Pelaez v. Auditor General, 15 SCRA 569

ISSUE:  Whether or not Section 68 of Revised Administrative Code constitutes an undue delegation of legislative power 

FACTS:  Pursuant to the Section 68 of the Revised Administrative Code, the President issued EO Nos. 93 to 121, 124 and 126 to 129, creating 33 municipalities enumerated in the margin. Petitioner Pelaez alleged that said Section 68 has been impliedly repealed by RA No. 2370, and constitutes an undue delegation of legislative power. The third paragraph of Section 3 of RA No. 2370 stated: "Barrios shall not be created or their boundaries altered nor their names changed except under the provisions of this Act or by Act of Congress." 

DECISION:  EOs were declared null and void 

RATIO DECIDENDI:  Yes, there is undue delegation of power. Section 10 (1) of the Constitution's Article VII states that: "The President shall have control of al the executive departments, bureaus, or offices, exercise general supervision over all local governments as may be provided by law, and take care that the laws are faithfully executed." The Constitution is clear in saying that only general supervision can be exercised over the local governments. No more authority that that of checking or supervision may be done. In this case, by creating the 33 municipalities, the law conferred upon the President more power over the local governments.