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Case Digest 22 23 24 Sherylle
Case Digest 22 23 24 Sherylle
Case Digest 22 23 24 Sherylle
Soriano
2012-09-10 | G.R. No. 171118
FACTS:
Soriano was initially hired by Park Hotel but was transferred to Burgos
Corporation. Gonzales and Badilla were employees of Burgos Corporation.
Burgos is a sister company of Park Hotel. Harbutt and Percy are the
General Manager and owner, respectively, of Park Hotel. Percy, Harbutt and
Atty. Roberto Enriquez are also the officers and stockholders of Burgos
Corporation.
Soriano, Gonzales and Badilla were dismissed from work for allegedly
stealing company properties. As a result, respondents filed complaints for
illegal dismissal, unfair labor practice, before the Labor Arbiter (LA). In their
complaints, respondents alleged that the real reason for their dismissal was
that they were organizing a union for the company's employees.
ISSUE:
Whether or not corporate officers are solidarily and personally liable in
a case for illegal dismissal and unfair labor practice
HELD:
A corporation, being a juridical entity, may act only through its
directors, officers and employees. Obligations incurred by them, while acting
as corporate agents, are not their personal liability but the direct
accountability of the corporation they represent. However, corporate officers
may be deemed solidarily liable with the corporation for the termination of
employees if they acted with malice or bad faith. In the present case, the
lower tribunals unanimously found that Percy and Harbutt, in their capacity
as corporate officers of Burgos, acted maliciously in terminating the services
of respondents without any valid ground and in order to suppress their right
to self-organization.
Section 31 of the Corporation Code makes a director personally liable
for corporate debts if he willfully and knowingly votes for or assents to
patently unlawful acts of the corporation. It also makes a director personally
liable if he is guilty of gross negligence or bad faith in directing the affairs of
the corporation. Thus, Percy and Harbutt, having acted in bad faith in
directing the affairs of Burgos, are jointly and severally liable with the latter
for respondents' dismissal.
Applying the foregoing tests, we agree with the CAs conclusion that
Gramaje is not an independent job contractor, but a labor-only contractor.
First, Gramaje has no substantial capital or investment.
Second, Gramaje did not carry on an independent business or
undertake the performance of its service contract according to its own
manner and method, free from the control and supervision of its principal,
Polyfoam, its apparent role having been merely to recruit persons to work for
Polyfoam.