TOPIC: Art. 8: Judicial decisions applying or interpreting the laws or the Constitution shall form a part of the legal system of the Philippines.
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RATIONALE:
FACTS:
1. In the year 1960, Caltex Philippines conceived and laid the ground work for a promotional scheme calculated to drum up patronage for its oil products. The contest was entitled “Caltex Hooded Pump Contest”, which calls for participants to estimate the actual number of liters as hooded gas pump at each Caltex station will dispense during a specific period.
2. Foreseeing the extensive use of the mails not only as amongst the media for publicizing the contest but also for the transmission of communications, representations were made by Caltex with the postal authorities for the contest to be cleared in advance for mailing. This was formalized in a letter sent by Caltex to the Post master General, dated October 31, 1960, in which Caltex, thru its counsel, enclosed a copy of the contest rules and endeavored to justify its position that the contest does not violate the “The Anti-Lottery Provisions of the Postal Law”.
3. Unfortunately, the Palomar, the acting Postmaster General denied Caltex’s request stating that the contest scheme falls within the purview of the Anti-lottery Provision and ultimately, declined Clatex’s request for clearance.
4. Caltex sought reconsideration, stressing that there being no consideration involved in part of the contestant, the contest was not commendable as a lottery. However, the Postmaster General maintained his view that the contest involves consideration, or even it does not involve any consideration it still falls as “Gift Enterprise”, which was equally banned by the Postal Law.
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