7/25/2019 006 - Litonjua Jr. v. Eternit Corporation

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LINTONJUA v. ETERNIT CORPORATIONJune 8, 2006 | J. Callejo, Sr. | Agency

Digester: Bea, Alexis

SUMMARY:Eternit EC! is a cor"oration in t#e $#ili""ines an%Eteroutre&er SA Cor"oration ESAC! o'ns (0) o* t#e stoc+ in ECan% is registere% in Belgiu&. Because o* t#e arcos regi&e, t#e&anage&ent o* ESAC 'ante% to sto" its o"erations an% to %is"ose

o* t#e lan% on '#ic# EC 'as situate%. -#ey engage% t#e sericeso* ar/ue, a realtor, '#o o1ere% t#e lan% to itonjua '#oacce"te%. -#e itonjua 3rot#ers %e"osite% 4SD5 in lieu o* t#esale. -#e "olitical con%ition in t#e $#ili""ines i&"roe% an% ESAC%eci%e% not to "rocee% 'it# t#e sale. itonjuas le% a co&"laint*or s"ecic "er*or&ance an% "ay&ent o* %a&ages 3ecause o* t#ea3orte% sale. 7es"on%ents EC! &aintain t#at lanille, Delsaux,an% ar/ue #a% no aut#ority *ro& t#e stoc+#ol%ers o* EC an% itsBoar% o* Directors to o1er t#e "ro"erties *or sale. $etitionersitonjuas! assert t#at t#ere 'as no nee% *or a 'ritten aut#ority*or ar/ue to ali%ly act as a 3ro+er. As a 3ro+er, ar/ue 'asnot an or%inary agent '#ose jo3 'as &erely to 3ring toget#er t#e

"arties to t#e transaction, not to actually sell t#e "ro"erties, #enceArt. 589 %oes not a""ly.

DOCTRINE: A cor"oration is a juri%ical "erson se"arate an%%istinct *ro& its stoc+#ol%ers. ;t &ay act only t#roug# its 3oar% o*%irectors or '#en aut#orie% 3y its 3oar% resolution. -#e general"rinci"les o* agency goern t#is relation 3et'een t#e cor"orationan% its agents. Agency &ay 3e oral unless t#e la' re/uires as"ecic *or&.

7/25/2019 006 - Litonjua Jr. v. Eternit Corporation

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7/25/2019 006 - Litonjua Jr. v. Eternit Corporation

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*hethe! ! nt Ma!+(e nee'e' w!itten a(th!it" #!$ESAC %eca(se he was actin- as an a-entYES

$etitioners *aile% to "roe t#at EC acce"te% t#eir counterHo1ert#roug# lanille an% Delsaux. >#en t#e case is *or s"ecic"er*or&ance o* a contract, agency &ust 3e "roen t#roug#clear, certain an% s"ecic "roo*. 4n%er Sec. 2K o* t#eCor"oration Co%e, a cor"oration #as a se"arate an% %istinct"ersonality *ro& its stoc+#ol%ers an% is not a1ecte% 3y

transactions o* t#e latter. 4n%er Sec. K6 o* t#e sa&e co%e, itaut#ories t#e cor"oration to %is"ose o* t#eir "ro"erties.