Case Digest (G.R. No. 217158) Core Legal Reasoning Model
Core Legal Reasoning Model
Facts:
On March 27, 2015, GIOS-SAMAR, Inc., through its Chairperson Gerardo M. Malinao, filed an original petition for prohibition directly with the Supreme Court against the Department of Transportation and Communications (DOTC) and the Civil Aviation Authority of the Philippines (CAAP), challenging their decision to bundle six regional airport projects into two packages for competitive bidding. On December 15, 2014, the DOTC and CAAP posted an Invitation to Pre-qualify and Bid for the development, operations, and maintenance of the Bacolod-Silay, Davao, Iloilo, Laguindingan, New Bohol (Panglao), and Puerto Princesa Airports under concession agreements lasting thirty years, at a total estimated cost of ₱116.23 billion. On March 10, 2015, the Instructions to Prospective Bidders (ITPB) grouped the six airports into Bundle 1 (Bacolod-Silay and Iloilo, ₱50.66 billion) and Bundle 2 (Davao, Laguindingan, and Panglao, ₱59.66 billion), excluding Puerto Princesa. Pre-qualification queries were Case Digest (G.R. No. 217158) Expanded Legal Reasoning Model
Expanded Legal Reasoning Model
Facts:
- Parties and Procedural Posture
- GIOS-SAMAR, Inc., represented by its Chairperson Gerardo M. Malinao (“Petitioner”), a non-governmental organization of subsistence farmers and fisherfolk from Samar, filed an original petition for prohibition before the Supreme Court on March 27, 2015.
- Respondents are the Department of Transportation and Communications (DOTC) and its attached agency, the Civil Aviation Authority of the Philippines (CAAP).
- Invitation to Bid and Bundling of Airport Projects
- On December 15, 2014, respondents posted an Invitation to Pre-qualify and Bid for airport development, operations, and maintenance of six regional airports, with a total project cost of P116.23 billion.
- On March 10, 2015, respondents issued Instructions to Prospective Bidders, grouping the six airports into two bundles:
- Bundle 1 (Bacolod-Silay and Iloilo): P50.66 billion
- Bundle 2 (Davao, Laguindingan, New Bohol-Panglao): P59.66 billion
- Puerto Princesa airport was excluded from the bundling scheme.
- Petitioner’s Allegations
- Bundling violates Section 11, Article XII of the 1987 Constitution (anti-dummy and equal-opportunity clauses), as it allegedly allows questionable companies to enter via consortiums.
- Bundling contravenes Section 19, Article XII of the Constitution (anti-monopoly and anti-restraint of trade), purportedly creating market combinations beyond the capability of medium-sized Filipino firms.
- Petitioner asserted grave abuse of discretion by the Pre-Qualification, Bids and Awards Committee (PBAC) in bundling without legal authority.
- Petitioner claimed irreparable injury to the public treasury, seeking a temporary restraining order and/or writ of preliminary injunction.
- Respondents’ Defenses
- DOTC argued the petition was premature (no bidding yet), lacked standing, raised speculative constitutional violations, and that bundling did not violate anti-monopoly or anti-dummy provisions.
- CAAP contended petitioner bypassed the hierarchy of courts, should have sued first in the trial court, and lacked cause of action and authority to sue.
- Petitioner’s Reply
- Urged that waiting for bidding would moot the relief, noting five groups were already pre-qualified.
- Reiterated transcendental importance and asserted legal standing through its representative.
Issues:
- Jurisdictional and Procedural
- Whether the petition for prohibition, filed directly in the Supreme Court under its original jurisdiction, was proper despite the doctrine of hierarchy of courts.
- Constitutional Merits
- Whether the bundling of the six airport projects is unconstitutional for:
- Violating the anti-dummy and equal-opportunity clause (Section 11, Art. XII).
- Creating a monopoly or combination in restraint of trade (Section 19, Art. XII).
- Constituting grave abuse of discretion by the PBAC.
- Perpetrating undue restraint of trade and injuring medium-sized Filipino companies.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)