G.R. No. 128276 November 24, 1998
CFC Corporation, Vic Fadrilan and Roberto Domingo, petitioners, vs. Honorable National Labor Relations Commission, Hon. Emerson C. Tumanon, and Josedario M. Calura, respondents.

FACTS

The case originated from NLRC-NCR Case No. 05-01891-84 filed by private respondent Josedario M. Calura against petitioners CFC Corporation, Vic Fadrilan, and Roberto Domingo for reinstatement and money claims arising from alleged constructive dismissal. Pending the petition for certiorari under Rule 65 before the Supreme Court, the parties, with the assistance of their respective counsels, submitted a “Motion for Approval of Compromise Agreement” dated July 1, 1998. The Compromise Agreement stipulated that: 1) Calura confirmed his earlier reinstatement as a Bonded Merchandiser; 2) the petitioner company appointed Calura as Acting Senior Van Salesman effective August 1, 1998, a position equivalent to his former one, with corresponding benefits; 3) the company would extend financial assistance of P20,000.00 to Calura as a full and final settlement; 4) Calura released and discharged the company and individual petitioners from any and all claims related to the case; and 5) the parties agreed that the settlement did not constitute an admission of liability by the petitioners.

ISSUE

Whether the Compromise Agreement entered into by the parties should be approved by the Court.

RULING

The Supreme Court approved the Compromise Agreement. The Court found that the agreement was not contrary to law, morals, good customs, public order, and public policy, as provided under Article 1306 of the New Civil Code. Consequently, the Court rendered judgment based on the Compromise Agreement and enjoined the parties to comply strictly with its terms. No costs were pronounced.