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Issues: (i) Whether the agreement among the legal representatives of the deceased educational agency was binding despite allegations of fraud, coercion, and threat; (ii) whether the death of the individual educational agency automatically converted the school into a corporate educational agency or prevented the majority of legal representatives from appointing a Manager; (iii) whether the fifth respondent was disqualified from being appointed Manager on the grounds of illiteracy and physical incapacity.
Issue (i): Whether the agreement among the legal representatives of the deceased educational agency was binding despite allegations of fraud, coercion, and threat.
Analysis: An agreement said to have been obtained by fraud, coercion, or threat is not void ab initio but is voidable at the option of the aggrieved party. Until it is set aside by competent civil proceedings, it remains operative and binding. A party cannot ignore such an agreement in collateral proceedings merely by alleging invalidity.
Conclusion: The agreement remained binding on the petitioner, and the contention that it could be ignored was rejected.
Issue (ii): Whether the death of the individual educational agency automatically converted the school into a corporate educational agency or prevented the majority of legal representatives from appointing a Manager.
Analysis: On the death of the individual educational agency, the right of management devolved on all legal representatives. Under the applicable educational rules, an individual educational agency continues where the right is vested in the legal representatives of the deceased, unless a corporate educational agency is duly constituted in the manner recognized by law. A majority arrangement among the legal representatives could govern management until such conversion was approved. Decisions of educational authorities on such civil disputes do not extinguish the parties' remedy before a civil court.
Conclusion: The majority of legal representatives could validly appoint the Manager, and the death of the original agency did not by itself create a corporate educational agency.
Issue (iii): Whether the fifth respondent was disqualified from being appointed Manager on the grounds of illiteracy and physical incapacity.
Analysis: The educational authority had to be satisfied that the proposed Manager met the statutory requirements of literacy, solvency, and interest in educational matters. The materials accepted by the authority showed literacy, and mere physical disability did not amount to a legal disqualification if mental capacity to manage existed. No material showed mental unfitness.
Conclusion: The disqualification objections were rejected and the appointment was upheld.
Final Conclusion: The challenge to the approval of the fifth respondent as Manager failed, and the orders of the educational authorities were left undisturbed. The connected request to take over the school management also failed.
Ratio Decidendi: A voidable agreement governing school management remains binding until set aside by civil court, and the educational authority may act on the majority decision of the legal representatives of a deceased individual educational agency unless and until a valid corporate educational agency is constituted.
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