Below is an extensive discussion on the service of summons upon specific entities under Rule 14 of the (Philippine) Rules of Civil Procedure, as amended by the 2019 Amendments (effective May 1, 2020). This focuses on Sections 11 through 15 (and related portions) of Rule 14 concerning the manner of serving summons on different kinds of defendants other than natural persons. This is meant as a general guide and should not be taken as an absolute substitute for professional legal advice tailored to specific circumstances.
1. General Overview of Summons
1.1. Nature and Purpose of Summons
Summons is the writ or process issued by the court to acquire jurisdiction over the person of the defendant. It informs the defendant that:
- An action has been commenced against them.
- The court has assumed jurisdiction over the subject matter.
- The defendant must answer within a specific period or risk default and the consequent judgment against them.
Failure to serve summons properly on a defendant generally renders all subsequent proceedings null and void as to that defendant. Hence, valid service of summons is indispensable for due process.
1.2. General Rules on Service of Summons
- Personal service on the defendant is preferred.
- Substituted service may be done only under strictly regulated circumstances (when the defendant cannot be served within a reasonable time despite diligent efforts).
- When defendants are juridical entities, public corporations, or persons with special capacities, the Rules specify distinct methods to ensure proper notice.
2. Service of Summons upon Domestic Private Juridical Entities
2.1. Governing Rule: Section 11, Rule 14 (2019 Amended Rules)
Under the 2019 Amended Rules, Section 11 provides the process for serving summons on domestic private juridical entities such as corporations, partnerships, and associations duly organized under Philippine laws. Summons must be served on the following:
- President
- Managing Partner
- General Manager
- Corporate Secretary
- Treasurer
- In-house counsel
- Or, if such officers are not present, to their respective secretaries.
2.1.1. Important Notes
- If the entity has designated a person or officer to receive summons (often indicated in official filings or the General Information Sheet with the SEC), service may also be made upon that designated person.
- Service on any other unidentified or unauthorized employee is generally considered invalid, unless it falls under the specific authorized categories.
- Case law clarifies that “general manager” refers to one who has general supervision or control of the corporation’s business and not merely a titleholder. The Supreme Court has repeatedly emphasized strict compliance with this requirement to prevent unscrupulous parties from claiming no jurisdiction was acquired.
2.2. Relevant Jurisprudence
- Millennium Industrial Commercial Corp. v. Tan: Stresses the need to serve on the proper officer. Otherwise, service is void.
- Delta Motor Sales Corp. v. NLU: Holds that service upon one who appears to be in charge (and is actually the “general manager” in practice) may suffice, even if not specifically titled as such, provided it is shown that the person has significant authority.
2.3. Consequences of Improper Service
- If summons is improperly served (e.g., served on a rank-and-file employee who has no authority), the court does not acquire jurisdiction over the corporation.
- The corporation can challenge the defective service and any judgment resulting from such service may be vacated for lack of jurisdiction.
3. Service of Summons upon Foreign Private Juridical Entities
3.1. Governing Rule: Section 12, Rule 14 (2019 Amended Rules)
When the defendant is a foreign juridical entity transacting business in the Philippines, the amended rule provides these modes of service:
- On its resident agent designated in accordance with law (typically registered with the SEC).
- If there is no resident agent or the agent is not found at the address in the records of the SEC:
- On the government official designated by law to receive summons (often the SEC itself, or the Insurance Commission for foreign insurance companies).
- Then by registered mail to the foreign entity’s last known address.
3.1.1. Important Points
- The foreign corporation must be “doing business” in the Philippines for the local court to assert jurisdiction over it under local rules.
- If the foreign corporation is not doing business in the Philippines, summons may still be served extraterritorially under Section 14, Rule 14 (governing extraterritorial service), but only in specific cases (e.g., personal property within the Philippines is in litigation, the defendant is a nonresident, etc.).
3.2. Related Considerations
- Always check if there is a treaty or international convention (e.g., the Hague Service Convention) that might require or allow a specific mode of service abroad. The Philippines, however, is not a signatory to the Hague Service Convention, so the general local rules apply unless there is a special agreement or reciprocity arrangement.
- If the foreign juridical entity has a branch office or local subsidiary in the Philippines, that local entity is treated as a separate juridical entity unless the local branch is legally recognized as the same entity (e.g., the foreign head office’s branch). In the latter scenario, service on the country manager or resident agent is critical.
4. Service of Summons upon Public Corporations
4.1. Governing Rule: Section 13, Rule 14 (2019 Amended Rules)
A “public corporation” under this provision generally includes government agencies, local government units (provinces, cities, municipalities, and barangays), and government instrumentalities that can sue and be sued. Summons must be served:
- In the case of provinces, cities, and municipalities – on the executive head (e.g., Governor, City or Municipal Mayor), or any person authorized by the local government unit to receive service.
- In the case of government agencies or instrumentalities with capacity to sue and be sued – on the department head (e.g., Secretary of a department, head of an agency) or on their duly authorized representative.
4.2. Key Points
- Local government units typically designate a legal officer who can be served.
- The official capacity of the person receiving summons must be clearly established.
- Service upon a mere clerk or administrative staff is generally improper unless the LGU or agency has explicitly delegated authority to that person to receive court processes.
5. Service of Summons upon Entities without Juridical Personality
5.1. Governing Rule: Section 15, Rule 14 (2019 Amended Rules)
Some entities operate under a common name but do not have a juridical personality separate from the members or persons composing it (e.g., unregistered partnerships, associations, or other “common enterprise” groups).
- Summons may be served upon any officer or agent of the entity, or if such officer or agent is unknown, upon any member of the entity.
- The purpose is to give notice to the group even though it has no corporate or juridical personality.
- Any judgment against such an entity is enforceable against the assets of the entity and also those of the members who were served and participated in the proceedings, subject to the applicable partnership or civil law principles.
6. Extraterritorial Service (Brief Note)
Although not strictly within “service upon corporations or entities,” it is worth noting that if the defendant entity (or individual) is not found in the Philippines but there is a basis for local courts to exercise jurisdiction (e.g., property in the Philippines, or the action is quasi in rem, etc.), then extraterritorial service under Section 14, Rule 14, may be undertaken. The recognized modes include:
- Personal service outside the Philippines, with prior court permission.
- Publication in a newspaper of general circulation plus registered mail.
- Any other mode the court may direct consistent with due process (e.g., modern means like email, if justified and specifically allowed by court order).
7. Practical and Ethical Considerations
7.1. Diligent Effort in Identifying the Proper Officer
The party serving the summons or the sheriff/process server must:
- Verify (e.g., via SEC records or on-site inquiry) who is the official president, managing partner, general manager, corporate secretary, treasurer, in-house counsel, or other officer authorized to receive summons.
- Avoid shortcuts (e.g., just handing it to any security guard or receptionist).
- Document the attempt and the exact person who received the summons, the date, and circumstances to ensure proof of valid service.
7.2. Avoiding Technicalities that Lead to Delay
While the Supreme Court insists on strict compliance to protect defendants’ due process rights, plaintiffs (and their counsel) must avoid technical oversight. Failure to comply can waste time and resources if the court later annuls the proceedings for lack of jurisdiction due to defective service.
7.3. Professional Responsibility
Lawyers must be mindful of:
- The Code of Professional Responsibility, which requires them not to mislead the court by, for example, claiming valid service when aware it was improperly served.
- Ethical obligations to ensure all parties properly receive notice to uphold due process.
8. Summary of Key Points
Service upon Domestic Private Juridical Entities (Section 11)
- Serve on the President, Managing Partner, General Manager, Corporate Secretary, Treasurer, In-house Counsel, or their secretary.
- If there is a designated agent for service of process, serve that agent.
Service upon Foreign Private Juridical Entities (Section 12)
- Serve on the resident agent.
- If no resident agent, serve on the government official designated by law, then send by registered mail to the foreign entity’s last known address.
- If the entity is not doing business in the Philippines, extraterritorial service rules may apply.
Service upon Public Corporations (Section 13)
- Serve on the executive head or any duly authorized official of the LGU or government agency with capacity to sue and be sued.
Service upon Entities without Juridical Personality (Section 15)
- Serve on any officer or agent, or if not available, any member of the entity.
Extraterritorial Service (Section 14)
- In certain circumstances (e.g., defendant is nonresident, action is quasi in rem, etc.), the court may authorize service abroad via personal service, publication, or other means consistent with due process.
Consequences of Improper Service
- Court does not acquire jurisdiction over the defendant.
- Defendant can move to dismiss on the ground of lack of jurisdiction.
Ethical Obligations
- Counsel must ensure correctness and completeness in the service of summons.
- Must uphold due process and the integrity of judicial proceedings.
Final Word
Service of summons—especially upon juridical entities—is often fraught with technical pitfalls. Counsel for the plaintiff must ensure that service strictly follows the rules to vest the court with jurisdiction over the defendant. Failure to do so risks nullifying the entire case as against that defendant. Adherence to the specific provisions of Rule 14 (as amended) and relevant jurisprudence is, therefore, paramount.
Should any doubt arise about the identity of an “authorized officer” or the process for serving a foreign entity, it is prudent to verify with official records (e.g., SEC, local government offices, or in-house corporate documents) and, if necessary, seek clarifications or orders from the court to ensure the service is beyond reproach.
This comprehensive guide highlights all the crucial aspects of serving summons upon domestic and foreign juridical entities, public corporations, and entities without juridical personality, aligning with the 2019 Amendments to the Rules of Civil Procedure and the Supreme Court’s consistent pronouncements on due process and jurisdictional requirements.