The Doctrine of State Immunity

“The state may not be sued without its consent”

-indiscriminate suits against the state will result in the impairment of its dignity
-the government is supposed to be infallible (inability to be wrong)
-demands and inconveniences of litigation will divert the time and resources of the state to attend
to more pressing matters and public welfare.
-doctrine is also available to foreign states

-One state cannot assert jurisdiction over another violation of maxim par in parem non habet
imperium (equals do not have authority over one another)

-foreign states may be sued in the host state if engaged regularly in business or trade or no basis
of contracts (purely commercial, private and propriety acts)

-jure imperii (activities of a governmental or public nature carried out by a foreign State or one
of its subdivisions) [sovereign immunity is restricted to this]

-jure gestionis (a nation’s acts that are essentially commercial or private, in contrast to its public
acts)

-when a foreign country descended to a level of an individual, it gives consent to be sued.

However, it does not apply if the contract relates to sovereign functions. If it is commercial in
nature, then it can be sued.

-immunity from suit is determined by the character of the objects for which the entity was
organized.

-not all acts of jure imperii may exempt from suit, as in the case of exercise of its power of
eminent domain, when done without payment for just compensation. (amigable vs. Cuenca)

- the doctrine of immunity from suit cannot serve as an instrument for perpetrating an injustice
on its citizen. (ministerio vs. City of Cebu) (amigable vs. Cuenca)

Application

-Sanders v. Veridiano

-USA v. Guinto (not covered by state immunity)

Waiver of Immunity

-the doctrine of state immunity, sometimes called” the royal prerogative of dishonesty – however
it must not take advantage of claimants
-the state may be sued if it gives consent.

Forms of consent

Express Content- manifested either through a general law or special law.

General Law – Act No. 3083 declaring that the State consents to be sued upon any moneyed
claim involving liability arising from contract, express or implied, w/c can serve as civil action
between parties

Commonwealth Act. No. 327 as amended by P.D. 1445, a (money)claim against the government
must be first filed with the Commission on Audit, which must act upon it within 60 days.
Rejection of claim will authorize the claimant to elevarte the matter to the Supreme Court on
certiorari and in effect sue the State with its consent.

Second kind or express content is the Special Law enacted by the Philippine legislature
authorizing an individual to sue the Government he had sustained when his motorcycle collided
with a government ambulance (Merritt v. Govt of the Phils)

- the doctrine of immunity from suit cannot serve as an instrument for perpetrating
an injustice on its citizen.

- when the state itself files a complaint, the defendant is entitled to file a counterclaim against it.

(Froilam Vs. Pan Pacific Oriental Sipping Co.)-the government impliedly allwed to be sued
when it filed a complaint in intervention for asserting the claim for affirmative relief against the
plaintiff, to wit, a recovery vessel.

Implied- when the govt enters to contract, it impliedly gives consent as it descended to the level
of the ordinary individual. However, the suability will follow only if the contract entered is in its
propriety capacity.

When the state gives its consent to be sued, it does not consent to the execution of judgement
against it.

Garnishment of funds

-public funds should not be object for garnishment proceedings. Based on obvious considerations
of public policy

-the power of court ends when the judgement is rendered.

-the funds of public corporations which can sue and be sued were not exempt from garnishment.

-a claim for payment must first be filed with COA

-the COA had exclusive jurisdiction to decide on the allowance or disallowance of money claims
arising from the implementation of Republic Act No. 6758

1. property for public use not subject to levy

2. unused property may be seized and sold

3. properties on hold not subject to execution. Once wholly abandoned, it could be for execution

Suit Against Government Agencies

Incorporated agency – has a charter of its own, can sue and be sued

SSS, UP, City of Manila, Municipal Corporations, Provinces, etc. are ewhen engaged in
governmental functions enjoys sovereign immunity. They can be sued because as provided in
their charter.

Unincorporated agencies-no charter to consult, has no separate juridical personality. An action

against these agencies are actions against the government

A charter is the grant of authority or rights, stating that the granter formally recognizes the
prerogative of the recipient to exercise the rights specified.

Non-Suability also applies to those who has sidelines or incidentally proprietary enterprises.
Exemption from Legal Requirements
Solvent having assets in excess of liabilities; able to pay one's debts.
Suability vs. Liability:
Suability-depends on the consent of the state to be sued
Liability-depends on the applicable law and established facts

Article 2180 of the civil code. A state shall be responsible for torts only when it acts through a
special agent; but not when the damage has been caused by the official to whom the task done
properly pertains