Thursday, February 23, 2012

First Lepanto Ceramics vs. CA [G.R. No. 110571, March 10, 1994]

Facts: The Omnibus Investments Code of 1981 as amended provided that appeals from decisions of the Board of Investments (BOI) shall be the exclusive jurisdiction of the CA. Just a few months after the 1987 Constitution took effect (July 17, 1987), the Omnibus Investments Code of 1987 (EO 226) was promulgated which provided in Art 82 thereof that such appeals be directly filed with the SC. The SC later promulgated, under its rule-making power, Circular No. 1-91 which confirmed that jurisdiction of the CA over appeals from the decisions of the BOI. SC’s Second Division, relying on said Circular, accordingly sustained the appellate jurisdiction of the CA in this present case. Petitioner now move to reconsider and question the Second Division’s ruling which provided: 

“….although the right to appeal granted by Art 82 of EO 226 is a substantive right which cannot be modified by a rule of procedure, nonetheless, questions concerning where and in what manner the appeal can be brought are only matters of procedure which this Court hast he power to regulate.” 

They contend that Circular No. 191 (a rule of procedure) cannot be deemed to have superseded Art 82 of EO 226 (a legislation). 

Issue: Was the Court correct in sustaining the appellate jurisdiction of the CA in decisions from the Board of Investments? 

Held: Yes. EO 226 was promulgated after the 1987 Constitution took effect February 2, 1987. Thus, Art 82 of EO 226, which provides for increasing the appellate jurisdiction of the SC, is invalid and therefore never became effective for the concurrence of the Court was no sought in its enactment. Thus, the Omnibus Investments Code of 1981 as amended still stands. The exclusive jurisdiction on appeals from decisions of the BOI belongs to the CA. 


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1 comments: on "First Lepanto Ceramics vs. CA [G.R. No. 110571, March 10, 1994]"

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