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    PHILIPPINE OVERSEAS TELECOMMUNICATIONS CORPORATION (POTC) AND

    PHILIPPINE COMMUNICATIONS SATELLITE CORPORATION (PHILCOMSAT),

    Petitioners,

    vs.

    VICTOR AFRICA, ERLINDA I. BILDNER, SLVIA !. ILUSORIO, HONORIO

    POBLADOR III, VICTORIA C. DELOS REES, "OHN BENEDICT SIOSON, AND"OHN#"ANE DOES. Res$on%ents.

    G.R. No. 184622 July 3, 2013

    & ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' &

    PHILIPPINE OVERSEAS TELECOMMUNICATIONS CORPORATION (POTC) AND

    PHILIPPINE COMMUNICATIONS SATELLITE CORPORATION (PHILCOMSAT),

    Petitioners,

    vs.

    HON. "ENN LIN ALDECOA'DELORINO, PAIRIN "UDE OF THE REIONAL

    TRIAL COURT OF MA!ATI CIT'BRANCH *+, VICTOR AFRICA, $r$orte%-re$resentin/ PHILCOMSAT, AND "OHN#"ANE DOES. Res$on%ents.

    G.R. Nos. 184712-14

    & ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' &

    PHILCOMSAT HOLDINS CORPORATION, re$resente% 0 CONCEPCION

    POBLADOR, Petitioner,

    vs.

    PHILIPPINE COMMUN-CATIONS SATELLITE CORPORATION (PHILCOMSAT),

    re$resente% 0 VICTOR AFRICA, Res$on%ent.

    G.R. No. 186066 

    & ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' &

    PHILCOMSAT HOLDINS CORPORATION, re$resente% 0 ERLINDA I. BILDNER,

    Petitioner,

    vs.

    PHILCOMSAT HOLDINS CORPORATION, re$resente% 0 ENRI1UE L. LOCSIN,

    Res$on%ent.G.R. No. 186590

     BERSAMIN, J.:

    FACTS2

    After the EDSA Revolution, Philippine Communication Satellite Corporation

    (PHILCOMSA! an" Philippine Over#ea# elecommunication# Corporation (POC! $ere

    amon% tho#e #e&ue#tere" ' the Philippine Commi##ion on )oo" )overnment. PHILCOMSA,$ho#e ma*orit #harehol"er# are the #ame familie# $ho control an" o$n POC (Ilu#orio, +ieto,

    Po'la"or, Africa, ene"icto, Ponce Enrile an" Eli-al"e!, o$n /0 of the out#tan"in% capital

    #toc1 of Phicom#at Hol"in%# Corporation (PHC!. Durin% the Arroo a"mini#tration, re#pon"ent#

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    Loc#in, An"al an" 2alan"oni $ere appointe" nominee "irector# repre#entin% the Repu'lic of the

    Philippine# throu%h the PC)) in the 'oar" of "irector# of PHILCOMSA. he #i"e" $ith the

     +ieto )roup.

    In the 2ul 3, 3445 meetin% of the POC an" PHICOMSA, 6ictor Africa $a# electe"

    a# one of the "irector# in the Africa7il"ner )roup8 he $a# "e#i%nate" a# the POC pro9 to thePHILCOMSA #toc1hol"er# meetin%. :hile An"al an" +ieto $ere electe" Director# to 'oth

    POC an" PHICOMSA, the "i" not accept their nomination#. In#tea", the +ieto7PC)) %roup

    on the other han", hel" their o$n election for the PHILCOMSA on Au%u#t ;, 3445, $hereManuel +ieto 2r. An" Enri&ue Loc#in $ere electe" a# Chairman an" Pre#i"ent of PHILCOMSA.

    he al#o i##ue" a pro9 in favour of +ieto 2r Loc#in (Director an" Actin% Chairman!8

    Oliverio Laperal (Director an" 6ice7Chairman!8 Manuel H. +ieto, 2r. (Director, Pre#i"ent an"Chief E9ecutive Officer!8 Philip ). ro"ett (Director an" 6ice7Pre#i"ent!8 An"al (Director,

    rea#urer an" Chief ?inancial Officer!8 Ro'erto 6. San 2o#e (Director an" Corporate Secretar!82alan"oni, Lo1in, 2r., Pru"encio Somera, Ro'erto A'a" an" enito Araneta a# Director#.

    hereafter, variou# #uit# $ere file" a%ain#t each other ' the t$o faction# to %ainle%itimac of their election a# re#pective officer# of POC an" PHILCOMSA. he Africa

    %roup #ou%ht the invali"ation of the pro9 i##ue" in favor of +ieto, 2r. an"

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    capacit a# pre#i"ent

    he petition ha# no merit.

    On the fir#t i##ue, $e rule" that it i# the RC an" not the San"i%an'aan $hich ha#

     *uri#"iction over ca#e# $hich "o not involve a #e&ue#tration7relate" inci"ent 'ut an intra7

    corporate controver#. he RC, not the San"i%an'aan, that ha# *uri#"iction, $hen acontrover# i# intra7corporate in nature, a# the aro#e out of intra7corporate relation# 'et$een

    an" amon% #toc1hol"er#, an" 'et$een #toc1hol"er# an" the corporation, even thou%h it i# a

    #e&ue#tere" corporation.

    Ori%inall, Section B of Pre#i"ential Decree (P.D.! +o. ;437A ve#te" the ori%inal an"

    e9clu#ive *uri#"iction in the SEC over intra7corporate controver#ie# an" the other ca#e#

    enumerate" in Section B of P.D. +o. ;437A. pon the enactment of Repu'lic Act +o. ;; (heSecuritie# Re%ulation Co"e!, effective on Au%u#t , 3444, the *uri#"iction of the SEC over intra7

    corporate controver#ie# an" the other ca#e# enumerate" in Section B of P.D. +o. ;437A $a#

    tran#ferre" to the Re%ional rial Court pur#uant to Section B.3 of the la$. o implement Repu'licAct +o. ;;, the Court promul%ate" it# re#olution of +ovem'er 3/, 3444 in A.M. +o. 447//74=7

    SC "e#i%natin% certain 'ranche# of the RC to tr an" "eci"e the ca#e# enumerate" in Section B

    of P.D. +o. ;437A. Amon% the RC# "e#i%nate" a# #pecial commercial court# $a# the RC(ranch /=! in Ma1ati Cit.

    On March /=, 344/, the Court a"opte" an" approve" the Interim Rule# of Proce"ure for 

    Intra7Corporate Controver#ie# un"er Repu'lic Act +o. ;; in A.M. +o. 4/737457SC, effective

    on April /, 344/, $ho#e Section / an" Section 3, Rule #tate>

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    Section 3. Definition. An election conte#t refer# to an controver# or "i#pute involvin% title or 

    claim to an elective office in a #toc1 or non7#toc1 corporation, the vali"ation of pro9ie#, themanner an" vali"it of election#, an" the &ualification# of can"i"ate#, inclu"in% the proclamation

    of $inner#, to the office of "irector, tru#tee or other officer "irectl electe" ' the #toc1hol"er# in

    a clo#e corporation or ' mem'er# of a non7#toc1 corporation $here the article# of incorporationor '7la$# #o provi"e.

    Conforma'l $ith Repu'lic Act +o. ;;, an" $ith the en#uin% re#olution# of the Courton the implementation of the tran#fer of *uri#"iction to the Re%ional rial Court, the RC

    (ranch /=! in Ma1ati ha" the authorit to hear an" "eci"e the election conte#t 'et$een the

     partie# herein. here #houl" 'e no "i#a%reement that *uri#"iction over the #u'*ect matter of an

    action, 'ein% conferre" ' la$, coul" neither 'e altere" nor convenientl #et a#i"e ' the court#an" the partie#.

    o 'uttre## it# po#ition, ho$ever, the +ieto7Loc#in )roup relie" on Section 3 of 

    E9ecutive Or"er +o. /5, $hich e9pre##l man"ate" that the PC)) F#hall file all #uch ca#e#,$hether civil or criminal, $ith the San"i%an'aan, $hich #hall have e9clu#ive an" ori%inal

     *uri#"iction thereof.G he reliance $a# un$arrante". Section 3 of E9ecutive Or"er +o. /5 ha" noapplication herein #impl 'ecau#e the #u'*ect matter involve" $a# an intra7corporate

    controver#, not an inci"ent# ari#in% from, inci"ental to, or relate" to an ca#e involvin% a##et#

    $ho#e nature a# ill7%otten $ealth $a# et to 'e "etermine". Moreover, the *uri#"iction of theSan"i%an'aan ha# 'een hel" not to e9ten" even to a ca#e involvin% a #e&ue#tere" compan

    not$ith#tan"in% that the ma*orit of the mem'er# of the 'oar" of "irector# $ere PC))

    nominee#.

    In the ca#e# no$ 'efore the Court, $hat are #ou%ht to 'e "etermine" are the propriet of 

    the election of a part a# a Director, an" hi# authorit to act in that capacit. Such i##ue# #houl"

     'e e9clu#ivel "etermine" onl ' the RC pur#uant to the pertinent la$ on *uri#"iction 'ecau#ethe "i" not concern the recover of ill7%otten $ealth. In the ca#e at 'ar, the complaint concern#

    PHILCOMSA@# "eman" to e9erci#e it# ri%ht of in#pection a# #toc1hol"er of PHC 'ut $hich

     petitioner# refu#e" on the %roun" of the on%oin% po$er #tru%%le $ithin POC an"PHILCOMSA that #uppo#e"l prevent# PHC from reco%ni-in% PHILCOMSA@# repre#entative

    (Africa! a# po##e##in% #uch ri%ht or authorit from the le%itimate "irector# an" officer#. Clearl,

    the controver# i# intra7corporate in nature a# the aro#e out of intra7corporate relation# 'et$een

    an" amon% #toc1hol"er#, an" 'et$een #toc1hol"er# an" the corporation.