A 60-day temporary restraining order has been issued by the Court of Appeals to stop the Pasig City regional trial court from enforcing its decision to uphold the P14-billion settlement claim of Manila Electric Company against the National Power Corp.
In a resolution promulgated last Dec. 1, but released only yesterday, the Court of Appeals’s first division granted the plea of the government to enjoin the Pasig City RTC from hearing the merits of the civil case filed by Meralco against Napocor.
The resolution, which was penned by Associate Justice Japar B. Dimaampao and concurred in by Presiding Justice Andres B. Reyes Jr. and Associate Justice Jane Aurora C. Lantion, blocks the implementation of the 2003 settlement agreement that Meralco sealed with Napocor.
The deal was tied to the 10-year electricity supply contract between Meralco and the state-run utility.
The appellate court also directed Meralco and Napocor to comment within 10 days from receipt of the resolution.
The Solicitor General may subsequently file its reply to the comment within that 10-day period, the court said.
“Respondents are likewise directed to show cause why a writ of preliminary injunction should not be issued,” the court stressed.
The appellate court also ordered the Solicitor General to submit a certified copy of the settlement agreement dated July 15, 2003 executed by and between Meralco and Napocor.
Last year, the regional trial court ruled that the Meralco-Napocor agreement was “valid and binding,” except for the pass-through provision, which is reserved for the approval of the Energy Regulatory Board.
The board suspended proceedings on the settlement case and tossed the task of resolving the questions over jurisdiction to the courts.
The regulatory body referred such particular legal issue to the SolGen.
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