6/7/2020 E-Library - Information At Your Fingertips: Printer Friendly employee's right to security of tenure under Articles 280 and 281 of the Labor Code. In EDI-Staffbuilders, the case heavily relied on by the petitioners, it was reiterated that, "[i]n formulating the contract, the parties may establish such stipulations, clauses, terms and conditions as they may deem convenient, provided they are not contrary to law, morals, good customs, public order, or public policy."[33] In that case, the overseas contract specifically stated that Saudi Labor Laws would govern matters not provided for in the contract. The employer, however, failed to prove the said foreign law, hence, the doctrine of processual presumption came into play and the Philippine labor laws were applied. Consequently, the Court did not discuss any longer whether the Saudi labor laws were contrary to Philippine labor laws. The case of Becmen Service Exporter and Promotion, Inc. v. Spouses Cuaresma,[34] though not an illegal termination case, elucidated on the effect of foreign laws on employment. It involved a complaint for insurance benefits and damages arising from the death of a Filipina nurse from Saudi Arabia. It was initially found therein that there was no law in Saudi Arabia that provided for insurance arising from labor accidents. Nevertheless, the Court concluded that the employer and the recruiter in that case abandoned their legal, moral and social obligation to assist the victim's family in obtaining justice for her death, and so her family was awarded P5,000,000.00 for moral and exemplary damages. In ATCI Overseas Corporation v. Echin[35] (ATCI Overseas), the private recruitment agency invoked the defense that the foreign employer was immune from suit and that it did not sign any document agreeing to be held jointly and solidarily liable. Such defense, however, was rejected because R.A. No. 8042 precisely afforded the OFWs with a recourse against the local agency and the foreign employer to assure them of an immediate and sufficient payment of what was due. Similar to EDI-Staffbuilders, the local agency therein failed to prove the Kuwaiti law specified in the labor contract, pursuant to Sections 24 and 25 of Rule 132 of the Revised Rules of Court. Also, in the recent case of Sameer Overseas Placement Agency, Inc. v. Cabiles[36] (Sameer Overseas), it was declared that the security of tenure for labor was guaranteed by our Constitution and employees were not stripped of the same when they moved to work in other jurisdictions. Citing PCL Shipping Phils., Inc. v. NLRC[37] (PCL Shipping), the Court held that the principle of lex loci contractus (the law of the place where the contract is made) governed in this jurisdiction. As it was established therein that the overseas labor contract was executed in the Philippines, the Labor Code and the fundamental procedural rights were observed. It must be noted that no foreign law was specified in the employment contracts in both cases. Lastly, in Saudi Arabian Airlines (Saudia) v. Rebesencio[38], the employer therein asserted the doctrine of forum non conveniens because the overseas employment contracts required the application of the laws of Saudi Arabia, and so, the Philippine courts were not in a position to hear the case. In striking down such argument, the Court held that while a Philippine tribunal was called upon to respect the parties' choice of governing law, such respect must not be so permissive as to lose sight of elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/61749 8/16

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