Guagua National Colleges v. CA

 

Facts: Under Section 5(2) of RA No. 6728 (Government Assistance To Students and Teachers In Private Education Act), 70% of the increase in tuition fees shall go to the payment of salaries, wages, allowances and other benefits of the teaching and non-teaching personnel. Pursuant to this provision, the petitioner imposed a 7% increase of its tuition fees for school year 2006-2007.

In order to save the depleting funds of the petitioner's Retirement Plan, its Board of Trustees approved the funding of the retirement program out of the 70% net incremental proceeds arising from the tuition fee increases. Respondents GNC-Faculty Labor Union and GNC Non-Teaching Maintenance Labor Union challenged the petitioner's unilateral decision by claiming that the increase violated Section 5(2) of R.A. No. 6728.

The parties referred the matter to voluntary arbitration. Voluntary Arbitrator Bacungan rendered his decision in favor of GNC. Respondents filed an Urgent Motion for Extension to the CA which was granted. Petitioner filed a motion to dismiss and it was acted on by the CA.

Issue: Whether the CA is acting without or in excess of its jurisdiction considering that the decision of the VA had already become final and executory.

Held: No. Accordingly, the decisions and awards of Voluntary Arbitrators, albeit immediately final and executory, remained subject to judicial review in appropriate cases through petitions for certiorari. 

A fortiori, the decision or award of the voluntary arbitrator or panel of arbitrators should likewise be appealable to the Court of Appeals, in line with the procedure outlined in Revised Administrative Circular No. 1- 95, just like those of the quasi-judicial agencies, boards and commissions enumerated therein.

This would be in furtherance of, and consistent with, the original purpose of Circular No. 1-91 to provide a uniform procedure for the appellate review of adjudications of all quasi-judicial entities not expressly excepted from the coverage of Sec. 9 of B.P. 129 by either the Constitution or another statute. Nor will it run counter to the legislative intendment that decisions of the NLRC be reviewable directly by the Supreme Court since, precisely, the cases within the adjudicative competence of the voluntary arbitrator are excluded from the jurisdiction of the NLRC or the labor arbiter.

The remedy of appeal by petition for review under Rule 43 of the Rules of Court became available to the parties aggrieved by the decisions or awards of the Voluntary Arbitrators or Panels of Arbitrators.