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GPI Vs Springer

1) This case involves a quo warranto proceeding brought by the government against three directors elected to the National Coal Company (NCC) board by the Senate President and House Speaker. 2) The NCC was created by law to have its voting power vested in a committee consisting of the Governor-General, Senate President, and House Speaker. However, an executive order later divested the legislative members' voting rights. 3) Despite the executive order, the Senate President and House Speaker still elected directors to the NCC board. The government then challenged the validity of this election through a quo warranto proceeding.

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Benz Clyde Bordeos Tolosa
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81 views1 page

GPI Vs Springer

1) This case involves a quo warranto proceeding brought by the government against three directors elected to the National Coal Company (NCC) board by the Senate President and House Speaker. 2) The NCC was created by law to have its voting power vested in a committee consisting of the Governor-General, Senate President, and House Speaker. However, an executive order later divested the legislative members' voting rights. 3) Despite the executive order, the Senate President and House Speaker still elected directors to the NCC board. The government then challenged the validity of this election through a quo warranto proceeding.

Uploaded by

Benz Clyde Bordeos Tolosa
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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GPI vs Springer 50 Phil 259

Facts:

This is an original action of quo warranto  brought in the name of the Government of the Philippine Islands against three
directors of the National Coal Company who were elected to their positions by the legislative members of the committee
created by Acts. Nos. 2705 and 2822. The purpose of the proceeding is to test the validity of the part of section 4 of Act
No. 2705, as amended by section 2 of Act No. 2822, which provides that "The voting power of all such stock (in the
National Coal Company) owned by the Government of the Philippine Islands shall be vested exclusively in a committee
consisting of the Governor-General, the President of the Senate, and the Speaker of the House of Representatives.

Sometime in the 1900s, the National Coal Company (NCC) was created by the Philippine Congress. The law created it
(Act No. 2822) provides that: “The voting power … shall be vested exclusively in a committee consisting of the Governor-
General, the President of the Senate, and the Speaker of the House of Representatives.”
In November 1926, the Governor-General (Leonard Wood) issued E.O. No. 37 which divested the voting rights of the
Senate President and House Speaker in the NCC. The EO emphasized that the voting right should be solely lodged in the
Governor-General who is the head of the government (President at that time was considered the head of state but does
not manage government affairs). A copy of the said EO was furnished to the Senate President and the House Speaker.
However, in December 1926, NCC held its elections and the Senate President as well as the House Speaker,
notwithstanding EO No. 37 and the objection of the Governor-General,  still elected Milton Springer and four others as
Board of Directors of NCC. Thereafter, a quo warranto proceeding in behalf of the government was filed against Springer
et al questioning the validity of their election into the Board of NCC.

Issue:

Whether or nor EO no. 37 is invalid.

Rulings:

No. E.O. No 37 is valid. It is in accordance with the doctrine of separation of powers. The Supreme Court emphasized that
the legislature creates the public office but it has nothing to do with designating the persons to fill the office. Appointing
persons to a public office is essentially executive. The NCC is a government owned and controlled corporation. It was
created by Congress. To extend the power of Congress into allowing it, through the Senate President and the House
Speaker, to appoint members of the NCC is already an invasion of executive powers. The Supreme Court however notes
that indeed there are exceptions to this rule where the legislature may appoint persons to fill public office. Such exception
can be found in the appointment by the legislature of persons to fill offices within the legislative branch – this exception is
allowable because it does not weaken the executive branch.

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