt of Cagayan de A
Tissue: Whether or not He case filed in ogayan de 0 willpreger?
al attire ts established Clarécilla Radio System has fits Ingpea)
of ve } _ = a? it follous that suit be fi ly in Manila
City. The that Cavecilla Radio System mairtaiks branch offie
in Some = of the country, Itdees hot mean thatit can besued
in any these places
eld : No. The residence of a here Is She where the apCIR vs- Mannin
66 SCRA 4, Aw woh (47
Foren techie Gastro
Facts: Manta Trading and Supp) (a. (MANTRAS) had an auth onized
capital stock of 4-5 million it AS, 000 shares. 34, J00 shaves were
olyned by Julius Reese and te vest at [00 shares each, by He thee
(3) vespohdent Manning, McDonald ard Simmons. Atrust ay rement
was drecated between Reese, MANTRASCO, the [aw frm as TRUreBs
and the. three. (3) respondents wherein yon Keeso.'s death, MERAY
and tts twe (2) cubsldianes would con tne urderthe mata
oF the thee (3) respondents. fese ded, full rancter of it-shere
to MAWTKALCO was nee made for lack of sufficient fands
hence, his shares wos held in Wart by He law tin. Aspectal
neering happened and resolved that 84,700 shaves jn treasury be
yererted back fo the oer ateunt as Steck Alvidend frddbuko
ve of Reesels interest wos finally aid by
MAVTRASC, and +he law fry TRUITBES delivered it-48 inarahece
BIR e-amined MAVTR AAO books, and fourd that the A4,20.shars
anonted to P74 million, and He. respondents faikd fo declave the
satd stook dividends.
Lasue! Whether or net He shates involved ave. treasury shares ?
Held: No. Under the terms of-Hhe tr agreement, the shares of
stock of Reese. ar ipated jn dividends which the trustee received
and rated aport. Being in the treasury, they ob net have the states
of att tering shaves. The essential features ofa fveasuvy shave.
ave. lacking in tHe quettoned shaves. Only outstandin copia Stock
ented f He ptt of role ad reel divider
‘The entive pi P
ysHeirs of Gamboa vs- Finance Sectebary Teves
68 SUA 34% October 4, 4014
Ponente: Taste Capio
Facts: From the June 38, doll decision of He court, a motion fir wecons;
-deration was bled by tHe Philgpine Stock Brchange (p5E) fresident,
Manuel Pangi iran, spoleen Nazareno and the Secanikes and Exchange
Commission (36) He court held that He term “capital” in Sec- ll
Xl of fhe ConsLitahn vetoes only t shates of stock! thet can vete- in He
lection of divectors , ard Hus vefer only fo common shares and not to te
total eutstendling capital Shock:
Tssue: Whether or not the term “captte] “includes both voting and ran ~
voting shaves?
Held: For pugoses of anghenc with te nafonalgntoy [eu5, the vord
=e “vettes only b skates of shck entited to vete- The cnshiatvonal
p uision yeserving to thly ine Nakonal the operation of publt dives ov
Preaporations of which $0% of He cy / stock sated IS owned
— of the Philypines 3 reteas only fe shares with voting rights The
0-40 nationality reppitement apples to each cass of shaves. Under He
Corporation Code’ capital stock consists of- all clases of shaves iesued
stockhlden ty tal is common Shares as well as poetened shaves, which may
have diffeent vi 1 pol or restnckons as stated in the articks
of Incypoation- The 6 to. auneship yep rivement in tuor of Pilipin
atizens must wy sepnatey fr each claks of shates i yhetey commen,
prtened non-voting / pretend voting or any otley ‘class af shares.co ia pee ment, (0- VS- Pm ko
ds, Ode ene fa 937
ae Tustice La
Facts: ‘og [rs owns four ne pat a of land i in fp fps, (aga
-yan: On May 31, 1930, Tabera executed @ deed of sale fo Gyayon Fishing
vet iments a which is chil]ander the protess of incorgoration-
jn Fishing filed ts Articles of Dncororakon witth He Burean
or inmeyte ow Tndustry on Octofey 4a, so. A A year later, befoe
the issuance of He certheate of Inca oration |The Board of
Directors of Ca ayan Fishing, a ipted 4 renjution fotell te
four (4) parceté iE oF land to Seale Sandiko-
Lssue: Wheth + the sub + sale of He four (4) parels
olnd tale ps aid 1 ate 7 er pe
Held: No- Co eae can only enter inte a contact FtHe —
fall and complete organizahoh and enstence as an enby ayn
Fishing Deck, oe a a ut ina porated when it me
into - camtide of