Powers of Administrative Agencies

1. Quasi-legislative power / Power of subordinate legislation

2. Quasi-judicial power/Power of adjudication
3. Determinative powers (Note: Senator Neptali Gonzales calls them incidental powers)

Definition of “Quasi-legislative power”

It is the authority delegated by the law-making body to the administrative body to adopt rules and
regulations intended to carry out the provisions of a law and implement legislative policy.

Distinctions between Quasi-legislative power and legislative power

1. LEGISLATIVE power involves the discretion to determine what the law shall be.  QUASI-
legislative power only involves the discretion to determine how the law shall be enforced.
2. LEGISLATIVE power CANNOT be delegated.  QUASI-legislative power CAN be delegated.
Tests of Delegation (applies to the power to promulgate administrative regulations )
1. COMPLETENESS test. This means that the law must be complete in all its terms and
conditions when it leaves the legislature so that when it reaches the delegate, it will have
nothing to do but to enforce it.
2. SUFFICIENT STANDARD test.  The law must offer a sufficient standard to specify the limits
of the delegate’s authority, announce the legislative policy and specify the conditions under
which it is to be implemented.

Definition of Quasi-Judicial Power

It is the power of administrative authorities to make determinations of facts in the performance of
their official duties and to apply the law as they construe it to the facts so found. The exercise of
this power is only incidental to the main function of administrative authorities, which is the
enforcement of the law.

Determinative Powers
1. ENABLING powers 

Those that PERMIT the doing of an act which the law undertakes to regulate and would be
unlawful without government approval.

Ex.  Issuance of licenses to engage in a particular business.

2.DIRECTING powers

Those that involve the corrective powers of public utility commissions, powers of assessment
under the revenue laws, reparations under public utility laws, and awards under workmen’s
compensation laws, and powers of abstract determination such as definition-valuation,
classification and fact finding

3. DISPENSING powers
Exemplified by the authority to exempt from or relax a general prohibition, or authority to relieve
from an affirmative duty. Its difference from licensing power is that dispensing power sanctions a
deviation from a standard.

4. SUMMARY powers

Those that apply compulsion or force against person or property to effectuate a legal purpose
without a judicial warrant to authorize such action. Usually without notice and hearing.

Ex. Abatement of nuisance, summary destraint, levy of property of delinquent tax payers

5. EQUITABLE powers

Those that pertain to the power to determine the law upon a particular state of facts. It refers to the
right to, and must, consider and make proper application of the rules of equity.

Ex. Power to appoint a receiver, power to issue injunctions

Kinds of Administrative Regulations

DISTINCTIONS LEGISLATIVE INTERPRETATIVE

1. Capacity that administrative

agency is acting in Legislative Judicial

2. What administrative agency It supplements the statute by

is doing filling in the details It says what the statute means

Legislative regulations have

the force and effecr of law
immediately upon going
into effect. Such is accorded Merely persuasive/Received by
by the courts or by express the courts with much respect but
3. Force and effect provision of statute. not accorded with finality

Requisites of a Valid Administrative Regulation

1. Its promulgation must be authorized by the legislature.
2. It must be within the scope of the authority given by the legislature.
3. It must be promulgated in accordance with the prescribed procedure.
4. It must be reasonable
Need for Previous Notice and Hearing
1. General Rule: Administrative rules of GENERAL application do NOT require previous
notice and hearing.
2. Exception: When the legislature itself requires it and mandates that the regulation shall be
based on certain facts as determined at an appropriate investigation.
3. If the regulation is in effect a settlement of a controversy between specific parties, it is
considered an administrative adjudication, requiring notice and hearing.
Prescribing of Rates

It can be either:
1. LEGISLATIVE

If the rules/rates are meant to apply to all enterprises of a given kind throughout the country.

No prior notice and hearing is required.

2. QUASI-JUDICIAL

If the rules and rates imposed apply exclusively to a particular party, based upon a finding of fact.
Prior notice and hearing is required.

Requirement of Publication
Administrative Regulations that MUST be published:
1. Administrative regulations of GENERAL application.
2. Administrative regulations which are PENAL in nature.
Administrative regulations that do NOT NEED to be PUBLISHED:
1. Interpretative regulations
2. Internal rules and regulations governing the personnel of the administrative agency.
1. Letters of instruction issued by administrative superiors concerning guidelines to be followed
by their subordinates.  (Tanada v. Tuvera)
Special Requisites of a Valid Administrative Regulation with a PENAL
sanction
1. The law itself must make violation of the administrative regulation punishable.
2. The law itself must impose and specify the penalty for the violation of the regulation.
3. The regulation must be published.
Requisites for Proper Exercise of Quasi-Judicial Power
1. Jurisdiction
2. Due process
Administrative Due Process : Requirements
1. Right to Notice, be it actual or constructive
2. Reasonable opportunity to appear and defend his rights and to introduce witnesses
3. Impartial tribunal with competent jurisdiction
4. Finding or decision supported by substantial evidence
Exceptions to the Notice and Hearing Requirement
1. Urgency of immediate action
2. Tentativeness of the administrative action
3. Right was previously offered but not claimed
4. Summary abatement of a nuisance per se
5. Preventive suspension of a public servant facing administrative charges
6. Padlocking of filthy restaurants/theaters showing obscene movies
7. Cancellation of a passport of a person sought for criminal prosecution
8. Summary distraint and levy of properties of a delinquent taxpayer
9. Replacement of a temporary or acting appointee
Questions Reviewable on Judicial Review:
1. Questions of FACT
The general rule is that courts will not disturb the findings of administrative agencies acting within
the parameters of their own competence so long as such findings are supported by substantial
evidence. By reason of their special knowledge, expertise, and experience, the courts ordinarily
accord respect if not finality to factual findings of administrative tribunals.

2. Question of  LAW

Administrative decision may be appealed to the courts independently of legislative permission.

It may be appealed even against legislative prohibition because the judiciary cannot be deprived of
its inherent power to review all decisions on questions of law.

 Doctrine of Finality

Courts are reluctant to interfere with action of an administrative agency prior to its completion or
finality, the reason being that absent a final order or decision, power has not been fully and finally
exercised, and there can usually be no irreparable harm.

EXCEPTIONS:  Interlocutory order affecting the merits of a controversy; Preserve status quo
pending further action by the administrative agency; Essential to the protection of the rights
asserted from the injury threatened; Officer assumes to act in violation of the Constitution and
other laws; Order not reviewable in any other way; Order made in excess of power
Doctrine of Primary Jurisdiction
1. This doctrine states that courts cannot or will not determine a controversy which requires the
expertise, specialized skills and knowledge of the proper administrative bodies because
technical matters of intricate questions of fact are involved.
2. Relief must first be obtained in an administrative proceeding before a remedy will be supplied
by the court even though the matter is within the proper jurisdiction of a court.
Doctrine of Prior Resort

When a claim originally cognizable in the courts involves issues which, under a regulatory scheme
are within the special competence of an administrative agency, judicial proceedings will be
suspended pending the referral of these issues to the administrative body for its view.

Note:  The doctrines of primary jurisdiction and prior resort have been considered to be
interchangeable.

Doctrine of Exhaustion of Administrative Remedies

1. Under this doctrine, an administrative decision must first be appealed to the administrative
superiors up to the highest level before it may be elevated to a court of justice for review.
1. Reasons :
1. to  enable  the  administrative  superiors  to  correct  the  errors  committed  by  their 
subordinates.
2. courts  should  refrain  from  disturbing  the  findings of  administrative. bodies  in 
deference  to  the  doctrine  of  separation  of  powers.
3. courts  should not  be saddled  with  the  review of  administrative  cases
 4. judicial  review  of  administrative cases is usually effected  through  special civil 
actions which are available  only  if  their  is  no other  plain,  speedy and  adequate 
remedy.

3.  Exceptions

a.  when  the question  raised is  purely  legal, involves constitutional questions
b.   when the administrative body is in estopped
c.   when act complained of is patently illegal
d.   when there is urgent need for judicial intervention
e.   when claim involved is small
f.    when irreparable  damage is involved
g.   when there is no other plain, speedy , adequate remedy
h.   when strong public interest is involved
I.    when the subject of controversy is private land
1. in quo warranto proceedings
2. When the administrative remedy is permissive, concurrent
3. utter disregard of due process
4. long-continued and unreasonable delay
5. amount involved is relatively small
6. when no administrative review is provided
7. respondent is a department secretary (DOCTRINE  OF QUALIFIED POLITICAL AGENCY
– ALTER EGO DOCTRINE)

Substantial evidence – defined to mean not necessarily preponderant proof as required in ordinary
civil cases but such kind of relevant evidence which a reasonable mind might accept as adequate
to support a conclusion.

Delegation of Powers

What is Delegation of Powers?

Fundamentally, legislative power is an attribute of sovereignty, in that the
Constitution itself, the fundamental law of the State, is a legislation of the
sovereign people. However, through the Constitution, the people “delegated” the
legislative power to the Congress of the Philippines. Section 1, Article VI states
that “Legislative power shall be vested in the Congress of the Philippines…” The
delegation of power entails a surrender of authority to the representatives, or in
the case of legislative power, to the Congress. Thus, law-making can only be
performed by the Congress, even if the law it enacts involves the people.

What is the Principle of Non-delegation of Powers?

The Congress cannot further delegate the power delegated to it by the people.
This is in keeping with the principle of non-delegation of powers which is
applicable to all the three branches of the government. The rule states that what
has been delegated cannot further be delegated – potestas delegata non delegari
potest. A delegated power must be discharged directly by the delegate and not
through the delegate’s agent. It is basically an ethical principle which requires
direct performance by the delegate of an entrusted power. Further delegation
therefore constitutes violation of the trust reposed by the delegator on the
delegate. The people, through the Constitution, delegated lawmaking powers to
the Congress, and as such, it cannot as a rule delegate further the same to
another.

Exceptions to the Principle of Non-delegation of Powers

Permissible Delegation:
(1) Delegation of tariff powers to the President.

Article 6, Section 28(2). “The Congress may by law authorize the President to fix
within specified limits, and subject to such limitations and restrictions as it may
impose, tariff rates, import and export quotas, tonnage and wharfage dues, and
other duties or imposts, within the framework of the national development
program of the Government.”

- the reason for this delegation is the necessity, not to say expediency, of giving
the chief executive the authority to act immediately on certain matters affecting
the national economy lest delay result in hardship to the people.

(2) Delegation of emergency powers to the President.

Article 6, Section 23(2). “In times of war or other national emergency, the
Congress may by law authorize the President, for a limited period and subject to
such restrictions as it may prescribe, to exercise powers necessary and proper to
carry out a declared national policy. Unless sooner withdrawn by resolution of
the Congress, such powers shall cease upon its next adjournment.”

The conditions for the vesture of emergency powers in the President are the
following:
a. There must be war or other national emergency.
b. The delegation must be for a limited period only.
c. The delegation must be subject to such restrictions as the Congress may
prescribe.
d. The emergency powers must be exercised to carry out a national policy
declared by the Congress.

Important points:
* the emergency powers are self-liquidating unless sooner withdrawn.
* Conferment of emergency powers on the President is not mandatory on the
Congress. The Congress may choose to hold on to its legislative powers and
validly refuse to delegate it.
(3) Delegation to the people at large.
- The Congress further delegates its legislative power by allowing direct
legislation by the people in cases of initiative and referendum.

(4) Delegation to local governments.

- This delegation is based on the principle that the local government is in better
position than the national government to act on purely local concerns.
Legislative power is therefore given to them for effective local legislation.

(5) Delegation to administrative bodies.

- The Congress delegates the so called “power of subordinate legislation” to
administrative bodies. Due to the growing complexity of modern society, it has
become necessary to allow specialized administrative bodies to promulgate
supplementary rules, so that they can deal with technical problems with more
expertise and dispatch than the Congress or the courts. Regulations or
supplementary rules passed by the administrative bodies are intended to fill-in
the gaps and provide details to what is otherwise a broad statute passed by
Congress. For the rules and regulations to be valid and binding, they must be in
accordance with the statute on which they are based, complete in themselves,
and fix sufficient standards. If any of the requirements is not satisfied, the
regulation will not be allowed to affect private rights

The Completeness Test

Ideally, the law must be complete in all its essential terms and conditions when it
leaves the legislature so that there will be nothing left for the delegate to do
when it reaches him except enforce it.

Sufficient Standard Test

It is intended to map out the boundaries of the delegate’s authority by defining
the legislative policy and indicating the circumstances under which it is to be
pursued and effected. The purpose of the sufficient standard is to prevent a total
transference of legislative power from the lawmaking body to the delegate.
 POLICE POWER OF THE STATE

Police power is the state authority to enact legislation that may

interfere with personal liberty or property to promote the general
welfare. It consists of (a) an imposition of restraint upon liberty or
property; (b) in order to foster the common good. It is not capable
of an exact definition, but has been, purposely, veiled in general
terms to underscore its all comprehensive embrace. (Philippine
Association of Service Exporters, Inc. vs. Drilon, GR 81958)

Police power easily outpaces the other two powers. It regulates not
only property, but also the liberty of persons. Police power is
considered the most pervasive, the least limitable, and the most
demanding of the three powers. It may be exercised as long as the
activity or property sought to be regulated has some relevance to
the public welfare. (Gerochi v. Department of Energy, G. R. 159796,
July 17, 2007) 

Generally, police power extends to all the great public

needs. However, its particular aspects are the
following: 
1. Public health 
2. Public morals 
3. Public safety 
4. Public welfare 

Police power is lodged primarily in the national

legislature.  
Exception: By virtue of a valid delegation of legislative
power, it may be exercised by the: 
1. President  
2. Administrative bodies  
3. Lawmaking bodies on all municipal levels, including
the barangay. Municipal governments exercise this
power under the general welfare clause.
(Gorospe, Constitutional Law: Notes and Readings on
the Bill of Rights, Citizenship and Suffrage, Vol. 2.) 

Following are the requisites for the valid exercise of

police power by the delegate? 
1. Express grant by law 
2. Must not be contrary to law 
3. Within territorial limits of LGUs 
     Exception: When exercised to protect water supply
(Wilson v. City of Mountain Lake Terraces, 417 P.2d
632, 1966) 

Nobody can compel the government to exercise

police power.
The exercise of police power lies in the discretion of the
legislative department. The only remedy against
legislative inaction is a resort to the bar of public
opinion, a refusal of the electorate to turn to the
legislative members who, in their view, have been
remiss in the discharge of their duties.  

Courts cannot  interfere with the exercise of police

power. 
If the legislature decides to act, the choice of measures
or remedies lies within its exclusive discretion, as long
as the requisites for a valid exercise of police power
have been complied with.  

Following are the tests to determine the validity of a

police measure: 
1. Lawful subject – The interests of the public generally,
as distinguished from those of a particular class, require
the exercise of the police power 
2. Lawful means – The means employed are reasonably
necessary for the accomplishment of the purpose and
not unduly oppressive upon individuals