Case Digest (G.R. No. 188267)
Facts:
- Baguio Central University (BCU) is the petitioner; Ignacio Gallente is the respondent.
- Gallente was hired by BCU in October 1991, later becoming Dean of the Colleges of Arts and Sciences and Public Administration.
- On February 5, 2005, Gallente co-founded GRC Review and Language Center, Inc. (GRC) under the name "Genesis Gallente," aimed at conducting review classes for professional exams.
- GRC's Articles of Incorporation listed BCU as its primary address.
- BCU's President, Dr. Margarita Fernandez, expressed concerns about Gallente's establishment of GRC, particularly regarding the use of BCU's resources.
- After grievance meetings, Gallente resigned on September 30, 2005.
- On December 8, 2005, Gallente filed a complaint for illegal (constructive) dismissal, claiming non-payment of benefits and attorney's fees.
- The Labor Arbiter ruled on June 30, 2006, that Gallente was illegally dismissed and ordered BCU to pay various benefits.
- The National Labor Relations Commission (NLRC) partially granted BCU's appeal on November 28, 2007, citing justifiable grounds for Gallente's dismissal due to loss of trust and confidence.
- Gallente's motion for reconsideration was denied.
- The Court of Appeals (CA) reversed the NLRC's ruling on March 12, 2009, reinstating the Labor Arbiter's decision, prompting BCU to file a petition for review on certiorari.
Issue:
- (Unlock)
Ruling:
- The Supreme Court granted BCU's petition, reversing the CA's decision and reinstating the NLRC's ruling that Gallente was ...(Unlock)
Ratio:
- The Supreme Court stated that a valid dismissal must be based on just or authorized cause, with due process observed.
- Loss of trust and confidence is a recognized just cause under Article 282(c) of the Labor Code.
- Gallente's position as Dean required him to act in BCU's best interests.
- Establishing GRC, which competed with BCU, constituted a willful breach of trust.
- The absence of actual damage to ...continue reading
Case Digest (G.R. No. 188267)
Facts:
The case involves Baguio Central University (BCU) as the petitioner and Ignacio Gallente as the respondent. Gallente was hired by BCU in October 1991 as an instructor and later promoted to Dean of the Colleges of Arts and Sciences and Public Administration. On February 5, 2005, Gallente, under the name "Genesis Gallente," co-founded the GRC Review and Language Center, Inc. (GRC), which aimed to conduct review classes for various professional examinations. The Articles of Incorporation of GRC listed BCU as its primary address. BCU's President, Dr. Margarita Fernandez, raised concerns regarding Gallente's establishment of GRC, particularly regarding the use of BCU's resources and address. Following grievance meetings, Gallente submitted his resignation on September 30, 2005. Subsequently, on December 8, 2005, he filed a complaint for illegal (constructive) dismissal, claiming non-payment of benefits and attorney's fees.
The Labor Arbiter (LA) ruled on June 30, 2006, that Gallente was illegally dismissed, ordering BCU to pay him various benefits. The LA concluded that Gallente's resignation was not voluntary and that BCU had effectively coerced him into resigning. The National Labor Relations Commission (NLRC) later partially granted BCU's appeal on November 28, 2007, finding justifiable grounds for Gallente's dismissal based on ...