Title
Borromeo vs. Government Service Insurance System
Case
G.R. No. L-11001
Decision Date
Nov 23, 1960
Retired justice Borromeo sought full retirement benefits under RA 1057 after receiving a gratuity under Act No. 2589. SC ruled deduction of prior gratuity legal to prevent double compensation.
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Case Digest (G.R. No. L-11001)

Facts:

  1. Retirement Under Act No. 2589:

    • On December 15, 1949, Fortunato V. Borromeo, then an associate justice of the Court of Appeals, retired under the provisions of Act No. 2589.
    • He received a gratuity totaling P24,000.00.
  2. Application for Retirement Under Republic Act 1057:

    • On August 6, 1954, after the enactment of Republic Act 1057 (amending Act No. 910), Borromeo applied for retirement under its provisions.
    • The Government Service Insurance System (GSIS) found him entitled to retirement benefits under the amended law.
  3. Entitlement and Deduction:

    • Under Section 3 of Republic Act 910, as amended, Borromeo was entitled to a lump sum payment equivalent to his salary for five years, totaling P60,000.00.
    • However, GSIS deducted the P24,000.00 gratuity he had previously received under Act No. 2589.
  4. Legal Action:

    • Borromeo filed a mandamus action in the Court of First Instance of Cebu to compel GSIS to pay the full P60,000.00 without deduction.
    • The trial court upheld the legality of the deduction, prompting Borromeo to appeal.

Issue:

  • Whether the gratuity received by Borromeo under Act No. 2589 is deductible from the retirement benefits he is entitled to under Republic Acts 910 and 1057.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)


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