Republic of the
Supreme Court
FIRST DIVISION
Atty.
Allan S. MontaÑo, |
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G.R. No. 168583 |
Petitioner, |
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Present: |
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- versus - |
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VELASCO, JR., |
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LEONARDO-DE CASTRO, |
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PEREZ, JJ. |
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ATTY. ERNESTO C. VERCELES, |
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Promulgated: |
Respondent. |
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July 26, 2010 |
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D E C I S I O N
The Federation/Union’s Constitution
and By-Laws govern the relationship between and among its members. They are akin to ordinary contracts in that their
provisions have obligatory force upon the federation/ union and its member. What has been expressly stipulated therein shall
be strictly binding on both.
By this Petition for Review on Certiorari,[1]
petitioner Atty. Allan S. Montaño (Atty. Montaño) assails the Decision[2]
dated May 28, 2004 and Resolution[3]
dated June 28, 2005 of the Court of Appeals (CA) in CA-G.R. SP No. 71731, which
declared as null and void his election as the National Vice-President of
Federation of Free Workers (FFW), thereby reversing the May 8, 2002 Decision[4]
of the Bureau of Labor Relations (BLR) in BLR-O-TR-66-7-13-01.
Factual Antecedents
Atty. Montaño worked as legal
assistant of
During the 21st National
Convention and Election of National Officers of FFW, Atty. Montaño was
nominated for the position of National Vice-President. In a letter dated May 25, 2001,[7]
however, the Commission on Election (FFW COMELEC), informed him that he is not
qualified for the position as his candidacy violates the 1998 FFW Constitution
and By-Laws, particularly Section 76 of Article XIX[8]
and Section 25 (a) of Article VIII,[9]
both in Chapter II thereof. Atty. Montaño
thus filed an Urgent Motion for Reconsideration[10]
praying that his name be included in the official list of candidates.
Election ensued on
On
Proceedings
before the Bureau of Labor Relations
On
Atty. Montaño filed his Comment with
Motion to Dismiss[15]
on the grounds that the Regional Director of the Department of Labor and
Employment (DOLE) and not the BLR has jurisdiction over the case; that the
filing of the petition was premature due to the pending and unresolved protest
before the FFW COMELEC; and that, Atty. Verceles has no legal standing to
initiate the petition not being the real party in interest.
Meanwhile, on
At
the time Atty. Verceles lodged his opposition in the floor before the holding
of the election, we, the Comelec unanimously made the decision that Atty. Montaño and others are disqualified and barred from
running for any position in the election of the Federation, in view of
pertinent provisions of the FFW Constitution.
Our
decision which we repeated several times as final was however further
deliberated upon by the body, which then gave the go signal for Atty. Montaño’s candidacy notwithstanding our decision barring
him from running and despite the fact that several delegates took the floor [stating]
that the convention body is not a constitutional convention body and as such
could not qualify to amend the FFW’s present constitution to allow Atty. Montaño
to run.
We would like to reiterate what we stated during
the plenary session that our decision was final in view of the cited pertinent
provisions of the FFW Constitution and we submit that the decision of the
convention body in allowing Atty. Montaño’s candidacy is not valid in view of
the fact that it runs counter to the FFW Constitution and the body at that time
was not acting as a Constitutional Convention body empowered to amend the FFW Constitution
on the spot.
Our
having conducted the election does not depart from the fact that we did not
change our decision disqualifying candidates such as Atty. Allan S. Montaño,
and others from running. The National Convention as a co-equal constitutional
body of the Comelec was not given the license nor the authority to violate the
Constitution. It therefore, cannot reverse the final decision of the Comelec
with regard to the candidacy of Atty. Allan Montaño and other disqualified
candidates.[16]
The BLR, in its Order dated
On
Atty. Verceles filed a Motion for Reconsideration
but it was denied by the BLR.
Proceedings
before the Court of Appeals
Atty. Verceles thus elevated the
matter to the CA via a petition for certiorari,[21]
arguing that the Convention had no authority under the FFW Constitution and
By-Laws to overrule and set aside the FFW COMELEC’s Decision rendered pursuant
to the latter’s power to screen candidates.
On
Atty. Montaño moved for
reconsideration claiming that the CA seriously erred in granting Atty. Verceles’
petition on the ground that FFW Staff Association, of which he is an officer
and member, is not a legitimate labor organization. He asserted that the legitimacy of the union
was never raised as an issue. Besides,
the declaration of the CA that FFW Staff Association is not a legitimate labor
organization amounts to a collateral attack upon its legal personality, which
is proscribed by law. Atty. Montaño also
reiterated his allegations of lack of jurisdiction and lack of cause of action
due to a pending protest. In addition, he
claimed violation of the mandatory requirement on certification against forum
shopping and mootness of the case due to the appointment of Atty. Verceles as
Commissioner of the National Labor Relations Commission (NLRC), thereby
divesting himself of interest in any matters relating to his affiliation with
FFW.
Believing that it will be prejudiced
by the CA Decision since its legal existence was put at stake, the FFW Staff
Association, through its president, Danilo A. Laserna, sought intervention.
On
Issues
Hence, this petition anchored on the
following grounds:
I.
THE COURT OF APPEALS COMMITTED GRAVE ABUSE OF
DISCRETION, AMOUNTING TO LACK AND/OR EXCESS OF JURISDICTION, IN RENDERING THE
ASSAILED DECISION, IN THAT:
A.)
THE SOLE
GROUND USED AND/OR INVOKED IN GRANTING THE PETITION A QUO WAS NOT EVEN
RAISED AND/OR INVOKED BY PETITIONER;
B.)
THE
DECLARATION THAT “FFW STAFF ASSOCIATION IS NOT A LEGITIMATE LABOR
ORGANIZATION”, WITHOUT GIVING SAID ORGANIZATION A ‘DAY IN COURT’ AMOUNTS TO A
COLLATERAL ATTACK PROSCRIBED UNDER THE LAW; AND
C.)
THE COURT OF
APPEALS FAILED AND/OR REFUSED TO PASS UPON OTHER LEGAL ISSUES WHICH HAD BEEN
TIMELY RAISED, SPECIFICALLY ON THE PREMATURITY OF THE COMPLAINT AND THE LACK OF
CERTIFICATION AGAINST FORUM SHOPPING OF THE PETITION A QUO.
II.
THE COURT OF APPEALS ERRED IN UPHOLDING THE
EXERCISE OF JURISDICTION BY HEREIN RESPONDENT BUREAU AND IN NOT ORDERING THE
DISMISSAL OF THE CASE, DESPITE EXPRESS PROVISION OF LAW GRANTING SAID
JURISDICTION OVER CASES INVOLVING PROTESTS AND PETITIONS FOR ANNULMENT OF
RESULTS OF ELECTIONS TO THE REGIONAL DIRECTORS OF THE DEPARTMENT OF
LABOR AND EMPLOYMENT.
III.
IN THE ALTERNATIVE, THE COURT OF APPEALS LIKEWISE
ERRED IN NOT ORDERING THE DISMISSAL OF THE PETITION A QUO, IN THAT:
A.)
THE FILING OF
THE PETITION FOR NULLIFICATION OF THE RESULT OF ELECTION IS PREMATURE, IN VIEW
OF PENDENCY OF HEREIN RESPONDENT ATTY. VERCELES’ PROTEST BEFORE THE COMMISSION
ON ELECTION OF THE FEDERATION OF FREE WORKERS (FFW COMELEC) AT THE TIME OF
THE FILING OF THE SAID PETITION, HENCE, HE HAS NO CAUSE OF ACTION; AND
B.)
HEREIN
RESPONDENT ATTY. VERCELES HAS VIOLATED SECTION 5, RULE 7 OF THE 1997 RULES ON
CIVIL PROCEDURE, AS HIS PETITION A QUO HAS NO CERTIFICATION AGAINST
FORUM SHOPPING, WHICH IS A MANDATORY REQUIREMENT. IT IS ALSO IN UTTER DISREGARD
AND IN GROSS VIOLATION OF SUPREME COURT CIRCULAR NO. 04-94.
IV.
FINALLY, ASSUMING ARGUENDO THAT HEREIN
RESPONDENT BUREAU ACTED WITH JURISDICTION OVER THE CASE; AND ASSUMING
FURTHER THAT HEREIN RESPONDENT ATTY. VERCELES HAS A CAUSE OF ACTION,
DESPITE THE PENDENCY OF HIS PROTEST BEFORE FFW’S COMELEC AT THE TIME HE FILED
HIS PETITION A QUO; AND ASSUMING FINALLY, THAT HEREIN RESPONDENT ATTY.
VERCELES BE EXCUSED IN DISREGARDING THE MANDATORY REQUIREMENT ON CERTIFICATION
AGAINST FORUM SHOPPING WHICH WAS TIMELY OBJECTED TO, THE COURT OF APPEALS
COMMITTED GRAVE ABUSE OF DISCRETION, AMOUNTING TO LACK AND/OR EXCESS OF
JURISDICTION, IN NOT ORDERING THE DISMISSAL OF THE CASE FOR HAVING BEEN
RENDERED MOOT AND ACADEMIC BY A SUPERVENING EVENT –THAT WAS, WHEN HEREIN
RESPONDENT ATTY. VERCELES SOUGHT APPOINTMENT AND WAS APPOINTED AS COMMISSIONER
OF THE NATIONAL LABOR RELATIONS COMMISSION (NLRC), THUS, DIVESTING HIMSELF
WITH ANY INTEREST WITH MATTERS RELATING TO HIS FORMER MEMBERSHIP AND
AFFILIATION WITH THE FEDERATION OF FREE WORKERS (FFW), HENCE, HE IS NO LONGER A
REAL PARTY IN INTEREST, AS HE DOES NOT STAND TO BE INJURED OR BENEFITED BY THE
JUDGMENT IN THE INSTANT CASE.[25]
Atty. Montaño contends that the CA
gravely erred in upholding the
jurisdiction of the BLR; in not declaring as premature the petition in
view of the pending protest before FFW COMELEC; in not finding that the
petition violated the rule on non-forum shopping; in not dismissing the case for
being moot in view of the appointment of Atty. Verceles as NLRC Commissioner;
and in granting the petition to annul his election as FFW National Vice-President
on the ground that FFW Staff Association is not a legitimate labor organization.
Our Ruling
The petition is devoid of merit.
The BLR has jurisdiction over
intra-union disputes involving a federation.
We find no merit in petitioner’s claim that under Section
6 of Rule
XV[26]
in relation to Section 1 of Rule XIV[27]
of Book V of the Omnibus Rules Implementing the Labor Code, it is the Regional
Director of the DOLE and not the BLR who has jurisdiction over election
protests.
Section 226 of the Labor Code[28]
clearly provides that the BLR and the Regional Directors of DOLE have
concurrent jurisdiction over inter-union and intra-union disputes. Such disputes include the conduct or
nullification of election of union and workers’ association officers.[29]
There is, thus, no doubt as to the BLR’s
jurisdiction over the instant dispute involving member-unions of a federation
arising from disagreement over the provisions of the federation’s constitution
and by-laws.
We agree with BLR’s observation that:
Rule
XVI lays down the decentralized intra-union dispute settlement mechanism.
Section 1 states that any complaint in this regard ‘shall be filed in the
Regional Office where the union is domiciled.’ The concept of domicile in labor relations
regulation is equivalent to the place where the union seeks to operate or has
established a geographical presence for
purposes of collective bargaining or for dealing with employers concerning
terms and conditions of employment.
The
matter of venue becomes problematic when the intra-union dispute involves a
federation, because the geographical presence of a federation may encompass
more than one administrative region. Pursuant to its authority under Article
226, this Bureau exercises original jurisdiction over intra-union disputes
involving federations. It is well-settled that FFW, having local unions all
over the country, operates in more than one administrative region. Therefore,
this Bureau maintains original and exclusive jurisdiction over disputes arising
from any violation of or disagreement over any provision of its constitution
and by-laws.[30]
The petition to annul Atty. Montaño’s
election as VP was not prematurely filed.
There is
likewise no merit to petitioner’s argument that the petition should have been immediately
dismissed due to a pending and unresolved protest before the FFW COMELEC
pursuant to Section 6, Rule XV, Book V of the Omnibus Rules Implementing the
Labor Code.[31]
It is true that
under the Implementing Rules, redress must first be sought within the
organization itself in accordance with its constitution and by-laws. However, this requirement is not absolute but
yields to exception under varying circumstances.[32]
In the case at bench, Atty. Verceles made
his protest over Atty. Montaño’s candidacy during the plenary session before
the holding of the election proceedings. The FFW COMELEC, notwithstanding its
reservation and despite objections from certain convention delegates, allowed Atty.
Montaño’s candidacy and proclaimed him winner for the position. Under the rules, the committee on election
shall endeavor to settle or resolve all protests during or immediately after
the close of election proceedings and any protest left unresolved shall be
resolved by the committee within five days after the close of the election
proceedings.[33] A day or two after the election, Atty.
Verceles made his written/formal protest over Atty. Montaño’s candidacy/proclamation
with the FFW COMELEC. He exhausted the
remedies under the constitution and by-laws to have his protest acted upon by
the proper forum and even asked for a formal hearing on the matter. Still, the FFW COMELEC failed to timely act
thereon. Thus, Atty. Verceles had no
other recourse but to take the next available remedy to protect the interest of
the union he represents as well as the whole federation, especially so that Atty.
Montaño, immediately after being proclaimed, already assumed and started to
perform the duties of the position. Consequently,
Atty. Verceles properly sought redress from the BLR so that the right to due process
will not be violated. To insist on the
contrary is to render the exhaustion of remedies within the union as illusory
and vain.[34]
The allegation regarding
certification against forum shopping was belatedly raised.
Atty. Montaño accuses Atty. Verceles
of violating the rules on forum shopping. We note however that this issue was
only raised for the first time in Atty. Montaño’s motion for reconsideration of
the Decision of the CA, hence, the same deserves no merit. It is settled that new issues cannot be raised
for the first time on appeal or on motion for reconsideration.[35]
While this allegation is related to the
ground of forum shopping alleged by Atty. Montaño at the early stage of the
proceedings, the latter, as a ground for the dismissal of actions, is separate
and distinct from the failure to submit a proper certificate against forum
shopping.[36]
There is necessity to resolve the
case despite the issues having become moot.
During the pendency of this case,
the challenged term of office held and served by Atty. Montaño expired in 2006,
thereby rendering the issues of the case moot. In addition, Atty. Verceles’ appointment in
2003 as NLRC Commissioner rendered the case moot as such supervening event
divested him of any interest in and affiliation with the federation in
accordance with Article 213 of the Labor Code.
However, in a number of cases,[37]
we still delved into the merits notwithstanding supervening events that would
ordinarily render the case moot, if the issues are capable of repetition,
yet evading review, as in this case.
As manifested by Atty. Verceles, Atty.
Montaño ran and won as FFW National President after his challenged term as FFW National
Vice-President had expired. It must be
stated at this juncture that the legitimacy of Atty. Montaño’s leadership as
National President is beyond our jurisdiction and is not in issue in the
instant case. The only issue for our
resolution is petitioner’s qualification to run as FFW National Vice-President
during the
Atty. Montaño is not qualified to
run as FFW National Vice-President in view of the prohibition established in
Section 76, Article XIX of the 1998 FFW Constitution and By-Laws.
Section 76, Article XIX of the FFW
Constitution and By-laws provides that no member of the Governing Board shall
at the same time be an employee in the staff of the federation. There is no dispute that Atty. Montaño, at the
time of his nomination and election for the position in the Governing Board, is
the head of
We find that both the BLR and CA
erred in their findings.
To begin with, FFW COMELEC is vested
with authority and power, under the FFW Constitution and By-Laws, to screen
candidates and determine their qualifications and eligibility to run in the
election and to adopt and promulgate rules concerning the conduct of elections.[39]
Under the Rules Implementing the Labor
Code, the Committee shall have the power to prescribe rules on the
qualification and eligibility of candidates and such other rules as may
facilitate the orderly conduct of elections.[40]
The Committee is also regarded as the
final arbiter of all election protests.[41]
From the foregoing, FFW COMELEC,
undeniably, has sufficient authority to adopt its own interpretation of the
explicit provisions of the federation’s constitution and by-laws and unless it
is shown to have committed grave abuse of discretion, its decision and ruling will
not be interfered with. The FFW Constitution
and By-laws are clear that no member of the Governing Board shall at the same time
perform functions of the rank-and-file staff. The BLR erred in disregarding
this clear provision. The FFW COMELEC’s ruling which considered Atty. Montaño’s
candidacy in violation of the FFW Constitution is therefore correct.
We, thus, concur with the CA that Atty.
Montaño is not qualified to run for the position but not for failure to meet
the requirement specified under Section 26 (d) of Article VIII of FFW
Constitution and By-Laws. We note that
the CA’s declaration of the illegitimate status of FFW Staff Association is proscribed
by law, owing to the preclusion of collateral attack.[42]
We nonetheless resolve to affirm the CA’s
finding that Atty. Montaño is disqualified to run for the position of National
Vice-President in view of the proscription in the FFW Constitution and By-Laws
on federation employees from sitting in its Governing Board. Accordingly, the election of Atty. Montaño as
FFW Vice-President is null and void.
WHEREFORE, the petition is DENIED.
The assailed May 28, 2004 Decision of the Court of Appeals in CA-G.R. SP No.
71731 nullifying the election of Atty. Allan S. Montaño as FFW National
Vice-President and the June 28, 2005 Resolution denying the Motion for
Reconsideration are AFFIRMED.
SO ORDERED.
MARIANO
C.
Associate
Justice
WE
CONCUR:
RENATO C. CORONA
Chief Justice
Chairperson
PRESBITERO
J. VELASCO, JR. Associate
Justice |
TERESITA
J. LEONARDO-DE CASTRO Associate
Justice |
JOSE
Associate Justice
C E R T I F I C A T I O N
Pursuant
to Section 13, Article VIII of the Constitution, it is hereby certified that
the conclusions in the above Decision had been reached in consultation before
the case was assigned to the writer of the opinion of the Court’s Division.
RENATO
C. CORONA
Chief Justice
[1] Rollo, pp. 3-47.
[2]
[3]
[4]
[5]
[6]
[7]
[8] Section 76. Except as otherwise provided in this Constitution, no Member of the Governing Board shall at the same time be an employee in the staff of the Federation. (see 1998 FFW Constitution & By-Laws, CA rollo, pp. 53-70.)
[9] Section 25. A Candidate/Nominee for the position of Governing Board Member, whether Titular or Deputy shall, except as otherwise provided in this Constitution, possess the following qualifications:
a. he/she must be a bonafide member of the Federation for at least two (2) consecutive years and a member of an affiliated organization which is up to date with its monthly dues to the Federation. (see 1998 FFW Constitution and By-Laws, id.)
[10] Rollo, pp. 142-147.
[11]
[12]
[13]
[14]
[15]
[16] FFW COMELEC letter dated
[17]
[18]
[19] Supra note 8.
[20] Section 26.
A candidate for the position of National President, National Vice-President,
and National Treasurer shall possess the following qualifications:
a.
a candidate must be a bonafide member of the Federation for at least two (2)
consecutive years;
b.
a candidate must be of good moral character and has not been convicted by a
final judgment of a crime involving moral turpitude before a candidate’s
election to office or during a candidate’s incumbency;
c. except the Treasurer, a candidate must serve
the Federation full time for the period of his/her incumbency;
d. a candidate for National President and National Vice-President must be or must have been an officer or member of a legitimate labor organization in the FFW for at least three (3) years. A legitimate labor organization shall mean a duly registered labor union as defined by the Labor Code as Amended. (see 1998 FFW Constitution & By-Laws, CA rollo, pp. 53-70.)
[21]
[22] Rollo, p. 82-85.
[23]
[24]
[25]
[26] SEC. 6. Protests and petitions for annulment of election results. – Protests or petitions for annulment of the result of an election shall be filed with and acted upon by the Regional Director in accordance with the provisions prescribed in Rule XIV of this Book. No protest or petition shall be entertained by the Regional Director unless the issue raised has been resolved by the committee.
[27] SEC 1. Complaint; who may file. – Any member of a union may file with the Regional Director a complaint for any violation of the constitution and by-laws and the rights and conditions of membership under Article 241 of the Code. x x x. Such complaint shall be filed in the Regional Office where the union is domiciled.
[28] ART. 226. BUREAU OF LABOR RELATIONS. – The Bureau of Labor Relations and the Labor Relations Divisions in the regional offices of the Department of Labor shall have original and exclusive authority to act, at their own initiative or upon request of either or both parties, on all inter-union and intra-union conflicts, and all disputes, grievances or problems arising from or affecting labor-management relations in all workplaces whether agricultural or nonagricultural, except those arising from the implementation or interpretation of collective bargaining agreements which shall be the subject of grievance procedure and/or voluntary arbitration.
x x x x.
[29] See Omnibus Rules Implementing the Labor Code, Book V, Rule XI, Section 1.
[30] Rollo, pp. 115-116.
[31] Supra note 26.
[32] Villar v. Hon. Inciong, 206 Phil. 366, 381 (1983).
[33] Omnibus Rules Implementing the Labor Code, Book V, Rule XV, Sections 4 and 5.
[34] Diokno v. Cacdac, G.R. No. 168475,
[35] Arceño v. Government Service Insurance
System, G.R. No. 162374,
[36] Juaban v. Espina, G.R. No. 170049, March 14, 2008, 548, SCRA 588, 605; Spouses Melo v. Court of Appeals, 376 Phil. 204, 213 (1999).
[37]
[38] See FFW Administrative and Communication
Staff Certification dated
[39] Section 56 (c) and (g), Article XIII of the FFW Constitution and By-Laws, CA rollo, pp. 53-70.
[40] Omnibus Rules Implementing the Labor Code, Book V, Rule XV, Section 2 (b) and (i).
[41]
[42] San Miguel Corporation Employees Union-Phil. Transport and General Workers Org. v. San Miguel Packaging Products Employees Union-Pambansang Diwa ng Manggagawang Pilipino, G.R. No. 171153, September 12, 2007, 533 SCRA 125, 145.