First Philippine Industrial Corporation vs CA and Tac-an

FACTS:
FPIC is a grantee of a pipeline concession under RA 387
Original pipeline concession was granted in 1967 and renewed in 1992
January 1995 FPIC applied for mayors permit
Before mayors permit can be issues, City Treasurer required FPIC to pay a local tax based on its gross
receipts for FY 1993 pursuant to Local Govt Code
Assessment: Php 956,076.04 payable in 4 installments based on gross recipts
FPIC paid the tax under protest in the amount of Php 239,019.01
Janaury 20, 1994 FPIC filed protest, claiming it is a common carrier; thus, exempted from paying said
taxes (Section 133 of LGC)
March 8 City Treasurer denied protest
June 15 FPIC filed a case with Batangas City RTC
Batanags RTC: FPIC is not a common carrier
CA: Affirmed RTCs decision


ISSUE: WON FPIC is a common carrier?

HELD: Yes
A "common carrier" may be defined, broadly, as one who holds himself out to the public as engaged in
the business of transporting persons or property from place to place, for compensation, offering his
services to the public generally
It is engaged in the business of transporting or carrying goods, i.e. petroleum products, for hire as a public
employment. It undertakes to carry for all persons indifferently, that is, to all persons who choose to
employ its services, and transports the goods by land and for compensation. The fact that petitioner has a
limited clientele does not exclude it from the definition of a common carrier.
As correctly pointed out by petitioner, the definition of "common carriers" in the Civil Code makes no
distinction as to the means of transporting, as long as it is by land, water or air. It does not provide that
the transportation of the passengers or goods should be by motor vehicle.