G.R. No. 196359 - Tan-Andal vs. Andal

Arnulfo A. Sebastian was permanently appointed as Municipal Secretary of Kabasalan, Zamboanga del Sur, effective August 1, 1988.
In April 1992, Sebastian experienced acute gastric ulcer and, following his doctor’s advice, was advised to take several months’ rest from work.
On May 4, 1992, he filed an application for vacation leave covering July 1, 1992 to August 31, 1992 (44 working days) and a sick leave application for September 1, 1992 to December 31, 1992 (88 working days).
Both leave applications were approved by the then Acting Vice-Mayor Jose Cayon, with the condition that the sick leave be granted without pay.
The applications were not submitted to the Municipal Mayor, and Sebastian did not secure any clearance from him.

After the May 1992 local elections, Freddie Chu and Catalino Genito, Jr. assumed office as Mayor and Vice-Mayor, respectively.
On August 25, 1992, Mayor Chu directed Sebastian to report for duty within five days.
Sebastian failed to comply with this directive, prompting a subsequent final notice on October 13, 1992, issuing a warning that continued noncompliance would result in his dropping from the rolls.

On November 3, 1992, Mayor Chu issued a memorandum informing Sebastian that he had been dropped from the municipal plantilla effective October 30, 1992, due to his prolonged unauthorized absences.
Concerned Sangguniang Bayan members intervened by filing a request with Vice-Mayor Genito for Sebastian’s reinstatement as Sangguniang Bayan Secretary.
On March 9, 1994, the CSC Regional Director transmitted his indorsement advising that the Vice-Mayor had the power to reinstate Sebastian, yet Vice-Mayor Genito did not act on this recommendation.

On August 2, 1996, almost four years after his dismissal, Sebastian filed a complaint for illegal dismissal before the Civil Service Commission (CSC) against Mayor Chu and Vice-Mayor Genito.
His complaint asserted that he had been serving as both Municipal Secretary and Sangguniang Bayan Secretary (the latter status being allegedly supported by some Sangguniang Bayan members), and he sought:

In their responses, Vice-Mayor Genito contended that Sebastian was only appointed as Municipal Secretary, while Mayor Chu maintained that Sebastian had abandoned his duties.
On July 23, 1998, the CSC issued Resolution No. 981989 dismissing Sebastian’s complaint on the ground that:

He failed to submit a proper medical certificate to substantiate his illness;
He was absent without leave beyond the approved period and did not inform the Mayor of his status; and
His claim for reinstatement was barred by laches due to the undue delay in filing his complaint.

Sebastian’s subsequent motion for reconsideration was denied on September 4, 2000.

Sebastian filed a petition with the Court of Appeals (CA) under Rule 43, challenging the CSC’s decision on several grounds:

Denial of due process;
Alleged illegal and politically motivated dismissal;
Questioning the authority of the Vice-Mayor versus the Mayor in effecting his dismissal; and
The claim that his petition was barred by laches.

The CSC, through the Office of the Solicitor General, argued that the petition was fatally defective for failing to implead the actual parties-in-interest (i.e. Mayor Chu and Vice-Mayor Genito).
The CA granted Sebastian’s petition, holding that his due process rights were violated when he was dismissed without a proper hearing and that his approved sick leave justified his nonattendance.
However, the CA simultaneously ruled that Sebastian could not be reinstated as Sangguniang Bayan Secretary due to lack of a valid appointment evidence.
A separate petition for certiorari under Rule 65 was filed by the Municipality of Kabasalan and Mayor Chu, questioning the CA’s ruling on the party-impleading issue.
The CA denied motions to admit these parties, emphasizing that the CSC was the proper respondent when no private individual was involved, and held that CSC was estopped from raising the defect.

The petitions (G.R. Nos. 161733 and 162463) were consolidated on April 13, 2004.
Petitioner CSC argued that the real parties-in-interest, namely Mayor Chu and Vice-Mayor Genito, should have been impleaded, asserting that their absence violated due process.
The Supreme Court examined whether the proper parties had been impleaded and, more importantly, whether Sebastian’s dismissal was lawful.
Relying on the premises of procedural rules and the doctrine of laches, the Court evaluated the validity of the approved leave applications, the requirements for medical certification, and the appellant’s delay in seeking relief.

Whether the omission of impleading Mayor Chu and Vice-Mayor Genito as parties-respondents in the CA petition constituted a due process violation.
Which entity or individual is to be recognized as the real party-in-interest in the petition – the CSC or the Municipal Mayor acting in his official capacity.

Whether the dismissal of Sebastian as Municipal Secretary was carried out without affording him procedural due process, specifically in light of the approved leave applications.
Whether Sebastian’s failure to secure a proper medical certificate and clearance from the Municipal Mayor justifies terminating his employment.

Whether Sebastian’s almost four-year delay in pursuing his complaint against the dismissal constitutes laches.
How such delay impacts his right to reinstatement and recovery of backwages and other benefits.

Whether the leave applications approved by the Acting Vice-Mayor (and not by the duly authorized Municipal Mayor for certain types of leave) are legally sufficient to excuse his absence.
The extent to which administrative errors in processing leave affected the legality of his dismissal.