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[Syllabus]
EN BANC
[G.R. No. 105938. September 20, 1996]
TEODORO R. REGALA, EDGARDO J. ANGARA, AVELINO V.
CRUZ, JOSE C. CONCEPCION, ROGELIO A. VINLUAN, VICTOR P.
LAZATIN, and EDUARDO U. ESCUETA, petitioners, vs. THE
HONORABLE SANDIGANBAYAN, First Division, REPUBLIC OF
THE PHILIPPINES, ACTING THROUGH THE PRESIDENTIAL
COMMISSION ON GOOD GOVERNMENT, and RAUL S. ROCO,
respondents.
[G.R. No. 108113. September 20, 1996]
PARAJA G. HAYUDINI, petitioner, vs. THE SANDIGANBAYAN and
THE REPUBLIC OF THE PHILIPPINES, respondents.
D E C I S I O N
KAPUNAN, J.:
These cases touch the very cornerstone of every State's judicial system,
upon which the workings of the contentious and adversarial system in the
Philippine legal process are based - the sanctity of fiduciary duty in the
client-lawyer relationship. The fiduciary duty of a counsel and advocate
is also what makes the law profession a unique position of trust and
confidence, which distinguishes it from any other calling. In this
instance, we have no recourse but to uphold and strengthen the mantle of
protection accorded to the confidentiality that proceeds from the
performance of the lawyer's duty to his client.
The facts of the case are undisputed.
The matters raised herein are an offshoot of the institution of the
Complaint on July 31, 1987 before the Sandiganbayan by the Republic of
the Philippines, through the Presidential Commission on Good
Government against Eduardo M. Cojuangco, Jr., as one of the principal
defendants, for the recovery of alleged ill-gotten wealth, which includes
shares of stocks in the named corporations in PCGG Case No. 33 (Civil

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Case No. 0033), entitled "Republic of the Philippines versus Eduardo
Cojuangco, et al."
i
[1]
Among the defendants named in the case are herein petitioners Teodoro
Regala, Edgardo J. Angara, Avelino V. Cruz, Jose C. Concepcion,
Rogelio A. Vinluan, Victor P. Lazatin, Eduardo U. Escueta and Paraja G.
Hayudini, and herein private respondent Raul S. Roco, who all were then
partners of the law firm Angara, Abello, Concepcion, Regala and Cruz
Law Offices (hereinafter referred to as the ACCRA Law Firm). ACCRA
Law Firm performed legal services for its clients, which included,
among others, the organization and acquisition of business associations
and/or organizations, with the correlative and incidental services where
its members acted as incorporators, or simply, as stockholders. More
specifically, in the performance of these services, the members of the law
firm delivered to its client documents which substantiate the client's
equity holdings, i.e., stock certificates endorsed in blank representing the
shares registered in the client's name, and a blank deed of trust or
assignment covering said shares. In the course of their dealings with
their clients, the members of the law firm acquire information relative to
the assets of clients as well as their personal and business circumstances.
As members of the ACCRA Law Firm, petitioners and private
respondent Raul Roco admit that they assisted in the organization and
acquisition of the companies included in Civil Case No. 0033, and in
keeping with the office practice, ACCRA lawyers acted as nominees-
stockholders of the said corporations involved in sequestration
proceedings.
ii
[2]
On August 20, 1991, respondent Presidential Commission on Good
Government (hereinafter referred to as respondent PCGG) filed a
"Motion to Admit Third Amended Complaint" and "Third Amended
Complaint" which excluded private respondent Raul S. Roco from the
complaint in PCGG Case No. 33 as party-defendant.
iii
[3] Respondent
PCGG based its exclusion of private respondent Roco as party-defendant
on his undertaking that he will reveal the identity of the principal/s for
whom he acted as nominee/stockholder in the companies involved in
PCGG Case No. 33.
iv
[4]
Petitioners were included in the Third Amended Complaint on the
strength of the following allegations:
14. Defendants Eduardo Cojuangco, Jr., Edgardo J. Angara, Jose C.
Concepcion, Teodoro Regala, Avelino V. Cruz, Rogelio A. Vinluan,

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[Syllabus] EN BANC [G.R. No. 105938. September 20, 1996] TEODORO R. REGALA, EDGARDO J. ANGARA, AVELINO V. CRUZ, JOSE C. CONCEPCION, ROGELIO A. VINLUAN, VICTOR P. LAZATIN, and EDUARDO U. ESCUETA, petitioners, vs. THE HONORABLE SANDIGANBAYAN, First Division, REPUBLIC OF THE PHILIPPINES, ACTING THROUGH THE PRESIDENTIAL COMMISSION ON GOOD GOVERNMENT, and RAUL S. ROCO, respondents. [G.R. No. 108113. September 20, 1996] PARAJA G. HAYUDINI, petitioner, vs. THE SANDIGANBAYAN and THE REPUBLIC OF THE PHILIPPINES, respondents. D E C I S I O N KAPUNAN, J.: These cases touch the very cornerstone of every State's judicial system, upon which the workings of the contentious and adversarial system in the Philippine legal process are based - the sanctity of fiduciary duty in the client-lawyer relationship. The fiduciary duty of a counsel and advocate is also what makes the law profession a unique position of trust and confidence, which distinguishes it from any other calling. In this instance, we have no recourse but to uphold and strengthen the mantle of protection accorded to the confidentiality that proceeds from the performance of the lawyer's duty to his client. The facts of the case are undisputed. The matters raised herein are an offshoot of the institution of the Complaint on July 31, 1987 before the Sandiganbayan by the Republic of the Philippines, through the Presidential Commission on Good Government against Eduardo M. Cojuangco, Jr., as one of the principal defendants, for t ...
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