Jay Sonza Vs ABS-CBN

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Baybayan, John Daniel R.

LAB1-2B1
Jay Sonza vs ABS-CBN , GR No. 138051, 10 June 2004)
Topic: ER-EE
FACTS: Respondent, ABS CBN Broadcasting Corporation signed an “Agreement” with
Mel and Jay Management Development Corporation (MJMDC). Sonza and MJMDC
entered into an agreement for SONZA's services to be provided exclusively to ABS-CBN
as talent for radio and television. The respondent was represented by its corporate
officers while MJMDC were represented by Sonza and Carmela Tiangco as the President
and general manager and EVP and Treasurer respectively. Sonza, then, wrote a letter
to ABS CBN’s President, Eugenio Lopez III, irrevocably resigning due to some events
concerning his programs and career. As a result of the company's alleged violation of
the agreement, a notice of rescission of the agreement was sent. Sonza, then, filed a
complaint against ABS-CBN before the National Capital Region Department of Labor and
Employment in Quezon City. SONZA claimed that ABS-CBN failed to pay his salaries,
separation pay, service incentive leave pays, 13th month pay, signing bonus, travel
allowance, and ESOP sums owed. After that, ABS-CBN filed a Motion to Dismiss on the
ground that no employer-employee relationship existed between the parties. SONZA
filed an Opposition to the motion.
ISSUE: Whether or not there was an employer-employee relationship between the
parties.
RATIO: Petition denied. There is NO employer-employee relationship between Sonza
and ABS CBN. Applying the control test to the present case, it is found that Sonza is not
an employee but an independent contractor. The control test is vital in determining an
employee from an independent contractor. This test is based on the extent of control
the hirer exercises over a worker. The greater the supervision and control the hirer
exercises, the more likely the worker is deemed an employee. The converse holds true
as well the less control the hirer exercises, the more likely the worker is considered an
independent contractor. A radio broadcast specialist who works under minimal
supervision is an independent contractor. Sonza’s work as television and radio program
host required special skills and talent, which Sonza admittedly possesses. The records
do not show that ABS-CBN exercised any supervision and control over how Sonza
utilized his skills and talent in his shows. Being an exclusive talent does not by itself
mean that Sonza is an employee of ABS-CBN. Even an independent contractor can
validly provide his services exclusively to the hiring party. In the broadcast industry,
exclusivity is not necessarily the same as control.

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