Petitioner
Bank of the Philippine Islands
Respondent
Sarmiento
Citation
G.R. No. 146021
Court
Supreme Court
Division
First Division
Ponente
Austria-Martinez, J.
Decided
March 10, 2006

Summary

Bank of the Philippine Islands sued former Assistant Manager Elizabeth Sarmiento to recover P116,003.52 in salary payments made from October 1987 to June 1988, claiming she wasn't working during this period due to an internal investigation of branch anomalies. Sarmiento defended that she was verbally instructed by VP Arturo Kimseng not to report during the investigation. The Supreme Court affirmed lower court decisions favoring Sarmiento, ruling that the employer-employee relationship continued until her August 1988 termination, making salary payments proper. The Court found no mistaken payment under solutio indebiti principles, noting the payments were made with management knowledge and approval during a legitimate investigation period where the employee was instructed not to report regularly.

Statutes applied

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By the Intellegal Editorial Board · March 10, 2006

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