2nd groud 1st report

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    GROUP II

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    Everyone is deemed innocent until proven

    guilty in a court of law. Not only does the law presume an accused to

    be innocent; he is also entitled to acquittalunless his guilt is proved beyond a

    reasonable doubt by procedure recognized bylaw.

    Rules of Court needs to be followed inpresenting evidence

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    Atty. Paz act of concealing the commission of thecrime cannot be considered unethical. Manuel and

    Cora were willing to enter into a compromiseagreement that would result in the non-filing ofthe complaint by Cora.

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    Counsel should promote settlement if it ispossible

    He should, moreover, give his client the benefitof sound advice on any such and familiar matters

    and comply with the clients lawful instructionsrelative thereto. Canon 8, Canons of ProfessionalEthics

    As a client has the exclusive control of the causeof action, the claim or demand sued upon andthe subject matter of the litigation, he has,generally speaking, the right to dismiss, settle orwaive his cause

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    Presumption of Innocence

    We are minions of justice, we must protectthe rights of everyone, even the devil himself,if he deserves it. Dean Jose Roy III

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    Republic of the Philippines )

    Candoni, Negros Occidental ) S.S.

    I, , of legal age, Filipino, single, and with address atCandoni, Negros Occidental, hereby depose and state that:

    I am working as a Household Helper for Ms. YsabelYnares at her residence at Candoni,

    Negros Occidental. Ms. Ynares had been very kind to me to the point that she even acted asmy guardian in the absence of my parents to whom I have no communication for a longperiod of time. In view of the kindness and treatment of Ms. Ynares to me I never treatedmyself as a mere Household Helper but also a part of their family;

    On __________________ Ms. Ynares nephew named Manuel _____________ arrived at Candoni,Negros Occidental to take a vacation on which I was also obliged to serve him being ourvisitor at that time;

    Manuel had been very kind and cordial to me during his stay in his aunts residence. Henever showed any ill-will or bad faith towards me. He spent most of his time attendingtown events such as fiestas and other gathering within Candoni and the surrounding townsof Negros occidental;

    In one instance, during a town fiesta, I was able to see Manuel totally drunk and out ofhimself. This prompted me to immediately assist him in going home considering that I amthe only person who knows him at that time in that area;

    While going home, Manuel was unconscious; there are instances where he will whisper thename Wendy. He also thought that I am Wendy that for several intervals he would then hugme and seek forgiveness;

    Upon reaching home, I hurriedly brought Manuel inside his room. I took a towel and a basinof hot water to help Manuel recover consciousness. I also assisted him in changing hisclothes; this was the time when he unconsciously and unceremoniously kissed me, thinking

    that I was Wendy. This was also the moment I realized that the girl named Wendy was hiswife;

    Initially, I avoided Manuel from his acts; however, as he appears to be very sad and crying, Ihugged and comforted him to the very least. It was that moment that I lost control ofmyself. I was carried away by the fact that Manuel was kind to me and it triggered someattraction. I voluntarily consented and consciously submitted myself to Manuels advanceswhich resulted to carnal knowledge without force or intimidation on my part;

    I regret the fact that I submitted myself to Manuels advances, however, I am fully aware atthat time that I was the one with sober and conscious mind while Manuel was totally dr unk

    and out of himself. The existed carnal knowledge between us is voluntary on mypart and I have no intention whatsoever to use it against Manuel nor file anycomplaint or cause of action against him in the future.

    I am executing this Sworn Statement to attest the truth of the foregoing and torenounce any future claim against Manuel and his Family arising from the aboveincident considering that it was a willful and voluntary act on my part.

    , I have hereunto affixed my signature this ___ day of

    _____________ at ____________________, Philippines.

    Affiant

    WITNESSES:

    ______________________________________________

    , a Notary Public for and in the above jurisdiction, on the ______ day of____________________, personally appeared the Affiant exhibiting to me hisPassport/Community Tax Certificate No. ______________ issued on_________________, in ________________, who is known to me and to me known tobe same person who executed the foregoing Sworn Statement consisting of two(2) page, including the page on which this acknowledgement is written, and heacknowledged to me that the same is his free and voluntary act and deed.

    IN TESTIMONY WHEREOF, I have hereunto set my hand andaffixed my notarial seal on the date and at the place first above written.

    Doc. No.: ______;Page No.:______;Book No.:______;Series of 20___.

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    c. Manuel paid Atty. Paz attorneys fees forher services. Is there a standard fee for this

    kind of legal services? How much should Atty.Paz charge as attorneys fees? Explain to the

    class your basis in coming out with theamount.

    Report on the cases ofPineda v. Atty. DeJesus, August 23, 2006, 499 SCRA 608,

    Roxas v. De Zuzuarregui, January 31, 2006,481 SCRA 258, and other cases involving

    attorneys fees and relate to the class whatyou have learned from these cases.

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    SEC. 24. Compensation of attorneys;agreement as to fees. An attorney shall be

    entitled to have and recover from his clientno more than a reasonable compensation forhis services, with a view to the importance of

    the subject matter of the controversy, the

    extent of the services rendered, and theprofessional standing of the attorney. x xx. Awritten contract for services shall control theamount to be paid therefore unless found by

    the court to be unconscionable orunreasonable.

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    Attorneys fees are unconscionable if theyaffront ones sense of justice, decency orreasonableness.49 It becomes axiomatictherefore, that power to determine the

    reasonableness or the, unconscionablecharacter of attorney's fees stipulated by theparties is a matter falling within theregulatory prerogative of the courts.50(Roxasv. De Zuzuarregui)

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    In the instant case, Atty. Paz managed toconvinceManuel to pay 300,000 which was accepted

    by Cora. The services rendered by Atty. Paz was

    merely a mediation between the parties, there wasactually no full-blown hearing and resorting thematter to a compromise agreement. This however,

    based on the facts, did not specify the amount or wasthere any agreement on compensation or legal

    service fee due Atty . Paz. The law provides that, the measure of compensation

    for a lawyers services as against his client shouldproperly be addressed by the rule ofquantum meruit

    long adopted in this jurisdiction. Quantum meruit,meaning "as much as he deserves," is used as the

    basis for determining the lawyer's professional fees inthe absence of a contract, 41 but recoverable by himfrom his client.

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    Where a lawyer is employed without a price for his services beingagreed upon, the courts shall fix the amount on quantum meruit

    basis. In such a case, he would be entitled to receive what he meritsfor his services. (TRADERS ROYAL BANK EMPLOYEES UNION-

    INDEPENDENTvs.NATIONAL LABOR RELATIONS COMMISSION andEMMANUEL NOEL A. CRUZ) which can only be implemented given thefollowing circumstances:

    1. There is no express contract for payment of attorneys feesagreed upon between the lawyer and the client;

    2. When although there is a formal contract for attorneys fees, thestipulated fees are found unconscionable or unreasonable by the

    court. 3. When the contract for attorneys fees is void due to purely formal

    matters or defects of execution 4. When the counsel, for justifiable cause, was not able to finish the

    case to its conclusion 5. When lawyer and client disregard the contract for attorneys fees.

    As between Atty. Paz and client Ysabel and Cora, absent anycontract as to the amount of legal services fee, and yet achieved thedesired outcome which is to avoid further scandal and conceal theincident between the parties themselves satisfies the needs of her

    client.

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    The National Housing Authority (NHA) filedexpropriation proceedings against theZuzuarreguis, parcels of land belonging tothe latter situated in Antipolo, Rizal, with a

    total land area of 1,790,570.36 squaremeters, more or less.

    The Zuzuarreguis engaged the legal servicesof Attys. Romeo G. Roxas and Santiago N.Pastor, to represent them in the Civil Case.

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    Its main task is to secure the just compensation withthe National Housing Authority and othergovernmental agencies at a price of ELEVEN PESOS(P11.00) or more per square meter. Any loweramount shall not entitle them to any attorneys fees.

    At such price of P11.00 per square meter or more ourcontingent fee[s] is THIRTY PERCENT (30%) of the justcompensation. It was also agreed that

    The family will be willing to accept NHA 5-year bondsas part payment up to 75% of the total compensation.

    and that their lawyers fees shall be in the proportionof the cash/bonds ratio of the just compensation andare subject to 10% withholding tax.

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    A Letter-Agreement was executed by andbetween Antonio Zuzuarregui, Jr., Pacita

    Javier and Enrique De Zuzuarregui, on the onehand, and Attys. Romeo G. Roxas and

    Santiago Pastor.

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    We hereby confirm and agree that we are willing toaccept as final and complete settlement for our 179hectares expropriated by NHA a price of SEVENTEENPESOS (P17.00) per square meter, or for a total ofTHIRTY MILLION FOUR HUNDRED THOUSAND PESOS(P30.4 Million), all payable in NHA Bonds.

    We also agree and confirm that for and inconsideration of your services as our lawyers andcounsels in the said expropriation case, we commitand bind ourselves to pay to you, your heirs orassignees-in-interest, as your contingent attorneys

    fees any and all amount in excess of the SEVENTEENPESOS (P17.00) per square meter payable in NHAbonds as mentioned above.

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    WHETHER OR NOT THE LETTER-AGREEMENTDATED 10 DECEMBER 1985, EXECUTED BYTHE ZUZUARREGUIS, AND ATTYS. ROXAS ANDPASTOR, FIXING THE EXACT AMOUNT THAT

    MUST GO TO THE FORMER, SHOULD STANDAS LAW BETWEEN THE PARTIES.

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    It is basic that a contract is the law between the parties.Obligations arising from contracts have the force of law betweenthe contracting parties and should be complied with in goodfaith. Unless the stipulations in a contract are contrary to law,morals, good customs, public order or public policy, the sameare binding as between the parties.42

    Under the contract in question, Attys. Roxas and Pastor are to

    receive contingent feesfor their professional services. It is adeeply-rooted rule that contingent fees are not per se prohibitedby law. They are sanctioned by Canon 13 of the Canons ofProfessional Ethics, viz:

    Contingent Fees. A contract for contingent fee, wheresanctioned by law, should be under all the

    circumstances of the case including the risk and uncertainty ofthe compensation, but should always be subject to thesupervision of a court, as to its reasonableness.

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    Canon 20, Rule 20.01 of the Code of Professional Responsibility, andalso Section 24, Rule 138 of the Rules of Court. Attorneys fees are unconscionable if they affront ones sense of justice,

    decency or reasonableness.49 It becomes axiomatic therefore, that powerto determine the reasonableness or the, unconscionable character ofattorney's fees stipulated by the parties is a matter falling within theregulatory prerogative of the courts.

    In the instant case, Attys. Roxas and Pastor received an amount whichwas equal to forty-four percent (44%) of the just compensation paid(including the yield on the bonds) by the NHA to the Zuzuarreguis, or anamount equivalent to P23,980,000.00 of the P54,500,000.00.Considering that there was no full blown hearing in the expropriationcase, ending as it did in a Compromise Agreement, the 44% is,undeniably, unconscionable and excessive under the circumstances. Itsreduction of the Court of Appeals is, therefore, in order. Hence the

    court ordered Attys. Romeo G. Roxas and Santiago N. Pastor to return tothe Zuzuarreguis the amount of P17,073,224.84.

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    d. Considering that Atty. Paz had to explain thedocuments to Cora she had asked her to sign,would this be a case of conflict of interestconsidering that Atty. Paz acted for both parties Manuel and Cora? In this situation, would you askCora to sign the documents without theassistance of a lawyer of her own choice?

    This involves another common dilemma: whetheryou, as a lawyer, should insist that the otherparty be counseled also by a lawyer to ensure

    fairness? But then if Cora were to be counseledalso by a lawyer, it may make things moredifficult for Atty. Paz and Manuel.

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    Aurora Pineda Filed an action for declaration

    of nullity of marriage against hereinpetitioner,Vinson Pineda in the RTC of PasigCity Branch 151. Petitioner was representedby herein respondents, Attys. Clodualdo de

    Jesus, Carlos Ambrosio and EmmanuelMariano.

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    Throughout the proceedings, respondentcounsels were well compensated. They includingtheir relatives and friends even availed freeproducts and treatments from Vinsonsdermatology clinic. This notwithstanding, they

    billed Vinson additional legal fees amounting toPhp 16.5 million which was however refused topay, instead, petitioner issued them severalchecks totaling Php1.12 million as full paymentfor settlement.

    Not satisfied, respondents filed in the same trial

    court a motion for payment of lawyers fees forPhp 50million.

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    ISSUE: Whether or not respondents were entitled to additionallegal fees. HELD: The professional engagement between petitioner and

    respondents was governed by the principle of quantum meruit,which means as much as the lawyer deserves. Basically, it is alegal mechanism which prevents an unscrupulous client fromrunning away with the fruits of the legal services of counselwithout paying for it. In the same vein, it avoids unjustenrichment on the part of the lawyer himself.

    Rule 20.4 of the code of professional responsibility advises

    lawyers to avoid controversies with clients concerning their

    compensation and to resort to judicial action only to preventimposition, injustice or fraud. Suits to collect fees should beavoided and should be filed only when circumstances forcelawyers to resort to it.

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    In the case at bar, respondents motion forpayment of their lawyers fees was not meantto collect what was justly due them; the factwas; they had already been adequately paid.

    Demanding 50 million on top of the generoussums and perks already given to them was an

    act of unconscionable greed which isshocking to this court.

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    The fact that Atty. Paz had to explain the documents toCora that she had asked her to sign does not constitute aconflict of interest, considering that Atty. Paz acted for

    both parties.

    Under Canon 6 of the of the Canon of Professional Ethics,a lawyer represents conflicting interests when, in behalf ofone client, it is his duty to contend for that which duty toanother client requires him to oppose. There is a case ofconflict of interest where there is an inconsistency in theinterests of both parties. It is present when the lawyer

    argues for one client, and then he will oppose thisargument when he argues for the other client. Also as

    stated in the case of Pierce v. Palmer (31 R.I. 432), there isrepresentation of conflicting interests if the acceptance of

    the lawyer of the other partys case would require the

    attorney to do anything which would injuriously affect hisfirst client in any matter which he represents him and

    whether knowledge acquired through the first client will beused against him by the second client.

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    In the case at bar, there cannot be anyconflict of interest because Manuel and Coraare both willing to settle since they both donot want any scandal and the agreement tosettle was consensual. Cora was not forced

    into settling. Rule 15.04 of the Code ofProfessional Responsibility also provides thata lawyer may, with the written consent of allconcerned, act as mediator, conciliator, or

    arbitrator in settling disputes. It is alsoimportant to note that in the case at bar, thematter has not yet reached the court.

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    Cora should first be informed of her right tocounsel and of the advantages and benefitsof having her own lawyer. We suggest that

    Cora should also put into writing the fact thatshe is not hiring Paz as her counsel and that

    the purpose of her meeting with Atty. Paz wasonly for her to sign the affidavit that statesthat she will not file any action in the future

    against Manuel.

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    A lawyer should always insist that the other party

    be counseled also by a lawyer to ensure fairnessand proper understanding of the situation andappreciation of the law in order for her to knowthe nature of the crime, its possible consequenceand also possible remedies. A person should bemade fully aware of her rights under the judicialsystem. Also as a lawyer, it is important to take

    care of ones name and reputation in the field.Insisting that the other would get her owncounsel.

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    Atty. Manuel N. Camacho filed a complaint against the lawyerscomprising the Pangulayan and Associates Law Offices, namely,Attorneys Luis Meinrado C. Pangulayan, Regina D. Balmores,Catherine V. Laurel, and Herbert Joaquin P. Bustos. Complainant,the hired counsel of some expelled students from the AMAComputer College ("AMACC"). Camacho charged thatrespondents, then counsel for the defendants, procured and

    effected on separate occasions, without his knowledge,compromise agreements ("Re-Admission Agreements") with fourof his clients in a civil case which, in effect, required them towaive all kinds of claims they might have had against AMACC,the principal defendant, and to terminate all civil, criminal andadministrative proceedings filed against it. Complainant averredthat such an act of respondents was unbecoming of any member

    of the legal profession warranting either disbarment orsuspension from the practice of law.

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    In his comment, Attorney Pangulayan acknowledged thatnot one of his co-respondents had taken part in thenegotiation, discussion, formulation, or execution of thevarious Re-Admission Agreements complained of andwere, in fact, no longer connected at the time with thePangulayan and Associates Law Offices. The Re-Admission

    Agreements, he claimed, had nothing to do with thedismissal of the Civil Case and were executed for the solepurpose of effecting the settlement of an administrativecase involving nine students of AMACC who were expelledtherefrom upon the recommendation of the StudentDisciplinary Tribunal. The students were found the guiltyof the use of indecent language and unauthorized use ofthe student publication funds. The body recommended thepenalty of expulsion against the erring students.

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    Cerina B. Likong filed this administrative case against Atty. Alexander H.Lim, seeking the latter's disbarment for alleged malpractice and gravemisconduct.

    In September 1984, Likong obtained a loan of P92,100.00 from a certainGeesnell L. Yap. He executed a promissory note in favor of Yap and adeed of assignment, assigning to Yap pension checks which sheregularly receives from the United States government as a widow of a USpensioner. The aforementioned deed of assignment states that the sameshall be irrevocable until the loan is fully paid. He also executed aspecial power of attorney authorizing Yap to get, demand, collect andreceive her pension checks from the post office at Tagbilaran City. Theabove documents were apparently prepared and notarized byrespondent Alexander H. Lim, Yap's counsel.

    On 11 December 1984, Likong informed the Tagbilaran City post officethat she was revoking the special power of attorney. Yap filed a

    complaint for injunction with damages against complainant. RespondentAlexander H. Lim appeared as counsel for Yap.

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    The court then preliminary injunction toprevent all post offices in the Philippines fromreleasing pension checks to complainant.

    On 26 July 1985, Likong and Yap filed a joint

    motion to allow the latter to withdraw thepension checks. This motion does not bearthe signatures of complainant's counsel ofrecord but only the signatures of bothparties, "assisted by" respondent AttorneyAlexander H. Lim.

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    On 2 August 1985, complainant and Yap enteredinto a compromise agreement again without theparticipation of the former's counsel. In thecompromise agreement, it was stated that CerinaB. Likong admitted an obligation to Yap ofP150,000.00. It was likewise stated therein thatcomplainant and Yap agreed that the amountwould be paid in monthly installments over aperiod of 54 months at an interest of 40% per

    annum discounted every six (6) months. Thecompromise agreement was approved by the trialcourt on 15 August 1985.

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    Cerina B. Likong filed the present complaint fordisbarment, based on the following allegations: 7. In all these motions, complainant was prevented from

    seeking assistance, advise and signature of any of her two(2) lawyers; no copy thereof was furnished to either ofthem or at least to complainant herself despite the latter's

    pleas to be furnished copies of the same; 8. Complainant was even advised by respondent that it

    was not necessary for her to consult her lawyers under thepretense that: (a) this could only jeopardize thesettlement; (b) she would only be incurring enormousexpense if she consulted a new lawyer; (c) respondent was

    assisting her anyway; (d) she had nothing to worry aboutthe documents foisted upon her to sign; (e) complainantneed not come to court afterwards to save her time; and inany event respondent already took care of everything;

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    Canon 9 of the Code of Professional Ethics states: 9. Negotiations with opposite party. A lawyer should not in any way communicate upon the subject of

    controversy with a party represented by counsel; much less should heundertake to negotiate or compromise the matter with him, but shoulddeal only with his counsel. It is incumbent upon the lawyer mostparticularly to avoid everything that may tend to mislead a party notrepresented by counsel and he should not undertake to advise him as tothe law.

    The Code of Professional Responsibility states: Rule 1.01 A lawyer shall not engage in unlawful, dishonest, immoral,

    or deceitful conduct. Rule 8.02A lawyer shall not, directly or indirectly, encroach upon the

    professional employment of another lawyer; however, it is the right ofanylawyer, without fear or favor, to give proper advice and assistance tothose seeking relief against unfaithful or neglectful counsel.

    Rule 15.03A lawyer shall not represent conflicting interests except bywritten consentof all concerned given after a full disclosure of the facts.

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    We consider the acts of Smiths lawyers asunethical because it is a violation of Canon 9 ofthe Canon of Professional Ethics, which statesthat:

    A lawyer should not in any way communicate

    upon the subject of controversy with a partyrepresented by counsel, much less should heundertake to negotiate or compromise the matterwith him, but should only deal with his counsel.It is incumbent upon the lawyer most particularly

    to avoid everything that may tend to mislead aparty not represented by counsel and he shouldnot undertake to advise him as to law.

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    CANON 8 A lawyer shall conduct himselfwith courtesy, fairness, and candor towardshis professional colleagues, and shall avoidharassing tactics against opposing counsel.

    Rule 8.02 A lawyer shall not, directly orindirectly, encroach upon the professionalemployment of another lawyer; however, it isthe right of any lawyer, without fear or favor,to give proper advice and assistance to thoseseeking relief against unfaithful or neglectfulcounsel.

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    In cases that involve a party not beingrepresented by a counsel, it is important to avoidsuspicion or accusation of using undue influence.

    Art. 1337 of the Civil Code provides that: There is undue influence when a person

    takes improper advantage of his power over thewill of another, depriving the latter of areasonable freedom of choice. The followingcircumstances shall be considered: theconfidential, family, spiritual and other relations

    between the parties, or the fact that the personalleged to have been unduly influenced wassuffering from mental weakness or was ignorantor in financial distress.

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    Patricia Gail Cayco Cindy Ilagan

    Cherry Lyn Santos

    Joseph Ingua

    Melvin Silvestre

    Carlo Tagayuna