Essentials of Business Law and Labor Law | 03 June 2023

Essentials of Business Law and Labor Law is a digital initiative of Alburo Law to provide legal knowledge to entrepreneurs to help improve their productivity and profitability by ensuring that businesses comply with relevant laws, rules, and regulations.

What is the test for Constructive Dismissal?

The test for constructive dismissal is whether a reasonable person in the employee’s position would have felt compelled to give up his position under the circumstances. (Cornworld Breeding Systems Corp. v. Court of Appeals, G.R. No. 204075, [August 17, 2022])

Disposal of assets of the corporation after dissolution

No corporation shall distribute any of its assets or property except upon lawful dissolution and after payment of all its debts and liabilities except in case of decrease in capital stock and otherwise allowed by the Revised Corporation Code. (Section 139, Revised Corporation Code).