Report No. 4- The CIVIL CODE of the Philippines - ARTICLE 51

The CIVIL CODE
R.A. No. 386
ARTICLE 51
Reported by:

JOY G. DE LOYOLA
MARY GRACE DE LUMBAN

ARTICLE 51

When the law creating or recognizing them, or any other provision does not state the domicile of juridical persons, the same shall be understood to be the place where their legal representation is established or where they exercise their principal functions.

The law contemplates a situation where a juridical person is created by law, but the law does not state its domicile.

Article 50 governs the domicile of natural persons.
Article 51 talks about the domicile of juridical persons.

Domicile – denotes a fixed permanent residence to which, when absent, one has the intention of returning
Residence – used to indicate a place of abode, whether permanent or temporary
Juridical person – is a being of legal existence susceptible of rights and obligations, or of being the subject of juridical relations

example:
A private corporation may have been established by law, but its domicile has not been fixed. It is understood that its domicile is the place where its legal representation is made or where it exercises its principal functions. So that, if it exercises its principal functions in Manila, that is its domicile.


For a juridical person, such as corporation, it is where it is legally registered and where, normally, it conducts its principal business or function

(1) Rules for Determining the Domicile of Juridical Persons
(a) Get the domicile provided for in the law creating or recognizing them or in their articles of agreement.
(b) If not provided for, get the place:
1) Where their legal representation is established.
2) Or where they exercise their principal functions.

(2) Domicile of a De Facto Partnership
A defectively organized partnership which the law recognizes as de facto insofar as third persons are concerned, can possess a domicile for purposes of its de facto existence. (MacDonald v. NCBNY, L-7991, May 21, 1956).

(3) Domicile of a Corporation with a Head Office and with Branches
The domicile is where the head office is located.


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