delivered the opinion of the court.
Pursuant to Act No. 10 of 1917 (Yol. II, p. 216), as amended, fifteen agricultural -workers filed complaints in the Municipal Court of San Lorenzo against the petitioner for unpaid wages. A sample complaint alleged a verbal contract between the plaintiff and the petitioner. “That the plaintiff would render services as a cart driver (carretero) during the cane-grinding season for compensation of $1.68 a day. That during 56 days he worked 4 extra hours daily in excess of the 8 regular hours of the ordinary workday, that is, a total of 224 extra hours, that at the double rate of pay, amounts to the sum of $94.08, a sum that the defendant refuses to pay . . . ”.
The Municipal Court dismissed the complaints. On appeal to the District Court of Humacao, that court overruled demurrers to the complaints, holding that Act No. 49, Laws of Puerto Rico, Special Session, 1935, provided for payment to workmen of double pay for all hours worked in excess of eight hours in any one day. At the request of all the parties involved herein, we issued a preliminary writ of prohibition directed to the district judge (See Fortuna Estates v. Texidor, Dist. Judge, 26 P.R.R. 233; P. R. Ry. Light S Power Co. v. Ortiz, Judge, 59 P.R.R. 912; Abelleira v. District Court of Appeal, Third District, 109 P.(2d) 942 (Calif. 1941). Comment, Extent to Which Availability of Ordinary Remedy Defeats Issuance of Writ of Prohibition, 22 Calif. L. Rev. 537).
We are met at the outset with the contention of the employees that this case should be governed by the following language.found in Turney v. J. H. Tillman Co., 228 P. 933, at p. 937:
'‘There is, however, no allegation in the complaint that the. defendant violated the statute in question or committed any crime. The presumption is, until otherwise shown, that the defendant is innocent of crime or wrong. Or. L. § 799, subd. 1. The statute presumes that private transactions have been regular and fair and thatPage 62the ordinary course of business has been followed. Or. L. § 799, subds. 19 and 20. In the absence of any allegation to the contrary, in construing the complaint it must be presumed that the defendant performed its duty and permitted or required the parties named to work overtime by reason of necessity, emergency, or where public policy absolutely required it, and that there was no other labor of like skill and efficiency which had not been employed full time, available. ’ ’
If we adopted this view, we would need to- go no further to dispose of the instant case, as Act No. 49 clearly provides for double pay for overtime worked in an emergency.
We are willing — indeed it is our duty under §6 of Act No. 10 — to be as indulgent as possible in the matter of pleading in order that workers, without losing their cases on technical questions, may have a hearing on the merits. But for us to accept such a presumption in this case would be to defeat the purpose for which we issued the writ. All the parties joined in urging us to issue the writ herein, asserting that it was in the public interest for this court to furnish guidance to the lower courts in handling thousands of cases involving claims for millions of dollars for normal work. It would therefore be a futile gesture for us to dispose of this case by accepting the argument that we must presume that as a matter of technical pleading the work herein was done under permit during an emergency. If our ruling in this case is to be of any guidance in solving the problem which prompted us to issue the writ, we must, apart from any theory of pleading, treat the work done as normal work. We therefore undertake to determine if Act No. 49 provides for double pay for work in excess of eight hours a day under normal conditions.
There can be little question that Act No. 49 is not a wage law, and that its sole purpose was to limit the hours of work of a normal day. The legislative history of Act No. 49 demonstrates beyond peradventure that the Commissioner of Labor and the Legislature were motivated by the
In making this statement, we are not overlooking the provision of §1 of Act No. 49 for double pay for the ninth hour and for overtime worked in an emergency. But this is not a wage provision; it is a method of insuring compliance with the provision limiting hours of work. An Oregon statute smilar to ours was upheld as valid in Bunting v. Oregon, 243 U. S. 426, on the ground that it was a statute limiting hours, and not fixing wages. At that time, as we have seen, the prevailing view of the Supreme Court of the United States was that a statute regulating wages would be uncon
As in the Oregon statutes, our provision for overtime work in the event of an emergency, like the unfettered permission for three extra hours in Oregon, is' part and parcel of a limitation-of-hou.rs provision. The Oregon statute established a maximum workday of ten hours, but with the proviso that three additional hours could be worked if time and a half was paid. Our Legislature may have thought it was being more progressive than Oregon when it insisted that no work at all could be done beyond the maximum per day, on pain of criminal penalty, except during carefully defined emergencies, which would not be apt to be feigned because of the deterring feature of double pay. Although a more effective way to prevent overtime may be to make it legal but at double pay rather than to prohibit it, the fact remains that the latter approach was used by our Legislature.
It is obvious from the above discussion that Act No. 49 does not in the insular field cover the same ground or use the same approach as the Fair Labor Standards Act of 1938 (l§2 Stat. 1060) in the Federal' sphere. In the first place, as already noted, there is no provision in Act No. 49, as in the Federal Act, for normal work for minimum wages. Unless collective bargaining prevented, starvation wages could be paid with impunity under Act No. 49. Under such a system a worker would find small comfort in receiving double pay for overtime. If one worked, for example, eight hours a day at an agreed rate of two cents an hour, four cents an hour for the next four hours could scarcely be characterized as a step in the emancipation of labor.
The Fair Labor Standards Act is thoroughly practical. It wisely abandoned the effort to prohibit criminally the working of overtime as such; it provided only that employers must pay time and a half for such overtime — and the failure to pay for overtime, not the work as such, was made the crime (29 U.S.C. §216 (a)). In addition, the right to such overtime pay was reinforced by a provision for further liquidated damages equal to the overtime wage in the event the overtime wage was not originally paid (29 U.S.C. §216 (&)). An employer surrounded by such effective civil sanctions will exhibit small concern for the possibility of criminal prosecution. The threat of civil suit, plus liquidated, damages, will be the real deterrent. Our Legislature in 1941 borrowed a leaf from the Federal statute and provided in §25 of Act No. 8 of 1941 (Laws of 1941, p. 302), creating the Minimum Wage Board, for civil suit by the worker for his wages “plus an amount equal to fifty (50) per cent of the unpaid amounts as an additional penalty”.
But when we turn to Act No. 49 of 1935 we find provisions quite different from those in the Federal statute just discussed. Section 1 provides only that “No person shall be employed or shall be permitted to work in any commercial, industrial, or agricultural establishment or in any other lucrative business more than eight (8) hours during any natural day, except in case of some extraordinary event of emergency caused by fire, famine, or flood, or danger to life, property, or public safety or health or under any other special circumstance, provided that the Governor of Puerto Rico, on recommendation of the Commissioner of Labor, subsequently declares that the provisions of this Act shall not apply in these excepted eases and that therefore the
It is immediately apparent that Act No. 49, as some earlier state statutes, relied on the threat of imprisonment or fine to keep employers in line. The statute flatly prohibits a normal working day of more than eight hours on pain of imprisonment or fine. It is silent as to civil sanctions for the benefit of the worker. The employees herein nevertheless assert that provision for such civil sanctions, in the way of double pay for normal work in excess of eight hours per day, can be gathered from the terms of Act No. 49, particularly when the purposes of the Act are borne in. mind and when the Act is read together with two other statutes. We therefore turn to those two statutes.
Section 553 of the Penal Code, as amended by Act No. 306, Laws of Puerto Eico, 1938 (p. 547), provides that commercial and industrial establishments, with certain specified exceptions, shall remain closed all day on Sunday, and shall close at 12 noon on legal holidays, at 9 p. m. on Saturdays, arid at 6 p. m. on week days. And “one- hour after closing, no work of any kind shall be permitted . . . ”. The only enforcement provision is a criminal penalty of fine or imprisonment for employers violating the Act. Consequently, there could certainly be no theory on which we could hold that, standing alone, this statute specifically provided for double pay for time worked in violation of the statute.
When Act No. 49 was subsequently passed at the 1935 Special Session, the Legislature specifically provided in §7 that Act No. 80 and §553 of the Penal Code, as amended, shall remain in effect. The Legislature was thus preserving for workers the gains made under those Acts with reference to closing time, at the same time that it was establishing in Act No. 49 a similar principle relating to the maximum hours per day that could be worked. An example that comes readily to mind would be where an employee, although not required to work more than the eight-hour maximum provided in Act No. 49, was required to work, because of an emergency, beyond the closing time fixed in §553.
When Act No. 49 was passed, the Legislature was aware, from the experience gained under §553 and from the Governor’s veto of a similar bill, that a limitation of hours could not be made inflexible. It therefore provided, in addition to
There can be no question that there runs throughout Acts Nos. 49 and 80 a clear and persistent intent on the part of the Legislature ■ for workers to receive double pay for extra time worked under the conditions recited in each of them. We take judicial notice that such emergencies have occurred since the date of the passage of the statutes, and that the Governor’s emergency powers thereunder have been invoked. But this is a graphic illustration of the fact that, aside from such emergencies, we still have a flat prohibitory statute. Our difficulty here is that both sides conceded at the argument that there was no emergency or special circumstances i'n this case, and that virtually all the cases which will be controlled by our decision herein involve normal work. To award the employees double pay we must look to the statutes. And the Legislature, never having contemplated that this situation would exist, did not expressly provide therefor. Hindsight, it may perhaps be argued that it would have been more effective for the Legislature to provide, as in the Federal Act, for payment for overtime, and to make the crime the failure to make such payment rather than the work as such. This would undoubtedly prove more effective to prevent overtime work than absolute prohibition with a criminal sanction. But if the statute is to be rewritten to serve the present purpose under that more effective approach, it must be done by the Legislature and not by us.
The stumbling block here is that the workman does not, strictly speaking, earn the double rate. To work overtime is undoubtedly a real hardship to an employee, and he may rightly feel that, when he has been paid double for such overtime, he has earned it. But Act No. 49 is a blanket statute covering all types of workmen — agriculture, commercial, industrial. We take judicial notice that in Puerto Rico the overwhelming majority of such workmen have no special skills, and that under our chronic unemployment conditions could easily be replaced. Effecting such a change of employees at the ninth hour would eliminate the necessity of payment at the double rate. It therefore becomes apparent that under the circumstances the double pay is a deterrent and not, strictly speaking, compensation as such for the services rendered, as fixed by the market rate for such services. Indeed, a fatigued employee, subject to a higher accident risk, is, objectively speaking, worth perhaps less rather than double the ordinary rate of pay. In that sense, the Legislature was legislating in the interest of the entire community when it commanded that he stop work at that point. In any event, the conclusive factor herein is that when the Legislature undertook to deal with the situation and to impose statutory duties on the employer, it interfered with the free negotiation between him and his employees for compensation for overtime. We make it plain that under
It is no answer to this difficulty to say that the provision for double pay is not a penalty. It is certainly not a penalty in the traditional sense of punishment for offense against the State. “Statutes giving a private action against the wrongdoer are sometimes spoken of as penal in their nature, but in such cases .... neither the liability imposed nor the remedy given is strictly penal” (Huntington v. Attrill, 146 U. S. 657, 67) Congress used the label “liquidated damages” in the Fair Labor Standards Act, and the Supreme Court of the United States has held that such liquidated damages “are compensation, not a penalty or punishment by the Government” (Overnight Motor Co. v. Missel, 316 U. S. 572, 83). To the same effect, Cox v. Lykes Brothers, 143 N. E. 226 (N. Y. 1924); Atchison, etc., Ry. v. Nichols, 264 U. S. 348. Yet Judge Cardozo, speaking for the New York Court of Appeals, discloses the hybrid nature of such a provision by pointing out in the Cox case that (p. 227) “the same provision [for double wages for failure to pay a seaman on time] may be penal as to offender and remedial as to the sufferer.” (Matter in brackets ours). In any event, whether they be characterized as penal or not, provisions for such civil relief, whether called “punitive” damages (Minneapolis Railway Co. v. Beckwith, 129 U. S. 26, 34) “exemplary” damages (James-Dickinson Co. v. Harry, 273 U. S. 119), or, as in the Fair Labor Standards Act, “liquidated” damages, there is no right of recovery therefor, in the absence of specific legislation to that effect. To that extent at least, such private civil sanctions must be assimilated to a penalty. That is made clear by the very case on which the employees rely herein. In Turney v. J. H. Tillman Co., 228 P. 933 (Ore., 1924) the court said at p. 935
When we turn to the law on penalties, we find that penalties must be so clear and so express that he who reads while he runs will see them. No rule of law is better settled than the rule that penalties must be express, and cannot be implied. But the only penalty provided in Act No. 49 for those employers who are illegally employing laborers beyond nine hours is the criminal provision. It may be that experience has shown that a statute such as this cries out for the civil sanction of double pay rather than a flat criminal prohibition. We readily concede that the most effective enforcement of Act No. 49 would come from permitting the laborer to collect double pay for overtime. But that does not alter the fact that- the Legislature has not yet so provided. This is not simply a chink in the protective armour of the statute. It is a yawning gap in the statute; filling
We have recently held that, no matter how badly a penalty is needed in the public interest, we are powerless to place ourselves in the position of the Legislature and to impose such penalty (American R. R. Co. v. Industrial Commission, 61 P.R.R. 304, decided March 10, 1943). In the same way, however harsh a penalty may seem, once it is clearly and constitutionally imposed by the Legislature, we cannot mitigate hardships resulting therefrom by circumscribing the scope of the penalty (General Motors Acc. Corp. v. Brañuela, 61 P.R.R. 701, decided April 5, 1943), although we do examine each situation carefully to determine if the Legislature intended to impose the penalty in question’ (West India Oil Co. (P. R.) v. Buscaglia, Treas., 61 P.R.R. 755, decided April 15, 1943). In short, á penalty written into a statute by the Legislature will not be construed away by this court; and a penalty not written into a statute will not be conjured up or implied by this court.
The petitioner cites several eases similar to the instant case in which recovery was denied, either for 'double or for ordinary pay. These eases will be hereinafter noted in our discussion of the alleged liability of the employer for the ordinary rate of pay'for overtime. The employees rely mainly on Turney v. J. H. Tillman Co., 228 P. 933 (Ore., 1924), in which double pay was recovered. Our difficulty with that case is twofold. In the first place, the plaintiff there alleged that the defendant (pp. 933-4) “was engaged in carrying on certain state work under a written contract with the state of Oregon for the building and paving of certain state highways near Seaside, in the state of Oregon; and for the benefit of all laborers employed on said work a special provision was made in the contract that eight hours should, constitute a day’s work, and all employees upon said
We therefore have a situation where, apart from any statutory provision, there was a contract to pay double for overtime. In the instant case the employees, while they allege a contract, rely on Act No. 49 to justify doubling their pay for overtime, and not on any specific contract to that effect. And, as we have seen, Act No. 49 is silent on the subject of double pay for overtime worked under normal conditions.
Secondly, the statute in the Turney case prohibited work for more than eight hours (p. 934) “except in cases of necessity, emergency, or where the public policy absolutely requires it, in which event the person or persons so employed for excessive hours shall receive double pay for the overtime so employed; and no emergency, necessity or public policy shall be presumed to exist when other labor of like skill and efficiency, which has not been employed full time, is available”.
There was apparently no requirement in that statute for permission from a government official to work during an emergency. If an emergency existed, one simply proceeded to work. Under those circumstances, the court held, as already noted above, that an emergency, as a matter of pleading, would be presumed. But here, since our statute requires a permit, even during an emergency, in order to make overtime work legal, we do not think it appropriate to presume-the emergency. In addition, as we have already indicated, although only one case is actually before us, the issuance of the writ in this case was predicated on condition in which no element of emergency was involved. We therefore prefer, in order to give our decision some practical value, to treat the work done as normal, and therefore performed in violation of Act No. 49.
We therefore hold that, in the absence of a specific statutory provision providing for double .pay for normal work in excess of the ninth hour, this court cannot rewrite Act No. 49 to create such an obligation.
The employer would also have us deny the worker’s right to recover pay at the ordinary rate for time worked in excess of the statutory minimum. On the theory that the laborers are in pari delicto with the employer, he seeks to persuade us that we should leave the parties where we find them. We therefore turn to the statute to determine if the .laborers are in pari delicto.
Act No. 49 provides in §1 that “No person shall be employed or shall be permitted to work” more than eight hours a day. At first blush it might seem, as the petitioner contends, that the phrase “or shall be permitted to work” is a prohibition directed at the conduct of the workmen. But when we examine the statute as a whole, and find that under §8 only the employer may be prosecuted for violations of the Act, and that the definition of an employer found in §4 includes managers and foremen, we conclude, particularly if we bear in mind that the purpose of the Act is in the first instance to benefit the workmen and through them the com
The petitioner nevertheless urges that even though it be held that the workmen are not strictly speaking in pari delicto with their employers, no recovery should be had herein by the employees. We therefore examine this contention next.
The civil and the common law unite in holding that, generally speaking, illegal bargains are void and that a contract made in violation of a statute is contrary to public policy and cannot be enforced by either party. (Section 1227, Civil Code, 1930 ed.; Restatement, Contracts, §598; 5 Williston on Contracts, Revised Ed., §1630.) But once more, as so often in the law, we find a general proposition which does not automatically produce the answer to a particular problem. It may be readily admitted that the courts would not enforce an executory contract of employment, the terms of which provided for commission of a crime by the employer in violation of Act No. 49. But we are not concerned here with enforcement of an illegal contract. In the instant case the contract, assuming it once existed, has been fully performed on one side. Are we under those circumstances to leave the parties as we find them, or are we to permit the workman to recover the value of services which he has rendered to an employer who has paid nothing for them?
The statute itself does not furnish an explicit answer to this question. The Legislature might have taken the drastic step of barring recovery. Or it might have provided specifically that the criminal liability of the employer would not
The various facets of the problem of illegal bargains and the fruits thereof do not always fit into the same tight category. The courts in continental United States have wisely refused to apply a rigid rule of law and to reach the same mechanical result in every case. Different facts and varying considerations of policy frequently produce different answers. The annotation found at 120 A.L.R. 1461 points out that “The general rule that neither party to an illegal transaction may take any proceeding against the other for the restoration of property or for the repayment of money transferred or paid in the course of the transaction is subject to an exception in favor of persons for whose protection the law made the transaction illegal”. For example, a borrower cannot be heard to say that a bank has exceeded the statutory limit in making a loan to him (Gold-Mining Co. v. National Bank, 96 U. S. 640); a bank director can be sued by a bank for a loan made to him, although it is a criminal offense for a director to borrow from a bank (Lester v. Howard Bank, 33 Md. 558); a milk dealer who commits a crime by failing to obtain a license to sell milk may nevertheless recover from the purchaser the value of the milk sold by him (John E. Rosasco Creameries, Inc. v. Cohen, 11 N. E. (2d) 908 (N. Y., 1937). To the same effect, Smith v. Bach, 183 Cal. 259; Washington County v. Frochlich Mercantile Co., 223 N.W. 575 (Wisc., 1929); Rosenberg v. Hano, 121 F. (2d) 818, 22 (C.C.A. 3rd, 1941); First Federal Sav. & Loan Ass’n v. Ansell, 41 N. E. (2d) 420 (Ohio, 1941); Ore
Ҥ 601. Recover on an Illegal Bargain Because of tlie Effect of Refusal.
“If refusal to enforce or to rescind an illegal bargain would produce a harmful effect on parties for whose protection the law making the bargain illegal exists, enforcement or rescission, whichever is appropriate, is allowed.”
We recognize that some of these authorities do not squarely meet the problem in this case. To ameliorate the harsh results of strict application of the “void for illegality” rule, the courts in'those cases have talked in terms of “collateral illegality” and “new and independent considerations”; in other cases they have asserted that “if a plaintiff can establish his ease without directly relying on the illegality, then he can recover”. None of those formulae apply directly to the facts herein, although they could be utilized to explain how we upheld a prosecution for embezzlement of money originally collected on an illegal lottery (The People v. Medina, 19 P.R.R. 676), and how we permitted recovery of money deposited by a plaintiff with a defendant even though the money represented the fruits of an illegal contract in which the parties had jointly participated (González v. Ortiz, 17 P.R.R. 563). We note in passing that the statement in the Medina case at p. 677 that “the rule is well settled that in lottery transactions, as in all unlawful contracts generally, the courts will leave the parties where it found them and will not lend its aid either to enforce or rescind the contract” is not decisive herein, as we are confronted not with an executory contract but with one fully pel-formed on one side.
We come somewhat closer to the instant case, although no element of criminality was involved, when we examine
Admitting that the employees herein require the aid of the illegal transaction to sustain their case, we come to the problem raised in the instant ease by the claim of the workers for ordinary pay for the illegal overtime for which they have received no compensation. As Gellhorn points out in Contracts and Public Policy, 35 Col. L. Rev. 679, 82, Legislatures, when adopting penal statutes, have rarely had in mind the problems of contract law that may thereafter arise. Their attitude has been that if they make something a crime, that thing will promptly disappear. When, contrary to expectation, such anti-social activities have not vanished forthwith, the courts, in view of the silence of the Legislature, have been faced with the necessity of determining — and have reached divergent conclusions — “as to whether the legislature ‘intended’ contracts to be treated as void when they ran
We recognize that Lewis v. Ferrari, 90 P.(2d) 384 (Calif., 1939), Short v. Bullion-Bech & Champion Min. Co., 57 Pac. 720 (Utah, 1899), Martínez v. Johnson, 119 P. (2d) 880 (Nev., 1941), Montgomery Ward & Co. v. Luch et al., 52 S. W. (2) 1110 (Tex., 1932), and Glendale v. Dixon, 75 P. (2d) 683 (Ariz., 1938), have, in situations like the instant case, denied the worker the right to recover for overtime. Under some of the statutes involved in those cases the employee was equally guilty of crime; in others he was not.
There is no infallible answer to this question. Our Legislature, apparently believing, as Gellhorn points out, that making an act a crime eliminates all possibility of future commission of such acts, was silent on the question. The above-cited cases would deny recovery because the “Plaintiff concurred in an illegal act. Defendant committed an offense, and plaintiff aided and abetted its commission .... The statute could not have been violated in this case without plaintiff’s cooperation. To permit her to recover under such circumstances would allow her to take advantage of her own wrong in encouraging a crime which tended to thwart a benevolent legislative design” (Martínez v. Johnson, supra, at p. 882).
The other point of view is expressed by the dissenting opinion in the Short case at p. 725: “To deny the right of the plaintiff to recover the reasonable value of the extra labor performed at the request of the defendant, is to punish him whom the legislature intended to protect by said act, and reward the culpable party for an extortion which the act was passed to prevent.”
In denying recovery, some of the cases rest their holding, at least in part, on the ground that the “plaintiff and defendant were on contractual parity”. (Martínez v. Johnson, supra, p. 863). But the very theory on which legisla
Much is made by the petitioner of the fact that Act No. 49 was upheld as constitutional in M. Taboada v. Rivera Martínez, supra, on the ground that the Act was not class legislation but was designed to benefit all concerned, employers, employees, and the community as a whole. With that as a premise, the petitioner 'argues that to permit any recovery whatsoever for time worked in excess of nine hours - — -not, be it noted, double pay for this extra time, but even ordinary pay — would'defeat the purposes of the Act (a) to preserve the health of workmen and (b) to spread employment, and would by judicial legislation convert the statute, contrary to the will of the Legislature, into a statute merely providing for overtime pay, thereby robbing the employed
It is familiar doctrine tó refer to statutes such as Act No. 49 as designed to benefit the community as a whole. But this does not mean that the particular worker’s rights are not given prime consideration by the courts. What that language means is that when workers, who are an important part of the community, are decently paid and are kept healthy, together with the widest possible distribution of employment, the results of such a pattern of paternalistic ■legislation, although specifically directed to aid particular workers, redound to the benefit of the community as a whole.
It must be confessed that permitting the workmen to recover herein will not in and of itself advance the avowed public policy of Act No. 49 to insure healthy workmen and to spread employment. But the courts must take the facts as they find them. And in the instant case we are informed by all the parties that thousands of cases similar to the present case are pending. We are therefore not in the situation of the courts which have asserted that “It is far more important to labor from a standpoint of health and the division of work that the eight-hour law be preserved than it is that an occasional violator of it be permitted to recover for the time he spends in transgressing it. One who works more than 8 hours a day when no emergency exists not only defeats the law so far as it per-tains to health but deprives some other person of the opportunity to work the extra hours and earn a living for himself and his family”. (Glendale v. Dixon, supra, at p. 684; Italics ours). We cannot be unmindful of the factual situation confronting us.. In one breath the employer tells us that to permit recovery herein would be to grant relief in thousands of suits against small,
G-ellhorn at p. 688 of the article cited above criticizes adversely the doctrine laid down in the Short and kindred cases. Yet we recognize that all the cases to which our attention has been called are in accord with the Short case, except Turney v. J. H. Tillman Co., 228 P. 933 (Ore., 1924), another Oregon case following the Turney case (Pederson v. City of Portland, 24 P. (2d) 1031 (Ore., 1933)), and, on this particular question, Thibault v. National Tea Co., 269 N. W. 466 (Minn., 1936). Nevertheless, although for reasons already noted, we are unable to follow the Turney case in its holding that the workers are entitled to recover double pay for work in excess of the ninth hour, we agree, as to the suit for ordinary pay for such work, that “It would be depleting the statute of its meaning and defeat its purpose if such a construction should be given to the law that would prevent the laborer from collecting for work in excess of eight hours per day, although the employer might violate the statute in requiring such work. Ordinarily the offending party should not be allowed to take advantage of its own wrong in order to escape liability.” (Turney v. J. H. Tillman Co., supra, at p. 935).
We emphasize that we do not quarrel with the holding in the above-cited cases that a contract for such overtime work is against public policy and will not be enforced by the courts. We part company with them when they likewise conclude that even after full execution of the contract by the worker, public policy also demands, in spite of the silence of the Legislature on the subject, that the fruits of his efforts shall remain in the hands of the employer rather than be restored to the workman for whose benefit the s'tatute was in the first instance enacted.
The employer could perhaps argue that the Montaner case is distinguishable under cases already considered in that the question of workman’s compensation was collateral to the illegal contract of employment, and that the case therefore did not hold that a child who worked under such illegal conditions could thereafter recover his wages. But this court specifically said in the Montaner case, whether it be called dictum or not, that (p. 66) “Both the punishment (see §19) and limitation are directed at the employer. The contract of employment may be enforced by the child with respect to earned wages.
Traders & General Ins. Co. v. Rogers, 119 S. W. (2d) 679 (Tex., 1938) held that an employee who worked in a restaurant without obtaining the doctor’s certificate required
We are unable to distinguish on the matter before us between the public policies involved in prohibiting child labor and in prohibiting excessive adult labor. Both groups are under the protective arm of the government, If one mav recover for such illegal work, the other should be given the same right. Williston takes this position as a general proposition. “If a plaintiff though culpable has not been guilty .of moral turpitude, and the loss he will suffer by being denied relief is wholly out of proportion to the requirements either of public policy or of appropriate individual punishment, he may be allowed to recover back the consideration with which he has parted.” (6 Williston on Contracts, Rev. ed., §1789). The Restatement, Contracts, §604, is even clearer. “Recovery by a Party Not in Pari Delicto. Where the parties to an illegal bargain, though both blameworthy, are not in pari delicto, and one of them has not been guilty of serious moral turpitude, he can. repudiate the bargain, and if he has rendered any performance thereunder, recover it or its value.”
Although the analogy is not a perfect one, we note that this court has been willing to prevent unjust enrichment to import into the civil law the doctrine of constructive trusts. Ruiz v. Ruiz, 61 P.R.R. 794, decided April 28, 1943. See 51 Harv. L. Rev. 929, 30. We should do as much for workmen who have worked without compensation. We need not accept the invitation of the employers to make an extensive excursion into semantics in order to assert that there is unjust enrichment of an employer whose employees work without compensation.
In addition to the foregoing considerations which have led us to the conclusion that a reasonable construction of Act No. 49 and the public policy embodied therein impel us to hold that the worker is entitled to recovery at the ordinary rate for the extra hours which he has worked beyond the ninth hour, we believe that §1257 of our Civil Code is applicable to this situation. That Section, referring to nullity of contracts, reads as follows:
“When the nullity arises from the illegality of the consideration or the object of the contract, if the fact constitutes a crime or misdemeanor common to both contracting pai'ties, they shall have no action against each other and proceedings shall be instituted against them, and furthermore, the things or sum which may hav'e been the object of the contract shall be applied as prescribed in the Penal Code with regard to the goods or instruments of the crime or misdemeanor.
. “This provision is applicable to the case in which there is a crime or misdemeanor on the part of only one of the contracting parties; but the one who is not guilty may recover what he may have given, and shall not be bound to fulfill what he may have promised. ’ ’
Belying on several cases decided by this court, the petitioner next asserts that the complaints herein do not state
There is, however, no escape from the fact that in a subsequent ease, Agosto v. Woods, 13 P.R.R. 356, quoting Garcia v. Cañada as a precedent, this court clearly held without qualification that in a suit for compensation for services a complaint is defective if it does not allege either (p. 361) “the existence of a certain agreed price” or that (p. 362) “the price of the services is recognized by custom and frequent usage in the place where such services were rendered”. To the same effect, Ledesma v. Araujo, 15 P.R.R. 234, 38.
Nevertheless, in the most recent case on this subject, on facts almost identical to those found in Agosto v. Woods this court did not categorically rule that in the absence of a certain agreed price or customary rate, there could be no recovery for services rendered. We said in Ex parte Capó, 59 P.R.R. 891, at p. 894 that “Even conceding, without holding, that the claimant was entitled to recover the just and reasonable value of his services, we would always have to
We are not called on in this case to reexamine the rule-laid down in the cases just discussed. All of them, except Ex parte Capó, were decided in the early 1900’s, many years prior to the enactment of Act No. 49 of 1935. That statute was enacted in the light of more modern conditions. It is obvious that it has a different direction and purpose than the earlier Code provisions. In many instances its terms-override even specific agreements. Whether it also supplies specific terms of a. labor contract where such terms are-lacldng, is a question we need not be concerned with here. It is sufficient for our purposes to point out that the cases cited are not controlling herein because a specific contract for work at $1.68 a day is alleged in this case. "We take this to mean that the employees contend that their contract as a matter of fact was for 8 hours at $1.68. The employees then allege further that they worked four extra hours per day and pray for double pay therefor by virtue of the provisions of Act No. 49. Although we have held that Act No. 49 does not specifically provide that time worked in excess of nine hours must be compensated for at double the ordinary rate, a wholly different situation obtains with reference to the claim for pay at the ordinary rate for those extra hours. Without determining in detail to what extent, if any,, the rule of Agosto v. Woods has been modified by Act No. 49 and other statutes, we are satisfied that, even under the original rule, an allegation of a contract or of customary pay at a specified rate of pay is a sufficient allegation to enable recovery at that same rate of pay for time worked beyond the contract or customary time. And if the matter of nicety of pleading is raised, it must be remembered that these cases originated in the Municipal' Court by virtue of complaints signed by the workmen alone, and that §6 of
The final proposition of the petitioner is that there is a presumption that laws are complied with, and in the absence of any allegation to the contrary in the complaint, we should presume that the defendant, by paying $1.68 per day, has already paid not only the ordinary rate, but even double the ordinary rate, for all hours worked over eight in any one day. A complete answer to this contention is found in Warren-Bradshaw Co. v. Hall, 317 U. S. 88, involving the Pair Labor Standards Act, at p. 93:
“One final-.contention merits but slight consideration. Respondents were employed on the basis of an eight hour day and regularly-worked seven days a week, receiving fixed wages ranging from $6.50 to $11 per day. There was no agreement providing for an hourly rate of pay or that the weekly salary included additional compensation for overtime hours. Petitioner urges that it complied with the overtime compensation requirements of the Act because respondents received wages in excess of the statutory minimum wage, including time and one-half of that minimum wage for all overtime hours, which wages respondents impliedly agreed included overtime compensation by accepting them. A similar argument was squarely rejected in Overnight Motor Co. v. Missel, 316 U. S. 572.”
In the Overnight Motor Co. case, the problem was treated as follows at p. 581:
“Petitioner invokes the presumption that contracting parties contemplate compliance with law and contends that accordingly there is no warrant for construing the contract as paying the employee only his base pay or 'regular rate,’ regardless of hours worked. It is true that the wage, paid was sufficiently large to cover both base pay and fifty per cent additional for the hours actually worked over the statutory maximum without violating section six. But there was no contractual limit upon the hours which petitioner could have, required respondent to work for the agreed wage, had he seen fit to do so, and no provision for additional pay in the event the hours worked required minimum compensation greater than the fixed wage. Implication cannot mend a contract so deficient in complying with the law.Page 92This contract differs from the one in Walling v. Belo Corp., post, p. 624, where the contract specified an hourly rate and not less than time and a half for overtime, with a guaranty of a fixed weekly sum, and required the employer to pay more than the weekly guaranty where the hours worked at the contract rate exceeded that sum.”
When the Overnight Motor Co. case is read together with Walling v. Belo Corp., 316 U. S. 624, it becomes clear that the actual minimum rate per hour is a matter of fact, depending on the agreement between the parties or the governing custom. As the Court points out in the Belo Corp. case (p. 631-2) “In its initial stage the question to which this dispute gives rise is a question of law, a question of interpretation of the statutory term ‘regular rate’. But it is agreed that as a matter of law employer and employee may establish the ‘regular rate’ by contract. . . . The question remains whether the $40 [agreed weekly rate in that case; $1.68 agreed daily rate in our case] contemplates compensation for overtime as well as basic pay.” (Matter in brackets ours).
Wilson v. New, 243 U. S. 332, and Nelson v. St. Joseph & G. I. Ry. Co., 205 S. W. 870 (Mo. 1918) arose under the Adamson Act and are not applicable to the instant case. That Federal Act went further than Act No. 49, which simply provided that eight hours shall be a normal day’s work. Section 1 of the Adamson Act provided not only that “eight hours shall, in contracts for labor and service, be deemed a day’s work” but went on to provide that eight hours shall be ‘‘the measure or standard of a day’s work for the purpose of reckoning the compensation for services of all employees . . . , In the absence of a provision like the last clause, Act No. 49 is governed by the principle laid down in the Overnight Motor Co. and Belo. Corp. cases.
Under the Fair Labor Standards Act the contract or customary rate cannot be less than the minimum therein provided. But, as already noted, Act No. 49 provided no min-
Indeed, even if we went the whole way with the employees and held that Act No. 49 specifically provides for double pay for all hours worked in excess of eight hours in any one day, such a ruling might be a teasing allusion. Act No. 49 is not a minimum wage statute, and we cannot torture it into one. Any rights thereunder could therefore be made illusory without a minimum wage rate, obtained by legislation or collective bargaining. This is because, as already noted, there is nothing in Act No. 49 to prevent an employer from setting a low wage, which is doubled for overtime. Again we repeat that this should not be construed to mean we are holding
We are aware of the difficulties which may arise in the effort to determine if the compensation originally paid covered all extra hours worked. We can only repeat that the situation herein is not of our making, and that the remedy therefor is not within our province.
In view of our holding that employees are entitled under Act No. 49 to double pay for the ninth hour of work during any natural day and ordinary pay for work in excess of nine hours, the writ of prohibition will be discharged and the case remanded to the lower court for further proceedings not inconsistent with this opinion.
1.
(1)“We deem it desirable to insist respectfully before the Senate that House Bill No. 2 be passed, exactly as it -was approved by the House of Bepresentatives, if the intention to piomote the plan of constructive reforms and measures tending to absorb part of the unemployed really exists.
“The International Labor Congress has just established the forty-hour week, and the universal tendency as a means of reducing unemployment is to limit Working hours everywhere. ’ ’
Minutes of the Senate of Puerto Bico, 1935, pp. 1212, 1213.
“Limitations of -the workday is more favorable to industry than to the workman, because it provides him adequate rest and hence enables him from the human point of view to render more efficient service in his respective industry.
“It is our aim, and we shall constantly demand it from the Legislature, that hours of work in Puerto Bico be reduced in such a way as to enable industry to take care of a large portion of -the unemployed, which is more than 375,000 persons. ”
Minutes of the House of Bepresentatives of Puerto Bico, 1935, p. 1359.
“In almost any movement in which agricultural workers have participated in order to improve living and working conditions, the first demand has been for an eight-hour day, which has seldom been achieved, and even if it has been frequently included in documents settling strikes, it has always been a dead letter due to lack of necessary inspection and of legal regulations which would result in the enforcement of such agreements. If the present bill becomes a law, it will be unnecessary, as soon as it goes into effect, to demand an eight-hour day
“It lias been ascertained that at present the workmen affected have been working at least twelve hours a day during seven days a week, and it is not difficult for any person who observes and studies with detachment the provisions of this bill to reach the conclusion that it constitutes a great improvement and conquest worth bearing in mind and protecting, for as soon as the act becomes effective, nobody'will be under the obligation of working more than eight hours a day, and cannot do so even voluntarily, unless emergencies declared as set forth in the law, exist.
“If the bill in question should become the law on the matter in this Island, the working classes will have acquired what has cost so many lives and might continue to so cost, if we had not, by passing the bill in the manner the Senate has definitely passed it, disposed of the most difficult demand of the workmen in their struggle for better living conditions and wider opportunities for work.
Minutes of the Senate of Puerto Bieo, 1935, pp. 1336-1340.
2.
(2)It is perhaps not necessary to add that any references 'to Act No. 8’ of 1941 in this opinion have been simply by way of example. It would not be appropriate for us in this case to pass on the seope or validity of that statute or any provision thereof.