Mateo v. Court of Appeals

G.R. No. 113219 · 1995-08-14 · J. PUNO, J.: · Primary: Remedial; Secondary: Administrative Law
REITERATION

Facts

1. The Antecedents: Petitioners, as Board Members of the Morong Water District (MOWAD), conducted an investigation into private respondent Edgar Sta. Maria, the General Manager. Following this investigation, Sta. Maria was placed under preventive suspension on December 13, 1992, and subsequently dismissed on January 7, 1993. The petitioners allegedly prevented Sta. Maria from accessing his office and forcibly removed him from his position. 2. Procedural History: Private respondent Edgar Sta. Maria filed a Special Civil Action for Quo Warranto and Mandamus with Preliminary Injunction before the Regional Trial Court (RTC) of Rizal, Branch 78, challenging his dismissal. The RTC denied petitioners' motion to dismiss, which argued lack of jurisdiction and improper remedy. Petitioners then filed a petition for certiorari under Rule 65 with the Court of Appeals (CA), which was referred to respondent CA for adjudication. The CA dismissed the petition for lack of merit. 3. The Petition: Petitioners seek review of the CA's decision, primarily raising the issue of whether the RTC has jurisdiction over cases involving the dismissal of employees of quasi-public corporations like MOWAD. They contend that such matters fall under the exclusive jurisdiction of the Civil Service Commission, not the RTC. The Supreme Court is asked to determine if the CA erred in upholding the RTC's jurisdiction.

Issue(s)

Whether the Regional Trial Court has jurisdiction over the dismissal of an employee of a quasi-public corporation. Whether quo warranto and mandamus were the proper remedies for the private respondent.

Ruling

The petition is GRANTED. The decision of the Court of Appeals dated November 24, 1993, and its Resolution dated January 11, 1994, in CA G.R. SP No. 31530 are ANNULLED and SET ASIDE.

Ratio Decidendi

On the jurisdiction of the Regional Trial Court over the dismissal of an employee of a quasi-public corporation: The Supreme Court held that the Regional Trial Court has no jurisdiction over cases involving the dismissal of officers and employees of government-owned or controlled corporations, including quasi-public corporations like MOWAD. This is because such employees fall under the jurisdiction of the Civil Service Commission (CSC). The Court cited Presidential Decree No. 198, the provincial Water Utilities Act of 1973, as amended, which created MOWAD as a quasi-public corporation. The established rule, as reiterated in previous cases, is that the hiring and firing of employees of government-owned and controlled corporations are governed by the Civil Service Law and Rules and Regulations. Therefore, any aggrieved party must first exhaust administrative remedies with the CSC before resorting to judicial recourse. The initial remedy for an employee aggrieved by a decision, ruling, order, or action of an agency of the government involving termination of services is to appeal to the CSC within fifteen (15) days. Thereafter, if still aggrieved, the party may proceed to the Supreme Court on certiorari under Rule 65 of the Rules of Court, or to the Court of Appeals under current rules. On whether quo warranto and mandamus were the proper remedies for the private respondent: While not explicitly ruled upon as a separate issue in the dispositive portion, the Court's decision on the lack of jurisdiction implicitly renders the remedies sought before the RTC as improper. The proper procedural avenue for challenging dismissal from a government-controlled corporation is through the Civil Service Commission, not through a Special Civil Action for Quo Warranto and Mandamus filed directly with the Regional Trial Court. The essence of quo warranto is to determine the right to hold an office or franchise, and mandamus compels the performance of a ministerial duty. However, the primary issue of dismissal from employment in a government entity is an administrative matter falling within the CSC's purview. Therefore, the RTC could not validly entertain the petition, making the chosen remedies inappropriate for the nature of the dispute.

Main Doctrine

Regional Trial Courts have no jurisdiction over cases involving the dismissal of officers and employees of government-owned or controlled corporations, including quasi-public corporations, whose employment is governed by the Civil Service Law. Such cases fall under the exclusive jurisdiction of the Civil Service Commission.

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