Title
Tan vs. Bausch and Lomb, Inc.
Case
G.R. No. 148420
Decision Date
Dec 15, 2005
Petitioners charged with trademark infringement for counterfeit RAY BAN sunglasses; jurisdictional dispute between RTC and MTCC resolved in favor of RTC, citing administrative orders. Procedural lapses excused for substantial justice.

Case Digest (G.R. No. 142843)
Expanded Legal Reasoning Model

Facts:

# Background of the Case

  • On April 8, 1997, an information was filed before Branch 21, Regional Trial Court (RTC), Cebu City, against petitioners Andrea Tan, Clarita Llamas, Victor Espina, and Luisa Espina for violating Article 189 of the Revised Penal Code (RPC). The charge involved the distribution and sale of counterfeit RAY BAN sunglasses, which allegedly infringed on the trademark rights of Bausch & Lomb, Inc., the exclusive owner of the RAY BAN trademark.

# Motion to Transfer

  • On January 21, 1998, respondent Bausch & Lomb, Inc. filed a motion to transfer the case to Branch 9, RTC, Cebu City, citing Administrative Order No. 113-95, which designated Branch 9 as a special court for intellectual property rights violations in Region VII.

# Motion to Quash

  • On March 2, 1998, petitioners filed a motion to quash the information, arguing that the RTC lacked jurisdiction over the offense. They contended that the penalty for the crime (prision correccional in its minimum period or a fine) fell within the jurisdiction of the Municipal Trial Court in Cities (MTCC).

# Trial Court's Ruling

  • On December 22, 1998, the trial court denied the motion to transfer and granted the motion to quash. It ruled that the offense fell under the jurisdiction of the MTCC, not the RTC. The court also held that Administrative Orders Nos. 113-95 and 104-96 could not override the provisions of Batas Pambansa Blg. 129, which defined the jurisdiction of courts.

# Respondent's Petition for Certiorari

  • Respondent did not appeal or file a motion for reconsideration but instead filed a petition for certiorari in the Court of Appeals on March 23, 1999, one day beyond the reglementary period. The appellate court granted the petition, vacated the trial court's order, and directed the transfer of the case to Branch 9, RTC, Cebu City.

Issues:

  • Whether the Court of Appeals erred in giving due course to the petition for certiorari despite respondent's procedural lapses (failure to appeal or file a motion for reconsideration and filing the petition one day late).
  • Whether the Court of Appeals erred in reversing the trial court's ruling that the RTC lacked jurisdiction over the offense of unfair competition under Article 189 of the Revised Penal Code.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Conclusion:

  • The Supreme Court upheld the appellate court's decision, emphasizing the importance of adhering to administrative orders issued to streamline the judicial process and ensure the efficient handling of intellectual property cases. Procedural lapses were excused in the interest of substantial justice, and the trial court's erroneous ruling on jurisdiction was corrected.

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