Title
Associated Anglo-American Tobacco Corp. vs. Clave
Case
G.R. No. 50915
Decision Date
Aug 30, 1990
Petitioner's promotional dealers, lacking capital, were deemed labor-only contractors; SC ruled employer-employee relationship existed, holding petitioner liable for workers' wages and benefits.
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Timeline (G.R. No. 50915)

  1. Promotional Dealership Contracts
    From 1972 to 1974, Associated Anglo-American Tobacco Corporation entered into identical contracts of promotional dealership with three individuals: Epifanio Cabillan, Sofronio Perdigon, and Walfrido Alvarez.

  2. Employment of Respondents
    The dealers hired private respondents as drivers or helpers, who were subsequently dismissed from their positions.

  3. Duration of Employment
    Respondent Guarino worked for 4 months, Marquez for 3 months, Enriquez for 5 months, and San Juan for 1.5 months under the respective dealers.

  4. Filing of Complaint
    On October 15, 1973, the National President of the Associated Federation of Labor (AFL) filed a complaint against the petitioner for unfair labor practices and violations of labor laws.

  5. Petitioner's Denial
    The petitioner corporation denied the existence of an employer-employee relationship with the dismissed employees.

  6. Labor Arbiter's Decision
    The Labor Arbiter ruled that the petitioner was liable for the claims, ordered reinstatement of the employees, and awarded full backwages, except for the unfair labor practice charge.

  7. Appeal to NLRC
    The petitioner appealed the Labor Arbiter's decision to the National Labor Relations Commission (NLRC), which dismissed the appeal.

  8. Secretary of Labor's Affirmation
    On July 8, 1976, the Secretary of Labor affirmed the NLRC's decision.

  9. Elevation to the Office of the President
    The petitioner further elevated the case to the Office of the President, seeking a review of the decisions.

  10. Modification of Backwages
    ...continue reading


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