Peralta Special Science High School, Inc., a close corporation, sold its campus and all buildings therein to Yurag Driving School Corporation. Since the campus is the only property of the High School, it faithfully complied with the requirements set forth by the Revised Corporation Code with respect to the sale of all assets of the corporation. Before the start of the academic year, Yurag hired a new set of teachers. Appalled by the situation, Mr. Domingo, the head of the faculty labor union filed a complaint for illegal dismissal with the National Labor Relations Commission. He argues that Yurag has the responsibility to absorb them because it is the buyer of the properties of the school. He further contends that they are the employees of Yurag and that by hiring a new set of faculty, they were effectively terminated without the requisite due process. Yurag denied the allegation of Mr. Domingo insisting that there is no employer-employee relationship between the faculty labor union and Yurag. Decide the case with reasons.

Answer rating: 100% (QA)

In this case the key issue revolves around whether an employeremployee relationship exists between the faculty labor union and Yurag Driving School Co... View the full answer