15. Supreme Court Decisions, Perez v. City Mayor of Cabanatuan et al. - Justice De Leon.pdf
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- Xi Em'.IU.110 i!t. J>l#"cz, l-'i.titione-r-<1ppella11t, ti•. Th~ Cit11 Ma.-;;o-r o/ v<U1<£1i<U11an, ct ac, Ho11pondent-aµpellees, (j.R. No. L-1C71JG, Octobo,. 41, J9GJ, De Leon, J. L. SECRETARY OP HEALTH; SUPERVISION AND CON· TROL OF GOVERNMENT HOSPITALS; AND REGULATIONS TO GOVERN HOSPITAL FINANCING.- Section 7 of the Hospital Financing Law (Republic Act No. 1939) vests upon the Socretarf of Health the supervision and control ovcr .nJI the gc.venunent hospitals established and c.perated un~'.e!' the Act and t>mpowers him to prJmulgate rules and reguhtt.ions to implement its provisions. Pursuant to this sectim1, the said Secretary has pl'Omuigatcd rules and regulations, (Circular No. 262 of the Dcpsrtment of Health, c!ated ~uly 24, l~liB) ..o govern h.ospit!\l tinan::rn~. 2. ID.; FUNDS FOR THF. CONSTRUCTION OF PROVINCI&.I HOSPITAL; MANDAMUS; DOCTRINE OF EXHAUSTION OF ADMINISTRATIVE REMEDIES.- Circular No. 262. De· partmer.t of Health, ds.ted July 24, 1958 dearly specifies tJ-,, proper course and the particular official of the Departnwrt of Health who, with the Auditor General, may pursue the saiC cour;;e whrmcvor any province, ci!y and/or municipality fail~ to pr-o\•ide an<l. 1"emit their respC'Ctive contributions· unde1· t1H' Hospital Financing Law. There is no mention whatsoever that t!ic chief of a provincial hospital may bring any actic.n aga?n.'lt the province, city and/ or municipality concerned in ordc1· ·Urnt the lat.let may be made to give their contriOutions. Unr l'e1· the citcumr.tances of the p:·esent case, the most that the ~ere· in pt>titicncr could do is to report to his superior official t~r failure of respondents to set aside the amount \hat the City o! Cabanatuan is obliged to give for the support of the provind:.il hospital of which he is the chief. The reco1·d does not sP.ow that petitioner had taken this step !:>cfore coming to court. .. HELD: There b-:!ing an appropriate administrative re· med¥ - plain, speedy and adequate - that cl•uld have firi;:t been availed of by petitioner, his action for mandamus is, therefore, premature. Special civil actions have been held nut entertain.able if superior administ i·ative officers could grant rdic{ (Peralta vs. Salcedo, G.R. No. L-10771, A1iril 30, 19Vi l. In other words, no n~eours~ to the cuurts can be had until :111 ndminist.rative remedies have been exhausted. DE C I S I ON This is an appeal from a decision of the Court of l<~irst In· i<tance of Nuova Ecija, dismissi:lg a petition for mandamus seeking to C()mpel the respondents to appropriate the sum of P24,983.12 from the gcnt-ral fund of Cabanatuan City to be paid to the Nue. va Ecija Provincial Hospital. In his petition, the Chief of the NU(•Va Ecija Provincial Ho!lpital, who claims to be. the officer bound by law to administer and prote.::t the interests of said' hospital alleged that under section 2(a) of Republic Act No. 1939, otherwise known as the Hospital Fin:mcing Law, which took effect on June 22, 1957, the City of Ct1· b:matuan is under obligati!m tn appropriate by ordinance at Jea:;:c! 7 "/o of its annual general income as <'ontribution for the SUJlfl.irl of the hospital; that, accordingly, for the fiscal y.:ur 1957-58, th,. :1mount of P34,983.12 i\hould huve been appropriated by the city ·council for that purpose because the city then had an annual ~11ernl inco,;..e of P555,700.00, but 0nly Pl0,000.00 ot s~id amount wa~ ~ct asid.i, leaving a deficiency of P24,~83.l2. It is this last mf'll· tioneJ ~mount that is the obje::C of th·~ action for mandamus a "!ainst the City Mayor, the Municip:i.;· BoaJ'(l and the City Treasure1· of l'abanatuan. After the filing of the answer by the respou<lents, the cri~e \1as 5ubmitted for judirmcnt on the pleadings Wht-reupon, th" IC'wcr cou1·t rendered judgment dismissing the petition on the i:rounil that the petitioner is not the real party in interest. Insisting that he has the riirht to brini;: the action for mandamus, the petitioner has appealed directly to thi; Court. The appeal cannot prosper. Section 7 of the Hospital Financini;: Law vests upon the SC'Cretary of Heslth the supervision and control over 1:11 the government hospitals established and operated unde.r th~ Act and ernpowers him to promulgate rules and regulations to implement its provisions. Pursuant to this section, the said Secretary has prnmulgated rules and regulations (Circular No. 262 of the Department of Health, dated J uly 24, 1958) to govern hospital· financing. It is provided under section 3(c) thereof that: "(c) In case of failure on the part of th~ province, cit.y and/or muncipality concerned to p?"ovide for ~nd remit their 1e!>pectivl· obligat:ons, as provid<·d for in se :.tions 2(a) and 2 (2) of the Act, the Secretary of Finance, upon reeommeTidatton of the Secretary of Hc:alth and the Auditor General, Jhall order the withholrling of the amount needed from their re~ pectivc shares in the Internal Revenue al!'otmer..ts." The above-quoted rule clearly specifies the proper course end the particular official of the Department of Health who, with thr. An· ditor General, may pul'sue the said co•.1rse whenever any province, city and'/or municipality fails to provide and remit their respeo:tive cont1·ibutions under the Hospital Financing Law. There is no mention whatsoever that the ·chief of a provincial hospital may bring any action against the province, city and/or municipality concerned in order that the lattc>r may be made to give their contributions. , Under the cir<:umstan<"es of the present case, the most that thP hei·Cin petitioner could do is to report to hi! superior official !.ht• fuilurc of respondents to wt aside the amount that the City fl( Cubanatu~n i!: obliged to give for the support ..,r the provinri:ll hospita l of which he is the chief. The record does not show th11.t pC'titione1· has taken this $tC!> before coming to court. The!'e Lcing an approp1·iate administrutive tC'medy - plnin, speedy ';lnd P.dequate - that could have first been availed of by petitioner, hir. action for mandamus is, therefore, premature. Speciat civil acfi,~nf\ have been held not entel'lainable if superior aclministl'ative offil'nr. could grant 1elief (Peralta vs. Salcedo, C.R. No. L-10771, Ap?·il 30, 1!)57). In other words, no recourse to the courts can be had imlil a:J 11.dministrative r emedies have been exhausted (Peralta vs. Salcedo. G.R. No. L-10771, snpra.: Panti vs. The Provincial Board of Catanduanes, G.R. No. L-14047, Jnnuary 30, 1960; Booe vs. Osmciin, Jr., G.R. No. L-14810, May 31, 1061; De la Tcirre V !'. Trinidad, G.R. No. L-14907, May 31, 19GO). In view of the foregoing, the decision Of the \·ower C(lUrt clis· missing the petition for mnndumus is hneby affirmed, without p1·011ouncemcnt as to costs. PUA.lifki, Bmttislf• A nyelo, Lcibrador, Concepcio~, ,J.B.L. R ... yu, Pnredes ancl Dizon, JJ .. concuned. /Jrtrre1'1l, J., took no pat-t. XII Hou ri uf Uq11i1/Jitors, Peti.tioner-Appellant, vs. f:xel111iel F/ol'o, et al., Ovvo1Jilo1s-.Appell,.t.~. C.R . . "Vo. f,.J.5155, n,,c. 29, 1960, Rew•s, I Bl, J 1. B6ND ; IT STANDS A~ GUARANTY FOR A PRINCIPAL OULJGP. TJON.- A bond merely iotands a~ s uaranty for 3 principal obligation which may f'xist indf!pende.ntly or s-tlid bond, the latter being mereJy a11 ac<·css~ry contract. 2. NOVATION; HEQUISITES. - N<Jvation is never presumed, it i:t(:i1~g ref!uircd that the intent to novate hf' eJ:prcssed cle:\1 ·ly a11d unequivocally, oi· that arms uf the new agreement be in· compatiblC' with the old contract. .'.!. ID.; EXTEN~iON OF PERIOD OF PAYMENT OR PEI!· PORJ\!ANCE NOT NOVATION.- A mere "xtension o' the term (pe1 iod) for payment ot· pcrfo1·ma11ce is not novation. 1 1. INSOLVENCY; PROCEEDINGS TO S~T ASIDE f<'RAU P· U LENT TRANSFERS BE BROUGHT BY ASSIGNEE.--U11der sectiun 36, No. 8, of the Insolvency Act, all proceeding~ to set aside fraud'u.lent trar.sfers should ·be brought and p:-r, secuted b~- the assigi1e.e, who cnn ]('~n\ly !'('J,l'esC'nt 2.lt the crMi~Novc:mber 30, 1961 LA WYERS a-OURNAL Page 345
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- 1961
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