Atlantic Mutual v. Cebu Stevedoring Co. G.R. No. 18961 (1966) DOC R!

N"# $egal %er&onalit' to &ue (u&t be &tated in t)e co(%laint *iled +AC S# , , - order&.deci&ion& o* C+!/ la&t one di&(i&&ed A%%ellant& (*oreign cor%&)# o Atlantic Mutual !n&urance Co(%an' o Continental !n&urance Co(%an' , A%%ellant& &ued Cebu Stevedoring Co(%an' (do(e&tic cor% 0 a%%ellee) *or recover' o* &u( o* (one'/ clai(ing# o 1%on di&c)arge/ a %ortion o* co%ra 2a& *ound da(aged o Said co%ra/ in&ured 2it) a%%ellant& o Da(age 3 4)% 15/9-6.-6 , Cebu Stevedoring (otioned to di&(i&& on 7 ground&# o 4lainti** 8no legal %er&onalit'9 o No cau&e o* action o :a&i&# +ailure to allege &ec 69 o* Cor% $a2 , , , , C+! *ound t)e co(%laint to be de*icient &o )e gave c)ance to t)e a%%ellant& to a(end co(%laint A%%ellant told t)e court t)at t)e' 2ont a(end and 2ill ;u&t 2ait *or di&(i&&al to be able to a%%eal t)e ca&e to SC <ence/ %re&ent ca&e be*ore t)e SC A%%ellant& contend t)at &uc) inter%retation o* &tatute i& erroneou& o )at *oreign cor%& cannot &ue becau&e o* lac= o* legal %er&onalit'

!SS1"# Can a *oreign cor% &ue in t)e 4)ili%%ine&> YES RA !O# , <O?"@"R/ SC &till a**ir(ed t)e C+!A& di&(i&&al. ?)'>

o It may be that private respondent has the right to sue before Philippine courts, BUT our rules on pleadings require that the necessary qualifying circumstances,

which clothe it with such right, be affirmatively pleaded. o These are matters peculiarly within the knowledge of appellants alone, and it would be unfair to impose upon appellees the burden of asserting and proving the contrary. It is enough that foreign corporations are allowed by law to seek redress in our courts under certain conditions: the interpretation of the law should not go so far as to include, in effect, an inference that those conditions had been met from the mere fact that the party sued is a foreign corporation. o It was indeed in the light of this and other considerations that this Court has seen fit to amend the former rule by requiring in the revised rules (Section 4, Rule 8) that facts showing the capacity of a party to sue or be sued or the authority of a party to sue or be sued in a representative capacity or the legal existence of an organized association of persons that is made a party, MUST BE AVERRED