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    Mendoza v. de Leon, 33 Phil 508 (1916)

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    ajyu
    1) The plaintiff had an exclusive lease to operate a ferry granted by the municipality under relevant laws. 2) The municipal council revoked the plaintiff's lease and granted the franchise to another person. 3) As the municipal council was administering patrimonial property of the municipality, it occupies the position of a board of directors of a private corporation and can be held personally liable for damages resulting from revocation of a valid contract like the plaintiff's lease. 4) The court affirmed the lower court's judgment, finding the municipal council members jointly and severally liable for damages to the plaintiff.

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    Mendoza v. de Leon, 33 Phil 508 (1916)

    Uploaded by

    ajyu
    1K views2 pages
    1) The plaintiff had an exclusive lease to operate a ferry granted by the municipality under relevant laws. 2) The municipal council revoked the plaintiff's lease and granted the franchise to another person. 3) As the municipal council was administering patrimonial property of the municipality, it occupies the position of a board of directors of a private corporation and can be held personally liable for damages resulting from revocation of a valid contract like the plaintiff's lease. 4) The court affirmed the lower court's judgment, finding the municipal council members jointly and severally liable for damages to the plaintiff.

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    1) The plaintiff had an exclusive lease to operate a ferry granted by the municipality under relevant laws. 2) The municipal council revoked the plaintiff's lease and granted the franchise to another person. 3) As the municipal council was administering patrimonial property of the municipality, it occupies the position of a board of directors of a private corporation and can be held personally liable for damages resulting from revocation of a valid contract like the plaintiff's lease. 4) The court affirmed the lower court's judgment, finding the municipal council members jointly and severally liable for damages to the plaintiff.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    1K views2 pages

    Mendoza v. de Leon, 33 Phil 508 (1916)

    Uploaded by

    ajyu
    1) The plaintiff had an exclusive lease to operate a ferry granted by the municipality under relevant laws. 2) The municipal council revoked the plaintiff's lease and granted the franchise to another person. 3) As the municipal council was administering patrimonial property of the municipality, it occupies the position of a board of directors of a private corporation and can be held personally liable for damages resulting from revocation of a valid contract like the plaintiff's lease. 4) The court affirmed the lower court's judgment, finding the municipal council members jointly and severally liable for damages to the plaintiff.

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    G.R. No. L-9596 February 11, 1916 EN BANC Trent, J. MARCOS MENDOZA, plaintiff-appellee, v . FRANCISCO DE LEON, ET AL., !efen!

    ant -appellant . FACTS: A"tion for !a#a$e a$ain t t%e in!ivi!ual #e#ber of t%e #uni"ipal "oun"il of t%e #uni"ipality of &illa i , 'an$a inan, for t%e revo"ation of t%e lea e of an e("lu ive ferry privile$e !uly a)ar!e! to t%e plaintiff un!er t%e provi ion of A"t No. 16*+ of t%e '%ilippine Co##i ion. After u e of a little #ore t%an one year, t%e plaintiff )a for"ibly e,e"te! un!er an! pur uan"e of a re olution a!opte! by t%e %erein !efen!ant , a)ar!in$ a fran"%i e for t%e a#e ferry to anot%er per on. ISSUE: Are t%e #e#ber of t%e #uni"ipal "oun"il per onally liableRATIONALE: .uni"ipalitie of t%e '%ilippine / lan! or$ani0e! un!er t%e .uni"ipal Co!e %ave bot% $overn#ental an! "orporate or bu ine fun"tion . A"t No. 16*+ provi!e t%at t%e u e of ea"% fi %ery, fi %-bree!in$ $roun!, ferry, table, #ar1et, an! lau$%ter%ou e belon$in$ to any #uni"ipality or to)n %ip %all be let to t%e %i$%e t bi!!er annually or for u"% lon$er perio! not e("ee!in$ five year a #ay %ave been previou ly approve! by t%e provin"ial boar! of t%e provin"e in )%i"% t%e #uni"ipality or to)n %ip i lo"ate!. The leasing of a !ni"i#al ferr$ to the highest %i&&er for a s#e"ifie& #erio& of ti e is not a go'ern ental %!t a "or#orate f!n"tion. S!"h a lease, (hen 'ali&l$ entere& into, "onstit!tes a "ontra"t (ith the lessee (hi"h the !ni"i#alit$ is %o!n& to res#e"t. A #uni"ipality i not e(e#pt fro# liability for t%e ne$li$ent perfor#an"e of it "orporate or proprietary or bu ine fun"tion . /n t%e a!#ini tration of it patri#onial property, it i to be re$ar!e! a a private "orporation or in!ivi!ual o far a it liability to t%ir! per on on "ontra"t or in tort i "on"erne!. /t "ontra"t , vali!ly entere! into, #ay be enfor"e! an! !a#a$e #ay be "olle"te! fro# it for t%e tort of it offi"er or a$ent )it%in t%e "ope of t%eir e#ploy#ent in pre"i ely t%e a#e #anner an! to t%e a#e e(tent a t%o e of private "orporation or in!ivi!ual . A to u"% #atter t%e prin"iple of re pon!eat uperior applie . /t i for t%e e purpo e t%at t%e #uni"ipality i #a!e liable to uit in t%e "ourt . .uni"ipal "orporation are ub,e"t to be ue! upon "ontra"t an! in tort. 2%e rule of la) i a $eneral one, t%at t%e uperior or e#ployer #u t an )er "ivilly of t%e ne$li$en"e or )ant of 1ill of %i a$ent or ervant in t%e "our e or line of %i e#ploy#ent, by )%i"% anot%er, )%o i free fro# "ontributory fault, i in,ure!. .uni"ipal "orporation , un!er t%e "on!ition %erein tate!, fall )it%in t%e operation of t%i rule of la), an! are liable, a""or!in$ly, to "ivil a"tion for !a#a$e )%en t%e re3ui ite ele#ent of liability "oe(i t. 2o "reate u"% liability, it i fun!a#entally ne"e ary t%at t%e a"t !one )%i"% i in,uriou to ot%er #u t be )it%in t%e "ope of t%e "orporate po)er a pre "ribe! by "%arter or po itive ena"t#ent 4t%e e(tent of )%i"% po)er all per on are boun!, at t%eir peril, 1no)56 in ot%er )or! , it #u t not be ultra vire in t%e en e t%at it i not )it%in t%e po)er or aut%ority of t%e "orporation to a"t in referen"e to it un!er any "ir"u# tan"e . Un&er the #ro'isions of M!ni"i#al Co&e an& A"t No. )*+,, the #laintiff ha& a 'este& right to the e-"l!si'e o#eration of the ferr$ in .!estion for the #erio& of his lease. /ere the !ni"i#alit$ a #art$ to this a"tion, it (o!l& %e #atent that a 0!&g ent for &a ages against it for the res"ission of the "ontra"t (o!l& %e #ro#er. This, %e it sai&, is the !s!al etho& of e-a"ting &a ages, either e- "ontra"t! or e- &eli"to arising fro the e-er"ise of "or#orate #o(ers of !ni"i#alities. /n a!#ini terin$ t%e patri#onial property of #uni"ipalitie , t%e #uni"ipal "oun"il o""upie , for #o t purpo e , t%e po ition of a boar! of !ire"tor of a private "orporation. /n !i po in$ of t%e lo"al publi" utilitie , if t%e ter# #ay be u e!, u"% a t%e fi %in$ an! ferry ri$%t , et"., t%ey #u t e(er"i e "on i!erable ,u!$#ent. /t re3uire! o#e "on i!erable a#ount of bu ine a"u#en to "o#pel perfor#an"e on t%e part of le ee of t%e e privile$e in a""or!an"e )it% t%e ter# of t%eir lea e an! in a #anner )%i"% )ill not "au e t%e property to !eteriorate. 7ue tion #u t "ontinually ari e )%i"% are not e(pre ly provi!e! for in "ontra"t an! )%i"% #u t be ettle!, if po ible, in a #anner t%at )ill pre erve t%e ,u t "lai# of t%e #uni"ipality. The r!le of #ersonal lia%ilit$ sho!l& %e (ith !ni"i#al "o!n"ilors in s!"h atters as it is (ith the &ire"tors or anagers of an or&inar$ #ri'ate "or#oration. 2%e !efen!ant are liable ,ointly an! everally for t%e !a#a$e "ontra"t of lea e of t%e ferry privile$e in 3ue tion. u taine! by t%e plaintiff fro# t%e re "i ion of %i

    DIS1OSITI2E: 8u!$#ent appeale! fro# i affir#e!.

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