Municipality of Tiwi and Sangguniang Bayan of Tiwi v.

Betito (2010)

Facts:The Sangguniang Bayan of Tiwi (a municipality

of Albay) authorized Mayor Corral, through a
resolution, to hire a lawyer to represent Tiwi in the
recovery of their rightful share in realty taxes to be paid
by the National Power Corporation to the province
of Albay. Thus, Mayor Corral entered into a Contract
of Legal services with Atty. Betito and Atty. Lawenko.

Doctrine:The Court held that the Municipality of Tiwi is

bound by the Contract of Legal Services entered into by
Mayor Corral as the prior authorization of the
Sangguniang Bayan of Tiwi (required under Sec. 44 of
the Local Government Code for the Mayor to be
able to contract on behalf of the municipality) was
granted by the said Sanggunian. The Sangguniang
Bayan’s ratification of the contract, however, is not
necessary for the contract to bind Tiwi.