Example of Indispensable Party

An indispensable party is one who has an interest in the controversy or subject matter and in whose absence there can be no effective, complete or equitable determination between those already parties in court.
So, when the facilities of a corporation, including its nationwide franchise, has been transferred to another corporation by operation of law during the time of the alleged delinquency, the former cannot be ordered to pay as it is not the proper party to the case. In this case, the transferees are certainly the indispensable parties to the case that must be necessarily included before the proceeding may validly go forward. (National Power Corporation v. Provincial Government of Bataan).