34) WHITE LIGHT CORPORATION v.

CITY OF MANILA
ISSUE: WON Ordinance No. 7774 was a valid exercise of City of Manila’s
FACTS: police power- NO
3 December 1992 Mayor Alfredo Lim signed into law Ordinance No. 7774
which prohibits short time admission in hotels, motels lodging houses, RULING:
pension houses, and similar establishments in the City of Manila: -An ordinance to be valid, it must not only be within the corporate powers of
the local government unit to enact and pass according to procedure
 Pursuant to policy, short-time admission and rate, wash-up rate or prescribed by law, it must also conform to the following substantive
other similarly concocted terms are prohibited in hotels, motels, ins requirements:
and other similar establishments in City of Manila 1. must not contravene the Constitution or any statute
 Short-time admission = less than 12 hours or renting rooms more 2. must not be unfair or oppressive
than twice a day 3. must not be partial or discriminatory
 Penalty: P5k or imprisonment for a period not exceeding 1 yr 4. must not prohibit but may regulate trade
5. must be general and consistent with public policy
Malate Tourist and Development Corporation (MTDC) filed a complaint for 6. must not be unreasonable
declaratory relief with TRO with RTC praying that the Ordinance insofar as it
includes motels and inns as among its prohibited establishment be declared -The Ordinance prohibits two specific and distinct business trade practices,
invalid and unconstitutional. namely wash rate admissions and renting out a room more than twice a day
 the ban is evidently sought to be rooted in the police power conferred on
MTDC claimed that as owner and operation of the Victoria Court in Malate, it LGUs by the LGC through such implements as the general welfare clause
was authorized by PD No. 259 to admit customers on a short time basis as
well as to charge customers was up rates for stays of only 3 hours. --Police power is based upon the concept of necessity of the State and its
corresponding right to protect itself and its people
Petitioners White Light Corporation (WLC), Titanium Corporation (TC), and
Sta. Mesa Tourist and Development Corporation (STDC) filed a motion to -The apparent goal of the Ordinance is to minimize, if not eliminate the use of
intervene on the ground that the Ordinance directly affects their business the covered establishments for illicit sex, prostitution, drug use and alike
interests as operators of drive-in-hotels and motels in Manila  GRANTED  these goals are unimpeachable and certainly fall within the ambit of the
police power of the State, but the means for their achievement must align
RTD issued TRO directing the City to cease and desist from enforcing the with the Constitution
Ordinance and subsequently declared the same null and void.
-HOWEVER, even if the Ordinance was well-intentioned, it is in effect and
The City alleged that the Ordinance is a legitimate exercise of police power arbitrary and whimsical intrusion into the rights of the establishments as well
and the SolGen likewise argued that it was constitutional. as their patrons

Petitioners WLC et al. argued that the Ordinance is unconstitutional and void -The Ordinance needlessly restrains the operation of the businesses of the
since it violates the right to privacy and freedom of movement; it is an invalid petitioners as well as restricting the rights of their patrons without sufficient
exercise of police power, and unreasonable and oppressive interference in justification  The Ordinance rashly equates wash rates and renting out a
their business room more than twice a day with immorality without accommodating
innocuous intentions
The City filed petition for review on certiorari with SC (but was referred to CA)
 REVERSED RTC ruling and declared constitutional: -There are very legitimate uses for a wash rate or renting room out for more
 held that the Ordinance is a valid exercise of police power pursuant than twice a day  ie. entire families are known to choose pass the time in a
to Section 458(4)(v) of the LGC motel/hotel while there is no electricity in their homes, transit passengers
 did not violate right to privacy or freedom of movement as it only who wish to wash up or rest in between trips
penalizes owners and operators of establishments
 police power was exercised to curb immoral activities
-That the Ordinance prevents the lawful use of a wash rate depriving patrons
of a product and the petitioners of lucrative business ties in with other
constitutional requisite for legitimacy of the Ordinance as a police power
measure  it must appear that the interests of the public generally, as
distinguished from those of a particular class, require an interference with
private rights and the means must be reasonably necessary for the
accomplishment of the purpose and not unduly oppressive of private rights

-A reasonable relation must exist between the purposes of the measure and
the means employed for its accomplishment, for even under the guise of
protecting the public interest, personal rights and those pertaining to private
property will not be permitted to be arbitrarily invaded

-Lacking a concurrence these requisites, the police measure shall be struck

-The promotion of public welfare and sense of morality among citizens

WHEREFORE, petition is GRANTED. Ordinance No. 7774 is declared