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105 Sec VS Laigo
105 Sec VS Laigo
105 Sec VS Laigo
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* SECOND DIVISION.
634
fund shall at all times remain for the sole benefit of the
planholders. At no time shall any part of the trust fund be used
for or diverted to any purpose other than for the exclusive benefit
of the planholders. In no case shall the trust fund assets be
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635
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636
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637
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638
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639
MENDOZA, J.:
Factual Antecedents
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640
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641
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together with a list of all those to whom, to the best of his knowledge and
belief, said debts or liabilities are due, the place of residence of his
creditors and the sum due each the nature of the indebtedness or liability
and whether founded on written security, obligation, contract or
otherwise, the true cause and consideration thereof, the time and place
when and where such indebtedness or liability accrued, a declaration of
any existing pledge, lien, mortgage, judgment, or other security for the
payment of the debt or liability, and an outline of the facts giving rise or
which might give rise to a cause of action against such insolvent debtor.
Sec. 16. Description of real and personal property.—Said inventory must
contain, besides the creditors, an accurate description of all the real and
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642
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7 Rollo, p. 50.
643
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644
Issues
I.
Whether or not the Trust Funds of Legacy form
part of its Corporate Assets.
II.
Whether or not respondent Trial Court Judge
committed grave abuse of discretion amounting to
lack or excess of jurisdiction in issuing the herein
assailed Order dated June 26, 2009.
III.
Whether or not the claims of planholders are to be
treated differently from the claims of other creditors
of Legacy.
IV.
Whether or not Legacy retains ownership over the
trust funds assets despite the execution of trust
agreements.
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the appropriate court which shall have jurisdiction over the assets of the
pre-need company, excluding trust fund assets that have been established
exclusively for the benefit of planholders.
(b) Proceedings in court shall proceed independently of proceedings in
the Commission for the liquidation of claims, and creditors of the pre-need
company shall have no personality whatsoever in the Commission
proceedings to litigate their claims against the trust funds. x x x
xxx x x x.
645
V.
Whether or not the insolvency court, presided by
respondent Trial Court Judge, has the authority to
enjoin petitioner SEC from further validating the
claims of Legacy’s planholders and treating them as
if they are ordinary creditors of Legacy.
VI.
Whether or not the provision of the Pre-need Code
regarding liquidation is in the nature of a
procedural law that can be retroactively applied to
the case at bar.11
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11 Rollo, p. 480.
12 Id., at pp. 142-150.
13 Id., at p. 142.
14 Id., at pp. 159-185.
646
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647
648
Trust Fund
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649
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18 Id., at p. 105.
650
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651
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652
SEC. 16. Pre-Need Plans.—No person shall sell or offer for sale to the
public any pre-need plan except in accordance with rules and regulations
which the Commission shall prescribe. Such rules shall regulate
the sale of pre-need plans by, among other things, requiring the
registration of pre-need plans, licensing persons involved in the sale of
pre-need plans, requiring disclosures to prospective plan holders,
prescribing advertising guidelines, providing for uniform accounting
system, reports and record keeping with respect to such plans, imposing
capital, bonding and other financial responsibility, and establishing trust
funds for the payment of benefits under such plans. [Emphasis supplied]
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653
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654
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655
656
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657
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658
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659
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660
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661
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662
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663
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664
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665
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666
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trust funds, which have been pending before it, are clearly
within the SEC’s authority to rule upon.
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667
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http://openscholarship.wustl.edu/cgi/viewcontent.cgi?
article=1050&context=law_urbanlaw (last visited, August 5, 2015).
44 Fernando v. St. Scholastica’s College, G.R. No. 161107, March 12,
2013, 693 SCRA 141.
45 356 Phil. 787; 295 SCRA 470 (1998).
668
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Conclusion
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46 Frivaldo v. COMELEC, 327 Phil. 521; 257 SCRA 727 (1996), citing
73 Am. Jur. 2d, Sec. 354, p. 490; italics supplied.
669
SO ORDERED.
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——o0o——
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