CIR vs. S. C. Johnson and Son, Inc. (G.R. No. 127105 June 25, 1999) - H DIGEST

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D.Z. K`. >:4>7? Fuko :?, >111 H@CCAXXA@KOZ @E AK]OZKNI ZOUOK_O, pott`kor, vs. X.H. F@LKX@K NKM X@K, AKH., nkm H@_Z] @E NWWONIX, rosp`kmoks. ]@WAH6 H`khopt `e ]nx Inws -; X`urhos -; ]nx ]ronos NJ@_]6 M`costh H`rp`rnt`k okorom ak` Iahokso Ndroocok wal e`roadk h`rp`rnt`k ` uso inor‑s pnok, rnmocnrb nkm ohlk`i`dy2 Hinac e`r nx roeukm `e m`costh h`rp`rnt`k pornakakd ` `vorpnam wall`imakd nx 2 ZW-_X ]nx ]rony2 ’C`s-env`rom knt`k hinuso– h inuso– ENH]X6  RZosp`kmokS, n m`costh h`rp`rnt`k `rdnkazom nkm `porntkd ukmor lo Wlaiappako inws, okorom ak` n iah iahoks okso o ndrooc ndroocok ok wal wal XH F`l F`lks` ks`k k nkm X`k X`k,, _kaom _kaom Xnos Xnos `e Nco Ncorah rahn n (_X (_XN), N), n k`k k`k-ros -rosamo amok k e`road e`roadk k











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h`rp`rnt`k jnsom ak lo _.X.N. pursunk ` wlahl lo Rrosp`kmokS wns drnkom lo radl ` uso lo rnmocnrb, pnoks nkm ohlk`i`dy `wkom jy lo inor akhiumakd lo radl ` cnkuenhuro, pnhbndo nkm masrajuo lo pr`muhs h`vorom jy lo Ndroocok nkm sohuro nssasnkho ak cnkndocok, cnrbotkd nkm pr`muht`k er`c XH F`lks`k nkm X`k, _. X. N. ]lo snam Iahokso Ndroocok wns muiy rodasorom wal lo ]ohlk`i`dy ]rnkseor J`nrm `e lo Juronu `e  Wnoks, ]rnmo Cnrbs nkm ]ohlk`i`dy ]rnkseor ukmor Horthno `e Zodasrnt`k K`. 11: ` Cny >118 ak lo `ni nc`uk `e  W>,578,==8.77 (Oxls. "J" ` "I" nkm sujcnrbakds). @k @h`jor :1, >118, Rrosp`kmokS iom wal lo Akorknt`kni ]nx Nnars Mavasa`k (A]NM) `e lo JAZ n hinac e`r roeukm roeukm `e `vorpn `vorpnam am wa wall ll`im `imakd akd nx `k r`y r`ynit nitos os nrduakd nrduakd ln, ln, "lo "lo nkohom nkohomok ok enhs enhs no nokma kmakd kd Rrosp`kmok'sS hnso enii squnroiy walak lo snco harhucsnkhos ukmor wlahl snam CnhDo`rdo nkm Daiioto ruiakds woro assuom. Xakho lo ndroocok wns nppr`vom jy lo ]ohlk`i`dy ]rnkseor J`nrm, lo proeoroktni nx rno `e >7% sl`ui sl`uim m npp nppiy iy ` lo Rrosp Rrosp`km `kmok okS. S. To loroe loroe`ro `ro sujca sujca ln ln r`y r`ynit nitos os pna pnam m jy lo Rrosp`kmokS ` XH F`lks`k nkm X`k, _XN as `kiy sujfoh ` >7% wall`imakd nx pursunk ` lo c`senv`rom knt`k hinuso `e lo ZW-_X ]nx ]rony RNrthio >8 Wnrndrnpl : (j) (aaa)S ak roint`k ` lo ZW-Tos Dorcnky ]nx ]rony RNrthio >: (:) (j)S". ]lo H`ccassa`kor mam k` nh `k snam hinac e`r roeukm. Wravno rosp`kmok X.H. F`lks`k & X`k, Akh. (X.H. F`lks`k) lok iom n pott`k e`r rovaow joe`ro lo H`ur `e ]nx Npponis (H]N) wloro lo hnso wns m`hboom ns H]N Hnso K`. ?>85, ` hinac n roeukm `e lo `vorpnam wall`imakd nx `k r`yniy pnycoks er`c Fuiy >11: ` Cny >118. H]N6 @k Cny 4, >115, lo H`ur `e ]nx Npponis rokmorom as mohasa`k ak env`r `e X.H. F`lks`k nkm `rmorom lo H`ccassa H`ccassa`ko `korr `e Akork Akorkni ni Zovoku Zovokuo o ` assuo assuo n nx hroma horthno horthno ak lo nc`uk nc`uk `e W15 W158,: 8,:55. 55.77 77 roprosoktkd `vorpnam wall`imakd nx `k r`yniy pnycoks, jodakkakd Fuiy, >11: ` Cny, >118. HN mohasa`k6 nrcom ak t`t` lo H]N ruiakd Wott`kor h`kokms ln ukmor Nrthio >8(:) (j) (aaa) `e lo ZW-_X ]nx ]rony, wlahl as bk`wk ns lo "c`s env`rom knt`k" hinuso, lo i`wos rno `e lo Wlaiappako nx n >7% cny jo acp`som `k r`ynitos moravom jy n rosamok `e lo _kaom Xnos er`c s`urhos walak lo Wlaiappakos `kiy ae lo harhucsnkhos `e lo rosamok `e lo _kaom Xnos nro sacainr ` l`so `e lo rosamok `e Tos Dorcnky. Xakho lo ZW-_X ]nx ]rony h`knaks k` "cnhlakd hroma" pr`vasa`k ns ln pr`vamom ukmor Nrthio := `e lo ZW-Tos Dorcnky ]nx ]rony, lo nx `k r`ynitos ukmor lo ZW-_X ]nx ]rony as k` pnam ukmor sacainr harhucsnkhos ns l`so `jnakakd ak lo ZW-Tos Dorcnky ]nx ]rony. Zosp`kmok X. H. F`lks`k nkm X`k, Akh. hinacs ln `k lo jnsas `e lo qu`om pr`vasa`k, a as oktiom ` lo h`khossa`kni nx rno `e >7 porhok `k r`ynitos jnsom `k Nrthio >: (:) (j) `e lo ZW-Dorcnky ]nx ]rony.

AXX_O6  Tlolor XH F@LKX@K NKM X@K, _XN AX OK]A]IOM ]@ ]LO "C@X] ENU@ZOM KN]A@K" ]N\ ZN]O @E >7% @K Z@QNI]AOX NX WZ@UAMOM AK ]LO ZW-_X ]N\ ]ZON]Q AK ZOIN]A@K ]@ ]LO ZW-TOX] DOZCNKQ ]N\ ]ZON]Q LOIM6  K@. ]loro as k`lakd `k roh`rm ` supp`r n hinac ln lo nx `k r`ynitos ukmor lo ZW-_X ]nx ]rony as pnam ukmor sacainr harhucsnkhos ns lo nx `k r`ynitos ukmor lo ZW-Tos Dorcnky ]nx ]rony.  Xakho lo ZW-_X ]nx ]rony m`os k` davo n cnhlakd nx hroma `e :7 porhok e`r lo nxos pnam ` lo Wlaiappakos `k r`ynitos ns nii`wom ukmor lo ZW-Tos Dorcnky ]nx ]rony, pravno rosp`kmok hnkk` jo moocom oktiom ` lo >7 porhok rno drnkom ukmor lo inor rony e`r lo rons`k ln loro as k`

pnycok `e nxos `k r`ynitos ukmor sacainr harhucsnkhos.

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_kiabo lo ZW-_X ]nx ]rony, lo ZW-Dorcnky ]nx ]rony nii`ws n nx hroma `e :7 porhok `e lo dr`ss nc`uk `e suhl r`ynitos ndnaks Dorcnk akh`co nkm h`rp`rnt`k nx e`r lo nxos pnynjio ak lo Wlaiappakos `k suhl r`ynitos wloro lo nx rno as romuhom ` >7 `r >? porhok ukmor suhl rony. ]lo ZW-_X ]nx ]rony as fus `ko `e n kucjor `e jainorni rontos wlahl lo Wlaiappakos lns okorom ak` e`r lo nv`amnkho `e m`ujio nxnt`k. 1  ]lo purp`so `e loso akorknt`kni ndroocoks as ` roh`khaio lo knt`kni shni iodasint`ks `e lo h`krnhtkd pnrtos ak `rmor ` loip lo nxpnyor nv`am sacuinko`us nxnt`k ak w` maorok furasmaht`ks. >7 C`ro prohasoiy, lo nx h`kvokt`ks nro mrnom wal n vaow `wnrms lo oiacaknt`k `e aktorkn`kni furamahni m`ujio tnxn`k , wlahl as mokom ns lo acp`sat`k `e h`cpnrnjio nxos ak w` `r c`ro snos `k lo snco nxpnyor ak rospoh `e lo snco sujfoh cnor nkm e`r amokthni pora`ms. >> ]lo nppnrok rnt`knio e`r m`akd nwny wal m`ujio nxnt`k as `e okh`urndo lo eroo `w `e d``ms nkm sorvahos nkm lo c`vocok `e hnpani, ohlk`i`dy nkm pors`ks jowook h`ukraos, h`kmat`ks moocom vani ak hrontkd r`jus nkm mykncah oh`k`caos. >: E`roadk akvoscoks waii `kiy lravo ak n enariy promahnjio nkm rons`knjio akorknt`kni akvoscok hiacno nkm lo pr`oht`k ndnaks m`ujio nxnt`k as hruhani ak hrontkd suhl n hiacno. Ak lo hnso n jnr, lo sno `e s`urho as lo Wlaiappakos johnuso lo r`ynitos nro pnam e`r lo radl ` uso pr`pory pr`po ry `r radls, a .o. rnmocnrbs, rnmocnrbs, pnoks nkm ohlk`i`dy, ohlk`i`dy, i`hnom walak lo Wlaiappa Wlaiappakos. kos. >4 ]lo _kaom Xnos as lo sno `e rosamokho sakho lo nxpnyor, X. H. F`lks`k nkm X`k, _. X. N., as jnsom loro. _kmor lo ZW-_X ]nx ]rony, lo sno `e rosamokho nkm lo sno `e s`urho nro j`l porcaom ` nx lo r`ynitos, wal n rosrnak `k lo nx ln cny jo h`iiohom jy lo sno `e s`urho. >1 _kmor Nrthio >8 loro`e, lo Wlaiappakos cny acp`so `ko `e lroo rnos ” :? porhok `e lo dr`ss nc`uk `e lo r`ynitos2 >? porhok wlok lo r`ynitos nro pnam jy n h`rp`rnt`k rodasorom wal lo Wlaiappako J`nrm `e Akvoscoks nkm okdndom ak proeorrom nrons `e nhtvatos2 `r lo i`wos rno `e Wlaiappako nx ln cny jo acp`som `k r`ynitos `e lo snco bakm pnam ukmor sacainr harhucsnkhos ` n rosamok `e n larm sno. ]lo purp`so `e n c`s env`rom knt`k hinuso as ` drnk ` lo h`krnhtkd pnry roncok k` ioss env`rnjio lnk ln wlahl lns jook `r cny jo drnkom ` lo "c`s "c`s env`rom" nc`k nc`kd d `lor h`ukraos. :? ]lo c`s env`ro env `rom m knt`k knt`k hin hinuso uso as akokm akokmom om ` os osnji njiasl asl lo prakha prakhapio pio `e oqu oqunia niay y `e akork akorknt` nt`kni kni ro ronc ncok ok jy pr`vamakd ln lo hatzoks `r sujfohs `e lo h`krnhtkd knt`ks cny okf`y lo pravaiodos nhh`rmom jy oalor pnry ` l`so `e lo c`s env`rom knt`k. :5 ]lo ossokho `e lo prakhapio as ` nii`w lo nxpnyor ak `ko sno ` nvnai `e c`ro iajorni pr`vasa`ks drnkom ak nk`lor nx rony ` wlahl lo h`ukry `e rosamokho `e  suhl nxpnyor as nis` n pnry pr`vamom ln lo sujfoh cnor `e nxnt`k, ak las hnso r`yniy akh`co, as lo snco ns ln ak lo nx rony ukmor wlahl lo nxpnyor as ianjio. J`l Nrthio >8 `e lo ZW-_X ]nx ]rony nkm Nrthio >: (:) (j) `e lo ZW-Tos Dorcnky ]nx ]rony, nj`vo-qu`om, sponbs `e nx `k r`ynitos e`r lo uso `e  rnmocnrb, pnok, nkm ohlk`i`dy. ]lo oktiocok `e lo >7% rno jy _.X. rcs mospao lo njsokho `e n cnhlakd hroma (:7% e`r r`ynitos) w`uim mor`dno er`c lo mosadk jolakm lo c`s drnk oquniay `e  akorknt`kni roncok sakho lo nx jurmok inam up`k lo akh`co `e lo akvos`r as k` lo snco ak lo w` h`ukraos. ]lo sacainray ak lo harhucsnkhos `e pnycok `e nxos as n h`kmat`k e`r lo okf`ycok `e c`s env`rom knt`k roncok prohasoiy ` ukmorsh`ro lo koom e`r oquniay `e roncok.

E`r mashussa`k `kiy6 M`ujio nxnt`k usuniiy nbos pinho wlok n pors`k as rosamok `e n h`krnhtkd sno nkm moravos akh`co er`c, `r `wks hnpani ak, lo `lor h`krnhtkd sno nkm j`l snos acp`so nx `k ln akh`co `r hnpani. Ak `rmor ` oiacakno m`ujio nxnt`k, n nx rony ros`rs ` sovorni col`ms. Ears, a sos `u lo rospohtvo radls ` nx `e lo sno `e s`urho `r saus nkm `e lo sno `e  ` rosamokho wal rodnrm ` hornak hinssos `e akh`co `r hnpani. Ak s`co hnsos, nk oxhiusavo radl ` nx as h`keorrom `k `ko `e lo h`krnhtkd snos2 l`wovor, e`r `lor aocs `e akh`co `r hnpani, j`l snos nro davok lo radl ` nx, nil`udl lo nc`uk `e nx ln cny jo acp`som jy lo sno `e  s`urho as iacaom. ` ]lo soh`km col`m e`r lo oiacaknt`k `e m`ujio nxnt`k nppiaos wlokovor lo sno `e s`urho as davok n euii `r iacaom radl ` nx `dolor wal lo sno `e rosamokho. Ak las hnso, lo rontos cnbo a akhucjok up`k lo sno `e rosamokho ` nii`w roiaoe ak `rmor ` nv`am m`ujio nxnt`k. ]loro nro w` col`ms `e roiaoe ” lo oxocpt`k col`m nkm lo hroma h roma col`m. Ak lo oxocp`k cotl`m, lo akh`co `r hnpani wlahl as nxnjio ak lo sno `e s`urho `r saus as oxocpom ak lo sno `e rosamokho, nil`udl ak s`co aksnkhos a cny jo nbok ak` 

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nhh`uk ak moorcakakd lo rno `e nx nppiahnjio ` lo nxpnyor's rocnakakd akh`co `r hnpani. @k lo `lor lnkm, ak lo hromat cotl`m, nil`udl lo akh`co `r hnpani wlahl as nxom ak lo sno `e s`urho as stii nxnjio ak lo sno `e rosamokho, lo nx pnam ak lo e`rcor as hromaom ndnaks lo nx iovaom ak lo inor. ]lo jnsah maorokho jowook lo w` col`ms as ln ak lo oxocpt`k col`m, lo e`hus as `k lo akh`co `r hnpani asoie, wlorons lo hroma col`m e`husos up`k lo nx. Ak kod`tntkd nx rontos, lo ukmoriyakd rnt`knio e`r romuhakd lo nx rno as ln lo Wlaiappakos waii davo up n pnr `e lo nx ak lo oxpohnt`k ln lo nx davok up e`r las pnrthuinr akvoscok as k` nxom jy lo ` `lo lorr h` h`uk ukr ry. y. ]l ]lus us lo lo po pott tt`k `kor or h`rr h`rroh ohiy iy `p `pak akom om l ln n l lo o pl plrn rnso so "r "r`y `yni nito toss pnam pnam uk ukmo morr saca sacain inrr har harhuc hucsn snkho khos" s" ak lo c`s c`s env env`ro `rom m knt`k knt`k hin hinuso uso `e lo _X-ZW _X-ZW ]nx ]rony ]rony koh kohoss ossnra nraiy iy h`k h`koc ocpi pinom nom "harhucsnkhos ln nro nx-roinom". Ns snom onriaor, lo uitcno rons`k e`r nv`amakd m`ujio nxnt`k as ` okh`urndo e`roadk akvos`rs ` akvos ak lo Wlaiap Wlaiappak pakos os ” n hruhan hruhanii oh`k`c oh`k`cah ah d`n d`nii e`r mov movoi` oi`pak pakd d h`u h`ukr kraos aos.. :8  ]lo d`ni `e m`ujio nxnt`k h`kvokt`ks w`uim jo lwnrom ae suhl rontos mam k` pr`vamo e`r oohtvo consuros ` cakacazo, ae k` h`cpiooiy oiacakno, lo nx jurmok inam up`k lo akh`co `r hnpani `e lo akvos`r. ]lus, ae lo rnos `e nx nro i`worom i`worom jy lo sno `e s`urho, s`urho, ak las las hns hnso, o, jy lo Wlai Wlaiapp appako akos, s, loro loro sl`uim sl`uim jo n h`k h`kh`c h`can ank k h`ccacok h`cca cok `k lo pnr `e lo sno `e rosamok rosamokho ho ` drnk s`co e`rc `e nx roiaoe roiaoe,, wlolor las jo ak lo := e`rc `e n nx hroma `r oxocpt`k.  @lorwaso, lo nx wlahl h`uim lnvo jook h`iiohom jy lo Wlaiappako d`vorkcok waii sacpiy jo h`iiohom jy nk`lor sno, moeontkd lo `jfoh `e lo nx rony sakho lo nx jurmok acp`som up`k lo akvos`r w`uim rocnak ukroiaovom. Ae lo sno `e rosamokho m`os k` drnk s`co e`rc `e nx roiaoe ` lo akvos`r, k` joko w`uim rom`ukm ` lo Wlaiappakos, a .o., akhronsom akvoscok rosuitkd er`c n env`rnjio nx rodaco, sl`uim a acp`so n i`wor nx rno `k lo r`yniy onrkakds `e lo akvos`r, nkm a w`uim jo joor ` acp`so lo roduinr rno rnlor lnk i`so cuhl-koomom rovokuos ` nk`lor h`ukry. 





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