SPECIAL CIVIL ACTIONS When interpleader is proper?
RULE 62 INTERPLEADER Requirements:
Define Interpleader
A remedy whereby a person who has a personal property
in his possession, or an obligation to render wholly or
partially, without claiming any right in both, comes to
court and asks that the persons who claim said personal
property or who consider themselves entitled to demand
compliance with the obligation, be required to litigate
among themselves, in order to determine finally who is
entitled to one or the other thing
How is it initiated?
The legal civil remedy of interpleader is initiated by filing a
"complaint for interpleader" before the court of
competent jurisdiction
Who are the parties to the complaint for interpleader?
a. plaintiff-in-interpleader - the party initiating the
litigation. In other jurisdiction the plaintiff referred as the
stakeholder while the money or other property in
controversy is called res
b. complaints-in-interpleader - they are defendants
having a possible interest in the subject matter of the
case
Give the jurisdiction and venue of the complaint for
interpleader
a. Jurisdiction - lies with the RTC and MTC depending on
the assessed value of the property
1. MTC, MeTC - where the value of the claim or the
personal property does not exceed 300K outside of Metro
Manila or 400K in Metro Manila or where the value of the
real property does not exceed 20K outside Metro Manila
or 50K in Metro Manila
2. RTC - if the value exceeds the above amounts or if the
subject matter incapable of pecuniary estimation is
exclusively within the jurisdiction of the RTC
b. Venue - governed by the general rules on venue (Rule
4) unless otherwise provided
1. Where the subject matter is a real property, in the court
which has jurisdiction over the area wherein the real
property involved, or a portion thereof, is situated
2. Where the subject matter is a personal property, where
the plaintiff or any of the principal plaintiff resides or
where the defendant or any of the principal defendants
resides at the option of the plaintiff
There is a party against whom a conflicting claims are
asserted, (a) who claims no interest whatsoever in whole
or in part upon the same subject matter, or (b) an interest
which in whole or in part is not disputed by the claimants
To whom should the action be filed?
The party against whom a conflicting claims are asserted
may bring an action against the conflicting claimants
(Sec 1, Rule 62)
What is the purpose of filing the action against the
conflicting claimants?
To compel them to interplead and litigate their several
claims among themselves (Sec 1, Rule 62)
What is the indispensable element of interpleader action?
"Conflicting claims upon the same subject matter are or
may be made" against the plaintiff-in-interpleader "who
claims no interest whatever in the subject matter or an
interest which in whole or in part is not disputed by the
claimants"
What is the purpose of an action of interpleader?
An action of interpleader is afforded to protect a person
not against double liability but against double vexation in
respect of one liability
What is a civil action?
The rules define a "civil action" as "one by which a party
sues another for the enforcement or protection of a right,
or the prevention or redress of a wrong
In an ordinary civil action, a party's claim is asserted "in a
complaint, counterclaim, cross-claim, third (fourth, etc.)
party complaint, or complaint-in-intervention. In an
interpleader suit, however, a claim is not required to be
contained in any of these pleadings but in the answer-in-
interpleader
What are the cases when interpleader proper?
1. When the lessee does not know to whom payment of
rentals should be made due to conflicting claims on the
property (or on the right to collect)
2. Where personal property is seized under a search
warrant and it appears that the seizure will not be
followed by the filing of any criminal action, but there are
conflicting claims asserted over the seized property, the
appropriate remedy is the institution of an ordinary civil
action by any interested party, or of an interpleader
action by the government itself, in the proper competent enforcing separate and distinct claims on their respective
court to which the seizing court shall transfer custody of properties
the articles
When should an interpleader be filed?
3. A lessee who does not know the person to whom he
will pay the rentals due to the conflicting claims over the An action for interpleader should be filed within a
property leased, or a sheriff who finds himself puzzled by reasonable time after a dispute has arisen without waiting
conflicting claims to a property seized by him to be sued by either of the contending claimants.
Otherwise, he may be barred by laches or undue delay
4. Sec 17 of Act No. 2137 (Warehouse Receipts Law)
which provides: "If more than one person claims the title Distinguish interpleader from intervention
or possession of the goods, the warehouseman may,
INTERPLEADER INTERVENTION
either as a defense to an action brought against him for
1. It is an original action. It is 1. It is an ancillary action. It
non-delivery of the goods or as an original suit, whichever
commenced by filing a is commenced by filing a
is appropriate, require all known claimants to interplead complaint motion to intervene at any
time before rendition of
5. In case of a life insurance where the insured dies and judgment by the trial court
there is a dispute over who should receive the proceeds. 2. The plaintiff-in- 2. those who can intervene
The insurance company is the plaintiff-in-interpleader, the interpleader claims no are as follows who has
claimants-in-interpleader are the persons who might be interest whatever in the (a) a legal interest in the
beneficiaries under the policy and the cash value of the subject matter or an matter of litigation
interest which in whole or in (b) in the success of either
policy benefit is the res
part is not disputed by the of the parties
claimants (c) an interest against both
What are the cases when interpleader not proper?
(d) is so situated as to be
adversely affected by a
1. When conflicting claims are not against the plaintiff,
distribution or other
who claims no interest whatever in the subject matter or disposition of property in
interest the custody of the court or
of an offer thereof
Beltran vs People's Homesite and Housing Corporation
3. the defendants are 3. the defendants are
An interpleader suit was filed by plaintiffs in their own being sued to compel original parties to the
behalf and in behalf of all residents of Project 4 in QC, them to interplead and pending suits
praying that the two-defendant government litigate their several claims
corporations be compelled to litigate and interplead among themselves
4. the pleadings filed are 4. The pleadings-in-
between themselves their alleged conflicting claims
the complaint-in- intervention are the
involving said Project 4 was held not proper. SC held that interpleader, answer, complaint-in-intervention fi
while the two defendant corporations may have counterclaims, cross- the intervenor asserts a
conflicting claims between themselves with regard to the claims, third-party claim against either or all of
management, administration and ownership of Project 4, complaints and responsive the original parties or an
such conflicting claims are not against the plaintiffs nor pleadings therein answer-in-intervention if he
do they involve or affect the plaintiffs units with the defending
party in resisting a claim
against the latter
2. When conflicting claims are not upon the same subject
5. Period to file answer is 5. period to file answer to
matter
fifteen days from the the compaint-in-
service of summons intervention is 15 days from
Camilo vs Arcamo notice of the order
admitting the same unless
Plaintiffs filed two ejectment suits against occupants of a different period is fixed
two different parcels of land. The occupants had by the court
constructed a building encroaching upon both parcels of 6. the answer is served to 6. answer to the complaint-
land. Each plaintiff claiming the right of possession and the plaintiff-in-interpleader in-intervention is served to
recovery over his respective portion of the lands and upon each of the the intervenor who filed the
encroached upon. SC held that the occupants could not conflicting claimants complaint-in-intervention
7. filed at the first instance 7. filed where the original
properly file an interpleader suit, against the plaintiffs, to
with the RTC or MTC action Is pending
litigate their alleged conflicting claims upon the same depending on the nature
subject matter against the occupants, but were of the property and its
assessed value
8. the remedy is to appeal
the judgment
9. the claimants failure to
plead within the time fixed,
the court may, on motion
declare him in default and
thereafter render judgment
barring him from any claim
in respect to the subject
matter
8. the remedy in case of If the motion to dismiss is denied, the movant may file an
denial of intervention is to answer within the remaining period, but which shall not
appeal the denial being a be less than 5 days in any event, reckoned from notice of
final order or file a separate
denial
action
9. the failure to plead
What pleading should be filed?
within the time allowed,
the court shall, upon
Each claimant shall file his answer setting forth his claim
motion of the claiming
party with notice and proof (Section 5, Rule 62)
of such failure declare the
party against whom the What is the period to file an answer?
complaint-in-intervention
was filed in default and Within 15 days from service of summons upon him
thereafter render judgment (Section 5, Rule 62)
granting the relief as the
pleading may warrant To whom answer shall be served?
unless the court in its
discretion requires the To the plaintiff-in-interpleader and upon each of the
claimant to submit other conflicting claimants who may file their reply
evidence thereto

What are the effect of failure to plead within the required

What is the court action upon filing of the complaint for
period?
interpleader?
If any claimant fails to plead within the time herein fixed,
The court shall issue an order requiring the conflicting
the court may, on motion:
claimants:
1. declare him in default; and
1. to interplead with one another
2. thereafter render judgment barring him from any claim
2. if the interests of justie so require, the court may direct
in respect to the subject matter. (Section 5, Rule 62)
in such order that the subject matter be paid or delivered
to the court What are the other pleadings allowed to be filed?

To whom summons served and accompanying The parties in an interpleader action may file:
documents?
1. counterclaims
The summons shall be served upon the conflicting
claimants with a copy of the complaint and order (Sec 3, 2. cross-claims
Rule 62)
3. third-party complaints and responsive pleadings
the purposes of the service of summons to the conflicting thereto, as provided by these Rules. (Section 5, Rule 62)
claimants is for the court to acquire jurisdiction over their
persons Conflicting claimants as the party litigating

Who shall file the motion to dismiss and the period to file?
Each of the claimants may file the motion to dismiss and
within the time for filing an answer
What are the grounds for motion to dismiss?
1. impropriety of the interpleader action
2. other appropriate grounds specified in Rule 16
The period to file an answer shall be tolled
What is the effect if the motion to dismiss is denied?
It should be noted that in the ordinary civil action, except
when 'the answer contains a cross-claim the defendants
are not serving each other copies of their answers. But in
the special civil action: of interpleader each of the
conflicting claimants are being served with the answer.
This is because the conflicting claimants are actually the
parties litigating the conflicting claims.
When to determine and adjudicate the rights?
After the pleadings of the conflicting claimants have
been filed and pre-trial has been conducted in
accordance with the Rules, the court shall proceed to
determine their respective rights and adjudicate their
several claims. (Section 6, Rule 62)
Trial to be held after filing of pleadings and pre-trial

What is the purpose of the docket, lawful fees, costs and

litigation expenses?

The docket and other lawful fees paid by the party who
filed a complaint under this Rule, as well as the costs and
litigation expenses, shall constitute a lien or charge upon
the subject matter of the action, unless the court shall
order otherwise. (Section 7, Rule 62)

Sun Insurance Office, Ltd. v. Judge Asuncion (252 Phil.

280, 291 [1989) provides us guidance in the payment of
docket fees, to wit:

1. Where the filing of the initiatory pleading is not

accompanied by payment of the docket fee, the court
may allow payment of the fee within a reasonable time
but in no case beyond the applicable prescriptive or
reglementary period.

2. The same rule applies to permissive counterclaims,

third-party claims and similar pleadings, which shall not
be considered filed until and unless the filing fee
prescribed therefor is paid.

The court may also allow payment of said fee within a

reasonable time but also in no case beyond its
applicable prescriptive or reglementary period.