VOL. 470, SEPTEMBER 23, 2005 711: Paloma vs. Mora
VOL. 470, SEPTEMBER 23, 2005 711: Paloma vs. Mora
                           another way, he is at the mercy of the appointing powers                                                and must therefore be taken to be of prospective
                           since his appointment can be terminated at any time for                                                 application.—Unfortunately for petitioner,
                           any cause and following Orcullo there is no need of prior
                           notice or due hearing before the incumbent can be                                                                                                                             713
                           separated from office. Hence, petitioner is treading on
                           shaky grounds with his intransigent posture that he was
                           removed sans cause and due process.
                                                                                                                                                VOL. 470, SEPTEMBER 23, 2005                             713
                                Same; Same; Same; Same; Court has previously
                           sustained the validity of dismissal of civil servants who                                                                               Paloma vs. Mora
                           serve at the pleasure of the appointing power and whose
                           appointments are covered by Section 14 of the Omnibus                                                   Rep. Act No. 9286 is silent as to the retroactivity of the
                           Rules Implementing Book V of Executive Order No. 292.—                                                  law to pending cases and must, therefore, be taken to be
                           The Court has previously sustained the validity of                                                      of prospective application. The general rule is that in an
                           dismissal of civil servants who serve at the pleasure of                                                amendatory act, every case of doubt must be resolved
                           the appointing power and whose appointments are                                                         against its retroactive effect. Since the retroactive
                           covered by Section 14 of the Omnibus Rules                                                              application of a law usually divests rights that have
                           Implementing Book V of Executive Order No. 292 as cited                                                 already become vested, the rule in statutory construction
                           above. Thus, in Orcullo, Jr. v. Civil Service Commission,                                               is that all statutes are to be construed as having only a
                           petitioner was hired as Project Manager IV by the                                                       prospective operation unless the purpose and intention of
                           Coordinating Council of the Philippine Assistance                                                       the legislature to give them a retrospective effect is
                           Program-BOT Center. In upholding the termination of                                                     expressly declared or is necessarily implied from the
                           his employment prior to the expiration of his contract, we                                              language used.
                           held that petitioner serves at the pleasure of the
                           appointing authority.                                                                                        Administrative     Law;    Doctrine    of    Primary
                                                                                                                                   Jurisdiction.— Underlying the rulings of the trial and
                               Same; Same; Same; Same; Republic Act No. 9286                                                       appellate courts in the case at bar is the doctrine of
                           which amended Section 23 of P.D. No. 198 provides that                                                  primary jurisdiction; i.e., courts cannot and will not
                           thereafter the General Manager of Water Districts shall                                                 resolve a controversy involving a question which is within
                           not be removed from office except for cause and after due                                               the jurisdiction of an administrative tribunal, especially
                           process.—Laws change depending on the evolving needs                                                    where the question demands the exercise of sound
                           of society. In a related development, President Gloria                                                  administrative     discretion   requiring   the     special
                           Macapagal-Arroyo inked into law Republic Act No. 9286,                                                  knowledge, experience and services of the administrative
                           which amended Section 23 of P.D. No. 198 providing that                                                 tribunal to determine technical and intricate matters of
                           thereafter, the General Manager of Water Districts shall                                                fact.
                           not be removed from office, except for cause and after due
                           process.                                                                                                PETITION for review on certiorari of the decision
                                Same; Same; Same; Same; Republic Act No. 9286 is                                                   and resolution of the Court of Appeals.
                           silent as to the retroactivity of the law to pending cases
                                                                                                                                   The facts are stated in the opinion of the Court.
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                                     Phio L. Viovicente for petitioner.                                                                  namely: Danilo Mora, Hilario Festejo, Bryn
                                     Evergisto S. Escalon for respondents.                                                               Bongbong and Maxima Salvino, respectively. The
                                                                                                                                         Board, in the same Resolution, designated          4
                           CHICO-NAZARIO, J.:                                                                                            respondent Valentino Sevilla as Officer-in-Charge.
                                                                                                                                            Pained by his termination,    petitioner filed a
                           In this petition for review on certiorari, petitioner                                                                                 5
                                                                                                                                         petition for mandamus with prayer for preliminary
                           NILO PALOMA
                                   1
                                             is in quest of
                                                         2
                                                            the reversal of the                                                          injunction with damages before the RTC on 11
                           Decision and the Resolution, dated 15 November                                                                January 1996 to contest his dismissal with the
                           2002 and 01 April 2003, respectively, of the Court of                                                         prayer to6 be restored to the position of General
                           Appeals in CA-G.R. SP No. 42553, affirming in toto                                                            Manager.
                           the Orders dated 12 March 1996 and 28                                                                            Petitioner obdurately argued in his petition that
                                                                                                                                         the passage of Resolution No. 8-95 resulting in his
                           _______________                                                                                               dismissal was a “capricious and arbitrary act on the
                                                                                                                                         part of the Board of Directors, constituting a
                               1   Rollo, pp. 19-25. Penned by Associate Justice Eubulo G.
                                                                                                                                         travesty of justice and a fatal denial of his
                           Verzola with Associate Justices Jose L. Sabio and Amelita G.
                                                                                                                                         constitutional right to due process for the grounds
                           Tolen-tino, concurring.
                                                                                                                                         relied upon therein to terminate him were never
                               2   Rollo, p. 66.
                                                                                                                                         made a subject of a complaint nor was he notified
                                                                                                 714                                     and made to explain the acts he was said to be
                                                                                                                                         guilty of.” “Fundamental is the rule and also
                                                                                                                                         provided for in the Civil Service Rules and
                           714        SUPREME COURT REPORTS ANNOTATED                                                                    Regulations that no officer or employee in the Civil
                                                         Paloma vs. Mora                                                                 Service shall be suspended,
                           failed to sway   the trial court by Order dated 28                                                       In its Decision dated 15 November 2002, the Court
                           June 1996.
                                       10
                                                                                                                                    of Appeals yielded to the decision of the trial court
                               Meanwhile, petitioner filed a Complaint on 29                                                        and dismissed the appeal filed by petitioner, viz.:
                           March 1996 with the Civil Service Commission                                                             “WHEREFORE, the instant petition is hereby
                           (CSC) against same respondents herein, for alleged                                                       DISMISSED for lack of merit. Accordingly, the assailed
                           Violation of Civil11 Service Law and Rules and for                                                       Orders of the Regional Trial Court dated 12 March 1996
                           Illegal Dismissal.                                                                                       and 28 June 199616 in Civil Case No. PN-0016, are
                               On 0612 November 1996, the CSC issued its                                                            AFFIRMED in toto.”
                           Decision exonerating respondents from the charge
                           of violating the Civil Service Law when they voted                                                       Equally unavailing was petitioner’s motion for
                           for the termination of petitioner’s services as                                                          reconsideration, which was denied by the Court of
                           General Manager of the Palompon,       13
                                                                     Leyte Water                                                    Appeals on 01 April 2003.
                           District. Thus, the CSC dismissed the complaint                                                             Affronted by the ruling, petitioner elevated the
                           filed by petitioner before it, to wit:                                                                   matter to us via the instant petition, contending
                                                                                                                                    that:
                           “In view of the foregoing, the instant complaint of Mr.
                           Nilo Paloma former General Manager of Palompon Water                                                     THE COURT OF APPEALS GRAVELY ERRED IN
                           District against Messrs. Danilo Mora, Hilario Festejo,                                                   AFFIRMING THE DECISION OF THE REGIONAL    17
                           Bryn Bongbong and Ms. Maxima Salvino for Violation of                                                    TRIAL COURT OF PALOMPON, LEYTE, BRANCH 17.
                           Civil Service Law and Rules and
                                                                                                                                    The central inquiry raised in this petition is
                           _______________                                                                                          whether or not the Court of Appeals committed any
                                                                                                                                    reversible error in its challenged decision.
                               7   Ibid.                                                                                            Concretely, we are tasked to resolve: (1) whether or
                               8   Records, p. 28.                                                                                  not mandamus will lie to compel the Board of
                               9   Records, p. 70.                                                                                  Directors of the Palompon, Leyte Water District to
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                           reinstate the General Manager thereof, and (2)                                                                that the instant case has already been rendered
                           whether or not the CSC has primary jurisdiction                                                               moot by the dissolution of the Palompon, Leyte
                           over the case for illegal dismissal of petitioner.                                                            Water District and its subsequent absorption by the
                              Petitioner, in his brief, is emphatic that the                                                             municipal
                                                                                                                                               21
                                                                                                                                                      government of Palompon effective 1 June
                           Court of Appeals overlooked the fact that                                                                     1999. Finally, it is respondents’ resolute stance
                           mandamus may lie to compel the performance of a                                                               that it was fitting for the Court of Appeals to affirm
                           discretionary duty in case of non-                                                                            the trial court’s ruling dismissing the petition filed
                                                                                                                                         by petitioner inasmuch as Section 23 of Presidential
                           _______________                                                                                               Decree (P.D.) No. 128 indeed clearly states that the
                                                                                                                                         General  22
                                                                                                                                                     Manager shall serve at the pleasure of the
                               14   CA Rollo, p. 32.                                                                                     Board.
                               15   Rollo, pp. 41-57.                                                                                       We are not won over by petitioner’s avowals. The
                               16   Rollo, p. 25.                                                                                        petition ought to be denied.
                               17   Rollo, p. 12.                                                                                           Section 3, Rule 65 of the Rules of Court provides
                                                                                                                                         —
                                                                                                 717
                                                                                                                                         Sec. 3. Petition for mandamus.—When any tribunal,
                                                                                                                                         corporation, board, officer or person unlawfully neglects
                                      VOL. 470, SEPTEMBER 23, 2005                               717
                                                                                                                                         the performance of an act which the law specifically
                                                         Paloma vs. Mora                                                                 enjoins as a duty resulting from an office, trust, or
                                                                                                                                         station, or unlawfully excludes another from the use
                           observance of due process. He enthuses that the
                           Court of Appeals overlooked the fact that as an                                                               _______________
                           aggrieved     party,     he   need    not     exhaust
                                                                                                                                                  Rollo, p. 13.
                           administrative remedies and may resort to court                                                                   18
                                                                                                                                                  Rollo, p. 96.
                           action for
                                    18
                                        relief as due process was clearly                                                                    19
                                                                                                                                                  Rollo, p. 98.
                           that petitioner breached the rule against forum                                                                   22
                           proper court, alleging the facts with certainty and                                                                     SAID        ADMINISTRATION                   SUCH          POWERS   AS   ARE
                           praying that judgment be rendered commanding the                                                                        NECESSARY TO OPTIMIZE PUBLIC SERVICE
                           respondent, immediately or at some other time to be
                                                                                                                                                                                                                            719
                           specified by the court, to do the act required to be done to
                           protect the rights of the petitioner and to pay the
                           damages sustained by the petitioner by reason of the                                                                              VOL. 470, SEPTEMBER 23, 2005                                   719
                           wrongful acts of the respondent.
                                                                                                                                                                                 Paloma vs. Mora
                           Mandamus lies to compel the performance, when
                           refused, of a ministerial duty, but not 23to compel the                                                                 promulgated on 25 May 1973, categorically provides
                           performance of a discretionary duty. Mandamus                                                                           that the general manager shall serve at the
                           will not issue to control or review the exercise of                                                                     pleasure of the board of directors, viz.:
                           discretion of a public officer where the law imposes
                           upon said public officer the right and duty to                                                                          Section 23. Additional Officers.—At the first meeting of
                           exercise his judgment in reference to any matter in                                                                     the board, or as soon thereafter as practicable, the board
                           which he is required to act. It is his judgment    that                                                                 shall appoint, by a majority vote, a general manager, an
                                                                         24
                           is to be exercised and not that of the court.                                                                           auditor, and an attorney, and shall define their duties
                                                                      25
                               In the case at bar, P.D. No. 198, otherwise                                                                         and fix their compensation. Said officers shall serve at
                           known as THE PROVINCIAL WATER UTILITIES                                                                                 the pleasure of the board.
                           ACT OF 1973, which was
                                                                                                                                                   Section 23 of P.D. No. 198 was later amended by
                                                                                                                                                   P.D. No. 768 on 15 August 1975 to read:
                           _______________
                                                                                                                                                   SEC. 23. The General Manager.—At the first meeting of
                               23   Sps. Camilo and Delia Go v. Court of Appeals, Hon.                                                             the board, or as soon thereafter as practicable, the board
                           Marcelino Bautista, et al., G.R. No. 120040, 29 January 1996,                                                           shall appoint, by a majority vote, a general manager and
                           252 SCRA 564. See also Regalado, 1997 Ed, Remedial Law                                                                  shall define his duties and fix his compensation. Said
                           Compendium, p. 715.                                                                                                     officer shall serve at the pleasure of the board. (Emphasis
                               24   Knecht v. Desierto, G.R. No. 121916, 26 June 1998, 291                                                         supplied)
                           SCRA 292, citing Magtibay v. Garcia, et al., G.R. No. L-29871, 28
                           January 1983, 120 SCRA 370; Avenue Arrastre and Stevedoring                                                             Mandamus does not lie to compel the Board of
                           Corp., Inc. v. The Hon. Commissioner of Customs, et al., G.R. No.
                                                                                                                                                   Directors of the Palompon, Leyte Water District to
                                                                                                                                                   reinstate petitioner because the Board has the
                           L-44674, 28 February 1983, 120 SCRA 878.
                                                                                                                                                   discretionary power to remove him under Section
                               25   DECLARING A NATIONAL POLICY FAVORING LOCAL
                                                                                                                                                   23 of P.D. No. 198, as amended by P.D. No. 768.
                           OPERATION              AND       CONTROL             OF         WATER    SYSTEMS;
                                                                                                                                                      The case of Mita Pardo    de Tavera v. Philippine
                           AUTHORIZING               THE       FORMATION              OF     LOCAL     WATER                                                                 26
                                                                                                                                                   Tuberculosis Society, Inc. delineated the nature of
                           DISTRICTS AND PROVIDING FOR THE GOVERNMENT AND
                                                                                                                                                   an appointment held “at the pleasure of the
                           ADMINISTRATION OF SUCH DISTRICTS; CHARTERING A
                                                                                                                                                   appointing power” in this wise:
                           NATIONAL                 ADMINISTRATION                     TO          FACILITATE
                           IMPROVEMENT OF LOCAL WATER UTILITIES; GRANTING
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                           An appointment held at the pleasure of the appointing                                                          is no need of prior notice or due hearing before the
                           power is in essence temporary in nature. It is co-extensive                                                    incumbent can be separated from office. Hence,
                           with the desire of the Board of Directors. Hence, when the                                                     petitioner is treading on shaky grounds with his
                           Board opts to replace the incumbent, technically there is                                                      intransigent posture that he was removed sans
                           no removal but only an expiration of term and in an                                                            cause and due process.
                           expiration of term, there is no need of prior notice, due                                                         Yes, as a general rule, no officer or employee of
                           hearing or sufficient grounds before the incumbent can be                                                      the civil service shall be removed or suspended
                           separated from office. The protection afforded by Section                                                      except for cause provided by law as provided in
                           7.04 of the Code of By-                                                                                        Section 2(3), Article IX-B of the 1987 Constitution.
                                                                                                                                          As exception to this, P.D. No. 198,28which we held in
                           _______________                                                                                                Feliciano v. Commission on Audit to be the special
                                                                                                                                          enabling charter of Local Water Districts,
                               FROM WATER UTILITY OPERATIONS, AND FOR OTHER
                                                                                                                                          categorically provides that the General Manager
                           PURPOSES.
                                                                                                                                          shall serve “at the pleasure of the board.”
                               26   G.R. No. L-48928, 25 February 1982, 243 SCRA 112.
                                                                                                                                             Correlatively, the nature of appointment of
                                                                                                                                          General Managers of Water Districts under Section
                                                                                                 720
                                                                                                                                          23 of P.D. No. 198 falls under Section 14 of the
                                                                                                                                          Omnibus Rules Implementing Book V of Executive
                           720            SUPREME COURT REPORTS ANNOTATED                                                                 Order No. 292, otherwise known as the
                                                           Paloma vs. Mora                                                                Administrative Code of 1987, which provides:
                           which bid for a waterworks project was compatible with                                                                   Note.—Disciplinary cases and cases involving
                           its development plan. (Emphasis supplied)                                                                             “personnel actions” affecting employees in the civil
                                                                                                                                                 service      including     “appointment       through
                           In a surfeit of cases, this Court has held that quasi-                                                                certification, promotion, transfer, reinstatement,
                           judicial bodies like the CSC are better-equipped in                                                                   reemployment, detail, reassignment, demotion and
                           handling cases involving the employment status of                                                                     separation” are within the exclusive jurisdiction of
                           employees as those in the                                                                                             the Civil Service Commission which is the sole
                                                                                                                                                 arbiter of controversies relating to the civil service.
                           _______________                                                                                                       (Olanda vs. Bugayong, 413 SCRA 255 [2003])
                               36   Villaflor v. Court of Appeals, G.R. No. 95694, 09 October                                                                                       ——o0o——
                           1997, 280 SCRA 297, 327.
                               37   Ibid.
                                                                                                                                                 _______________
                           Civil Service
                                     38
                                          since it is within the field of their                                                                                                                                        727
                           expertise. This is consistent with the powers and
                           functions of the CSC, being the central personnel
                           agency of the Government, to carry into effect the
                           provisions of the
                                           39
                                                Civil Service Law and other
                           pertinent laws, including, in this case, P.D. No.
                           198.
                              WHEREFORE, the present petition is hereby
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                           DENIED. Accordingly, the Decision and the
                           Resolution dated 15 November 2002 and 01 April
                           2003, respectively, of the Court of Appeals in CA-
                           G.R. SP No. 42553, are hereby AFFIRMED. Costs
                           against petitioner.
                              SO ORDERED.