This case involves a dispute between Perkin Elmer Singapore Pte Ltd., a Singapore corporation, and Dakila Trading Corporation, a Philippine corporation, regarding a distribution agreement. The Supreme Court of the Philippines ruled that (1) there was no proper service of summons on the Singapore corporation because the case was an in personam action requiring territorial service, and (2) the distribution agreement stipulated that any disputes would be resolved in either Singapore or the Philippines, making the Philippines a proper venue. The Court reversed the lower court decisions and dismissed the complaint against the Singapore corporation.
This case involves a dispute between Perkin Elmer Singapore Pte Ltd., a Singapore corporation, and Dakila Trading Corporation, a Philippine corporation, regarding a distribution agreement. The Supreme Court of the Philippines ruled that (1) there was no proper service of summons on the Singapore corporation because the case was an in personam action requiring territorial service, and (2) the distribution agreement stipulated that any disputes would be resolved in either Singapore or the Philippines, making the Philippines a proper venue. The Court reversed the lower court decisions and dismissed the complaint against the Singapore corporation.
This case involves a dispute between Perkin Elmer Singapore Pte Ltd., a Singapore corporation, and Dakila Trading Corporation, a Philippine corporation, regarding a distribution agreement. The Supreme Court of the Philippines ruled that (1) there was no proper service of summons on the Singapore corporation because the case was an in personam action requiring territorial service, and (2) the distribution agreement stipulated that any disputes would be resolved in either Singapore or the Philippines, making the Philippines a proper venue. The Court reversed the lower court decisions and dismissed the complaint against the Singapore corporation.
This case involves a dispute between Perkin Elmer Singapore Pte Ltd., a Singapore corporation, and Dakila Trading Corporation, a Philippine corporation, regarding a distribution agreement. The Supreme Court of the Philippines ruled that (1) there was no proper service of summons on the Singapore corporation because the case was an in personam action requiring territorial service, and (2) the distribution agreement stipulated that any disputes would be resolved in either Singapore or the Philippines, making the Philippines a proper venue. The Court reversed the lower court decisions and dismissed the complaint against the Singapore corporation.
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PERKIN ELMER SINGAPORE PTE LTD.
, Versus DAKILA TRADING CORPORATION. G.R. No. 172242 August 14, 2007 PONENTE:CHICO-NAZARIO, J.
FACTS:
Petitioner is a corporation under Singapore. Respondent is a
corporation organized and existing under Philippine laws, for selling & leasing laboratory instruments. Respondent entered into an agreement with the PerkinElmer Instruments Asia PTE LTD appointed respondent as sole distributor of its product under a Distribution Agreement. However the PEIA unilaterally terminated the distribution agreement. The respondent filed a complaint for collection of sum of money and damages. The Regional Trial Court denied the respondents prayer. Petitioner appealed, but the Court Of Appeals affirms the Regional Trial Court’s decision.
ISSUES:
1. Whether or not there is a proper service of summons and
acquisition of jurisdiction.
2. Whether or not it is a proper venue for respondents civil case.
HELD:
1. The proper service of summons differs depending on the
nature of the civil case instituted by the plaintiff or petitioner: whether it is in personam, in rem, or quasi in rem. When the case instituted is an action in rem or quasi in rem, Philippine courts already have jurisdiction to hear and decide the case because, in actions in rem and quasi in rem, jurisdiction over the person of the defendant is not a prerequisite to confer jurisdiction on the court, provided that the court acquires jurisdiction over the res. Thus, in such instance, extraterritorial service of summons can be made upon the defendant.
The said extraterritorial service of summons is not for the
purpose of vesting the court with jurisdiction, but for complying with the requirements of fair play or due process, so that the defendant will be informed of the pendency of the action against him and the possibility that property in the Philippines belonging to him or in which he has an interest may be subjected to a judgment in favor of the plaintiff, and he can thereby take steps to protect his interest if he is so minded. There was no proper service of summons, because the territorial service of summons was not proper for action in personam and the attachment of the property does not constitutes or even convert it into quasi in rem.
2. It is proper venue for civil case base on Distribution
Agreement it was stipulated that if dispute arises it will be resolved either in Singapore or in the Philippines.
WHEREFORE, premises considered, the instant Petition is
hereby GRANTED. The Decision of the Court of Appeals, dated 4 April 2006, in CA-G.R. SP No. 78981, affirming the Orders, dated 4 November 2002 and 20 June 2003, of the Regional Trial Court of Mandaluyong City, Branch 212, in Civil Case No. MC99-605, is hereby REVERSED AND SET ASIDE. Respondents Amended Complaint in Civil Case No. MC99-605 as against the petitioner is hereby ordered DISMISSED, and all the proceedings against petitioner in the court a quo by virtue thereof are hereby DECLARED NULL AND VOID. The Regional Trial Court of Mandaluyong City, Branch 212, is DIRECTED to proceed without further delay with the resolution of respondents Complaint in Civil Case No. MC99-605 as to defendant PEIP, as well as petitioners counterclaim. No costs.
G.R. No. 192100 REPUBLIC OF THE PHILIPPINES, Represented by The DEPARTMENT OF PUBLIC WORKS AND HIGHWAYS (DPWH), vs. ASIA PACIFIC INTEGRATED STEEL CORPORATION