SECOND DIVISION

[G.R. No. 139325. April 12, 2005.]

PRISCILLA C. MIJARES, LORETTA ANN P. ROSALES, HILDA B.

NARCISCO, SR. MARIANI DIMARANAN, SFIC, and JOEL C.
LAMANGAN, in their behalf and on behalf of the Class
Plaintiffs in Class Action No. MDL 840, United States
District Court of Hawaii, petitioners, vs. HON. SANTIAGO
JAVIER RANADA, in his capacity as Presiding Judge of
Branch 137, Regional Trial Court, Makati City, and the
ESTATE OF FERDINAND E. MARCOS, through its court
appointed legal representatives in Class Action MDL 840,
United States District Court of Hawaii, namely: Imelda R.
Marcos and Ferdinand Marcos, Jr., respondents.

Ruben O. Fruto and Rodrigo C. Domingo, Jr. for petitioners.

Agus Cruz & Manzano Law Offices for private respondents.
SYLLABUS
Â

1. Â REMEDIAL LAW; CIVIL PROCEDURE; EXECUTION OF JUDGMENTS;

FOREIGN JUDGMENTS; EFFECT OF. — There is an evident distinction between a
foreign judgment in an action in rem and one in personam. For an action in rem,
the foreign judgment is deemed conclusive upon the title to the thing, while in
an action in personam, the foreign judgment is presumptive, and not
conclusive, of a right as between the parties and their successors in interest by
a subsequent title. However, in both cases, the foreign judgment is susceptible
to impeachment in our local courts on the grounds of want of jurisdiction or
notice to the party, collusion, fraud, or clear mistake of law or fact. Thus, the
party aggrieved by the foreign judgment is entitled to defend against the
enforcement of such decision in the local forum. It is essential that there should
be an opportunity to challenge the foreign judgment, in order for the court in
this jurisdiction to properly determine its efficacy. It is clear then that it is
usually necessary for an action to be filed in order to enforce a foreign
judgment, even if such judgment has conclusive effect as in the case of in rem
actions, if only for the purpose of allowing the losing party an opportunity to
challenge the foreign judgment, and in order for the court to properly
determine its efficacy. Consequently, the party attacking a foreign judgment
has the burden of overcoming the presumption of its validity. TACEDI

2. Â ID.; ID.; ID.; ID.; ENFORCEMENT THEREOF MAY BE INITIATED BY

FILING A CIVIL ACTION. — The rules are silent as to what initiatory procedure
must be undertaken in order to enforce a foreign judgment in the Philippines.
But there is no question that the filing of a civil complaint is an appropriate
measure for such purpose. A civil action is one by which a party sues another
for the enforcement or protection of a right, and clearly an action to enforce a
foreign judgment is in essence a vindication of a right prescinding either from a
"conclusive judgment upon title" or the "presumptive evidence of a right."
Absent perhaps a statutory grant of jurisdiction to a quasi-judicial body, the
claim for enforcement of judgment must be brought before the regular courts.

3. Â ID.; ID.; ID.; ID.; PUBLIC POLICY DEFENSE; ALLOWS THE

APPLICATION OF LOCAL STANDARDS IN REVIEWING FOREIGN JUDGMENT,
ESPECIALLY WHEN SUCH JUDGMENT CREATES ONLY A PRESUMPTIVE RIGHT. —
The viability of the public policy defense against the enforcement of a foreign
judgment has been recognized in this jurisdiction. This defense allows for the
application of local standards in reviewing the foreign judgment, especially
when such judgment creates only a presumptive right, as it does in cases
wherein the judgment is against a person. The defense is also recognized
within the international sphere, as many civil law nations adhere to a broad
public policy exception which may result in a denial of recognition when the
foreign court, in the light of the choice-of-law rules of the recognizing court,
applied the wrong law to the case. The public policy defense can safeguard
against possible abuses to the easy resort to offshore litigation if it can be
demonstrated that the original claim is noxious to our constitutional values.

4. Â ID.; ID.; ID.; ID.; BASES FOR RECOGNITION THEREOF. — There is no

obligatory rule derived from treaties or conventions that requires the
Philippines to recognize foreign judgments, or allow a procedure for the
enforcement thereof. However, generally accepted principles of international
law, by virtue of the incorporation clause of the Constitution, form part of the
laws of the land even if they do not derive from treaty obligations. The classical
formulation in international law sees those customary rules accepted as binding
result from the combination of two elements: the established, widespread, and
consistent practice on the part of States; and a psychological element known as
the opinion juris sive necessitates (opinion as to law or necessity). Implicit in
the latter element is a belief that the practice in question is rendered obligatory
by the existence of a rule of law requiring it. . . . Aside from the widespread
practice, it is indubitable that the procedure for recognition and enforcement is
embodied in the rules of law, whether statutory or jurisprudential, adopted in
various foreign jurisdictions. In the Philippines, this is evidenced primarily by
Section 48, Rule 39 of the Rules of Court which has existed in its current form
since the early 1900s. Certainly, the Philippine legal system has long ago
accepted into its jurisprudence and procedural rules the viability of an action
for enforcement of foreign judgment, as well as the requisites for such valid
enforcement, as derived from internationally accepted doctrines. Again, there
may be distinctions as to the rules adopted by each particular state, but they
all prescind from the premise that there is a rule of law obliging states to allow
for, however generally, the recognition and enforcement of a foreign judgment.
The bare principle, to our mind, has attained the status of opinio juris in
international practice.

5. Â ID.; LEGAL FEES; AN ACTION FOR ENFORCEMENT OF A FOREIGN

JUDGMENT FALLS WITHIN THE CLASS OF "ALL OTHER ACTIONS NOT INVOLVING
PROPERTY" THAT REQUIRES ONLY A MINIMAL AMOUNT OF FILING FEE. — As
crafted, Rule 141 of the Rules of Civil Procedure avoids unreasonableness, as it
recognizes that the subject matter of an action for enforcement of a foreign
judgment is the foreign judgment itself, and not the right-duty correlatives that
resulted in the foreign judgment. In this particular circumstance, given that the
complaint is lodged against an estate and is based on the US District Court's
Final Judgment, this foreign judgment may, for purposes of classification under
the governing procedural rule, be deemed as subsumed under Section 7 (b) (3)
of Rule 141, i.e., within the class of "all other actions not involving property."
Thus, only the blanket filing fee of minimal amount is required.

DECISION

TINGA, J :
p

Our martial law experience bore strange unwanted fruits, and we have
yet to finish weeding out its bitter crop. While the restoration of freedom and
the fundamental structures and processes of democracy have been much
lauded, according to a significant number, the changes, however, have not
sufficiently healed the colossal damage wrought under the oppressive
conditions of the martial law period. The cries of justice for the tortured, the
murdered, and the desaparecidos arouse outrage and sympathy in the
hearts of the fair-minded, yet the dispensation of the appropriate relief due
them cannot be extended through the same caprice or whim that
characterized the ill-wind of martial rule. The damage done was not merely
personal but institutional, and the proper rebuke to the iniquitous past has to
involve the award of reparations due within the confines of the restored rule
of law.
The petitioners in this case are prominent victims of human rights
violations 1 who, deprived of the opportunity to directly confront the man
who once held absolute rule over this country, have chosen to do battle
instead with the earthly representative, his estate. The clash has been for
now interrupted by a trial court ruling, seemingly comported to legal logic,
that required the petitioners to pay a whopping filing fee of over Four
Hundred Seventy-Two Million Pesos (P472,000,000.00) in order that they be
able to enforce a judgment awarded them by a foreign court. There is an
understandable temptation to cast the struggle within the simplistic confines
of a morality tale, and to employ short-cuts to arrive at what might seem the
desirable solution. But easy, reflexive resort to the equity principle all too
often leads to a result that may be morally correct, but legally wrong.
Nonetheless, the application of the legal principles involved in this case
will comfort those who maintain that our substantive and procedural laws,
for all their perceived ambiguity and susceptibility to myriad interpretations,
are inherently fair and just. The relief sought by the petitioners is expressly
mandated by our laws and conforms to established legal principles. The
granting of this petition for certiorari is warranted in order to correct the
legally infirm and unabashedly unjust ruling of the respondent judge.
 The essential facts bear little elaboration. On 9 May 1991, a complaint
was filed with the United States District Court (US District Court), District of
Hawaii, against the Estate of former Philippine President Ferdinand E. Marcos
(Marcos Estate). The action was brought forth by ten Filipino citizens 2 who
each alleged having suffered human rights abuses such as arbitrary
detention, torture and rape in the hands of police or military forces during
the Marcos regime. 3 The Alien Tort Act was invoked as basis for the US
District Court's jurisdiction over the complaint, as it involved a suit by aliens
for tortious violations of international law. 4 These plaintiffs brought the
action on their own behalf and on behalf of a class of similarly situated
individuals, particularly consisting of all current civilian citizens of the
Philippines, their heirs and beneficiaries, who between 1972 and 1987 were
tortured, summarily executed or had disappeared while in the custody of
military or paramilitary groups. Plaintiffs alleged that the class consisted of
approximately ten thousand (10,000) members; hence, joinder of all these
persons was impracticable. HaIESC

The institution of a class action suit was warranted under Rule 23(a)
and (b)(1)(B) of the US Federal Rules of Civil Procedure, the provisions of
which were invoked by the plaintiffs. Subsequently, the US District Court
certified the case as a class action and created three (3) sub-classes of
torture, summary execution and disappearance victims. 5 Trial ensued, and
subsequently a jury rendered a verdict and an award of compensatory and
exemplary damages in favor of the plaintiff class. Then, on 3 February 1995,
the US District Court, presided by Judge Manuel L. Real, rendered a Final
Judgment (Final Judgment ) awarding the plaintiff class a total of One Billion
Nine Hundred Sixty Four Million Five Thousand Eight Hundred Fifty Nine
Dollars and Ninety Cents ($1,964,005,859.90). The Final Judgment was
eventually affirmed by the US Court of Appeals for the Ninth Circuit, in a
decision rendered on 17 December 1996. 6
On 20 May 1997, the present petitioners filed Complaint with the
Regional Trial Court, City of Makati (Makati RTC) for the enforcement of the
Final Judgment. They alleged that they are members of the plaintiff class in
whose favor the US District Court awarded damages. 7 They argued that
since the Marcos Estate failed to file a petition for certiorari with the US
Supreme Court after the Ninth Circuit Court of Appeals had affirmed the Final
Judgment, the decision of the US District Court had become final and
executory, and hence should be recognized and enforced in the Philippines,
pursuant to Section 50, Rule 39 of the Rules of Court then in force. 8
On 5 February 1998, the Marcos Estate filed a motion to dismiss,
raising, among others, the non-payment of the correct filing fees. It alleged
that petitioners had only paid Four Hundred Ten Pesos (P410.00) as docket
and filing fees, notwithstanding the fact that they sought to enforce a
monetary amount of damages in the amount of over Two and a Quarter
Billion US Dollars (US$2.25 Billion). The Marcos Estate cited Supreme Court
Circular No. 7, pertaining to the proper computation and payment of docket
fees. In response, the petitioners claimed that an action for the enforcement
of a foreign judgment is not capable of pecuniary estimation; hence, a filing
fee of only Four Hundred Ten Pesos (P410.00) was proper, pursuant to
Section 7(c) of Rule 141. 9
On 9 September 1998, respondent Judge Santiago Javier Ranada 10 of
the Makati RTC issued the subject Order dismissing the complaint without
prejudice. Respondent judge opined that contrary to the petitioners'
submission, the subject matter of the complaint was indeed capable of
pecuniary estimation, as it involved a judgment rendered by a foreign court
ordering the payment of definite sums of money, allowing for easy
determination of the value of the foreign judgment. On that score, Section
7(a) of Rule 141 of the Rules of Civil Procedure would find application, and
the RTC estimated the proper amount of filing fees was approximately Four
Hundred Seventy Two Million Pesos, which obviously had not been paid.
Not surprisingly, petitioners filed a Motion for Reconsideration, which
Judge Ranada denied in an Order dated 28 July 1999. From this denial,
petitioners filed a Petition for Certiorari under Rule 65 assailing the twin
orders of respondent judge. 11 They prayed for the annulment of the
questioned orders, and an order directing the reinstatement of Civil Case No.
97-1052 and the conduct of appropriate proceedings thereon.
Petitioners submit that their action is incapable of pecuniary
estimation as the subject matter of the suit is the enforcement of a foreign
judgment, and not an action for the collection of a sum of money or recovery
of damages. They also point out that to require the class plaintiffs to pay
Four Hundred Seventy Two Million Pesos (P472,000,000.00) in filing fees
would negate and render inutile the liberal construction ordained by the
Rules of Court, as required by Section 6, Rule 1 of the Rules of Civil
Procedure, particularly the inexpensive disposition of every action.
Petitioners invoke Section 11, Article III of the Bill of Rights of the
Constitution, which provides that "Free access to the courts and quasi-
judicial bodies and adequate legal assistance shall not be denied to any
person by reason of poverty," a mandate which is essentially defeated by the
required exorbitant filing fee. The adjudicated amount of the filing fee, as
arrived at by the RTC, was characterized as indisputably unfair, inequitable,
and unjust.
The Commission on Human Rights (CHR) was permitted to intervene in
this case. 12 It urged that the petition be granted and a judgment rendered,
ordering the enforcement and execution of the District Court judgment in
accordance with Section 48, Rule 39 of the 1997 Rules of Civil Procedure. For
the CHR, the Makati RTC erred in interpreting the action for the execution of
a foreign judgment as a new case, in violation of the principle that once a
case has been decided between the same parties in one country on the
same issue with finality, it can no longer be relitigated again in another
country. 13 The CHR likewise invokes the principle of comity, and of vested
rights.
The Court's disposition on the issue of filing fees will prove a useful
jurisprudential guidepost for courts confronted with actions enforcing foreign
judgments, particularly those lodged against an estate. There is no basis for
the issuance a limited pro hac vice ruling based on the special
circumstances of the petitioners as victims of martial law, or on the
emotionally-charged allegation of human rights abuses.
An examination of Rule 141 of the Rules of Court readily evinces that
the respondent judge ignored the clear letter of the law when he concluded
that the filing fee be computed based on the total sum claimed or the stated
value of the property in litigation. HTcDEa

In dismissing the complaint, the respondent judge relied on Section

7(a), Rule 141 as basis for the computation of the filing fee of over P472
Million. The provision states:

SEC. 7. Â Clerk of Regional Trial Court. —

(a) Â For filing an action or a permissive counterclaim or

money claim against an estate not based on judgment, or for
filing with leave of court a third-party, fourth-party, etc.,
complaint, or a complaint in intervention, and for all clerical
services in the same time, if the total sum claimed, exclusive of
interest, or the started value of the property in litigation, is:

1. Less than P100,000.00 P500.00

2. P100,000.00 or more P800.00
 but less than P150,000.00 Â
3. P150,000.00 or more but P1,000.00
 less than P200,000.00 Â
4. P200,000.00 or more but P1,500.00
 less than P250,000.00 Â
5. P250,000.00 or more but P1,750.00
 less than P300,000.00 Â
6. P300,000.00 or more but P2,000.00
 not more than P400,000.00 Â
7. P350,000.00 or more but not P2,250.00
 more than P400,000.00 Â
8. For each P1,000.00 in excess of P10.00
 P400,000.00 Â
xxx xxx xxx

(Emphasis supplied)

Obviously, the above-quoted provision covers, on one hand, ordinary

actions, permissive counterclaims, third-party, etc. complaints and
complaints-in-interventions, and on the other, money claims against estates
which are not based on judgment. Thus, the relevant question for purposes
of the present petition is whether the action filed with the lower court is a
"money claim against an estate not based on judgment."
Petitioners' complaint may have been lodged against an estate, but it
is clearly based on a judgment, the Final Judgment of the US District Court.
The provision does not make any distinction between a local judgment and a
foreign judgment, and where the law does not distinguish, we shall not
distinguish.
 A reading of Section 7 in its entirety reveals several instances wherein
the filing fee is computed on the basis of the amount of the relief sought, or
on the value of the property in litigation. The filing fee for requests for
extrajudicial foreclosure of mortgage is based on the amount of
indebtedness or the mortgagee's claim. 14 In special proceedings involving
properties such as for the allowance of wills, the filing fee is again based on
the value of the property. 15 The aforecited rules evidently have no
application to petitioners' complaint.
Petitioners rely on Section 7(b), particularly the proviso on actions
where the value of the subject matter cannot be estimated. The provision
reads in full:
   Â
(b) For filing Â
   Â
 1. Actions where the value Â
  of the subject matter Â
  cannot be estimated P600.00
   Â
 2. Special civil actions except Â
  judicial foreclosure which Â
  shall be governed by Â
  paragraph (a) above P600.00
   Â
 3. All other actions not Â
  involving property P600.00

In a real action, the assessed value of the property, or if

there is none, the estimated value, thereof shall be alleged by
the claimant and shall be the basis in computing the fees.

It is worth noting that the provision also provides that in real actions,
the assessed value or estimated value of the property shall be alleged by
the claimant and shall be the basis in computing the fees. Yet again, this
provision does not apply in the case at bar. A real action is one where the
plaintiff seeks the recovery of real property or an action affecting title to or
recovery of possession of real property. 16 Neither the complaint nor the
award of damages adjudicated by the US District Court involves any real
property of the Marcos Estate.
Thus, respondent judge was in clear and serious error when he
concluded that the filing fees should be computed on the basis of the
schematic table of Section 7(a), as the action involved pertains to a claim
against an estate based on judgment. What provision, if any, then should
apply in determining the filing fees for an action to enforce a foreign
judgment?
To resolve this question, a proper understanding is required on the
nature and effects of a foreign judgment in this jurisdiction.
The rules of comity, utility and convenience of nations have
established a usage among civilized states by which final judgments of
foreign courts of competent jurisdiction are reciprocally respected and
rendered efficacious under certain conditions that may vary in different
countries. 17 This principle was prominently affirmed in the leading American
case of Hilton v. Guyot 18 and expressly recognized in our jurisprudence
beginning with Ingenholl v. Walter E. Olsen & Co. 19 The conditions required
by the Philippines for recognition and enforcement of a foreign judgment
were originally contained in Section 311 of the Code of Civil Procedure,
which was taken from the California Code of Civil Procedure which, in turn,
was derived from the California Act of March 11, 1872. 20 Remarkably, the
procedural rule now outlined in Section 48, Rule 39 of the Rules of Civil
Procedure has remained unchanged down to the last word in nearly a
century. Section 48 states:

SEC. 48. Â Effect of foreign judgments. — The effect of a

judgment of a tribunal of a foreign country, having jurisdiction to
pronounce the judgment is as follows:

(a) Â In case of a judgment upon a specific thing, the

judgment is conclusive upon the title to the thing; cIECaS

(b) Â In case of a judgment against a person, the

judgment is presumptive evidence of a right as between the
parties and their successors in interest by a subsequent title;

In either case, the judgment or final order may be repelled by

evidence of a want of jurisdiction, want of notice to the party, collusion,
fraud, or clear mistake of law or fact.

There is an evident distinction between a foreign judgment in an action

in rem and one in personam. For an action in rem, the foreign judgment is
deemed conclusive upon the title to the thing, while in an action in
personam, the foreign judgment is presumptive, and not conclusive, of a
right as between the parties and their successors in interest by a subsequent
title. 21 However, in both cases, the foreign judgment is susceptible to
impeachment in our local courts on the grounds of want of jurisdiction or
notice to the party, 22 collusion, fraud, 23 or clear mistake of law or fact. 24
Thus, the party aggrieved by the foreign judgment is entitled to defend
against the enforcement of such decision in the local forum. It is essential
that there should be an opportunity to challenge the foreign judgment, in
order for the court in this jurisdiction to properly determine its efficacy. 25
It is clear then that it is usually necessary for an action to be filed in
order to enforce a foreign judgment 26 , even if such judgment has
conclusive effect as in the case of in rem actions, if only for the purpose of
allowing the losing party an opportunity to challenge the foreign judgment,
and in order for the court to properly determine its efficacy. 27 Consequently,
the party attacking a foreign judgment has the burden of overcoming the
presumption of its validity. 28
The rules are silent as to what initiatory procedure must be undertaken
in order to enforce a foreign judgment in the Philippines. But there is no
question that the filing of a civil complaint is an appropriate measure for
such purpose. A civil action is one by which a party sues another for the
enforcement or protection of a right, 29 and clearly an action to enforce a
foreign judgment is in essence a vindication of a right prescinding either
from a "conclusive judgment upon title" or the "presumptive evidence of a
right." 30 Absent perhaps a statutory grant of jurisdiction to a quasi-judicial
body, the claim for enforcement of judgment must be brought before the
regular courts. 31
There are distinctions, nuanced but discernible, between the cause of
action arising from the enforcement of a foreign judgment, and that arising
from the facts or allegations that occasioned the foreign judgment. They
may pertain to the same set of facts, but there is an essential difference in
the right-duty correlatives that are sought to be vindicated. For example, in
a complaint for damages against a tortfeasor, the cause of action emanates
from the violation of the right of the complainant through the act or omission
of the respondent. On the other hand, in a complaint for the enforcement of
a foreign judgment awarding damages from the same tortfeasor, for the
violation of the same right through the same manner of action, the cause of
action derives not from the tortious act but from the foreign judgment itself.
More importantly, the matters for proof are different. Using the above
example, the complainant will have to establish before the court the tortious
act or omission committed by the tortfeasor, who in turn is allowed to rebut
these factual allegations or prove extenuating circumstances. Extensive
litigation is thus conducted on the facts, and from there the right to and
amount of damages are assessed. On the other hand, in an action to enforce
a foreign judgment, the matter left for proof is the foreign judgment itself,
and not the facts from which it prescinds.
As stated in Section 48, Rule 39, the actionable issues are generally
restricted to a review of jurisdiction of the foreign court, the service of
personal notice, collusion, fraud, or mistake of fact or law. The limitations on
review is in consonance with a strong and pervasive policy in all legal
systems to limit repetitive litigation on claims and issues. 32 Otherwise
known as the policy of preclusion, it seeks to protect party expectations
resulting from previous litigation, to safeguard against the harassment of
defendants, to insure that the task of courts not be increased by never-
ending litigation of the same disputes, and — in a larger sense — to promote
what Lord Coke in the Ferrer's Case of 1599 stated to be the goal of all law:
"rest and quietness." 33 If every judgment of a foreign court were reviewable
on the merits, the plaintiff would be forced back on his/her original cause of
action, rendering immaterial the previously concluded litigation. 34
Petitioners appreciate this distinction, and rely upon it to support the
proposition that the subject matter of the complaint — the enforcement of a
foreign judgment — is incapable of pecuniary estimation. Admittedly the
proposition, as it applies in this case, is counter-intuitive, and thus deserves
strict scrutiny. For in all practical intents and purposes, the matter at hand is
capable of pecuniary estimation, down to the last cent. In the assailed Order,
the respondent judge pounced upon this point without equivocation:
 The Rules use the term "where the value of the subject matter
cannot be estimated." The subject matter of the present case is the
judgment rendered by the foreign court ordering defendant to pay
plaintiffs definite sums of money, as and for compensatory damages.
The Court finds that the value of the foreign judgment can be
estimated; indeed, it can even be easily determined. The Court is not
minded to distinguish between the enforcement of a judgment and the
amount of said judgment, and separate the two, for purposes of
determining the correct filing fees. Similarly, a plaintiff suing on
promissory note for P1 million cannot be allowed to pay only P400 filing
fees (sic ), on the reasoning that the subject matter of his suit is not the
P1 million, but the enforcement of the promissory note, and that the
value of such "enforcement" cannot be estimated. 35

The jurisprudential standard in gauging whether the subject matter of

an action is capable of pecuniary estimation is well-entrenched. The Marcos
Estate cites Singsong v. Isabela Sawmill and Raymundo v. Court of Appeals,
which ruled:

[I]n determining whether an action is one the subject matter of

which is not capable of pecuniary estimation this Court has adopted the
criterion of first ascertaining the nature of the principal action or
remedy sought. If it is primarily for the recovery of a sum of money, the
claim is considered capable of pecuniary estimation, and whether
jurisdiction is in the municipal courts or in the courts of first instance
would depend on the amount of the claim. However, where the basic
issue is something other than the right to recover a sum of money,
where the money claim is purely incidental to, or a consequence of, the
principal relief sought, this Court has considered such actions as cases
where the subject of the litigation may not be estimated in terms of
money, and are cognizable exclusively by courts of first instance (now
Regional Trial Courts). ICHcTD

On the other hand, petitioners cite the ponencia of Justice JBL Reyes in
Lapitan v. Scandia, 36 from which the rule in Singsong and Raymundo
actually derives, but which incorporates this additional nuance omitted in
the latter cases:

. . . However, where the basic issue is something other than the

right to recover a sum of money, where the money claim is purely
incidental to, or a consequence of, the principal relief sought, like in
suits to have the defendant perform his part of the contract (specific
performance) and in actions for support, or for annulment of judgment
or to foreclose a mortgage, this Court has considered such actions as
cases where the subject of the litigation may not be estimated in terms
of money, and are cognizable exclusively by courts of first instance. 37

Petitioners go on to add that among the actions the Court has

recognized as being incapable of pecuniary estimation include legality of
conveyances and money deposits, 38 validity of a mortgage, 39 the right to
support, 40 validity of documents, 41 rescission of contracts, 42 specific
performance, 43 and validity or annulment of judgments. 44 It is urged that
an action for enforcement of a foreign judgment belongs to the same class.
This is an intriguing argument, but ultimately it is self-evident that
while the subject matter of the action is undoubtedly the enforcement of a
foreign judgment, the effect of a providential award would be the
adjudication of a sum of money. Perhaps in theory, such an action is
primarily for "the enforcement of the foreign judgment," but there is a
certain obtuseness to that sort of argument since there is no denying that
the enforcement of the foreign judgment will necessarily result in the award
of a definite sum of money.
But before we insist upon this conclusion past beyond the point of
reckoning, we must examine its possible ramifications. Petitioners raise the
point that a declaration that an action for enforcement of foreign judgment
may be capable of pecuniary estimation might lead to an instance wherein a
first level court such as the Municipal Trial Court would have jurisdiction to
enforce a foreign judgment. But under the statute defining the jurisdiction of
first level courts, B.P. 129, such courts are not vested with jurisdiction over
actions for the enforcement of foreign judgments.

Sec. 33. Â Jurisdiction of Metropolitan Trial Courts, Municipal

Trial Courts and Municipal Circuit Trial Courts in civil cases . —
Metropolitan Trial Courts, Municipal Trial Courts, and Municipal Circuit
Trial Courts shall exercise:

(1) Â Exclusive original jurisdiction over civil actions and

probate proceedings, testate and intestate, including the grant of
provisional remedies in proper cases, where the value of the personal
property, estate, or amount of the demand does not exceed One
hundred thousand pesos (P100,000.00) or, in Metro Manila where such
personal property, estate, or amount of the demand does not exceed
Two hundred thousand pesos (P200,000.00) exclusive of interest
damages of whatever kind, attorney's fees, litigation expenses, and
costs, the amount of which must be specifically alleged: Provided, That
where there are several claims or causes of action between the same
or different parties, embodied in the same complaint, the amount of
the demand shall be the totality of the claims in all the causes of
action, irrespective of whether the causes of action arose out of the
same or different transactions;

(2) Â Exclusive original jurisdiction over cases of forcible entry

and unlawful detainer: Provided, That when, in such cases, the
defendant raises the question of ownership in his pleadings and the
question of possession cannot be resolved without deciding the issue of
ownership, the issue of ownership shall be resolved only to determine
the issue of possession.

(3) Â Exclusive original jurisdiction in all civil actions which

involve title to, or possession of, real property, or any interest therein
where the assessed value of the property or interest therein does not
exceed Twenty thousand pesos (P20,000.00) or, in civil actions in
Metro Manila, where such assessed value does not exceed Fifty
thousand pesos (P50,000.00) exclusive of interest, damages of
 whatever kind, attorney's fees, litigation expenses and costs: Provided,
That value of such property shall be determined by the assessed value
of the adjacent lots. 45

Section 33 of B.P. 129 refers to instances wherein the cause of action

or subject matter pertains to an assertion of rights and interests over
property or a sum of money. But as earlier pointed out, the subject matter of
an action to enforce a foreign judgment is the foreign judgment itself, and
the cause of action arising from the adjudication of such judgment.
An examination of Section 19(6), B.P. 129 reveals that the instant
complaint for enforcement of a foreign judgment, even if capable of
pecuniary estimation, would fall under the jurisdiction of the Regional Trial
Courts, thus negating the fears of the petitioners. Indeed, an examination of
the provision indicates that it can be relied upon as jurisdictional basis with
respect to actions for enforcement of foreign judgments, provided that no
other court or office is vested jurisdiction over such complaint:

Sec. 19. Â Jurisdiction in civil cases. — Regional Trial Courts

shall exercise exclusive original jurisdiction:

xxx xxx xxx

(6) Â In all cases not within the exclusive jurisdiction of any

court, tribunal, person or body exercising jurisdiction or any court,
tribunal, person or body exercising judicial or quasi-judicial functions.

Thus, we are comfortable in asserting the obvious, that the complaint

to enforce the US District Court judgment is one capable of pecuniary
estimation. But at the same time, it is also an action based on judgment
against an estate, thus placing it beyond the ambit of Section 7(a) of Rule
141. What provision then governs the proper computation of the filing fees
over the instant complaint? For this case and other similarly situated
instances, we find that it is covered by Section 7(b)(3), involving as it does,
"other actions not involving property." EcDSHT

Notably, the amount paid as docket fees by the petitioners on the

premise that it was an action incapable of pecuniary estimation corresponds
to the same amount required for "other actions not involving property." The
petitioners thus paid the correct amount of filing fees, and it was a grave
abuse of discretion for respondent judge to have applied instead a clearly
inapplicable rule and dismissed the complaint.
There is another consideration of supreme relevance in this case, one
which should disabuse the notion that the doctrine affirmed in this decision is
grounded solely on the letter of the procedural rule. We earlier adverted to
the internationally recognized policy of preclusion, 46 as well as the
principles of comity, utility and convenience of nations 47 as the basis for the
evolution of the rule calling for the recognition and enforcement of foreign
judgments. The US Supreme Court in Hilton v. Guyot 48 relied heavily on the
concept of comity, as especially derived from the landmark treatise of
Justice Story in his Commentaries on the Conflict of Laws of 1834. 49 Yet the
notion of "comity" has since been criticized as one "of dim contours" 50 or
suffering from a number of fallacies. 51 Other conceptual bases for the
recognition of foreign judgments have evolved such as the vested rights
theory or the modern doctrine of obligation. 52
There have been attempts to codify through treaties or multilateral
agreements the standards for the recognition and enforcement of foreign
judgments, but these have not borne fruition. The members of the European
Common Market accede to the Judgments Convention, signed in 1978, which
eliminates as to participating countries all of such obstacles to recognition
such as reciprocity and révision au fond. 53 The most ambitious of these
attempts is the Convention on the Recognition and Enforcement of Foreign
Judgments in Civil and Commercial Matters, prepared in 1966 by the Hague
Conference of International Law. 54 While it has not received the ratifications
needed to have it take effect, 55 it is recognized as representing current
scholarly thought on the topic. 56 Neither the Philippines nor the United
States are signatories to the Convention.
Yet even if there is no unanimity as to the applicable theory behind the
recognition and enforcement of foreign judgments or a universal treaty
rendering it obligatory force, there is consensus that the viability of such
recognition and enforcement is essential. Steiner and Vagts note:

. . . The notion of unconnected bodies of national law on private

international law, each following a quite separate path, is not one
conducive to the growth of a transnational community encouraging
travel and commerce among its members. There is a contemporary
resurgence of writing stressing the identity or similarity of the values
that systems of public and private international law seek to further — a
community interest in common, or at least reasonable, rules on these
matters in national legal systems. And such generic principles as
reciprocity play an important role in both fields. 57

Salonga, whose treatise on private international law is of worldwide

renown, points out:

Whatever be the theory as to the basis for recognizing foreign

judgments, there can be little dispute that the end is to protect the
reasonable expectations and demands of the parties. Where the parties
have submitted a matter for adjudication in the court of one state, and
proceedings there are not tainted with irregularity, they may fairly be
expected to submit, within the state or elsewhere, to the enforcement
of the judgment issued by the court. 58

There is also consensus as to the requisites for recognition of a foreign

judgment and the defenses against the enforcement thereof. As earlier
discussed, the exceptions enumerated in Section 48, Rule 39 have remain
unchanged since the time they were adapted in this jurisdiction from long
standing American rules. The requisites and exceptions as delineated under
Section 48 are but a restatement of generally accepted principles of
international law. Section 98 of The Restatement, Second, Conflict of Laws,
states that "a valid judgment rendered in a foreign nation after a fair trial in
a contested proceeding will be recognized in the United States," and on its
face, the term "valid" brings into play requirements such notions as valid
jurisdiction over the subject matter and parties. 59 Similarly, the notion that
fraud or collusion may preclude the enforcement of a foreign judgment finds
affirmation with foreign jurisprudence and commentators, 60 as well as the
doctrine that the foreign judgment must not constitute "a clear mistake of
law or fact." 61 And finally, it has been recognized that "public policy" as a
defense to the recognition of judgments serves as an umbrella for a variety
of concerns in international practice which may lead to a denial of
recognition. 62
The viability of the public policy defense against the enforcement of a
foreign judgment has been recognized in this jurisdiction. 63 This defense
allows for the application of local standards in reviewing the foreign
judgment, especially when such judgment creates only a presumptive right,
as it does in cases wherein the judgment is against a person. 64 The defense
is also recognized within the international sphere, as many civil law nations
adhere to a broad public policy exception which may result in a denial of
recognition when the foreign court, in the light of the choice-of-law rules of
the recognizing court, applied the wrong law to the case. 65 The public policy
defense can safeguard against possible abuses to the easy resort to offshore
litigation if it can be demonstrated that the original claim is noxious to our
constitutional values.
There is no obligatory rule derived from treaties or conventions that
requires the Philippines to recognize foreign judgments, or allow a procedure
for the enforcement thereof. However, generally accepted principles of
international law, by virtue of the incorporation clause of the Constitution,
form part of the laws of the land even if they do not derive from treaty
obligations. 66 The classical formulation in international law sees those
customary rules accepted as binding result from the combination two
elements: the established, widespread, and consistent practice on the part
of States; and a psychological element known as the opinion juris sive
necessitates (opinion as to law or necessity). Implicit in the latter element is
a belief that the practice in question is rendered obligatory by the existence
of a rule of law requiring it. 67
While the definite conceptual parameters of the recognition and
enforcement of foreign judgments have not been authoritatively established,
the Court can assert with certainty that such an undertaking is among those
generally accepted principles of international law. 68 As earlier
demonstrated, there is a widespread practice among states accepting in
principle the need for such recognition and enforcement, albeit subject to
limitations of varying degrees. The fact that there is no binding universal
treaty governing the practice is not indicative of a widespread rejection of
the principle, but only a disagreement as to the imposable specific rules
governing the procedure for recognition and enforcement.
Aside from the widespread practice, it is indubitable that the procedure
for recognition and enforcement is embodied in the rules of law, whether
statutory or jurisprudential, adopted in various foreign jurisdictions. In the
Philippines, this is evidenced primarily by Section 48, Rule 39 of the Rules of
Court which has existed in its current form since the early 1900s. Certainly,
the Philippine legal system has long ago accepted into its jurisprudence and
procedural rules the viability of an action for enforcement of foreign
judgment, as well as the requisites for such valid enforcement, as derived
from internationally accepted doctrines. Again, there may be distinctions as
to the rules adopted by each particular state, 69 but they all prescind from
the premise that there is a rule of law obliging states to allow for, however
generally, the recognition and enforcement of a foreign judgment. The bare
principle, to our mind, has attained the status of opinio juris in international
practice.
This is a significant proposition, as it acknowledges that the procedure
and requisites outlined in Section 48, Rule 39 derive their efficacy not
merely from the procedural rule, but by virtue of the incorporation clause of
the Constitution. Rules of procedure are promulgated by the Supreme Court,
70 and could very well be abrogated or revised by the high court itself. Yet
the Supreme Court is obliged, as are all State components, to obey the laws
of the land, including generally accepted principles of international law
which form part thereof, such as those ensuring the qualified recognition and
enforcement of foreign judgments. 71
Thus, relative to the enforcement of foreign judgments in the
Philippines, it emerges that there is a general right recognized within our
body of laws, and affirmed by the Constitution, to seek recognition and
enforcement of foreign judgments, as well as a right to defend against such
enforcement on the grounds of want of jurisdiction, want of notice to the
party, collusion, fraud, or clear mistake of law or fact.
DCaEAS

The preclusion of an action for enforcement of a foreign judgment in

this country merely due to an exorbitant assessment of docket fees is alien
to generally accepted practices and principles in international law. Indeed,
there are grave concerns in conditioning the amount of the filing fee on the
pecuniary award or the value of the property subject of the foreign decision.
Such pecuniary award will almost certainly be in foreign denomination,
computed in accordance with the applicable laws and standards of the
forum. 72 The vagaries of inflation, as well as the relative low-income
capacity of the Filipino, to date may very well translate into an award
virtually unenforceable in this country, despite its integral validity, if the
docket fees for the enforcement thereof were predicated on the amount of
the award sought to be enforced. The theory adopted by respondent judge
and the Marcos Estate may even lead to absurdities, such as if applied to an
award involving real property situated in places such as the United States or
Scandinavia where real property values are inexorably high. We cannot very
well require that the filing fee be computed based on the value of the foreign
property as determined by the standards of the country where it is located.
As crafted, Rule 141 of the Rules of Civil Procedure avoids
unreasonableness, as it recognizes that the subject matter of an action for
enforcement of a foreign judgment is the foreign judgment itself, and not the
right-duty correlatives that resulted in the foreign judgment. In this particular
circumstance, given that the complaint is lodged against an estate and is
based on the US District Court's Final Judgment, this foreign judgment may,
for purposes of classification under the governing procedural rule, be
deemed as subsumed under Section 7(b)(3) of Rule 141, i.e., within the class
of "all other actions not involving property." Thus, only the blanket filing fee
of minimal amount is required.
Finally, petitioners also invoke Section 11, Article III of the Constitution,
which states that "[F]ree access to the courts and quasi-judicial bodies and
adequate legal assistance shall not be denied to any person by reason of
poverty." Since the provision is among the guarantees ensured by the Bill of
Rights, it certainly gives rise to a demandable right. However, now is not the
occasion to elaborate on the parameters of this constitutional right. Given
our preceding discussion, it is not necessary to utilize this provision in order
to grant the relief sought by the petitioners. It is axiomatic that the
constitutionality of an act will not be resolved by the courts if the
controversy can be settled on other grounds 73 or unless the resolution
thereof is indispensable for the determination of the case. 74
One more word. It bears noting that Section 48, Rule 39 acknowledges
that the Final Judgment is not conclusive yet, but presumptive evidence of a
right of the petitioners against the Marcos Estate. Moreover, the Marcos
Estate is not precluded to present evidence, if any, of want of jurisdiction,
want of notice to the party, collusion, fraud, or clear mistake of law or fact.
This ruling, decisive as it is on the question of filing fees and no other, does
not render verdict on the enforceability of the Final Judgment before the
courts under the jurisdiction of the Philippines, or for that matter any other
issue which may legitimately be presented before the trial court. Such issues
are to be litigated before the trial court, but within the confines of the
matters for proof as laid down in Section 48, Rule 39. On the other hand, the
speedy resolution of this claim by the trial court is encouraged, and
contumacious delay of the decision on the merits will not be brooked by this
Court.
WHEREFORE, the petition is GRANTED. The assailed orders are
NULLIFIED and SET ASIDE, and a new order REINSTATING Civil Case No. 97-
1052 is hereby issued. No costs.
SO ORDERED.
Puno, Austria-Martinez, Callejo, Sr. and Chico-Nazario, JJ., concur.
Footnotes

1. Â Priscilla Mijares is a judge of the Regional Trial Court of Pasay, Loretta Ann
P. Rosales an incumbent member of the House of Representatives, and Joel
Lamangan a noted film director.

2. Â Namely Celsa Hilao, Josefina Hilao Forcadilla, Arturo P. Revilla, Jr., Rodolfo
G. Benosa, Danila M. Fuente, Renato Pineda, Domiciano Amparo, Christopher
Sorio, Jose Duran, and Adora Faye De Vera. Rollo, pp. 42-47.

3. Â Except for Celsa Hilao, who instead alleged that her daughter, Liliosa Hilao,
 had been tortured then executed by military personnel during martial law. Id.
at 42-43.

4. Â Id. at 42.

5. Â Id. at 35.

6. Â The Opinion was authored by Circuit Judge Betty B. Fletcher and concurred
in by Circuit Judge Harry Pragerson. Circuit Judge Pamela Ann Rymer filed an
opinion concurring and dissenting in part, her dissent centering on the
methodology used for computing compensatory damages. Rollo , pp. 84-132.

7. Â Under Section 58 of the US Federal Rules of Civil Procedure, the judgment

for compensatory damages in a class suit is awarded to a randomly selected.
. . . Petitioner Joel Lamangan was among the randomly selected claimants of
the Torture subclass awarded damages by the US District Court. See Rollo , p.
71.

8. Â Now Section 48, Rule 39, 1997 Rules of Civil Procedure.

9. Â Since increased to P600.00.

10. Â Now an Associate Justice of the Court of Appeals.

11. Â Petitioners correctly note that they are precluded from filing an appeal on
certiorari under Section 1, Rule 41 of the Rules of Civil Procedure, which bars
an appeal taken from an order dismissing an action without prejudice and
dictates the aggrieved party to file an appropriate civil action under Rule 65
instead. See Rollo , p. 9.

12. Â In a Resolution dated 4 December 2000. Rollo , p. 282.

13. Â Id. at 205.

14. Â See Section 7(c), Rule 141.

15. Â See Section 7(d), id .

16. Â Gochan v. Gochan, 423 Phil. 491, 502 (2001).

17. Â Philippine Aluminum Wheels v. Fasgi Enterprises, Inc., G.R. No. 137378, 12
October 2000, 342 SCRA 722, 734; citing Jovito R Salonga, Rex Bookstore,
Manila, Philippines, 1995 Edition, p. 543.

18. Â 159 U.S. 113 (1895)

19. Â 47 Phil. 189 (1925). While the Philippine Supreme Court in this case
refused to enforce the judgment of the Hongkong Court on the ground of
mistake of law or fact, it was reversed on appeal to the US Supreme Court.

20. Â Id. JJ. Malcolm and Avanceña, dissenting.

21. Â See also Borthwick v. Hon. Castro-Bartolome, G.R. No. L-57338, 23 July
1987, 152 SCRA 129, 235; Philippine International Shipping Corp. v. Court of
Appeals, G.R. No. 77085, 26 April 1989, 172 SCRA 810, 819.
22. Â "Ultimately, matters of remedy and procedure such as those relating to
the service of summons or court process upon the defendant, the authority of
counsel to appear and represent a defendant and the formal requirements in
a decision are governed by the lex fori or the internal law of the forum."
Asiavest Merchant Bankers (M) Berhad v. Court of Appeals, 414 Phil. 13, 29
(1991).

23. Â "Fraud, to hinder the enforcement within this jurisdiction of a foreign

judgment, must be extrinsic, i.e., fraud based on facts not controverted or
resolved in the case where judgment is rendered, or that which would go to
the jurisdiction of the court or would deprive the party against whom
judgment is rendered a chance to defend the action to which he has a
meritorious case or defense. In fine, intrinsic fraud, that is, fraud which goes
to the very existence of the cause of action — such as fraud in obtaining the
consent to a contract – is deemed already adjudged, and it, therefore,
cannot militate against the recognition or enforcement of the foreign
judgment." Philippine Aluminum Wheels v. Fasgi Enterprises, Inc., supra note
17.

24. Â See, e.g., Nagarmull v. Binalbagan-Isabela Sugar Co ., 144 Phil. 72, 77

(1970); Ingenholl v. Walter E. Olsen and Company, Inc., supra note 20.

25. Â Roeher v. Rodriguez, G.R. No. 142820, 20 June 2003, 404 SCRA 495, 503.

26. Â "An action must be brought in the second state upon the judgment
recovered in the first." J. Salonga, Private International Law (3rd ed., 1967),
at 500; citing Goodrich, 600, 601; Chesire, 628; II Beale, 1377. But see E.
Scoles and P. Hay, Conflict of Laws (2nd ed., 1982), at 969, which recognizes
that civil law countries provide a procedure to give executory force to the
foreign judgment, as distinguished from the Anglo-American common law
(but not statutory) practice of requiring an action on the judgment.

27. Â See Philsec Investment Corp. v. Court of Appeals , G.R. No. 103493, 19
June 1997, 274 SCRA 102, 110.

28. Â Northwest Orient Airlines v. Court of Appeals, G.R. No. 112573, 9 February
1995, 241 SCRA 192, 199.

29. Â See Section 3(a), Rule 1, Rules of Civil Procedure.

30. Â Every ordinary civil action must be based on a cause of action. Section 1,
Rule 2, Rules of Civil Procedure. A cause of action is the act or omission by
which a party violates a right of another. Section 2, Rule 2, Rules of Civil
Procedure.

31. Â See Pacific Asia Overseas Shipping Corp. v. NLRC , G.R. No. 76595. 6 May
1988, 161 SCRA 122, 133.

32. Â Soles & Hay, supra note 27, at 916.

33. Â Ibid.

34. Â Salonga, supra note 27, at 514; citing Cheshire, 803.

35. Â Rollo , p. 30. Emphasis omitted.

36. Â 133 Phil. 526 (1968).

37. Â Id. at 528.

38. Â Rollo , at 326, citing Arroz v. Alojado, 19 SCRA 711 (1967).

39. Â Ibid citing Bunayog v. Tunas, 106 Phil. 715 (1959)

40. Â Id. citing Baito v. Sarmiento, 109 Phil. 148 (1960).

41. Â Id. citing De Rivera v. Halili, 9 SCRA 59 (1963).

42. Â Id. citing Bautista v. Lim, 88 SCRA 479 (1979) and De Leon v. Court of
Appeals, 287 SCRA 94 (1998).

43. Â Id. citing Amorganda v. Court of Appeals, 166 SCRA 203 (1988); Ortigas &
Company v. Herrera, 120 SCRA 89 (1983).

44. Â Id. citing Mercado v. Ubay, 187 SCRA 719 (1990) and Filipino Pipe Workers
Union v. Batario, Jr., 163 SCRA 789 (1988).

45. Â As amended by Rep. Act No. 7691.

46. Â Supra note 32.

47. Â Supra note 17.

48. Â Supra note 18.

49. Â H. Steiner & D. Vagts, Transnational Legal Problems: Materials and Text
(2nd ed., 1976), at 775.

50. Â Ibid.

51. Â See Salonga, supra note 27, at 66.

52. Â Id. at 502-503.

53. Â Scoles & Hays, supra note 27, at 970.

54. Â Steiner & Vagts, supra note 51, at 808. "A decision rendered in one of the
Contracting States shall be entitled to recognition and enforcement in
another Contracting State under the terms of this Convention — (1) if the
decision was given by a court considered to have jurisdiction within the
meaning of this Convention, and (2) if it is no longer subject to ordinary
forms of review in the State of origin." Convention on the Recognition and
Enforcement of Foreign Judgments in Civil and Commercial Matters, Chapter
II, Article 4.

55. Â To date, only Cyprus, the Netherlands, Portugal and Kuwait have either
ratified or acceded to the Convention.

56. Â Steiner & Vagts, supra note 51.

57. Â Steiner & Vagts, supra note 51, at 776.

58. Â Salonga, supra note 51, at 502.

59. Â Steiner & Vagts, supra note 27, at 779. "A policy common to all legal
systems is to provide for the final resolution of disputes. The policy is
furthered by each nation's adoption of a view of 'jurisdiction in the
international sense' which recognizes the foreign court's assertion of
jurisdiction as satisfying its own notions of due process in circumstances in
which it itself would have asserted jurisdiction." Soles & Hay, supra note 27,
at 976; citing Hay, International versus Interstate Conflicts Law in the United
States, 35 Rabels Zeitschrift 429,450 n. 101 (1971) and Cherun v. Frishman,
236 F. Supp. 292 (D.D.C. 1964). Salonga, in affirming the rule of want of
jurisdiction, cites the commentaries of Cheshire, Wolff, Goodrich and
Nussbaum.

60. Â See, e.g., Salonga, supra note 27 at 513.

61. Â Ibid; citing Henderson v. Henderson , 6 Q.B. (1844) 288; Vanquelin v.

Bouard, 15 C.B. (N.S. 1863) 341; Godard v. Gray, L.R. 6 Q.B. 139 (1870);
Vadala v. Lawes 25 Q.B.D. (1890) 319, 316; cf. Chandler v. Peketz, 297 U.S.
609, 56 S.Ct., 80 L.Ed. 881 (1936); Cheshire, 661-664; Wolff, 268; Goodrich,
603.

62. Â Soles & Hay, supra note 27, at 978.

63. Â "Thus, when the foreign law, judgment or contract is contrary to a sound
and established public policy of the forum, the said foreign law, judgment or
order shall not be applied." Bank of America v. American Realty Corp., 378
Phil. 1279, 1296 (1999); citing Philippine Conflict of Laws, Eighth Edition,
1996, Paras, page 46. "Las sentencias de tribunals extranjeros no pueden
ponerse en vigor en Filipinas si son contrarias a las leyes, costumbres y
orden público. Si dichas decisiones, por la simple teorÃ​a de reciprocidad,
cortesÃ​a judicial y urbanidad internacional son base suficiente para que
nuestros tribunales decidan a tenor de las mismas, entonces nuestros
juzgados estarÃ​an en la pobre tessitura de tener que dictar sentencias
contrarias a nuestras leyes, costumbres y orden público. Esto es absurdo."
Querubin v. Querubin, 87 Phil. 124, 133. (1950).

64. Â See Section 48, Rule 39, Rules of Civil Procedure.

65. Â Soles & Hays, supra note 27, at 979.

66. Â "[It] is generally recognized that, subject to [exceptions], a rule of general

customary international law is binding on all States, whether or not they
have participated in the practice from which it sprang." H. Thirlway, "The
Sources of International Law", International Law (ed. by M. Evans, 1st ed.,
2003), at 124.

67. Â "Not only must the acts concerned amount to a settled practice, but they
must also be such, or be carried out in such a way, as to be evidence of a
belief that this practice is rendered obligatory by the existence of a rule of
law requiring it. The need for such a belief, i.e., the existence of a subjective
element, is implicit in the very notion of the opinion juris sive necessitatis.
North Sea Continental Shelf, Judgment, ICJ Reports 1969, p. 3, para. 77; cited
in H. Thirlway, ibid.

68. Â The problems that arise in the enforcement of foreign judgments are
generally to be solved by the principles of international law. The Philippines
 by its Constitution, adopts the generally accepted principles of international
law. F. Gupit, "Enforcement of Foreign Judgments and Arbitral Awards", XXIII
J. Integ. Bar. Phil. 3, at 69.

69. Â Divergent practices do not necessarily preclude recognition of a

customary norm. In reviewing the question of the existence of customary
rules forbidding the use of force or intervention, the International Court of
Justice pertinently held: "It is not to be expected that in the practice of States
the application of the rules in question should have been perfect, in the
sense that States should have refrained, with complete consistency, from the
use of force or from intervention in each other's internal affairs. The Court
does not consider that, for a rule to be established as customary, the
corresponding practice must be in absolutely rigorous conformity with the
rule. In order to deduce the existence of customary rules, the Court deems it
sufficient that the conduct of States, should, in general, be consistent with
such rules, and that instances of State conduct inconsistent with a given rule
should generally have been treated as breaches of that rule, not as
indications of recognition of a new rule." (emphasis supplied) Military and
Paramilitary Activities in and against Nicaragua (Nicaragua v. United States
of America), Merits, Judgment, ICJ Reports 1986, p. 14, para. 186; citing in H.
Thirlway, supra note 66.

70. Â And other inferior courts, relative to their jurisdictions.

71. Â Sec. 2, Art. II, 1987 Const., which states "The Philippines renounces war as
an instrument of national policy, adopts the generally accepted principles of
international law as part of the law of the land and adheres to the policy of
peace, equality, justice, freedom, cooperation and amity with all nations.

72. Â Indeed, the valuation of foreign money judgments remains a matter of

debate in international law. In the United States, Section 144 of the
Restatement, Second, Conflicts of Laws (1971) adopts the rule that the forum
would convert the currency into local currency as of the date of the award.
However, this rule has been criticized. In England, the judgment debtor may
now effect payment either in the foreign currency in the amount due or in
local currency equivalent to the foreign currency on the date of payment.
French and German law similarly permit the expression of a judgment in
foreign currency. Soles & Hays, supra note 27, at 973.

73. Â Ty v. Trampe, 321 Phil. 81 (1995).

74. Â Tarrosa v. Singson , G.R. No. 111243, 25 May 1994, 232 SCRA 553, 557.