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GARCIANO v.

COURT OF APPEALS (KATH) As for the moral damages, the right to recover them under Article 21 is based
Augusr 20, 1992 | Griño-Aquino, J. | Contrary to Law and Morals (Arts. 20 & 21) on equity, and he who comes to court to demand equity, must come with
clean hands. Article 21 should be construed as granting the right to recover
PETITIONER: ESTERIA F. GARCIANO damages to injured persons who are not themselves at fault. Moral damages
RESPONDENTS: THE HON. COURT OF APPEALS, EMERITO LABAJO,
are recoverable only if the case falls under Article 2219 in relation to Article 21.
LUNISITA MARODA, LALIANA DIONES, CANONISA PANINSORO,
DIONISIO ROSAL, REMEDIOS GALUSO, FLORDELUNA PETALCORIN, In the case at bar, petitioner is not without fault. As for the exemplary damages,
MELCHIZEDECH LOON, NORBERTA MARODA and JOSEPH WIERTZ it was not justified for she is not entitled to moral, temperate or compensatory
damages.
SUMMARY: Esteria Garciano is a teacher at the Immaculate Concepcion
Institute. She was hired to teach during 1981-82. Before the school year ended,
she applied for an indefinite leave of absence because her daughter will take her FACTS:
to Austria. Her application, on the recommendation of the school principal, was 1. Petitioner Esteria Garciano was hired to teach during the 1981-82 school
approved by the President of the school’s Board of Directors. While she was still year in the Immaculate Concepcion Institute in the Island of Camotes.
abroad, the school principal addressed a letter to her through her huaband that 2. On January 13, 1982, or before the school year ended, she applied for an
she had been terminated. Upon her arrival, she received the letter and she then indefinite leave of absence because her daughter was taking her to Austria
inquired about her termination. The Board of Directors reinstated her and where her daughter was employed. The application was recommended for
ordered her to report back for work. It also said that the letter of termination sent approval by the school principal, Emerito O. Labajo, and approved by the
before had no authority by the BoD and thus null and void. President of the school's Board of Directors.
3. While Garciano was still abroad, the school principal addressed a letter to
Some members of the Board of Directors resigned because the faculty reacted
her through her husband, informing her of the decision of Fr. Joseph Wiertz,
acidly to Garciano’s reinstatement. Garciano also did not report for work despite
the reinstatement and order of the BoD. Instaed, she filed a complaint for the school's founder, concurred in by the president of the Parent-Teachers
damages against the school principal, the President, and some faculty members. Association and the school faculty, to terminate her services as a member
The trial court ruled in her favor, but the CA reversed this and absolved the of the teaching staff. The letter states that it is difficult to get a substitute
defendants from liability. on a temporary basis as no one would accept the position without a written
contract. Garciano refused to sign a written contract before.
The ISSUE is whether or not Garciano is entitled to damages — NO. The acts of 4. When she returned from Austria in the later part of June 1982, she received
the respondents were not contrary to law, morals, good customs or public policy. the letter informing her of her termination. She inquired about the matter.
5. On on July 7, 1982, the members of the Board of Directors of the school,
The BoD did not dismiss her. It even reinstated her and directed her to report for with the exception of Fr. Joseph Wiertz, signed a letter notifying her that
work. While the respondents disagreed with the Board’s decision to retain her, she was “reinstated to report and do your usual duties as Classroom
and some teachers allegedly threatened to resign en masse, even if true, did not Teacher ... effective July 5, 1982,” and that “any letter or notice of
make them liable to her for damages, as they did not actually and physically termination received by you before this date has no sanction or
prevent her from reporting for work. Their acts were not contrary to law, authority by the Board of Directors of this Institution, therefore it is
morals, good customs or public policy. They did not "illegally dismiss" her declared null and void.”
6. Some members of the Board of directors resigned “for the reason that the
for the Board's decision to retain her prevailed. She was ordered to report ICI Faculty, has reacted acidly to the Board's deliberations for the
for work, but she did not comply with that order. Consequently, whatever reinstatement of Mrs. Esteria F. Garciano, thereby questioning the
loss she may have incurred in the form of lost earnings was self-inflicted. integrity of the Board's decision.”
7. Garciano filed a complaint for damages against Fr. Wiertz, Emerito Labajo,
The SC dismissed the petition and affirmed the CA’s ruling. and some members of the faculty of the school for discrimination and unjust
and illegal dismissal.
DOCTRINE: Liability for damages under Articles 19, 20 and 21 of the Civil 8. The lower court ruled in favor of Garciano and ordered the defendants to
Code arises only from unlawful, willful or negligent acts that are contrary to pay her damages.
law, or morals, good customs or public policy. a. P200,000 as moral damages, P50,000 as exemplary damages,
P32,400 as lost earnings for nine years, and P10,000 as litigation a. Their acts were not contrary to law, morals, good customs or
expenses and attorney's fees. public policy. They did not "illegally dismiss" her for the
9. The Court of Appeals reversed the decision and absolved the defendants Board's decision to retain her prevailed.
from any liability. 6. She was ordered to report for work, but she did not comply with that order.
10. Hence, this petition.
Consequently, whatever loss she may have incurred in the form of lost
ISSUE/s: WoN Garciano is entitled to damages based on Article 19, 20, and 21 of earnings was self-inflicted. Volenti non fit injuria.
the Civil Code — NO. 7. With respect to petitioner’s claim for moral damages, the right to recover
them under Article 21 is based on equity, and he who comes to court to
RULING: WHEREFORE, the petition is DISMISSED for lack of merit and the demand equity, must come with clean hands.
decision of the Court of Appeals is AFFIRMED. 8. Article 21 should be construed as granting the right to recover damages
to injured persons who are not themselves at fault.
RATIO: 9. Moral damages are recoverable only if the case falls under Article 2219 in
1. The board of directors of the Immaculate Concepcion Institute, which
relation to Article 21. In the case at bar, petitioner is not without fault.
alone possesses the authority to hire and fire teachers and other employees
of the school, did not dismiss the petitioner. It in fact directed her to a. Firstly, she went on an indefinite leave of absence and failed to
report for work. report back in time for the regular opening of classes.
2. While the private respondents sent her a letter of termination through her b. Secondly, for reasons known to herself alone, she refused to sign a
husband, they admittedly had no authority to do so. Hence, the letter of written contract of employment. Lastly, she ignored the Board of
termination sent to her through her husband by defendants-appellants had Directors' order for her to report for duty on July 5, 1982.LexLib
no legal effect whatsoever. It did not effectively prevent her from 10. Lastly, the trial court's award of exemplary damages to her was not justified
reporting for work.
for she is not entitled to moral, temperate or compensatory damages (Art.
a. There was, therefore, no reason why she did not continue with her
teaching in the school. No evidence had been presented to show 2234, Civil Code).
that defendants-appellants prevented her from reporting for work.
The fact that defendants-appellants had 'acidly' received the action CITED PROVISIONS:
of the Board of Directors repudiating their decision to terminate "Art. 19. Every person must, in the exercise of his rights and in the performance of
plaintiff-appellee is not proof that defendants-appellants had his duties, act with justice, give everyone his due, and observe honesty and good
effectively and physically prevented plaintiff-appellee from
faith.
resuming her post.
b. As the CA held, it would appear, therefore, that Garciano had "Art. 20. Every person who, contrary to law, wilfully or negligently causes damage
voluntarily desisted from her teaching job in the school and has no to another, shall indemnify the latter for the same.
right to recover damages from defendants-appellants. "Art. 21. Any person who wilfully causes loss or injury to another in a manner that is
3. Liability for damages under Articles 19, 20 and 21 of the Civil Code contrary to morals, good customs or public policy shall compensate the latter for the
arises only from unlawful, willful or negligent acts that are contrary to damage."
law, or morals, good customs or public policy.
4. Garciano’s discontinuance from teaching was her own choice. While the
respondents admittedly wanted her service terminated, they actually did
nothing to physically prevent her from reassuming her post, as ordered by
the school’s Board of Directors.
5. That the school principal and Fr. Wiertz disagreed with the Board's decision
to retain her, and some teachers allegedly threatened to resign en masse,
even if true, did not make them liable to her for damages. They were
simply exercising their right of free speech or their right to dissent
from the Board's decision.

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