CASE DIGEST: United Claimants Association of Nea v. National Electrification Administration

 


UNITED CLAIMANTS ASSOCIATION OF NEA (UNICAN) v. NATIONAL ELECTRIFICATION ADMINISTRATION (NEA)
G.R. No. 187107                January 31, 2012

FACTS:

In order to enhance and accelerate the electrification of the whole country, including the privatization of the National Power Corporation, Republic Act No. (RA) 9136, otherwise known as the Electric Power Industry Reform Act of 2001 (EPIRA Law), was enacted, taking effect on June 26, 2001. The law imposed upon NEA additional mandates such as the restructuring of the electric power industry.

On August 28, 2002, former President Gloria Macapagal-Arroyo issued Executive Order No. 119 directing the NEA Board to submit a reorganization plan. Thus, NEA Board issued the assailed resolutions.

The Rules and Regulations to implement RA 9136 were issued on February 27, 2002. Under Sec. 3(b)(ii), Rule 33 of the Rules and Regulations, all the NEA employees and officers are considered terminated and the 965 plantilla positions of NEA vacant.

On September 17, 2003, the Department of Budget and Management approved the NEA Termination Pay Plan. Thereafter, the NEA implemented an early retirement program denominated as the “Early Leavers Program,” giving incentives to those who availed of it and left NEA before the effectivity of the reorganization plan. The other employees of NEA were terminated effective December 31, 2003.

Hence, this petition.

Petitioners are former employees of NEA who were terminated from their employment with the implementation of the assailed resolutions.

One of the procedural issues alleged by respondent is that the remedy of injunction is no longer available to petitioners inasmuch as the assailed NEA Board resolutions have long been implemented. Respondent ground their argument on the untenability of the petition on the ground of mootness.

Petitioners contend that the principle of mootness is subject to exceptions, such as when the case is of transcendental importance.

ISSUE:

Whether or not the petition should be dismissed for being moot.

RULING:

A moot and academic case is one that ceases to present a justiciable controversy by virtue of supervening events, so that a declaration thereon would be of no practical use or value. Generally, courts decline jurisdiction over such case or dismiss it on ground of mootness. However, supervening events, whether intended or accidental, cannot prevent the Court from rendering a decision if there is a grave violation of the Constitution. Even in cases where supervening events had made the cases moot, the Court did not hesitate to resolve the legal or constitutional issues raised to formulate controlling principles to guide the bench, bar, and public.

As an exception to the rule on mootness, courts will decide a question otherwise moot if it is capable of repetition yet evading review.

In the instant case, while the assailed resolutions of the NEA Board may have long been implemented, such acts of the NEA Board may well be repeated by other government agencies in the reorganization of their offices. Petitioners have not lost their remedy of injunction.

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