II. Essay 1. Ivana Alawi a very popular movie star, was under contract with "Jireh" Movie Productions to star exclusively in the latter's films for two years. "Ivana Alawi" was prohibited by the contract to star in any film produced by another producer. "Alimon" Film. Co. induced "Ivana Alawi" to break her contract with 'Jireh" Movie Productions by giving her twice her salary. 'Jireh" Movie Productions sued "Alimon" Film Co. for damages. "Alimon" Film Co. contended that it had a right to compete for the services of "Ivana Alawi." and that her contract with "Jireh" Movie Productions was in restraint of trade and a restriction on her freedom to contract.

Is the contention of Alimon" Film Co correct? Explain. (20pts.) 2. X Co. hired A to become manager of the company. In the contract of employment, there is a stipulation that after the termination of the contract, he shall be entitled to a bonus "as the Board of Directors may see fit to grant." After five years, when the contract was finally terminated, the Board of Directors of the company granted to A bonus of only P100,000.00. Not satisfied with the amount, the latter brought an action against the company, contending that the stipulation found in the contract of employment violates the principle enunciated in Art. 1308 of the NCC that the validity of or compliance with a contract cannot be left to the will of one of the contracting parties. Is the manager correct? If you were the judge how would you decide the case. (30pts.)