Title
Euro-Med Laboratories, Phil., Inc. vs. Province of Batangas
Case
G.R. No. 148106
Decision Date
Jul 17, 2006
Euro-Med Laboratories sued Batangas Province for unpaid IVF supplies. The Supreme Court ruled COA, not RTC, has primary jurisdiction over the money claim, affirming dismissal.

Case Digest (G.R. No. 150107)

Facts:

  • Parties
    • Petitioner: Euro-Med Laboratories, Philippines, Inc., represented by Leonardo H. Toribio
    • Respondent: Province of Batangas, represented by Governor Hermilando I. Mandanas
  • Nature of the Claim
    • From 19 August 1992 to 11 August 1998, petitioner delivered Intravenous Fluids (IVF) products to various government hospitals in Batangas City
    • Purchases evidenced by invoices duly signed by respondent’s authorized representatives
    • Unpaid balance as of 28 February 1998: ₱487,662.80
  • Pre-litigation Efforts
    • Under the terms of the invoices, respondent agreed to pay without need of demand
    • Petitioner made several demands and held dialogues to collect payment, all to no avail
  • Trial Court Proceedings
    • Respondent’s Answer: Admitted deliveries but disputed the amount due, asserting some payments were unreflected and promising to ascertain the true balance
    • At the close of petitioner’s evidence, respondent filed a motion to dismiss for lack of jurisdiction, invoking the doctrine of primary jurisdiction in favor of the Commission on Audit (COA)
    • RTC Orders:
      • 7 March 2001 – Dismissal without prejudice, directing petitioner to file its money claim with the COA
      • 16 May 2001 – Denial of petitioner’s motion for reconsideration
  • Petition to the Supreme Court
    • Petitioner filed a petition for review on certiorari under Rule 45 in relation to Rule 41, Sec. 2(c) of the Rules of Court
    • Question presented: Whether the COA or the RTC has primary jurisdiction over petitioner’s money claim against the Province of Batangas

Issues:

  • Which forum—COA or RTC—has primary jurisdiction to hear and decide petitioner’s money claim against a local government unit?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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