ACCFA v.

CUGCO
30 SCRA 649 (1969)

CASE MAIN POINT: As national policy and declaration of principle concerning

the promotion of social justice is governmental function.
FACTS: ACCFA was reorganized and was changed to ACA under RA. No. 821. A
collective bargaining agreement for one a period of one year was entered into by the
Union and ACCFA on September 4, 1961. A few months later, the Union protested
against alleged violation and non-implementation of the agreement. The Union filed
a complaint with the Court of Industrial relations against the ACCFA.
ISSUES: Whether or not ACCFA exercised governmental or proprietary functions
among others.

RULING: The law itself declares that the ACA is government office, with the
formulation of policies, plans and programs vested no longer in a Board of
Governors, as in the case of the ACCFA, but the National Land Reform Council,
itself a government instrumentality; and that its personnel are subject to Civil
Service laws and to rules of standardization with respect to positions and salaries,
any vestige of doubt as to the governmental character of its functions disappears.