Please send your answers before 10:05. Deductions will be made if submitted beyond that time.

Submission after 10:30 will be rejected.

This examination is equal to 30% of your final grade (or, if you failed the midterm examinations, 60%).
To make it easier to compute, this written examination has 60 points and your raw score will be divided
by two and that is your 30%.

Gator Global is a corporation registered in Florida, USA. To expand its business, it sought and secured a
registration from the Philippine Securities and Exchange Commission. It thereafter established a factory
in Canlubang, Laguna.

Gator Global lost to Fernando Holdings, a Spanish conglomerate after a hostile takeover.

After Fernando Holdings bought Gator Global, the latter, upon the instigation of the former, established
a local corporation know as Fernando Gator Philippines. (FGP). This new corporation was contracted to
manage all the Gator Global assets in the country.

To streamline their operations, Gator Global and Fernando Holdings plan to merge after a year.

Meantime, Dumbo Corporation, Gator Global’s major supplier at the Canlubang plant learned that
Fernando Holdings bought Gator Global and rumor has it that the latter will close its operations in the
Philippines. Afraid that it will not be able to collect the P3Million outstanding obligation incurred by
Gator Global, Dumbo’s counsel filed a collection case against Fernando Holdings and Fernando Gator
Philippines.

Discuss individually the causes of action or defenses of Dumbo (8 pts.), Fernando Holdings (8 pts.) and
Fernando Gator Philippines (8 pts.)

Answer:

Dumbo may sue Gator Global if the obligation of Gator Global is demandable. The law
provides that a corporation doing business or transacting business in the Philippines can be sued.
Further, the creditor can collect money from debtor if debtor's obligation is already demandable.

In the case at bar, if the said obligation of the Gator Global is demandable then Dumbo can file
a suit for collection of sum of money against Gator. However, since the merger of the Gator Global
and Fernando holdings will be effective after 1 year. Thus, Dumbo cannot file a suit against Fernando
Gator since this corporation being a new corporation cannot assume yet the rights and obligations of
Gator Global prior to the effectively of the merger.

Moreover, Fernando holdings can also argue that Dumbo cannot file a suit against them since
they are not considered as transacting business here in the Philippines. Jurisprudence provides that a
corporation is governed by the law where it was incorporated and cannot be sued in the Philippines
without the Philippines' consent or if such corporation is not doing business or transacting business in
the Philippines.
 Based on the foregoing, Fernando Holdings, being incorporated in a foreign country and not
licensed to transact business here in the Philippines. Dumbo cannot sue Fernando holdings.

II

The marriage of Antonio and Maria failed and they agreed to separate. Antonio took custody of his
daughter Pina and Maria had the younger Tommy. Antonio and Pina migrated to Texas in the United
States.

Fifteen years later, Pina decided to go back home to the Philippines and took back her Philippine
citizenship. When Antonio died, he left his house in Austin to his niece, Patricia in his will. A house and
lot in Whiteplains, Quezon City that Antonio inherited from his parents was left to Pina. No mention was
made of his legal wife and son who are in the Philippines. Patricia caused the probate of his will in
Austin and thereafter caused the transfer of the title of the house in her name. Thereafter, Pina, his
daughter, sought the recognition of this foreign judgment in the Quezon City Reginal Trial Court. Tommy
now opposes alleging that he was preterited.

A. How will Pina or her lawyer proceed with her case? (step-by-step procedure is suggested
here) 10 pts.

Answer:

In order for the foreign judgment to be recognized here in the Philippines the
following step must be followed: That Pina's lawyer must gather required documents for
judicial recognition, then the lawyer will have to make a petition that will be subsequently
file before the lower courts, the lower court will conduct a summary hearing to hear
evidences and documents to support the foreign judgment since our courts cannot
outright took judicial notice of the said foreign judgment, then Pina and her lawyer will
have to wait for the decision of the court as well as the finality of the said decision and
thereafter, once becomes final, the said decision will have to be annotated before the
registry.

B. How will the judge resolve this case? ( a detailed decision buttressed by the law and
jurisprudence is essential). 10 pts.

Answer:

As a judge I will resolve first the nationality of Antonio. The law substantially provides
that an exception to lex rei sitea rule is the second paragraph of Article 26 of the New Civil
Code which substantially provides that the succession rights of the decedent will be govern
by the his nationality.
 In the case at bar, Antonio's nationality was not determined yet. If it was proven that
Antonio is a Filipino then following the nationality principle the distribution of Antonio's
estate will be govern by the Philippines law and being governed by the Philippine law
since Tommy is a compulsory heir of Antonio and he is not instituted by Antonio as an heir,
thus, pursuant with the law on succession there is preterition since Tommy is being
deprived of his legitime.

On the other hand, if it was proven that Antonio is an alien then his nationality law or
the law another country will govern the distribution of his estate. Further, for the foreign
judgment to be recognized here in the Philippines it is one of the requisites that such
foreign judgment is not contrary to the public policy of the state it sought to be
recognized. If it proved that there will be preterition, then such foreign judgment being
contracy to the Philippines' public policy cannot be recognized. However, these issues can
only be resolve once Antonio's nationality was already determined or established.

III

Tom Pik, a citizen of South Africa married Precy Tambunting, a Filipina millionaire. While in an African
safari, Precy went missing after a stampede by a herd of elephants. Tom filed a case for the declaration
of Precy’s presumptive death. The South African court where said case was filed ruled favorably.
Assume that the South African law provides that disappearance for 4 years is enough to declare a
presumptive death for purposes of succession.

Tm now comes before the RTC of Makati so he can take control over Precy’s assets. You are the judge.
what factors will you consider. Will you grant the petition? (6 pts.)

Answer:

If I were the judge I will consider first Precy's nationality. Jurisprudence provides that in cases
of declaration of presumptive death it is governed by the nationality of the person being presumed as
dead. Since Percy is a Filipino then Philippine law must be applied in terms of her absence. Philippine
law substantially provides that a person is presumed dead after an absence of seven years but
absentee shall not be presumed dead for the purpose of opening of succession till after an absence of
ten years. Further, a judicial declaration is required if the mentioned period of years was decreased for
the person to be presumed dead.

Moreover, I will also consider the location of the assets of the Precy applying the principle of
lex rei sitea, thus, for the assets located in the Philippines, Philippine law must govern. Based on the
going, since the declaration of absence of Precy is not valid as the same is not in pursuant with
Philippine law, I will not grant Tom Pik's petition.

IV

Susan, a Filipina had accident and became wheel chair-bound as her hips were totally destroyed. She
migrated to the United States to explore further medical and rehabilitation options. She was in Austin,
Texas when she met Peter, her former crush in college who worked for the Philippine Consulate. They
started dating and a few months later, they got married.
Despite the damage of her hips, Susan’s reproductive systems is intact. Her doctors however informed
her that she will not be able to carry her pregnancy. Desirous of having a baby, the couple engaged the
services of Anna, a Czech. Susan’s egg was harvested, fertilized by Peter’s sperm and thereafter injected on
Anna. The procedure was a success and Anna delivered baby Paul. Peter, Susan and baby Paul returned to
the Philippines.

A. When Paul was five years old, Anna appeared in the Philippines. She now wants to take
custody of Paul and now seeks a legal advice from you. Discuss. Please don’t forget to integrate
the following aspects: jurisdiction, merit of her claim and the choice of law. (6 pts.)

Answer:

I will advise Anna that based on the principle of lex loci celebrationis or the law of the place
where the contract was celebrated will be applied or govern in this case. Since the contract between
her, Susan and Peter was celebrated in Texas, then applying the rule of principle forum of non
conveniens the Philippine court must not assume jurisdiction of the said case. Moreover, by the
principle of most significant relevance the Philippines does not have relevance in the said case since
the contract was celebrated in Texas and Anna's nationality being Czech. Further, as substantially
provided by law in terms of family rights and duties nationality principle applied. Thus, the choice of
law is Anna's nationality.

B. Assuming, Anna did not file a case and Paul became an adult. He now decides to run for
congress and Ramon, his opponent, now asks you if there is any basis for Paul’s disqualification.
(4 pts.)

Answer:

I will advice Ramon that there is basis for Paul's disqualification. Jurisprudence
substantially provides that if a dual citizen would like to run for a public office such as to be a
member of the house of representative such candidate would have to renounce his other
foreign citizenship before such public officer be authorized to administer an oath or before the
filling of the certificate of candidacy.
In the case at bar, since Paul was born in Texas which follows jus soli making him a U.S
citizen, it was not established that Paul renounces his other citizenship, applying the above
jurisprudence, Paul is disqualified to run for congress.