Basic Principles

Administrative law body of law created by administrative agencies in the

form of rules, regulations, orders, and decisions
Administration- the aggregate of those persons in whose hands the reins
of government are for the time being
Government entity through which the will of the State is formulated,
articulated, and achieved; the institution or aggregate of institutions by
which an independent society makes and carries out those rules of action
which are necessary to enable men to live in a social state

Functions of government:
1) Constituent compulsory functions which form the very bonds of
society
a. Keeping of order and providing for the protection of persons and
property
b. Fixing of relations between husband and wife, parents and
children
c. Regulation of holding, transmission, and interchange of
property and its liabilities
d. Determination of contract rights between individuals
e. Definition of punishment of crime
f. Administration of justice in civil cases
g. Determination of political duties, privileges, and relations of
citizens
h. Dealings of the state within foreign powers
2) Ministrant optional functions of government designed to achieve a
better collective life for the community
a. Govt should do for the public welfare those things which private
capital would not naturally undertake
b. Govt should do those things which by its very nature it is better
equipped to administer
The term Government of the Republic of the Philippines refers only to that
government entity through which the functions of the government are
exercised as an attribute of sovereignty; it does not include government
entities which are given a corporate personality separate and distinct from
the government and which are governed by the Corporation Law

The term National Government refers only to the central government,

consisting of the legislative, executive, and judicial branches

The term government should be construed in its implied sense and not in
the strict signification of the term Government of the Philippines as the
political entity through which political authority is exercised; hence, a
corporation exercising proprietary or governmental functions should be
deemed embraced within the term
In administrative law, a superior body having supervision and control over
another office may do directly what the latter is supposed to do or ought to
have done

Where a statute has not yet been previously interpreted by the Supreme
Court, the construction given to it by the administrative agency mandated
by law to implement or enforce said law, should be given great weight

Administrative regions are not political subdivisions; they are merely

groupings of contiguous provinces for purposes of facilitating
administration

Decisions of courts interpreting the charters, powers and functions of

administrative bodies, such as the authority to fix rates and prices, are a
source of administrative law

Under the old Industrial Peace Act, preliminary investigations conducted by

the CIR are judicial in nature, unlike preliminary investigations conducted
by prosecutors in criminal cases which are administrative in character

All administrative organizations are adjuncts of the Executive Department;

the heads of the various executive departments are assistants and agents of
the Chief Executive

The general rule is that a public officer is not liable for damages which a
person may suffer arising from the just performance of his official duties
and within the scope of his assigned tasks. However, a public officer is by
law not immune from damages in his/her personal capacity for acts done in
bad faith which being outside the scope of his authority, are no longer
protected by the mantle of immunity for official actions.

A public officer who directly or indirectly violates the constitutional rights of

another, may be validly sued for damages under Article 32 of the Civil Code
e en if his acts were not so tainted with malice or bad faith.

Courts must first give administrative agencies the opportunity to decide on

matters falling under their jurisdiction.

Between the Administrative Code of 1987 and AO 87 issued by the Office of

the Ombudsman, the latter governs in an administrative complaint filed
with said Office

For the orderly administration of justice, the Supreme Court has the
inherent power to punish for contempt administrative agencies that
disregard or disobey an order of the Court.
Malaga vs Penachos 213 SCRA 516

De la Llana vs Alba 112 SCRA 296

POWERS OF ADMINISTRATIVE AGENCIES

An agency is defined as any department, bureau, office, commission,

authority or officer of the National Government authorized by law or
executive order to make rules, issue licenses, grant rights or privileges and
adjudicate cases
Governmental Agency- means by which a government actsAdministrative
agency- authority or body composed of one or more officials, which is
designed to carry on certain services or privileges accorded by the
government
Administrative Board- an agency created to carry on the functions of
regulation and control over the conduct and affairs of individuals for their
own welfare, vested with the power of promulgating rules and regulations
to better carry out the policy of the legislature
Department- executive department creted by law with the rank of
department
Bureau any principal subdivision or unit of any department
Office- any major functional unit of a department or bureau including
regional offices
Government Instrumentality any agency of the National Government ,
not integrated within the department framework, vested with special
functions or jurisdiction by law
Regulatory Agency- any agency vested expressly vested with jurisdiction
to regulate, administer or adjudicate substantial rights and interests of
private persons
Chartered Institutions- any agency organized under a special charter
Government-Owned or Controlled Corporation- any agency organized
as a stock or non-stock corporation vested with functions relating to public
needs whether governmental or proprietorial in nature

Three modes by which the attachment of an agency or office to a mother

department may be accomplished:
a. Attachment lateral relationship between the department or its
equivalent and the attached agency for purposes of policy and
coordination
b. Suoervision and control
c. Administrative supervision

Government corporations may be created by special charters or by

incorporation under the general corporation law; those created by special
charters are governed by the Civil Service Law while those incorporated
under the general corporation law are governed by the Labor Code.

If created by the Constitution itself, the administrative body can be altered

or abolished only by constitutional amendment; but where the body was
created only by statute, the legislature that breathed life into it can amend
or even repeal its charter, thereby resulting in its abolition, which is
justified if made in good faith and not attended by grave abuse of discretion

When the term of a non-incorporated agency expires, its duties, functions,

assets, and liabilities, revert back to, and are reassumed by, the Republic of
the Philippines, in the absence of special provisions of law specifying some
other disposition thereof such as devolution or transmission of such powers,
duties, functions, etc to some other identified successor agency or
instrumentality.

A water district is a government owned or controlled corporation with a

special charter; the directors of such entity are prohibited from receiving
compensation other than per diems.

The PEA and the NHA are government agencies both authorized to
undertake land reclamation projects.

Tio vs Videogram Regulatory Board 151 Scra 208

US vs Ang Tang Ho 43 Phil 1
Ynot vs IAC 148 Scra 659
Marcos vs Manglapuz 177 Scra 668
Carino vs CHR 204 Scra 1991
LLDA vs CA 231 Scra 292

RULE-MAKING POWER

Quasi-legislative power or subordinate legislation - authority

delegated by the legislature to the administrative agency to enact rules and
regulations that are designed to carry out the provisions of the law and
implement legislative policy. Discretion to determine how the law shall be
enforced.
Requisites for Validity of an Administrative Regulation
1) The promulgation of the regulation must be authorized by the
legislature.
2) It must be within the scope of the authority granted by the legislature.
3) It must be issued in accordance with the prescribed procedure.
4) It must be reasonable.

Types of Administrative Regulations

 1) Legislative rules and regulations issued for the purpose of
supplementing the law that the administrative agency is tasked to
enforce, or of filling in the gaps of the statute. Partakes the nature of
subordinate legislation
2) Interpretative rules and regulations- merely interpreting what the
law purports to mean, or of clarifying the provisions of the statute.

Where the law to be implemented by an administrative body does not

impose criminal penalties, it follows that the rules and regulations
promulgated by the administrative agency to carry into effect the provisions
of the law cannot incorporate any criminal liability.

Requisites of validity of penal regulations

a) Statute itself must provide that transgression is punishable
b) Statute itself must mete out the specific penalty for the violation of
the regulation
c) The regulation must be published in accordance with law

Contemporaneous construction interpretation or construction placed

upon a statute by the executive or administrative officer called upon to
enforce or administer it
a) Interpretation by the administrative officer
b) Interpretation in adversarial proceedings (thru quasi decisions by
quasi-judicial powers)

Administrative agencies can exercise not only expressly granted powers but
also such powers as are necessary implied in the exercise of their express
powers (implied powers).

Administrative agencies will be deemed to have exceeded their authority

where they issue rules and regulations punishing certain acts that the
enabling statute itself does not penalize.

Administrative rules and regulations are intended to carry out, not supplant
or modify the law. No ultra vires act

Regulation may be a valid exercise of police power but it will be

unenforceable if it does not comply with the requirements of publication.

The rate-fixing power of administrative agencies may be either a legislative

function or an adjudicative function. If it were a legislative function, the
grant of prior notice and hearing to the affected parties is not a requirement
of due process. As regards rates prescribed by an administrative agency in
the exercise of its quasi-judicial function, prior notice and hearing are
essential to the validity of such rates.
In case of conflict, a statute will prevail over the administrative regulation,
which was only issued to implement the statute.

Where what is assailed is the validity or constitutionality of a rule or

regulation issued by the administrative agency in the performance of its
quasi-legislative function, the regular courts have jurisdiction to pass upon
the same.

Cruz vs Youngberg 56 Phil 234

Araneta vs Gatmaitan 101 Phil 328
People vs Macerer 79 Scra 250
Bautista vs Juinio 127 Scra 329
Maceda vs ERB 192 Scra 363
Philippine Consumers Foundation vs DECS 153 Scra 622
CIR vs CA 261 Scra 236
Taxicab Operators of Metro Manila vs BOT 117 Scra 597
US vs Panlilio 28 Phil 608
Holy Spirit Homeowners Association vs Defensor GR No 163980
Ople vs Torres 293 Scra 141
PSDSA vs De Jesus GR No. 157299

QUASI-JUDICIAL POWER
Power of adjudication applies to the action, and the discretion of public
officers tasked to investigate facts, or ascertain the existence of facts and
draw conclusions from them as basis for their official action, and to exercise
discretion of a judicial nature.

Requisites for Proper Exercise of Quasi-Judicial Power

1) Jurisdiction must be duly acquired by the administrative body
2) Due process must be observed during the conduct of administrative
proceedings

Requisites of Administrative Due Process

a) the right to a hearing, which includes the right to present own case
and evidence
b) the tribunal must consider the evidence presented
c) the decision must have some evidence to support it
d) evidence supporting the decision must be substantial
e) the decision must be rendered on the evidence presented, or at least
contained in the record and disclosed to the parties affected
f) the adjudicating body must act on its own independent consideration
of the law and facts of the controversy, and not simply accept the
views of a subordinate in arriving at a decision
g) the decision must be be rendered in such a manner that the parties
can know the various issues involved and the reasons for the decision
rendered
Right to Notice and Hearing: Exceptions
a) summary abatement of a nuisance per se
b) urgency of immediate action
c) the fact that the right to hearing has been previously offered but not
availed of
d) preventive suspension of a public officer facing administrative
charges
e) summary distraint and levy of a delinquent taxpayers property
f) closure of unsanitary restaurants and theaters exhibiting obscene
films
g) cancellation of the passport of a person wanted by authorities for
criminal prosecution

The right to counsel is not an indispensable component of due process in

administrative proceedings. It may be waived.

The quantum of proof prescribed for a final determination of a pending

issue in an administrative proceeding is substantial evidence. It is such
relevant evidence as a reasonable mind might accept as adequate to
support a conclusion.

Liberal application of technical rules in administrative proceedings to

facilitate the expeditious resolution of controversies before them.

The power to issue subpoena and put into contempt is not inherent and
must be expressly conferred to administrative agencies.

Allowed administrative sanctions:

a) destruction of illegal articles
b) revocation of, or refusal to renew licenses or franchises
c) summary closure of establishments found violating a law or ordinance
d) issuance of ceast and desist orders
e) refusal to issue clearances
f) detention and deportation of undesirable aliens
g) imposition of fines

Res judicata (a final judgment rendered by a court of competent

jurisdiction on the merits is conclusive as to the rights of the parties and
their privies, and as to them, constitutes an absolute bar to a subsequent
action involving the same claim, demand, or cause of action) applies.

Giving a party an opportunity to be heard is sufficient compliance with due

process; findings of fact made by administrative bodies must be respected,
as long as they are supported by substantial evidence.
Where the administrative decision is merely based upon documentary
evidence that are not sufficiently substantial and probative, the standard of
fairness mandated in due process caluse is n ot met.
While strict rules of evidence are not applicable to quasi-judicial
proceedings, nevertheless, in adducing evidence, the basic rule that mere
allegation is not evidence cannot be disregarded.

An administrative agency has discretion to conduct a proper hearing to

determine the culpability or non-culpability of parties doing business with
it; the agency does not have to rely on the findings of other offices to
discharge this function.

Syquia vs Board of Power 72 Scra 212

Globe Wireless vs Public Service Commission 147 Scra 269
Philippine Association of Lawyers vs Agrava 105 Phil 173
Guevarra vs Comelec 104 Phil 268
Ang Tibay vs CIR 69 Phil 635
Secretary of Justice vs Lantion GR 139465

JUDICIAL REVIEW

Judicial review re-examination or reconsideration performed by courts of

law, in the exercise of their judicial power, as to the legality or validity of
orders and decisions of administrative agencies.

General Rule: Well entrenched is the dictum that courts of justice will not
interfere with executive or administrative matters because these are better
addressed to the sound discretion of administrative officers, such as the
grant of licenses, permits, etc.

Exception: a) where the Constitution or statute allows it

b)where the issues or matters to be reviewed involve pure
questions of law.

The aggrieved party in an administrative case may, in the permissible

instance, ask the courts to review an agency action.

Where the statute is silent, ordinary civil actions cannot be resorted to; the
remedies that may be availed are the special civil actions for certiorari,
prohibition, and/or mandamus under Rule 65 of the Rules of Court.

Ordinary Civil Actions

Injunction subject matter is purely administrative act issued in the
exercise of rule-making
Ex. Award a contract for delivery of materials
Appeal on petition for review- appeal from the decisions or final orders of
administrative bodies exercising quasi-judicial functions filed with the CA
pursuant to Sec 9 of BP 129 and Rule 43 of the RRC. (Only specified
agencies.) Not applicable to cases under the Labor Code

Special Civil Actions

Petition for certiorari- special civil action under Rule 65 seeking to nullify
or modify an order, resolution or decision of an administrative agency
performing judicial or quasi-judicial functions, which acted without or
in excess of discretion amounting to lack of jurisdiction, there is no
appeal or any plain, speedy and adequate remedy in the ordinary course of
law.

Prohibition- when the proceedings of the agency exercising whether

judicial, quasi-judicial or ministerial functions, are without or in
excess of its jurisdiction, or with grave abuse of discretion, and there
is no appeal or any other plain, speedy and adequate remedy and praying
that judgment be reneded commanding the respondent to desist from
further proceedings in the action or matter

Mandamus- when the administrative agency unlawfully neglects the

performance of an act which the law specifically enjoins as a duty resulting
from an office, or unlawfully excludes another from the entitled use or
enjoyment of right and there is no other plain, speedy, and adequate
remedy, this may be filed to compel the agency to do the act required to be
done. This is not available to control discretion but only ministerial acts.

Exhaustion of Administrative Remedies an aggrieved party can bring

an administrative decision for review by a court of law only after showing
that all available remedies within the administrative machinery have first
been exhausted. The assailed order rendered by an administrative agency
or officer must be appealed to the superior agency or officer in the
administrative hierarchy, and must be pursued to its appropriate conclusion.

Principle of Separation of Powers- courts of justice should adopt a

becoming policy of non-interference with matters coming primarily within
the competence of other departments, and respect the factual findings of
administrative agencies, which in the first place have special competence
on the matters involved.

Exceptions on exhaustion of administrative processes:

a) a purely legal question
b) there is urgent necessity for the court to intervene so as not to nullify
the aggrieved partys claim
c) act or violation subject of the case is patently illegal
 d) when the administrative agency is in estoppel
e) when great and irreparable injury will be caused to an aggrieved
party
f) where the matter or claim involved is too minor small, that to require
the claimant administrative remedies would be oppressive and
unreasonable
g) where the case is impressed with strong public interest
h) when the appeal to higher administrative authorities will not afford a
plain, sppedy and adequate remedy
i) when the subject of the proceeding is not part of the public domain
but private land
j) where the controversy has become moot and academic
k) where the case involves quo warranto proceedings

Qualified Political Agency- the acts of the secretary are deemed to be the
acts of the President. The President cannot be expected to exercise his
control powers all at the same time and in person, he will have to delegate
some of them to his Cabinet members.

Prior Resort or Primary Jurisdiction administrative issues, which

normally involve questions of fact, must be resolved, not by courts of law,
but by specialized administrative agencies. Where the claim is originally
cognizable by the court and its enforcement requires resolution of issues
which have been placed within the special competence of an administrative
agency, the judicial process should be suspen ded pending referral of such
claim to the administrative agency for its insights.

With respect to factual issues, the findings of fact by administrative

entities on subject matters within the ambit of their authority , and
supported by substantial evidence, are entitled to great respect, if not
finality.

Only judicial bodies can finally interpret and resolve legal questions.

Ordinarily, a motion for reconsideration of the assailed administrative

decision must first be resolved before the controversy is considered ripe for
judicial determination; an exception is when the controversy raises a very
important issue and involves strong public interest.

The general rule is that the power to abolish a public office is lodged with
the legislature; the exception, however, is that as far as bureaus, agencies,
or offices in the executive department are concerned, the Presidents power
of control may justify him to inactivate the functions of a particular office, or
certain laws may grant him the broad authority to carry out reorganization
measures.
The Doctrine of Primary Jurisdiction requires the suspension of the
proceedings in court, so that factual issues may be remanded to the
appropriate administrative agency which has specialized expertise on the
matter.

Law of the case has been defined as the opinion delivered on a former
appeal. More specifically, it means that whatever is once irrevocably
established as the controlling legal rule of decision between the same
parties in the same case continues to be the law of the case, whether the
same is correct on general principles or not, so long as the facts on which
such decision was predicated continue to be the facts of the case before the
court.

Administrative proceedings may be reviewed by the courts upon a showing

that the agency has gone beyond its statutory authority, or clearly acted
arbitrarily or with grave abuse of discretion, or that decision is vitiated by
fraud, imposition or mistake.

The doctrine of primary jurisdiction does not warrant a court to arrogate

unto itself the authority to resolve a controversy the jurisdiction over which
is initially lodged with an administrative body of special competence.

The jurisdiction of courts to determine just compensation is not removed by

the prior resort to administrative determination

The administrative agency which previously heard the case and imposed the
disciplinary penalty in an administrative proceeding cannot intervene in the
appeal of said case to a higher authority.

Quasi-judicial agencies have no power to modify or amend the final and

executor decisions of the appellate courts.

The plain meaning of the SSS Law shall be applied to resolve the issue of
who has the better right over the SSS death benefits. The Court upheld the
findings of the SSS.
Abejo vs Dela Cruz 149 Scra 654
Bernardo vs Abalos GR No. 137266
Industrial Enterprises vs CA 184 Scra 426
GSIS vs CSC 204 Scra 826
Paat vs CA 266 Scra 167
Valmonte vs Belmonte 170 Scra 256
Mangubat vs Osmena 105 Phil 1308
Pros. Tabao vs Judge Lilagan AM No. RTJ-01-1651
Arrow Transportation vs BOT 63 Scra 193
KBMPM vs Dominguez 205 Scra 92
National Development Corp vs Hervilla 151 Scra 200
Atlas Consolidated Mining vs Factoran 154 Scra 49
Carpio vs Executive Secretary 206 Scra 290
Heirs of Eugenio vs Roxas 173 Scra 581
Industrial Power Sales vs Sinsuat 160 Scra 19
National Development Co. vs Collector of Customs 9 Scra 429