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Lucero vs. City Government of Pasig

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Lucero v. City Government of PasigGR No.

13283424 November 2006 Facts: The brothers Lucero and one Tenorio were granted lease contracts to occupy stalls in the public market if Pasig in 1983. In1993, Pasig renovated its marketfacilities and passed MunicipalOrdinance No. 56 which mandated all stall occupants to fill up and submit application forms which would serve as their lease contracts if approved. The Luceros and Tenorio,however, refused to apply for anew lease on their stalls. ThePasig government filed a case for ejectment against them.The MTC ruled in favor of theLuceros, but was reversed by theRTC and the CA. ISSUE: W/N the Luceros may claim a vested right to the market stalls they were occupying. W/N the Municipal Ordinance was a valid exercise of police power.

RULING: NO. The 1983 lease contracts did not give petitioners irrefutable rights to the market stalls. They were mere grantees of a privilege to occupy and operate such booths.

YES. The operation of a market stall by virtue of a license is always subject to the police power of a city government. An application for this privilege may be granted or refused for reasons of public policy and sound public administration. A public market is one dedicatedto the service of the general public and operated under government control andsupervision as a public utility. Hence, the operation of a public market and its facilities is imbued with public interest.

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