Cortal vs. Larrazabal
Cortal vs. Larrazabal
Cortal vs. Larrazabal
THIRD DIVISION
DECISION
LEONEN, J.:
Procedural rules must be faithfully followed and dutifully enforced. Still, their application
should not amount to "plac[ing] the administration of justice in a straightjacket."1 An
inordinate fixation on technicalities cannot defeat the need for a full, just, and equitable
litigation of claims.
This resolves a Petition for Review on Certiorari2 under Rule 45 of the 1997 Rules of
Civil Procedure, praying that the assailed September 30, 20103 and September 7,
20114 Resolutions of the Court of Appeals in CA-G.R. SP No. 04659 be reversed and set
aside, and that the Court of Appeals be directed to give due course to the dismissed
appeal of Alfonso Singson Cortal, Juanito Singson Cortal, Nenita Codilla, Generoso
Pepito Longakit, Ponciana Batoon, and Gregoria Sabroso (petitioners).
The assailed Court of Appeals September 30, 2010 Resolution dismissed petitioners'
appeal under Rule 43 of the 1997 Rules of Civil Procedure on account of several
technical defects. First was an inconsistency between the listing of petitioners' names in
their prior Motion for Extension of Time and subsequent Petition for Review, in which
the accompanying verification and certification of non-forum shopping were laden with
this same inconsistency and other defects. Second was the non-inclusion of the original
Complaint filed by the adverse party, now private respondent Inaki A. Larrazabal
Enterprises, before the Regional Agrarian Reform Adjudicator of the Department of
Agrarian Reform. And last was petitioners' counsel's failure to indicate the place of issue
of the official receipt of his payment of annual membership dues to the Integrated Bar
of the Philippines.5
The assailed Court of Appeals September 7, 2011 Resolution denied petitioners' Motion
for Reconsideration.6
In 1988, these three (3) parcels were placed under the Compulsory Acquisition Scheme
of Presidential Decree No. 27, as amended by Executive Order No. 228. Pursuant to the
Scheme, Emancipation Patents and new transfer certificates of title were issued to
farmer-beneficiaries, petitioners included.8
In 1999, Larrazabal Enterprises filed its Action for Recovery of these parcels against the
Department of Agrarian Reform and the petitioners before the Office of the Regional
Adjudicator, Department of Agrarian Reform Adjudication Board (DARAB).9 It assailed
the cancellation of its transfer certificates of title and the subsequent issuance of new
titles to petitioners. It alleged that no price had been fixed, much less paid, for the
expropriation of its properties, in violation of the just compensation requirement under
Presidential Decree No. 27, as amended. Thus, it prayed for the recovery of these lots
and the cancellation of petitioners' transfer certificates of title.10
Petitioners appealed to the DARAB. In its September 16, 2008 Decision,16 the DARAB
reversed the Decision of Regional Adjudicator Diloy.17 It ruled that Larrazabal
Enterprises' action, which was filed in 1999, was already barred by prescription and
laches, as the assailed Emancipation Patents were issued in 1988.18 It likewise gave
credence to the certificates issued by Landbank, which confirmed the payment of just
compensation.19
Larrazabal Enterprises filed a Motion for Reconsideration. In its September 30, 2009
Resolution,20 the DARAB reversed its own decision and granted Larrazabal Enterprises'
Motion for Reconsideration.21 It justified its ruling by saying that Larrazabal Enterprises
had been denied due process when the parcels were taken from it without having been
given just compensation.22
Petitioners then filed a Petition for Review before the Court of Appeals. In its assailed
September 30, 2010 Resolution,23 the Court of Appeals dismissed their Petition for the
following formal errors:
a. the name of Raymundo Claros Codilla was indicated in the Motion for
Extension of Time to File Petition for Review as one of the petitioners, but
in the Petition for Review and in the Verification and Certification of Non-
Forum Shopping, his name was no longer indicated[;]
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
d. counsel for the petitioners, Atty. Norjue I. Juego did not indicate the place
of issue of his [Integrated Bar of the Philippines] number.24
Following the dismissal of their Petition for Review, petitioners filed a Motion for
Reconsideration. In its assailed September 7, 2011 Resolution,25 the Court of Appeals
denied petitioners' Motion for Reconsideration.
For resolution of this Court is the sole issue of whether or not the dismissal of
petitioners' appeal was justified by the errors noted by the Court of Appeals.
It was not.
Nevertheless, appeal has been recognized as an important part of our judicial system
and courts have been advised by the Supreme Court to cautiously proceed to avoid
inordinately denying litigants this right.30
II
Procedural rules "are tools designed to facilitate the adjudication of cases [so] [c]ourts
and litigants alike are thus enjoined to abide strictly by the rules."31 They provide a
system for forestalling arbitrariness, caprice, despotism, or whimsicality in dispute
settlement. Thus, they are not to be ignored to suit the interests of a party.32 Their
disregard cannot be justified by a sweeping reliance on a "policy of liberal
construction."33
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
Still, this Court has stressed that every party litigant must be afforded the fullest
opportunity to properly ventilate and argue his or her case, "free from the constraints
of technicalities."34 Rule 1, Section 6 of the Rules of Court expressly stipulates their
liberal construction to the extent that justice is better served:
Section 6. Construction. - These Rules shall be liberally construed in order to promote
their objective of securing a just, speedy and inexpensive disposition of every action
and proceeding.
Procedural rules may be relaxed for the most persuasive of reasons so as to relieve a
litigant of an injustice not commensurate with the degree of his thoughtlessness in not
complying with the procedure prescribed.35 This Court has noted that a strict application
of the rules should not amount to straight-jacketing the administration of justice36 and
that the principles of justice and equity must not be sacrificed for a stern application of
the rules of procedure.37 In Obut v. Court of Appeals:38
We cannot look with favor on a course of action which would place the administration of
justice in a straightjacket for then the result would be a poor kind of justice if there
would be justice at all. Verily, judicial orders, such as the one subject of this petition,
are issued to be obeyed. nonetheless a non-compliance is to be dealt with as the
circumstances attending the case may warrant. What should guide judicial action is the
principle that a party-litigant is to be given the fullest opportunity to establish the
merits of his complaint or defense rather than for him to lose life, liberty, honor or
property on technicalities.39 (Emphasis supplied)
In Barnes v. Padilla,44 this Court relaxed the 15-day period to perfect an appeal to serve
substantial justice; and identified situations justifying a liberal application of procedural
rules:
[T]his Court has relaxed this rule in order to serve substantial justice considering (a)
matters of life, liberty, honor or property, (b) the existence of special or compelling
circumstances, (c) the merits of the case, (d) a cause not entirely attributable to the
fault or negligence of the party favored by the suspension of the rules, (e) a lack of any
showing that the review sought is merely frivolous and dilatory, and (f) the other party
will not be unjustly prejudiced thereby.45
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
A petition for review filed out of time was entertained by this Court in Yong Chan Kim v.
People46 as it considered the strict application of the rules as unjustly depriving the
accused of his liberty. It appeared that no party stood to suffer substantial injury if the
accused were to be extended an opportunity to be heard.47
Telan v. Court of Appeals48 gave due course to a belatedly filed petition. Finding that
the petitioners were assisted by someone who misrepresented himself to be a lawyer, it
held that denying an opportunity for relief to petitioners, despite the misrepresentation,
was tantamount to depriving them of their right to counsel.49 It underscored that in
criminal cases, the right to counsel is immutable as its denial could amount to a
peremptory deprivation of a person's life, liberty, or property.50 It stated that the right
to counsel was just as important in civil cases:51
There is no reason why the rule in criminal cases has to be different from that in civil
cases. The preeminent right to due process of law applies not only to life and liberty but
also to property. There can be no fair hearing unless a party, who is in danger of losing
his house in which he and his family live and in which he has established a modest
means of livelihood, is given the right to be heard by himself and counsel.52
III
Judgments and final orders of quasi-judicial agencies are appealed to the Court of
Appeals through petitions for review under Rule 43 of the 1997 Rules of Civil Procedure.
Rule 43 was adopted in order to provide uniform rules on appeals from quasi-judicial
agencies.53
Rule 43 appeals shall be taken through the filing of a verified petition for review with
the Court of Appeals,54 within 15 days from notice of the appealed action.55
In its assailed September 30, 2010 Resolution, the Court of Appeals dismissed
petitioners' appeal for purely formal defects and without discussing the merits of the
case:56
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
After a cursory examination of the instant Petition for Review filed by petitioner under
Rule 43 of the 1997 Rules in Civil Procedure, the same reveals the following defects:
a. the name of Raymundo Claros Codilla was indicated in the Motion for Extension
of Time to File Petition for Review as one of the petitioners, but in the Petition for
Review and in the Verification and Certification of Non Forum Shopping, his
name was no longer indicated[;]
c. petitioners failed to attach the copy of the Complaint filed by respondent Inaki A.
Larrazabal Enterprises before the Office of the Regional Adjudicator, Tacloban
City, docketed as DARAB Case No. E.O. No. 288 (sic); and
d. counsel for the petitioners, Atty. Norjue I. Juego did not indicate the place of
issue of his [Integrated Bar of the Philippines] number.57
Contrary to the Court of Appeals' conclusion, this Court does not consider these defects
to have been so fatal as to peremptorily deny petitioners the opportunity to fully
ventilate their case on appeal.
IV.A
Rule 7, Sections 4 and 5 of the 1997 Rules of Civil Procedure articulate the basic rules
concerning the verification of pleadings and their accompaniment by a certification of
non-forum shopping:
Section 4. Verification. - Except when otherwise specifically required by law or rule,
pleadings need not be under oath, verified or accompanied by affidavit.
A pleading is verified by an affidavit that the affiant has read the pleading and that the
allegations therein are true and correct of his knowledge and belief.
Section 5. Certification Against Forum Shopping. - The plaintiff or principal party shall
certify under oath in the complaint or other initiatory pleading asserting a claim for
relief, or in a sworn certification annexed thereto and simultaneously filed therewith:
(a) that he has not theretofore commenced any action or filed any claim involving the
same issues in any court, tribunal or quasi-judicial agency and, to the best of his
knowledge, no such other action or claim is pending therein; (b) if there is such other
pending action or claim, a complete statement of the present status thereof; and (c) if
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
he should thereafter learn that the same or similar action or claim has been filed or is
pending, he shall report that fact within five (5) days therefrom to the court wherein his
aforesaid complaint or initiatory pleading has been filed.
Failure to comply with the foregoing requirements shall not be curable by mere
amendment of the complaint or other initiatory pleading but shall be cause for the
dismissal of the case without prejudice, unless otherwise provided, upon motion and
after hearing. The submission of a false certification or non-compliance with any of the
undertakings therein shall constitute indirect contempt of court, without prejudice to
the corresponding administrative and criminal actions. If the acts of the party or his
counsel clearly constitute willful and deliberate forum shopping, the same shall be
ground for summary dismissal with prejudice and shall constitute direct contempt, as
well as a cause for administrative sanctions.
An affiant verifies a pleading to indicate that he or she has read it and that to his or her
knowledge and belief, its allegations are true and correct and that it has been prepared
in good faith and not out of mere speculation.58 Jurisprudence has considered the lack
of verification as a mere formal, rather than a jurisdictional, defect that is not fatal.
Thus, courts may order the correction of a pleading or act on an unverified pleading, if
the circumstances would warrant the dispensing of the procedural requirement to serve
the ends of justice.59
3) Verification is deemed substantially complied with when one who has ample
knowledge to swear to the truth of the allegations in the complaint or petition
signs the verification, and when matters alleged in the petition nave been made
in good faith or are true and correct.
5) The certification against forum shopping must be signed by all the plaintiffs or
petitioners in a case; otherwise, those who did not sign will be dropped as
parties to the case. Under reasonable or justifiable circumstances, however, as
when all the plaintiffs or petitioners share a common interest and invoke a
common cause of action or defense, the signature of only one of them in the
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
In Cavile v. Heirs of Clarita Cavile,66 this Court held that the signing by only one (1) of
the 22 petitioners on the certificate of non-forum shopping67 was substantial compliance
as the petitioners had a common interest in the property involved, they being relatives
and co-owners of that property.68
In the same vein, the inclusion of Raymundo Claros Codilla (Codilla) in the Motion for
Extension of Time to File Petition for Review but not in the Petition for Review and in
the verification and certificate of non-forum shopping73 should not have been fatal to
petitioners' appeal. The defective verification amounted to a mere formal defect that
was neither jurisdictional nor fatal and for which a simple correction could have been
ordered by the Court of Appeals.74 Petitioners here, too, are acting out of a common
interest. Even assuming that a strict application of the rules must be maintained, the
Court of Appeals could just as easily have merely dropped Codilla as a party instead of
peremptorily and indiscriminately foreclosing any further chance at relief to those who
had affixed their signatures.75
IV.B
Equally not fatal to petitioners' appeal was their supposed failure to show competent
evidence of identities in their petition's verification and certification of non-forum
shopping.
Rule IV, Section 2(b)(2) of the 2004 Rules on Notarial Practice76 stipulates that a notary
public is not to perform a notarial act if the signatory to the document subject to
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
....
(b) A person shall not perform a notarial act if the person involved as signatory to the
instrument or document -
. . . .
(2) is not personally known to the notary public or otherwise identified by the notary
public through competent evidence of identity as defined by these Rules.
Competent evidence of identity enables the notary to "verify the genuineness of the
signature of the acknowledging party and to ascertain that the document is the party's
free act and deed."77 Rule II, Section 12 of the 2004 Rules on Notarial Practice
elaborates on what is "competent evidence of identity":
Section 12. Competent Evidence of Identity. - The phrase "competent evidence of
identity" refers to the identification of an individual based on:
(a) at least one current identification document issued by an official agency bearing the
photograph and signature of the individual, such as but not limited to, passport, driver's
license, Professional Regulations Commission ID, National Bureau of Investigation
clearance, police clearance, postal ID, voter's ID, Barangay certification, Government
Service and Insurance System (GSIS) ecard, Social Security System (SSS) card, Philhealth
card, senior citizen card, Overseas Workers Welfare Administration (OWWA) ID, OFW ID,
seaman's book, alien certificate of registration/immigrant certificate of registration,
government office ID, certification from the National Council for the Welfare of Disabled
Persons (NCWDP), Department of Social Welfare and Development (DSWD) certification;
or
(b) the oath or affirmation of one credible witness not privy to the instrument, document or
transaction who is personally known to the notary public and who personally knows the
individual, or of two credible witnesses neither of whom is privy to the instrument, document
or transaction who each personally knows the individual and shows to the notary public
documentary identification.78
As is evident from Rule IV, Section 2(b)(2) of the 2004 Rules on Notarial Practice, the
need for a competent evidence of identity is not an absolute requirement. It is
imperative only when the signatory is not personally known to the notary.79 When the
signatory is personally known to the notary, the presentation of competent evidence of
identity is a superfluity.
requirement, affecting merely the form of the pleading such that non-compliance
therewith does not render the pleading fatally defective. It is simply intended to provide
an assurance that the allegations are true and correct and not a product of the
imagination or a matter of speculation, and that the pleading is filed in good faith. The
court may in fact order the correction of the pleading verification is lacking or it may
act on the pleading although it may not have been verified, where it is made evident
that strict compliance with the rules may be dispensed so that the ends of justice may
be served.81 (Emphasis supplied, citation omitted)
In Coca-Cola Bottlers Philippines, Inc. v. Dela Cruz,82 the petitioner bewailed the notary
public's failure to "indicate that the affiants were personally known to the notary public,
[or to] identify the affiants through competent evidence of identity other than their
community tax certificate."83
The petitioner's objection, while correctly pointing out a deficiency, failed to convince
this Court that a fatal defect existed:
[T]he defect is a technical and minor one; the respondents did file the required
verification and certification of non-forum shopping with all the respondents properly
participating, marred only by a glitch in the evidence of their identity. In the interest of
justice, this minor defect should not defeat their petition and is one that we can
overlook in the interest of substantial justice[.]84
In this case, the Court of Appeals' bare reference to petitioners' inadequate proof of
identity does not justify the outright denial of their appeal. The Court of Appeals failed
to absolutely discount the possibility that petitioners may have been personally known
to the notary public, especially considering that, by that advanced stage in litigating
their claims, they must have already verified several pleadings, likely before the same
notary public.
It is true that the notary public failed to categorically indicate that petitioners were
personally known to him.85Coca-Cola demonstrates, however, that even if this were the
case, the notary public's lapse is not fatal. While the circumstances were concededly
less than ideal, Coca-Cola did not obsess on how only community tax certificates were
indicated in the verification and certification of non forum shopping.86
This Court elects to be liberal here, as it was in Coca-Cola. Even conceding the lapses
noted by the Court of Appeals, petitioners had not gotten themselves into an
irremediable predicament. This Court repeats that, ultimately, a defective verification is
merely a formal and not a fatal, jurisdictional defect, which could have very easily been
ordered corrected.87 As to the defective certification of non-forum shopping, the greater
cause of justice should have impelled the Court of Appeals, as this Court implored
in Altres v. Empleo,88 to have at least enabled petitioners to rectify their lapse, rather
than completely deny them a chance at exhaustive litigation by a mere stroke of its
pen.
IV.C
Rule 43, Section 6 of the 1997 Rules of Civil Procedure states that a verified petition for
review must "be accompanied by a clearly legible duplicate original or a certified true
copy of the award, judgment, final order or resolution appealed from, together with
certified true copies of such material portions of the record referred to therein and
other supporting papers."89
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
First, not all pleadings and parts of case records are required to be attached to the
petition, Only those which are relevant and pertinent must accompany it. The test of
relevancy is whether the document in question will support the material allegations in
the petition, whether said document will make out a prima facie case of grave abuse of
discretion as to convince the court to give due course to the petition.
Second, even if a docurnent is relevant and pertinent to the petition, it need not be
appended if it is shown that the contents thereof can also [be] found in another
document already attached to the petition. Thus, if the material allegations in a position
paper are summarized in a questioned judgment, it will suffice that only a certified true
copy of the judgment is attached.
Third, a petition lacking an essential pleading or part of the case record may still be
given due course or reinstated (if earlier dismissed) upon showing that petitioner later
submitted the documents required, or that it will serve the higher interest of justice
that the case be decided on the merits.102 (Citations omitted, emphasis supplied)
Here, petitioners' failure to attach a copy of the complaint originally filed by Larrazabal
Enterprises before the DARAB should not have been fatal to their Rule 43 petition. Its
inclusion was not absolutely required, as it was certainly not the award, judgment, final
order or resolution appealed from.103 If, in the Court of Appeals' judgment, it was a
material document, the more prudent course of action would have been to afford
petitioners time to adduce it, not to make a justit1cation out of it for dispossessing
petitioners of relief.
IV.D
Through Bar Matter No. 287, this court required the inclusion of the number and date of
[lawyers'] official receipt indicating payment of their annual membership dues to the
Integrated Bar of the Philippines for the current year; in lieu of this, a lawyer may
indicate his or her lifetime membership number:104
Effective August 1, 1985, all lawyers shall indiqate in all pleadings, motions and papers
signed and filed by them in any Court in the Philippines, the number and date of their
official receipt indicating payment of their annual membership dves to the Integrated
Bar of the Philippines for the current year; provided, however, that such official receipt
number and date for any year may be availed of and indicated in all such pleadings,
motions and papers filed by them in court up to the end of the month of February of the
next succeeding year. 105
Indicating the place of issue of the official receipt is not even a requirement. While its
inclusion may certainly have been desirable and would have allowed for a more
consummate disclosure of information, its non inclusion ws certainly not fatal. As with
the other procedural lapses considered by the Court of Appeals, its non-inclusion could
have very easily been remedied by the Court of Appeals' prudent allowance of time and
opportunity to petitioners and their counsel.
This Court entertains no doubt that petitioners' Petition for Review, which the Court of
Appeals discarded, falls within the exceptions to the customary strict application of
Case No. 5 Alfonso Singson Cortal vs Inaki Larrazabal
procedural rules. This Court has previously overlooked more compelling procedural
lapse, such as the period for filing pleadings and appeals. The Court of Appeals was
harsh in denying petitioners the opportunity to exhaustively ventilate and arsue their
case.
Rather than dwelling on procedural minutiae, the Court of Appeals shoqld have been
impelled by the greater interest of justice. It should have enabled a better consideration
of the intricate issues of the application of the Comprehensive Agrarian Reform Law,
social justice, expropriation, and just compensation. The reversals of rulins at the level
of the DARAB could have been taken as an indication that the matters at stake were far
from being so plain that they should be ignored on mere technicalities. The better part
of its discretion dictated a solicitous stance towards petitioners.
The present Petition must be gnmt d. The Court of Appeals must give due course to
petitioners' appeal to enable a better appreciation of the myriad substantive issues
which have otherwise not been pleaded and litigated before this Court by the parties.
SO ORDERED.