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TRANSPORTATION LAWS
COMMON CARRIERS (ARTICLES 1732-1766)
- are PERSONS, CORPORATION, FIRMS, or ASSOCIATIONS engaged inCARRYING or TRANSPORTING PASSENGERS or GOODS or BOTH, by
LAND, WATER, or AIR for COMPENSATION OF OFFERING THEIR
SERVICES TO THE PUBLIC.
Extraordinary diligence is required to common carriers in transportinggoods and passengers
Reasons:
1. nature ofthe business2. public policy
Registered owner primarily and solidarily with driver under the KABIT
SYSTEM. Kabit system is contrary to public policy; therefore, void and
inexistent.
CIRCUMSTANCES UNDER WHICH COMMON CARRIERES CANNOT BE HELD
LIABLE FOR THE LOSS/DESTRUCTION OF GOODS:
1. flood, storm, earthquake, or othernatural calamities2. act of public enemy in war, either international or localact or omission
oftheshipper or owner ofthegoods
3. character ofthegoods ordefects ofthe packing4. order of competentauthority
Extraordinary diligence lasts from the time the cargoes are loaded in the
vessel until they aredischargedanddeliveredto the consignee.
Air carriers can terminate services of pilots for serious misconduct and
drunkenness because of itsextraordinary diligence.
INSTANCES WHICH ARE NOT CASO FORTUITO:
1. hijacking2. acts ofstrangers likethieves orrobbersacted withgrave or violence3. accidentsdueto defects of carrier4. wheretie blow-out
Fire isnotanatural disaster
Notice ofarrival ofgoodsamountsto constructivedelivery
Shipper boundto observeall diligence in obtainingdelivery ofgoods
Common Carriers may be exempted from responsibility PROVIDED that
natural disaster isthe proximateand only cause ofthe loss.
STIPULATIONS LIMITING LIABILITY IS VALID PROVIDED THAT:
1. thestipulation be in writingsigned by both parties2. the stipulation be supported by a valuable consideration other than
theservicerendered by common carrier
3. thestipulation bereasonable, justandnot contrary to public policy
SOME VALID STIPULATIONS LIMITING CARRIER'S LIABILITY:
1. accountasstrikes orriot2. value ofthegoodsappearing in bill of lading UNLESS shipperdeclaresa
greater value
3. contract fixingthesum that may berecoveredVOID STIPULATIONS LIMITING CARRIER'S LIABILITY:1. thegoodsaretransportedattherisk oftheshipper2. thattheshipper isnot liable forany loss ordestruction ofthegoods3. thatthe common carrierneednot observedany diligenceand lessthan
that ofgood father ofa family
4. that the common carrier shall not be responsible for any acts of itsemployee
The law ofthe country to whichthegoodsareto betransportedshall govern
the liability of common carrier fortheir loss, destruction, ordeterioration.
Theact ofthethief orrobbers who enteredthe common carrier's vehicle is
notdeemed force majeure UNLESS it isdone withtheuse ofarms orthrough
irresistible force.
A common carrier is boundto carry the passengerssafely as farashuman
careand foresight can provideusingtheutmostdiligence ofa very cautious
person witharegard of circumstances.
In case ofdeath or injuriesto passengers, common carriersare presumedto
beat fault UNLESS provedthatthey observeextra ordinary diligence.
LAST CLEAR CHANCE
- this principleapplies only inasuit between ownersanddrivers oftwocolliding vehicles. This isnotapplicableto Contract of Carriage.
Carrier not ordinarily liable for injuries to passengers due to fires, and
explosions caused by articles brought into conveyance by other passengers.
Ticket is a complete written contract by and between the shipper and
passenger for it contains:
1. consent ofthe contracting parties2 cause or consideration which isthe fare paid by the passengers
3. object which is the transportation of the passenger from the place of
departureto the place ofdestination.
Reduction of fare does not justify any limitation of the common carrier's
liability.
Passenger boundnotwithstandinghis failure to sign plane ticket containing
stipulation limiting liability knownas contract ofadhesion.
The extraordinary diligence required for carriage of passengers cannot be
dispensed with:
1. by stipulation2. by posting ofnotices3. by statement oftickets4. otherwise however as an exception, parties may stipulate limiting
carrier's liability wherethe passenger is carriedgratuitously
Common Carrier is liable for damages for defects of its equipment.
Common Carrier is liable forthe misconduct of itsemployeesdone intheir
own interest.
Reason:theservant is clothed withthedelegatedauthority and charged with
duty by the carrierto executehisundertakingsto carry the passengersafely.
Carrierexempt from acts ofemployeesnotdone in line ofduty.
The passenger must observe the diligence of agood father of a family or
ordinary diligenceto avoid injury to himself.
EFFECTS OF NEGLIGENCE- wherethe proximate cause ofthedeath/ injury to
the passenger is his own negligence, common carrier is exempted from
liability.
EFFECT OF PASSENGER'S CONTRIBUTORY NEGLIGENCE- passenger's
contributory negligence does not justify carrier's exemption from liability.
However, thedamages will beequitably reduced.
A common carrier is responsible for injuries suffered by a passenger onaccount of the lawful acts/negligence of other passengers or of strangers
provided that the employees could have prevented the act or omission
throughtheexercise ofagood father ofa family.
Degree ofdiligencerequired of carriersemployees- merely that ofthegood
father ofa family or ordinary diligence.
Liability ofair carrierunder Warsaw Convention of October 12,1929, article
17, the carriershall be liable fordamagessustained intheevent ofdeath or
injury ofa passenger ifaccidenttook place on board theaircraft or in the
course ofembarking ordisembarking.
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QUALIFICATIONS:
1. Filipino citizen2. Legal capacity to contract3. Musthave passedtherequired physical, mental examinationrequired
for licensinghim assuch
INHERENT POWERS OF THE CAPTAIN:
1. appoint crew intheabsence ofship agent2. commandanddirect crew3. impose correctional punishment on those who while on board vessel
fail to comply withhis orders orare wanting indiscipline
4. make contracts forthe charter of vessel intheabsence ofship agent5. supply, equip, and provisionthe vessel6. orderrepair of vessel to enable itto continue its voyage
SOURCES OF FUNDS TO COMPLY WITH THE INHERENT POWERS OF THE
CAPTAIN:
1. from the consignee ofthe vessel2. from the consignee ofthe cargo3. by drawing ontheship agent4. by a loan on bottomry5. by sale of part ofthe cargoDUTIES OF THE CAPTAIN:1. bring on boardthe proper certificateanddocumentanda copy ofthe
Code of Commerce
2. keep a logbook, accounting bookand freight book3. examine beforethe voyage4. stay on boardduringthe loadingandunloading ofthe cargo5. be ondeck while leaving orenteringthe port6. seeks protest, arrival understressand in case ofshipwreck7. follow instruction ofandrenderaccountingto theship agent8. savethe vessel lost in case of wreck9. hold in custody properties left by deceased by passengers and crew
members
10. comply with the requirements of customs, health, etc. at the port ofarrival
LIABILITIES OF THE SHIPAGENT/SHIPOWNER FOR ACTS DONE BY THE
CAPTAIN TOWARDS PASSENGERS AND CARGOES MAKING THEM
SOLIDARILY LIABLE TO THE LATTER:
1. damagesto vessel andto cargo dueto lack ofskill andnegligence2. theftandrobbery ofthe crew3. lossesand fines in violation of laws4. damagesdueto mutinies5. damagesdueto misuse of power6. deviations7. arrival understress8. damagesdueto non-observance of marineregulations
NO LIABILTY FOR THE FOLLOWING:
1. damages causedto the vessel by force majeure
2. obligations contracted fortherepair, equipmentand provisioning ofthe
vessel UNLESS hehasexpressly boundhimself personally orhassigneda bill
ofexchange or promissory note inhisname
CARGO- which includes all goods, wares and merchandise aboard a ship
whichdo not from part ofthe ship'sstores.
REQUIREMENTS FOR DEFENSE OF PUBLIC ENEMY:
1. act of public enemy in war wasthe proximateand only cause ofthe loss
2. common carrierexerciseduediligenceto prevent, minimize loss before,
during, andafter occurrence oftheact ofthe public enemy in war
FORMALITIES REQUIRED WHERE VESSEL HAS GONE THROUGH HURRICANE
1. Captain must makea protest before competentauthority at the firstporthetouches
2. Sucha protest must be made within 24 hours followinghisarrival3. captain must ratify it within some period when he arrives at his
destination
4. he must immediately proceed withthe proof ofthe facts
FORMALITIES REQUIRED WHERE VESSEL SHIPWRECKED:
1. captain must makea protest beforethenearest competentauthority2. protest be made within 24 hours followinghisarrival3. makeswornstatement ofthe facts4. authority/consul abroadshall verify said facts5. suchauthority shall take othersteps in carryingatthe facts6. suchauthority shall also makestatements of what may betheresult of
the proceeding inthe logbookand inthat ofthesailing mate
7. heshall deliverthe original recordsto the captain8. captain mustratify the protest
C. OFFICERS AND CREW1. Sailing mate/First mate- second chief ofthe vessel who takesthe place ofthe captain in case of
absence, sickness, ordeathandshall assumeall ofhisduties, powers,
andresponsibilities
DUTIES:
1. provide himself with maps, and charts withastronomical tablesnecessary forthedischarge ofhisduties
2. keep the Binnacle book3. Changethe course ofthe voyage on consultation with captainand
the officers of the boat, followingthedecision of the captain in
case ofdisagreements.
4. Responsible for all the damages caused to the vessel or to thecargo by reason ofhisnegligence
2. Second mate- takes command ofthe vessel in case ofthe inability ordisqualification
ofthe captainandthesailing mate, assuming insuch casetheir powers
andresponsibilitiesandduties
DUTIES:
1. preservethehull andrigging ofthe vessel2. arrange well the cargo3. disciplinethe crew4. assign workto crew members5. Inventory theriggingandequipment of the vessel, if laidup.
3. Engineers- Officers ofthe vessel buthaveno authority EXCEPT in mattersto motor
apparatus. When 2 or morearehired, one ofthem should bethe Chief
Engineer
DUTIES:
1. in charge of motorapparatus, spare parts, and other instrumentspertainingto theengines
2. keep theenginesand boilers ingood condition3. not to change or repair the engine without authority of the
captain
4. inform the captain ofany damageto the motorapparatus5. keep an Engine book6. superviseall personnel maintainingtheengine
4. Members ofthe Crew- hired by theship agent. Wherehe is presentand inhisabsence, the
captainhiresthem preferring Filipinos, and intheirabsence, he ,ay take
in foreigners butnotexceeding 1/5 ofthe crew.
CLASSES OF SEAMAN'S CONTRACT:
1. by the voyage2. by the month3. by share of profits or freightage
JUST CAUSES FOR THE DISCHARGE OF SEAMAN WHILE CONTRACT
SUBSISTS:
1. perpetration ofa crime2. repeated insubordination, want ofdiscipline3. repeated incapacity andnegligence4. habitual drunkenness5. physical incapacity6. desertion
CAUSES OF REVOCATION OF VOYAGE:
1. war
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2. blockade3. prohibitionto receive cargo atdestination4. embargo5. inability ofthe vessel to navigate
RULES IN CASE OF DEATH OF A SEAMAN:
- Theseaman'sheirsareentitledto the paymentas follows:1. ifdeath isnatural:
a. compensationup to time ofdeath ifengaged on voyageb. if by voyage-half ofamount ifdeath occurs on voyage out;and full if on voyage inc. if by shares-none if beforedeparture; full ifafterdeparture
2. ifdeath isdueto defense of vessel- full payment3. if captured indefense of vessel- full payment4. if captureddueto carelessness- wagesup to thedate ofthe capture
NO LIABILY UNDER THE FOLLOWING CIRCUMSTANCES:
1. If before beginning voyage, captainattemptsto change it oranaval warwiththe powerto which wasdestined occurs
2. Ifadisease breaks outand be officially declaredanepidemic inthe portofdestination
3. Ifthe vessel change owner or captain
COMPLEMENT OF THE VESSEL
- All persons on board, from the captainto the cabin boy, necessary forthe management, maneuvers, andservice, thus includingthe crew, the
sailing mates, engineers, stalkers and other employees on board not
havingspecific designations
- Itdoesnot include the passengers or the person whom the vessel istransported
FORMALITIES REQUIRED FOR SEAMAN'S AGREEMENT:
1. reducedto writing in Accounting Book2. signed by parties3. visaed by marineauthority ifexecuted in Philippineterritory/consul or
consularagents ifexecutedabroad
4. read to the seaman concerned and such fact must be stated in theagreement
Interdiction of Commerce
- a governmental prohibition of commercial intercourse intended tobringaboutanentire cessation forthetime being ofall trade
Embargo
- a proclamation or order of the State usually issued in time of war/threatened hostilities prohibiting the departure ships/ goods from
some orall the ports ofsuch Stateuntil further order
Blockade
- a sort of circumvallation of place by all foreign connections andcorrespondence isas farashuman power canaffect itto be cut-off
D. SUPERCARGOES- person who discharge administrative duties assigned to him by ship
agent or shippers, keeping an account and record of transaction as
required intheaccounting book ofthe captain
CHARTER PARTY
-
contract by virtue of which the owner or agent binds himself totransport merchandise or persons ofa fixed price
CLASSES OF CHARTER PARTY
1. Asto extent of vessel hireda. total- whole ofthe vessel is charteredb. partial- only part ofthe vessel is chartered
2. Asto timea. until a fixedday/ foradeterminednumber ofdaysand monthsb. fora voyage(outgoing/return/roundtrip)
3. Asto freightage
a. fora fixedamount forthe whole cargob. fora fixedamount pertonc. for anamount per month
FORMAILITIES REQUIRED FOR A CHARTER PARTY:
1. in writing2. drawn induplicate3. signed by the parties4. containstipulationy notall requisitesareessential forthe validity of charter partyPrimage
- belongsto owner/ freighters;- increase ofthe freightrate- consideredgratuity to master if isstipulated
Demurrage
- sum which is fixed by the contract of carriage, or which isallowed, asremuneration to the owner of a ship for the detention of his vessel
beyond the number of days allowed by the charter party for
loading/unloading/sailing.
"Lay days"- daysallowedto charter parties for loadingandunlading"Extra Lay Days"
- days which followedafter lay dayshaveelapsed
GOODS TRANSFERRED MAY BE:
1. sold by captainto necessary repairs2. jettisoned forthe commonsafety3. loss by reason ofshipwreck/stranding4. seized by pirates/enemies5. sufferdeterioration/diminutions6. increase by natural causeand weight orsize
RIGHTS AND OBLIGATIONS OF CHARTER PARTY:
A. Oftheship owner orship agent1. Ifthe vessel chartered wholly notto accept cargo from others2. To observerepresented capacity3. To unload cargo clandestinely placed4. To substituteanother vessel if load is lessthan 3/5 of capacity5. To leave the port if the charterdoesnot bringthe cargo within
the lay daysandextra lay daysallowed.
6. To place ina vessel inagood conditionto navigate7. To bring cargo to nearestneutral port in case of war or blockade
B. Ofthe charterer1. to pay theagreed charter price2. to pay freightage orunboarded cargoes3. to pay lossesto others for loadinguncontracted cargo and illicit
cargo
4. to wait ifthe vessel needsrepair5. to pay expenses fordeviation
RESCISSION OF CHARTER PARTY
A. At charterer'srequest1. by abandoningthe charterand payinghalf ofthe freightage2. error intonnage or flag3. failureto placethe vessel atthe charterer'sdisposal4. return ofthe vessel dueto pirates, enemies or bad weather5. arrival atthe port forrepairs
B. Atship ownersrequest1. If the extra lay days terminate without cargo being placed
alongsidethe vessel
2. Sale by the owner ofthe vessel before loading
C. Fortuitous causes1. war2. blockade3. prohibitionto receive cargo
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4. embargo5. inability ofthe vessel to navigate
Loan on Bottomry
- loan made by ship owner orship agentguaranteed by vessel itselfandrepayableuponarrival of vessel atdestination
Loan on Respondentia
- loan , taken onsecurity ofthe cargo laden onthe vessel, andrepayableuponsafearrival of cargo atsafedesignation
COMMON ELEMENTS OF LOANS ON BOTTOMRY AND RESPONDENTIA
1. exposure ofsecurity or marine peril2. obligation ofthedebtor conditioned only uponsafearrival of security
atthe point ofdestination
EXCEPTIONS TO THE HYPOTHECARY NATURE OF BOTTOMRY AND
RESPONDENTIS:
1. lossdueto inherentdefect2. lossdueto the barratry onthe part ofthe captain3. lossdueto the fault or malice ofthe borrower4. thatthe vessel isengaged in contraband5. thatthe cargo loaded onthe vessel bedifferent from thatagreedupon
ACCIDENTS IN MARITIME COMMERCE:
1. AVERAGES2. ARRIVAL UNDER STRESS3. COLLISION4. SHIPWRECK
I. Averages- anextraordinary oraccidental expense incurred during the voyage in
order to preserve the cargo, vessel or both and all damages or
deterioration suffered by the vessel from departure to the port of
destinationand to the cargo from the port of loading to the port ofconsignment
CLASSES:
1. Particular/Simple- damage/expenses causedto the vessel or cargo thatdidnot inuredto
the common benefitand borne by respective owner
- the owner of thegoods whichgive rise to expense or sufferdamageshall bearthisaverage
2. Gross/ General- damage/expensesdeliberately caused in orderto save the vessel, i ts
cargo or both from real orknownrisk
-REQUISITES:
a. commondangerb. deliberatesacrificec. successd. proper formalitiesand legal steps
ORDER OF GOODS TO BE CAST OVERBOARD IN CASE OF JETTISON:
1. those whichare onthedeck, preferringtheheaviest one withthe leastutility of value
2. those which are below the upper deck beginning with the one withgreatest weightandsmallest value
II.
Arrival Under stress- arrival of a vessel at a port of destination on account of lack of
provision, well-founded fear of seizure, pirates, or accidents in sea
disablingnavigation
- whenunlawful:1. lack of provisionsdue to negligence to carry according to usage
and customs
2. risk ofenemiesnot well-known or manifest3. defectdueto improperrepair4. malice, negligence, lack of foresight, lack ofskill
III. COLLISION- impact oftwo vessels both of whichare moving
ALLISION
- impact betweena moving vessel andstationary one
ZONES OF TIME IN COLLISION OF VESSELS:
1. First zone-all timeup to the moment whenrisk of collision begins2. Second Zone-time between moment whenrisk of collision beginsand
moment it becomesa practical certainty
3. Third Zone-time when collision is certainandtime of impact
CASES COVERED BY COLLISION AND ALLISION:
1. one vessel at fault-such vessel is liable fordamage causedto innocentvessel as well asdamagessuffered by owners of cargo of both vessels
2. both vessels at fault- each vessel must bear its own loss but theshippers of both vessel may go against the ship owner who will be
solidarily liable
3. vessel at faultnotknown-sameasrule 24. third vessel at fault-samerule 15. fortuitousevent-no liability, each bear its own loss
IV. SHIPWRECK- loss ofthe vessel atseaasa consequence of i tsgrounding orrunningagainstan object insea or onthe coast- ifthe wreck wasdueto malice, negligence or lack ofskill ofthe captain,
the owner ofthe vessel may demand indemnity from said captain.
COMMON CARRIERS
( ARTICLES 1732-1766)
Common Carriers
- are PERSONS, CORPORATION, FIRMS, or ASSOCIATIONS engaged inCARRYING or TRANSPORTING PASSENGERS or GOODS or BOTH, by
LAND, WATER, or AIR for COMPENSATION OF OFFERING THEIR
SERVICES TO THE PUBLIC.
Extraordinary diligence isrequiredto common carriers intransportinggoods
and passengers
Reasons:
1. nature ofthe business2. public policy
Registered owner primarily and solidarily with driver under the KABIT
SYSTEM. Kabit system is contrary to public policy; therefore, void and
inexistent.
CIRCUMSTANCES UNDER WHICH COMMON CARRIERES CANNOT BE HELD
LIABLE FOR THE LOSS/DESTRUCTION OF GOODS:
1. flood, storm, earthquake, or othernatural calamities
2. act of public enemy in war, either international or local
5. act or omission oftheshipper or owner ofthegoods6. character ofthegoods ordefects ofthe packing7. order of competentauthority
Extraordinary diligence lasts from the time the cargoes are loaded in the
vessel until they aredischargedanddeliveredto the consignee.
Air carriers can terminate services of pilots for serious misconduct and
drunkenness because of itsextraordinary diligence.
INSTANCES WHICH ARE NOT CASO FORTUITO:
1. hijacking2. acts of strangers like thieves or robbers acted with grave or
violence
3. accidentsdueto defects of carrier4. wheretie blow-out
Fire isnotanatural disaster
Notice ofarrival ofgoodsamountsto constructivedelivery
Shipper boundto observeall diligence in obtainingdelivery ofgoods
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6. loss of baggage containing medicine, boxes, and suitcases ofpersonal belongings
EXCEPTIONS TO RULE THAT CARRIER NOT LIABLE FOR MORAL DAMAGES IN
BREACH OF CONTRACT:
1. wherethe mishap results inthedeath of passenger2. where it is proved that the carrier isguilty of fraud or bad faith
even ifdeathdoesnotresult
3. wherethe passengersufferssocial humiliation, wounded feelings,anxiety and mental anguish
Surviving passenger isnotentitledto moral damages. Mere carelessness of
the carrierdoesnot perse constitutean inference of malice or bad faith on
its part.
Carriersubsidiarily liable for moral damages inactionsexdelicto.
Exemplary damages cannot berecoveredasa matter ofright.
Nominal and exemplary damages awarded for willful breach of contract
committedthroughagent oremployee.
Carrier incurring only delay not liable for moral andexemplary damages but
only to the limitedamount printed inthe planeticket.
Exemplary damages isallowableunder Kabit System.
Common Carrier in Nominal Damages for failure of carrierto bring passenger
to his destination but mere violation of a Contract of Carriage does not
warrantrecovery for moral damages.
In case of breach ofthe carrier's contractual obligationto carry his passenger
safely to their destination, the carrier is solidarily liable for his driver's
negligence. Exercise ofduediligence inselectingdriver isnotadefense.
Preponderance of evidence sufficient to prove civil liability arising from
negligence.
-PPUUBBLLIICC SSEERRVVIICCEE LLAAWW
(C.A. No. 146 as amended and modified by
PD No. 1 Integrated Reorganization Plan and E.O.546)
INTRODUCTION:
PUBLIC SERVICE OR PUBLIC UTILITY DEFINED
y PPuubblliicc SSeerrvviiccee- includesevery personthatnow orhereafter mayown, operate, manage or control inthe Philippines forhire or
compensation, withgeneral or limited clientele, whether
permanent, occasional oraccidental, anddone forgeneral
business purposes, any common carrier, shipyard, ice plant,
electric light, heatand power orany otherutility, (Sec. 13 b, C.A.
146 asamended).
y PPuubblliicc UUttiilliittyy- a business or service engaged in supplying thepublic with some commodity or service of public consequence.
(Albano v. Reyes, 175 SCRA 264)
ORDINARY AND PRIMARY PURPOSE OF THE PUBLIC SERVICE LAW
y ORDINARY PURPOSE:To subject public servicesto state control andregulation.
y SPECIFIC PURPOSES:1. To secureadequate, sustainedservice forthe public atthe least possible cost, and protectthe public against
unreasonable chargesand poor inefficientservice.
2. To protect and conserve investments which havealready been made for public service, and prevent
ruinous competition.
BASIS OF THE LEGISLATIVE POWER TO REGULATE PUBLIC SERVICES:
y POLICE POWER, for the protection of the public as well as theutilitiesthemselves. (Pantranco v. P.S.C., 70 Phil 221)
yy CCOONNSSTTIITTUUTTIIOONNAALL BBAASSIISS::
1. ARTICLE XII, SECTION 11:> A franchise, certificate, or any other form of
authorization for the operation of public utility shall be
grantedto:
- Filipino Citizens- Corporations or associations organized
under Philippine Laws whereat least 60% of
the capital is owned by Filipino Citizens.
- 100% Filipino Management> Mass mediaand commercial telecommunicationsshallbe:
- 100% Filipino Capital, and- 100% Filipino management
2. ARTICLE XII, SEC 17:In times of national emergency, when the public interest so
requires, the State may during the emergency and under
reasonableterms, temporarily take over ordirectthe operation of
any private owned public utility or businessaffected with public
interests .
3. ARTICLE XII, SECTION 18The state may, in the interest of national welfare or defense,
establishand operate vital industriesandupon payment of justcompensation, transfer to public ownership utilities and other
privateenterprisesto be operated by thegovernment.
4. ARTICLE XII, SECTION 19Thestateshall regulate or prohibit monopolies when the public
interestso requires; no combination inrestraint oftrade orunfair
competitionshall beallowed
OFFICES NOW CHARGED WITH ENFORCEMENT OF PUBLIC SERVICE LAW
The Public Service Commissionhas beenabolished. The followingreplaced it:
1. LAND TRANSPORTATION- Department of Transportation andCommunication (DOTC) and the Land Transportation Franchising
and Regulatory Board (LTFRB)
2. WATER TRANSPORTATION- Maritime Industry Authority(MARINA)
3. AIR TRANSPORTATION- Air Transportation Office (ATO) headed byanassistantsecretary andthe Civil Aeronautics Board, whichhas
been placedunderthe DOTC asanattachedagency.
4. TELECOMMUNICATIONS- National TelecommunicationsCommission, which has been placed under the DOTC as an
attachedagency.
5. ENERGY- Board of Energy but transferred to the EnergyRegulatory Board (ERB)
6. WATERWORKS- National Water Resources Council
y The DOTC shall bethe primary entity in Transportationand Communication
LIMITATIONS ON THE POWERS OF THE REGULATORY BOARDS,
COMMISSIONS AND COUNCILS:
1. General:Powers are limited from those granted in the legislation
creatingthe body.
2. Constitutional:Regulations imposed mustnothave theeffect ofdepriving
an owner of his property without due process of law nor
confiscating or appropriating private property without just
compensation.
3. Judicial:Boards, commissionsarenot judicial tribunalsandtherefore
cannotdetermine judicial questionssuchas validity of contract.
4. Jurisdiction:
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Answer: No, while it istrue thata franchise is inthenature ofa
contract, whichthe partiesto it mustrespect it isnota contractsuchas is
protected from impairment by the Constitution.
N.B. Theholder ofa legislative franchisehas preference overthe
holder ofa municipal franchisegranted morethana year later.
Iftheholder ofa municipal franchise wassubsequently
granted witha legislative franchisethe former will berepealed by
the latter.
A municipality doesnothavethe legal rightto nullify a
legislative franchise by arbitrarily refusing to approve plans ofthe
company receiving the legislative franchise made pursuant to a
provisiontherein.
Notehoweverthatthe Commission may disapprovea
municipal franchise and it may deny an application without
infringing the legislative prerogative of the municipal council,
because the Commission merely exercises a power granted by
law.
PSC has power to regulate manner of disconnecting
services by MERALCO to delinquent customer. It can compel
MERALCO that before it caneffectdisconnection of itservicesto a
delinquent customer it isrequiredthat it must firstgivea written
notice ofdisconnection 48 hours inadvance.
c.) THE COMMISSION HAS ALSO THE POWER TO FIX AND
DETERMINE INDIVIDUAL AND JOINT RATES, TOLLS, CHARGES,
CLASSIFICATIONS OR SCHEDULES THEREOF, KILOMETRAGE, AND OTHER
SPECIAL RATES. (Section 16 (c) (PBQ Bar 2000)
y That before the Commission can fix rates there must first be anoticeandhearing.
y HOWEVER, the Commission in its discretion can PROVISSIONALYapprove rates proposed by public services WITHOUT NOTICE
AND HEARING PROVIDED that WITHIN THIRTY (30) DAYS
THEREAFTER A HEARING MUST BE HELD UPON PREVIOUSPUBLICATION AND NOTICE TO THE CONCERNS OPERATING IN
THE TERRITORY AFFECTED.
E.g. ERB has authority to issue an order granting
provisional increase of priceseven withoutnoticeandhearing.
y EXTENT OF THE POWER OF THE COMMISSION TO FIX RATES.1. Rates are submitted by the public carriers but are subject to
approval by the PSC which is NOT limited intheselection ofthe
old or the new rates but could NOT establish such ratesasare
properundertheevidence presented.
2. The maximum rate fixed in a franchise, which its holder isauthorizedto collect, isalwayssubjectto arevisionandregulation
by the PSC.3. The PSC hasalso the powerto ordertherefund of overcharges.
Therequirement isnot inthenature ofa penalty but is merely a
measure by which the public services concerned are asked to
return whatthey didnothavetherightto collect.
4. Inanother case, the Courtalso saidthat whenthe Commission isempowered by law to fixthe rates of freight which vessels may
charge, it is impliedthatthe vessels may not legally demand more
thanthoserates.
5. The Commissionhasthe powerto altertheestablishedrates inacertificate of public convenience, especially wherethe order fixing
the rates is in thenature ofan experiment fora period of four
months.\
6. Where itappearsthata proposed joint fatesystem withtransfersinrelationto a point of contract betweentwo transportation lines
wouldservethe convenience ofthe public, the PSC hasauthority
to finda public needand thereafter to approve such joint fare
system.
7. But the PSC cannot delegate to a public service its power to fixanddeterminetherates.
y DETERMINATION OF JUST AND REASONABLE RATES.The fixing of rates is a legislative and governmental
power over whichthegovernmenthas complete control. BUT it
hasno powerto fixrates whichareunreasonable orto regulate
them arbitrarily, and thatas to whether agiven rate is fairand
reasonable is a judicial question over which the courts have
complete control.
N.B. There is a legal presumption that the rates are
reasonableand it must be concededthatthe fixing ofrates by the
governmentthrough itsauthorizedagent, involvestheexercise of
reasonable discretion and unless there is an abuse of that
discretion
y REQUIREMENTS FOR A JUST AND REASONABLE RATE1. One which yieldsto the carriera fairreturnuponthe value ofthe
property employed in performingtheservice;
2. One which is fairto the public fortheservicesrendered.E.g. of circumstances justifying increase of rates
exigencies ofthe presentandthe future viewed inthe light ofrecent
developments and the experience gained in connection with the
operation ofanother public utility analogously situated
d.) TO FIX JUST AND REASONABLE STANDARDS, CLASSIFICATIONS,
REGULATIONS, PRACTICES, MEASUREMENTS, OR SERVICE TO BE
FURNISHED, IMPOSED, OBSERVED, AND FOLLOWED THEREAFTER BY ANY
PUBLIC SERVICE. (SECTION 16 (D))
e.) TO ASCERTAIN AND FIX ADEQUATE AND SERVICEABLE STANDARDS FOR
THE MEASUREMENT OF QUANTITY, QUALITY, PRESSURE, INITIAL OR
SERVICE RENDERED BY ANY PUBLIC SERVICE AND TO PRESCRIBE
REASONABLE REGULATIONS FOR THE EXAMINATION AND TEST OF SUCH
PRODUCT OR SERVICE, AND TO PRESCRIBE REASONABLE REGULATIONS FOR
THE EXAMINATION AND TEST OF SUCH PRODUCT OR SERVICE AND FOR THE
MEASUREMENT THEREOF. (SECTION 16 (E))
f.) TO ESTABLISH REASONABLE RULES AND REGULATIONS, INSTRUCTIONS,
SPECIFICATIONS, AND STANDARDS, TO SECURE THE ACCURACY OF ALL
METERS AND APPLIANCES FOR MEASUREMENTS. (SECTION 16 (F))
g.) TO COMPEL ANY PUBLIC SERVICE TO FURNISH SAFE, ADEQUATE,
AND PROPER SERVICE AS REGARDS THE MANNER OF FURNISHING THE
SAME AS WELL AS THE MAINTENANCE OF THE NECESSARY MATERIAL AND
EQUIPMENT. (SECTION 16 (G))
NOTES:
The Commission has no power to change procedure
relativeto inspectionandrepair of water meters.
The PSC is induty bound to see to itthat persons or
companies, holding certificates of public convenience, render
withinareasonabletime the public servicethat they have been
authorizedto render forthe benefit ofthe public.
The PSC shall see to it that the companies holding
Certificates of Pubic Convenience render their service with in a
REASONABLE TIME.
h.) TO REQUIRE ANY PUBLIC SERVICE TO ESTABLISH, CONSTRUCT,
MAINTAIN AND OPERATE ANY REASONABLE EXTENSION OF ITS EXISTING
FACILITIES SUCH EXTENSION IS REASONABLE AND PRACTICABLE AND
WILL FURNISH SUFFICIENT BUSINESS TO JUSTIFY THE CONSTRUCTION OF
THE SAID PUBLIC SERVICE REASONABLE WARRANTS THE ORIGINAL
EXPENDITURE REQUIRED IN MAKING AND OPERATING SUCH EXTENSION.
(SECTION 16 (H))
NOTES:
Before the PSC can exercise the above-mentioned
duty there must first be notice and hearing.
Thus, the PSC has ample powers to require and
authorize public services which certificates of public convenience
to extend their service when the necessity of the public so
demands.
PSC may grantextensionto applicant whose certificate
is subject to condition of non-extension if the Commission is
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satisfied that public service or convenience requires ordemands
that the line ofsuchextension berun, operatedandservedand
that the applicant is financially capable of operating it, the
Commission has the power to grant a certificate of public
convenienceto theapplicant forthe operation ofsuchextension
line.
The PSC hasalso the powerto compel a public service
auto-bus operator to change its route in view of the fact that
whateverrightsthe operatorhasto theutilization ofthestreetsof a locality is only by virtue of the Certificate granted by the
Commission.
PSC can permitapplicantto operateshorterroutethan
thatapplied by him whenthe circumstancesso demandand it is
NOT forthe oppositor to insist thathe Commissionshouldhave
concededtheapplicanta longerroute.
i.) TO DIRECT ANY RAILROAD, STREET RAILWAY OR TRACTION COMPANY
TO ESTABLISH AND MAINTAIN AT ANY JUNCTION OR POINT OF
CONNECTION OR INTERSECTION WITH ANY OTHER LINE OF SAID ROAD OR
TRACK, OR WITH ANY OTHER LINE OF ANY OTHER RAILROAD, STREET,
RAILWAY OR TRACTION TO PROMOTE THE CONVENIENCE OF SHIPPERS OF
PROPERTY, OR PASSANGERS. SECTION 16 (I)
j.) TO AUTHORIZE, IN ITS DISCRETION, ANY RAILROAD, STREET RAILWAY OR
TRACTION COMPANY TO LAY ITS TRACKS ACROSS THE TRACKS OF ANY
RAILROAD, STREET RAILWAY OR TRACTION COMPANY OR ACROSS ANY
PUBLIC HIGHWAY. SECTION 16 (J)
k.) TO DIRECT ANY RAILROAD OR STREET RAILWAY COMPANY TO INSTALL
SUCH SAFETY DEVICES OR ABOUT SUCH OTHER REASONABLE MEASURES AS
MAY IN THE JUDGMENT OF THE COMMISSION BE NECESSARY FOR THE
PROTECTION OF THE PUBLIC AT PASSING GRADE CROSSING OF
(1) public highwaysandrailroads;(2) public highwaysandstreetrailway; or(3) railway andstreetrailways.
l.) TO FIX AND DETERMINE PROPER AND ADEQUATE RATES OF
DEPRECIATION OF THE PROPERTY OF ANY PUBLIC SERVICE WHICH WILL BE
OBSERVED IN A PROPER AND ADEQUATE DEPRECIATION ACCOUNT TO BE
CARRIED FOR THE PROTECTION OF STOCKHOLDERS, BONDHOLDERS OR
CREDITORS.
THE INCOME FROM INVESTMENTS OF MONEY IN SUCH FUND
SHALL LIKEWISE BE CARRIED IN SUCH FUND. THIS FUND SHALL NOT BE
EXPENDED OTHERWISE THAN FOR DEPRECIATION, IMPROVEMENTS, NEW
CONSTRUCTION, EXTENSIONS OR CONDITIONS TO THE PROPERTY OF SUCH
PUBLIC SERVICE. SECTION 16 (L)
NOTES:
The rate base is PRESENT VALUE, and it would be
wholly illogical to adoptadifferentrule fordepreciation.
If the rate base is present fair value, then the
depreciation baseasto depreciable property isthesamething.
m.) TO AMEND, MODIFY OR REVOKE AT ANY TIME CERTIFICATE
ISSUED WHENEVER THE FACTS AND CIRCUMSTANCES ON THE STRENGTH
OF WHICH SAID CERTIFICATE WAS ISSUED HAVE BEEN MISREPRESENTED OR
MATERIALLY CHANGED. SECTION 16 (M)
n.) TO SUSPEND OR REVOKE ANY CERTIFICATE ISSUED WHENEVER
THE HOLDER THEREOF HAS VIOLATED OR WILLFULLY AND
CONTUMACIOUSLY REFUSED TO COMPLY WITH ANY ORDER, RULE OR
REGULATION OF THE COMMISSION. SECTION 16 (N)
PROVIDED THAT THE COMMISSION FOR GOOD CAUSE MAY
PRIOR TO THE HEARING SUSPEND FOR A PERIOD NOT TO EXCEED THIRTY
(30) DAYS ANY CERTIFICATE OR THE EXERCISE OF ANY RIGHT OR
AUTHORITY ISSUED OR GRANTED BY IT.
o.) TO FIX, DETERMINE, AND REGULATE, AS THE CONVENIENCE OF
THE STATE MAY REQUIRE, A SPECIAL TYPE OF AUTO-BUSSES, TRUCKS, AND
MOTOR TRUCKS TO BE HEREAFTER CONSTRUCTED, PURCHASED, AND
OPERATED BY OPERATORS AFTER THE APPROVAL OF THIS ACT;
TO FIX AND THE DETERMINE THE SPECIAL REGISTRATION FEE
FOR AUTO-BUSSES, TRUCKS, AND MOTOR TRUCKS SO CONSTRUCTED AND
OPERATED.
PROVIDED: THAT SAID FEES SHALL BE SMALLER THAN THOSE
CHARGED FOR AUTO-BUSSES, TRUCKS, AND MOTOR TRUCKS OF TYPES NOT
MADE REGULATION UNDER THIS SUBSECTION. SECTION 16 (O)
LIMITATIONS ON THE POWER TO AMEND
a. That beforea modification, amendment, orrevocationshall beallowed,it must be shown that the conditions from which the certificate was
grantedno longerexist orhavealtered, or thatthe certificateholder
has violated ordeliberately refused to comply with the orders, rules
andregulations ofthe Commission.
b. There must be notice and hearing before the revocation can beeffected.
- Without notice and hearing? The Order canceling the Certificate is
void.
E.g. A singlehold-up incident isnotaground forrevokinga certificate
of public convenience.
N.B.
Thegrant ofauthority regardingunfranchised operationrequires
noticeandhearing.
Instances when NO NOTICE AND HEARING are necessary.
1. Where the order isa mere order of investigation preparatory to thefinal hearinganddecision oftheapplication.
2. Where the modification of the certificate is only in form and not insubstance, suchas, an ordergrantinganapplication forsubstitution.
3. Wherethe order is merely to giveadditional timeto register vehicles.4. An order forgood causesuspending fora periodnot to exceed thirty
daysany certificate ortheexercise orauthority to issued orgranted.
5. Wheretheauthorized line ofthe oppositoraredifferent from those forthe applicant, the former cannot be considered to have substantial
interest in theapplication so asto requirehis personal notification of
thehearing.
NOTE: Thatlack of notice is deemed cured where the petitioners
were able to timely oppose petitions. They aredeemedto have
been given due process of law which simply means the
opportunity to beheard.
Where the Commission entered its order without
noticeandhearing, thedefect, ifany, is cured by ahearing onthe
petitioners motionto reconsiderthe order. However, thedefect
is waived where theapplicant petitions foranotherextension of
sixty (60) days in whichto install its franchise.
PSC hasthe powerto re-open case, under its powerto
revokeand modify.
GROUNDS FOR SUSPENSION OR REVOCATION OF CERTIFICATETherightto operatea public utility isa privilegegranted by the
state. Thus it can berevoked whentheholder:
1. Violates contumaciously refuses to comply with any rule, order orregulation ofthe commission
2. Isa meredummy3. Ceases operation by placinghis bus instorage4. Abandonstheservice
NO REVIVAL OF THE CPC DUE TO THE FOREGOING.The right to a certificate of public convenience which has
been forfeited by the holders voluntary and unauthorized
abandonment of his service and failure to register his equipment
shouldnot berevivedsimply because the government would not be
able to collect his tax liabilities.
The mere failure ofthe Governmentto collectthetax liabilities ofa
holder ofa certificate of public convenience isnotasufficientground
forrevokingthe Commissionsdecisionto cancel his certificate where
thereasonsthereforearethattheholderhas completely and
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NOTES:
y Where the PSC is empowered by franchise ofoperator only to fix the rates it has no authority to
impose fines on said holder of franchise.
y In order that a respondent public service may be heldcriminally liable the act committed by it must be
expressly prohibited. In the absence of said express
prohibition the holder of the franchise cannot be held
criminally liable.
Section 22.
Observance of the orders, decisions, and regulations of the
Commissionand of thetermsand conditions ofany certificate may also be
enforced by mandamus or injunction inappropriate cases. PROVIDED, that
the Commission may compromiseany casethat may ariseunderthis Act in
such mannerand forsuchamountas it may deem justandreasonable.
NOTES:
1. The RTC has concurrent jurisdiction with the Commissionover cases of an operator violating his or its certificate.
2. However, the filing of the case before the Commissionmust not be premature.
3. RTC may grant an injunction against public serviceoperators;
4. RTC may grant the injunction against a public servicewithout authority to operate.
5. The disobedience to an order of a court forbidding a pubicservice company to collect a fare less than that authorized
by the PSC constitutes criminal contempt.
6. RTC may issue mandatory injunction to compel an operatorto furnish service.
Cases where the RTC cannot grant injunctions:
1. The RTC cannot issue injunctions against the orders of theCommission.
2. The RTC cannot enjoin an operator from doing what theCommissionhasauthorized.
Section 23.
Any public servicecorporationthatshall:
a. perform, commit, or do any act or thingforbidden or prohibited; or
b. shall neglect fail or omitto do or perform any actorthinghereinto bedone or performed
SHALL BE PUNISHED:
a. a fine NOT exceeding P25,000.00; orb. Imprisonment NOT exceeding 5 years; orc. BOTH inthediscretion ofthe court.
Section 24.
Any public serviceperson shall:
a. perform, commit, ordo any act orthing forbidden
or prohibited; or
c. shall neglect fail or omitto do or perform any actor thing herein to be done or performed SHALL
BE PUNISHED by
a. a fine NOT exceeding P2,000.00; orb. Imprisonment NOT exceeding 2 years; orc. BOTH inthediscretion ofthe court.
PROVIDED:
That for operatinga private passengerautomobileasa
public service withouthavinga certificate of public convenience
for the same the offender shall be subject to the penalties
provided for in Section 67 (j) of Act 3992.
NOTE:
A person permittinghis privately ownedandregistered
carto beused forhire is punishableunderthis Section.
Section 25.
Any person who shall knowingly and willfully neglect, fail or omit
to do or perform or who shall knowingly and willfully cause or join or
participate with others in causingany public service corporation or company
to neglect, fail or omitto do or perform xxxshall be PUNISHED
a. a fine NOT exceeding P2,000.00; orb. Imprisonment NOT exceeding 2 years; orc. BOTH inthediscretion ofthe court.
Section 26.
Any person who shall destroy, injure, or interfere with any
apparatus orappliance owned or operated by or in charge ofthe Commission
or itsagents, shall bedeemedguilty ofa misdemeanorandupon conviction
shall be PUNISHED
a. a fine NOT exceeding P1,000.00; orb. Imprisonment NOT exceeding 6 months; orc. BOTH inthediscretion ofthe court.
Section 27.
The Actshall NOT havetheeffectto release or waiveany right of
action by the Commission or by any personxxx.
Section 28.
Violations of the orders, decisions, and regulations of the
Commissionand ofthetermsand conditions ofany certificate issued by the
Commissionshall prescribeafter60 daysand violations ofthe provisions of
this Actshall prescribedafter180 days.
NOTES:
**PPrreessccrriippttiioonn ooffccrriimmee..
The period of prescription commences to run from the day on
whichthe crime isdiscovered by theoffended party, theauthorities ortheiragents. The commencement ofa criminal action interruptstherunning ofthe
period of prescription.
The 60 day prescription period under Section 26 of the Public
Service Law isavailabledefense only in criminal or penal proceedings.
PROCEDURE AND REVIEW
Section 29.
All hearings and investigations before the Commission shall be
governed by rulesadopted by the Commission and inthe conductthereof
theCommission shall notbe boundby the technical rules of legal evidence:
PROVIDED: Thatthe Public Service Commissioner may summarilypunish any person who is guilty of misconduct in the presence of the
presence ofthe Commissioner for CONTEMPT:
PENALTY: FINE notexceeding P200.00 or for IMPRISONMENT
notexceeding 10 days or BOTH.
To enforcethe provisions ofthis Section, the Commission may, if
necessary requesttheassistance ofthe MUNICIPAL POLICE fortheexecution
ofany order made forsaid purpose.
NOTES:
y The Rules of Court is suppletory to the rules of the Commission.
COURT RULINGS AS TO PARTIES.
1. Whilethe Commission isauthorizedto make rules forthe conduct oftheir business, it couldnotseatatnaught the fundamental rule ofall
proceedingsthat only partieshavingareal interest will beheard.
2. A party NOT affected or prejudiced cannot filean opposition.3. One public service corporation cannot assume the name and be
substituted inthe place ofanother public service corporation.
4. A legal representative oftheestate ofthedeceasedapplicant may besubstituted forthe latter.
5. One who has been granted a legislative franchise to operate an iceplant, althoughnot yetan operator ofsuch public utility.
6. The fact that a party is the lessee of a line does not bar him fromapplying fora certificate of its own inthesame line.
7. A case involvingthegrant of Certificate of Public Convenienceto therespondent becomes mootandacademic wheretherespondent ceases
to bea bus operator, and itshould bedismissed.
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shall be punished for EACH offense by a FINE not exceeding
P1,000.00 or by IMPRISONMENT not exceeding 6 months, or
BOTH inthediscretion ofthe court.
Section 31.
No personshall beexcused from asubpoena orsubpoenaduces
tecum issued by the Commission EXCEPT when the testimony or evidence
required ofhim may tendto incriminatehim.
Without the consent of the interested party NO member oremployee of the Commission shall be compelled or permitted to give
testimony inany civil suitto whichthe Commission isnota party, withregard
to secrets obtained by him inthedischarge ofhis official duty.
Section 32.
The Commission isalso allowed to take deposition of witnesses
who areresiding within or withoutthe Philippinesto betaken inthe manner
prescribed by the Rules of Court.
(See: Deposition of Witnesses - Rules 23 to 29 1997 Rules on Civil
Procedure).
Section 33.
Every order made by the Commission shall be servedupon the
person or public serviceaffectedthereby, within 10 days from thetimesaid
order is filed by personal delivery or by ordinary mail, upon theattorney of
record or in casethere beno attorney of record, uponthe party interested;
and in casesuch certified copy issent by registered mail, the registry mail
receiptshall bethe prima facieevidence ofthereceipt ofsuch order by the
public service indue course of mail.
Section 34.
Any interested party may request the reconsideration of any
order, ruling, ordecision ofthe Commission by means ofa petition filednot
laterthan 15 daysafterthedate ofthenotice ofthe order, ruling, ordecision
inquestion.
NOTES: Limitation on Commissions power to order rehearing.
A rehearing cannot be granted by the PSC for the
reconsideration ofaquestion whichhas beendecided by the SC
onappeal to thattribunal.
While the Commission is given wide power to grant
rehearing, adistinction must be made betweenthose ordersthat
remainentirely withinthe powers of the Commissionand those
orders whichare broughtto the SC forreview and final decision.
Motion must be based on facts.
Therightto beheardand presentevidence insupportof the allegations, contained in his motion of intervention,
naturally follows, provided the motion for intervention or
reconsideration state facts sufficient to justify a reconsideration
ofthequestioned orderandthegranting ofanew hearing.
Section 35. The Supreme Court is hereby given jurisdiction to
review any order, ruling ordecision ofthe Commissionandto modify orset
asidesuch order, ruling ordecision when it clearly appearsthatthere isno
evidence beforethe Commissionto supportreasonably such order, ruling, or
decision, or that the same is contrary to law, or that it was without
jurisdiction ofthe Commission.
NOTES: An unverified Motion for Reconsideration containing
generalities cannot justify setting aside of a decision handed down in
response to a clear public need, where there is evidence that the busesoperated by the movant cannotaccommodateall the passengers on those
lines.
Remediesto setaside order of Commission.
There are only two remedies available in the Supreme Court to set aside an
order of the Public Service Commission.
1. Petition for review see Rule 45, Rules of Court2. Petition for Certiorari see Rule 65, Rules of Court
N.B. RTC not the CA has jurisdiction over actions to annul orders of the
Commission because even the above mentioned remedies was indicated
to be available only to the SC still you need to follow the Rules on
Hierarchy of Courts which provides that Petition for Review or on Certiorari
shall first be filed before the RTC, to CA and then to SC.
y As a rule, Court does not interfere with administrativeaction prior to its completion and finality.
y Construction given by an administrative agencypossessed of the necessary special knowledge,expertise and experience deserves great weight and
respect, term radiotelephony includes cellular
phones. (PLDT v. NTC, 190 SCRA 717).
Section 36.
Any order, ruling, ordecision ofthe Commission may bereviewed
on theapplication ofany person or public service may bereviewed on the
application ofany person or public serviceaffectedthereby, by certiorari in
appropriate cases, or by petition to beknownas petition forreview, which
shall be filed within 30 days from the notification of such order, ruling or
decision.
NOTES:
The rule on the 15 day and 30 day period is the same
in the Energy Regulatory Period. But as to the LTFRB and the NTC
the period within which appeal may be made is within 30 days
from notice.
As to the National Water Resources Council now
Board- appeals to the RTC must be made within 15 days from
the date the party appealing receives a copy of the decision.
As to the Maritime Industry Authority appeal may be made
within 30 days from notice.
y Petition for review filed seven (7) months after receiptof notice of denial is considered to have been filed out
of time.
y Objections not raised in the Commission cannot beraised on appeal.
y Compromise agreement of parties bars certiorari orreview.
y Motion for reconsideration not a condition precedentfor appeal.
y If the petitioner shows lackof interest in the case thepetitioner has no standing in the Court, and his petition
for review of an order of the PSC mustbe dismissed
with costs.
Section 37.
The institution ofa writ of certiorari or otherspecial remedies in
the Supreme Court shall in no case supersede the Supreme Court shall so
direct, andtheappellant may berequired by the Supreme Courtto give bond
insuch form and ofsuchamountas may bedeemed proper.
Section 38. The Chief ofthe legal division orany otherattorneys of
the Commissionshall representthesame inall judicial proceedings. Itshall
be the duty of the Sol Gen to represent the Commission in any judicial
proceedings if, for special reason, the Commissioner shall request his
intervention.
Section 39. Any proceeding inany court ofthe Philippinesdirectlyaffectingan order ofthe Commission orto whichthe Commission isa party,
shall have preference overall other civil proceedings pending insuch court,
EXCEPT election case.
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