61777393 administrative law midterm reviewer by cherry

7/27/2019 61777393 Administrative LAW Midterm Reviewer by Cherry

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- concerned with officers and agencies exercising delegated powers and not with the exercise of the constitutional powers of the President

Distinguished from International Law- administrative law: lays down the rules which shall guide the officers of the administration in

their actions as agents of the government- international law: cannot be regarded as binding upon the officers of any government

considered in their relation to the their own government except insofar as it has been adoptedinto the administrative law of the state

Distinguished from Constitutional Law- constitutional law: prescribes general plan or framework of governmental organization

administrative law: gives and carries out this plan in its minutest details- constitutional law: treats of the rights of individual

administrative law: treats them from standpoint of the powers of government- constitutional law: prescribes limitations on the powers of the government to protect the rights

of individuals against abuse in their exerciseadministrative law: indicates to individuals, remedies for violation of their rights

- administrative law is the necessary supplement of constitutional law insofar as it fixes orregulates the administrative organization of the government

- administrative law complements constitutional law insofar as it determines the rules relative tothe activity of the administrative authorities

Distinguished from criminal law- criminal law: body of penal sanctions which are applied to all branches of the law, including

administrative law- a rule of law protected or enforced by a penal sanction may be really administrative in

character; one of the most common and efficient means of enforcing a rule of administrative lawis to give it a penal sanction

Distinguished from law of public administration- public administration: practical management and direction of the various organs of the State

and the execution o f state policies by the executive and administrative officers entrusted withsuch functions

- subject matter of administrative law is public administration- true field of administrative law refers only to the external aspect of public administration

Principal Divisions of administrative law

Law of Internal Administration- treats of the legal relations between the government and its administrative officers, and of the

legal relations that one administrative officer or organ bears to another- comprehends topics as nature of public office, de jure and de facto officers, incompatible and

forbidden offices- considers legal aspects of public administration on its institutional side

a. legal structure or organization of public administration; legal aspects of its institutionalactivities; legal questions in overall management

b. legal qualifications for office; legal disqualifications, appointment, removal, tenure,compensation; legal aspects of hierarchical form of department; legal relation of administrativesuperior and subordinate; legal relation between power of removal and power of direction

Law of External Administration- concerned with legal relations between administrative authorities and private interests- 4 parts:

a. survey of those powers and duties of administrative authorities that relate directly to privateinterestsb. analysis of the scope and limits of such powersc. some account of the sanctions attached to, or the means of enforcing, official determinationsd. examination of remedies against official action

Classification of administrative law

As to its source

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- reconcile in the field of administrative action, democratic safeguards and standards of fair playwith the effective conduct of government

Discharge of judicial role- courts must aim to:

a. maintain constitutionb. give due deference to the role of administrative agenciesc. lend powers of the court to the proper attainment of the valid objectives of the administrativeagency

d. leave to the legislature or the people the remedy for unwise or undesirable administrativeaction

Administration as a separate power

As a function- administration is the execution, in non-judicial matters, of the law or will of the State as

expressed by the competent authorityAs an organization

- “the” administration means popularly the most important administrative authoritiesAdministration as an organization distinguished from government

- government: institution or aggregate of institutions by which an independent society makes andcarries out those rules of action which are necessary to enable men to live in a civilized state

- administration: aggregate of those persons in whose hands the reins of government areentrusted by the people for the time being

NATURE AND ORGANIZATION OF ADMINISTRATIVE AGENCIES

Creation, reorganization, and abolition of administrative agencies- some are created by or receive their powers from constitutional provisions which may be self-

executing, but most of them have their source in legislative enactments- executive may also create administrative agencies- administrative agencies of statutory origin are subject to expansion or contraction of their

powers and functions, or to reorganization or abolition at the will of Congress

Administrative Agency- agency exercising some significant combination of executive, legislative, and judicial powers- charged with administering and implementing particular legislation

Administrative agency or body and court distinguished- administrative body: generally large organization staffed by men who are deemed to become

like experts in their particular fieldscourt: tribunal which is presided by one or more jurists learned in the law

- administrative body: performs variety of functionscourt: only one function - judicial

- administrative body: uses a varying degree of discretion in arriving at decisions, often withoutbeing bound by technical rules of evidencecourt: governed by fixed rules in arriving at its decisions and bound by rules

Status or character of particular administrative agencies

As public or governmental agencies- functioning within the scope of their authority, for and on behalf of the government, and as

representatives of the publicAs judicial bodies or courts

- not courts in the strict sense- cannot exercise purely judicial functions, do not have inherent powers of court, not bound in

their proceedings- judicial bodies in the broad sense that they exercise powers judicial in nature and their

proceedings partake of the nature of judicial proceedingsAs legislative or executive agencies

As independent or subordinate bodiesAS corporate bodies or legal entities

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Organization of the Office of the President- consist of the Office of the President Proper and the agencies under it

Office of the President Proper- consist of Private Office, Executive Office, Common Staff Support System, and the Presidential

Special Assistants/Advisers System- a. Private Office: provide direct services to the President; attend to functions of the First Family

b. Executive Office: refers to Office of the Executive Secretary, Deputy Executive Secretaries,

and Assistant Executive Secretaries; headed by the Executive Secretary; fully responsive tospecific needs of the Presidentc. Staff Support System: embraces offices under the general categories of development andmanagement, general governmental administration and internal administrationd. Presidential Special Assistants/Advisers System: provide advisory or consultative services tothe President in such fields and under such conditions as the President may determine

Agencies under the Office of the President (OP)- offices under chairmanship of the President, under supervision and control of the President,

under administrative supervision of the OP, those attached to it for policy and propercoordination, and those that are not placed by law or order creating them under any specialdepartment

Organization of DepartmentsDepartment

- an executive department created by law- includes any instrumentality having or assigned the rank of a department, regardless of its

name or designationNumber, purpose, and decentralization

- executive branch shall have departments as are necessary for the functional distribution of thework and performance of functions

- departments shall be organized and maintained- bureaus and offices under each department shall be group primarily on the basis of major

functions- functions of different departments shall be decentralized

Department proper- include the Office of the Secretary and staff units under it- Office of the Secretary consist of Secretary and Undersecretary/ies

Secretaries, Undersecretaries, and Assistant SecretariesSecretary

- has authority and responsibility for the exercise of the mandate of the department and for thedischarge of its powers and functions

Undersecretary- advise and assist the Secretary in the formulation and implementation of department objectives

and policies

Assistant Secretary- duties and functions as may be provided by law or assigned by the Secretary

Department ServicesPlanning Service

- provide economical, efficient, and effective services relating to planning, programming, andproject development

Financial and Management Service- advise and assist the Secretary on budgetary, financial and management matters

Administrative Service- provide economical, efficient and effective services relating to personnel legal assistance,

information, records, supplies, disbursement

Technical Service- take chare of technical staff activities

Legal Service- where operations involve legal work

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Organization of BureausBureau

- any principal subdivision or unit of any department- include principal subdivision or unit of any instrumentality given or assigned the rank of a

bureau- any principal subdivision of the department performing a single major function or closely related

functions

Powers and Duties of heads of bureau- head of bureau is chief executive officer- exercise overall authority in matters within the jurisdiction of the bureau- appoint personnel to all positions in his bureau- may designate assistant head to act as chief of any division without additional compensation- prescribe form and fix amount of all bonds executed by private parties to government- prescribe forms and issue circulars or orders to secure efficient administration of his bureau- issue orders regarding administration its internal affairs

Types:Staff Bureau

- perform policy, program development and advisory functions

- Director of Staff Bureau shall:a. advise and assist the Office of Secretary on matters pertaining to bureaub. provide consultative and advisory servicesc. develop plans, programs, operating standards for attainment of bureau’s functiond. such other duties

Line Bureau- directly implement programs adopted pursuant to department policies and plans- Director Line Bureau shall:

a. exercise supervision and control over all divisions and unitsb. establish policies and standards for operations of bureauc. promulgate rules and regulations to carry out objectivesd. such other duties

Organization of Field OfficesRegional Offices

- headed by Regional Director, assisted by 1 Assistant Regional Director except otherwiseprovided

- functions:a. implement laws, policies, programs of department in the regional areab. provide economical, efficient and effective service to people in areac. coordinate with regional offices of other department bureausd. coordinate with local government units in the areae. such other functions

Administrative Relationship

Categories and Definitions:a. Supervision and Control

- include authority to:a. act directly whenever a specific function is entrusted by law to a subordinateb. direct the performance of duty; restrain commission of actsc. review, approve or modify acts of subordinated. determine priorities in execution of planse. prescribe standards, guidelines, programs

b. Administrative Supervision- govern administrative relationship between department and regulatory agencies

a. oversee operations of such agencies and insure effective managementb. require submission of reports and cause the conduct of management auditc. such action as necessary for proper performance of official functionsd. review or pass upon budget proposals of such agencies

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c. Attachment- lateral relationship between the department and the attached agency or corporation for

purposes of policy and program coordination- matters of day-to-day administration or all those pertaining to internal operations shall be left to

the discretion or judgment of the executive officer of the agency or corporation- GOCCs attached to a department shall submit to the secretary their audit financial statements

within 60 days after close of fiscal year

Powers and Functions of Department Secretary

- advise President in issuing executive orders, proclamations, promulgation of which is expresslyvested by law in President relative to matters under jurisdiction of the department

- establish policies and standards for operation of department- promulgate rules and regulations necessary to carry department objectives, policies- promulgate administrative issuances necessary for efficient administration of offices under

Secretary- exercise disciplinary powers over officers and employees under the Secretary- appoint all officers and employees of department except those whose appointments are vested

in President- exercise jurisdiction over all bureaus, offices, agencies under department- delegate authority to officers and employees under the Secretary’s direction- such other functions

Authority of Department Secretary- supervision and control over bureaus, offices, agencies under him- guidelines:

a. initiative and freedom of action on part of subordinate shall be encouragedb. with respect to functions involving discretion or expertise vested by law upon a subordinateagency, control shall be exercise in accordance with said lawc. with respect to any regulatory function of an agency subject to department control, authorityof the department shall be governed by provisions of this code

Delegation of authority- Secretary or head of agency shall have authority and responsibility for its operation- Delegate authority to bureau and regional directors as may be necessary

a. delegated authority shall be to extent necessary for economic, efficient, and effectiveimplementation of national and local programs in accordance with policy and standards of eachdepartmentb. delegation shall be in writingc. vest sufficient authority to enable the delegate to discharge his assigned responsibility

Line Bureau authority- supervision and control over their regional and field offices- directly responsible for development and implementation of plans and programs- regional and field offices shall constitute as operating arms

Relationship of GOCC to Department- GOCC: refer to any agency organized as a stock or non-stock corporation, vested with functions

relating to public needs whether governmental or proprietary in nature, and owned by thegovernment directly or through its instrumentalities either wholly, or, where applicable as in thecase of stock corporations, to the extent of at least 50% of its capital stock;Shall be attached to appropriate department with which they have allied functions;At least 1/3 of members of Boards should either be Secretary, Undersecretary or AssistantSecretary

Relationship of regulatory agencies to Department- Regulatory Agency: any agency expressly vested with jurisdiction to regulate, administer or

adjudicate matters affecting substantial rights and interest of private persons, the principalpowers of which are exercised by a collective body, such as commission, board, or council;Shall be subject to administrative supervision of the department under which they are placed;Heads shall annually submit their budget for approval of Secretary;

May avail themselves of the common auxiliary and management services of department

Mandates of different departmentsDepartment of Foreign Affairs

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- planning, directing, evaluating total national effort in field of foreign relationsDepartment of Finance

- formulation, administration of fiscal policiesDepartment of Justice

- carry out declared policy to provide government with principal law agency which shall be bothits legal counsel and prosecution arm

Department of Agriculture- promotion of agricultural development

Department of Public Works and Highways

- engineering and constructing armDepartment of Education, Culture and Sports

- formulation, implementation of policies, programs in formal and non-formal education at alllevels

Department of Labor and Employment- policy-making, administrative entity in the field of labor and employment

Department of National Defense- guarding against external and internal threats to national peace and security

Department of Health- formulation, implementation of policies and programs in the field of health

Department of Trade and Industry- coordinative, regulatory arm in area of trade, industry and investments

Department of Agrarian Reform

- central direction and coordination to national agrarian reform program for farm lessees andtenants

Department of Interior and Local Government- general supervision over local governments

Department of Tourism- planning, coordinating, implementing agency for development and promotion of tourism

industryDepartment of Environment and Natural Resources

- implementation of policy to ensure full exploration and development, utilization, conservation of country’s natural resources

Department of Transportation and Communications- planning, programming, implementing entity in promotion, development, and regulation of

dependable networks of transportation and communicationsDepartment of Social Welfare and Development

- balanced approach to welfare where needs and interests of population are addressedDepartment of Budget and Management

- formulation and implementation of National BudgetDepartment of Science and Technology

- central direction and coordination of scientific and technological effortsDepartment of Energy

- prepare, coordinate, supervise all programs, projects relative to energy exploration, distributionand conservation

POWERS AND FUNCTIONS OF ADMINISTRATIVE AGENCIES

IN GENERAL

Function- that which one is bound or which it is one’s business to do

Power- refer to means by which a function is fulfilled

Source of Powers- provision in Constitution- statutes under which they claim to act

Scope of PowersExpress and implied powers

- jurisdiction and powers of administrative agencies are measure and limited by the constitutionor the law creating them

- statutes conferring powers must be liberally construed to enable agencies to discharge theirassigned duties in accordance with the legislative purpose

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- Rule: agency has only such powers as are expressly granted to it by law, but has also suchpowers as are necessarily implied in the exercise of its express powers

Inherent powers- no inherent powers

Quasi-judicial powers- unless expressly empowered, agencies are bereft of quasi-judicial powers- the extent to which an administrative entity may exercise given judicial powers depends largely

on the provisions of the statute creating or empowering such agency- have presumption that they are regularly performed their official functions including quasi-

judicial in nature

Nature of powers

Jurisdiction Limited- general rule: jurisdiction of administrative officers and agencies are special and limited- possess only such powers and authority specifically conferred upon them by the constitution or

enabling statutes

Powers within their jurisdiction broad- powers conferred upon agencies must be commensurate with the duties to be performed and

the purposes to be lawfully effected

Powers subject to the Constitution, applicable law, or administrative regulation- agency must respect the presumption of constitutionality and legality to which statutes and

administrative regulations are entitled until such statute or regulation is repealed or amended

Administrative Power or Administrative Function- embracing in a loose sense some legislative, executive, and judicial prerogatives- any power not explicitly allocated in the Constitution, although in its nature, legislative,

executive, or judicial- powers which may be invested in agencies other than the legislature without delegating

legislative power, may be vested in agencies other than courts without infringing upon judicialpower, and functions which may not be imposed upon a member of the judiciary

- powers involve exercise of judgment and discretion

Powers of administrative agencies classifiedAs to nature

a. Investigatory Powersb. Quasi-legislative or rule-making powersc. Quasi-judicial or adjudicatory powers

As to degree of subjective choicea. Discretionary

- Discretion: power or right conferred upon them by law of acting officially under certaincircumstances, according to the dictates of their own judgment and conscience, and notcontrolled by judgment or conscience of others

b. Ministerial- Ministerial Duty: in respect to which nothing is left to discretion; simple, definite duty

arising under conditions admitted or proved to exist, and imposed by law- Ministerial Act: performed in response to a duty which has been positively imposed bylaw and its performance required at a time and in a manner or upon conditionsspecifically designated, the duty to perform under the conditions specified not beingdependent upon the officer’s judgment or discretion

Investigatory Powers- include the power to inspect records and premises, and investigate the activities of persons and

entities coming under its jurisdiction, or require disclosure of information- power to investigate, initiate action, and control the range of investigation- power is limited to investigation facts and making findings in respect thereto- Test to determine whether exercising investigatory power or judicial power:

If the only purpose for investigation is to evaluate evidence submitted before it based on the

facts and circumstances presented to it, and if the agency is not authorized to make a finalpronouncement affecting the parties, then there is an absence of judicial discretion and judgment

Scope and Extent of Powers

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- initiation of investigationeither on a complaint or on its own motion

- conduct of investigationusually held in private

- inspection and examination- requirements as to accounts, records, reports or statements- requiring attendance of witnesses, giving of testimony, and production of evidence

agency may not itself be empowered to compel attendance of witnesses, but compulsion must be exerted through judicial process

- hearing- contempt proceedings- application of technical rules of procedure and evidence

Right to counsel in administrative bodies- a party in an administrative inquiry may or may not be assisted by counsel, irrespective of the

nature of the charges and of the respondent’s capacity to represent himself, and no duty restson such body to furnish the person being investigated with counsel

- respondent has option of engaging services of counsel or not- exclusionary rule applies only to admissions made in criminal investigations but not to those

made in an administrative investigation

Importance of administrative investigations

- for rule-making, adjudication, licensing- also for prosecuting, supervising and directing, determining general policy, recommending

legislation

NOTE: EO 292 (ADMINISTRATIVE CODE OF 1987)

CASE PRINCIPLES:BACANI VS NACOCO“The term ‘Government of the Republic of the Philippines’ used in section 2 of the RevisedAdministrative Code refers only to that government entity through which the functions of thegovernment are exercised as an attribute of sovereignty, and in this are included those arms throughwhich political authority is made effective whether they be provincial, municipal or other form of localgovernment. These are what we call municipal corporations. They do not include government entitieswhich are given a corporate personality separate and distinct from the government and which aregoverned by the Corporation Law. Their powers, duties and liabilities have to be determined in the lightof that law and of their corporate charters. They do not therefore come within the exemption clauseprescribed in section 16, Rule 130 of our Rules of Court.”“While it (NACOCO) was organized with the purpose of ‘adjusting the coconut industry to a positionindependent of trade preferences in the United States’ and of providing ‘facilities for the better curingof copra products and the proper utilization of coconut by-products’, a function which our governmenthas chosen to exercise to promote the coconut industry, however, it was given a corporate powerseparate and distinct from our government, for it was made subject to the provisions of our CorporationLaw in so far as its corporate existence and the powers that it may exercise are concerned (sections 2and 4, Commonwealth Act No. 518). It may sue and be sued in the same manner as any other privatecorporations, and in this sense it is an entity different from our government. As this Court has aptly

said, ‘The mere fact that the Government happens to be a majority stockholder does not make it apublic corporation.’

CENTRAL BANK VS COURT OF APPEALSSection 607 specifically refers to "expenditure(s) of the National Government" and that the term"National Government" may not be deemed to include the Central Bank. Under the Administrative Codeitself, the term "National Government" refers only to the central government, consisting of thelegislative, executive and judicial departments of the government, as distinguished from localgovernments and other governmental entities and is not synonymous, therefore, with the terms "TheGovernment of the Republic of the Philippines" or "Philippine Government", which are the expressionsbroad enough to include not only the central government but also the provincial and municipalgovernments, chartered cities and other government-controlled corporations or agencies, like theCentral Bank.

To be sure the Central Bank is a government instrumentality. But it was created as an autonomousbody corporate to be governed by the provisions of its charter, Republic Act 265, "to administer themonetary and banking system of the Republic."

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Note: If a government corporation or instrumentality has its own charter, it shall be governed under thesame. And for acts not within its charter, the Administrative Code applies suppletorily.

OPLE VS TORRESCongress is vested with the power to enact laws, while the President executes the laws. The President’sadministrative power is concerned with the work of applying policies and enforcing orders asdetermined by proper governmental organs. An “administrative order” refers to “[a]cts of the Presidentwhich relate to particular aspects of governmental operation in pursuance of his duties asadministrative head shall be promulgated in administrative orders.” An administrative order is an

ordinance issued by the President which relates to specific aspects in the administrative operation of government. It must be in harmony with the law and should be for the sole purpose of implementingthe law and carrying out the legislative policy.A.O. No. 308 establishes for the first time a National Computerized Identification Reference System. Itdoes not simply implement the Administrative Code of 1987. This administrative order redefines theparameters of some basic rights of the citizenry vis-a-vis the State, as well as the line that separatesthe administrative power of the President to make rules and the legislative power of Congress. It dealswith a subject that should be covered by law.

EDU VS ERICTAIt is a fundamental principle flowing from the doctrine of separation of powers that Congress may notdelegate its legislative power to the two other branches of the government, subject to the exceptionthat local governments may over local affairs participate in its exercise. What cannot be delegated is

the authority under the Constitution to make laws and to alter and repeal them; the test is thecompleteness of the statute in all its term and provisions when it leaves the hands of the legislature. Todetermine whether or not there is an undue delegation of legislative power the inquiry must bedirected to the scope and definiteness of the measure enacted. The legislature does not abdicate itsfunctions when it describes what job must be done, who is to do it, and what is the scope of hisauthority. This is to adhere to the recognition given expression by Justice Laurel in a decision announced not longafter the Constitution came into force and effect that the principle of non-delegation "has been made toadapt itself the complexities of modern governments, giving rise to the adoption, within certain limits,of the principle of "subordinate legislation" not only in the United States and England but in practicallyall modern governments." 44 He continued: "Accordingly, with the growing complexity of modern life,the multiplication of the subjects of governmental regulation, and the increased difficulty of administering the laws, there is a constantly growing tendency toward the delegation of greater powersby the legislature and toward the approval of the practice by the courts." 45 Consistency with theconceptual approach requires the reminder that what is delegated is authority non-legislative incharacter, the completeness of the statute when it leaves the hands of Congress being assumed

DELEGATION OF POWERS TO ADMINISTRATIVE AGENCIES

CASE PRINCIPLES:CIA. GRAL. DE TABACOS VS BOARD OF PUBLIC UTILITY The statute which authorizes a Board of Public Utility Commissioners to require detailed reports frompublic utilities, leaving the nature of the report, the contents thereof, the general lines which it shallfollow, the principle upon which it shall proceed, indeed, all other matters whatsoever, to the exclusive

discretion of the board. It would seem that the Legislature, by the provision in question, delegated tothe Board of Public Utility Commissioners all of its powers over a given subject-matter in a manneralmost absolute, and without laying down a rule or even making a suggestion by which that power is tobe directed, guided or applied. The true distinction is between the delegation of power to make the law, which necessarily involves adiscretion as to what shall be, and conferring authority or discretion as to its execution, to be exercisedunder and in pursuance of the law. The first cannot be done; to the latter no valid objection can bemade. The Supreme Court held that there was no delegation of legislative power, it said:

The Congress may not delegate its purely legislative powers to a commission, but, having laiddown the general rules of action under which a commission shall proceed, it may require of thatcommission the application of such rules to particular situations and the investigation of facts,with a view to making orders in a particular matter within the rules laid down by the Congress.

UNITED STATES VS TANG HO

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By the Organic Law, all Legislative power is vested in the Legislature, and the power conferred uponthe Legislature to make laws cannot be delegated to the Governor-General, or anyone else. TheLegislature cannot delegate the legislative power to enact any law. The line of cleavage between what is and what is not a delegation of legislative power is pointed outand clearly defined. As the Supreme Court of Wisconsin says:

That no part of the legislative power can be delegated by the legislature to any other department of the government, executive or judicial, is a fundamental principle in constitutional law, essential tothe integrity and maintenance of the system of government established by the constitution.Where an act is clothed with all the forms of law, and is complete in and of itself, it may be provided

that it shall become operative only upon some certain act or event, or, in like manner, that itsoperation shall be suspended. The legislature cannot delegate its power to make a law, but it can make a law to delegate a powerto determine some fact or state of things upon which the law makes, or intends to make, its ownaction to depend.

ALEGRE VS COLLECTOR OF CUSTOMS The Legislature has enacted a law which provides for the inspection, grading and baling of hemp beforethey can be exported to other countries and the creation of a board for that purpose, vesting it with thepower and authority to do the actual work.Such authority is not a delegation of legislative power and is nothing more than a delegation of administrative power in the Fiber Board to carry out the purpose and intent of the law. In the verynature of things, the Legislature could not inspect, grade and bale the hemp, and from necessity, the

power to do that would have to be vested in a board or commission. The petitioner's contention would leave the law, which provides for the inspection, grading and balingof hemp, without any means of its enforcement. If the law cannot be enforced by such a board orcommission, how and by whom could it be enforced? The criticism that there is partiality or even fraudin the administration of the law is not an argument against its constitutionality.

PEOPLE VS VERA There is undue delegation of power because there is no set standard provided by Congress on howprovincial boards must act in carrying out a system of probation. The provincial boards are givenabsolute discretion which is violative of the constitution and the doctrine of the non delegability of power. Further, it is a violation of equity so protected by the constitution. The challenged section of ActNo. 4221 in section 11 which reads as follows: This Act shall apply only in those provinces in which therespective provincial boards have provided for the salary of a probation officer at rates not lower thanthose now provided for provincial fiscals. Said probation officer shall be appointed by the Secretary of Justice and shall be subject to the direction of the Probation Office. This only means that onlyprovinces that can provide appropriation for a probation officer may have a system of probation within their locality. This would mean to say that convicts in provinces where noprobation officer is instituted may not avail of their right to probation. The SC declared theold probation law as unconstitutional.

CALALANG VS WILLIAMS There is no undue deleagation of legislative power. Commonwealth Act 548 does not confer legislativepowers to the Director of Public Works. The authority conferred upon them and under which theypromulgated the rules and regulations now complained of is not to determine what public policydemands but merely to carry out the legislative policy laid down by the National Assembly in said Act,

to wit, “to promote safe transit upon and avoid obstructions on, roads and streets designated asnational roads by acts of the National Assembly or by executive orders of the President of thePhilippines” and to close them temporarily to any or all classes of traffic “whenever the condition of theroad or the traffic makes such action necessary or advisable in the public convenience and interest.” The delegated power, if at all, therefore, is not the determination of what the law shall be, but merelythe ascertainment of the facts and circumstances upon which the application of said law is to bepredicated. To promulgate rules and regulations on the use of national roads and to determine when and how longa national road should be closed to traffic, in view of the condition of the road or the traffic thereon andthe requirements of public convenience and interest, is an administrative function which cannot bedirectly discharged by the National Assembly.It must depend on the discretion of some other government official to whom is confided the duty of determining whether the proper occasion exists for executing the law. But it cannot be said that the

exercise of such discretion is the making of the law.

CERVANTES VS AUDITOR-GENERAL

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The rule is that so long as the Legislature "lays down a policy and a standard is established by thestatute" there is no undue delegation. Republic Act No. 51 in authorizing the President of thePhilippines, among others, to make reforms and changes in government-controlled corporations, laysdown a standard and policy that the purpose shall be to meet the exigencies attendant upon theestablishment of the free and independent government of the Philippines and to promote simplicity,economy and efficiency in their operations. The standard was set and the policy fixed. The Presidenthad to carry the mandate. This he did by promulgating the executive order in question which, tested bythe rule above cited, does not constitute an undue delegation of legislative power.

PANGASINAN TRANS CO VS PUBLIC SERVICE COM The challenged provisions of Commonwealth Act No. 454 are valid and constitutional because it is aproper delegation of legislative power, so called Subordinate Legislation . It is a valid delegationbecause of the growing complexities of modern government, the complexities or multiplication of thesubjects of governmental regulation and the increased difficulty of administering the laws. All that hasbeen delegated to the Commission is the administrative function, involving the use of discretion tocarry out the will of the National Assembly having in view, in addition, the promotion of public interestsin a proper and suitable manner. The Certificate of Public Convenience is neither a franchise norcontract, confers no property rights and is a mere license or privilege, subject to governmental controlfor the good of the public. PSC has the power, upon notice and hearing, to amend, modify, or revokedat any time any certificate issued, whenever the facts and circumstances so warranted. The limitationof 25 years was never heard, so the case was remanded to PSC for further proceedings.

LOVINA VS MORENO The objections of the appellees to the constitutionality of Republic Act No. 2056, not only as an unduedelegation of judicial power to the Secretary of Public Works but also for being unreasonable andarbitrary, are not tenable. It will be noted that R.A. 2056 merely empowers the Secretary to removeunauthorized obstructions or encroachments upon public streams, constructions that no private personwas anyway entitled to make, because the bed of navigable streams is public property, and ownershipthereof is not acquirable by adverse possessionIt is true that the exercise of the Secretary's power under the Act necessarily involves thedetermination of some questions of fact, such as the existence of the stream and its previous navigablecharacter; but these functions, whether judicial or quasi-judicial, are merely incidental to the exerciseof the power granted by law to clear navigable streams of unauthorized obstructions or encroachments,and authorities are clear that they are, validly conferable upon executive officials provided the partyaffected is given opportunity to be heard, as is expressly required by Republic Act No. 2056, section 2.It thus appears that the delegation by Congress to executive or administrative agencies of functions of judicial, or at least, quasi-judicial functions is incidental to the exercise by such agencies of theirexecutive or administrative powers, is not in violation of the Separation of Powers so far as thatprinciple is recognized by the Federal Constitution nor is it in violation of due process of law. The mere fact that an officer is required by law to inquire the existence of certain facts and to apply thelaw thereto in order to determine what his official conduct shall be and the fact that these acts mayaffect private, rights do not constitute an exercise of judicial powers. Accordingly, a statute may give tonon-judicial officers the power to declare the existence of facts which call into operation its provisions,and similarly may grant to commissioners and other subordinate officer, power to ascertain anddetermine appropriate facts as a basis for procedure in the enforcement of particular laws

PELAEZ VS AUDITOR GENERAL

Before Congress may delegate to another branch of the Government the power to fill in the details inthe execution, enforcement or administration, it is essential that said law:(1) be COMPLETE in itself. It must set forth therein the policy to be executed, carried out orimplemented by the delegate(2) fix a STANDARD. The limits of which are sufficiently determinate or determinable, to which thedelegate must conform in the performance of his functions.Section 68 of the Revised Administrative Code does not meet these well settled requirements for avalid delegation of the power to fix the details in the enforcement of a law.IF the validity of the delegation of powers made in Section 68 were upheld, there would no longer beany legal impediment to a statutory grant of authority to the President to do anything which, in hisopinion, may be required by public welfare or public interest. Such grant of authority would be a virtualabdication of the powers of Congress in favor of the Executive

SEPARATION OF POWERS

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CASE PRINCIPLES:MERALCO VS PASAY TRANSPORT CO The Supreme Court of the Philippine Islands represents one of the three divisions of power in ourgovernment. It is judicial power and judicial power only which is exercised by the Supreme Court. Justas the Supreme Court, as the guardian of constitutional rights, should not sanction usurpations by anyother department of the government, so should it as strictly confine its own sphere of influence to thepowers expressly or by implication conferred on it by the Organic Act. The Supreme Court and itsmembers should not and cannot be required to exercise any power or to perform any trust or toassume any duty not pertaining to or connected with the administering of judicial functions.

The Organic Act provides that the Supreme Court of the Philippine Islands shall possess and exercise jurisdiction as heretofore provided and such additional jurisdiction as shall hereafter be prescribed bylaw (sec. 26). When the Organic Act speaks of the exercise of "jurisdiction" by the Supreme Court, itcould not only mean the exercise of "jurisdiction" by the Supreme Court acting as a court, and couldhardly mean the exercise of "jurisdiction" by the members of the Supreme Court, sitting as a board of arbitrators. There is an important distinction between the Supreme Court as an entity and the membersof the Supreme Court. A board of arbitrators is not a "court" in any proper sense of the term,and possesses none of the jurisdiction which the Organic Act contemplates shall beexercised by the Supreme Court.Confirming the decision to the basic question at issue, the Supreme Court holds that section 11 of ActNo. 1446 contravenes the maxims which guide the operation of a democratic governmentconstitutionally established, and that it would be improper and illegal for the members of the SupremeCourt, sitting as a board of arbitrators, the decision of a majority of whom shall be final, to act on the

petition of the Manila Electric Company. As a result, the members of the Supreme Court decline toproceed further in the matter.

NOBLEJAS VS TEEHANKEEwhether the Commissioner of Land Registration may only be investigated by the Supreme Court, inview of the conferment upon him by the Statutes of the rank and privileges of a Judge of the Court of First Instance.But the more fundamental objection to the stand of petitioner Noblejas is that, if the Legislature hadreally intended to include in the general grant of "privileges" or "rank and privileges of Judges of theCourt of First Instance" the right to be investigated by the Supreme Court, and to be suspended orremoved only upon recommendation of that Court, then such grant of privileges would beunconstitutional, since it would violate the fundamental doctrine of separation of powers, by chargingthis court with the administrative function of supervisory control over executive officials, andsimultaneously reducing pro tanto the control of the Chief Executive over such officials.

GARCIA VS MACARAIG The line between what a judge may do and what he may not do in collaborating or working with otheroffices or officers under the other great departments of the government must always be kept clear and jealously observed, least the principle of separation of powers on which our government rests bymandate of the people thru the Constitution be gradually eroded. It is of grave importance to the judiciary under our present constitutional scheme of government that no judge or even the lowest courtin this Republic should place himself in a position where his actuations on matters submitted to him foraction or resolution would be subject to review and prior approval and, worst still, reversal, before theycan have legal effect, by any authority other than the Court of Appeals or this Supreme Court, as thecase may be. Needless to say, this Court feels very strongly that, it is best that this practice is

discontinued.

Note: (discussion in dissenting opinion) The doctrine of separation of powers, a basic concept under our Constitution, embodies the principle of a tripartite division of governmental authority entrusted to Congress, the President, and the SupremeCourt as well as such inferior courts as may be created by law. Three departments of government arethus provided for, the legislative vested with the lawmaking function, the executive with theenforcement of what has been thus enacted, and the judiciary with the administration of justice,deciding cases according to law. The reason for such a doctrine is to assure liberty, no one branchbeing enabled to arrogate unto itself the whole power to govern and thus in a position to impose itsunfettered will.It is to be admitted that the realities of government preclude the independence of each of thedepartments from the other being absolute. This is so especially as between the legislative and

executive departments. What the former enacts, the latter implements. To paraphrase Roosevelt, theletter of the Constitution requires a separation, but the impulse of a common purpose compelscooperation. It could be carried to the extent of such powers being blended, without undue danger toliberty as proved by countries having the parliamentary forms of government.

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- in case of discrepancy between basic law and a rule and regulation to implement said law, basiclaw prevails

- rule or regulation should be uniform in operation, reasonable, and not fair or discriminatory

Rules, regulations, and orders or rulings distinguished- “rules” and “regulations” are generally used interchangeably- Rules and regulations usually comprise those actions of such body or office in which the

legislative element predominates in that they establish a pattern of conduct thereafter to befollowed

- Orders and determinations are actions in which there is more of a judicial function, while rulesand regulations are actions in which legislative element predominates

Kinds of rule-making powers/rules and regulationsRule-making powers

a. Supplementary or detailed legislation: rule-making by reason of particular delegation of authorityb. Interpretative legislation: rule-making by the construction and interpretation of a statutebeing administeredc. Contingent legislation or determination: whether a statute shall go into effect

Administrative Rulesa. discretionary or legislativeb. interpretative

c. contingent

Legislative rules and regulations- a form of subordinate legislation which can be issued only in virtue of statutory delegation- 2 identifying characteristics of legislative rules:

a. statute has delegated power to the agency to adopt the ruleb. it provides that the rule shall, if within the delegated power, have authoritative force

Interpretative rules and regulations- those which purport to do no more than interpret the statute being administered, to say what it

means- constitute administrator’s construction of a statute- agency merely anticipating what ultimately must be done by the courts

Legislative and Interpretative rules distinguished- substance, not form, determines nature of regulations- Legislative rules:

in the nature of subordinate legislation;product of the power to create new and additional legal provisions that have the effect of law;may embody new law;may be issued only under express delegation of law;have force and effect of law, unless they are ultra vires

- Interpretative rules:product of interpretation and previously existing laws;merely clarify or provide guidelines to the law they interpret;

may be issued as a necessary incident of the administration of a regulatory statute;statutory interpretations, no statutory sanction

**No vested right can be acquired on a wrong construction of the law by administrative officials andsuch wrong interpretation does not place the government in estoppel to correct or overrule the same

Contingent rules and regulations- Congress may provide that a law shall take effect upon the happening of future specified

contingencies leaving to some other person or body the power to determine when the specifiedcontingency has arisen

Procedural Rules- those describing the methods by which the agency will carry out is appointed functions

Ordinance power of the President- classifications of presidential issuances under his ordinance power:

a. executive orders: implementation or execution of constitutional or statutory powers

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b. administrative orders: particular aspects of governmental operations in pursuance of hisduties as administrative headc. proclamations: fixing a date or declaring a status or condition of public interest, upon theexistence of which the operation of a specific law or regulation is made to dependd. memorandum orders: matters of administrative detail or of subordinate or temporary interestwhich only concern particular officers or officee. memorandum circulars: relating to administration for information or compliancef. general or special orders: in his capacity as commander-in-chief of AFP

Special advantages of rule-making power- legislative can concentrate upon enactment of fundamentals of policy- legislature has additional time to investigate the manner by which administrative authorities

have concretized and enforced its policies- rules are more easily amended than statutes, easier to correct mistakes- bureaucracy is subject to political responsibility with respect to discretionary matters- increasing certainty of the law

Requisites for validity of administrative rules and regulationsa. issued on the authority of lawb. not contrary to law and Constitutionc. promulgated in accordance with prescribed procedure

**in certain cases, notice and hearing may be necessary to comply with due process

Grant of rule-making powers- authority must be based upon some legislative act, without which an administrative rule and

regulation is null and void- does not depend for its existence solely upon express grant- authority to adopt reasonable rules and regulations deemed necessary to the efficient exercise

of the powers expressly granted

Consistency with law and the Constitution- must not be in conflict with law and the Constitution to be valid- must be within the scope and purview of the statutory authority granted- must strictly adhere to standard policies and limitations provided in the basic law vesting power

to them- must be germane to the object and purpose of the law- must be confined to details for regulating the mode of proceeding to carry into effect the law as

it has been enacted- in case of discrepancy between basic law and implementing rule or regulation, former prevails

Determination of validity of rulesLegislative Rule

a. whether the rule relates to the subject matter on which power to legislate has been delegatedb. whether the rule conforms to the standards prescribed in the delegatory statutec. whether the rule is invalid on constitutional grounds, such as due process

Interpretative Rule

a. whether the rule correctly interprets the statuteb. whether the rule amounts to an attempt to exercise legislative powers which have not beendelegated

Tests applied in determining validity of rules- a rule is invalid if its exceeds the authority conferred to it- a rule is invalid if it conflicts with the governing statute- a rule is void if it extends or modifies the statute- a rule is void if it has no reasonable relationship to the statutory purpose- courts will set aside rules deemed to be unconstitutional or arbitrary or unreasonable

Requirement of Reasonableness- bear reasonable relation to the purpose to be accomplished

- supported by good reasons- free from constitutional infirmities or charge of arbitrariness

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CASE PRINCIPLES:PHILIPPINE LAWYERS ASSOCIATION VS AGRAVAIn support of the proposition that much of the business and many of the act, orders and decisions of thePatent Director involve questions of law or a reasonable and correct evaluation of facts, the very PatentLaw, Republic Act No. 165, Section 61, provides that:

. . . . The applicant for a patent or for the registration of a design, any party to a proceeding tocancel a patent or to obtain a compulsory license, and any party to any other proceeding in theOffice may appeal to the Supreme Court from any final order or decision of the director.

In other words, the appeal is taken to this Tribunal. If the transaction of business in the Patent Office

and the acts, orders and decisions of the Patent Director involved exclusively or mostly technical andscientific knowledge and training, then logically, the appeal should be taken not to a court or judicialbody, but rather to a board of scientists, engineers or technical men, which is not the case. The Director of Patents, exercising as he does judicial or quasi-judicial functions, it is reasonable to holdthat a member of the bar, because of his legal knowledge and training, should be allowed to practicebefore the Patent Office, without further examination or other qualification.

PASCUAL VS COMMISSIONER OF CUSTOMSSection 74, Republic Act No. 265 authorized the Monetary Board, with the approval of the President, totemporarily suspend or restrict sales of exchange and to subject all transactions in gold and foreignexchange to license during an exchange crisis in order to protect the international reserve and to givethe Monetary Board and the Government time in to take constructive measures to combat such a crisis.Appellant failed to present to the Commissioner of Customs release certificates issued by the Central

Bank or its authorized agent banks for the importations in question. The Commissioner of Customsmay, therefore, seize them and order their forfeiture under the aforequoted provisions of the RevisedAdministrative Code. It is true that neither of the Circulars provide for the penalty of forfeiture. Butsince the importations in question were made without the necessary import license issued by theMonetary Board pursuant to Circular No. 45 and the release certificates issued by the Central Bank orits authorized agent bank in the prescribed form pursuant to Circular No. 44, they fall within the class of "merchandise of prohibited importation" or merchandise "the importation . . . of which is effected . . .contrary to law" that the Commissioner of Customs may seize and order forfeited. To sustain theappellant's theory of the case would render nugatory the aim and purpose of the law when it authorizesthe Central Bank to temporarily suspend or restrict the sale of foreign exchange and subject alltransactions in gold and foreign exchange to licensing during an exchange crisis in order to protect theinternational reserve and to give the Monetary Board and the Government time in which to takeconstructive measures to combat such a crisis.

TEOXON VS MEMBERS OF THE BOARD OF ADMINISTRATORS The recognition of the power of administrative officials to promulgate rules in the implementation of thestatute, necessarily limited to what is provided for in the legislative enactment.Of course the regulations adopted under legislative authority by a particular department must be inharmony with the provisions of the law, and for the sole purpose of carrying into effect its generalprovisions. By such regulations, of course, the law itself can not be extended. So long, however, as theregulations relate solely to carrying into effect the provisions of the law, they are valid.Where an administrative order betrays inconsistency or repugnancy to the provisions of the Act, "themandate of the Act must prevail and must be followed.It cannot be otherwise as the Constitution limits the authority of the President, in whom all executivepower resides, to take care that the laws be faithfully executed. 16 No lesser administrative executive

office or agency then can, contrary to the express language of the Constitution, assert for itself a moreextensive prerogative. Necessarily, it is bound to observe the constitutional mandate. There must bestrict compliance with the legislative enactment. Its terms must be followed. The statute requiresadherence to, not departure from, its provisions. No deviation is allowable. In the terse language of thepresent Chief Justice, an administrative agency "cannot amend an act of Congress."

MANUEL VS GENERAL AUDITING OFFICE This Court expressed its disapproval of an administrative order that would amount to an excess of theregulatory power vested in an administrative official.A rule is binding on the courts so long as the procedure fixed for its promulgation is followed and itsscope is within the statutory granted by the legislature, even if the courts are not in agreement withthe policy stated therein or its innate wisdom ... .On the other hand, administrative interpretation of the law is at best merely advisory, for it is the

courts that finally determine what the law means.

LUPANGCO VS COURT OF APPEALS

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We realize that the questioned resolution was adopted for a commendable purpose which is "topreserve the integrity and purity of the licensure examinations." However, its good aim cannot be acloak to conceal its constitutional infirmities. On its face, it can be readily seen that it is unreasonablein that an examinee cannot even attend any review class, briefing, conference or the like, or receiveany hand-out, review material, or any tip from any school, college or university, or any review center orthe like or any reviewer, lecturer, instructor, official or employee of any of the aforementioned orsimilar institutions. The unreasonableness is more obvious in that one who is caught committing the prohibited acts evenwithout any ill motives will be barred from taking future examinations conducted by the respondent

PRC. Furthermore, it is inconceivable how the Commission can manage to have a watchful eye on eachand every examinee during the three days before the examination period.It is an aixiom in administrative law that administrative authorities should not act arbitrarily andcapriciously in the issuance of rules and regulations. To be valid, such rules and regulations must bereasonable and fairly adapted to the end in view. If shown to bear no reasonable relation to thepurposes for which they are authorized to be issued, then they must be held to be invalid.Resolution No. 105 is not only unreasonable and arbitrary, it also infringes on the examinees' right toliberty guaranteed by the Constitution. Respondent PRC has no authority to dictate on the reviewees asto how they should prepare themselves for the licensure examinations. They cannot be restrained fromtaking all the lawful steps needed to assure the fulfillment of their ambition to become publicaccountants. They have every right to make use of their faculties in attaining success in theirendeavors

MONTECILLO VS CIVIL SERVICE COMMISSIONRespondent was expressly empowered to declare positions in the Civil Service as may properly beclassified as primarily confidential under Section 12, Chapter 3, Book V of the Administrative Code of 1987. To our mind, this signifies that the enumeration found in Section 6, Article IV of the Civil ServiceDecree, which defines the non-career service, is not an exclusive list. Respondent could supplement theenumeration, as it did when it issued Memorandum Circular No. 22, s. of 1991, by specifying positionsin the civil service, which are considered primarily confidential and therefore their occupants are co-terminous with the official they serve. The assailed memorandum circular can not be deemed as anunauthorized amendment of the law. On the contrary, it was issued pursuant to a power expresslyvested by law upon respondent. As such, it must be respected by this Court as a valid issuance of aconstitutionally independent body.

SMART COMMUNICATIONS INC VS NLRCAdministrative agencies possess quasi-legislative or rule-making powers and quasi-judicialor administrative adjudicatory powers. Quasi-legislative or rule-making power is the power tomake rules and regulations which results in delegated legislation that is within the confines of thegranting statute and the doctrine of non-delegability and separability of powers. The rules andregulations that administrative agencies promulgate, which are the product of a delegated legislativepower to create new and additional legal provisions that have the effect of law, should be within thescope of the statutory authority granted by the legislature to the administrative agency. It is requiredthat the regulation be germane to the objects and purposes of the law, and be not in contradiction to,but in conformity with, the standards prescribed by law. They must conform to and be consistent withthe provisions of the enabling statute in order for such rule or regulation to be valid. Constitutional andstatutory provisions control with respect to what rules and regulations may be promulgated by anadministrative body, as well as with respect to what fields are subject to regulation by it. It may not

make rules and regulations which are inconsistent with the provisions of the Constitution or a statute,particularly the statute it is administering or which created it, or which are in derogation of, or defeat,the purpose of a statute. In case of conflict between a statute and an administrative order, the formermust prevail.Not to be confused with the quasi-legislative or rule-making power of an administrative agency is itsquasi-judicial or administrative adjudicatory power. This is the power to hear and determinequestions of fact to which the legislative policy is to apply and to decide in accordance with thestandards laid down by the law itself in enforcing and administering the same law. The administrativebody exercises its quasi-judicial power when it performs in a judicial manner an act which is essentiallyof an executive or administrative nature, where the power to act in such manner is incidental to orreasonably necessary for the performance of the executive or administrative duty entrusted to it. Incarrying out their quasi-judicial functions, the administrative officers or bodies are required toinvestigate facts or ascertain the existence of facts, hold hearings, weigh evidence, and draw

conclusions from them as basis for their official action and exercise of discretion in a judicial nature.In questioning the validity or constitutionality of a rule or regulation issued by anadministrative agency, a party need not exhaust administrative remedies before going tocourt. This principle applies only where the act of the administrative agency concerned was

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performed pursuant to its quasi-judicial function, and not when the assailed act pertainedto its rule-making or quasi-legislative power.

INTERNAL RULES

Internal rules and regulations

- administrative rules and regulations issued by a superior administrative or executive officer tohis subordinates for the proper and efficient administration of the law

- Object: efficient and economical administration of the affairs of the department or agency inwhich they are issuedcreate no relation except between the official who issues them and the official who receivesthem

- Nature: administrative and do not pass beyond the limits of the department or agency to whichthey are directed or in which they are publishedCreates no rights in third persons

CASE PRINCIPLES:MAGLUNOB VS NAFCO

After hearing the court dismissed the complaint on the ground that the parcel of land in questionbelongs exclusively to a corporation whose board of directors happens to be the same board of directors of the respondent NAFCO and for that reason the respondent cannot alienate the lands inquestion to the petitioners. A motion for reconsideration was denied. From the order of dismissal thepetitioners have appealed.If NAFCO is the manager of the parcel of land or is managing the plantation therein, it is not the realparty in interest or the party against whom the action should be brought . At the preliminary hearingunder section 5, Rule 8, the party asserting a fact must prove it by competent evidence. The duplicatefor the owner of the Torrens certificate of title must have been presented or the original in the office of the Registrar of Deeds must have been exhibited to the Court. Nevertheless, there is another groundwhich makes it unnecessary to remand the case for further proceedings to ascertain who is the ownerof the parcel of land involved in the litigation, because granting that the parcel of land is includedamong those that should be disposed of in accordance with the provisions of Republic Act No. 65, stillthe petitioners have no specific legal right and the respondent has no specific legal duty enjoined bylaw to perform in connection therewith. It is only a preference and that involves a discretion todetermine whether the applicants for lease or sale of parts of a parcel of land under the managementof the respondent are entitled to such lease or purchase under the provisions of Republic Act No. 65.Going over the provisions of the directives referred to in the petition for mandamus we fail to find anywhich confers upon the petitioners a specific legal right and imposes a duty upon the respondentenforceable by mandamus. And it must be so, because executive orders or directives of the Presidentare administrative in nature and they cannot, generally, confer any right because this is only conferredby law.

INTERPROVINCIAL AUTOBUS CO INC VS COLLECTOR OF INTERNAL REVENUEIt cannot be denied that the regulation is merely a directive to the tax officers; it does not

purport to change or modify the law; it does not create a liability to the stamp tax when the value of the goods does not appear on the face of the receipt. The practical usefulness of the directive becomesevident when account is taken of the fact that tax officers are in no position to witness the issuance of receipts and check the value of the goods for which they are issued. If tax officers were to assess orcollect the tax only when they find that the value of the goods covered by the receipts is more than fivepesos, the assessment and collection of the tax would be well-nigh impossible, as it is impossible fortax collectors to determine from the receipts alone, if they do not contain the value of the goods,whether the goods receipted for exceed P5, or not. The regulation impliedly required the statement of the value of the goods in the receipts; so that the collection of the tax can be enforced. This thePetitioner-Appellant failed to do and he now claims the unreasonableness of the provision as a basis forhis exemption. We find that the regulation is not only useful, practical and necessary for theenforcement of the law on the tax on bills of lading and receipts, but also reasonable in its provisions. The regulation above quoted falls within the scope of the administrative power of the Secretary of

Finance, as authorized in Section 79 (B) of the Revised Administrative Code, because it is essential tothe strict enforcement and proper execution of the law which it seeks to implement. Said regulationshave the force and effect of law.

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“In the very nature of things in many cases it becomes impracticable for the legislative department of the Government to provide general regulations for the various and varying details for the managementof a particular department of the Government. It therefore becomes convenient for the legislativedepartment of the Government, by Law, in a most general way, to provide for the conduct, control andmanagement of the work of the particular department of the Government; to authorize certain persons,in charge of the management, control, and direction of the particular department, to adopt certainrules and regulations providing for the detail of the management and control of suchdepartment. Such regulations have uniformly been held to have the force of law, whenever they arefound to be in consonance and in harmony with the general purposes and objects of the law Such

regulations, once established and found to be in conformity with the general purposes of the law, are just as binding upon all of the parties, as if the regulations had been written in the original law itself .”

61777393 administrative law midterm reviewer by cherry

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