Baguio plans takeover of Jadewell parking lot

By Aileen P. Refuerzo

BAGUIO CITY – The city government will take over the management of the parking lot earlier leased out to the Jadewell Systems Parking Corporation as soon as the Supreme Court ruling denying with finality Jadewell’s appeal becomes final and executory.

Mayor Mauricio Domogan on Wednesday expressed the city’s readiness to operate the area but did not discount the possibility of leasing it out anew for off-street parking operation.

He said allowing a private company to operate the area will still be more beneficial for the city in terms of producing the necessary revenues and saving on personnel expenses.

The Supreme Court in a decision dated July 21, 2014 declared as final its ruling on the cases involving Jadewell as it denied with finality the motion for partial reconsideration filed by the parking firm over the high court’s April 23, 2014 decision dismissing its contempt charges against city officials.

The mayor said that while the court nullified the city council’s first act of rescission, it did not void the second act of rescission and did not authorize the parking firm to resume operation in the city.

Acting city legal officer Melchor Carlos Rabanes earlier explained that what the Court nullified was only the first act of rescission by the city council done on February 19, 2002 as the five-year guarantee against rescission stipulated in the contract had not lapsed yet at that time but the second act of rescission done in 2006 was considered valid because it was beyond the guarantee period.

He said that when the court dismissed the contempt charges as a result of the said second act of rescission, it follows that the court is upholding the validity of the second rescission.

In its decision, the high court ruled: “Acting on the motion of (Jadewell) as petitioner in G. R. No.s 163052, 164107, 165564, 172216, 173043 and 174879 for partial reconsideration of the decision dated April 23, 2014, and considering that the basic issues have already been passed upon and that there is no substantial argument to warrant a modification of this Court’s decision, the Court further resolves to deny reconsideration with finality,” the court’s first division ruled in a notice issued by division clerk of court Edgar Aricheta dated July 21, 2014.  “No further pleadings or motions shall be entertained herein.”

The April 23 decision of the high tribunal affirmed the Court of Appeals ruling dated July 7, 2003 invalidating the city council’s rescission of the memorandum of agreement that authorized Jadewell’s operation in the city in 2001.

The Court, however, did not award any damage in favor of the parking firm.