Академический Документы
Профессиональный Документы
Культура Документы
Court of Appeals, and Jabil elements of a valid contract of sale are present
158 SCRA 378 in the document and that the spouses Dignos
February 1988 had no right to sell the land in question
because an actual delivery of its possession has
FACTS: already been made in favor of Jabil as early as
March 1965. It was also found that the spouses
In July 1965, herein petitioners Silvestre T. Dignos never notified Jabil by notarial act that
Dignos and Isabela Lumungsod de Dignos they were rescinding the contract, and neither
(spouses Dignos) sold their parcel of land in did they file a suit in court to rescind the sale.
Opon, LapuLapu to herein private respondent There is no showing that Jabil properly
Antonio Jabil for the sum of P28,000 payable authorized a certain Cipriano Amistad to tell
for two installments, with an assumption of petitioners that he was already waiving his
indebtedness with the First Insular Bank of rights to the land in question.
Cebu in the sum of P12,000 and the next
installment of P4,000 to be paid in September JACOBUS BERNHARD HULST v. PR BUILDERS
1965. In November 1965, the spouses Dignos INC. (G.R. No. 156364)
sold the same parcel of land for P35,000 to
defendants Luciano Cabigas and Jovita L. de FACTS:
Cabigas (spouses Cabigas) who were then US The Petitioner and his spouse, both Dutch
citizens, and executed in their favor an Nationals, entered into a Contract to Sell with
Absolute Deed of Sale duly registered in the PR Builders, Inc. to purchase a 210-sq m
Office of the Register of Deeds. residential unit in the respondent's townhouse
project in Batanagas. When PR Builder's failed
Upon discovery of the 2nd sale of the subject to comply with their verbal promise to
land, Jabil filed the case at bar in the CFI of complete the project, the spouses Hulst filed a
Cebu which rendered its Decision in August complaint for recession of contract with
1975 declaring the 2nd sale to the spouses interest, damages and attorney's fees before
Cabigas null and void ab initio and the 1st sale the Housing and Land Regulatory Board
to Jabil not rescinded. The CFI of Cebu also (HLURB), which then was granted. A Writ of
ordered Jabil to pay the remaining P16,000 to Execution was then addressed to the Ex-Officio
the spouses Dignos and to reimburse the Sheriff of the RTC of Tanauan, Batangas, but
spouses Cabigas a reasonable amount upon the complaint of the respondent, the levy
corresponding the expenses in the construction was set aside, leaving only the respondent's
of hollow block fences in the said parcel of personal properties to be levied first. The
land. The spouses Dignos were also ordered to Sheriff set a public auction of the said levied
return the P35,000 to the spouses Cabigas. properties, however, the respondent filed a
motion to quash Writ of levy on the ground that
Both Jabil and the spouses Dignos appealed to the sheriff made an over levy since the
the Court of Appeals, which affirmed in July aggregate appraised value of the properties at
1981 the CFI of Cebus Decision except for the P6,500 per sq m is P83,616,000. Instead of
part of Jabil paying the expenses of the spouses resolving the objection of the respondent's
Cabigas for building a fence. The spouses regarding the auction, the Sheriff proceeded
Dignos contested that the contract between with the auction since there was no restraining
them and Jabil was merely a contract to sell order from the HLURB. The 15 parcels of land
and not a deed of sale. was then awarded to Holly Properties Realty at
a bid of P5,450,653. On the same day, the
ISSUE: Sheriff remitted the legal fees and submitted
to contracts of sale to HLURB, however, he
Is the contract between the parties a contract then received orders to suspend proceedings on
of sale or a contract to sell? the auction for the reason that the market
value of the properties was not fair. There was
COURT RULING: disparity between the appraised value and the
value made by the petitioner and the Sheriff,
The Supreme Court affirmed the Decision of which should've been looked into by the Sheriff
the Court of Appeals saying stated that all the before making the sale. While an inadequacy in
price is not a ground to annul such sale, the become a reality. Thus, the appraisal value
court is justified to such intervention where cannot be equated with the fair market value.
the price shocks the conscience.
3. No. Under Article 12, Sec.7 of the 1987
ISSUE: Constitution, foreign nationals, the spouses
1. Whether or not the Sheriff erred in the value Hulst, are disqualified form owning real
that was attached to the properties during the property. However, under article 1414 of the
auction and as well as disregarding the Civil Code, one who repudiates the agreement
objection made by the respondent's? and demands his money before the illegal act
2. Whether or not the market value of the said has taken place is entitled to recover.
property was inadequate? Petitioner is therefore entitled to recover what
2. Whether or not the spouses Hulst's request he has paid, although the basis of his claim for
for damages is actionable? rescission, which was granted by the HLURB,
was not the fact that he is not allowed to
HELD: acquire private land under the Philippine
1. No. According to the Rules of Court, the Constitution. But petitioner is entitled to the
value of the property levied is not required to recovery only of the amount of P3,187,500.00,
be exactly the same as the judgment debt. In representing the purchase price paid to
the levy of property, the Sheriff does not respondent. No damages may be recovered on
determine the exact valuation of the levied the basis of a void contract; being nonexistent,
property. The Sheriff is left to his own the agreement produces no juridical tie
judgment. He should be allowed a reasonable between the parties involved. Further,
margin between the value of the property petitioner is not entitled to actual as well as
levied upon and the amount of the execution; interests thereon, moral and exemplary
the fact that the Sheriff levies upon a little damages and attorney's fees.
more than is necessary to satisfy the execution
does not render his actions improper.
Issue: Whether or not there is a perfected [G.R. No. 171373, June 18, 2008] LLOYD'S
contract of sale. ENTERPRISES AND CREDIT CORPORATION,
PETITIONERS, VS. SPS. FERDINAND AND
Held: An examination of the document reveals PERSEVERANDA DOLLETON, RESPONDENTS.
that there is no perfected contract of sale. The
agreement may confirm the receipt by FACTS:
respondents of the two vessels and their
purchase price. However, there is no equivocal Respondents spouses Dolleton, were the
agreement to transfer ownership of the vessel, registered owners of a parcel of land covered
but a mere commitment that "documents by TCT No. 153554 with a four-door apartment
pertaining to the sale and agreement of building being leased to various tenants.
payments[are] to follow." Evidently, the Respondents mortgaged the property to a
document or documents which would formalize certain Santos to secure a loan in the amount
the transfer of ownership and contain the of P100,000.00. Upon payment of the loan on
terms of payment of the purchase price, or the 15 August 1994, Santos executed a release and
period when such would become due and cancellation of the mortgage. The same was
demandable, have yet to be executed. But no annotated on the TCT.
such document was executed and no such
terms were stipulated upon. The fact that On 15 September 1994, TCT No. 153554 in the
there is a stated total purchase price should name of respondents was cancelled and a new
not lead to the conclusion that a contract of TCT No. 197220 was issued in the name of
sale had been perfected. A contract is Gagan on the basis of a Deed of Absolute Sale
perfected when there is concurrence of the dated 5 August 1994 whereby respondents
wills of the contracting parties with respect to purportedly sold to Gagan the subject property
the object and the cause of the contract. In for the sum of P120,000.00.
this case, the agreement merely acknowledges
that a purchase price had been agreed on by On 19 September 1994, Gagan and Gueverra
the parties. There was no mutual promise to mortgaged said property with TCT No. 197220
buy on the part of petitioners and to sell on the to petitioner LECC for second loan of
part of respondents. Again, the aforestated P542,928.00 and was annotated on said Title.
proviso in the agreement that documents However, Gagan and Guevarra failed to pay the
pertaining to the sale and agreement of loan upon maturity. Thus, petitioner foreclosed
payments between the parties will follow mortgaged property being the highest bidder
clearly manifests lack of agreement between and was not redeemed within the one-year
the parties as to the terms of the contract to period. Hence, ownership was consolidated in
sell, particularly the object and cause of the favor of petitioner and was issue a new TCT
contract. No. 210363 cancelling TCT No. 197220.
The agreement in question does not create any
obligatory force either for the transfer of title Petitioner then sent notices to the apartment
of the vessels, or the rendition of payments as tenants on the transfer of ownership and
part of the purchase price. At most, this rentals were not remitted to respondents
agreement bares only their intention to enter anymore, prompting the latter to cause the
into either a contract to sell or a contract of annotation of an adverse claim on TCT No.
sale. 210363.
Respondents prayed among others for the door apartment in the premises being
restoration of TCT No. 153554 and nullification mortgaged is rented by tenants and they could
of the Deed of Absolute Sale, and the have been provided with information that
extrajudicial foreclosure proceedings. They plaintiffs-appellees are still the present
denied having executed the Deed of Absolute lessors/owners thereof.
Sale and alleged that they had merely offered
to sell to Gagan the subject property for Moreover, the circumstance that the certificate
P900,000.00 on installment basis so that they of title covering the property offered as
could pay their loan obligation to Santos. After security was newly issued should have put
Gagan had initially paid P200,000.00, they petitioner on guard and prompted it to conduct
entrusted the owner's copy of TCT No. 153554 an investigation surrounding the transfer of the
to him. Gagan was unable to pay the balance of property to defendant Gagan. Had it inquired
the purchase price, rather she caused the further, petitioner would have discovered that
fraudulent cancellation of TCT No. 153554 and the property was sold for an unconscionably
the issuance of TCT No. 197220 in her name, low consideration of only P120,000.00 when it
and of eventually using TCT No. 197220 to could have fetched as high as P900,000.00. A
secure the loans obtained from petitioner. purchaser cannot close his eyes to facts which
should put a reasonable man on his guard and
Respondents also faulted petitioner for failing claim that he acted in good faith under the
to make adequate inquiries on the true belief that there was no defect in the title of
ownership of the property considering the the vendor. Petitioner is engaged in the
suspicious circumstances surrounding Gagan's business of extending credit to the public and
and Guevarra's request for loan immediately is, thus, expected to exercise due diligence in
after the issuance of the new certificate of dealing with properties offered as security. The
title. failure of respondent to take such
precautionary steps is considered negligence on
The RTC declared the Deed of Absolute Sale its part and would thereby preclude the
between Gagan and Dolleton as spurious and defense of good faith.
directed the reconveyance of the property to
the true and genuine owners, the spouses G.R. No. L-25494 June 14, 1972
Dolleton. CA affirmed RTCs decision. NICOLAS SANCHEZ
vs.
ISSUE: SEVERINA RIGOS