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Chapter I administrative authorities of the power to adjudge the guilt of the supposed

offender is a clear encroachment on judicial functions and militates against


FUNDAMENTAL POWERS OF THE STATE (Police Power) the doctrine of separation of powers. There is, finally, also an invalid
Ynot v. IAC delegation of legislative powers to the officers mentioned therein who are
granted unlimited discretion in the distribution of the properties arbitrarily
FACTS: taken.

There had been an existing law which prohibited the slaughtering of Ermita Malate v. City of Manila 20 SCRA 849 (1967)
carabaos (EO 626). To strengthen the law, Marcos issued EO 626-A which
not only banned the movement of carabaos from interprovinces but as well Ermita-Malate Hotel and Motel Operators Association, and one of its
as the movement of carabeef. On 13 Jan 1984, Ynot was caught transporting members Hotel del Mar Inc. petitioned for the prohibition of Ordinance
6 carabaos from Masbate to Iloilo. He was then charged in violation of EO 4670 on June 14, 1963 to be applicable in the city of Manila.
626-A. Ynot averred EO 626-A as unconstitutional for it violated his right to They claimed that the ordinance was beyond the powers of the Manila
be heard or his right to due process. He said that the authority provided by City Board to regulate due to the fact that hotels were not part of its
EO 626-A to outrightly confiscate carabaos even without being heard is regulatory powers. They also asserted that Section 1 of the challenged
unconstitutional. The lower court ruled against Ynot ruling that the EO is a ordinance was unconstitutional and void for being unreasonable and
valid exercise of police power in order to promote general welfare so as to violative of due process insofar because it would impose P6,000.00 license
curb down the indiscriminate slaughter of carabaos. fee per annum for first class motels and P4,500.00 for second class
ISSUE: motels; there was also the requirement that the guests would fill up a form
specifying their personal information.
Whether or not the law is valid.
There was also a provision that the premises and facilities of such hotels,
HELD: motels and lodging houses would be open for inspection from city
authorites. They claimed this to be violative of due process for being vague.
The SC ruled that the EO is not valid as it indeed violates due process. EO
626-A ctreated a presumption based on the judgment of the executive. The The law also classified motels into two classes and required the
movement of carabaos from one area to the other does not mean a maintenance of certain minimum facilities in first class motels such as a
subsequent slaughter of the same would ensue. Ynot should be given to telephone in each room, a dining room or, restaurant and laundry. The
defend himself and explain why the carabaos are being transferred before petitioners also invoked the lack of due process on this for being arbitrary.
they can be confiscated. The SC found that the challenged measure is an
invalid exercise of the police power because the method employed to It was also unlawful for the owner to lease any room or portion thereof
conserve the carabaos is not reasonably necessary to the purpose of the law more than twice every 24 hours.
and, worse, is unduly oppressive. Due process is violated because the owner
There was also a prohibition for persons below 18 in the hotel.
of the property confiscated is denied the right to be heard in his defense
and is immediately condemned and punished. The conferment on the
The challenged ordinance also caused the automatic cancellation of the of the requirements of due process, equal protection and other applicable
license of the hotels that violated the ordinance. constitutional guaranties, however, the power must not be unreasonable or
violative of due process.
The lower court declared the ordinance unconstitutional.
There is no controlling and precise definition of due process. It has a
Hence, this appeal by the city of Manila. standard to which the governmental action should conform in order that
ISSUE: deprivation of life, liberty or property, in each appropriate case, be valid.
What then is the standard of due process which must exist both as a
Whether Ordinance No. 4760 of the City of Manila is violative of the due procedural and a substantive requisite to free the challenged ordinance
process clause? from legal infirmity? It is responsiveness to the supremacy of reason,
obedience to the dictates of justice. Negatively put, arbitrariness is ruled out
RULING:
and unfairness avoided.
No. Judgment reversed.
Due process is not a narrow or "technical conception with fixed content
"The presumption is towards the validity of a law.” However, the Judiciary unrelated to time, place and circumstances," decisions based on such a
should not lightly set aside legislative action when there is not a clear clause requiring a "close and perceptive inquiry into fundamental principles
invasion of personal or property rights under the guise of police regulation. of our society." Questions of due process are not to be treated narrowly or
pedantically in slavery to form or phrase.
O'Gorman & Young v. Hartford Fire Insurance Co- Case was in the scope of
police power. As underlying questions of fact may condition the Nothing in the petition is sufficient to prove the ordinance’s nullity for an
constitutionality of legislation of this character, the resumption of alleged failure to meet the due process requirement.
constitutionality must prevail in the absence of some factual foundation of
Cu Unjieng case: Licenses for non-useful occupations are also incidental to
record for overthrowing the statute." No such factual foundation being laid
the police power and the right to exact a fee may be implied from the
in the present case, the lower court deciding the matter on the pleadings
power to license and regulate, but in fixing amount of the license fees the
and the stipulation of facts, the presumption of validity must prevail and the
municipal corporations are allowed a much wider discretion in this class of
judgment against the ordinance set aside.”
cases than in the former, and aside from applying the well-known legal
There is no question but that the challenged ordinance was precisely principle that municipal ordinances must not be unreasonable, oppressive,
enacted to minimize certain practices hurtful to public morals, particularly or tyrannical, courts have, as a general rule, declined to interfere with such
fornication and prostitution. Moreover, the increase in the licensed fees discretion. Eg. Sale of liquors.
was intended to discourage "establishments of the kind from operating for
Lutz v. Araneta- Taxation may be made to supplement the state’s police
purpose other than legal" and at the same time, to increase "the income of
power.
the city government."
In one case- “much discretion is given to municipal corporations in
Police power is the power to prescribe regulations to promote the health,
determining the amount," here the license fee of the operator of a massage
morals, peace, good order, safety and general welfare of the people. In view
clinic, even if it were viewed purely as a police power measure.
On the impairment of freedom to contract by limiting duration of use to BUSINESSES PROVIDING CERTAIN FORMS OF AMUSEMENT,
twice every 24 hours- It was not violative of due process. 'Liberty' as ENTERTAINMENT, SERVICES AND FACILITIES IN THE ERMITA-MALATE AREA,
understood in democracies, is not license; it is 'liberty regulated by law.' PRESCRIBING PENALTIES FOR VIOLATION THEREOF, AND FOR OTHER
Implied in the term is restraint by law for the good of the individual and for PURPOSES. It basically prohibited establishments such as bars, karaoke bars,
the greater good of the peace and order of society and the general well- motels and hotels from operating in the Malate District which was
being. notoriously viewed as a red light district harboring thrill seekers. Malate
Tourist Development Corporation avers that the ordinance is invalid as it
Laurel- The citizen should achieve the required balance of liberty and includes hotels and motels in the enumeration of places offering
authority in his mind through education and personal discipline, so that amusement or entertainment. MTDC reiterates that they do not market
there may be established the resultant equilibrium, which means peace and such nor do they use women as tools for entertainment. MTDC also avers
order and happiness for all. that under the LGC, LGUs can only regulate motels but cannot prohibit their
The freedom to contract no longer "retains its virtuality as a living principle, operation. The City reiterates that the Ordinance is a valid exercise of Police
unlike in the sole case of People v Pomar. The policy of laissez faire has to Power as provided as well in the LGC. The City likewise emphasized that the
some extent given way to the assumption by the government of the right of purpose of the law is to promote morality in the City.
intervention even in contractual relations affected with public interest. ISSUE:
What may be stressed sufficiently is that if the liberty involved were Whether or not Ordinance 7783 is valid.
freedom of the mind or the person, the standard for the validity of
governmental acts is much more rigorous and exacting, but where the HELD:
liberty curtailed affects at the most rights of property, the permissible scope
of regulatory measure is wider. The SC ruled that the said Ordinance is null and void. The SC noted that for
an ordinance to be valid, it must not only be within the corporate powers of
On the law being vague on the issue of personal information, the the local government unit to enact and must be passed according to the
maintenance of establishments, and the “full rate of payment”- Holmes- procedure prescribed by law, it must also conform to the following
“We agree to all the generalities about not supplying criminal laws with substantive requirements:
what they omit but there is no canon against using common sense in
construing laws as saying what they obviously mean." (1) must not contravene the Constitution or any statute;

(2) must not be unfair or oppressive;

City of Manila vs Judge Laguio (3) must not be partial or discriminatory;

FACTS: (4) must not prohibit but may regulate trade;

On 30 Mar 1993, Mayor Lim signed into law Ord 7783 entitled AN (5) must be general and consistent with public policy; and
ORDINANCE PROHIBITING THE ESTABLISHMENT OR OPERATION OF (6) must not be unreasonable.
The police power of the City Council, however broad and far-reaching, is paramount in the issuance of Department Order No. 3. Short of a total and
subordinate to the constitutional limitations thereon; and is subject to the absolute ban against the deployment of performing artists to “high risk”
limitation that its exercise must be reasonable and for the public good. In destinations, a measure which would only drive recruitment further
the case at bar, the enactment of the Ordinance was an invalid exercise of underground, the new scheme at the very least rationalizes the method of
delegated power as it is unconstitutional and repugnant to general laws. screening performing artists by requiring reasonable educational and artistic
skills from them and limits deployment to only those individuals adequately
JMM Productions vs Court of Appeals prepared for the unpredictable demands of employment as artists abroad. It
FACTS: cannot be gainsaid that this scheme at least lessens the room for
exploitation by unscrupulous individuals and agencies.
Due to the death of one Maricris Sioson in 1991, Cory banned the
deployment of performing artists to Japan and other destinations. This was Ichong vs Hernandez
relaxed however with the introduction of the Entertainment Industry FACTS:
Advisory Council which later proposed a plan to POEA to screen and train The Legislature passed R.A. 1180 (An Act to Regulate the Retail Business). Its
performing artists seeking to go abroad. In pursuant to the proposal POEA purpose was to prevent persons who are not citizens of the Phil. from
and the secretary of DOLE sought a 4 step plan to realize the plan which
having a stranglehold upon the people’s economic life.
included an Artist’s Record Book which a performing artist must acquire
prior to being deployed abroad. The Federation of Talent Managers of the  a prohibition against aliens and against associations, partnerships,
Philippines assailed the validity of the said regulation as it violated the right or corporations the capital of which are not wholly owned by
to travel, abridge existing contracts and rights and deprives artists of their Filipinos, from engaging directly or indirectly in the retail trade
individual rights. JMM intervened to bolster the cause of FETMOP. The
 aliens actually engaged in the retail business on May 15, 1954 are
lower court ruled in favor of EIAC.
allowed to continue their business, unless their licenses are
ISSUE: forfeited in accordance with law, until their death or voluntary
retirement. In case of juridical persons, ten years after the approval
Whether or not the regulation by EIAC is valid.
of the Act or until the expiration of term.
HELD: Citizens and juridical entities of the United States were exempted from this
The SC ruled in favor of the lower court. The regulation is a valid exercise of Act.
police power. Police power concerns government enactments which  provision for the forfeiture of licenses to engage in the retail
precisely interfere with personal liberty or property in order to promote the business for violation of the laws on nationalization, economic
general welfare or the common good. As the assailed Department Order control weights and measures and labor and other laws relating to
enjoys a presumed validity, it follows that the burden rests upon petitioners trade, commerce and industry.
to demonstrate that the said order, particularly, its ARB requirement, does
not enhance the public welfare or was exercised arbitrarily or unreasonably.
The welfare of Filipino performing artists, particularly the women was
 provision against the establishment or opening by aliens actually
engaged in the retail business of additional stores or branches of The difference in status between citizens and aliens constitutes a basis for
retail business reasonable classification in the exercise of police power.

Lao Ichong, in his own behalf and behalf of other alien residents, Official statistics point out to the ever-increasing dominance and control by
corporations and partnerships affected by the Act, filed an action to declare alien of the retail trade. It is this domination and control that is the
it unconstitutional for the ff: reasons: legislature’s target in the enactment of the Act.
1. it denies to alien residents the equal protection of the laws and
deprives them of their liberty and property without due process The mere fact of alienage is the root cause of the distinction between the
alien and the national as a trader. The alien is naturally lacking in that spirit
2. the subject of the Act is not expressed in the title of loyalty and enthusiasm for the Phil. where he temporarily stays and
makes his living. The alien owes no allegiance or loyalty to the State, and the
3. the Act violates international and treaty obligations
State cannot rely on him/her in times of crisis or emergency.
4. the provisions of the Act against the transmission by aliens of their
retail business thru hereditary succession While the citizen holds his life, his person and his property subject to the
needs of the country, the alien may become the potential enemy of the
ISSUE: State.

WON the Act deprives the aliens of the equal protection of the laws.
The alien retailer has shown such utter disregard for his customers and the
people on whom he makes his profit. Through the illegitimate use of
HELD:
pernicious designs and practices, the alien now enjoys a monopolistic
The law is a valid exercise of police power and it does not deny the aliens control on the nation’s economy endangering the national security in times
the equal protection of the laws. There are real and actual, positive and of crisis and emergency.
fundamental differences between an alien and a citizen, which fully justify
the legislative classification adopted.
Espina v. Exec. Sec. Zamora
RATIO:
The equal protection clause does not demand absolute equality among FACTS:
residents. It merely requires that all persons shall be treated alike, under
like circumstances and conditions both as to privileges conferred and On March 7, 2000, President Joseph E. Estrada signed into law Republic Act
liabilities enforced. (R.A.) 8762, also known as the Retail Trade Liberalization Act of 2000. It
expressly repealed R.A. 1180, which absolutely prohibited foreign nationals
The classification is actual, real and reasonable, and all persons of one class from engaging in the retail trade business. R.A. 8762 now allows them to do
are treated alike. so under four categories.
R.A. 8762 also allows natural-born Filipino citizens, who had lost their
citizenship and now reside in the Philippines, to engage in the retail trade Petitioners have no legal standing to file the petition. They cannot invoke
business with the same rights as Filipino citizens. the fact that they are taxpayers since R.A. 8762 does not involve the
disbursement of public funds.
On October 11, 2000, petitioners, all members of the House of
Representatives, filed the present petition, assailing the constitutionality of The petition does not involve any justiciable controversy.
R.A. 8762 on the following grounds:
Petitioners have failed to overcome the presumption of constitutionality of
The law runs afoul of Sections 9, 19, and 20 of Article II of the Constitution R.A. 8762. Sections 9, 19, and 20 of Article II of the Constitution are not self-
which enjoins the State to place the national economy under the control of executing provisions that are judicially demandable.
Filipinos to achieve equal distribution of opportunities, promote
industrialization and full employment, and protect Filipino enterprise The Constitution mandates the regulation but not the prohibition of foreign
against unfair competition and trade policies. investments. It directs Congress to reserve to Filipino citizens certain areas
of investments upon the recommendation of the NEDA and when the
The implementation of R.A. 8762 would lead to alien control of the retail national interest so dictates. But the Constitution leaves to the discretion of
trade, which taken together with alien dominance of other areas of the Congress whether or not to make such reservation. It does not prohibit
business, would result in the loss of effective Filipino control of the Congress from enacting laws allowing the entry of foreigners into certain
economy. industries not reserved by the Constitution to Filipino citizens.

Foreign retailers like Walmart and K-Mart would crush Filipino retailers and ISSUES:
sari-sari store vendors, destroy self-employment, and bring about more
unemployment. Whether or not petitioner lawmakers have the legal standing to challenge
the constitutionality of R.A. 8762
The World Bank-International Monetary Fund had improperly imposed the
passage of R.A. 8762 on the government as a condition for the release of Whether or not R.A. 8762 is unconstitutional
certain loans.
POLITICAL LAW: Legal standing or locus standi refers to the right of a party
There is a clear and present danger that the law would promote monopolies to come to a court of justice and make such a challenge.
or combinations in restraint of trade.
HELD:
Respondents Executive Secretary Ronaldo Zamora, Jr., Trade and Industry
Secretary Mar Roxas, National Economic and Development Authority Legal standing or locus standi refers to the right of a party to come to a
(NEDA) Secretary Felipe Medalla, Bangko Sentral ng Pilipinas Gov. Rafael court of justice and make such a challenge. More particularly, standing
Buenaventura, and Securities and Exchange Commission Chairman Lilia refers to his personal and substantial interest in that he has suffered or will
Bautista countered that: suffer direct injury as a result of the passage of that law.
Certainly, it is not within the province of the Court to inquire into the
Here, there is no clear showing that the implementation of the Retail Trade wisdom of R.A. 8762 save when it blatantly violates the Constitution. But as
Liberalization Act prejudices petitioners or inflicts damages on them, either the Court has said, there is no showing that the law has contravened any
as taxpayers or as legislators. Still the Court will resolve the question they constitutional mandate. The Court is not convinced that the implementation
raise since the rule on standing can be relaxed for nontraditional plaintiffs of R.A. 8762 would eventually lead to alien control of the retail trade
when the public interest so requires or the matter is of transcendental business. Petitioners have not mustered any concrete and strong argument
importance, of overarching significance to society, or of paramount public to support its thesis. The law itself has provided strict safeguards on foreign
interest. participation in that business. Thus -

POLITICAL LAW: The declarations of principles and state policies in the First, aliens can only engage in retail trade business subject to the categories
Constitution are not self-executing. above-enumerated; Second, only nationals from, or juridical entities formed
or incorporated in countries which allow the entry of Filipino retailers shall
As the Court explained in Tanada v. Angara, the provisions of Article II of the be allowed to engage in retail trade business; and Third, qualified foreign
1987 Constitution, the declarations of principles and state policies, are not retailers shall not be allowed to engage in certain retailing activities outside
self-executing. Legislative failure to pursue such policies cannot give rise to their accredited stores through the use of mobile or rolling stores or carts,
a cause of action in the courts. the use of sales representatives, door-to-door selling, restaurants and sari-
sari stores and such other similar retailing activities.
Furthermore, while Section 19, Article II of the 1987 Constitution requires
the development of a self-reliant and independent national economy US vs TORIBIO
effectively controlled by Filipino entrepreneurs, it does not impose a policy FACTS:
of Filipino monopoly of the economic environment. The objective is simply
to prohibit foreign powers or interests from maneuvering our economic Respondent Toribio is an owner of carabao, residing in the town of Carmen
policies and ensure that Filipinos are given preference in all areas of in the province of Bohol. The trial court of Bohol found that the respondent
development. slaughtered or caused to be slaughtered a carabao without a permit from
the municipal treasurer of the municipality wherein it was slaughtered, in
More importantly, Section 10, Article XII of the 1987 Constitution gives violation of Sections 30 and 33 of Act No. 1147, an Act regulating the
Congress the discretion to reserve to Filipinos certain areas of investments registration, branding, and slaughter of Large Cattle. The act prohibits the
upon the recommendation of the NEDA and when the national interest slaughter of large cattle fit for agricultural work or other draft purposes for
requires. Thus, Congress can determine what policy to pass and when to human consumption.
pass it depending on the economic exigencies. It can enact laws allowing the
entry of foreigners into certain industries not reserved by the Constitution The respondent counters by stating that what the Act is (1) prohibiting is the
to Filipino citizens. In this case, Congress has decided to open certain areas slaughter of large cattle in the municipal slaughter house without a permit
of the retail trade business to foreign investments instead of reserving them given by the municipal treasurer. Furthermore, he contends that the
exclusively to Filipino citizens. The NEDA has not opposed such policy. municipality of Carmen has no slaughter house and that he slaughtered his
carabao in his dwelling, (2) the act constitutes a taking of property for public
use in the exercise of the right of eminent domain without providing for the The Supreme Court cited events that happen in the Philippines like an
compensation of owners, and it is an undue and unauthorized exercise of epidemic that wiped 70-100% of the population of carabaos.. The Supreme
police power of the state for it deprives them of the enjoyment of their Court also said that these animals are vested with public interest for they
private property. are fundamental use for the production of crops. These reasons satisfy the
requesites of a valid exercise of police power

ISSUE: The Supreme court finally said that article 1147 is not an exercise of the
Whether or not Act. No. 1147, regulating the registration, branding and inherent power of eminent domain. The said law does not constitute the
slaughter of large cattle, is an undue and unauthorized exercise of police taking of caraboes for public purpose; it just serve as a mere regulation for
power. the consumption of these private properties for the protection of general
welfare and public interest.
RULING:
Velasco vs Villegas
It is a valid exercise of police power of the state. Facts:

Petitioners assailed the validity of Ordinance 4964, prohibiting barbershop


The Supreme court Said sections 30 and 33 of the Act prohibit and penalize to conduct massaging customers in a separate room or in any room in the
the slaughtering or causing to be slaughtered for human consumption of same building where the operator of the barbershop and the room of
large cattle at any place without the permit provided for in section 30 massaging is the same. The contention being that it amounts to a
Where the language of a statute is fairly susceptible of two or more deprivation of property of petitioners-appellants of their means of
constructions, that construction should be adopted which will most tend to livelihood without due process of law. Lower Court dismissed the petition
give effect to the manifest intent of the lawmaker and promote the object for declaratory relief.
for which the statute was enacted, and a construction should be rejected
which would tend to render abortive other provisions of the statute and to Issue:
defeat the object which the legislator sought to attain by its enactment
Whether or not Ordinance 4964 is unconstitutional?
The Supreme Court also said that if they will follow the contention of Ruling:
Toribio it will defeat the purpose of the law.
Decision affirmed. Order 4964 is a police power measure in order to
The police power rests upon necessity and the right of self-protection and if forestall possible immorality which might grow out of the construction of
ever the invasion of private property by police regulation can be justified, separate rooms for massage of customers.
The Supreme Court think that the reasonable restriction placed upon the
use of carabaos by the provision of the law under discussion must be held to
be authorized as a reasonable and proper exercise of that power.
Agustin vs Edu Taxicab Operators vs Board of Transportation

FACTS: FACTS:

This case is a petition assailing the validity or the constitutionality of a Letter Petitioner Taxicab Operators of Metro Manila, Inc. (TOMMI) is a domestic
of Instruction No. 229, issued by President Ferdinand E. Marcos, requiring corporation composed of taxicab operators, who are grantees of Certificates
all vehicle owners, users or drivers to procure early warning devices to be of Public Convenience to operate taxicabs within the City of Manila and to
installed a distance away from such vehicle when it stalls or is disabled. In any other place in Luzon accessible to vehicular traffic.
compliance with such letter of instruction, the Commissioner of the Land
Transportation Office issued Administrative Order No. 1 directing the On October 10, 1977, respondent Board of Transportation (BOT) issued
compliance thereof. Memorandum Circular No. 77-42 which reads:

This petition alleges that such letter of instruction and subsequent SUBJECT: Phasing out and Replacement of Old and Dilapidated Taxis
administrative order are unlawful and unconstitutional as it violates the On January 27, 1981, petitioners filed a Petition with the BOT, docketed as
provisions on due process, equal protection of the law and undue Case No. 80-7553, seeking to nullify MC No. 77-42 or to stop its
delegation of police power. implementation; to allow the registration and operation in 1981 and
subsequent years of taxicabs of model 1974, as well as those of earlier
ISSUE:
models which were phased-out, provided that, at the time of registration,
Whether or not the Letter of Instruction No. 229 and the subsequent they are roadworthy and fit for operation.
Administrative Order issued is unconstitutional
ISSUES:
RULING:
A. Did BOT and BLT promulgate the questioned memorandum circulars in
The Supreme Court ruled for the dismissal of the petition. The statutes in accord with the manner required by Presidential Decree No. 101, thereby
question are deemed not unconstitutional. These were definitely in the safeguarding the petitioners’ constitutional right to procedural due process?
exercise of police power as such was established to promote public welfare
and public safety. In fact, the letter of instruction is based on the B. Granting arguendo, that respondents did comply with the procedural
requirements imposed by Presidential Decree No. 101, would the
constitutional provision of adopting to the generally accepted principles of
international law as part of the law of the land. The letter of instruction implementation and enforcement of the assailed memorandum circulars
mentions, as its premise and basis, the resolutions of the 1968 Vienna violate the petitioners’ constitutional rights to.
Convention on Road Signs and Signals and the discussions on traffic safety (1) Equal protection of the law;
by the United Nations - that such letter was issued in consideration of a
growing number of road accidents due to stalled or parked vehicles on the (2) Substantive due process; and
streets and highways.
(3) Protection against arbitrary and unreasonable classification and
standard?
HELD: HELD:

As enunciated in the preambular clauses of the challenged BOT Circular, the The SC held that Bautista was not able to make merit out of her contention.
overriding consideration is the safety and comfort of the riding public from The classification on cars on its face cannot be characterized as an affront
the dangers posed by old and dilapidated taxis. The State, in the exercise of to reason. The ideal situation is for the law’s benefits to be available to all,
its police power, can prescribe regulations to promote the health, morals, that none be placed outside the sphere of its coverage. Only thus could
peace, good order, safety and general welfare of the people. It can prohibit chance and favor be excluded and the affairs of men governed by that
all things hurtful to comfort, safety and welfare of society. It may also serene and impartial uniformity, which is of the very essence of the idea of
regulate property rights. In the language of Chief Justice Enrique M. law. The actual, given things as they are and likely to continue to be, cannot
Fernando “the necessities imposed by public welfare may justify the approximate the ideal. Nor is the law susceptible to the reproach that it
exercise of governmental authority to regulate even if thereby certain does not take into account the realities of the situation. . . . To assure that
groups may plausibly assert that their interests are disregarded”. the general welfare be promoted, which is the end of law, a regulatory
measure may cut into the rights to liberty and property. Those adversely
Bautista v. Juinio affected may under such circumstances invoke the equal protection clause
FACTS: only if they can show that the governmental act assailed, far from being
inspired by the attainment of the common weal was prompted by the spirit
Bautista is assailing the constitutionality of LOI 869 issued in 1979 which of hostility, or at the very least, discrimination that finds no support in
classified vehicles into Heavy and Extra Heavy. The LOI further banned these reason. It suffices then that the laws operate equally and uniformly on all
vehicles during weekends and holidays that is from 5am Saturday until 5am persons under similar circumstances or that all persons must be treated in
Monday. Purpose of this law is to curb down petroleum consumption as the same manner, the conditions not being different, both in the privileges
bigger cars consume more oil. Bautista claimed the LOI to be discriminatory conferred and the liabilities imposed. Favoritism and undue preference
as it made an assumption that H and EH cars are heavy on petroleum cannot be allowed. For the principle is that equal protection and security
consumption when in fact there are smaller cars which are also big on oil shall be given to every person under circumstances, which if not identical
consumption. Further, the law restricts their freedom to enjoy their car are analogous. If law be looked upon in terms of burden or charges, those
while others who have smaller cars may enjoy theirs. Bautista avers that that fall within a class should be treated in the same fashion, whatever
there is no rational justification for the ban being imposed on vehicles restrictions cast on some in the group equally binding on the rest.
classified as heavy (H) and extra-heavy (EH), for precisely those owned by
them fall within such category. Gancayco vs. City Government of Quezon City and MMDA

ISSUE: FACTS:

Whether or not the LOI violates equal protection. The consolidated petitions of Retired Justice Emilio Gancayco, City
Government of Quezon City and the Metro Manila Development Authority
stemmed from a local ordinance pertaining to Construction of Arcades, and
the clearing of Public Obstructions. Gaycanco owns a property, of which he
was able to obtain a building permit for a two-storey commercial building,
which was situated along EDSA, in an area which was designated as part of a ISSUES:
Business/Commercial Zone by the Quezon City Council. The Quezon City
Council also issued Ordinance No. 2904, which orders the construction of Whether or not the wing wall of Gancayco’s property can be constituted as
Arcades for Commercial Buildings. The ordinance was amended to not a public nuisance. Whether or not MMDA was in their authority to demolish
require the properties located at the Quezon City - San Juan boundary, and Gancayco’s property.
commercial buildings from Balete - Seattle Street to construct the arcades, HELD:
moreover, Gancayco had been successful in his petition to have his
property, already covered by the amended ordinance, exempted from the The court affirmed the decision of the Court of Appeals. The court decided
ordinance. MMDA on April 28, 2003, sent a notice to Gancayco, under that the wing wall of Gancayco’s building was not a nuisance per se, as
Ordinance no. 2904, part of his property had to be demolished, if he did not under Art. 694 of the Civil Code of the Philippines, nuisance is defined as any
clear that part within 15 days, which Gancayco did not comply with, and so act, omission, establishment, business, condition or property, or anything
the MMDA had to demolish the party wall, or “wing walls.” Gancayco then else that (1) injures of endangers the health or safety of the others; (2)
filed a temporary restraining order and/or writ of preliminary injunction annoys or offends the senses; (3) shocks, defies or disregards decency or
before the RTC of Quezon City, seeking to prohibit the demolition of his morality; (4) obstruct or interferes with the free passage of any public
property, without due process and just compensation, claiming that highway or street, or any body of water; or (5) hinders or impairs the use of
Ordinance no. 2904 was discriminatory and selective. He sought the property.
declaration of nullity of the ordinance and payment for damages.
A nuisance may be a nuisance per se or a nuisance per accidens. A nuisance
MMDA contended that Gancayco cannot seek nullification of an ordinance per se are those which affect the immediate safety of persons and property
that he already violated, and that the ordinance had the presumption of and may summarily be abated under the undefined law of necessity. As
constitutionality, and it was approved by the Quezon City Council, taking to Gaycanco was able to procure a building permit to construct the building, it
note that the Mayor signed the ordinance. was implied that the city engineer did not consider the building as such of a
public nuisance, or a threat to the safety of persons and property.
The RTC, however, declared that the Ordinance was unconstitutional,
invalid and void ab initio. MMDA appealed to the Court of Appeals, and the The MMDA was only to enforce Authoritative power on development of
CA partly granted the appeal, with the contention that the ordinance was to Metro Manila, and was not supposed to act with Police Power as they were
be modified; it was constitutional because the intention of the ordinance not given the authority to do such by the constitution, nor was it expressed
was to uplift the standard of living, and business in the commercial area, as by the DPWH when the ordinance was enacted. Therefore, MMDA acted on
well as to protect the welfare of the general public passing by the area, its own when it illegally demolished Gancayco’s property, and was solely
however the injunction against the enforcement and implementation of the liable for the damage.
ordinance is lifted.

With that decision, the MMDA and Gancayco filed Motions for
Reconsideration, which the CA denied, as both parties have no new issues
raised. Therefore they petitioned to the Court.
Association of Small Landowners in the Philippines, Inc. vs Secretary of landholdings are less than 7 hectares, they should not be forced to
Agrarian Reform distribute their land to their tenants under R.A. 6657 for they themselves
have shown willingness to till their own land. In short, they want to be
FACTS: exempted from agrarian reform program because they claim to belong to a
These are four consolidated cases questioning the constitutionality of the different class.
Comprehensive Agrarian Reform Act (R.A. No. 6657 and related laws i.e.,
G.R. No. 79777: (Manaay vs Juico)
Agrarian Land Reform Code or R.A. No. 3844).
Nicolas Manaay questioned the validity of the agrarian reform laws (PD 27,
Brief background: Article XIII of the Constitution on Social Justice and EO 228, and 229) on the ground that these laws already valuated their lands
Human Rights includes a call for the adoption by the State of an agrarian for the agrarian reform program and that the specific amount must be
reform program. The State shall, by law, undertake an agrarian reform
determined by the Department of Agrarian Reform (DAR). Manaay averred
program founded on the right of farmers and regular farmworkers, who are that this violated the principle in eminent domain which provides that only
landless, to own directly or collectively the lands they till or, in the case of courts can determine just compensation. This, for Manaay, also violated due
other farmworkers, to receive a just share of the fruits thereof. RA 3844 was process for under the constitution, no property shall be taken for public use
enacted in 1963. P.D. No. 27 was promulgated in 1972 to provide for the
without just compensation.
compulsory acquisition of private lands for distribution among tenant-
farmers and to specify maximum retention limits for landowners. In 1987, Manaay also questioned the provision which states that landowners may be
President Corazon Aquino issued E.O. No. 228, declaring full land ownership paid for their land in bonds and not necessarily in cash. Manaay averred
in favor of the beneficiaries of PD 27 and providing for the valuation of still that just compensation has always been in the form of money and not in
unvalued lands covered by the decree as well as the manner of their bonds.
payment. In 1987, P.P. No. 131, instituting a comprehensive agrarian reform
program (CARP) was enacted; later, E.O. No. 229, providing the mechanics ISSUE:
for its (PP131’s) implementation, was also enacted. Afterwhich is the 1. Whether or not there was a violation of the equal protection clause.
enactment of R.A. No. 6657, Comprehensive Agrarian Reform Law in 1988.
This law, while considerably changing the earlier mentioned enactments, 2. Whether or not there is a violation of due process.
nevertheless gives them suppletory effect insofar as they are not
3. Whether or not just compensation, under the agrarian reform program,
inconsistent with its provisions.
must be in terms of cash.
[Two of the consolidated cases are discussed below]
HELD:
G.R. No. 78742: (Association of Small Landowners vs Secretary)
1. No. The Association had not shown any proof that they belong to a
The Association of Small Landowners in the Philippines, Inc. sought different class exempt from the agrarian reform program. Under the
exception from the land distribution scheme provided for in R.A. 6657. The law, classification has been defined as the grouping of persons or things
Association is comprised of landowners of ricelands and cornlands whose similar to each other in certain particulars and different from each other in
landholdings do not exceed 7 hectares. They invoke that since their
these same particulars. To be valid, it must conform to the following Section 16 (f): Any party who disagrees with the decision may bring the
requirements: matter to the court of proper jurisdiction for final determination of just
compensation.
(1) it must be based on substantial distinctions;
3. No. Money as [sole] payment for just compensation is merely a concept
(2) it must be germane to the purposes of the law; in traditional exercise of eminent domain. The agrarian reform program is a
(3) it must not be limited to existing conditions only; and revolutionary exercise of eminent domain. The program will require billions
of pesos in funds if all compensation have to be made in cash – if everything
(4) it must apply equally to all the members of the class. is in cash, then the government will not have sufficient money hence,
bonds, and other securities, i.e., shares of stocks, may be used for just
Equal protection simply means that all persons or things similarly situated
compensation.
must be treated alike both as to the rights conferred and the liabilities
imposed. The Association have not shown that they belong to a different
class and entitled to a different treatment. The argument that not only
landowners but also owners of other properties must be made to share the DECS v. San Diego
burden of implementing land reform must be rejected. There is a
FACTS:
substantial distinction between these two classes of owners that is clearly
visible except to those who will not see. There is no need to elaborate on San Diego, private respondent graduate of UE (Zoology), took NMAT 3 times
this matter. In any event, the Congress is allowed a wide leeway in providing and flunked 3 times. The fourth time he will take NMAT, he was rejected by
for a valid classification. Its decision is accorded recognition and respect by DECS and DCEM for the rule that:
the courts of justice except only where its discretion is abused to the
detriment of the Bill of Rights. In the contrary, it appears that Congress is “A student shall be allowed only three (3) chances to take the NMAT. After
three (3) successive failures, a student shall not be allowed to take the
right in classifying small landowners as part of the agrarian reform program.
NMAT for the fourth time”.
2. No. It is true that the determination of just compensation is a power
lodged in the courts. However, there is no law which prohibits
administrative bodies like the DAR from determining just compensation. In Ramon Guevarra then went to the Regional Trial Court of Valenzuela, Metro
fact, just compensation can be that amount agreed upon by the landowner Manila, to compel his admission to the test. He invoked his constitutional
and the government – even without judicial intervention so long as both rights to academic freedom and quality education.
parties agree. The DAR can determine just compensation through appraisers
and if the landowner agrees, then judicial intervention is not needed. What By agreement of the parties, herein defendant was allowed to take the
is contemplated by law however is that, the just compensation determined NMAT scheduled on April 16, 1989, subject to the outcome of his petition.
by an administrative body is merely preliminary. If the landowner does not
agree with the finding of just compensation by an administrative body, then
it can go to court and the determination of the latter shall be the final In an amended petition filed with leave of court, San Diego squarely
determination. This is even so provided by RA 6657: challenged the constitutionality of MECS Order No. 12, Series of 1972,
containing the above-cited rule. The additional grounds raised were due of the municipality. CFI decided Civil Case No. 2040 and held that the
process and equal protection. Respondent Judge Teresita Dizon-Capulong subject land was public in nature and was beyond the commerce of man.
ruled that the MECS Order No. 12, Series of 1972 was invalid and held that The preliminary injunction was made permanent.
the petitioner had been deprived of his right to pursue a medical education
The decision was apparently not enforced, for the petitioners were
through an arbitrary exercise of the police power.
not evictedfrom the place. They were assigned specific areas and were
ISSUE: made to pay daily fees to the municipal government for use of the area.

Whether or not NMAT “three-flunk-rule” order is valid and constitutional. On January 12, 1982 (more than 13 years after CFI decision), the Association
of Concerned Citizens and Consumers of San Fernando filed a petition for
RULING: theimmediate implementation of Resolution No. 29, to restore the subject
Yes. It is the right and responsibility of the State to insure that the medical property "to its original and customary use as a public plaza.
profession is not infiltrated by incompetents to whom patients may After investigation was conducted by the municipal attorney, Macalino,
unwarily entrust their lives and health. The method employed by the officer‐in-charge of the office of the mayor, issued a resolution ordering the
challenged regulation is not irrelevant to the purpose of the law nor is it
demolition of the stalls in the subject area.
arbitrary or oppressive. The right to quality education is not absolute. The
Constitution provides that “ every citizen has the right to choose a Petitioners filed a petition for prohibition with the CFI, which was denied.
profession or course of study, subject to fair, reasonable and equitable
admission and academic requirements”. It is not enough to simply invoke Hence, petitioners filed a petition for certiorari before the SC. Petitioners
the right to quality education as a guarantee of the Constitution but one argued that they had right to occupy the area by virtue of lease contracts
must show that he is entitled to it because of his preparation and promise. entered into with the municipal government, and later, by virtue of space
allocations made in their favor for which they paid daily fees. The
Petition was granted and the RTC ruling was reversed.
municipality denied that they entered into said agreements. It argued that
VILLANUEVA vs. CASTANEDA even if the leases were valid, the same could be terminated at will because
rent was collected daily.
FACTS:
ISSUE:
In 1961, the municipal council of San Fernando adopted Resolution No. 218
authorizing 24 members of Fernandino United Merchants and Traders Whether or not the vendors had the right to occupy and make use of the
Association to construct permanent stalls and sell in the subject property property.
within the vicinity of the public market. The Resolution was protested and
Civil Case No. 2040 was filed. CFI issued writ of preliminary injunction HELD:
to prevent the construction of stalls. No. A public plaza is beyond the commerce of man and so cannot be the
While the case was pending, the municipal council adopted Resolution No. subject of lease or any other contractual undertaking. The town plaza
29 which declared the subject area as a parking place and as the public plaza cannot be used for the construction of market stalls, specially of residences,
and that such structures constitute a nuisance subject to abatement
according to law. Town plazas are properties of public dominion, to be abrogate it entirely, for the promotion or protection of the general welfare.
devoted to public use and to be made available to the public in general. Such an act will not militate against the impairment clause, which is subject
They are outside the common of man and cannot be disposed of or to and limited by the paramount police power.
even leased by the municipality to private parties.
The CFI judge did not commit grave abuse of discretion in denying the
Applying this well-settled doctrine, we rule that the petitioners had no right petition for prohibition. Petition dismissed.
in the first place to occupy the disputed premises and cannot insist in
remaining there now on the strength of their alleged lease contracts. PRC v. De Guzman

Since the occupation of the place by the vendors, it had deteriorated to the FACTS:
prejudice of the community. Stalls, being made of flammable materials, After the Professional Regulations Commission (PRC) released the names of
became a potential fire trap; access to and from the market was obstructed; successful examinees in the Medical Licensure Examination, the Board of
there were aggravated health and sanitation problems; flow of traffic was Medicines observed that the grades of the 79 Fatima College of
obstructed; stallholders in the public market were deprived of a sizable Medicine successful examinees were unusually and exceptionally high in
volume of business; the people were deprived of the use of the place as a the two (2) most difficult subjects of the exam, i.e., Biochemistry and
public plaza. Obstetrics and Gynecology.
The problems caused by the usurpation of the place by the petitioners The Board then issued Resolution No. 19 withholding the registration as
are covered by the police power as delegated to the municipality under the physicians of all the examinees from Fatima College of Medicine. Compared
general welfare clause. This authorizes the municipal council "to enact such with other examines from other schools, the results of those from Fatima
ordinances and make such regulations, not repugnant to law, as may were not only incredibly high but unusually clustered close to each other.
be necessary to carry into effect and discharge the powers and duties The NBI Investigation found that the “Fatima examinees gained early access
conferred upon it by law and such as shall seem necessary and proper to to the test questions.”
provide for the health and safety, promote the prosperity, improve the
morals, peace, good order, comfort, and convenience of the municipality On July 5, 1993, the respondents-examinees filed a petition for mandamus
and the inhabitants thereof, and for the protection of property therein." before the RTC of Manila to compel the PRC to give them their licenses to
This authority was validly exercised in this case through the adoption of practice medicine. Meanwhile on July 21, 1993, the Board of medicine
Resolution No. 29, series of 1964, by the municipal council of San Fernando. issued Resolution No. 21 charging the respondents of immorality, dishonest
conduct, fraud and deceit and recommended that the test results of the
Even assuming a valid lease of the property in dispute, the resolution could Fatima Examinees be nullified.
have effectively terminated the agreement for it is settled that the police
power cannot be surrendered or bargained away through the medium of a On December 19, 1994, the RTC of Manila promulgated its decision ordering
contract. In fact, every contract affecting the public interest suffers a the PRC to allow the respondents to take the physician’s oath and to
congenital infirmity in that itcontains an implied reservation of the register them as physicians. The same was appealed by the PRC to the Court
police power as a postulate of the existing legal order. This power can be of Appeals which sustained the RTC decision.
activated at any time to change the provisions of the contract, or even
Hence, this petition. Didipio. After the passage of the law, DENR rolled out its implementing RRs.
Didipio petitioned to have the law and the RR to be annulled as it is
RULING: unconstitutional and it constitutes unlawful taking of property. In seeking to
It must be stressed that the power to regulate the practice of a profession nullify Rep. Act No. 7942 and its implementing rules DAO 96-40 as
or pursuit of an occupation cannot be exercised by the State in an arbitrary, unconstitutional, petitioners set their sight on Section 76 of Rep. Act No.
despotic or oppressive manner. However, the regulating body has the right 7942 and Section 107 of DAO 96-40 which they claim allow the unlawful and
to grant or forbid such privilege in accordance with certain conditions. unjust “taking” of private property for private purpose in contradiction with
Section 9, Article III of the 1987 Constitution mandating that private
But like all rights and freedoms guaranteed by the Constitution, their property shall not be taken except for public use and the corresponding
exercise may be regulated pursuant to the police power of the State to payment of just compensation. They assert that public respondent DENR,
safeguard health, morals, peace, education, order, safety, and general through the Mining Act and its Implementing Rules and Regulations, cannot,
welfare of the people. As such, mandamus will not lie to compel the Board on its own, permit entry into a private property and allow taking of land
of Medicine to issue licenses for the respondents to practice medicine. without payment of just compensation.

RA 2382 which prescribes the requirements for admission to the practice of Traversing petitioners’ assertion, public respondents argue that Section 76
medicine, the qualifications of the candidates for the board examination, is not a taking provision but a valid exercise of the police power and by
the scope and conduct of the examinations, the grounds for the denying of virtue of which, the state may prescribe regulations to promote the health,
the issuance of a physician’s license, or revoking a license that has been morals, peace, education, good order, safety and general welfare of the
issued. It is therefore clear that the examinee must prove that he has fully people. This government regulation involves the adjustment of rights for
complied with all the conditions and requirements imposed by law and the the public good and that this adjustment curtails some potential for the use
licensing authority to be granted the privilege to practice medicine. In short, or economic exploitation of private property. Public respondents concluded
he shall have all the qualifications and none of the disqualifications. The that “to require compensation in all such circumstances would compel the
petition is therefore granted. government to regulate by purchase.”

ISSUE: Whether or not RA 7942 and the DENR RRs are valid.

DIDIPIO v. GOZU HELD: The SC ruled against Didipio. The SC noted the requisites of eminent
domain. They are;
FACTS:
(1) the expropriator must enter a private property;
In 1987, Cory rolled out EO 279 w/c empowered DENR to stipulate with
foreign companies when it comes to either technical or financial large scale (2) the entry must be for more than a momentary period.
exploration or mining. In 1995, Ramos signed into law RA 7942 or the
Philippine Mining Act. In 1994, Ramos already signed an FTAA with Arimco (3) the entry must be under warrant or color of legal authority;
Mining Co, an Australian company. The FTAA authorized AMC (later CAMC) (4) the property must be devoted to public use or otherwise informally
to explore 37,000 ha of land in Quirino and N. Vizcaya including Brgy appropriated or injuriously affected;
(5) the utilization of the property for public use must be in such a least 5 years prior to their death, to be determined by competent City
way as to oust the owner and deprive him of beneficial enjoyment of the Authorities. QC justified the law by invoking police power.
property.
ISSUE:
In the case at bar, Didipio failed to show that the law is invalid. Indeed there
is taking involved but it is not w/o just compensation. Sec 76 of RA 7942 Whether or not the ordinance is valid.
provides for just compensation as well as section 107 of the DENR RR. To HELD:
wit,
The SC held the law as an invalid exercise of police power. There is no
Section 76. xxx Provided, that any damage to the property of the surface reasonable relation between the setting aside of at least six (6) percent of
owner, occupant, or concessionaire as a consequence of such operations the total area of all private cemeteries for charity burial grounds of
shall be properly compensated as may be provided for in the implementing deceased paupers and the promotion of health, morals, good order, safety,
rules and regulations. or the general welfare of the people. The ordinance is actually a taking
Section 107. Compensation of the Surface Owner and Occupant- Any without compensation of a certain area from a private cemetery to benefit
damage done to the property of the surface owners, occupant, or paupers who are charges of the municipal corporation. Instead of building
concessionaire thereof as a consequence of the mining operations or as a or maintaining a public cemetery for this purpose, the city passes the
result of the construction or installation of the infrastructure mentioned in burden to private cemeteries.
104 above shall be properly and justly compensated. Dela Cruz v. Paras
Further, mining is a public policy and the government can invoke eminent FACTS:
domain to exercise entry, acquisition and use of private lands.
Vicente De La Cruz et al were club & cabaret operators. They assail the
constitutionality of Ord. No. 84, Ser. of 1975 or the Prohibition and Closure
City Government of QC vs Judge Ericta & Himlayang Pilipino Ordinance of Bocaue, Bulacan. De la Cruz averred that the said Ordinance
violates their right to engage in a lawful business for the said ordinance
FACTS: would close out their business. That the hospitality girls they employed are
healthy and are not allowed to go out with customers. Judge Paras however
Quezon City enacted an ordinance entitled “ORDINANCE REGULATING THE lifted the TRO he earlier issued against Ord. 84 after due hearing declaring
ESTABLISHMENT, MAINTENANCE AND OPERATION OF PRIVATE MEMORIAL that Ord 84. is constitutional for it is pursuant to RA 938 which reads “AN
TYPE CEMETERY OR BURIAL GROUND WITHIN THE JURISDICTION OF
ACT GRANTING MUNICIPAL OR CITY BOARDS AND COUNCILS THE POWER
QUEZON CITY AND PROVIDING PENALTIES FOR THE VIOLATION THEREOF”. TO REGULATE THE ESTABLISHMENT, MAINTENANCE AND OPERATION OF
The law basically provides that at least six (6) percent of the total area of CERTAIN PLACES OF AMUSEMENT WITHIN THEIR RESPECTIVE TERRITORIAL
the memorial park cemetery shall be set aside for charity burial of deceased JURISDICTIONS”. Paras ruled that the prohibition is a valid exercise of police
persons who are paupers and have been residents of Quezon City for at power to promote general welfare. De la Cruz then appealed citing that they
were deprived of due process.
ISSUE:

Whether or not a municipal corporation, Bocaue, Bulacan can, prohibit the


exercise of a lawful trade, the operation of night clubs, and the pursuit of a
lawful occupation, such clubs employing hostesses pursuant to Ord 84
which is further in pursuant to RA 938.

HELD:

The SC ruled against Paras. If night clubs were merely then regulated and
not prohibited, certainly the assailed ordinance would pass the test of
validity. SC had stressed reasonableness, consonant with the general
powers and purposes of municipal corporations, as well as consistency with
the laws or policy of the State. It cannot be said that such a sweeping
exercise of a lawmaking power by Bocaue could qualify under the term
reasonable. The objective of fostering public morals, a worthy and desirable
end can be attained by a measure that does not encompass too wide a field.
Certainly the ordinance on its face is characterized by overbreadth. The
purpose sought to be achieved could have been attained by reasonable
restrictions rather than by an absolute prohibition. Pursuant to the title of
the Ordinance, Bocaue should and can only regulate not prohibit the
business of cabarets.

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