Professional Documents
Culture Documents
Contract or Project of The National Government XXXXXX
Contract or Project of The National Government XXXXXX
PNOC When petitioner learned about this, they filed this complaint
alleging that it was an attempt to subject the materials in the IPB
Facts:
No. 80 to the O-ILAW Project and prayed that a TRO be issued.
R. A. 8975 expressly prohibits any court, EXCEPT SC, from Respondent as defense states that petitioner has no cause of action
issuing any TRO, preliminary injunction, etc. against the for:
Government xxxxx from: xxxxx (b) bidding or awarding of a
contract or project of the National Government xxxxxx 1. It violates the rule that government infrastructure projects
were not to be subjected to TROs;
2. It contravened the mandatory prohibition against non-forum
In 1999, National Electrification Administration (NEA) made an shopping; and
invitation to pre-qualify and bid for a contract, otherwise known as 3. The corporate president had no authority to sign and file the
IPB No. 80, for the supply and delivery of about 60k pieces of complaint
wood poles and 20k pieces of cross arms needed in the country’s RTC ruled in favor of Nerwin granting the TROs and declaring
Rural Electrification Project. PNOC in default. However, CA reversed the decision stating that
RTC gravely abused its discretion in issuing the TROs.
Nerwin was one of the 4 bidders who qualified and bid in the Nerwin now appeals to SC.
contract and he was the lowest. Even though he was the lowest,
NEA’s administrator, Conrado Estrella, recommended the board of Issue:
directors of NEA to award the contract to Nerwin for he is the
lowest bidder and there was a big difference between the 2nd WON the RTC gravely abused its discretion in issuing the TRO
lowest bidder. against PNOC
Held: YES.
However, NEA’s board of directors made Resolution No. 32
decreasing the IPB No. 80 material requirements by 50%. Nerwin SC states that the CA is correct in ruling that RTC gravely abused
contends that it was only a ploy to accommodate the losing bidder. its discretion in entertaining an application for TRO/preliminary
injunction, and worse, in issuing a preliminary injunction through
And then, the other losing bidders such as Tri State and Pacific the assailed order enjoining petitioners‟ sought bidding for its O-
Synnergy filed a complaint alleging that Nerwin falsified ILAW Project which was section 3 and section 4 of RA8975.
documents in the pre-qualification in the IPB No. 80. But it was It is a violation of RA 8975 which was approved on Nov. 7, 2000,
then validated by the Gov’t Corporate Counsel. therefore, already existing at the time RTC issued the assailed
TRO dated July, 20 and December 29, 2003. RA 8975 clearly and
On the other hand, respondent PNOC claiming to be under the expressly PROHIBITS any court except SC from doing such
Dep’t of Energy, issued an invitation to pre-qualify and bid for actions.
wooden poles needed for its Samar Rural Electrification Project or SC then fined the presiding RTC Judge of 40k for gross
“O-ILAW Project). misconduct and gross ignorance of the law
Doctrine: NCC5