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11 Fuji V Espiritu Case Digest
11 Fuji V Espiritu Case Digest
FACTS: HELD:
Arlene engaged by Fuji as news Classification of Employees
correspondent/producer in 2005: report Ph news to (accdg to A280)
Fuji (thru Manila Bureau field office 1. Regular
Employment contract initially provided for 1 y term, a. Perform activities necessary and desirable
but was successively renewed on yearly basis with to business
salary adj b. Casual employees with >1yr service
Diagnosed with lung cancer in 2009. Fuji told her 2. Project
3. Seasonal
that it will have a problem renewing her contract, but
4. Casual
Arlene insisted that she was still fit to work
(Accdg to Brent v. Zamora)
Arlene and Fuji signed nonrenewal contract: no
5. Fixed term
renewal after expiration in May 31, 2009
a. Determining factor not activities, but day
Arlene acknowledged receipt of USD18050 (monthly
certain
salary from Mar-May, bonuses and separation pay), b. Where fixed term essential and natural
but signed UNDER PROTEST appurtenance (e.g. overseas contracts)
Filed complaint for illegal dismissal; had no other
Distinction bt. FT, Independent Con., and Regular
recourse but to sign, otherwise amt would have been
FT: informed of fixed terms, both parties on equal footing
withheld
IC: distinct and independent business, performs job on its
LA: dismissed. Arlene and independent contractor
own, free from control of principal. No ER-EE rel between IC
NLRC: reversed. Continuous rendering of services
and P.
necessary and desirable to business
Also recognized in A106 LC and DO 18-A-11
CA: affirmed NLRC
KINDS OF ICs
o Regular: necessary and desirable;
o Engaged in legitimate job contracting
continuous rehiring
o individuals with unique skills and
o Sonza N/A: not contracted on acct of
talents that set them apart from
peculiar ability, special talent, or skill.
ordinary EES
Everything used by her in her work owned
by Fuji
o Signing of contract not voluntary Fuji’s argument that A an IC under FT contract
Fuji: A hired as stringer, an independent contractor contradictory
o No control EEs in FT contracts cannot be ICs because in FT
o Salary was higher than normal rate contracts, no ER-EE rel exists
o Annual renewal of contract was upon Test for FT is the DAY CERTAIN test
Arlene’s insistence Regular: determining factor is necessity and
o Fuji agreed because she had skills that desirability of work
distinguished her from other EEs ICs: no ER-EE rel with Ps
o A and Fuji dealt on equal terms
o A freely agreed not to renew (evidenced by CONCLUSION: A regular EE with FT contract
emails; showed power to bargain) EE can be regular even with an FT contract
o Employment ceased upon expiration of As long as it was EE who requested, or bargained, that
contract. Fixed term contract have definite date or termination, or that it was
Arlene: freely entered into by both parties
o Fuji had control and supervision
o Successive renewal = necessary and
desirable