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    Republic of the Philippines

    SUPREME COURT

    Manila

    EN BANC

    G.R. No. L-13667 April 29, 1960

    PRIMITIVO ANSA, ETC., ET AL., plaintiffs-appellants,

    vs.

    T!E "OAR# O$ #IRECTORS O$ T!E NATIONAL #EVELOPMENT COMPAN, ET

    AL., defendants-appellees.

    Celso A. Fernandez for appellants.

    Juan C. Jimenez, for appellees.

    PARAS,C. J 

    .%

    On July !, "#!$, appellants filed a%ainst appellees in the Cou&t of 'i&st (nstance of Manila a

    co)plaint p&ayin% fo& a *+ Ch&ist)as bonus fo& the yea&s "#! and "#!!. he cou&t a quo on

    appellees )otion to dis)iss, issued the follo/in% o&de&0

    Conside&in% the )otion to dis)iss filed on "! Au%ust, "#!$, set fo& this )o&nin%1 conside&in%

    that at the hea&in% the&eof, only &espondents appea&ed th&u counsel and the&e /as no

    appea&ance fo& the plaintiffs althou%h the cou&t /aited fo& so)eti)e fo& the)1 conside&in%,

    ho/eve&, that petitione&s have sub)itted an opposition /hich the cou&t /ill conside& to%ethe&

    /ith the a&%u)ents p&esented by &espondents and the E2hibits )a&3ed and p&esented,

    na)ely, E2hibits " to !, at the hea&in% of the )otion to dis)iss1 conside&in% that the action inb&ief is one to co)pel &espondents to decla&e a Ch&ist)as bonus fo& petitione&s /o&3e&s in

    the National 4evelop)ent Co)pany1 conside&in% that the Cou&t does not see ho/ petitione&s

    )ay have a cause of action to secu&e such bonus because0

    5a6 A bonus is an act of libe&ality and the cou&t ta3es it that it is not /ithin its 7udicial po/e&s to

    co))and &espondents to be libe&al1

    5b6 Petitione&s ad)it that &espondents a&e not unde& le%al duty to %ive such bonus but that

    they had only as3 that such bonus be %iven to the) because it is a )o&al obli%ation of

    &espondents to %ive that but as this Cou&t unde&stands, it has no po/e& to co)pel a pa&ty to

    co)ply /ith a )o&al obli%ation 5A&t. ", Ne/ Civil Code.6.

    (N 8(E9 9:EREO', dis)issed. No p&onounce)ent as to costs.

     A )otion fo& &econside&ation of the afo&e-;uoted o&de& /as denied. :ence this appeal.

     Appellants contend that the&e e2ists a cause of action in thei& co)plaint because thei& clai) &ests on

    )o&al %&ounds o& /hat in b&ief is defined by la/ as a natu&al obli%ation.

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    Republic of the Philippines

    SUPREME COURT

    Manila

    '(R

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    /as filed, until said a)ount is paid1 5b6 the su) of P!D$.** e;uivalent to ten 5"*+6 of 

    the total clai) by /ay of atto&neys fees and incidental e2penses plus inte&est at the

    le%al &ate as of

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    )e&ely ba&s the &e)edy and does not discha&%e the debt, the&e is so)ethin% )o&e than a

    )e&e )o&al obli%ation to suppo&t a p&o)ise, to /it a F p&e-e2istin% debt /hich is a

    sufficient conside&ation fo& the ne/ the ne/ p&o)ise1 upon this sufficient conside&ation

    constitutes, in fact, a ne/ cause of action. 3

    ... (t is this ne/ p&o)ise, eithe& )ade in e2p&ess te&)s o& deduced f&o) an

    ac3no/led%e)ent as a le%al i)plication, /hich is to be &e%a&ded as &eani)atin% the old

    p&o)ise, o& as i)pa&tin% vitality to the &e)edy 5/hich by lapse of ti)e had beco)e

    e2tinct6 and thus enablin% the c&edito& to &ecove& upon his o&i%inal cont&act. &

    :o/eve&, the cou&t a quo held that in si%nin% the p&o)isso&y note alone, &espondent Confeso&

    cannot the&eby bind his /ife, &espondent Jovita 8illafue&te, citin% A&ticle "$$ of the Ne/ Civil Code

    /hich p&ovides0

     A&t. "$$. @nless the /ife has been decla&ed a non compos mentis o& a spend th&ift,

    o& is unde& civil inte&diction o& is confined in a lep&osa&iu), the husband cannot

    alienate o& encu)be& any &eal p&ope&ty of the con7u%al pa&tne&ship /ithout, the /ifes

    consent. (f she ay co)pel he& to &efuses un&easonably to %ive he& consent, the cou&t) %&ant the sa)e.

    9e disa%&ee. @nde& A&ticle "$! of the Civil Code, the husband is the ad)inist&ato& of the con7u%al

    pa&tne&ship. As such ad)inist&ato&, all debts and obli%ations cont&acted by the husband fo& the

    benefit of the con7u%al pa&tne&ship, a&e cha&%eable to the con7u%al pa&tne&ship. 8 No doubt, in this

    case, &espondent Confeso& si%ned the second p&o)isso&y note fo& the benefit of the con7u%al

    pa&tne&ship. :ence the con7u%al pa&tne&ship is liable fo& this obli%ation.

    9:ERE'ORE, the decision sub7ect of the petition is &eve&sed and set aside and anothe& decision is

    he&eby &ende&ed &einstatin% the decision of the City Cou&t of (loilo City of 4ece)be& D, "#D$,

    /ithout p&onounce)ent as to costs in this instance. his decision is i))ediately e2ecuto&y and no

    )otion fo& e2tension of ti)e to file )otion fo& &econside&ation shall be %&anted.

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    Republic of the Philippines

    SUPREME COURT

    Manila

    /ithin ten yea&s f&o) and afte& date of si%nin% of the co)p&o)ise a%&ee)ent>,

    as conside&ation fo& his se&vices.

    9ithin the Pe&iod allo/ed by the &ules, the defendants filed sepa&ate )otions to dis)iss alle%in%

    th&ee (dentical %&ounds0 5"6 As &e%a&ds that i)p&ove)ents )ade by plaintiff, that the co)plaint states

    no cause of action, the a%&ee)ent &e%a&din% the sa)e havin% been )ade by plaintiff /ith the

    4eudo&s and not /ith the defendants, hence the theo&y of plaintiff based on A&ticle " of the Code

    on un7ust en&ich)ent is untenable1 and 56 anent the alle%ed a%&ee)ent about plaintiffs se&vices as

    inte&)edia&y in conside&ation of /hich, defendants p&o)ised to convey to hi) =,*** s;ua&e )ete&s

    of land, that the sa)e is unenfo&ceable unde& the

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    about it, and, in any event, 5=6 that the action of plaintiff to co)pel such conveyance has al&eady

    p&esc&ibed.

    Plaintiff opposed the )otion, insistin% that A&ticle " of the applicable to his case1 that the

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    ;uinones. 'u&the&)o&e in o&de& that the alle%ed i)p&ove)ent )ay be conside&ed a

    lien o& cha&%e on the p&ope&ty, the sa)e should have been )ade in %ood faith and

    unde& the )ista3e as to the title. he Cou&t can ta3e 7udicial notice of the fact that the

    t&act of land supposedly i)p&oved by the plaintiff had been &e%iste&ed /ay bac3 in

    "#" in the na)e of the p&edecesso&s-in-inte&est of defendant J. M. uason H Co.,

    (nc. his fact is confi&)ed in the decision &ende&ed by the

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    ((. :A REAR4(N PA(N(''< CA(M O8ER :E =,***

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    that defendants a&e nonetheless liable since they a&e utili?in% and en7oyin% the

    benefits of said i)p&ove)ents. hus unde& pa&a%&aph "$ of >he co)plaint, it is

    alle%ed0

    5"$6 hat the se&vices and pe&sonal e2penses of plaintiff )entioned in

    pa&a%&aph D he&eof /e&e &ende&ed and in fact paid by hi) to i)p&ove,as they in fact &esulted in conside&able i)p&ove)ent of the !*

    ;uinones, and defendants bein% no' in possession of and utilizin%

    said improvements should &ei)bu&se and pay plaintiff fo& such

    se&vices and e2penses.

    Plaintiffs cause of action is p&e)ised inter alia, on the theo&y of un7ust en&ich)ent

    unde& A&ticle " of the civil Code0

     AR. ". Ce&tain la/ful volunta&y and unilate&al acts %ive &ise to the

     7u&idical &elation of ;uasi-cont&act to the end that no one shill be

    un7ustly en&iched o& benefited at the e2pense of anothe&.

    (n li3e vein, A&ticle "# of the sa)e Code en7oins that0

     AR. "#. Eve&y pe&son )ust, in the e2e&cise of his &i%hts and in the pe&fo&)ance of

    his duties, act /ith 7ustice, %ive eve&y-one his due and obse&ve honesty and %ood

    faith.

    9e &espectfully d&a/ the attention of this :ono&able Cou&t to the fact that AR(CE

    " 5

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    222 222 222

    On the issue of statute of f&aud, the Cou&t believes that sa)e is

    applicable to the instant Case, he alle%ation in pa&. " of the

    co)plaint states that the defendants p&o)ised and a%&ee to cede,

    t&ansfe& and convey unto the plaintiff, =,*** s;ua&e )ete&s of land inconside&ation of ce&tain se&vices to be &ende&ed then. (t is clea& that

    the alle%ed a%&ee)ent involves an inte&est in &eal p&ope&ty. @nde& the

    p&ovisions of

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    "6. !(at in order to compl 'it( (is ot(er obli%ations under (is a%reement 'it(

    defendant companies, plaintiff had to confe& /ith the occupants of the p&ope&ty,

    e2posin% hi)self to physical ha&), convincin% said occupants to leave the p&e)ises

    and to &ef&ain f&o) &eso&tin% to physical violence in &esistin% defendants de)ands to

    vacate1

    hat plaintiff fu&the& assisted defendants& emploees in t(e actual

    demolition and transfer of all the houses /ithin the pe&i)ete& of the *

    ;uinones until the end of "#!!, /hen said a&ea /as totally clea&ed

    and the houses t&ansfe&&ed to anothe& a&ea desi%nated by the

    defendants as Capt. C&u? Bloc3 in Masa)bon%, Gue?on City. 5Pa&s.

    ", "= and ", Co)plaint1 E)phasis supplied6

    '&o) the fo&e%oin%, it is clea& then the a%&ee)ent bet/een the pa&ties )entioned in

    pa&a%&aph " 5supra6 of the co)plaint has al&eady been fully EEC@E4 ON ONE

    PAR, na)ely by the plaintiff. Re%a&din% the applicability of the statute of f&auds 5A&t.

    "*=, Civil Code6, it has been unifo&)ly held that the statute of f&auds (

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    /&itin% the&e is no palpable evidence of the intention of the

    cont&actin% pa&ties. he statute has been enacted to p&event f&aud.

    On the othe& hand the co))ission of f&aud in e2ecuted cont&acts is

    &educed to )ini)u) in e2ecuted cont&acts because 5"6 the intention

    of the pa&ties is )ade appa&ent by the e2ecution and 56 e2ecution

    concludes, in )ost cases, the &i%hts of the pa&ties. 5E)phasissupplied6

    @nde& pa&a%&aphs "= and " of the co)plaint 5supra6 one can &eadily see that the

    plaintiff has fulfilled A his obli%ation unde& the a%&ee)ent bet/een hi) defendants

    conce&nin% the =,*** s;. )s. ove& /hich the latte& had a%&eed to e2ecute the p&ope&

    docu)ents of t&ansfe&. his fact is fu&the& p&o7ected in pa&a%&aph "! of the co)plaint

    /he&e plaintiff states1

    "!6. hat in o& about the )iddle of "#$=, after all t(e conditions

    stated in para%rap( 01 (ereof (ad been fulfilled and full complied

    'it(, plaintiff de)anded of said defendants that they e2ecute the4eed of Conveyance in his favo& and delive& the title ce&tificate in his

    na)e, ove& the =,*** s;. )s. but defendants failed and &efused and

    continue to fail and &efuse to heed his de)ands. 5pa&. "!, co)plaint1

    E)phasis supplied6.

    (n vie/ of the fo&e%oin%, /e &espectfully sub)it that this :ono&able cou&t e&&ed in

    holdin% that the statute of f&auds is applicable to plaintiffs clai) ove& the =,*** s;.

    )s. he&e havin% been full pe&fo&)ance of the cont&act on plaintiffs pa&t, the sa)e

    ta3es this case out of the conte2t of said statute.

    2laintiff&s Cause of Action (ad N! 2rescribed3

    9ith all due &espect to this :ono&able cou&t, /e also sub)it that the Cou&t co))itted

    e&&o& in holdin% that this action has p&esc&ibed0

    O R 4 E R

    222 222 222

    On the issue of the statute of li)itations, the Cou&t holds that the

    plaintiffs action has p&esc&ibed. (t is alle%ed in pa&. ((( of the co)plaint

    that, so)eti)e in "#!, the defendants app&oached the plaintiff top&evail upon the 4eudo&s to ente& into a co)p&o)ise a%&ee)ent in

    Civil Case No. G-"=! and allied cases. 'u&the&)o&e, pa&s. "= and "

    of the co)plaint alle%ed that plaintiff acted as e)issa&y of both

    pa&ties in conveyin% thei& &espective p&oposals and counte&-p&oposals

    until the final settle)ent /as affected on Ma&ch "$, "#!= and

    app&oved by the Cou&t on Ap&il "", "#!=. (n the p&esent actin, /hich

    /as instituted on Janua&y , "#$, the plaintiff is see3in% to enfo&ce

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    the supposed a%&ee)ent ente&ed into bet/een hi) and the

    defendants in "#!, /hich has al&eady p&osc&ibed. 5at p. =, O&de&6.

    he p&esent action has not p&esc&ibed, especially /hen /e conside& ca&efully the

    te&)s of the a%&ee)ent bet/een plaintiff and the defendants. 'i&st, /e )ust d&a/ the

    attention of this :ono&able Cou&t to the fact that this is an action to co)peldefendants to e2ecute a 4eed of Conveyance ove& the =,*** s;. )s. sub7ect of thei&

    a%&ee)ent. (n pa&a%&aph " of the co)plaint, the te&)s and conditions of the

    cont&act bet/een the pa&ties a&e spelled out. Pa&a%&aph " 5b6 of the co)plaint

    states0

    5b6 hat as of date of si%nin% t(e compromise a%reement , plaintiff

    shall be the o/ne& of the =,*** s;. )s. but the docu)ents evidencin%

    his title ove& this p&ope&ty shall be e2ecuted and delive&ed by

    defendants to plaintiff 'it(in ten 4056 ears from and after date of

    si%nin% of t(e compromise a%reement . 5E)phasis supplied6.

    he co)p&o)ise a%&ee)ent bet/een defendants and the 4eudo&s /hich /as

    conclude th&ou%h the effo&ts of plaintiff, /as si%ned on "$ Ma&ch "#!=. he&efo&e, the

    defendants had ten 5"*6 yea&s si%ned on "$ Ma&ch "#!=. he&efo&e, the defendants

    had ten 5"*6 yea&s f&o) said date /ithin /hich to e2ecute the deed of conveyance in

    favo& of plaintiff ove& the =,*** s;. )s. As lon% as t(e 05 ears period (as not

    e/pired, plaintiff (ad no ri%(t to compel defendants to e/ecute t(e document and t(e

    latter 'ere under no obli%ation to do so. No/, this "*-yea& pe&iod elapsed on Ma&ch

    "$, "#$=. :EN and ONI :EN does plaintiffs cause of action plaintiff on Ma&ch

    "D, "#$=. hus, unde& pa&a%&aph "!, of the co)plaint 5supra6 plaintiff )ade de)ands

    upon defendants fo& the e2ecution of the deed in o& about the )iddle of "#$=.

    :ono&able Cou&t &econside& its O&de&

    dated Au%ust "=, "#$1 and issue anothe& o&de& denyin% the )otions to dis)iss ofdefendants . A&aneta, (nc. and J. M. uason Co. (nc. fo& lac3 of )e&it. 5Pp. D*-!,

    Reco&d on Appeal.6

    4efendants filed an opposition on the )ain %&ound that >the a&%u)ents adduced by the plaintiff a&e

    )e&ely &eite&ations of his a&%u)ents contained in his Re7oinde& to Reply and Opposition, /hich have

    not only been &efuted in he&ein defendants Motion to 4is)iss and Reply but al&eady passed upon by

    this :ono&able Cou&t.>

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    On

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    5c6 An a%&ee)ent )ade in conside&ation of )a&&ia%e, othe& than a

    )utual p&o)ise to )a&&y1

    5d6 An a%&ee)ent fo& the sale of %oods, chattels o& thin%s in action, at

    a p&ice not less than five hund&ed pesos, unless the buye& accept and

    &eceive pa&t of such %oods and chattels, o& the evidences, o& so)e of the) of such thin%s in action, o& pay at the ti)e so)e pa&t of the

    pu&chase )oney1 but /hen a sale is )ade by auction and ent&y is

    )ade by the auctionee& in his sales boo3, at the ti)e of the sale, of

    the a)ount and 3ind of p&ope&ty sold, te&)s of sale, p&ice, na)es of

    the pu&chase&s and pe&son on /hose account the sale is )ade, it is a

    sufficient )e)o&andu)0

    5e6 An a%&ee)ent fo& the leasin% fo& a lon%e& pe&iod than one yea&, o&

    fo& the sale of &eal p&ope&ty o& of an inte&est the&ein0

    5f6 a &ep&esentation as to the c&edit of a thi&d pe&son.

    5=6 hose /he&e both pa&ties a&e incapable of %ivin% consent to a cont&act. 5A&t.

    "*=, civil Code.6

    (n the instant case, /hat appellant is t&yin% to enfo&ce is the delive&y to hi) of =,*** s;ua&e )ete&s

    of land /hich he clai)s defendants p&o)ised to do in conside&ation of his se&vices as )ediato& o&

    inte&)edia&y in effectin% a co)p&o)ise of the civil action, Civil Case No. "=!, bet/een the

    defendants and the 4eudo&s. (n no sense )ay such alle%ed cont&act be conside&ed as bein% a >sale

    of &eal p&ope&ty o& of any inte&est the&ein.> (ndeed, not all dealin%s involvin% inte&est in &eal p&ope&ty

    co)e unde& the

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    9e &epeated this obse&vation in J.. !uason " Co., #nc. vs. !eodosio acalindon%, $ he act is volunta&y. because the acto& in ;uasi-cont&acts is not bound by any p&e-

    e2istin% obli%ation to act. (t is unilate&al, because it a&ises f&o) the sole /ill of the acto& /ho is not

    p&eviously bound by any &ecip&ocal o& bilate&al a%&ee)ent. he &eason /hy the la/ c&eates a 7u&idical &elations and i)poses ce&tain obli%ation is to p&event a situation /he&e a pe&son is able to

    benefit o& ta3e advanta%e of such la/ful, volunta&y and unilate&al acts at the e2pense of said acto&.>

    5A)b&osio Padilla, Civil a/, 8ol. 8(, p. D, "#$# ed.6 (n the case at ba&, since appellant has a

    clea&e& and )o&e di&ect &ecou&se a%ainst the 4eudo&s /ith /ho) he had ente&ed into an a%&ee)ent

    &e%a&din% the i)p&ove)ents and e2penditu&es )ade by hi) on the land of appellees. it Cannot be

    said, in the sense conte)plated in A&ticle ", that appellees have been en&iched at the e2pense of 

    appellant.

    (n the ulti)ate. the&efo&e, Ou& holdin% above that appellants fi&st t/o assi%n)ents of e&&o& a&e /ell

    ta3en cannot save the day fo& hi). Aside f&o) his havin% no cause of action a%ainst appellees, the&e

    is one plain e&&o& of o)ission. 9e have found in the o&de& of the t&ial cou&t /hich is as %ood a %&oundas any othe& fo& @s to te&)inate this case favo&ably to appellees. (n said o&de& 9hich 9e have

    ;uoted in full ea&lie& in this opinion, the t&ial cou&t &uled that >the %&ounds &elied upon in said )otion

    a&e )e&e &epetitions of those al&eady &esolved and discussed by this Cou&t in the o&de& of Au%ust "=,

    "#$>, an obse&vation /hich 9e fully sha&e. 8i&tually, the&efo&e. appellants )otion fo&

    &econside&ation /as &uled to be p&o-fo&)a. (ndeed, a cu&so&y &eadin% of the &eco&d on appeal &eveals

    that appellants )otion fo& &econside&ation above-;uoted contained e2actly the sa)e a&%u)ents and

    )anne& of discussion as his 'eb&ua&y $, "#$ >Opposition to Motion to 4is)iss> of defendant

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    &e%o&io A&aneta, (nc. 55pp. "D-!, Rec. on Appeal6 as /ell as his 'eb&ua&y "D, "#$ >Opposition to

    Motion to 4is)iss of 4efendant J. M. uason H Co.> 5pp. ==-!, Rec. on Appeal and his 'eb&ua&y

    #, "#$ >Re7oinde& to Reply Oil 4efendant J. M. uason H Co.> 5pp. !-$, Rec. on Appeal6 9e

    cannot see anythin% in said )otion fo& &econside&ation that is substantially diffe&ent f&o) the above

    oppositions and &e7oinde& he had p&eviously sub)itted and /hich the t&ial cou&t had al&eady

    conside&ed /hen it &ende&ed its )ain o&de& of dis)issal. Conse;uently, appellants )otion fo&&econside&ation did not suspend his pe&iod fo& appeal. 5Est&ada vs. 5pp.

    $#6, hence, /ithin the f&a)e of the issues belo/, it is /ithin the a)bit of Ou& autho&ity as the

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    Republic of the Philippines

    SUPREME COURT

    Manila

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    the conse;uence that he /as able to secu&e title in his na)e alone also, so that

    OC. No. ""=D in the na)e of his )othe& /as t&ansfe&&ed to his na)e, that /as in

    "#!!1 that /as /hy afte& so)e effo&ts of co)p&o)ise had failed, his half-b&othe&s

    and siste&s, he&ein plaintiffs, filed p&esent case fo& pa&tition /ith accountin% on the

    position that he /as only a t&ustee on an i)plied t&ust /hen he &edee)ed,-and this is

    the evidence, but as it also tu&ned out that one of plaintiffs, E)ete&ia Ase7o /asoccupyin% a po&tion, defendant counte&clai)ed fo& he& to vacate that,

    9ell then, afte& hea&in% the evidence, t&ial Jud%e sustained defendant in his position

    that he /as and beca)e absolute o/ne&, he /as not a t&ustee, and the&efo&e,

    dis)issed case and also conde)ned plaintiff occupant, E)ete&ia to vacate1 it is

    because of this that plaintiffs have co)e he&e and contend that t&ial cou&t e&&ed in0

    (. ... decla&in% the defendant absolute o/ne& of the p&ope&ty1

    ((. ... not o&de&in% the pa&tition of the p&ope&ty1 and

    (((. ... o&de&in% one of the plaintiffs /ho is in possession of the po&tion of the p&ope&ty

    to vacate the land, p. " Appellants b&ief.

    /hich can be &educed to si)ple ;uestion of /hethe& o& not on the basis of evidence and la/,

     7ud%)ent appealed f&o) should be )aintained. 3

    222 222 222

    he &espondent Cou&t of appeals &eve&sed the t&ial Cou&t, & and &uled fo& the plaintiffs-appellants, the

    p&ivate &espondents he&ein. he petitione& no/ appeals, by /ay of ce&tio&a&i, f&o) the Cou&ts

    decision.

    9e &e;ui&ed the p&ivate &espondents to file a co))ent and the&eafte&, havin% %iven due cou&se to

    the petition, di&ected the pa&ties to file thei& b&iefs. Only the petitione&, ho/eve&, filed a b&ief, and the

    p&ivate &espondents havin% failed to file one, /e decla&ed the case sub)itted fo& decision.

    he petition &aises a pu&ely le%al issue0 May a co-o/ne& ac;ui&e e2clusive o/ne&ship ove& the

    p&ope&ty held in co))on

    Essentially, it is the petitione&s contention that the p&ope&ty sub7ect of dispute devolved upon hi)

    upon the failu&e of his co-hei&s to 7oin hi) in its &ede)ption /ithin the pe&iod &e;ui&ed by la/. :e

    &elies on the p&ovisions of A&ticle "!"! of the old Civil A&ticle "$"= of the p&esent Code, %ivin% thevendee a retro the &i%ht to de)and &ede)ption of the enti&e p&ope&ty.

    he&e is no )e&it in this petition.

    he &i%ht of &epu&chase )ay be e2e&cised by a co-o/ne& /ith aspect to his sha&e alone. 8 9hile the

    &eco&ds sho/ that the petitione& &edee)ed the p&ope&ty in its enti&ety, shoulde&in% the e2penses

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    ove& the p&ope&ty and havin% acted in f&aud of his co-hei&s. :e cannot the&efo&e be said to have

    assu)e the )e&e )ana%e)ent of the p&ope&ty abandoned by his co-hei&s, the situation A&ticle "

    of the Code conte)plates. (n any case, as the &espondent Cou&t itself affi&)s, the &esult /ould be

    the sa)e /hethe& it is one o& the othe&. he petitione& /ould &e)ain liable to the P&ivate

    &espondents, his co-hei&s.

    his Cou&t is not una/a&e of the /ell-established p&inciple that p&esc&iption ba&s any de)and on

    p&ope&ty 5o/ned in co))on6 held by anothe& 5co-o/ne&6 follo/in% the &e;ui&ed nu)be& of yea&s. (n

    that event, the pa&ty in possession ac;ui&es title to the p&ope&ty and the state of co-o/ne&ship is

    ended . ' (n the case at ba&, the p&ope&ty /as &e%iste&ed in "#!! by the petitione&, solely in his na)e,

    /hile the clai) of the p&ivate &espondents /as p&esented in "#D. :as p&esc&iption then, set in

    9e hold in the ne%ative. P&esc&iption, as a )ode of te&)inatin% a &elation of co-o/ne&ship, )ust

    have been p&eceded by &epudiation 5of the co-o/ne&ship6. he act of &epudiation, in tu&n is sub7ect to

    ce&tain conditions0 5"6 a co-o/ne& &epudiates the co-o/ne&ship1 56 such an act of &epudiation is

    clea&ly )ade 3no/n to the othe& co-o/ne&s1 5=6 the evidence the&eon is clea& and conclusive, and 56

    he has been in possession th&ou%h open, continuous, e2clusive, and noto&ious possession of thep&ope&ty fo& the pe&iod &e;ui&ed by la/. 9

    he instant case sho/s that the petitione& had not co)plied /ith these &e;uisites. 9e a&e not

    convinced that he had &epudiated the co-o/ne&ship1 on the cont&a&y, he had delibe&ately 3ept the

    p&ivate &espondents in the da&3 by fei%nin% sole hei&ship ove& the estate unde& dispute. :e cannot

    the&efo&e be said to have >)ade 3no/n> his effo&ts to deny the co-o/ne&ship. Mo&eove&, one of the

    p&ivate &espondents, E)ete&ia Ase7o, is occupyin% a po&tion of the land up to the p&esent, yet, the

    petitione& has not ta3en pains to e7ect he& the&ef&o). As a )atte& of fact, he sou%ht to &ecove&

    possession of that po&tion E)ete&ia is occupyin% only as a counte&clai), and only afte& the p&ivate

    &espondents had fi&st sou%ht 7udicial &elief.

    (t is t&ue that &e%ist&ation unde& the o&&ens syste) is const&uctive notice of title, 10 but it has li3e/ise

    been ou& holdin% that the o&&ens title does not fu&nish a shield fo& f&aud. 11 (t is the&efo&e no

    a&%u)ent to say that the act of &e%ist&ation is e;uivalent to notice of &epudiation, assu)in% the&e /as

    one, not/ithstandin% the lon%-standin% &ule that &e%ist&ation ope&ates as a unive&sal notice of title.

    'o& the sa)e &eason, /e cannot dis)iss the p&ivate &espondents clai)s co))enced in "#D ove&

    the estate &e%iste&ed in "#!!. 9hile actions to enfo&ce a const&uctive t&ust p&esc&ibes in ten

    yea&s, 12 &ec3oned f&o) the date of the &e%ist&ation of the p&ope&ty, 13 /e, as /e said, a&e not

    p&epa&ed to count the pe&iod f&o) such a date in this case. 9e note the petitione&s sub rosa effo&ts

    to %et hold of the p&ope&ty e2clusively fo& hi)self be%innin% /ith his f&audulent )is&ep&esentation in

    his unilate&al affidavit of e2t&a7udicial settle)ent that he is >the only hei& and child of his )othe&'eli?a /ith the conse;uence that he /as able to secu&e title in his na)e also.> 1& Acco&din%ly, /e

    hold that the &i%ht of the p&ivate &espondents co))enced f&o) the ti)e they actually discove&ed the

    petitione&s act of def&audation. 18 Acco&din% to the &espondent Cou&t of Appeals, they >ca)e to 3no/

    Kof itL appa&ently only du&in% the p&o%&ess of the liti%ation.> 16 :ence, p&esc&iption is not a ba&.

    Mo&eove&, and as a &ule, p&esc&iption is an affi&)ative defense that )ust be pleaded eithe& in a

    )otion to dis)iss o& in the ans/e& othe&/ise it is dee)ed /aived, 17 and he&e, the petitione& neve&

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    &aised that defense. 1' he&e a&e &eco%ni?ed e2ceptions to this &ule, but the petitione& has not sho/n

    /hy they apply.

    9:ERE'ORE, the&e bein% no &eve&sible e&&o& co))itted by the &espondent Cou&t of Appeals, the

    petition is 4EN(E4. he 4ecision sou%ht to be &evie/ed is he&eby A''(RME4 in toto. No

    p&onounce)ent as to costs.

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    Republic of the Philippines

    SUPREME COURT

    Manila

    :(R4 4(8(

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    Mean/hile, on Au%ust !, "#*, afte& lea&nin% about the delay in the &e)ittance of the )oney to

    petitione&, 'ACE< info&)ed 'N

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     A&t. "#!. (f a thin% is &eceived /hen the&e /as no &i%ht to clai) it and /hich, th&ou%h

    an e&&o&, has been unduly delive&ed, an obli%ation to &esto&e it a&ises.

    (n :elez v. 7alzarza, D= Phil. $=* 5"#6, the Cou&t, spea3in% th&ou%h M&. Justice Bocobo e2plained

    the natu&e of this a&ticle thus0

     A&ticle "#! Kno/ A&ticle "!L of the Civil Code above;uoted, is the&efo&e

    applicable. his le%al p&ovision, /hich dete&)ines the ;uasi-cont&act of solution

    indebiti, is one of the conc&ete )anifestations of the ancient p&inciple that no one

    shall en&ich hi)self un7ustly at the e2pense of anothe&. (n the Ro)an a/ 4i%est the

    )a2i) /as fo&)ulated thus0 ;Jure naturae acquum est, neminem cum alterius

    detrimento et in

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    no &i%ht to apply the second "*,***.** &e)ittance delive&ed by )ista3e by p&ivate &espondent to

    the outstandin% account of 'ACEA-"- 4eposition of M&. and >A--4eposition of M&.

    6.

    Plaintiff-appellant )ade the second &e)ittance on the /&on% assu)ption that

    defendant-appellee did not &eceive the fi&st &e)ittance of @< "*,***.**. KRollo, pp.

    $-D.L

    (t is evident that the clai) of petitione& is ancho&ed on the app&eciation of the attendant facts /hich

    petitione& /ould have this Cou&t &evie/. he Cou&t holds that the findin% by the Cou&t of Appeals thatthe second "*,***.** &e)ittance /as )ade by )ista3e, bein% based on substantial evidence, is

    final and conclusive. he &ule &e%a&din% ;uestions of fact bein% &aised /ith this Cou&t in a petition

    fo& certiorari  unde& Rule ! of the Revised Rules of Cou&t has been stated in Re)alante v. ibe, .R.

    No. !#!", 'eb&ua&y !, "#, "!

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    to constitute se&ious abuse of disc&etion, such findin%s )ust stand, fo& this Cou&t is

    not e2pected o& &e;ui&ed to e2a)ine o& cont&ast the o&al and docu)enta&y evidence

    sub)itted by the pa&ties> K

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    Sagrada Orden Vs Nacoco –Kinuha ng Hapon

    ang lupa.

     Action to recover parcel of land owned by P and

    then because of !apanese war was ac"uired by 

    other parties then possessed by the #S govt thru

    its custodian then possessed by the defendant

     without agree$ent with the #S or with the

    plaintiff and def then leased a part of the land.

    %ssue& 'ON defendant is liable to Sagrada and

    $ust pay the rentals.

    Held& No. %f liable at all $ust arise fro$ any of 

    the four sources of obligations. APA was a trustee

    of the #S and if def liable not to plaintiff but to

    #S govt. (ut defendant not liable for rentals bec

    no e)press agree$ent bet the APA and Nacoco.

    *)istence of i$plied agree$ent is contrary to

    the circu$stances.

    Source& +ontract. (ut there was none.

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    Republic of the Philippines

    SUPREME COURT

    Manila

    EN BANC

     

    G.R. No. L-36'&0 M() 22, 1973

    PEOPLE>S CAR INC., plaintiff-appellant,

    vs.

    COMMAN#O SECURIT SERVICE AGENC, defendant-appellee.

     

    TEE!AN*EE,J.:

    (n this appeal f&o) the adve&se 7ud%)ent of the 4avao cou&t of fi&st instance li)itin% plaintiff-

    appellants &ecove&y unde& its co)plaint to the su) of P",***.** instead of the actual da)a%es of

    P,#."* clai)ed and suffe&ed by it as a di&ect &esult of the /&on%ful acts of defendant secu&ity

    a%encys %ua&d assi%ned at plaintiffs p&e)ises in pu&suance of thei& >ua&d , the

    Cou&t finds )e&it in the appeal and acco&din%ly &eve&ses the t&ial cou&ts 7ud%)ent.

    he appeal /as ce&tified to this Cou&t by a special division of the Cou&t of Appeals on a fou&-to-one

    vote as pe& its &esolution of Ap&il ", "#D= that >

    he Cou&t has accepted such ce&tification and doc3eted this appeal on the st&en%th of its o/n findin%

    f&o) the &eco&ds that plaintiffs notice of appeal /as e2p&essly to this Cou&t 5not to the appellate

    cou&t6> on pu&e ;uestions of la/>  1 and its &eco&d on appeal acco&din%ly p&ayed that> the

    co&&espondin% &eco&ds be ce&tified and fo&/a&ded to the :ono&able  2 he t&ial cou&t

    so app&oved the sa)e 3 on July =, "#D" instead of havin% &e;ui&ed the filin% of a petition fo& &evie/ of 

    the 7ud%)ent sou%ht to be appealed f&o) di&ectly /ith this Cou&t, in acco&dance /ith the p&ovisions

    of Republic Act !*. By so)e une2plained and hithe&to undiscove&ed e&&o& of the cle&3 of cou&t,

    fu&the&)o&e, the &eco&d on appeal /as e&&oneously fo&/a&ded to the appellate cou&t &athe& than to

    this Cou&t.

    he pa&ties sub)itted the case fo& 7ud%)ent on a stipulation of facts. he&e is thus no dispute as to

    the factual bases of plaintiffs co)plaint fo& &ecove&y of actual da)a%es a%ainst defendant, to /it,

    that unde& the subsistin% >ua&d bet/een the pa&ties, defendant-appellee as a

    duly licensed secu&ity se&vice a%ency unde&too3 in conside&ation of the pay)ents )ade by plaintiff to

    safe%ua&d and p&otect the business p&e)ises of 5plaintiff6 f&o) theft, pilfe&a%e, &obbe&y, vandalis)

    and all othe& unla/ful acts of any pe&son o& pe&son p&e7udicial to the inte&est of 5plaintiff6.> &

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    On Ap&il !, "#D* at a&ound "0** A.M., ho/eve&, defendants secu&ity %ua&d on duty at plaintiffs

    p&e)ises, >/ithout any autho&ity, consent, app&oval, 3no/led%e o& o&de&s of the plaintiff ando&

    defendant b&ou%ht out of the co)pound of the plaintiff a ca& belon%in% to its custo)e&, and d&ove

    said ca& fo& a place o& places un3no/n, abandonin% his post as such secu&ity %ua&d on duty inside

    the plaintiffs co)pound, and /hile so d&ivin% said ca& in one of the City st&eets lost cont&ol of said

    ca&, causin% the sa)e to fall into a ditch alon% J.P. au&el  8

     As a &esult of these /&on%ful acts of defendants secu&ity %ua&d, the ca& of plaintiffs custo)e&,

    Joseph uy, /hich had been left /ith plaintiff fo& se&vicin% and )aintenance, >suffe&ed e2tensive

    da)a%e in the total a)ount of PD,*D#.>  6 besides the ca& &ental value >cha&%eable to defendant> in

    the su) of P","*.** fo& a ca& that plaintiff had to &ent and )a3e available to its said custo)e& to

    enable hi) to pu&sue his business and occupation fo& the pe&iod of fo&ty-seven 5D6 days 5f&o) Ap&il

    ! to June "*, "#D*6 that it too3 plaintiff to &epai& the da)a%ed ca&, 7 o& total actual da)a%es incu&&ed

    by plaintiff in the su) of P,#."*.

    Plaintiff clai)ed that defendant /as liable fo& the enti&e a)ount unde& pa&a%&aph ! of thei& cont&act

    /he&eunde& defendant assu)ed >sole &esponsibility fo& the acts done du&in% thei& /atch hou&s> by its

    %ua&ds, /he&eas defendant contended, /ithout ;uestionin% the a)ount of the actual da)a%es

    incu&&ed by plaintiff, that its liability >shall not e2ceed one thousand 5P",***.**6 pesos pe& %ua&d

    post> unde& pa&a%&aph of thei& cont&act.

    he pa&ties thus li3e/ise stipulated on this sole issue sub)itted by the) fo& ad7udication, as follo/s0

    (nte&p&etation of the cont&act, as to the e2tent of the liability of the defendant to the

    plaintiff by &eason of the acts of the e)ployees of the defendant is the only issue to

    be &esolved.

    he defendant &elies on Pa&. of the cont&act to suppo&t its contention /hile the

    plaintiff &elies on Pa&. ! of the sa)e cont&act in suppo&t of its clai)s a%ainst the

    defendant. 'o& &eady &efe&ence they a&e ;uoted he&eunde&0

    Pa&. . Pa&ty of the

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    Pa&. ! he pa&ty of the the liability of the

    defendant in favo& of the plaintiff falls unde& pa&a%&aph of the ua&d and

    &ende&ed 7ud%)ent >findin% the defendant liable to the plaintiff in the a)ount of P",***.** /ith

    costs.>

    :ence, this appeal, /hich, as al&eady indicated, is )e&ito&ious and )ust be %&anted.

    Pa&a%&aph of the cont&act, /hich li)its defendants liability fo& the a)ount of loss o& da)a%e to any

    p&ope&ty of plaintiff to >P",***.** pe& %ua&d post,> is by its o/n te&)s applicable only fo& loss o&

    da)a%e th&ou%h thene%li%ence of its %ua&ds ... du&in% the /atch hou&s> p&ovided that the sa)e is

    duly &epo&ted by plaintiff /ithin hou&s of the occu&&ence and the %ua&ds ne%li%ence is ve&ified

    afte& p&ope& investi%ation /ith the attendance of both cont&actin% pa&ties. defendants o/n %ua&d on duty

    unla/fully and /&on%fully d&ove out of plaintiffs p&e)ises a custo)e&s ca&, lost cont&ol of it on the

    hi%h/ay causin% it to fall into a ditch, the&eby di&ectly causin% plaintiff to incu& actual da)a%es in the

    total a)ount of P,#."*.

    4efendant is the&efo&e undoubtedly liable to inde)nify plaintiff fo& the enti&e da)a%es thus incu&&ed,

    since unde& pa&a%&aph ! of thei& cont&act it >assu)ed the &esponsibility fo& the p&ope& pe&fo&)ance

    by the %ua&ds e)ployed of thei& duties and 5cont&acted to6 be solel responsible fo& the acts done

    du&in% thei& /atch hou&s> and >specifically &eleased 5plaintiff6 f&o) any and all liabilities ... to the thi&d

    pa&ties a&isin% f&o) the acts o& o)issions done by the %ua&ds du&in% thei& tou& of duty.> As plaintiff

    had duly discha&%ed its liability to the thi&d pa&ty, its custo)e&, Joseph uy, fo& the undisputed

    da)a%es of P,#."* caused said custo)e&, due to the /anton and unla/ful act of defendants

    %ua&d, defendant in tu&n /as clea&ly liable unde& the te&)s of pa&a%&aph ! of thei& cont&act to

    inde)nify plaintiff in the sa)e a)ount.

    he t&ial cou&ts app&oach that >had plaintiff unde&stood the liability of the defendant to fall unde&

    pa&a%&aph !, it should have told Joseph uy, o/ne& of the ca&, that unde& the ua&d

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    and the defendant, the plaintiff should have filed a c&ossclai) a%ainst the latte&,> 9 /as unduly

    technical and un&ealistic and untenable.

    Plaintiff /as in la/ liable to its custo)e& fo& the da)a%es caused the custo)e&s ca&, /hich had been

    ent&usted into its custody. Plaintiff the&efo&e /as in la/ 7ustified in )a3in% %ood such da)a%es and

    &elyin% in tu&n on defendant to hono& its cont&act and inde)nify it fo& such undisputed da)a%es,/hich had been caused di&ectly by the unla/ful and /&on%ful acts of defendants secu&ity %ua&d in

    b&each of thei& cont&act. As o&dained in A&ticle ""!#, Civil Code, >obli%ations a&isin% f&o) cont&acts

    have the fo&ce of la/ bet/een the cont&actin% pa&ties and should be co)plied /ith in %ood faith.>

    Plaintiff in la/ could not tell its custo)e&, as pe& the t&ial cou&ts vie/, that >unde& the ua&d since the custo)e& could not hold

    defendant to account fo& the da)a%es as he had no p&ivity of cont&act /ith defendant.

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    Cangco vs. Manila Railroad Co.

    GR. No. 12131, October 14, 1918

    Ma. Cristina Ramos (O!"

    #acts$ %ose Cangco, &erein 'lainti, )as an em'lo*ee o t&e deendant in

    t&is case, manila Railroad Com'an*. +'on t&e occasion in -estion, 'lainti

    )as ret-rning &ome b* rail rom &is dail* labors. s t&e train dre) -' to t&e

    station, 'lainti arose rom &is seat. s t&e train slo)ed do)n, 'lainti

    ste''ed o, b-t one or bot& o &is eet came in contact )it& a sac o

    )atermelons. s a res-lt, &is eet sli''ed rom -nder &im and &e ell

    violentl* on t&e 'latorm.

    /&e accident occ-rred bet)een 08 ocloc on a dar nig&t as t&e railroad

    station )as lig&ted diml*, obects on t&e 'latorm )&ere t&e accident occ-rred

    rom a lig&ted car.

    lainti s-ed t&e deendant com'an* or damages. /&e latter inter'osed t&e

    deense t&at t&e direct and 'ro5imate ca-se o t&e in-r* s-ered b* t&e

    'lainti )as &is o)n contrib-tor* negligence in ailing to )ait -ntil t&e

    train &ad come to a com'lete sto' beore alig&ting.

    6ss-e$ 7&et&er or not t&e cond-ct o t&e 'lainti in -ndertaing to alig&t

    )&ile t&e train )as slig&tl* -nder)a* )as c&aracteried b* im'r-dence so as to

    &old &im g-ilt* o contrib-tor* negligence.

    eld$ /&e act o t&e 'lainti in ste''ing o t&e train )&ile it as *et

    slo)l* moving )as not c&aracteried b* im'r-dence so as to &old &im g-ilt* o

    contrib-tor* negligence.

    6n arriving to s-c& concl-sion, t&e co-rt -sed t&e best o negligence

    en-nciated in t&e case o icart vs. !mit& (30 6: 8;9" )&ic& )as stated as

    ollo)$ 7as t&ere an*t&ing in t&e circ-mstances s-rro-nding t&e 'lainti at

    t&e time &e alig&ted rom t&e train )&ic& )o-ld &ave admitted a 'erson o

    average 'r-dence t&at to get o t&e train -nder t&e conditions t&en e5isting

    )as dangero-s< 6 so, t&e 'lainti s&o-ld &ave deserted rom alig&ting= and

    &is ail-re so to desist )as contrib-tor* negligence.

    6n t&e case at bar, t&e 'lainti )as ignorant o t&e act t&at t&e

    obstr-ction )&ic& )as ca-sed b* t&e sacs o melds 'iled on t&e 'latorm

    e5isted. Moreover, t&e 'lace )as dar or diml* lig&ted. /&-s, &e )as a

    ail-re on t&e 'art o t&e deendant to aord to its 'assengers acilities

    or sae egress rom its trains.

    6t is not negligence 'er se or a traveler to alig&t rom a slo)l* moving

    train.

    /&e civil liabilit* -nder -asi delict is contracted )it&o-t agreement or

    consent, t&-s c-l'a e5tra contract-al, on t&e 'rinci'le t&at )&ere &arm, loss

    or damage &as been ca-sed to a 'erson t&r- a-lt or negligent act t&e aggrieve

    'art* is entitled to be indemniied. (Cangco vs MRR, 38 &il 0>8"

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    Republic of the Philippines

    SUPREME COURT

    Manila

    he pa&ties in this case a%&eed to sub)it the

    )atte& fo& &esolution on the basis of thei& pleadin%s and anne2es and thei& &espective )e)o&anda

    sub)itted. Petitione& eo&%e Pay is a c&edito& of the ate Justo Palanca /ho died in Manila on July

    =, "#$=. he clai) of the petitione& is based on a p&o)isso&y note dated Janua&y =*, "#!, /he&eby

    the late Justo Palanca and Rosa on?ales 8da. de Ca&los Palanca p&o)ised to pay eo&%e Pay the

    a)ount of P$,#**.**, /ith inte&est the&eon at the &ate of "+ pe& annu). eo&%e Pay is no/

    befo&e this Cou&t, as3in% that

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    Palanca to be appointed as ad)inist&at&i21 that the p&ope&ty sou%ht to be ad)iniste&ed no lon%e&

    belon%ed to the debto&, the late Justo Palanca1 and that the &i%hts of petitione&-c&edito& had al&eady

    p&esc&ibed. he p&o)isso&y note, dated Janua&y =*, "#$, is /o&ded thus0 > Q'o& value &eceived f&o)

    ti)e to ti)e since "#D, /e K7ointly and seve&ally p&o)ise toL pay to M&. Keo&%e PayL at his office at

    the China Ban3in% Co&po&ation the su) of K/enty than ten 5"*6 yea&s has al&eady t&anspi&ed f&o) that ti)e until to date.

    he action, the&efo&e, of the c&edito& has definitely p&esc&ibed.>  & he &esult, as above noted, /as the

    dis)issal of the petition.

    (n an e2haustive b&ief p&epa&ed by Atto&ney 'lo&entino B. del Rosa&io, petitione& did assail the

    co&&ectness of the &ulin%s of the lo/e& cou&t as to the effect of the &efusal of the su&vivin% spouse of

    the late Justo Palanca to be appointed as ad)inist&at&i2, as to the p&ope&ty sou%ht to be

    ad)iniste&ed no lon%e& belon%in% to the debto&, the late Justo Palanca, and as to the &i%hts of

    petitione&-c&edito& havin% al&eady p&esc&ibed. As noted at the outset, only the ;uestion of p&esc&iption

    need detain us in the disposition of this appeal. i3e/ise, as inti)ated, the decision )ust be

    affi&)ed, conside&in% the clea& teno& of the p&o)isso&y note.

    '&o) the )anne& in /hich the p&o)isso&y note /as e2ecuted, it /ould appea& that petitione& /as

    hopeful that the satisfaction of his c&edit could he &eali?ed eithe& th&ou%h the debto& sued &eceivin%

    cash pay)ent f&o) the estate of the late Ca&los Palanca p&esu)ptively as one of the hei&s, o&, ase2p&essed the&ein, >upon de)and.> he&e is nothin% in the &eco&d that /ould indicate /hethe& o& not

    the fi&st alte&native /as fulfilled. 9hat is undeniable is that on Au%ust $, "#$D, )o&e than fifteen

    yea&s afte& the e2ecution of the p&o)isso&y note on Janua&y =*, "#!, this petition /as filed. he

    defense inte&posed /as p&esc&iption. (ts )e&it is &athe& obvious. A&ticle ""D# of the Civil Code

    p&ovides0 >Eve&y obli%ation /hose pe&fo&)ance does not depend upon a futu&e o& unce&tain event, o& 

    upon a past event un3no/n to the pa&ties, is de)andable at once.> his used to be A&ticle """= of

    the  6

    he obli%ation bein% due and de)andable, it /ould appea& that the filin% of the suit afte& fifteen

    yea&s /as )uch too late. 'o& a%ain, acco&din% to the Civil Code, /hich is based on

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    because the estate /as left /ith no othe& p&ope&ty. he decision of the lo/e& cou&t cannot be

    ove&tu&ned.

    9:ERE'ORE, the lo/e& cou&t decision of July , "#$ is affi&)ed. Costs a%ainst eo&%e Pay.

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    Republic of the Philippines

    SUPREME COURT

    Manila

    EN BANC

    G.R. No. L-16870 M(r54 9, 1922

    SMIT!, "ELL : CO., LT#., plaintiff-appellant,

    vs.

    VICENTE SOTELO MATTI, defendant-appellant.

    oss and >a'rence and *'ald *. $elp( for plaintiff-appellant.

    amon $otelo for defendant-appellant.

    ROMUAL#E, J.:

    (n Au%ust, "#", the plaintiff co&po&ation and the defendant, M&. 8icente

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    that, as a conse;uence of the plaintiffs delay in )a3in% delive&y of the %oods, /hich the inte&veno&

    intended to use in the )anufactu&e of cocoanut oil, the inte&veno& suffe&ed da)a%es in the su)s of

    one hund&ed si2teen thousand seven hund&ed ei%hty-th&ee pesos and ninety-one centavos

    5P""$,D=.#"6 fo& the nondelive&y of the tan3s, and t/enty-one thousand t/o hund&ed and fifty pesos

    5P",!*6 on account of the e2pelle&s and the )oto&s not havin% a&&ived in due ti)e.

    he case havin% been t&ied, the cou&t belo/ absolved the defendants f&o) the co)plaint insofa& as

    the tan3s and the elect&ic )oto&s /e&e conce&ned, but &ende&ed 7ud%)ent a%ainst the), o&de&in%

    the) to >&eceive the afo&esaid e2pelle&s and pay the plaintiff the su) of fifty thousand pesos

    5P!*,**6, the p&ice of the said %oods, /ith le%al inte&est the&eon f&o) July $, "#"#, and costs.>

    Both pa&ties appeal f&o) this 7ud%)ent, each assi%nin% seve&al e&&o&s in the findin%s of the lo/e&

    cou&t.

    he p&incipal point at issue in this case is /hethe& o& not, unde& the cont&acts ente&ed into and the

    ci&cu)stances established in the &eco&d, the plaintiff has fulfilled, in due ti)e, its obli%ation to b&in%

    the %oods in ;uestion to Manila. (f it has, then it is entitled to the &elief p&ayed fo&1 othe&/ise, it )ustbe held %uilty of delay and liable fo& the conse;uences the&eof.

    o solve this ;uestion, it is necessa&y to dete&)ine /hat pe&iod /as fi2ed fo& the delive&y of the

    %oods.

     As &e%a&ds the tan3s, the cont&acts A and B 5pa%es $" and $ of the &eco&d6 a&e si)ila&, and in both

    of the) /e find this clause0

    o be delive&ed /ithin = o& )onths he p&o)ise o& indication of ship)ent ca&&ies /ith it

    absolutely no obli%ation on ou& pa&t ove&n)ent &e%ulations, &ail&oad e)ba&%oes, lac3 of

    vessel space, the e2i%encies of the &e;ui&e)ent of the @nited

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    he selle&s a&e not &esponsible fo& delays caused by fi&es, &iots on land o& on the sea, st&i3es

    o& othe& causes 3no/n as >'o&ce Ma7eu&e> enti&ely beyond the cont&ol of the selle&s o& thei&

    &ep&esentatives.

    @nde& these stipulations, it cannot be said that any definite date /as fi2ed fo& the delive&y of the

    %oods. As to the tan3s, the a%&ee)ent /as that the delive&y /as to be )ade >/ithin = o& )onths,>but that pe&iod /as sub7ect to the contin%encies &efe&&ed to in a subse;uent clause. 9ith &e%a&d to

    the e2pelle&s, the cont&act says >/ithin the )onth of but to this is added >o& as

    soon as possible.> And /ith &efe&ence to the )oto&s, the cont&act contains this e2p&ession,

    >App&o2i)ate delive&y /ithin ninety days,> but &i%ht afte& this, it is noted that >this is not %ua&anteed.>

    he o&al evidence falls sho&t of fi2in% such pe&iod.

    '&o) the &eco&d it appea&s that these cont&acts /e&e e2ecuted at the ti)e of the /o&ld /a& /hen

    the&e e2isted &i%id &est&ictions on the e2po&t f&o) the @nited ove&n)ent &e%ulations, &ail&oade)ba&%oes, lac3 of vessel space, the e2i%encies of the &e;ui&e)ents of the @nited in connection /ith the tan3s and >P&io&ity Ce&tificate, sub7ect to the @nited /ith &espect to the )oto&s. At the ti)e of the e2ecution of the cont&acts,

    the pa&ties /e&e not un)indful of the contin%ency of the @nited

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    dee)ed to have sufficiently pe&fo&)ed his pa&t of the obli%ation, if he has done all that /as in his

    po/e&, even if the condition has not been fulfilled in &eality.

    (n such cases, the decisions p&io& to the Civil Code have held that the obli%ee havin% done

    all that /as in his po/e&, /as entitled to enfo&ce pe&fo&)ance of the obli%ation. his

    pe&fo&)ance, /hich is fictitious not &eal is not e2p&essly autho&i?ed by the Code, /hichli)its itself only to decla&e valid those conditions and the obli%ation the&eby affected1 but it is

    neithe& disallo/ed, and the Code bein% thus silent, the old vie/ can be )aintained as a

    doct&ine. 5Man&esas co))enta&ies on the Civil Code K"#*DL, vol. , pa%e "=.6

    he decisions &efe&&ed to by M&. Man&esa a&e those &ende&ed by the sup&e)e cou&t of Novsi)a

    RecopilaciSn,> o& a/ ", it. "", of Pa&tida !, /hen in the said findin% of the lo/e& cou&t, no

    la/ o& p&ecedent is alle%ed to have been violated. 5Jurisprudencia Civil published by the

    di&ecto&s of the evista General de >e%islacion Jurisprudencia K"$$L, vol. ", pa%e $!$.6

    (n the second decision, the follo/in% doct&ine is laid do/n0

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    and not title passes. his )ust no/ be &e%a&ded as the settled doct&ine in this 7u&isdiction /hateve&

    the &ule )ay be else/he&e.

    (t appea&s affi&)atively f&o) the evidence in the p&esent case that the&e is a ne/spape& published in

    the p&ovince /he&e the sale in ;uestion too3 place and that the assessed valuation of the p&ope&ty

    disposed of at each sale e2ceeded P**. Co)pa&in% the &e;ui&e)ents of section !, supra, /ith/hat /as actually done, it is self-evident that notices of the sales )entioned /e&e not %iven as

    p&esc&ibed by the statute and ta3in% into conside&ation that in connection /ith these sales the

    appellant Addison /as eithe& the 7ud%)ent c&edito& o& else occupied a position analo%ous to that of a

     7ud%)ent c&edito&, the sales )ust be held invalid.

    he conveyance o& &econveyance of the land f&o) the 4i&ecto& of ands is e;ually invalid. he

    p&ovisions of Act No. "D#" pe&tinent to the pu&chase o& &epu&chase of land confiscated fo& non-

    pay)ent of ta2es a&e found in section "# of the Act and &ead0

    . . . (n case such &ede)ption be not )ade /ithin the ti)e above specified the ove&n)ent of 

    the Philippine (slands shall have an absolute, indefeasible title to said &eal p&ope&ty. @pon thee2pi&ation of the said ninety days, if &ede)ption be not )ade, the p&ovincial t&easu&e& shall

    i))ediately notify the 4i&ecto& of ands of the fo&feitu&e and fu&nish hi) /ith a desc&iption of

    the p&ope&ty, and said 4i&ecto& of ands shall have full cont&ol and custody the&eof to lease o& 

    sell the sa)e o& any po&tion the&eof in the sa)e )anne& as othe& public lands a&e leased o&

    sold0 2rovided, hat the o&i%inal o/ne&, o& his le%al &ep&esentative, shall have the &i%ht to

    &epu&chase the enti&e a)ount of his said &eal p&ope&ty, at any ti)e befo&e a sale o& cont&act

    of sale has been )ade by the di&ecto& of ands to a thi&d pa&ty, by payin% the&efo&e the /hole

    su) due the&eon at the ti)e of e7ect)ent to%ethe& /ith a penalty of ten pe& centu) . . . .

    he appellant Addison &epu&chased unde& the final p&oviso of the section ;uoted and /as allo/ed to

    do so as the successo& in inte&est of the o&i%inal o/ne& unde& the e2ecution sale above discussed. As /e have seen, he ac;ui&ed no &i%hts unde& these sales, /as the&efo&e not the successo& of the

    o&i%inal o/ne& and could only have obtained a valid conveyance of such titles as the ove&n)ent

    )i%ht have by follo/in% the p&ocedu&e p&esc&ibed by the Public and Act fo& the sale of public lands.

    he is entitled to &ei)bu&se)ent fo& the )oney paid fo& the &ede)ption of the land, /ith inte&est, but

    has ac;ui&ed no title th&ou%h the &ede)ption.

    he ;uestion of the p&io&ity of the &eco&d of the she&iffs sales ove& that of the sale f&o) Belisa&io to

    Bo&7a is e2tensively a&%ued in the b&iefs, but f&o) ou& point of vie/ is of no i)po&tance1 void she&iffs

    o& e2ecution sales cannot be validated th&ou%h insc&iption in the Mo&t%a%e a/ &e%ist&y.

    he opposition of Adelina 'e&&e& )ust also be ove&&uled.

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     Araullo, C.J., Jo(nson, $treet, alcolm, Avanceña, :illamor, strand, and Jo(ns, JJ., concur.

     

    x-------------------------------------------------------------------------------------x

     

    D E C I S I O N 

    PUNO, C.J.:

     

     A. Precis

    EN "ANC

     

    FRANCISCO CHAVEZ,

      Petitioner,

     

    - versus -

    RAUL M. GONZALES,

    in his caaci!" as !he

    Secre!ar" #$ !heDear!%en! #$ &us!ice'

    an( NA)IONAL

    )ELECOMMUNICA)IONS

    COMMISSION *N)C+,

       Respondents.

    G.R. N#. // 

    Present:

     

    PUNO, C.J.,

    QUISUMBING,

    YNARES-SANTIAGO,

    SANDOVAL-GUTIERREZ,CARPIO,

    AUSTRIA-MARTINEZ,

    CORONA,

    CARPIO MORALES,

    AZCUNA,

    TINGA,

    CHICO-NAZARIO,

    VELASCO, R!,

     NACHURA,

    REYES, "n#

    LEONARDO-DE CASTRO, JJ.

     

    Pr$%&'("te#:

    )e*r&"r+ , .//0

     

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    http://sc.judiciary.gov.ph/jurisprudence/2008/feb2008/168338.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2008/feb2008/168338.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2008/feb2008/168338.htm#_ftn12

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    C. The Petition

     

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    5ase( re7u3a!i#ns an( !heir c#ns!i!u!i#na3 s!an(ar( #$ revie4' *+ !# e=a%ine

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     E. RE"E#A$!!G THE LA% O FREEDO$ OF SPEECH&

    OF E#PRESS!O AD OF THE PRESS 

      )o la* shall +e passed a+ridging the freedo# of speech, of 

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     E.(. ABSTRACT!O OF FREE SPEECH 

     

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