Case Digest: Cogeo-Cubao Operators and Drivers Association vs. Court of Appeals and Lungsod Silangan Transport Services, Corp., Inc., G.R. No. 100727, March 18, 1992
Commercial Law | Public Service Act In 1983, Lungsod Silangan Transport Services Corp. was granted a certificate of public convenience to operate a jeepney service on the Cogeo-Cubao route. Two years later, the Cogeo-Cubao Operators and Drivers Association was formed and began protesting the corporation’s "Bandera System," which required drivers to pay a fee to queue for passengers. On November 11, 1985, members of the Association formed a human barricade and forcibly took over the dispatching and operation of the jeepneys for ten days. Claiming this was a lawful exercise of their right to redress grievances, the Association refused to stop, prompting the corporation to file a lawsuit for damages to protect its operations. The legal issue is whether the Association’s unauthorized takeover of the jeepney route violated the corporation’s property rights, justifying an award for damages. The Supreme Court ruled that the Association is liable for nominal damages because it illega...