31-Sanchez v. Medicard G.R. No. 141525 September 2, 2005
31-Sanchez v. Medicard G.R. No. 141525 September 2, 2005
31-Sanchez v. Medicard G.R. No. 141525 September 2, 2005
141525 1 of 3
It is clear that since petitioner refused to reduce his commission, Medicard directly negotiated with Unilab, thus
revoking its agency contract with petitioner. We hold that such revocation is authorized by Article 1924 of the Civil
Code which provides:
"Art. 1924. The agency is revoked if the principal directly manages the business entrusted to the agent, dealing
directly with third persons."
Moreover, as found by the lower courts, petitioner did not render services to Medicard, his principal, to entitle him
to a commission. There is no indication from the records that he exerted any effort in order that Unilab and
Medicard, after the expiration of the Health Care Program Contract, can renew it for the third time. In fact, his
refusal to reduce his commission constrained Medicard to negotiate directly with Unilab. We find no reason in law
or in equity to rule that he is entitled to a commission. Obviously, he was not the agent or the "procuring cause" of
the third Health Care Program Contract between Medicard and Unilab.
WHEREFORE, the petition is DENIED. The challenged Decision and Resolution of the Court of Appeals in CA-
G.R. CV No. 47681 are AFFIRMED IN TOTO. Costs against petitioner.
SO ORDERED.
Artemio V. Panganiban (Chairman), Renato C. Corona, Conchita Carpio Morales, Cancio C. Garcia, JJ., concur.