Atty.
Victor Reyes’ girlfriend, Jaclyn, is a teacher
at the International School of Cebu (IS Cebu).
She was born and raised in the United States of
America and acquired Philippine citizenship on
the basis of the new Philippine Dual Citizenship
Act. She obtained a Bachelor's Degree in English
literature at Radcliff College.
She was recruited by the International School
Cebu (IS-Cebu) to teach English literature. The
IS Cebu has two categories of teachers: foreign
hired and local hired.
Although Jaclyn was born and raised in the
United States of America, she is a Filipina at
heart and found it odd that local teachers hired
in the Philippines received compensation and
benefits that are 20% less than those given to
foreign hired teachers like her.
She started discussing these issue with Victor
who was pleased to answer her questions and
provide her legal guidance. Under other
circumstances, Victor, who is a Senior Associate
of the law firm of XYZ would have required a
client's signature on an engagement letter.
Since Jaclyn was his girlfriend, he considered it
unnecessary to make her sign an engagement
letter.
As it happened, Jaclyn raised the following
question and Victor answered them to the best
that he can: Whether or not it is legally
permissible for an employer to distinguish
between foreign hired and local hired
employees in terms of compensation and other
economic benefits.
Jaclyn also asked Victor how a labor
organization may be formed under the
Philippine Labor Code for purposes of collective
bargaining. Unknown to Victor, the law firm of
XYZ of which he is a Senior Associate, is the
retained counsel of the International School of
Manila (IS Manila), which is following the same
employment practices as IS Cebu.
When IS Cebu learned that Jaclyn was
encouraging the locally hired teachers to
protest against its equal work, unequal pay
practices, the IS Cebu management asked the
XYZ law firm whether Jaclyn could be subjected
to disciplinary action for her conduct that in the
judgment of the school management adversely
affected in management-employee relationship
in the school. Victor had to confront the
question whether he can continue to advise
Jaclyn concerning the equal work but unequal
pay practices of IS Cebu, or even to represent
her as a personal client in the threatened
disciplinary action against her by IS Cebu, which
is a retainer client of the XYZ law-firm.
Victor takes the position that he has not
rendered any service for IS Cebu which has
consulted exclusively with Partner D of XYZ the
lawfirm hence has no access to any confidential
information of IS Cebu that he could unfairly
use against it in the threatened disciplinary
proceeding against Jaclyn.
On the part of partner D, he has to contend
with the question whether Jaclyn's conduct in
raising questions about IS Cebu's equal work
but unequal pay practices can be considered a
form of misconduct that can subject her
disciplinary action, possibly including dismissal.
The partners of the XZZ law firm also had to
grapple with the question whether (i) it is in a
conflict of interest situation considering that
Victor, a Senior Associate of the firm, had
advised Jacklyn on legal issues concerning IS
Cebu’s employment practices and (ii) asking
Victor to resign from the firm or dismissing him
if he refused will avoid any conflict of interest
situation.