Case Digest On UMALI V
Case Digest On UMALI V
Case Digest On UMALI V
In 1985, Central Bank of the Philippines filed a petition for assistance in the liquidation of the Philippine Veterans Bank (PVB), in the RTC of Manila Branch 39. Thereafter, the PVB employees union herein petitioner filed claim for accrued and unpaid employee wages and benefits.
On January 2, 1992, RA 7169 (An Act to Rehabilitate the PVB) which was signed into law by Pres. Corazon Aquino and which was published in the Official Gazette on February 24, 1992.
Thereafter, petitioners filed with the labor tribunals their residual claims for benefits and for reinstatement upon reopening of the bank.
In May 1992, Central Bank issued a certificate of authority allowing the PVB to reopen despite the late mandate for rehabilitation and reopening, respondent Judge Vega continued with the liquidation proceedings of the bank alleging further that RA 7169 became effective only on March 10, 1992 or 15 days after its publication in the Official Gazette on February 24, 1992.
HELD: The Supreme Court upheld that while as a rule laws take effect after 15 days following completion of their publication in the Official Gazette or in a newspaper of general circulation in the Philippines, the legislature has the authority to provide for exceptions as indicated in the clause unless otherwise provided. Citing Tanada vs Tuvera, this clause refers to the date of effectivity and not to the requirement of publication, which cannot in any event be omitted. The reason is that such omission would affect due process in so far as it would deny the public knowledge of the laws that are supposed to govern it.
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HELD: Art. 8 of the Civil Code decrees that judicial decisions applying or interpreting the laws or the Constitution form part of this jurisdiction's legal system. These decisions, although in themselves not law, constitute evidence of what the laws mean. The application or interpretation placed by the courts upon a law is part of the law as of the date of the enactment of the said law since the Court's application or interpretation merely establishes the contemporaneous legislative intent that the construed law purports to carry into effect. A new doctrine abrogating an old rule operates prospectively and should not adversely affect those favored by the old rule.