Administrative Law is the branch of public law that governs the organization, powers, duties, and functions of administrative agencies. In the Philippine legal system, it serves as the mechanism by which the executive branch implements and enforces laws. Often referred to as the "branch of the law that controls the government," it ensures that the exercise of state power remains within the bounds of the Constitution and statutory authority.

1. Nature and Scope of Administrative Agencies

Administrative agencies are bodies created by the Constitution or by statute to perform specific governmental functions. They are often described as the "Fourth Branch of Government" because, while technically under the Executive department, they exercise powers that are legislative and judicial in nature.

The primary rationale for their existence is the increasing complexity of modern society. Congress cannot possibly legislate on every minute detail of governance (e.g., frequency of radio waves, safety standards for nuclear plants, or minimum wage adjustments), so it delegates these technical tasks to specialized bodies.

The Administrative Code of 1987 (Executive Order No. 292)

This is the foundational statute that provides the general structure, procedures, and rules for the Philippine bureaucracy. It outlines the relationship between the President and the various departments, bureaus, and offices.

2. The Delegation of Powers

The Philippine Constitution adheres to the Doctrine of Separation of Powers. Under the maxim Delegata potestas non potest delegari (what has been delegated cannot be further delegated), the legislative power is vested in Congress. However, "delegated legislation" to administrative agencies is permitted, provided it passes two essential tests:

The Completeness Test: The law must be complete in all its terms and conditions when it leaves the legislature so that nothing is left to the judgment of the delegate except the execution of it.
The Sufficient Standard Test: The law must provide a "standard"—a yardstick or a map—to trace the limits of the delegate’s authority and prevent the exercise of arbitrary power.

3. Powers of Administrative Agencies

Administrative agencies generally exercise three types of powers:

A. Quasi-Legislative (Rule-Making) Power

This is the power to issue rules and regulations to implement a statute. For an administrative rule to be valid, it must:

Be issued within the scope of the authority granted by law.
Not contradict the Constitution or the enabling statute.
Be reasonable.
Publication Requirement: Under the Civil Code and the Administrative Code, rules must be published (usually in the Official Gazette or a newspaper of general circulation) and filed with the Office of the National Administrative Register (ONAR) at the UP Law Center to be effective.

B. Quasi-Judicial (Adjudicatory) Power

This is the authority to hear and determine questions of fact or involve the discretion of the agency in settling disputes.

Administrative Due Process: As established in the landmark case Ang Tibay v. Court of Industrial Relations, due process in administrative proceedings requires:
1. The right to a hearing.
2. The tribunal must consider the evidence presented.
3. The decision must have support (evidence).
4. The evidence must be substantial.
5. The decision must be based on the record.
6. The tribunal must act on its own independent consideration of the law and facts.
7. The decision should let the parties know the issues and the reasons for the ruling.

C. Determinative Powers

Agencies also possess powers that are neither purely legislative nor judicial, such as:

Enabling powers (granting licenses).
Directing powers (issuing orders like "Cease and Desist").
Investigatory powers (subpoena power, though this must be expressly granted by law).

4. The Doctrine of Exhaustion of Administrative Remedies

This doctrine mandates that before a party can seek judicial intervention (filing a case in court), they must first avail themselves of all the means of administrative redress provided by law.

Rationale: To allow the agency to correct its own errors, to apply its specialized expertise, and to prevent the unnecessary clogging of court dockets.

Exceptions to the Doctrine:

Courts may take cognizance of a case even without exhaustion if:

The issue is a purely legal question.
The administrative action is patently illegal or uttered without jurisdiction.
There is irreparable injury.
The respondent is a Department Secretary (Doctrine of Qualified Political Agency/Alter Ego Principle).
Exhaustion would be futile.

5. Doctrine of Primary Jurisdiction

Under this doctrine, courts will not determine a controversy involving a question which is within the jurisdiction of an administrative tribunal, especially where the determination depends upon the exercise of sound administrative discretion or specialized knowledge. Even if the court has concurrent jurisdiction, it must yield to the agency's expertise.

6. Judicial Review of Administrative Actions

The "Finality" of an administrative decision does not preclude judicial review. The Supreme Court has the "expanded jurisdiction" under the Constitution to determine whether there has been a grave abuse of discretion amounting to lack or excess of jurisdiction on the part of any branch or instrumentality of the Government.

Standards of Review:

Questions of Law: Courts can fully review and overrule an agency's interpretation of the law.
Questions of Fact: Courts generally respect the factual findings of administrative agencies if they are supported by Substantial Evidence. Substantial evidence is defined as "such relevant evidence as a reasonable mind might accept as adequate to support a conclusion." It is a lower burden of proof than "preponderance of evidence" (civil) or "proof beyond reasonable doubt" (criminal).

7. The Doctrine of Qualified Political Agency

Also known as the "Alter Ego Principle," this doctrine holds that the different executive departments are mere assistants and agents of the Chief Executive. Therefore, the acts of a Department Secretary, performed in the regular course of business, are presumptively the acts of the President unless disapproved or reprobated by the latter. This is why an appeal to a Secretary is often considered the final step in exhausting administrative remedies before going to the Court of Appeals or the Supreme Court.