Who wins? Gonz’s “ Solutio Indebiti”, Brian’s “Estoppel “

Dagupan City Mayor Benjie S. Lim

By Mario Mata

Since 2001 Lyceum Northwestern University (LNU) pays business tax and other fees to the city government of Dagupan City without qualms.

Early this year a columnist posed a title on his column “Tax cheats in Dagupan City?” in reference to owners of educational institutions in the Bangus City.

Later, Dagupan City Mayor Benjie S. Lim in his State of the City Address wondered why “University 1“ (a lot of people presumed it was University of Pangasinan)surprisingly paid P2 Million, while Universities 2 and 3 suspiciously paid only P342,000, and P50,000  of their business tax due in 2010.

He said it was suspicious because all the three universities have more or less the same enrolment.

Hell broke loose thereafter as LNU president ran ‘berserk” by taking offense on the tax cheat’s insinuations of the mayor in his SOCA.

Lim denied, however, saying “the cheat thing”. He only said many in the city under-declared their taxes which is a bad practice for the progress of the city.

Gonz said that he found out just this year that the city government committed illegal exaction as there was no ordinance –as enabling law- to back up what the Local Government Code of 1991 mandates Dagupan to collect business taxes to its constituents.

“The city should reimburse my school by P6 million that it illegally collected since 2001” Duque was heard  telling selected media men after the RH-Bill forum graced by Rep. Kimi Cojuangco (   5 th District, Pangasina) at his college the other week.

If Gonz cried “Illegal exaction!”, the mayor’s son and city councillor Brian Lim rebutted him with “Estoppel”.

It means Gonz and owners of private schools are already barred to be reimbursed before the eyes of the law what they paid because they have been paying for decade without even a “squeak” of protestations.

 “So what’s your take on the ‘estoppel” rebuked from Brian Lim?” a media man was heard asking Atty. Duque.

“Solutio Indebiti,” Gonz emphatically replied to the question.

Solutio Indebiti, for the sake of those ignoramuses at the media profession, means a situation that arises when a person through mistake, pays what is not due by him under any civil or natural obligation either because there was never an obligation or because it was already extinguished or because he pays that which is due but not by him or because he pays that which is due but not to the person who receives it.

With Gonz “Illegal Exaction and Solutio Indebeti”, and Brian’s “Estoppel “, who wins?

We could not say for the meantime. These craps are questions that need the meticulous evaluation of the court  of law in the city.

Atty. Gonzalo Duque, President of Lyceum Northwestern
University

Unless Benjie and Gonz including the owners of private schools amicably settled this problem before it goes into a full blown court case in a basketball court or elsewhere.