Petitioner
D'Armoured Security
Respondent
Arnulfo Orpia
Citation
G.R. No. 151325
Court
Supreme Court
Division
Third Division
Ponente
Sandoval-Gutierrez, J.
Decided
June 27, 2005

Summary

This case involves 44 security guards who filed illegal dismissal and monetary claims against their employer, D'Armoured Security and Investigation Agency. After obtaining a favorable Labor Arbiter decision awarding P1,077,124.29, the guards sought execution when the employer failed to pay. The sheriff garnished the company's receivables from Foremost Farms, Inc. The security agency challenged the garnishment, claiming corporate receivables were exempt from execution. The Supreme Court unanimously rejected this claim, ruling that exemptions from execution under labor law and civil procedure apply only to natural persons, not corporations. The Court emphasized that allowing such exemptions for business entities would render judgment enforcement virtually impossible. This decision reinforces the principle that corporate assets remain subject to execution for labor obligations, protecting workers' rights to collect awarded benefits.

Statutes applied

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By the Intellegal Editorial Board · June 27, 2005

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