Bank of the Philippine Islands and Ana C. Gonzales vs. Sps. Fernando V.

Quiaoit
G.R. No. 199562; January 16, 2019

Facts:

Sps. Quiaoit filed a complaint against BPI alleging that encashed dollar bills by Lambayong
which were placed in a large Manila envelope were counterfeit. That the bank had been negligent
in not listing down the serial numbers of the dollar bill and failure to inform Lambayong about
the Chapa;

Issue:

Whether or not BPI failed to exercise due diligence in the transaction;

Ruling:

Yes, the High Court held that BPI failed to exercise the highest diligence that is not only
expected but required of a banking institution.

It is well-settled that the diligence required of banks is more than that of a good father of a
family. Banks are required to exercise the highest degree of difference n its banking transaction.

In releasing the dollar bills without listing down their serial numbers, BPI failed to exercise the
highest degree of care and diligence required of it. Likewise, BPI had the last clear chance to
prove that al the dollar bill it issued to the spouses Quiaoit were genuine and that the counterfeit
bills did not come from it if only it listed down the serial numbers of the bills