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Ricafort, Thea Joan Marie

JD-4C

Case
BENGZON v. INCIONG
Name
Doctrine of Adherence to Jurisdiction/Continuity of Jurisdiction/Residual
Topic
Jurisdiction
Case
No. | G.R. Nos. L-48706-07; 91 SCRA 248, 256 | June 29, 1979
Date
Ponente ANTONIO, J.:
“Where a court has already obtained and is exercising jurisdiction over a
controversy, its jurisdiction to proceed to the final determination of the
cause is not affected by new legislation placing jurisdiction over such
Doctrine
proceedings in another tribunal. The exception to the rule is where the
statute expressly provides or is construed to the effect that it is intended to
operate as to actions pending before its enactment.”
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Link

RELEVANT FACTS:
 The following are the events prior to May 1, 1978, where PD No. 1367 was
promulgated, which amended paragraph (3) of Article 217 of the Labor Code,
basically providing that Regional Directors shall not indorse and Labor Arbiters
shall not entertain claims for moral or other forms of damages:

o [October 24, 1975] Petitioner filed a complaint for illegal dismissal with
Regional Office No. IV of the Department of Labor against respondent Sta.
Ines-Melale Veneer & Plywood Corporation and personally against its Vice-
President, Robert V. Hyde (NLRC Case No. RB-IV-3168-75)
o [March 31, 1976] The Labor Arbiter rendered a decision ordering Sta. Ines to
pay complainant her separation pay while Hyde pays moral and exemplary
damages.
o Both parties appealed before the NLRC but the latter, remanded the case to
the Labor Arbiter [June 1, 1976] for further proceedings on the ground that no
jurisdiction was acquired by it over Hyde as respondent for failure to properly
serve him with summons and a copy of the complaint.
o [July 6, 1976] Petitioner filed an amended complaint with Regional Office No.
IV of the Department of Labor and this was consolidated with the earlier case
that was remanded to the Labor Arbiter.
o [November 18, 1977] Labor Arbiter rendered a decision ordering respondent
Sta. Ines-Melale Veneer & Plywood, Inc., and Robert V. Hyde to pay jointly
and severally complainant Bengzon her separation pay and moral and
exemplary damages. All the parties appealed the decision to the NLRC.
o [February 21, 1978] NLRC rendered a decision en banc, ordering Sta. Ines to
pay backwages, separation pay and moral and exemplary damages, denying
complainant’s claim for reinstatement and absolving Hyde from any liability.
Ricafort, Thea Joan Marie
JD-4C

 [May 24, 1978] Respondent Sta. Ines filed an appeal with the Secretary of Labor
from the decision en banc of the NLRC.
 [July 17, 1978] respondent Deputy Minister of Labor issued an Order affirming
the decision of the NLRC but modifying the same by setting aside the award of
damages on the ground of lack of jurisdiction in accordance with
Presidential Decree No. 1367.
 Hence this petition before the SC.

ISSUE: Whether or not the respondent Deputy Minister gravely abused his discretion
in disclaiming jurisdiction on the issue of damages.
RULING: YES.

The rule is that where a court has already obtained and is exercising jurisdiction over
a controversy, its jurisdiction to proceed to the final determination of the cause is not
affected by new legislation placing jurisdiction over such proceedings in another
tribunal. The exception to the rule is where the statute expressly provides, or is
construed to the effect that it is intended to operate as to actions pending before its
enactment. Where a statute changing the jurisdiction of a court has no retroactive
effect, it cannot be applied to a case that was pending prior to the enactment of the
statute.

To require petitioner to file a separate suit for damages in the regular courts would be
to "sanction split jurisdiction, which is prejudicial to the orderly administration of
justice.

RULING
WHEREFORE, in view hereof, certiorari is granted and the respondent Deputy Minister
of Labor is hereby directed to decide the appeal on the question of moral and exemplary
damages, inviting attention to the fact that in their "Notice and Memorandum of Appeal",
private respondent raised only questions of law and did not impugn the findings of fact
of the NLRC as to the amount of damages. Costs against private respondent.

SEPARATE OPINIONS
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NOTES
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