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What is the Reasonable Causal Connection Rule?

Photo from Unsplash | Karine Avetisyan


The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of a lawyer or you may directly contact and consult Alburo Alburo and Associates Law Offices to address your specific legal concerns, if there is any.

Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.

 


AT A GLANCE:

A money claim by a worker against the employer or vice-versa is within the exclusive jurisdiction of the labor arbiter only if there is a “reasonable causal connection” between the claim asserted and employee-employer relations. Only if there is such a connection with the other claims can the claim for damages be considered as arising from employer-employee relations. Absent such a link, the complaint will be cognizable by the regular courts. (Philippine Airlines, Inc. vs. Airline Pilots Association, G.R. No. 200088, February 26, 2018)


 

Ever wondered why some disputes between workers and employers end up in labor courts, while others go to regular courts? It all comes down to something called the “reasonable causal connection” rule. This rule says that for a money claim to fall under the jurisdiction of labor courts, there must be a clear link between the claim and the relationship between the worker and the employer.

Understanding the reasonable causal connection rule is crucial because it determines where a dispute will be resolved. If the claim has a clear connection to the worker’s job or the employer’s actions, it’ll likely go to a labor court. But if it’s more about something that happened outside of work, like an accident on the road, it’ll probably be heard in a regular court.

According to the Supreme Court, claims for damages arising from events like accidents or injuries (known legally as quasi-delicts) may not be heard in labor courts. This is because these claims don’t have a direct connection to the employer-employee relationship. Instead, they’re more about general legal responsibility.

Jurisprudence says:

Damages arising out of a quasi-delict, may not be awarded in accordance with Section 217 of the Labor Code, as amended, for there is no reasonable causal connection with the employer-employee relationship. At the time the cause of action accrued, Article 217 of the Labor Code required that in order that the Labor Arbiter may adjudicate claims not included in the other paragraphs, the same must arise out of employer-employee relations. In the instant case, the source of the obligation upon which the private respondents’ cause of action is based is a quasi-delict or tort which has no reasonable connection with any of the claims provided for in the aforesaid Article 217 of the Labor Code. (Doroteo Ocheda vs. The Honorable Court of Appeals, G.R. No. 85517, October 16, 1992)

In practical terms, this rule helps clarify which court has the authority to handle a particular case. For example, if a worker is injured on the job due to unsafe working conditions, their claim for compensation would likely fall under labor court jurisdiction because it directly involves their employment. But if they’re injured in a car accident while commuting to work, that claim might go to a regular court.

Ultimately, the reasonable causal connection rule exists to ensure fairness and efficiency in resolving disputes. By directing cases to the appropriate courts based on their connection to the employment relationship, the rule helps restructure the legal process and ensures that workers and employers alike are treated fairly under the law.

  

 

Related Article/s:

WHICH COURTS OR TRIBUNALS HAVE JURISDICTION TO HEAR EMPLOYMENT-RELATED COMPLAINTS?

 

 

Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries regarding taxation and taxpayer’s remedies, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.

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