1st Set

Associated Labor Union vs Borromeo

26 SCRA 88

Facts:
ALU is a duly registered labor organization, among the members thereof are employees of Superior Gas
and equipment company. On January 1, 1965 ALU and SUGECO entered into a collective bargaining
contract effective up to January 1, 1966. There was an on going negotiations for renewal of contract
late in February 1966 then 12 SUGECO members resigned from ALU. Thereupon negotiations stopped.
ALU requested that 12 employees not be allowed to report to work, SUGECO rejected the request due
to irreparable injury and that the contract lapsed. SUGECO stated that the 12 employees should rejoin
ALU to resume the negotiations. ALU wrote to SUGECO of bargaining in bad faith. ALU struck and
picketed in the SUGECO plant in Mandaue. SUGECO filed a case against ALU with CFI Cebu to restrain
the same from picketing in the said plant and offices elsewhere in the Philippines. CFI Cebu issued a
preliminary injunction prayed for by SUGECO. ALU filed charges of ULP against SUGECO with CIR, ALU
filed a motion for reconsideration on the issuance of the injunction. CFI denied the motion. ALU filed a
petition for certiorari and prohibition against Judge Gomez and Borromeo and SUGECO, prayed that CFI
of Cebu has no jurisdiction over the case. SC annulled the preliminary injunction issued by CFI Cebu and
directed to dismiss the case. The writ of injunction sought by ALU was granted May 16, 1966. ALU
resumed picketing and began to picket at the house of SUGECO's General Manager Mr. & Mrs. Lua and
Cebu Home store. Mr. Lua filed a complaint with CFI Cebu to restrain ALU from picketing the store and
residence and recover damages. Judge Borromeo issued an order requiring ALU to show cause order
why the writ should not be issued. ALU filed a motion to dismiss assailed the jurisdiction of CFI Cebu to
hear the case on the ground that it has grown out from a labor dispute. The judge denied the motion to
dismiss and to reconsider his order and dissolve the writ of injunction of June 30 1966. ALU commenced
the present action for certiorari and prohibition with preliminary injunction to annul the writs dated
June 30 and July 22 1966 and to restrain the lower court from hearing the case.

Issue: Whether or not the strike held at the Cebu home is valid?

Held:
Yes, Now then there is no dispute regarding the existence of a labor dispute between ALU and SUGECO-
Cebu that SUGECO's Manager Mrs. Lua is the wife of the owner and manager of Cebu Home, Antonio
Lua, and that Cebu home is engaged in the marketing of SUGECO products. Likewise, it is clear that as a
managing member of conjugal partnership between him and his wife, Mr. Lua of the business of
SUGECO and in the success or failure of her controversy in ALU, considering the results thereof may
affect the condition of the said conjugal partnership. Similarly, as distributor of SUGECO products, the
Cebu home has at least an indirect interest in the labor dispute between SUGECO and ALU. In other
words, respondent herein have an indirect interest in the said labor dispute, for which the reason, we
find that sec. 9 of RA 875 squarely applies. Wherefore, the orders of respondent Judge dated June 30
and July 222, 1966 and writs of preliminary injunction issued in accordance therewith hereby declared
null and void ab initio, with costs to the respondents herein, Cebu Home and Industrial Supply and
Antonia Lua. So ordered.