Effectivity Lara vs. Del Rosario G.R. No. L-6339 April 20, 1954 Facts

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EFFECTIVITY

G.R. No. L-6339

LARA vs. DEL ROSARIO

April 20, 1954

Facts:
In 1950 defendant Petronilo Del Rosario, Jr., owner of twenty-five taxi cabs or
cars, operated a taxi business under the name of Waval Taxi. He employed among
others three mechanics and 49 chauffeurs or drivers, the latter having worked for
periods ranging from 2 to 37 months. On September 4, 1950, without giving said
mechanics and chauffeurs 30 days advance notice, Del Rosario sold his 25 units or cabs
to La Mallorca, a transportation company, as a result of which, according to the
mechanics and chauffeurs above-mentioned they lost their jobs because the La Mallorca
failed to continue them in their employment. They brought this action against Del
Rosario to recover compensation for overtime work rendered beyond eight hours and on
Sundays and legal holidays, and one month salary (mesada) provided for in article 302
of the Code of Commerce because the failure of their former employer to give them one
month notices. Subsequently, the three mechanics unconditionally withdrew their
claims. So only the 49 drivers remained as plaintiffs.
Issue:

Whether or not the claim of the plaintiffs-appellants for overtime compensation


under the Eight-Hour Labor Law is valid.
Ruling:
The Supreme Court held that the month pay (mesada) under article 302 of the
Code of Commerce, article 2270 of the new Civil Code (Republic Act 386) appears to
have repealed said Article 302 when it repealed the provisions of the Code of Commerce
governing Agency. This repeal took place on August 30, 1950, when the new Civil Code
went into effect, that is, one year after its publication in the Official Gazette. The alleged
termination of services of the plaintiffs by the defendant took place according to the
complaint on September 4, 1950, that is to say, after the repeal of Article 302 which
they invoke. Moreover, said Article 302 of the Code of Commerce, assuming that it were
still in force speaks of salary corresponding to said month. commonly known as
mesada. If the plaintiffs herein had no fixed salary either by the day, week, or month,
then computation of the months salary payable would be impossible. Article 302 refers
to employees receiving a fixed salary.

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