U.S. v. Ang Tang Ho, G.R. No. 17122
U.S. v. Ang Tang Ho, G.R. No. 17122
U.S. v. Ang Tang Ho, G.R. No. 17122
The brief of the United States Solicitor-General says: The above are leading cases in the United States on the
question of delegating legislative power. It will be noted
In refusing permits to use a forest reservation that in the "Granger Cases," it was held that a railroad
for stock grazing, except upon stated terms or company was a public corporation, and that a railroad
in stated ways, the Secretary of Agriculture was a public utility, and that, for such reasons, the
merely assert and enforces the proprietary legislature had the power to fix and determine just and
right of the United States over land which it reasonable rates for freight and passengers.
owns. The regulation of the Secretary,
therefore, is not an exercise of legislative, or The Minnesota case held that, so long as the rates were
even of administrative, power; but is an just and reasonable, the legislature could delegate the
ordinary and legitimate refusal of the power to ascertain the facts and determine from the
landowner's authorized agent to allow person facts what were just and reasonable rates,. and that in
having no right in the land to use it as they vesting the commission with such power was not a
will. The right of proprietary control is delegation of legislative power.
altogether different from governmental
authority.
The Wisconsin case was a civil action founded upon a
"Wisconsin standard policy of fire insurance," and the
The opinion says: court held that "the act, . . . wholly fails to provide
definitely and clearly what the standard policy should
From the beginning of the government, contain, so that it could be put in use as a uniform policy
various acts have been passed conferring upon required to take the place of all others, without the
executive officers power to make rules and determination of the insurance commissioner in respect
regulations, — not for the government of their to matters involving the exercise of a legislative
departments, but for administering the laws discretion that could not be delegated."
which did govern. None of these statutes could
confer legislative power. But when Congress The case of the United States Supreme Court, supra
had legislated power. But when Congress had dealt with rules and regulations which were
legislated and indicated its will, it could give to promulgated by the Secretary of Agriculture for
those who were to act under such general Government land in the forest reserve.
provisions "power to fill up the details" by the
establishment of administrative rules and
regulations, the violation of which could be These decisions hold that the legislative only can enact
punished by fine or imprisonment fixed by a law, and that it cannot delegate it legislative authority.
Congress, or by penalties fixed by Congress, or
measured by the injury done. The line of cleavage between what is and what is not a
delegation of legislative power is pointed out and
That "Congress cannot delegate legislative clearly defined. As the Supreme Court of Wisconsin
power is a principle universally recognized as says:
That no part of the legislative power can be promulgated by the Governor-General, a dealer in rice
delegated by the legislature to any other could sell it at any price, even at a peso per "ganta," and
department of the government, executive or that he would not commit a crime, because there would
judicial, is a fundamental principle in be no law fixing the price of rice, and the sale of it at any
constitutional law, essential to the integrity price would not be a crime. That is to say, in the absence
and maintenance of the system of government of a proclamation, it was not a crime to sell rice at any
established by the constitution. price. Hence, it must follow that, if the defendant
committed a crime, it was because the Governor-
Where an act is clothed with all the forms of General issued the proclamation. There was no act of
law, and is complete in and of itself, it may be the Legislature making it a crime to sell rice at any
provided that it shall become operative only price, and without the proclamation, the sale of it at any
upon some certain act or event, or, in like price was to a crime.
manner, that its operation shall be suspended.
The Executive order2 provides:
The legislature cannot delegate its power to
make a law, but it can make a law to delegate a (5) The maximum selling price of palay, rice or
power to determine some fact or state of corn is hereby fixed, for the time being as
things upon which the law makes, or intends follows:
to make, its own action to depend.
In Manila —
The Village of Little Chute enacted an ordinance which
provides: Palay at P6.75 per sack of 57½ kilos, or 29
centavos per ganta.
All saloons in said village shall be closed at 11
o'clock P.M. each day and remain closed until 5 Rice at P15 per sack of 57½ kilos, or 63
o'clock on the following morning, unless by centavos per ganta.
special permission of the president.
Corn at P8 per sack of 57½ kilos, or 34
Construing it in 136 Wis., 526; 128 A. S. R., 1100,1 the centavos per ganta.
Supreme Court of that State says:
In the provinces producing palay, rice and
We regard the ordinance as void for two corn, the maximum price shall be the Manila
reasons; First, because it attempts to confer price less the cost of transportation from the
arbitrary power upon an executive officer, and source of supply and necessary handling
allows him, in executing the ordinance, to expenses to the place of sale, to be determined
make unjust and groundless discriminations by the provincial treasurers or their deputies.
among persons similarly situated; second,
because the power to regulate saloons is a
law-making power vested in the village board, In provinces, obtaining their supplies from
which cannot be delegated. A legislative body Manila or other producing provinces, the
cannot delegate to a mere administrative maximum price shall be the authorized price
officer power to make a law, but it can make a at the place of supply or the Manila price as
law with provisions that it shall go into effect the case may be, plus the transportation cost,
or be suspended in its operations upon the from the place of supply and the necessary
ascertainment of a fact or state of facts by an handling expenses, to the place of sale, to be
administrative officer or board. In the present determined by the provincial treasurers or
case the ordinance by its terms gives power to their deputies.
the president to decide arbitrary, and in the
exercise of his own discretion, when a saloon (6) Provincial treasurers and their deputies
shall close. This is an attempt to vest are hereby directed to communicate with, and
legislative discretion in him, and cannot be execute all instructions emanating from the
sustained. Director of Commerce and Industry, for the
most effective and proper enforcement of the
The legal principle involved there is squarely in point above regulations in their respective localities.
here.
The law says that the Governor-General may fix "the
It must be conceded that, after the passage of act No. maximum sale price that the industrial or merchant
2868, and before any rules and regulations were may demand." The law is a general law and not a local
or special law.
The proclamation undertakes to fix one price for rice in Legislature left it to the sole discretion of the Governor-
Manila and other and different prices in other and General to say what was and what was not "any cause"
different provinces in the Philippine Islands, and for enforcing the act, and what was and what was not
delegates the power to determine the other and "an extraordinary rise in the price of palay, rice or
different prices to provincial treasurers and their corn," and under certain undefined conditions to fix the
deputies. Here, then, you would have a delegation of price at which rice should be sold, without regard to
legislative power to the Governor-General, and a grade or quality, also to say whether a proclamation
delegation by him of that power to provincial treasurers should be issued, if so, when, and whether or not the
and their deputies, who "are hereby directed to law should be enforced, how long it should be enforced,
communicate with, and execute all instructions and when the law should be suspended. The Legislature
emanating from the Director of Commerce and Industry, did not specify or define what was "any cause," or what
for the most effective and proper enforcement of the was "an extraordinary rise in the price of rice, palay or
above regulations in their respective localities." The corn," Neither did it specify or define the conditions
issuance of the proclamation by the Governor-General upon which the proclamation should be issued. In the
was the exercise of the delegation of a delegated power, absence of the proclamation no crime was committed.
and was even a sub delegation of that power. The alleged sale was made a crime, if at all, because the
Governor-General issued the proclamation. The act or
Assuming that it is valid, Act No. 2868 is a general law proclamation does not say anything about the different
and does not authorize the Governor-General to fix one grades or qualities of rice, and the defendant is charged
price of rice in Manila and another price in Iloilo. It only with the sale "of one ganta of rice at the price of eighty
purports to authorize him to fix the price of rice in the centavos (P0.80) which is a price greater than that fixed
Philippine Islands under a law, which is General and by Executive order No. 53."
uniform, and not local or special. Under the terms of the
law, the price of rice fixed in the proclamation must be We are clearly of the opinion and hold that Act No.
the same all over the Islands. There cannot be one price 2868, in so far as it undertakes to authorized the
at Manila and another at Iloilo. Again, it is a mater of Governor-General in his discretion to issue a
common knowledge, and of which this court will take proclamation, fixing the price of rice, and to make the
judicial notice, that there are many kinds of rice with sale of rice in violation of the price of rice, and to make
different and corresponding market values, and that the sale of rice in violation of the proclamation a crime,
there is a wide range in the price, which varies with the is unconstitutional and void.
grade and quality. Act No. 2868 makes no distinction in
price for the grade or quality of the rice, and the It may be urged that there was an extraordinary rise in
proclamation, upon which the defendant was tried and the price of rice and profiteering, which worked a
convicted, fixes the selling price of rice in Manila "at P15 severe hardship on the poorer classes, and that an
per sack of 57½ kilos, or 63 centavos per ganta," and is emergency existed, but the question here presented is
uniform as to all grades of rice, and says nothing about the constitutionality of a particular portion of a statute,
grade or quality. Again, it will be noted that the law is and none of such matters is an argument for, or against,
confined to palay, rice and corn. They are products of its constitutionality.
the Philippine Islands. Hemp, tobacco, coconut,
chickens, eggs, and many other things are also products.
Any law which single out palay, rice or corn from the The Constitution is something solid, permanent an
numerous other products of the Islands is not general substantial. Its stability protects the life, liberty and
or uniform, but is a local or special law. If such a law is property rights of the rich and the poor alike, and that
valid, then by the same principle, the Governor-General protection ought not to change with the wind or any
could be authorized by proclamation to fix the price of emergency condition. The fundamental question
meat, eggs, chickens, coconut, hemp, and tobacco, or any involved in this case is the right of the people of the
other product of the Islands. In the very nature of Philippine Islands to be and live under a republican
things, all of that class of laws should be general and form of government. We make the broad statement that
uniform. Otherwise, there would be an unjust no state or nation, living under republican form of
discrimination of property rights, which, under the law, government, under the terms and conditions specified
must be equal and inform. Act No. 2868 is nothing more in Act No. 2868, has ever enacted a law delegating the
than a floating law, which, in the discretion and by a power to any one, to fix the price at which rice should
proclamation of the Governor-General, makes it a be sold. That power can never be delegated under a
floating crime to sell rice at a price in excess of the republican form of government.
proclamation, without regard to grade or quality.
In the fixing of the price at which the defendant should
When Act No. 2868 is analyzed, it is the violation of the sell his rice, the law was not dealing with government
proclamation of the Governor-General which property. It was dealing with private property and
constitutes the crime. Without that proclamation, it was private rights, which are sacred under the Constitution.
no crime to sell rice at any price. In other words, the If this law should be sustained, upon the same principle
and for the same reason, the Legislature could authorize
the Governor-General to fix the price of every product Araullo, C.J., Johnson, Street and Ostrand, JJ., concur.
or commodity in the Philippine Islands, and empower Romualdez, J., concurs in the result.
him to make it a crime to sell any product at any other
or different price.
It may be said that this was a war measure, and that for
such reason the provision of the Constitution should be
suspended. But the Stubborn fact remains that at all Separate Opinions
times the judicial power was in full force and effect, and
that while that power was in force and effect, such a MALCOLM, J., concurring:
provision of the Constitution could not be, and was not,
suspended even in times of war. It may be claimed that I concur in the result for reasons which reach both the
during the war, the United States Government facts and the law. In the first place, as to the facts, — one
undertook to, and did, fix the price at which wheat and cannot be convicted ex post facto of a violation of a law
flour should be bought and sold, and that is true. There, and of an executive order issued pursuant to the law,
the United States had declared war, and at the time was when the alleged violation thereof occurred on August
at war with other nations, and it was a war measure, but 6, 1919, while the Act of the Legislature in question was
it is also true that in doing so, and as a part of the same not published until August 13, 1919, and the order was
act, the United States commandeered all the wheat and not published until August 20, 1919. In the second
flour, and took possession of it, either actual or place, as to the law, — one cannot be convicted of a
constructive, and the government itself became the violation of a law or of an order issued pursuant to the
owner of the wheat and flour, and fixed the price to be law when both the law and the order fail to set up an
paid for it. That is not this case. Here the rice sold was ascertainable standard of guilt. (U.S. vs. Cohen Grocery
the personal and private property of the defendant, who Company [1921], 255 U.S., 81, holding section 4 of the
sold it to one of his customers. The government had not Federal Food Control Act of August 10, 1917, as
bought and did not claim to own the rice, or have any amended, invalid.)
interest in it, and at the time of the alleged sale, it was
the personal, private property of the defendant. It may
be that the law was passed in the interest of the public, In order that there may not be any misunderstanding of
but the members of this court have taken on solemn our position, I would respectfully invite attention to the
oath to uphold and defend the Constitution, and it ought decision of the United States Supreme Court in German
not to be construed to meet the changing winds or Alliance Ins. Co. vs. Lewis ([1914, 233 U.S., 389),
emergency conditions. Again, we say that no state or concerning the legislative regulation of the prices
nation under a republican form of government ever charged by business affected with a public interest, and
enacted a law authorizing any executive, under the to another decision of the United States Supreme Court,
conditions states, to fix the price at which a price person that of Marshall Field & Co. vs. Clark ([1892], 143 U.S.,
would sell his own rice, and make the broad statement 649), which adopts as its own the principles laid down
that no decision of any court, on principle or by analogy, in the case of Locke's Appeal ([1873], 72 Pa. St., 491),
will ever be found which sustains the constitutionality namely; "The Legislature cannot delegate its power to
of the particular portion of Act No. 2868 here in make a law; but it can make a law to delegate a power to
question. By the terms of the Organic Act, subject only determine some fact or state of things upon which the
to constitutional limitations, the power to legislate and law makes, or intends to make, its own action depend.
enact laws is vested exclusively in the Legislative, which To deny this would be to stop the wheels of
is elected by a direct vote of the people of the Philippine government. There are many things upon which wise
Islands. As to the question here involved, the authority and useful legislation must depend which cannot be
of the Governor-General to fix the maximum price at known to the law-making power, and must, therefore,
which palay, rice and corn may be sold in the manner be a subject of inquiry and determination outside of the
power in violation of the organic law. halls of legislation."
This opinion is confined to the particular question here Avanceña and Villamor, JJ., concur.
involved, which is the right of the Governor-General,
upon the terms and conditions stated in the Act, to fix Footnotes
the price of rice and make it a crime to sell it at a higher
price, and which holds that portions of the Act 1
Village of Little Chute vs. Van Camp.
unconstitutional. It does not decide or undertake to
construe the constitutionality of any of the remaining 2
Executive Order No. 53, series of 1919.
portions of the Act.