Case Digest (G.R. No. 178188)
Facts:
- Olympic was granted "Mining Lease Contracts" by the Department of Environment and Natural Resources (DENR) in 1971 and 1980.
- In 2003, Olympic entered into an Operating Agreement with Platinum, giving Platinum exclusive rights to control, manage, and operate mining operations in certain areas for 25 years.
- Olympic attempted to terminate the Operating Agreement in 2006, alleging gross violations by Platinum.
- Olympic sent a termination letter, filed a complaint for injunction, and initiated administrative cases against Platinum.
- Olympic transferred its mining rights to Citinickel without Platinum's knowledge or consent.
Issue:
- (Unlock)
Ruling:
- The RTC of Palawan has jurisdiction over the case.
- The POA does not have jurisdiction over contractual disputes.
- Citinickel is...(Unlock)
Ratio:
- The main issue to be resolved, the validity of Olympic's termination of the Operating Agreement, is a judicial question and not a mining dispute.
- The POA's jurisdiction under Section 77 of the Mining Act of 1995 only applies to disputes involving rights to mining areas or mineral agreements, and not to contractual dispu...continue reading
Case Digest (G.R. No. 178188)
Facts:
The case of Olympic Mines and Development Corp. v. Platinum Group Metals Corp. involves a mining dispute between Olympic Mines and Platinum Group Metals Corp. The dispute is brought before the Regional Trial Court (RTC) of Palawan, which rules in favor of Olympic and determines that the Panel of Arbitrators does not have jurisdiction over contractual disputes.
In 1971 and 1980, Olympic was granted "Mining Lease Contracts" by the Secretary of the Department of Environment and Natural Resources (DENR) covering mining areas located in Palawan. Olympic entered into an Operating Agreement with Platinum in 2003, giving Platinum the exclusive right to control and operate mining operations in certain areas for a period of 25 years. In 2006, Olympic attempted to terminate the Operating Agreement and deprive Platinum of its rights, alleging gross violations of the agreement. Olympic filed various legal actions and administrative cases against Platinum. During this time, Olympic transferred its mining rights to Citinickel without notice to or consent from Platinum. Platinum filed a complaint for quieting of title, damages, breach of contract, and specific performance against Oly...