Perkins v. Benguet Consol. Mining Co. 342 U.S. 437, 72 S. Ct. 413 (1952)
Perkins v. Benguet Consol. Mining Co. 342 U.S. 437, 72 S. Ct. 413 (1952)
Perkins v. Benguet Consol. Mining Co. 342 U.S. 437, 72 S. Ct. 413 (1952)
the state.
1. Perkins v. Benguet Consol. Mining Co. 342
U.S. 437, 72 S. Ct. 413 (1952) CONCLUSION:
Can the Due Process Clause precluded Ohio from 2. Pennhurst State School & Hospital v.
subjecting a foreign corporation to the jurisdiction of its Halderman 465 US 89
courts in an action in personam?
Brief Fact Summary. The Respondents, Halderman and
ANSWER: No. others (Respondents), filed suit against the Petitioners,
RULE: the Pennhust State School and Hospital and its officials
(Petitioners), charging conditions at the hospital violate
The amount and kind of activities which must be carried class member’s rights. The Petitioners argued before
on by the foreign corporation in the state of the forum the Supreme Court of the United States (Supreme
so as to make it reasonable and just to subject the Court) that the Eleventh Amendment of the United
corporation to the jurisdiction of that state are to be States Constitution (Constitution) prohibited the District
determined in each case. The corporate activities of a Court from ordering state official to conform their
foreign corporation which, under state statute, make it conduct to state law.
necessary for it to secure a license and to designate a
statutory agent upon whom process may be served Synopsis of Rule of Law. A federal court’s grant of relief
provide a helpful but not a conclusive test. For example, against state officials on the basis of state law, whether,
the state of the forum may by statute require a foreign prospective or retroactive directly interferes with the
mining corporation to secure a license in order lawfully principles of federalism that underlie the Eleventh
to carry on there such functional intrastate operations Amendment of the Constitution.
as those of mining or refining ore. On the other hand, if Facts. This case is before the Supreme Court for a
the same corporation carries on, in that state, other second time to determine whether a federal court can
continuous and systematic corporate activities as it did grant relief against state officials based on state law.
here -- consisting of directors' meetings, business The case concerns the condition of care at Petitioners’
correspondence, banking, stock transfers, payment of institution for the mentally retarded. The Respondents’
salaries, purchasing of machinery, etc. -- those activities amended complaint charged that the Petitioners
are enough to make it fair and reasonable to subject violated class member’s rights under (i) the Eighth and
that corporation to proceedings in personam in that Fourteenth Amendments of the Constitution, (ii)
state, at least insofar as the proceedings in personam Section:504 of the Rehabilitation Act of 1973, (iii) the
seek to enforce causes of action relating to those very Developmentally Disabled Assistance and Bill of Rights
Act and (iv) the Pennsylvania Mental Health and Mental official’s future conduct, but may not award retroactive
Retardation Act of 1966. The Court of Appeals for the monetary relief. It is not the jurisdiction of federal
Third Circuit decided that the Respondents had a right courts to award relief against a state official based on
to rehabilitation in the least restrictive environment, state law.
based solely on the bill of rights provision in the
3. Saudi Arabian Airlines v. CA
Developmentally Disabled Assistance and Bill of Rights
Act. The Supreme Court of the United States (Supreme GR NO. 122191, OCT. 8, 1998
Court) reversed the judgment of the Court of Appeals Facts:
finding that the Developmentally Disabled Assistance
and Bill of Rights Act did not create any substantive Saudi Arabian Airlines (SAUDIA) hired Milagros Morada
rights and remanded the case back to the Court of as a Flight Attendant for its airlines based in Jeddah,
Appeals to determine if the remedial order could be Saudi Arabia. While on a lay-over in Jakarta, Morada,
supported by any of the Respondents’ other arguments. she went to a disco with fellow crew members, Thamer
The Court of Appeals concluded that state law & Allah, both Saudi nationals. Because it was almost
supported its prior judgment and also rejected the morning when they returned to their hotels, they
Petitioners’ argument that the Eleventh Amendment agreed to have breakfast together at the room of
barred the federal court from considering the pendent Thamer in which Allah left on some pretext. Thamer
state law claim. The case goes before the Supreme attempted to rape Morada but she was rescued by
Court to consider the Petitioners’ position. hotel personnel when they heard her cries for help.
Indonesian police came and arrested Thamer and Allah,
Issue. Whether a federal court has jurisdiction to award the latter as an accomplice.
injunctive relief against state officials on the basis of
state law? Morada refused to cooperate when SAUDIA’s Legal
Officer and its base manager tried to negotiate the
immediate release of the detained crew members with
Jakarta police.
Held. Federal Courts lack jurisdiction to enjoin
Petitioners’ actions on the basis of state law. Reversed Through the intercession of Saudi Arabian government,
and remanded. Thamer and Allah were deported and, eventually, again
Dissent. The majority decision goes against established put in service by SAUDIA. But Morada was transferred
to Manila.
precedence by the Supreme Court, stating a federal
court can award injunctive relief on the basis of state One year and a half year later, Morada was again
law. This new pronouncement will require federal ordered to see SAUDIA’s Chief Legal Officer. Instead,
courts to decide federal constitutional questions despite she was brought to a Saudi court where she was asked
the availability of state-law grounds for decision. to sign a blank document, which turned out to be a
Discussion. The Eleventh Amendment of the notice to her to appear in court. Monada returned to
Manila.
Constitution prohibits a state from being sued in federal
courts by her own citizens, as well as by citizens of The next time she was escorted by SAUDIA’s legal
another state. The Eleventh Amendment bars a suit officer to court, the judge rendered a decision against
against state officials when the state is a real, her sentencing her to five months imprisonment and to
substantial party in interest. An exception to the rule 286 lashes. Apparently, she was tried by the court
against suing state officials is when the suit is which found her guilty of (1) adultery; (2) going to a
challenging the constitutionality of state official’s disco, dancing and listening to the music in violation of
actions. When bringing suit in a federal court for a state Islamic laws; and (3) socializing with the male crew, in
official’s actions based on violation of federal law, a contravention of Islamic tradition.
court can impose an injunction that governs the
After denial by SAUDIA, Morada sought help from personally served to Helen Schenker but not to Paul
Philippine Embassy during the appeal. Prince of Makkah Schenker. Helen then filed ananswer with a
dismissed the case against her. SAUDIA fired her counterclaim, but Paul Schenker filed a motion to
without notice. dismiss arguing that the court never
acquiredjurisdiction over his person since admittedly,
Morada filed a complaint for damages against SAUDIA, he is a Swiss citizen, residing in Zurich, Switzerland, and
with the RTC of QC. SAUDIA filed Omnibus Motion to has notbeen actually served with summons in the
Dismiss which raised the ground that the court has no Philippines.
jurisdiction, among others which was denied
Issue: Whether or not the court acquired jurisdiction
ISSUE: Whether RTC of QC has jurisdiction to hear and over the person of Paul Schenker.
try the case
Ruling: Yes, although as a rule, when the defendant is a
HELD: YES. The RTC of QC has jurisdiction and Philippine non-resident and in anaccion inpersonam,jurisdiction
law should govern.Its jurisdiction has basis on Sec. 1 of over the person of the defendant can be acquired only
RA 7691 and Rules of Court on venue. Pragmatic through voluntaryappearance or personal service of
considerations, including the convenience of the summons. But this case is an exception to the said rule.
parties, also weigh heavily in favor of the RTC QC The Supremeratiocinated:“We hold that the lower court
assuming jurisdiction. Paramount is the private interest had acquired jurisdiction over said defendant, through
of the litigant. Weighing the relative claims of the service of the summonsaddressed to him upon Mrs.
parties, the court a quo found it best to hear the case in Schenker, it appearing from said answer that she is the
the Philippines. Had it refused to take cognizance of the representative andattorney-in-fact of her husband
case, it would be forcing Morada to seek remedial aforementioned civil case No. Q-2796, which apparently
action elsewhere, i.e. in the Kingdom of Saudi Arabia was filed at herbehest, in her aforementioned
where she no longer maintains substantial connections. representative capacity. In other words, Mrs. Schenker
That would have caused a fundamental unfairness to had authority to sue,and had actually sued on behalf of
her. her husband, so that she was, also, empowered to
By filing a complaint, Morada has voluntarily submitted represent him in suitsfiled against him, particularly in a
to the jurisdiction of the court. By filing several motions case, like the of the one at bar, which is consequence of
and praying for reliefs (such as dismissal), SAUDIA has the action broughtbyheronhisbehalf.”Briefly, in
effectively submitted to the trial court’s jurisdiction. anaccion in personamwhere the defendant is a non-
resident, substituted service of summons doesnot
4. William Gemperle v. Helen Schenker, gr no. l- apply. However, by way of exception, substituted
18164, jan. 23, 1967 service of summons may be effected, if the following
requisites are present:1. The summons is served to the
Facts:This case was the result of William Gemperle’s
spouse of the defendant2. The spouse must be residing
retaliatory act when respondent spouses Paul andHelen
in the Philippines3. The spouse is appointed as attorney-
Schenker filed a case against him for the enforcement
in-fact of the spouse defendant in a previous case
of Schenker's allegedly initial subscription to theshares
involving the non-resident spouse
of stock of the Philippines-Swiss Trading Co., Inc. and
the exercise of his alleged pre-emptive rights tothe then
unissued original capital stock of said corporation and 5. Idonah Perkins v. Roxas gr no. 4751, june 19,
the increase thereof, as well as for anaccounting and 1941
damages. Petitioner alleged that the said complaint
tainted his name as a businessman. Hethen filed a FACTS:July 5, 1938, respondent Eugene Perkins filed
complaint for damages and prays for the retraction of a complaint in the CFI- Manila against the Benguet
statements made by Helen Schenker.Summons was Consolidated Mining Company for the recovery of a
sum consisting of dividends which have been
declared and made payable on shares of stock Eugene Perkins alleged calls for the adjudication of
registered in his name, payment of which was being title to certain shares of stock of the Benguet
withheld by the company, and for the recognitionof Consolidated Mining Company and the granting of
his right to the control and disposal of said shares to affirmative reliefs, which fall within the general
the exclusion of all others. The company alleged, by jurisdiction of the CFI- Manila. Similarly CFI- Manila
way of defense that the withholding of plaintiff’s is empowered to adjudicate the several demands
right to the disposal and control of the shares was contained in petitioner’s crosscomplaint.Idonah
due to certain demands made with respect to said Perkins in her crosscomplaint brought suit against
shares by the petitioner Idonah Perkins, and by one Eugene Perkins and the Benguet Consolidated
Engelhard.Eugene Perkins included in his modified Mining Company upon the alleged judgment of the
complaint as parties defendants petitioner, Idonah SC of the State of New York and asked the court
Perkins, and Engelhard. Eugene Perkins prayed that below to render judgment enforcing that New York
petitioner Idonah Perkins and H. Engelhard be judgment, and to issue execution thereon. This is a
adjudged without interest in the shares of stock in form of action recognized by section 309 of the
question and excluded from any claim they assert Code of Civil Procedure (now section 47, Rule 39,
thereon. Summons by publication were served Rules of Court) and which falls within the general
upon the nonresident defendants Idonah Perkins jurisdiction of the CFI- Manila, to adjudicate, settle
and Engelhard. Engelhard filed his answer. and determine.The petitioner expresses the fear
Petitioner filed her answer with a crosscomplaint in that the respondent judge may render judgment
which she sets up a judgment allegedly obtained by “annulling the final, subsisting, validjudgment
her against respondent Eugene Perkins, from the SC rendered and entered in this petitioner’s favor by
of the State of New York, wherein it is declared that the courts of the State of New York, which decision
she is the sole legal owner and entitled to the is res judicata on all the questions constituting the
possession and control of the shares of stock in subject matter of civil case” and argues on the
question with all the cash dividends declared assumption that the respondent judge is without
thereon by the Benguet Consolidated Mining jurisdiction to take cognizance of the cause.
Company.Idonah Perkins filed a demurrer thereto Whether or not the respondent judge in the course
on the ground that “the court has no jurisdiction of of the proceedings will give validity and efficacy to
the subject of the action,” because the alleged the New York judgment set up by the petitioner in
judgment of the SC of the State of New York is res her cross-complaint is a question that goes to the
judicata. Petitioner’s demurrer was overruled,thus merits of the controversy and relates to the rights
this petition. of the parties as between each other, and not to the
jurisdiction or power of the court. The test of
ISSUE:WON in view of the alleged judgment entered jurisdiction is whether or not the tribunal has power
in favor of the petitioner by the SC of New York and to enter upon the inquiry, not whether its
which is claimed by her to be res judicata on all conclusion in the course of it is right or wrong. If its
questions raised by the respondent, Eugene Perkins, decision is erroneous, its judgment can be reversed
the local court has jurisdiction over the subject on appeal; but its determination of the question,
matter of the action. which the petitioner here anticipates and seeks to
RULING:By jurisdiction over the subject matter is prevent, is the exercise by that court and the
meant the nature of the cause of action and of the rightful exercise of its jurisdiction.Petition denied.
relief sought, and this is conferred by the sovereign 6. Adong vs. Cheong Seng Gee
authority which organizes the court, and is to be
sought for in general nature of its powers,or in Facts: Cheong Boo, a native of China, died intestate in
authority specially conferred. In the present case, Zamboanga, Philippine Islands, on August 5, 1919. He
the amended complaint filed by the respondent, left property worth nearly P100,000. The estate of the
deceased was claimed, on the one hand, by Cheong Mohammedans or pagans, when such action is deemed
Seng Gee, who alleged that he was a legitimate child by wise, may modify the application of the law of the
a marriage... contracted by Cheong Boo with Tan Dit in Philippine Islands, except laws of the United States
China in 1895. The estate was claimed, on the other applicable to the Philippine Islands, taking into account
hand, by the Mora Adong who alleged that she had local laws and customs.
been lawfully married to Cheong Boo in 1896 in Basilan,
Philippine Islands, and her daughters, Payang, married The basis of human society throughout the civilized
world is that of marriage. Marriage in this jurisdiction is
to Cheng Bian Chay, and Rosalia Cheong Boo,
unmarried. not only a civil contract, but it is a new relation, an
institution in the maintenance of which the public is
the trial judge reached the conclusion that the marriage deeply interested. Consequently, every intendment of...
between the Mora Adong and the deceased had been the law leans toward legalizing matrimony. Persons
adequately proved but that under the laws of the dwelling together in apparent matrimony are
Philippine Islands it could not be held to be a lawful presumed, in the absence of any counter-presumption
marriage; or evidence special to the case, to be in fact married.
The reason is that such is the common order of society,
Cheong Boo then left China for the Philippine ;lands and and if the parties... were not what they thus hold
sometime thereafter took to himself a... concubine themselves out as being, they would be living in the
Mora by whom he had two children constant violation of decency and of law. A presumption
Issues:Validity of the Mohammedan Marriage established by our Code of Civil Procedure is "that a
man and woman deporting themselves as husband and
Ruling: wife have entered into a lawful... contract of marriage.