CASE TITLE YEAR PONENTE ISSUE RULING

CORPORATION LAW
SEPARATE PERSONALITY RULE
1 GERALDO VS THE BILL 2018 PERALTA CAN THE PRESIDENT BE HELD NO. The president of the corporation cannot be held personall and
SENDER CORP. (GR NO. SOLIDARILY LIABLE FOR THE solidarily liable with the company for the monetary claims of Geraldo.
222219) MONETARY CLAIMS OF THE
DISMISSED EMPLOYEE? As a general rule, a corporate officer cannot be held liable for acts done in
his official capacity because a corporation, by legal fiction, has a
personality separate and distinct from its officers, stockholders, and
members.

If there is no showing that the respondent, as a President of the company,

was guilty of malice or bad faith in terminating the employment of the
emploee, she should not be held personally liable for his monetary claims.

Note: Should not be confused with the case of Marc II Marketing, Joson vs
Joson, and Livesey vs Binswanger Phils.ith the company for the monetary
claims of Geraldo.
2 HAYDEN KHO, SR. VS 2019 REYES, JR. CAN THE PRESIDENT/GENERAL NO. It is settled that a corporation is a juridical entity with legal personality
MAGBANUA ET AL., (GR MANAGER BE MADE separate and distinct from those acting for and in its behalf and, in
NO. 237246) SOLIDARILY LIABLE WITH THE general, from the people comprising it. As a juridical entity, a corporation
CORPORATION FOR THE may act only through its directors, officers, and employees. As such,
PAYMENT OF WORKER'S obligations incurred b the corporation, acting through its directors,
MONEY CLAIMS? officers, and employees, are its sole liabilities.

A finding of personal liability against a director, trustee, or a corporate

officer requires the concurrence of these two (2) requisites, namely:
(a) a clear allegation in the complaint of gross negligence, bad faith or
malice, fraud, or any of the enumerated exceptional instances; and
(b) clear and convincing proof of said grounds relied upon in the
complaint45 sufficient to overcome the burden of proof borne by the
complainant.

Absent any finding that Kho was a corporate officer of the Corporation
who willfully and knowingly assented to patently unlawful acts of the
latter, or who is guilty of bad faith or gross negligence in directing its
affairs, or is guilty of conflict of interest resulting in damages thereto, he
cannot be held personally liable for the corporate liabilities arising from
the instant case.

3 MARICALUM MINING 2018 GESMUNDO Concomitantly, employees of a corporation have no cause of action for
CORPORATION VS ELY labor-related claims against another unaffiliated corporation, which does
FLORENTINO, ET. AL., not exercise control over them.
(GR NO. 221813)
 4 FREYSSINET FILIPINAS 2019 BERNABE IS IT PROPER TO DISREGARD NO. Neither is the existence of interlocking directors, corporate officers,
CORPORATION VS THE SEPARATED JURIDICAL and shareholders enough justification to pierce the veil of corporate
AMADO R. LAPUZ (GR PERSONALITY OF fiction in the absence of fraud or other public policy considerations.
NO. 226722) CORPORATIONS IF THESE WERE
RAN B THE SAME PEOPLE EVEN
OF THEY HAVE SEC
REGISTRATION?
PIERCING THE VEIL OF CORPORATE FICTION
5 MARC II MARKETING, 2011 PEREZ The employee was not given the required one-month prior notice that the
INC. & LUCILA JOSON VS corporation will already cease its business operations. Worse, the
ALFREDO JOSON (GR employee was not given the separation pay considering that the
NO. 171993) corporation's cessation of business was not due to business losses or
financial reversals.

6 ERIC GODFREY STANLEY 2014 BRION Elliot's plan to close the corporation and organize another for the purpose
LIVESEY VS of evading the corporation's liabilities to Livesy and its other financial
BINSAWANGER PHILS., liabilities makes him liable.
& KEITH ELLIOT (GR NO.
177493)

DOCTRINE OF APPARENT AUTHORITY

 7 TERP CONSTRUCTION 2019 LEONEN CAN A CORPORATION BE YES. A corporation may be bound by the letter sent by its officer if such
CORP. VS BANCO BOUND BY THE LETTERS SENT action has been ratified by the corporation or whose benefits have been
FILIPINO SAVINGS BANK BY ITS SENIOR VICE THAT IT accepted by the corporation.
(GR NO. 221771) COMMITTED TO PAY
ADDITIONAL INTEREST A corporation exercises its corporate powers through its board of
DIFFERENTIALS? directors. This power may be validly delegated to its officers, committees,
or agencies. "The authority of such individuals to bind the corporation is
generally derived from law, corporate bylaws or authorization from the
board, either expressly or impliedly by habit, custom or acquiescence in
the general course of business[.]"

The rule is of course settled that "[a]lthough an officer or agent acts

without, or in excess of, his actual authority if he acts within the scope of
an apparent authority with which the corporation has clothed him by
holding him out or permitting him to appear as having such authority, the
corporation is bound thereby in favor of a person who deals with him in
good faith in reliance on such apparent authority, as where an officer is
allowed to exercise a particular authority with respect to the business, or a
particular branch of its continuously and publicly, for a considerable time."

Here, respondent relied on Escalona's apparent authority to promise

interest payments over and above the guaranteed 8.5%, considering that
Escalona was petitioner's then senior vice president. His apparent
authority was further demonstrated by petitioner paying respondent what
Escalona promised during the Margarita Bonds' term.

CORPORATE NAME
 8 DE LA SALLE 2018 JARDALEZA WON THE CORPORATE NAME
MONTESSORI INT'L OF DE LA SALLE MONTESSORI
MALOLOS, INC. VS DE LA INTERNATIONAL OF MALOLOS,
SALLE BROTHERS, INC., INC. CAN BE REGISTERED IF THE
(GR. NO. 205548) NAME DE LA SALLE IS ALREADY
REGISTERED AND OWNED BY DE
LA SALLE BROTHERS, INC.
NO. The phrase "De La Salle" is not merely a generic term. Respondents'
use of the phrase being suggestive and may properly be regarded as
fanciful, arbitrary and whimsical, it is entitled to legal protection.
Petitioner's use of the phrase "De La Salle" in its corporate name is
patently similar to that of respondents that even with reasonable care and
observation, confusion might arise. The Court notes not only the similarity
in the parties' names, but also the business they are engaged in.

NOTE: should not be confused with the ruling in the case of Lyceum of the
Phils. vs Court of Appeals (GR no. 101897)

9 LYCEUM OF THE 1993 Petitioner institution is not entitled to a legally enforceable exclusive right
PHILIPPINES, INC. VS to use the word "Lyceum" in its corporate name and that other institutions
COURT OF APPEALS (GR may use "Lyceum" as part of their corporate names.
NO. 101897)
The word "Lyceum" became associated with schools and other institutions
providing public lectures and concerts and public discussions. Thus today,
the word "Lyceum" generally refers to a school or an institution of
learning.
10 AGO REALTY DEVT. 2019 REYES, JR. IS A COMPLAINT FILED BY A NO. One of the powers expressly granted by law to corporations is the
CORP. VS DR ANGELITA STOCKHOLDER WITHOUT A power to sue. As with other corporate powers, the power to sue is lodged
AGO, ET AL., GR NO. RESOLUTION EMANATING in the BOD, acting as collegial body.
210906 FROM THE CORPORATION'S
BOARD OF DIRECTORS VALID?

OUTSTANIDING CAPITAL STOCKS

11 CAROLINA QUE 2018 TIJAM IN COMPUTING THE TOTAL NO. The total outstanding capital stocks, without distinction as to the
VILLONGCO VS CECILIA OUTSTANDING CAPITAL disputed or undisputd shares of stock, is the basis in determining the
QUE YABUT, GR NO. STOCKS, WILL THE DISPUTED presence of quorum.
225022-4 SHARES OF STOCK BE
EXCLUDED IN DETERMINING The law provides that:
THE PRESENCE OF QUORUM?
Section 52. Quorum in meetings. - Unless otherwise provided for in this
Code or in the by-laws, a quorum shall consist of the stockholders
representing a majority of the outstanding capital stock or a majority of
the members in the case of non-stock corporations.

Section 137. Outstanding capital stock defined. - The term "outstanding

capital stock", as used in this Code, means the total shares of stock issued
under binding subscription agreements to subscribers or stockholders,
whether or not fully or partially paid, except treasury shares.

MERGER
12 FRANCISCO AND BETTY 2018 REYES, JR.
LIM ONG, ET. AL., VS BPI
FAMILY SAVINGS BANK,
INC., GR NO. 208638
DISSOLUTION
CAN THE SURVIVING OR
CONSOLIDATED CORPORATION
BE HELD RESPONSIBLE AND
LIABLE FOR ALL THE LIABILITIES,
COMMITMENTS AND
OBLIGATIONS OF EACH OF THE
CONSTITUENT CORPORATIONS
PRIOR TO THE MERGER?
YES. The surviving or consolidated corporation shall be responsible and
liable for all the liabilities and obligations of each of the constituent
corporations in the same manner as if such surviving or consolidated
corporation had itself incurred such liabilities or obligations; and any
pending claim, action, or proceeding brought by or against any of such
constituent corporations may be prosecuted by or against the surviving or
consolidated corporation.
Since the credit facility that BSA extended to petitioners was a credit line
total of ₱20,000,000.00, its refusal to release the balance on the omnibus
line prevented full performance of its obligation to petitioners. There
being no release of the full loan amount, no default could be attributed to
petitioners.
BPI was remiss in its duty of looking into the transaction involving the
mortgage it sought to foreclose.
As BSA's successor-in-interest, it cannot feign ignorance of transactions
entered into by the former especially when it seeks to benefit from the
same by foreclosing the mortgage thereon.
13 DR. GIL RICH VS 2018 REYES, JR. MAY A CORPORATION NOT
GUILLERMO PALOMA III, INVESTED WITH CORPORATE
ET AL, GR NO. 210538 PERSONALITY AT THE TIME OF
REDEMPTION REDEEM A
PROPERTY (AFTER
DISSOLUTION)
NO. The law empowers every corporation whose corporate existence has
been legally terminated to continue as a body corporate for three (3) years
after the time when it would have been dissolved.
This continued existence would only be for the purposes of "prosecuting
and defending suits by or against it and enabling it to settle and close its
affairs, to dispose of and convey its property and to distribute its assets."

Under the Corporation Code, the extended authority necessarily excludes

the purpose of continuing the business for which it was established. The
reason for this is simple: the dissolution of the corporation carries with it
the termination of the corporation's juridical personality.

Any new business in which the dissolved corporation would engage in,
other than those for the purpose of liquidation, "will be a void transaction
because of the non-existence of the corporate party."

VIGILANCE OVER GOODS
14 ANNIE TAN VS GREAT 2019 LEONEN
HARVEST ENTERPRISES,
INC. GR NO. 220400
TRANSPORTATION LAW
IS A COMMON CARRIER NO. Common carriers are obligated to exercise extraordinary diligence
RESPONSIBLE FOR THE LOSS OF over the goods entrusted to their care. This is due to the nature of their
THE GOODS DUE TO THEFT business, with the public policy behind it geared toward achieving
allocative efficiency and minimizing the inherently inequitable dynamics
between the parties to the transaction.

NOTE: should not be confused with the ruling in the case of Pedro De
Guzman vs CA and Ernesto Cendana (1988)
15 PEDRO DE GUZMAN VS 1988 LOSS OF THE GOODS Under Article 1745 (6) above, a common carrier is held responsible — and
CA, GR NO. L-47822 will not be allowed to divest or to diminish such responsibility — even for
acts of strangers like thieves or robbers, except where such thieves or
robbers in fact acted "with grave or irresistible threat, violence or force."

The Court ruled that the limits of the duty of extraordinary diligence in the
vigilance over the goods carried are reached where the goods are lost as a
result of a robbery which is attended by "grave or irresistible threat,
violence or force."

The occurrence of the loss must reasonably be regarded as quite beyond

the control of the common carrier and properly regarded as a fortuitous
event.

It is necessary to recall that even common carriers are not made absolute
insurers against all risks of travel and of transport of goods, and are not
held liable for acts or events which cannot be foreseen or are inevitable,
provided that they shall have complied with the rigorous standard of
extraordinary diligence.

COMMON CARRIER
16 UNITRANS INT'L 2019 CAGUIOA IS THE FREIGHT FORWARDING YES. A freight forwarding entity and an accredited non-vessel operating is a
FORWARDERS, INC. VS AGENT LIABLE IN CASE OF common carrier. As a common carrier, one of its obligations was to pick up
INS. CO. OF NORTH DAMAGE OR LOSS OF THE the shipment and then transport and deliver the same to the consignee's
AMERICA, GR NO. GOODS? premises in good condition.
203865
In handling the subject shipment and making sure that it was delivered to
the consignee's premises in good condition as the delivery/forwarding
agent, Unitrans was acting as a freight forwarding entity and an accredited
non-vessel operating common carrier.
INSURANCE LAW
INSURANCE CLAIM; PROOF OF LOSS
17 IPAMS VS COUNTRY 2018 CAGUIOA CAN THE INSURER VALIDLY
BANKERS INS. CORP., GR DENY AN INSURANCE CLAIM
NO. 194126 FOR THE FAILURE OF THE
INSURED TO SUBMIT
ADDITIONAL DOCUMENTS
WHICH THE INSURER REQUIRED
AFTER ACKNOWLEDGING
LIABILITY
SURETY
18 MERCANTILE INS CO VS 2019 CAGUIOA CAN A SURETY RAISE
DMCI-LAING "INEXCUSABLE DELAY" IN
CONSTRUCTION, GR NO. FILING THE COMPLAINT AS
205007 BASIS FOR EVADING LIABILITY
UNDER A CONTRACT OF
SURETY?
INTELLECTUAL PROPERTY LAW
UNFAIR COMPETITION
NO. The insurer cannot validly deny an insurance claim if the insured fails
to submit additional documents after the insurer has acknowledged its
liability.
Section 92 of the Insurance Code must be taken into consideration. The
said provision states that all defects in the proof of loss, which the insured
might remedy, are waived as grounds for objection when the insurer
omits to specify to him without unnecessary delay.
It is the duty of the insurer to indicate the defects on the proofs of loss
given, so that the deficiencies may be supplied by the insured. When the
insurer recognizes his liability to pay the claim, there is waiver by the
insurer of any defect in the proof of loss.
NO. While the contract of surety stands secondary to the principal
obligation, the surety's liability is direct, primary and absolute, albeit
limited to the amount for which the contract of surety is issued. The
surety's liability attaches the moment a demand for payment is made by
the creditor.
Through a contract of suretyship, one party called the surety, guarantees
the performance by another party, called the principal or obligor, of an
obligation or undertaking in favor of another party, called the obligee. As a
result, the surety is considered in law as being the same party as the
debtor in relation to whatever is adjudged touching upon the obligation of
the latter, and their liabilities are interwoven as to be inseparable.
19 ASIA PACIFIC RES. INT'L 2018 GESMUNDO CAN A CORPORATION BE HELD
HLDGS VS PAPERONE,
INC. GR NO. 213365-66
DILIGENCE REQUIRED OF BANKS
20 CITYSTATE SAVINGS 2018 REYES, JR.
BANK VS TERESITA
TOBIAS AND SHELLIDIE
VALDEZ, GR NO. 227990
GUILTY OF UNFAIR
COMPETITION FOR USING A
REGISTERED TRADEMARK AS
ITS CORPORATE NAME
WITHOUT ITS PRIOR CONSENT
AND AUTHORITY OF THE
TRADEMARK OWNER?
BANKING LAWS
CAN BANKS BE HELD LIABLE FOR
THE FRAUDULENT ACT OF ITS
EMPLOYEE EVEN IF IT HAS
EXERCISED A HIGH DEGREE OF
DILIGENCE IN THE SELECTION
AND SUPERVISION OF ITS
EMPLOYEES?
YES. The element of intent to deceive and to defraud may be inferred from
the similarity of the appearance of the goods as offered for sale to the
public. Actual fraudulent intent need not be shown.
As in all other cases of colorable imitations, the unanswered riddle is why,
of the millions of terms and combinations of letters available, respondent
had to choose those so closely similar to another's trademark if there was
no intent to take advantage of the goodwill generated by the other mark.
YES. The business of banking is one imbued with public interest. As such,
banking institutions are obliged to exercise the highest degree of diligence
as well as high standards of integrity and performance in all its
transactions.
The law expressly imposes upon the banks a fiduciary duty towards its
clients and to treat in this regard the accounts of its depositors with
meticulous care.
The contract between the bank and its depositor is governed by the
provisions of the Civil Code on simple loan or mutuum, with the bank as
the debtor and the depositor as the creditor.
In light of these, banking institutions may be held liable for damages for
failure to exercise the diligence required of it resulting to contractual
breach or where the act or omission complained of constitutes an
actionable tort.
21 BANCO FILIPINO 2018 LEONEN CAN THE CLOSED BANK UNDER NO. A closed bank under receivership can only sue or be sued through its
SAVINGS AND RECEIVERSHIP FILE A PETITION receiver, the PDIC.
MORTGAGE BANK VS FOR REVIEW WITHOUT
BSP, ET AL., GR NO. JOINING THE PDIC, ITS Under Republic Act No. 7653, when the Monetary Board finds a bank
200678 STATUTORY RECEIVER, AS A insolvent, it may "summarily and without need for prior hearing forbid the
PARTY TO THE CASE? institution from doing business in the Philippines and designate the PDIC
as receiver of the banking institution."

A bank which has been ordered closed by the Bangko Sentral ng Pilipinas
(Bangko Sentral) is placed under the receivership of the Philippine
Deposit Insurance Corporation. As a consequence of the receivership, the
closed bank may sue and be sued only through its receiver, the Philippine
Deposit Insurance Corporation. Any action filed by the closed bank
without its receiver may be dismissed.
FINANCIAL REHABILITATION AND INSOLVENCY ACT
COMMENCEMENT ORDER
22 LAND BANK OF THE 2019 REYES, JR. WHEN SHOULD THE EFFECTS OF The FRIA provides that the effects of the Commencement Order shall be
PHILIPPINES v. POLILLO THE COMMENCEMENT ORDER reckoned from the date of the filing of the petition for corporate
PARADISE ISLAND BE RECKONED? rehabilitation, be it voluntary or involuntary.
CORPORATION, GR NO.
211537 As the commencement date is ascertained, it is indispensable to discern
the period where the extrajudicial foreclosure sale and its effects took
place as Section 17 of the FRIA extends only to processes which occurred
after the commencement date.

The Certificate of Sale was issued and registered on August 22, 2011. As
such, the last day of the redemption period is on August 22, 2012. The
determination of such expiration date is relevant insofar as the ownership
of the subject properties is concerned. Case law dictates that the
purchaser in an extrajudicial foreclosure of real property becomes the
absolute owner of the property if no redemption is made within one year
from the registration of the Certificate of Sale by those entitled to redeem.

Hence, in this case, the ownership of the subject properties was vested
upon the petitioner on August 22, 2012 as its registered owners failed to
redeem the same. Notably, such period precedes the filing of the petition
for corporate rehabilitation on October 18, 2012.

CONSEQUENCE: The effect of such sale is to release the debtor from its
outstanding obligation.

EFFECT OF COMMENCEMENT ORDER

23 ALLIED BANKING CORP. 2018 MARTIRES CAN THE REHABILITATION YES. Under the Rules, the directive of the rehabilitation court restoring
VS EQUITABLE PCI COURT INVALIDATE THE SET- SCP's current account and crediting back the offset amount is valid and
BANK, INC. GR NO. OFF MADE BY THE CREDITOR proper.
191939 PRIOR TO ITS NOTICE OF THE
ISSUANCE OF THE Under the Rehabilitation Rules, the effects of such commencement order
COMMENCEMENT ORDER? shall retroact to the date that the petition was filed, and renders void any
attempt to collect on or enforce a claim against the debtor or to set off
any debt by the debtor's creditors, after the commencement date.

SEC. 9. EFFECTS OF THE COMMENCEMENT ORDER. - The effects of the

court's issuance of a Commencement Order shall retroact to the date of
the filing of the petition and, in addition to the effects of a Stay or
Suspension Order described in the foregoing section, shall:

XXX

XXX

(C) serve as legal basis for rendering null and void any set-off after the
commencement date of any debt owed to the debtor by any of the
debtor's creditors;

Clearly, therefore, the directive of the rehabilitation court restoring SCP's

current account and crediting back the offset amount is valid and proper,
since the offsetting was made on 15 September 2006, after the
commencement date on 11 September 2006, when the petition for
rehabilitation was filed.

FINANCIAL REHABILITATION AND INSOLVENCY ACT

REAL ESTATE MORTGAGE LAW
24 ROMA FE C. VILLALON 2019 PERALTA WILL THE FIRST MORTGAGEE
VS RURAL BANK OF HAVE SUPERIOR RIGHT OVER debtor's obligation to the first mortgagee has been fully satisfied.
AGOO, INC., GR NO. THE SECOND MORTGAGEE EVEN
239986 IF THE LATTER HAS FORECLOSED
THE MORTGAGED PROPERTY
AHEAD OF THE FIRST
MORTGAGEE?
25 CONCORDE COND., INC. 2018 GESMUNDO IS A BANK DEEMED A
VS PNB, ET AL., GR NO. MORTGAGEE IN GOOD FAITH
228354 WHEN IT ONLY RELIED ON THE
CORRECTNESS OF THE
CERTIFICATE OF TITLE BUT DID
NOT LOOKED BEYOND THE
CERTIFICATE IN ORDER TO
DETERMINE THE ACTUAL
OWNERSHIP OF THE PROPERTY?
YES. A second mortgagee of an unregistered land has to wait until after the
NO. As a general rule, every person dealing with registered land may safely
rely on the correctness of the certificate of title and is no longer required
to look behind the certificate in order to determine the actual owner.
However, a banking institution is expected to exercise due diligence
before entering into a mortgage contract. The ascertainment of the status
or condition of a property offered to it as security for a loan must be a
standard and indispensable part of its operations.
Consequently, a bank cannot be considered a mortgagee in good faith if it
fails to exercise the required degree of caution in readily accepting the
collateral offered by the borrower relying solely on the title without
verifying if the title had no defect or infirmity.
26 PLANTERS 2018 REYES, JR. IS PERSONAL NOTICE TO THE NO. As a general rule, personal notice to the mortgagor in extrajudicial
DEVELOPMENT BANK VS MORTGAGOR IN foreclosure proceedings is not necessary.
LUBIYA AGRO EXTRAJUDICIAL FORECLOSURE
INDUSTRIAL PROCEEDINGS NECESSARY? Section 3 of Act No. 3135 governing extra-judicial foreclosure of real
CORPORATION, GR NO. estate mortgages only requires the FF:
207976 1) posting of the notice of extrajudicial foreclosure sale in three public
places; and
2) publication of the said notice in a newspaper of general circulation

However, the exception to the rule is when the parties stipulate that
personal notice is additionally required to be given the mortgagor. Failure
to abide by the general rule, or its exception, renders the foreclosure
proceedings null and void.
27 SOFIA TABUADA, NOVEE 2018 BERSAMIN WAS THE MORTGAGE NO. A person constituting a mortgage should be the owner of the
YAP, MA. LORETA EXECUTED BY ONE WHO IS NOT property, or should have the right of free disposal of it, or, in the absence
NADAL, AND GLADYS THE OWNER OF THE PROPERTY, of the right of free disposal, such person should be legally authorized for
EVIDENTE VS ELEANOR OR HAVE THE RIGHT OF FREE the purpose. Otherwise, the mortgage is null and void.
TABUADA, JULIETA DISPOSAL OF IT VALID?
TRABUCO, LAURETA Under Article 2085 of the Civil Code, a mortgage, to be valid, must have
REDONDO, AND SPS. the following requisites, namely: (a) that it be constituted to secure the
BERNAN CERTEZA & fulfillment of a principal obligation; (b) that the mortgagor be the absolute
ELEANOR D. CERTEZA, owner of the thing mortgaged; and (c) that the person constituting the
GR NO. 196510 mortgage has free disposal of the property, and in the absence of the
right of free disposal, that the person be legally authorized for the
purpose.
28 SPOUSES FLAVIO P. 2018 BERSAMIN IS THE EXTRAJUDICIAL NO. The publication and posting of the notice of the rescheduled
BAUTISTA AND ZENAIDA FORECLOSURE SALE VALID extrajudicial foreclosure sale are mandatory and jurisdictional. The
L. BAUTISTA VS DESPITE THE FAILURE TO ensuing foreclosure sale held without the publication and posting of the
PREMIERE PUBLISH AND POST THE notice is void ab initio.
DEVELOPMENT BANK, NOTICE OF THE RESCHEDULED
ET AL., GR NO. 201881 FORECLOSURE SALE? This is because the requirements of publication and posting emanate from
public policy considerations, and are not for the benefit of the parties to
the mortgage.
PDIC LAW
29 CARLITO B. LINSANGAN 2019 REYES, JR. CAN THE PDIC CAN YES. PDIC can consolidate other deposits with the source account for
VS PHILIPPINE DEPOSIT CONSOLIDATE OTHER purposes of computing the insurable deposit if there is deposit splitting.
INSURANCE DEPOSITS WITH THE SOURCE
CORPORATION, GR NO. ACCOUNT FOR PURPOSES OF Elements. The elements of Deposit Splitting are as follows:
228807 COMPUTING THE INSURABLE
DEPOSIT? a. Existence of source account/s in a bank with a balance or aggregate
balance of more than the Maximum Deposit Insurance Coverage (MDIC);

b. There is a break up and transfer of said account/s into two or more

existing or new accounts in the name of another person/s or
entity/entities;

c. The transferee/s have no Beneficial Ownership over the transferred

funds; and

d. Transfer occurred within 120 days immediately preceding or during a

bank-declared bank holiday, or immediately preceding bank closure.

The PDIC shall deem that there exists Deposit Splitting for the purpose of
availing of the maximum deposit insurance coverage when all of these
elements are present.
 RELATED CONCEPTS:

1. The PDIC was created by Republic Act (R.A.) No. 35918 on June 22, 1963
as an insurer of deposits in all banks entitled to the benefits of insurance
under the PDIC Charter to promote and safeguard the interests of the
depositing public by way of providing permanent and continuing insurance
coverage of all insured deposits.

2. The PDIC has the duty to grant or deny claims for deposit insurance.

3. The term 'insured deposit' means the amount due to any bona fide
depositor for legitimate deposits in an insured bank net of any obligation
of the depositor to the insured bank as of the date of closure, but not to
exceed Five Hundred Thousand Pesos (P500,000.00).

4. In determining such amount due to any depositor, there shall be added

together all deposits in the bank maintained in the same right and capacity
for his benefit either in his own name or in the names of others."

5. To determine beneficial ownership of legitimate deposits which are

entitled to deposit insurance the following rules shall be observed:

a. In determining the depositor entitled to insured deposit payable by the

PDIC, the registered owner/holder of a Legitimate Deposit in the books of
the issuing bank shall be recognized as the depositor entitled to deposit
insurance, except as otherwise provided by this Issuance.

COMPETITION LAW
30 GIOS-SAMAR, INC., VS 2019 JARDELEZA WILL THE BUNDLING OF THE NO. The grant of a concession agreement to an entity, as a winning bidder,
DEPARTMENT OF AIRPORT PROJECTS VIOLATE for the exclusive development, operation, and maintenance of any or all of
TRANSPORTATION AND THE CONSTITUTIONAL the Projects, does not by itself create a monopoly violative of the
COMMUNICATIONS PROVISIONS AGAINST provisions of the Constitution.
AND CIVIL AVIATION MONOPOLIES AND
AUTHORITY OF THE COMBINATIONS IN RESTRAINT While the grant may result in a monopoly, it is a type of monopoly not
PHILIPPINES, GR NO. OF TRADE? violative of law. This is the essence of the policy decision of the
217158 Government to enter into concessions with the private sector to build,
maintain and operate what would have otherwise been government-
operated services, such as airports.

RA No. 10667 does not define what constitutes a "monopoly." Instead, it

prohibits one or more entities which has/have acquired or achieved a
"dominant position" in a "relevant market" from "abusing" its dominant
position.

In other words, an entity is not prohibited from, or held liable for

prosecution and punishment for, simply securing a dominant position in
the relevant market in which it operates. It is only when that entity
engages in conduct in abuse of its dominant position that it will be
exposed to prosecution and possible punishment.