Cusap Vs Adidas Digest (Almirante)

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 1

Marites R. Cusap, v. Adidas Philippines, Inc.

, (Adidas)
G.R. No. 201494, July 29, 2015).

FACTS
PETITIONER Marites R. Cusap and 27 other employees filed a complaint for illegal dismissal
against the respondents Adidas Philippines, Inc., (Adidas), Promotion Resources & Inter-
Marketing Exponents, Inc. (Prime), and later amended to include JC Athletes, Inc. (JCA). They
alleged that they were regular employees of Adidas after having worked as promo girls and
stockmen at the companys various rented outlets for years, ranging from one year to seven
years. After its contract with its former distributor, World Sports, Inc. (WOSI) expired, Adidas
allegedly contracted JCA to be its exclusive distributor. In turn, JCA entered into a promotional
contract with PRIME. Petitioners claimed that they were dismissed from employment when the
service contract between PRIME and JCA was terminated. They argued that Adidas was their
real employer, not PRIME, which was merely a recruitment agency supplying Adidas with
human resources. They pointed out that for years that they were employed, they worked for
Adidas, under its supervision and control and that of JCA personnel.

Their work being related to and in pursuit of Adidas principal business activity, they claimed
they are its regular employees. Can their action prosper?

HELD
Yes. Again, in the absence of evidence that JCA had the wherewithal to undertake its distribution
agreement with Adidas, except to enter into a promotions contract with PRIME, we find merit in
the petitioners contention that Adidas and JCA, at a time, held office in the same address; and
that Adidas provided the storage places and the outlets for the distribution of its products, not
PRIME or JCA. As the petitioner points out, formerly it was WOSI and later JCA which acted as
agent of Adidas. The record bears out her observations. Thus, the petitioner and the complainants
(who withdrew from the case) were performing activities that were necessary to market the
products that Adidas itself manufactured. They sold these products for several years, starting in
June 1995 until Dec. 9, 2000. While Adidas explains that it amended its articles of incorporation
in October 2002 to engage in retail, it cannot be denied that in 1995, it was already in the retail
business through its agents WOSI and JCA and labor-only contractor PRIME. Thus, the
petitioner had become an Adidas regular employee a long time before she was supposedly made
a contractual employee of PRIME. In the absence of evidence showing how or in what manner
PRIME carried out its promotion work under its contract with JCA and how it provided the
necessary requirements for such undertaking (such as the maintenance of storage areas and
engagement of sales outlets), we likewise find merit in the petitioners submission that it was
Adidas who exercised control and supervision over the petitioners work performance, through
its sales manager Sonny Niebres, its president Philip Go, and even Cornelia Indon, head of the
WOSI concession. In sum, we hold that PRIME failed to satisfy the four-fold employer-
employee relationship test, making it a labor-only contractor under the law and the rules. Like
JCA, it was merely an agent of Adidas, notwithstanding the quitclaims of some of the
complainants in its favor. Adidas, therefore, is petitioners real employer who shall be
responsible to her in the same manner and extent as if she were directly employed by the
company.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy