Facts:

• Petitioner: Raymundo Transportation Co., Inc.
• Respondent: Victorino Cervo
• Date and place: Not specified
• Victorino Cervo obtained an emergency certificate of public convenience to operate one auto-truck from Pililia to Manila after the liberation of the Philippines.
• The emergency certificate was later extended indefinitely.
• Cervo filed a petition to convert his emergency certificate into a permanent one.
• Raymundo Transportation Co., Inc. opposed the application, arguing that there was no need for additional service on the Pililia-Manila line and that granting the certificate to Cervo would lead to ruinous competition.
• The Public Service Commission granted the permanent certificate to Cervo.
• Raymundo Transportation Co., Inc. filed a motion for reconsideration, which was denied.
• Raymundo Transportation Co., Inc. filed a petition for review before the Supreme Court.

Issue:

• (Unlock)

Ruling:

• The Supreme Court ruled in favor of Cervo and affirmed the decision of the P...(Unlock)

Ratio:

• The delegation of authority to receive evidence to the Chief Attorney of the Public Service Commission was not legally permissible.
• However, Raymundo Transportation Co., Inc. could not raise this issue for the first time on appeal.
• The Public Service Commission has the authority to grant additional permits to operate on the same line if public necessity demands it.
• Competition, if wholesome and constructive, should be allowed as it promotes satisfaction and efficiency in the management and operation of the public service.
• There was no showing that the competition would be ruinous or prejudicial to Raymundo Transportation Co., Inc.
• Depriving Cervo of the privilege already enjoyed by him after investing money and eff...continue reading