annum, plus his salaries for the unexpired portion of the employment contract or for three (3) months for every year of the unexpired term, whichever is less     The illegal dismissal of Lacerna entitles her to the full reimbursement of placement fee with interest at twelve percent (12%) per annum, plus salaries for the unexpired portion of her employment contract or for three months for every year of the unexpired term, whichever is less.  Thus, the Court of Appeals was correct in ordering AIMS to pay HK$11,010.00 corresponding to three months of her salary or its equivalent in the Philippine Peso at the time of payment, plus placement fee of P18,0000.00.   The Court of Appeals, however, erred in awarding moral and exemplary damages inasmuch as Lacerna failed to prove that AIMS and Proxy are guilty of bad faith.  While it is true that they were not able to justify Lacerna’s dismissal, the same does not automatically amount to bad faith. Moral and exemplary damages cannot be based solely upon the premise that the employer dismissed the employee without cause or due process.  The termination must be attended with bad faith, or fraud, or was oppressive to labor or done in a manner contrary to morals, good customs or public policy and that social humiliation, wounded feelings, or grave anxiety resulted therefrom.  Similarly, exemplary damages are recoverable only when the dismissal was effected in a wanton, oppressive or malevolent manner.  To merit the award of these damages, additional facts showing bad faith are necessary[15] but Lacerna failed to plead and prove the same in this case.  Hence, the awards of moral and exemplary damages should be deleted.   The award of attorney’s fees is sustained.  In actions for recovery of wages or where an employee was forced to litigate and thus incurred expenses to protect his rights and interests, a maximum of ten percent (10%) of the total monetary award by way ofattorney’s fees is justified under Article 111 of the Labor Code, Section 8, Rule VIII, Book III of its Implementing Rules, and paragraph 7, Article 2208 of the Civil Code.  There need not be any showing that the employer acted maliciously or in bad faithwhen it withheld the wages.  There need only be a showing that the lawful wages were not paid accordingly and that the employee was forced to file a case, as in the instant case.[16]   WHEREFORE, the petition is PARTLY GRANTED.  The May 31, 2005 Decision of the Court of Appeals in CA-G.R. SP No. 73276 is AFFIRMED with the MODIFICATION that the awards of moral and exemplary damages are DELETED for lack of basis.

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