Agilent v. Integrated Silicon - Foreign Corporation
Agilent v. Integrated Silicon - Foreign Corporation
Agilent v. Integrated Silicon - Foreign Corporation
Sec. 3, par. (d). The phrase doing business shall include soliciting (5) Maintaining a stock of goods in the Philippines solely for
orders, service contracts, opening offices, whether called liaison the purpose of having the same processed by another
offices or branches; appointing representatives or distributors entity in the Philippines;
domiciled in the Philippines or who in any calendar year stay in the
country for a period or periods totaling one hundred eighty (180) days
(6) Consignment by a foreign entity of equipment with a local WHEREFORE, PREMISES CONSIDERED, the petition is
company to be used in the processing of products for GRANTED. The Decision of the Court of Appeals in CA-G.R. SP No.
export; 66574 dated August 12, 2002, which dismissed Civil Case No. 3123-
2001-C, is REVERSED and SET ASIDE. The Order dated September
(7) Collecting information in the Philippines; and
4, 2001 issued by the Regional Trial Court of Calamba, Laguna,
(8) Performing services auxiliary to an existing isolated Branch 92, in Civil Case No. 3123-2001-C, is
contract of sale which are not on a continuing basis, such REINSTATED. Agilents application for a Writ of Replevin is
as installing in the Philippines machinery it has GRANTED.
manufactured or exported to the Philippines, servicing the
No pronouncement as to costs.
same, training domestic workers to operate it, and similar
incidental services. SO ORDERED.
By and large, to constitute doing business, the activity to be
undertaken in the Philippines is one that is for profit-making.[63]
By the clear terms of the VAASA, Agilents activities in the
Philippines were confined to (1) maintaining a stock of goods in the
Philippines solely for the purpose of having the same processed by
Integrated Silicon; and (2) consignment of equipment with Integrated
Silicon to be used in the processing of products for export. As such,
we hold that, based on the evidence presented thus
far, Agilent cannot be deemed to be doing business in
the Philippines. Respondents contention that Agilent lacks the legal
capacity to file suit is therefore devoid of merit. As a foreign
corporation not doing business in the Philippines, it needed no
license before it can sue before our courts.
Finally, as to Agilents purported failure to state a cause of action
against the individual respondents, we likewise rule in favor of
petitioner. A Motion to Dismiss hypothetically admits all the
allegations in the Complaint, which plainly alleges that these
individual respondents had committed or permitted the commission
of acts prejudicial to Agilent. Whether or not these individuals had
divested themselves of their interests in Integrated Silicon, or are no
longer members of Integrated Silicons Board of Directors, is a matter
of defense best threshed out during trial.