RATIO EO No 301 1 applies only to contracts for the purchase of supplies

Ratio eo no 301 1 applies only to contracts for the

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RATIO: E.O. No. 301, §1 applies only to contracts for the purchase of supplies, materials and equipment. It does not refer to contracts of lease of equipment like the ELA. The provisions on lease are found in §§ 6 and 7 but they refer to the lease of privately-owned buildings or spaces for government use or of government-owned buildings or spaces for private use, and these provisions do not require public bidding. It is thus difficult to see how E.O. No. 301 can be applied to the ELA when the only feature of the ELA that may be thought of as close to a contract of purchase and sale is the option to buy given to the PCSO. An option to buy is not of course a contract of purchase and sale. Indeed the question is not whether compared with the former joint venture agreement the present lease contract is “[more] advantageous to the government.” The question is whether under the circumstances, the ELA is the most advantageous contract that could be obtained compared with similar lease agreements which the PCSO could have made with other parties. Petitioners have not shown that more favorable terms could have been obtained by the PCSO or that at any rate the ELA, which the PCSO concluded with the PGMC, is disadvantageous to the government. SEPARATE OPINIONS: PADILLA, concurring I join the majority in voting for the dismissal of the petition in this case. As to whether or not the ELA is grossly disadvantageous to the government, it should be stressed that the matter involves, basically, a policy — determination by the executive branch which this Court should not ordinarily reverse or substitute with its own judgment, in keeping with the time honored doctrine of separation of powers. VITUG, concurring I most humbly reiterate the separate opinion I have made in Kilosbayan, Inc., et al., vs. Teofisto Guingona, Sr., etc., et al . (G.R. No. 113375, promulgated on 05 May 1994). Back to the core of the petition, however, the matter of the legal standing of petitioners in their suit assailing the subject-contract appears to me, both under substantive law and the rules of procedure, to still be an insuperable issue. I have gone over carefully the pleadings submitted in G.R. No. 118910, and I regret my inability to see anything new that can convince me to depart from the view I have expressed on it in G.R. No. 113375. FELICIANO, dissenting With very great respect, it is submitted that the above conclusion has been merely assumed rather than demonstrated and that what is in fact before this Court does not adequately support such conclusion.
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REGALADO, dissenting I am constrained to respectfully dissent from the majority opinion premised on the constitutional and procedural doctrines posed and interpreted in tandem therein. I also regret that I have to impose on the majority with this virtual turno en contra when I could have indicated my disaccord by just joining Mr. Justice Davide in his commendably objective presentation of the minority position. I feel, however, that certain views that have been advanced require a rejoinder lest they lapse into the realm of unanimous precedents.
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  • Spring '17
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