8/19/2019 Article 1200-1500 (INC)

1/43

1. Abduhalim, A.2. Alba, M.3. Avila, R.4. Baiddin, S.5. Balan, A.6. Cabading, A.7. Dalis, S.8. Daud, A.9. D!in, R.1". Dl#$ina, R.11. %assan, A.12. %assan, &13. '#, %.14. (ulani, M.15. )a$i*, '.16. )im, '.17. Manguba$, '.

18. Mi+al, A.19. Sa*hi, S.2". a*, C.21. u, -.

 # Assignd A/$i!l

10.02 Abella v. Francisco GR 32336, 12/20/30

FACTS: 0/an!is!# had #bliga$i#ns du #n D!mb/ 1928. gn/a$ unds h s#ld l#$s 937 $# 945 # &ala

-s$a$ $# Ablla. n !$. 31 0/an!is!# and Ablla signd $h #ll#ing d#!umn$ R!ivd *amn$ # 5"" /#m 'uli# Ablla as *amn$ #n a!!#un$ #/ $h said l#$s du #n #/ b#/ D!. 15, 1928, $ndibl15das $h/a$/. $al db$ as a/#und 21,6"". As # #v. 1928 Ablla had *aid 915.34. 0/an!is!#!u$d a *#/ # a$$#/n in av#/ # Maban$a b!aus h as in Cbu #n D!mb/ 27 0/an!is!#sins$/u!$i#ns $# Maban$a / $# in#/m Ablla $ha$ $h #*$i#n #uld b !#nsid/d !an!lld i h aild $#ma: ull *amn$ and $# /$u/n $# himha$ h has *aid $hus a/ i Ablla / $# *a $h ull am#un$Maban$a as ins$/u!$d $# sign all $h d#!umn$s /;ui/d b $h Bu/au # )ands #/ $h $/ans/ # #n/shi* # $h said l#$s. Maban$a in#/md Ablla # $hs ins$/u!$i#ns Ablla as:d #/ an $nsi#n # $h */i#d # *amn$ $# hi!h Maban$a ag/d, giving him un$il 'an. 5 1929. Ablla did n#$ #/ *amn$un$il 'an. 9 Maban$a /usd $# a!!*$ Abllas *amn$ and /$u/nd $# $h la$$/ b !h!: $h sum # 915.34 hi!h h *aid */vi#usl. Ablla b/#ugh$ an a!$i#n $# !#m*l $h !u$i#n # $h sal in his av#/,

hi!h as dnid b $h !#u/$ hn! $his a**al

ISSUE

8/19/2019 Article 1200-1500 (INC)

2/43

A/$i!l 12"1

1".0# $n% v. Cen&'r(

FACTS: &h *lain$i #nd a building $ha$ as insu/d agains$ i/ b $h dndan$ in $h sum # h*3",""", in!luding $h m/!handis $h/in !#n$aind in $h sum # h* 15,""". B#$h $h h#us andm/!handis insu/d / bu/nd in 0b/ua/ 28, 1923 hil $h *#li!is issud b $h dndan$ in av#/ # $h *lain$i / s$ill in #/!.

&h C0= # =l#il# g/an$d $h !as in av#/ # $h *lain$i $ha$ &h Cn$u/ =nsu/an! C#. sh#uld *a ng>uan Can $h sum # h* 45,""" as $h $#$al valu # $h insu/d h#us and m/!handis.

&h a**llan$ !#n$nds $ha$ und/ !laus 14 # $h !#ndi$i#ns # $h *#li!is,i$ ma /build $h h#us bu/n$,and al$h#ugh $h h#us ma b small/, $ i$ #uld b sui!in$ indmni$ $# $h insu/d #/ $h a!$ual l#sssu/d b him.

&h !laus !i$s b $h a**llan$ is as #ll#s

&h C#m*an ma a$ i$s #*$i#n /ins$a$ #/ /*la! $h */#*/$ damagd #/ ds$/#d, #/ an *a/$$h/#, ins$ad # *aing $h am#un$ # $h l#ss # damags, #/ ma +#in i$h an #$h/ C#m*an #/ insu//s in s# d#ing, bu$ $h C#m*an shall n#$ b b#und $# /ins$a$ a!$l #/ !#m*l$l, bu$ #nlas !i/!ums$an!s */mi$ and in /as#nabl sui!in$ mann/, and in n# !as shall $h C#m*an b

 b#und $# *nd m#/ in /ins$a$mn$ $ha$ i$ #uld hav !#s$ $# /ins$a$ su!h */#*/$ as i$ as a$$h $im # $h #!!u//n! # su!h l#ss #/ damag, n#/ m#/ $han $h sum insu/d b $h C#m*an$h/#n.

ISSUE:  =s i$ n!ssa/ $ha$ $h #blig#/ mus$ giv !#nsn$ b#/ $h !h#i! shall b binding u*#n $h!/di$#/.

RUI!G: =$ mus$ b n#$d $ha$ in al$/na$iv #bliga$i#ns, $h db$#/, $h insu/an! !#m*an in $his !as,

mus$ n#$i $h !/di$#/ # his l!$i#n, s$a$ing hi!h # $h $# */s$a$i#ns h is dis*#sd $# ulill, ina!!#/dan! i$h a/$i!l 1133 # $h Civil C#d. &h #b+!$ # $his n#$i! is $# giv $h !/di$#/, $ha$ is, $h

 *lain$i in $h ins$an$ !as, #**#/$uni$ $# */ss his !#nsn$, #/ $# im*ugn $h l!$i#n mad b $h db$#/,and #nl a$/ said n#$i! shall $h l!$i#n $a: lgal !$ hn !#nsn$d b $h !/di$#/, #/ i im*ugnd

 b $h la$$/, hn d!la/d */#*/ b a !#m*$n$ !#u/$.

A/$i!l 12"7

3.0 Ali)io v. CA Se)&e*ber 2+, 2000

FACTS: Rs*#ndn$ R#m# 'a/ing as $h lss # a 14.5 h!$a/ ish*#nd in Ba/i$#, Mabu!#, %/m#sa,Ba$aan, #/ a */i#d # iv a/s nding #n S*$mb/ 12, 199". n 'un 19, 1987, h sublasd $hish*#nd, #/ $h /maining */i#d # his las, $# $h s*#uss la!id# and u/i$a Ali*i# and $h s*#ussBinvnid# and Rmdi#s Manul. &h s$i*ula$d am#un$ # /n$ as 485,6""."", *aabl in $#ins$allmn$s # 3"","""."" and 185,6""."", i$h $h s!#nd ins$allmn$ alling du #n 'un 3", 1989.-a!h # $h #u/ sublsss signd $h !#n$/a!$.&h i/s$ ins$allmn$ as dul *aid, bu$ # $h s!#nd ins$allmn$, $h sublsss #nl sa$isid a *#/$i#n$h/#, laving an un*aid balan! # 5",6""."". Ds*i$ du dmand, $h sublsss aild $# !#m*l i$h$hi/ #bliga$i#n, s# $ha$, #n !$#b/ 13, 1989, */iva$ /s*#ndn$ sud $h Ali*i# and Manul s*#uss #/ $h!#ll!$i#n # $h said am#un$ b#/ $h Rgi#nal &/ial C#u/$. =n $h al$/na$iv, h */ad #/ $h /s!issi#n

# $h sublas !#n$/a!$ sh#uld $h dndan$s ail $# *a $h balan!. $i$i#n/ u/i$a Ali*i# m#vd $# dismiss $h !as b!aus h/ husband had *assd aa. And $ha$

an a!$i#n #/ /!#v/ # m#n, db$ #/ in$/s$ $h/#n, shall b dismissd hn $h dndan$ dis b#/

8/19/2019 Article 1200-1500 (INC)

3/43

8/19/2019 Article 1200-1500 (INC)

4/43

dndan$@s daul$, h/in *lain$i ild a m#$i#n #/ !u$i#n. R#n;uill# and an#$h/ dndan$ ila/ &an#/d $# *a $hi/ sha/s # $h am#un$ du. Bu$ #n 'an. 22, 198", *lain$i An$#ni# S# m#vd #/ $h/!#nsid/a$i#n #/ m#dii!a$i#n # $h a#/said /d/ # !u$i#n and */ad ins$ad #/ $h !u$i#n # $h d!isi#n in i$s n$i/$ agains$ all dndan$s, +#in$l and sv/all. $i$i#n/ #**#sd $h said m#$i#na/guing $ha$ und/ $h d!isi#n # $h l#/ !#u/$ bing !u$d hi!h has al/ad b!#m inal, $hliabili$ # $h #u/ dndan$s as n#$ */ssl d!la/d $# b s#lida/, !#ns;un$l a!h dndan$ is#bligd $# *a #nl his #n 1K4 # $h am#un$ dmandabl.

ISSUE:

8/19/2019 Article 1200-1500 (INC)

5/43

Iss'e: /g#/i#ul# as */in!i*al /*/sn$a$iv # his !hild/n. n Aug.12, 19"9, >/g#/i# ul#, in /*/sn$a$i#n # his 3siblings, !u$d a n#$a/ial ins$/umn$, /a$iing all $h !#n$n$s # $h */i#/ d#!umn$ # 'an.26, 19"8,sv/all and +#in$ a!:n#ldgd $hi/ indb$dnss #/ 253,445.42, 1" */ annum, 5 ins$allmn$s.lain$i b/#ugh$ an a!$i#n agains$a >/g#/i# #/ $h *amn$ # $h said balan! du. Bu$ #n Ma 12, 1911,3 siblings !u$d an#$h/ ins$/umn$ in /!#gni$i#n # $h db$, /du!d $# 225,""", in$/s$ /du!d $#6 */ annum, ins$allmn$s in!/asd $# 8.

ISSUE:

8/19/2019 Article 1200-1500 (INC)

6/43

ins#a/ as $h d!isi#n aild $# h#ld $h in+un!$i#n b#nd liabl #/ damags aa/dd b $h $/ial !#u/$. &h/s*#ndn$ C#u/$ # A**als hld $ha$ $h !an!lla$i#n #/ $/mina$i#n # $h ag/mn$ */i#/ $# i$s *i/a$i#n

 */i#d is +us$iid as i$ as b/#ugh$ ab#u$ b S@s #n daul$ in his !#m*lian! i$h $h $/ms # $hag/mn$ and n#$ Lm#$iva$d b /aud #/ g/d.L =$ als# ai/md $h aa/d $# I-C # $h am#un$ # 1"","""."" !ha/gabl agains$ $h in+un!$i#n b#nd *#s$d b CB=SC hi!h as s#undl and am*l

 +us$iid b $h $/ial !#u/$.ISSUE

8/19/2019 Article 1200-1500 (INC)

7/43

RUI!G: =n $his +u/isdi!$i#n *nal$is */#vidd in !#n$/a!$s # $his !ha/a!$/ a/ n#/!d. =$ is $h /ul $ha$ *a/$is h# a/ !#m*$n$ $# !#n$/a!$ ma ma: su!h ag/mn$s i$hin $h limi$a$i#ns # $h la and *ubli! *#li! as $h dsi/, and $ha$ $h !#u/$s ill n#/! $hm a!!#/ding $# $hi/ $/ms. &h #nl !as/!#gnid b $h Civil C#d in hi!h $h !#u/$ is au$h#/id $# in$/vn #/ $h *u/*#s # /du!ing a

 *nal$ s$i*ula$d in $h !#n$/a!$ is hn $h */in!i*al #bliga$i#n has bn *a/$l #/ i//gula/l ulilld and$h !#u/$ !an s $ha$ $h */s#n dmanding $h *nal$ has /!ivd $h bni$ # su!h #/ i//gula/ 

 */#/man!. =n su!h !as $h !#u/$ is au$h#/id $# /du! $h *nal$ $# $h $n$ # $h bni$s /!ivd b $h *a/$ n#/!ing $h *nal$.

&h/ is n# di/n! b$n a *nal$ and li;uida$d damags, s# a/ as lgal /sul$s a/ !#n!/nd.

8/19/2019 Article 1200-1500 (INC)

8/43

a$al ini/mi$, and hn !*$i#nal !i/!ums$an!s s# is$ as $# a//an$ i$. =n $h !as a$ ba/, givn $h!i/!ums$an!s, n#$ $# mn$i#n $h /*a$d a!$s # b/a!h b *$i$i#n/s # $hi/ !#n$/a!$ual #bliga$i#n, $hisC#u/$ ss n# !#gn$ g/#und $# /uling # $h a**lla$ !#u/$.

16.10 Tan v. CA $c&ober 1+, 2001

FACTS:  n Ma 14, 1978 and 'ul 6, 1978, *$i$i#n/ An$#ni# &an #b$aind $# 2 l#ans a!h in $h */in!i*al am#un$ # &# Milli#n s#s 2,""","""."", #/ in $h $#$al */in!i*al am#un$ # 0#u/ Milli#ns#s 4,""","""."" /#m /s*#ndn$ Cul$u/al Cn$/ # $h hili**ins CC, #/ b/vi$ vidn!d b$# 2 */#miss#/ n#$s i$h ma$u/i$ da$s #n Ma 14, 1979 and 'ul 6, 1979, /s*!$ivl. $i$i#n/ daul$d bu$ a$/ a *a/$ial *amn$s h had $h l#ans /s$/u!$u/d b /s*#ndn$ CC, and *$i$i#n/ a!!#/dingl !u$d a */#miss#/ n#$ -hibi$ A #n Augus$ 31, 1979 in $h am#un$ # &h/ Milli#n 0#u/ %und/d -lvn &h#usand 0#u/ %und/d &n$?n s#s and &hi/$?&# Cn$av#s 3,411,421.32

 *aabl in iv 5 ins$allmn$s.$i$i#n/ &an aild $# *a an ins$allmn$ #n $h said /s$/u!$u/d l#an # &h/ Milli#n 0#u/ %und/d -lvn &h#usand 0#u/ %und/d &n$?n s#s and &hi/$?&# Cn$av#s3,411,421.32, $h las$ ins$allmn$ alling du #n D!mb/ 31, 198". =n a l$$/ da$d 'anua/ 26, 1982,

 *$i$i#n/ /;us$d and */#*#sd $# /s*#ndn$ CC a m#d # *aing $h /s$/u!$u/d l#an, i.., a $n$ */!n$ 2" # $h */in!i*al am#un$ # $h l#an u*#n $h /s*#ndn$ giving i$s !#n#/mi$ $# his */#*#saland b $h balan! #n $h */in!i*al #bliga$i#n *aabl in $hi/$?si 36 ;ual m#n$hl ins$allmn$s un$ilull *aid. n !$#b/ 2", 1983, *$i$i#n/ again sn$ a l$$/ $# /s*#ndn$ CC /;us$ing #/ am#/a$#/ium #n his l#an #bliga$i#n un$il $h #ll#ing a/ allgdl du $# a subs$an$ial ddu!$i#n in $hv#lum # his businss and #n a!!#un$ # $h *s# dvalua$i#n. # av#/abl /s*#ns as mad $# saidl$$/s. =ns$ad, /s*#ndn$ CC, $h/#ugh !#unsl, /#$ a l$$/ da$d Ma 3", 1984 $# $h *$i$i#n/ dmanding ull *amn$, i$hin $n 1" das /#m /!i*$ # said l$$/, # $h *$i$i#n/s /s$/u!$u/d l#anhi!h as # A*/il 3", 1984 am#un$d $# Si Milli#n -igh$?-igh$ &h#usand Svn %und/d &hi/$?0ivs#s and &h/ Cn$av#s 6,"88,735."3. n Augus$ 29, 1984, /s*#ndn$ CC ild in $h R&C # Manila a !#m*lain$ #/ !#ll!$i#n # a sum # m#n, d#!:$d as Civil Cas #. 84?26363, agains$ $h

 *$i$i#n/ a$/ $h la$$/ aild $# s$$l his said /s$/u!$u/d l#an #bliga$i#n. &h *$i$i#n/ in$/*#sd $hdns $ha$ h m/l a!!#mm#da$d a /ind,

8/19/2019 Article 1200-1500 (INC)

9/43

1959 $# $h sa$isa!$i#n # $h Ind#/. 0ailu/ $# d# s#, $h b#nd hi!h $h Ind has dliv/d $# $hInd#/ in $h sum # 11,123."" and vidn!d b a !ash b#nd /!i*$ da$d A*/il 1959 ill b #/i$d inav#/ # $h Ind#/ b $h m/ a!$ # ailu/ # $h vnd $# !#m*l i$h $his !#ndi$i#n. Cla/l, Andalgav a Su/$ B#nd, h as */in!i*al, and $h -m*i/ =nsu/an! C#., as su/$, +#in$l and sv/all,und/$##: $# *a Ma:a$i Dv$. C#/*. $h sum # 12,""" in !as Andal aild $# !#m*l i$h his #bliga$i#nund/ $h dd # sal. Jn#/$una$l, Andal did n#$ build his h#us, ins$ad h s#ld $h l#$ $# 'uan Ca/l#s.Ma:a$i Dv$. sn$ a n#$i! # !laim $# $h -m*i/ =nsu/an! C# advising i$ # Andal@s ailu/ $# !#m*l i$hhis und/$a:ing. &hn dmandd $h *amn$ # 12,""", bu$ as /usd. S# Ma:a$i ild a !#m*lain$agains$ -m*i/, h#v/, -m*i/ ild ans/ i$h a $hi/d?*a/$ !#m*lain$ agains$ Andal, !#m*lling Andal$# *a -m*i/ ha$v/ am#un$ i$ ma b #/d/d $# *a $h Ma:a$i Dv$. *lus$ in$/s$ /#m $h da$ # $hiling # $h !#m*lain$ un$il said am#un$ as ull /imbu/sd, and a$$#/n@s s. #n$hlss, Andaladmi$$d $h !u$i#n # $h b#nd and allgd $ha$ $h Ls*!ial !#ndi$i#nL in $h dd # sal as !#n$/a/$# la, m#/als and *ubli! *#li!. n a**al, !#u/$ /du!d Andal@s liabili$ b!aus $h/ as #nl /all ali$$l dla, bu$ Ma:a$i a/gus $ha$ Andal b!am liabl #/ $h ull am#un$ # his b#nd u*#n his ailu/ $#

 build a h#us i$hin $h $#?a/ */i#d hi!h *i/d #n Ma/!h 1961.

ISSUE: s$uv# inav#/ # ila/ d >uman. Bu$, $h *$i$i#n/s dnid $h /;us$. As a /sul$, $h */iva$ /s*#ndn$ ild a

!#m*lain$ #/ s*!ii! */#/man! i$h damags agains$ $h *$i$i#n/s b#/ $h C#u/$ # 0i/s$ =ns$an! # Rial. =n h/ !#m*lain$, $h */iva$ /s*#ndn$ !ha/gd $ha$ $h *$i$i#n/s, b /using $# u/nish h/ i$h!#*is # $h d#!umn$s /;us$d, dlib/a$l in$ndd n#$ $# !#m*l i$h $hi/ #bliga$i#ns und/ $h!#n$/a!$ $# sll, as a /sul$ # hi!h $h said *$i$i#n/s !#mmi$$d a b/a!h # !#n$/a!$, and had als# a!$dunai/l and in manis$ bad ai$h #/ hi!h $h sh#uld b hld liabl #/ damags. Ans/ing $h!#m*lain$, $h *$i$i#n/s !laimd $ha$ $h !#m*lain$ aild $# s$a$ a !aus # a!$i#n $ha$ $h balan! duas al/ad */?d$/mind in $h !#n$/a!$ $ha$ $h *$i$i#n/s hav n# #bliga$i#n $# u/nish $h */iva$/s*#ndn$ i$h !#*is # $h d#!umn$s /;us$d and $ha$ $h */iva$ /s*#ndn$@s ailu/ $# *a $h

 balan! # $h *u/!has */i! #n $h da$ s*!iid had !ausd $h !#n$/a!$ $# *i/ and b!#m in!$ivi$h#u$ n!ssi$ # n#$i! #/ # an +udi!ial d!la/a$i#n $# $ha$ !$.

n #vmb/ 29, 1977, $h $/ial !#u/$ /nd/d a d!isi#n a**/#ving $h !#m*/#mis ag/mn$ submi$$d b $h *a/$is h/in $h ag/d $ha$, am#ng #$h/s, n#$ la$/ $han D!mb/ 18, 1977, *lain$i ill *adndan$s $h $#$al am#un$ # $# hund/d #/$ $h#usand *24","""."" *s#s, and in !as # ailu/ $# d#s#, sh shall hav #nl un$il 'anua/ 27, 1978 i$hin hi!h $# *a $h $#$al am#un$ # $# hund/d i$

8/19/2019 Article 1200-1500 (INC)

10/43

$h#usand *25","""."" *s#s, hi!h shall b $/a$d as !#m*l$ and inal *amn$ # $h !#nsid/a$i#n in$h !#n$/a!$ $# sll.

n 'anua/ 28, 1978, $h *$i$i#n/s ild a m#$i#n #/ $h issuan! # a /i$ # !u$i#n, !laiming $ha$ $h */iva$ /s*#ndn$ had aild $# abid b $h $/ms # $h !#m*/#mis ag/mn$ and *a $h am#un$s*!iid in $hi/ !#m*/#mis ag/mn$ i$hin $h */i#d s$i*ula$d. &h */iva$ /s*#ndn$ #**#sd $hm#$i#n, saing $ha$ sh had !#m*lid i$h $h $/ms and !#ndi$i#ns # $h !#m*/#mis ag/mn$ and as:d$h !#u/$ $# di/!$ $h *$i$i#n/s $# !#m*l i$h $h !#u/$@s d!isi#n and !u$ $h n!ssa/ d#!umn$s $#

!$ $h $/ans/ # #n/shi* # $h $# *a/!ls # land in ;us$i#n $# h/.A!$ing u*#n $h m#$i#ns, $h /s*#ndn$ +udg issud an #/d/ #n Ma/!h 27, 1978, dning $h *$i$i#n/s@m#$i#n #/ !u$i#n, and ins$ad, di/!$d $h *$i$i#n/s $# immdia$l !u$ $h n!ssa/ d#!umn$s,$/ans//ing $# */iva$ /s*#ndn$ $h $i$l $# $h */#*/$is. % als# #/d/d $h Cl/: # C#u/$ $# /las $#$h *$i$i#n/s $h am#un$ # 25","""."", hi!h had bn d*#si$d b $h */iva$ /s*#ndn$, u*#n */#*/ /!i*$ $h/#/.

Iss'e: 

8/19/2019 Article 1200-1500 (INC)

11/43

RUI!G

8/19/2019 Article 1200-1500 (INC)

12/43

FACTS: !$avi# (alal# is a li!nsd !ivil ngin/ # .A. (alal# and Ass#!ia$s. Al/d# )u is ali!nsd a/!hi$!$ # A.'. )u and Ass#!ia$s. -ngin/ (alal# and a/!hi$!$ )u n$/d in$# an ag/mn$s$i*ula$ing $ha$ $h ngin/ as $# /nd/ ngin/ing dsign s/vi!s $# $h a/!hi$!$ #/ s. &h s/vi!sin!ludd dsign !#m*u$a$i#n and s:$!hs, !#n$/a!$ d/aing and $!hni!al s*!ii!a$i#ns # all $hngin/ing *hass # $h */#+!$ dsignd b .A. (alal# and Ass#!ia$s, bill # ;uan$i$is and !#s$s$ima$s, and !#nsul$a$i#n and advi! du/ing !#ns$/u!$i#n /la$iv $# #/:.

&h s ag/d u*#n as 2" # $h a/!hi$!$s s.

&h ag/mn$ as subs;un$l su**lmn$d b a !la/ii!a$i#n l$$/?*/#*#sal $ha$ $h s!hdul # ngin/ing s s$i*ula$d in $h !#n$/a!$ D-S & !#v/ $h #unda$i#n s#il *l#/a$i#n andindus$/ial *lan$s Nhi!h a/ */#+!$s */in!i*all ngin/d b $h (alal# and Ass#!ia$sOP.and $h (alal#and Ass#!ia$s /s/vs $h /igh$ $# in!/as s #n */#+!$s, hi!h !#s$ lss $hn 1"","""P.

-ng/. (alal# /nd/d ngin/ing s/vi!s $# A/!hi$!$ )u in 1" */#+!$s in )ga*i Ci$, =l#il# Ci$, Cbu,Ma:a$i, Manila, Ba$aan and )aguna.

-ng/ (alal# sn$ a s$a$mn$ # a!!#un$ sh#ing $h $#$al ngin/ing #/ s/vi!s /nd/d am#un$d $#

116,565."" /#m hi!h sum as $# b ddu!$d $h */vi#us *amn$s mad in $h am#un$ # 57,"""."",$hus laving a balan! du in $h am#un$ # 59,565."".

A/!hi$!$ sn$ an#$h/ !#m*u$a$i#n # s du $# $h ngin/ sh#ing a balan! # 1",861."8, ins$ad # $h am#un$ !laimd b $h ngin/. &h A/!hi$!$ sn$ a !h!: #/ his *amn$ bu$ $h ngin/ /usd $#a!!*$ as ull *amn$.

-ng/. (alal# ild a !#m*lain$ agains$ A/!hi$!$ )u #/ !#ll!$i#n and #/ damags. n # $h */#+!$s h!#ns$/u!$d as $h =n$/na$i#nal Ri! Rsa/!h =ns$i$u$ =RR= /#+!$ in hi!h $h =RR= *aid A/!hi$!$)u in JS d#lla/s Nin $h am#un$ # Q14",""". % !laimd $ha$ 2" # $h am#un$ is Q28,""". =n addi$i#n $#$ha$, $h $#$al s #/ #$h/ */#+!$s *aid in *s#s as 1"",2"4.46 !luding in$/s$ lss $h *aid balan!

# 69,323.21. &hus, $h un*aid balan! is Q28,""" and 3",881.25.

A/!hi$!$ )u ans/d $ha$ $h/ as n# */#visi#n in $hi/ !#n$/a!$ $ha$ *amn$ sh#uld b in d#lla/s.

&h $/ial !#u/$, u*#n ag/mn$ # $h *a/$is, au$h#/id $h !as $# b ha/d b#/ a C#mmissi#n/. &hC#mmissi#n/ /nd/d a /*#/$ hi!h s$a$s $ha$ $h am#un$ du $# $h ngin/ as Q28,"""."" J.S. ashis in $h =n$/na$i#nal Rsa/!h =ns$i$u$ /#+!$ hi!h as $n$ */!n$ 2" # $h Q14",""".""$ha$ as *aid $# $h a/!hi$!$.

&h $/ial !#u/$s D!isi#n /ga/ding $h basis # !#nv/si#n $28,00000 be converted into the !hilippinecurrency on the basis of the current rate of e"change at the time of the payment of this judgment, as certified 

to by the #entral an% of the !hilippines

ISSUE

8/19/2019 Article 1200-1500 (INC)

13/43

=n $h !as, $h #bliga$i#n # $h a/!hi$!$ $# *a $h ngin/ $h 2" # Q14","""."", #/ $h sum # Q28,"""."", a!!/ud #n Augus$ 25, 1961, #/ a$/ $h na!$mn$ # R*ubli! A!$ 529. R*ubli! A!$ 529 d#sn#$ */#vid #/ $h /a$ # !hang #/ $h *amn$ # #bliga$i#n in!u//d a$/ $h na!$mn$ # said A!$.&h l#gi!al C#n!lusi#n # $h SC is $ha$ $h /a$ # !hang sh#uld b $ha$ */vailing a$ $h $im # 

 *amn$.

D!isi#n It is Our considered view, therefore, that appellant should pay the appellee the equivalent in pesos of the $28,000.00 at the free market rate of exchane at the time of payment. !nd so the trial court 

did not err when it held that herein appellant should pay appellee $28,000.00 "to #e converted into the hilippine currency on the #asis of the current rate of exchane at the time of payment of this %udment,

as certified to #y the &entral 'ank of the hilippines, ...."

17."8 a*a v. Ialn!ia (a*unan, 1998

1".11 S&. a'l Fire arine Ins'rance Co. v. acon;ra( @ Co. Inc. arc 2, 1+#6

FACTS: 

8/19/2019 Article 1200-1500 (INC)

14/43

A/$i!l 1254

2.0"

8/19/2019 Article 1200-1500 (INC)

15/43

&h !as as R-MAD-D $# $h $/ial !#u/$ #/ $h /!*$i#n # $h in!#m s$a$mn$ # DB, as ll as $hs$a$mn$ # $h a!!#un$ # )dia . Cuba, and #/ $h d$/mina$i#n # a!h *a/$s inan!ial #bliga$i#n $# #nan#$h/.

3.0+ Re)ara&ions Co**ission v. Universal

8/19/2019 Article 1200-1500 (INC)

16/43

sal. &h als# ag/d $ha$ in $h vn$ 0l#/s ails $# !#m*l i$h his #bliga$i#ns, $h *$i$i#n/ ill bn$i$ld $# $h issuan! # a /i$ # !u$i#n /s!inding $h dd # !#ndi$i#nal sal and all $h *amn$smad ill b #/i$d in av#/ # $h *lain$i. n !$#b/ 15, 198", *$i$i#n/ dmandd *amn$ # $h

 balan! #n #/ b#/ !$#b/31 in!ludd $h ins$allmn$. n !$#b/ 3", 0l#/s sn$ a l$$/ signiing hisillingnss and in$n$i#n $# *a $h ull balan!. n #vmb/ 7, *$i$i#n/ ild a m#$i#n #/ /i$ # !u$i#n allging $ha$ 0l#/s aild $# *a $h ins$allmn$ du #n 'un 198" and als# aild $# *a $hm#n$hl /n$als /#m $ha$ da$. Sh */ad $ha$ $h dd # !#ndi$i#nal sal b /s!indd i$h #/i$u/ # all *amn$s and *amn$ # $h m#n$hl /n$als and vi!$i#n # 0l#/s. &h $/ial !#u/$ g/an$d $h m#$i#n.n #vmb/ 17, 0l#/s ild a m#$i#n #/ /!#nsid/a$i#n $nd/ing a$ $h sam $im a !/$iid manag/s!h!: *aabl $# *$i$i#n/ and !#v/ing $h n$i/ #bliga$i#n in!luding $h D!mb/ 198"ins$allmn$. &h$/ial !#u/$ dnid $h m#$i#n. n a**al, $h CA /uld in av#/ # 0l#/s h#lding $ha$ $h dla in *amn$as n#$ a vi#la$i#n # an ssn$ial !#ndi$i#n hi!h #uld a//an$ a /s!issi#n sin! n #vmb/ 17 #/ +us$17 das /#m $h !$#b/ 31dadlin s$ b *$i$i#n/, 0l#/s $nd/d $h !/$iid manag/s !h!: and$ha$ i$ as in;ui$abl #/ 0l#/s $# #/i$ all $h *amn$s mad 1"1,55".

ISSUE: E

8/19/2019 Article 1200-1500 (INC)

17/43

>E> # $h am#un$ # 5,""",""" #/ 

 *amn$ # $h /n$als in a//a/s. MCs /usal $# a!!*$ $h sam, #n $h g/#und m/l $ha$ i$slas*u/!has ag/mn$ i$h =M-C had bn /s!indd, as un+us$iid. i$h $h Sandiganbaansa**/#val # $h !#nsigna$i#n and di/!$iv #/ MC $# a!!*$ $h $nd/d *amn$, $h las?*u/!hasag/mn$ !#uld n#$ b said $# hav bn /s!indd.

16."6 abugais v. Sahi+ani 0b/ua/ 23,

21.0# once

8/19/2019 Article 1200-1500 (INC)

18/43

13.10 Soco v. ili&an&e 4'ne 2, 1+3

FACTS: S#!# and 0/an!is!# Mili$an$ n$/d in$# a !#n$/a!$ # las h/b S#!# lasd h/ !#mm/!ial building and l#$ #/ a m#n$hl /n$al # 8""."". A$/ S#!# la/nd $ha$ 0/an!is!# sub?lasd a *#/$i#n # $h building $# AC=DA, a$ a m#n$hl /n$al # m#/ $han 3,"""."" hi!h is dini$l v/ mu!h high/ $han ha$ 0/an!is!# as *aing $# S#!#, $h la$$/ l$ $ha$ sh as #n $h l#sing nd # $h las ag/mn$s# sh $/id $# l##: #/ as and mans $# $/mina$ $h !#n$/a!$. 0/an!is!# n#$i!d $ha$ S#!# did n#$anm#/ snd h/ !#ll!$#/ #/ $h *amn$ # /n$als and a$ $ims $h/ / *amn$s mad bu$ n# /!i*$s/ issud. &his si$ua$i#n */#m*$d 0/an!is!# $# /i$ S#!# a l$$/ hi!h $h la$$/ /!ivd. A$/ /i$ing$his l$$/, 0/an!is!# sn$ his *amn$ #/ /n$als b !h!:s issud b $h C#mm/!ial Ban: and &/us$C#m*an. =n vi # $his allgd n#n?*amn$ # /n$al # $h lasd */miss, S#!# $h/#ugh h/ la/ sn$ a l$$/ $# 0/an!is!# s/ving n#$i! $# $h la$$/ $# va!a$ $h */miss lasd. =n ans/ $# $his l$$/,0/an!is!# $h/#ugh his la/ in#/md S#!# and h/ la/ $ha$ all *amn$s # /n$al du h/ / in a!$

 *aid b C#mm/!ial Ban: and &/us$ C#m*an $h/#ugh $h Cl/: # C#u/$ # $h Ci$ C#u/$ # Cbu.Ds*i$ $his *lana$i#n, S#!# ild $his ins$an$ !as # =llgal D$ain/. M&C and R&C hav !#nli!$ingindings. &h #/m/ #und $ha$ $h !#nsigna$i#n as valid. R&C /v/sd and #/d/d $h vi!$i#n # $h0/an!is!#.

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

19/43

&h l#/ !#u/$ /s#lvd b#$h m#$i#ns, in !$ dning $hm and /i$/a$ing i$s */vi#us #/d/, $hdndan$s a/ h/b #/d/d $# d*#si$ i$h $h Cl/: # C#u/$ $h am#un$ # 5,1"6."" i$hin $n 1"das /#m /!i*$ # $his #/d/ sub+!$ $# u/$h/ dis*#si$i#n $h/# in a!!#/dan! i$h $h d!isi#n $# b/nd/d a$/ $/ial.

ISSUE:  =n$/na$i#nal C#n$inn$al -n$/*/ising =n!. v. 0l#/s !$#b/ 31, 1972

A/$i!l 1267

13.0# $ccena v. CA $c&ober 2+, 1+#6

FACTS: &/#*i!al %#ms =n!. h# ag/d $# dvl#* a subdivisi#n #n $h land #nd b 'sus and -ignia!!na h/in $h #/m/ #uld b *aid #nl 4" # $h sal # $h subdivisi#n l#$s, ild a !#m*lain$ #/ m#dii!a$i#n # $h $/ms and !#ndi$i#ns # i$s subdivisi#n !#n$/a!$ i$h *$i$i#n/s  #n $h Basis # A/$ 1267

# $h Civil C#d. &h a/ as:ing #/ m#dii!a$i#n # $h $/ms and !#ndi$i#ns # $h subdivisi#n !#n$/a!$du $# in!/as in !#s$s.

ISSUE:

8/19/2019 Article 1200-1500 (INC)

20/43

dis!#n$inu i$h $h /#!: !/ushing */#+!$ Ldu $# inan!ial, as ll as $!hni!al, dii!ul$is.L ? /iva$/s*#ndn$s /usd $# a!!d $# *$i$i#n/@s /;us$ #/ $h */$/mina$i#n # $h las !#n$/a!$. &hinsis$d #n $h */#/man! # *$i$i#n/@s #bliga$i#n and /i$/a$d $hi/ dmand #/ $h *amn$ # $h i/s$annual /n$al.ISSUE: 

8/19/2019 Article 1200-1500 (INC)

21/43

/s*#ndn$ +udg issud an #/d/ g/an$ing $h m#$i#n. $i$i#n/ ild a m#$i#n #/ /!#nsid/a$i#n $# $ha#/said #/d/, ass/$ing am#ng #$h/ $hings $ha$ said m#$i#n is n#$ v/iid, and $h/#/ a m/ s!/a*# *a*/. n Ma/!h 13, 1984, *$i$i#n/ ild a s*!ial !ivil a!$i#n #/ !/$i#/a/i and */#hibi$i#n i$h

 */limina/ in+un!$i#n i$h $h C#u/$ # A**als. =n a d!isi#n /nd/d #n !$#b/ 31,1984, $h C#u/$# A**als dismissd said *$i$i#n.

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

22/43

8/19/2019 Article 1200-1500 (INC)

23/43

=ns$/umn$s )a. Su!h al$/a$i#n did n#$ !hang $h /la$i#ns b$n $h *a/$is. &h nam # $h d/a/ and $h d/a / n#$ al$/d. &h in$ndd *a as $h sam. &h sum # m#n du $# $h *a/maind $h sam.

&h SC ai/md $h CA d!isi#n bu$ dl$d $h aa/d # A$$#/ns s sin! i$ as s$a$d #nl in $hdis*#si$iv *#/$i#n # $h d!isi#n and n# a!$ual, lgal and ;ui$abl /as#n #/ $h aa/d as s$a$d in $h$$ # $h !#u/$ d!isi#n.

11.11 Silahis M:$g. v. =AC >R )?74"27, 12K7K89

A/$i!l 129"

13.02 7I v. Re(es arc 2+, 1++6

FACTS: -dvin 0. Rs #*nd Savings A!!#un$ a$ *$i$i#n/ Ban: # $h hili**in =slands. =$ is a +#in$ADKR a!!#un$ i$h his i, S#nia S. Rs. % als# hld a +#in$ ADKR Savings A!!#un$ i$h hisg/andm#$h/, -m$/ia Rs, a$ $h sam B= b/an!h. % /gula/l d*#si$d in $his a!!#un$ $h J.S.

&/asu/

8/19/2019 Article 1200-1500 (INC)

24/43

C#m*an. Again $# s!u/ $h l#an, s*#uss Ma/!ial S and )ilian &an !u$d in av#/ # said ban: as!#nd /al s$a$ m#/$gag #v/ $h sam */#*/$. As in $h i/s$ ins$an!, $h m#/$gag as dulann#$a$d a$ $h ba!: # &C& #. 1"5233.

n 0b/ua/ 19, 1979, $h *a/$n/shi* A+a Ma/:$ing C#m*an as !#nv/$d in$# a !#/*#/a$i#ndn#mina$d as A+a Ma/:$ing and Dvl#*mn$ C#/*#/a$i#n, i$h $h #/iginal *a/$n/s Angli$aR#d/igu and An$#ni# &an as in!#/*#/a$#/s and $h/ 3 addi$i#nal in!#/*#/a$#/s, naml, -lisa &an, $hi # An$#ni# &an, and '#s San Dig# and &ssi San Dig#. A+a Ma/:$ing and Dvl#*mn$

C#/*#/a$i#n #b$aind /#m M$/#*#li$an Ban: and &/us$ C#m*an a l#an # 6"","""."", $h *amn$ # hi!h as s!u/d b an#$h/ /al s$a$ m#/$gag !u$d b s*#uss Ma/!ial S and )ilian &an in av#/ # said ban: #v/ $h sam /al$ */#*/$. Again, $h $hi/d /al s$a$ m#/$gag as ann#$a$d a$ $h ba!: # &C& #. 1"5233.

=n D!mb/ 198", $h $h/ 3 l#ans i$h an agg/ga$ am#un$ # 1,""","""."" / /?s$/u!$u/d and!#ns#lida$d in$# #n 1 l#an and A+a Ma/:$ing and Dvl#*mn$ C#/*#/a$i#n, /*/sn$d b An$#ni#&an as B#a/d Chai/manK/sidn$ and in his */s#nal !a*a!i$ as s#lida/ !#?#blig#/, and -lisa &an as Ii!?/sidn$K&/asu// and in h/ */s#nal !a*a!i$ as s#lida/ !#?#blig#/, !u$d a /#miss#/ #$

 #. BDS?36"5.

=n i$s Ma/!h 3", 1994 d!isi#n, CA ai/md $h $/ial !#u/$@s +udgmn$ u*h#lding $h validi$ # $h $/a?

 +udi!ial #/!l#su/ # $h /al s$a$ */#*/$ # *$i$i#n/s s*#uss Ma/!ial S and )ilian &an b */iva$ /s*#ndn$ M$/#*#li$an Ban: and &/us$ C#m*an M$/#ban:. $i$i#n/s@ m#$i#n #/ /!#nsid/a$i#n as dnid hn!, $his *$i$i#n #/ /vi #n !/$i#/a/i

ISSUES: 1.

8/19/2019 Article 1200-1500 (INC)

25/43

 ba/ a!$ # *$i$i#n/s@ !#nv/si#n /#m a *a/$n/shi* $# a !#/*#/a$i#n, i$h#u$ sui!in$ vidn!, i$h/ $s$im#nial #/ d#!umn$a/, $ha$ $h / */ssl /lasd /#m $hi/ #bliga$i#ns, did n#$ ma: *$i$i#n/ A'AU, i$h i$s n !#/*#/a$ */s#nali$, a $hi/d */s#n #/ n db$#/ i$hin $h !#n$$ # a sub+!$ivn#va$i#n. $i$i#n/ A'AU #nl b!am a !#?db$#/ #/ su/$.

8/19/2019 Article 1200-1500 (INC)

26/43

ng#$ia$i#ns b$n B/#ada and &/#*i!al b#/ $h !u$i#n # $hi/ l$$/?ag/mn$ ;ui$ !la/lindi!a$d $ha$ ha$ $h / ng#$ia$ing as a $m*#/a/ and */#visi#nal /du!$i#n # /n$als. =n $h #u/$h

 *la!, $h !#u/s # dis!ussi#ns b$n B/#ada and &/#*i!al, as dis!l#sd in $hi/ !#//s*#ndn!, a$/ !u$i#n # $h l$$/?ag/mn$, sh#s $ha$ $h /du!$i#n # /n$als ag/d u*#n in $h l$$/?ag/mn$as n#$ $# */sis$, #/ $h /s$ # $h li # $h C#n$/a!$ # )as. &ha$ !#//s*#ndn! is b/$ # an, sign# mu$ual ag/mn$ #/ /!#gni$i#n $ha$ $h /du!d /n$als had s# */mann$l /*la!d $h !#n$/a!$s$i*ula$i#ns #n /n$als as $# hav b!#m immun $# !hang sav b !#mm#n !#nsn$ # &/#*i!al andB/#ada. &h d!isi#n # $h l#/ !#u/$ and CA a/ /v/sd and s$ asid, $his *$i$i#n is givn du!#u/s, $h #/iginal !#m*lain$ # &/#*i!al is dismissd.

16."2 Cali#/nia Bus )in v. S$a$ =nvs$mn$ D!mb/ 11, 2""3

20.0 Concin%(an v. R7 S're&( Ins'rance 4'ne 30, 1+#

FACTS: a!ii! Ag/i!ul$u/al Su**li/s, =n!. A>R=C a**lid #/ and as g/an$d an in!/as in i$s lin

# !/di$ /#m 4"","""."" $# 8"","""."" $h /in!i*al bliga$i#n, i$h $h hili**in a$i#nal Ban: B. s!u/ B@s a**/#val, A>R=C had $# giv a g##d and sui!in$ b#nd in $h am#un$ # 4"","""."", /*/sn$ing $h in!/mn$ in i$s lin # !/di$, $# s!u/ i$s ai$hul !#m*lian! i$h $h $/msand !#ndi$i#ns und/ hi!h i$s lin # !/di$ as in!/asd.

=n !#m*lian! i$h $his /;ui/mn$, A>R=C submi$$d Su/$ B#nd #. 4765, issud b $h R H BSu/$ and =nsu/an! C#., =n!. in $h s*!iid am#un$ in av#/ # $h B.

Jnd/ $h $/ms # $h Su/$ B#nd, A>R=C and R H B Su/$ b#und $hmslvs +#in$l and sv/all $#!#m*l i$h $h L$/ms and !#ndi$i#ns # $h advan! lin N# !/di$O s$ablishd b $h NBO.FB had$h /igh$ und/ $h Su/$ B#nd $# */#!d di/!$l agains$ R H B Su/$ Li$h#u$ $h n!ssi$ # i/s$

haus$ing $h ass$sL # $h */in!i*al #blig#/, A>R=C. &h Su/$ B#nd als# */#vidd $ha$ R H BSu/$@s liabili$ as n#$ $# b limi$d $# $h */in!i*al sum # 4"","""."", bu$ #uld als# in!lud La!!/udin$/s$L #n $h said am#un$ L*lus all *nss, !ha/gs #/ #$h/ lgal !#s$s in!idn$ $# !#ll!$i#n # $h#bliga$i#n N# R H B Su/$OL und/ $h Su/$ B#nd.

=n !#nsid/a$i#n # R H B Su/$@s issuan! # $h Su/$ B#nd, $# =dn$i!al indmni$ ag/mn$s /n$/d in$# i$h R H B Su/$

aD #n ag/mn$ da$d 23 D!mb/ 1963 as !u$d b $h Ca$h#li! Chu/!h Ma/$ CCM and b '#s*h C#!hingan, '/, $h la$$/ signd n#$ #nl as /sidn$ # CCM bu$ als# in his */s#nal andindividual !a*a!i$ and

bD an#$h/ ag/mn$ da$d 24 D!mb/ 1963 as !u$d b A>R=C, a!ii! C#*/a -*#/$

=n!. ACC, '#s (. Iillanuva and )iu &ua Bn M/. Iillanuva signd b#$h as Manag/ # A>R=Cand in his */s#nal and individual !a*a!i$ M/. )iu signd b#$h as /sidn$ # ACC and in hisindividual and */s#nal !a*a!i$.

Jnd/ b#$h indmni$ ag/mn$s, $h indmni$#/s b#und $hmslvs +#in$l and sv/all $# R H B Su/$$# *a an annual */mium # 5,1"3."5 and L#/ $h ai$hul !#m*lian! # $h $/ms and !#ndi$i#ns s$ #/$hin said SJR-& BD #/ a */i#d bginning ... un$il $h sam is CAC-))-D andK#/ D=SC%AR>-D.L

R=C aild $# !#m*l i$h i$s /in!i*al bliga$i#n $# $h B, $h B dmandd *amn$/#m R H B Su/$ # $h sum # 4"",""" hi!h as $h ull am#un$ # $h /in!i*al bliga$i#n. R H BSu/$ mad a s/is # *amn$s $# B b vi/$u # $ha$ dmand $#$alling 7","""."" vidn!d b

d$aild v#u!h/s and /!i*$s.

R H B Su/$ in $u/n sn$ #/mal dmand l$$/s $# '#s*h C#!hingan, '/. and '#s (. Iillanuva #/ /imbu/smn$ # $h *amn$s mad b i$ $# $h B and #/ a dis!ha/g # i$s liabili$ $# $h B und/ 

8/19/2019 Article 1200-1500 (INC)

27/43

$h Su/$ B#nd. 0ailu/ $# hd i$s dmands, R H B Su/$ b/#ugh$ sui$ agains$ '#s*h C#!hingan, '/.,'#s (. Iillanuva and )iu &ua Bn in $h C#u/$ # 0i/s$ =ns$an! # Manila

$i$i#n/ '#s*h C#!hingan, '/. ans/d $ha$ $h =ndmni$ Ag/mn$ h !u$d in av#/ # R H BSu/$ did n#$ */ss $h $/u in$n$ # $h *a/$is $h/$# in $ha$ h had bn as:d b R H B Su/$ $#!u$ $h =ndmni$ Ag/mn$ m/l in #/d/ $# ma: i$ a**a/ $ha$ R H B Su/$ had !#m*lid i$h$h /;ui/mn$s # $h B $ha$ !/di$ lins b s!u/d, and i$h $h /gula$i#ns # $h =nsu/an!C#mmissi#n !#n!/ning b#nding !#m*anis and $ha$ R H B Su/$ had assu/d him $ha$ $h !u$i#n # $h ag/mn$ as a m/ #/mali$ and $ha$ h as $# b !#nsid/d a s$/ang/ $# $h $/ansa!$i#n b$n$h B and R H B Su/$.

$i$i#n/ '#s (. Iillanuva ans/d $ha$ h had !u$d $h =ndmni$ Ag/mn$ in av#/ # R H BSu/$ #nl L#/ a!!#mm#da$i#n *u/*#ssL and $ha$ i$ did n#$ */ss $hi/ $/u in$n$i#n $ha$ $h /in!i*albliga$i#n # A>R=C $# $h B s!u/d b $h Su/$ B#nd had al/ad bn assumd b CCM bvi/$u # a &/us$ Ag/mn$ n$/d in$# i$h $h B, h/ CCM /*/sn$d b '#s*h C#!hingan, '/.und/$##: $# *a $h /in!i*al bliga$i#n # A>R=C $# $h B $ha$ his #bliga$i#n und/ $h =ndmni$Ag/mn$ as $h/b $inguishd b n#va$i#n a/ising /#m $h !hang # db$#/ und/ $h /in!i*albliga$i#n and $ha$ $h iling # $h !#m*lain$ as */ma$u/, !#nsid/ing $ha$ R H B Su/$ ild $h !as

agains$ him as indmni$#/ al$h#ugh $h B had n#$ $ */#!dd agains$ R H B Su/$ $# n#/! $hla$$/@s liabili$ und/ $h Su/$ B#nd.

C#!hingan and Iillanuva did n#$ */sn$ an vidn! a$ all $# su**#/$ $hi/ dnss. &h $/ial !#u/$ as$h/#/ !#ns$/aind $# d!id $h !as #n $h basis al#n # $h $/ms # $h &/us$ Ag/mn$ and #$h/ d#!umn$s submi$$d in vidn!.

C0= d!isi#n #/d/ing '#s*h C#!hingan, '/. and '#s (. Iillanuva $# *a, +#in$l and sv/all, un$# $h *lain$i $h sum # 4"",""", /*/sn$ing $h $#$al am#un$ # $hi/ liabili$ #n Su/$ B#nd #. 4765, andin$/s$ a$ $h /a$ # 6 */ annum.

ISSUES: h$h/ #/ n#$ $h &/us$ Ag/mn$ had $inguishd, b n#va$i#n, $h #bliga$i#n # R H B Su/$$# $h B und/ $h Su/$ B#nd hi!h, in $u/n, $inguishd $h #bliga$i#ns # $h *$i$i#n/s und/ $h=ndmni$ Ag/mn$s

RUI!G: &h SC did n#$ sus$ain *$i$i#n/s@ !laim $ha$ $h Su/$ B#nd and $hi/ /s*!$iv #bliga$i#nsund/ $h =ndmni$ Ag/mn$s / $inguishd b n#va$i#n b/#ugh$ ab#u$ b $h subs;un$ !u$i#n# $h &/us$ Ag/mn$.

 #va$i#n is $h $inguishmn$ # an #bliga$i#n b $h subs$i$u$i#n #/ !hang # $h #bliga$i#n b asubs;un$ #n hi!h $/mina$s i$, i$h/ b !hanging i$s #b+!$ #/ */in!i*al !#ndi$i#ns, #/ b subs$i$u$ing an db$#/ in *la! # $h #ld #n, #/ b sub/#ga$ing a $hi/d */s#n $# $h /igh$s # $h !/di$#/.

 #va$i#n $h/#ugh a !hang # $h #b+!$ #/ */in!i*al !#ndi$i#ns # an is$ing #bliga$i#n is ///d $# as#b+!$iv #/ /al n#va$i#n. #va$i#n b $h !hang # i$h/ $h */s#n # $h db$#/ #/ # $h !/di$#/ isds!/ibd as sub+!$iv #/ */s#nal n#va$i#n. #va$i#n ma als# b b#$h #b+!$iv and sub+!$iv mida$ $h sam $im. =n b#$h #b+!$iv and sub+!$iv n#va$i#n, a dual *u/*#s is a!hivd?an #bliga$i#n is$inguishd and a n #n is !/a$d in liu $h/#.= #b+!$iv n#va$i#n is $# $a: *la!, i$ is im*/a$iv $ha$ $h n #bliga$i#n */ssl d!la/ $ha$ $h #ld#bliga$i#n is $h/b $inguishd, #/ $ha$ $h n #bliga$i#n b #n v/ *#in$ in!#m*a$ibl i$h $h #ld#n. #va$i#n is nv/ */sumd i$ mus$ b s$ablishd i$h/ b $h dis!ha/g # $h #ld db$ b $h*/ss $/ms # $h n ag/mn$, #/ b $h a!$s # $h *a/$is h#s in$n$i#n $# diss#lv $h #ld#bliga$i#n as a !#nsid/a$i#n # $h m/gn! # $h n #n mus$ b !la/l dis!/nibl.

= sub+!$iv n#va$i#n b a !hang in $h */s#n # $h db$#/ is $# #!!u/, i$ is n#$ n#ugh $ha$ $h +u/idi!al/la$i#n b$n $h *a/$is $# $h #/iginal !#n$/a!$ is $ndd $# a $hi/d */s#n. =$ is ssn$ial $ha$ $h #lddb$#/ b /lasd /#m $h #bliga$i#n, and $h $hi/d */s#n #/ n db$#/ $a: his *la! in $h n /la$i#n.

8/19/2019 Article 1200-1500 (INC)

28/43

= $h #ld db$#/ is n#$ /lasd, n# n#va$i#n #!!u/s and $h $hi/d */s#n h# has assumd $h #bliga$i#n # $h db$#/ b!#ms m/l a !#?db$#/ #/ su/$ #/ a !#?su/$.

A**ling $h ab#v */in!i*ls $# $h ins$an$ !as, i$ is a$ #n! vidn$ $ha$ $h &/us$ Ag/mn$ d#s n#$*/ssl $/mina$ $h #bliga$i#n # R H B Su/$ und/ $h Su/$ B#nd. n $h !#n$/a/, $h &/us$Ag/mn$ */ssl */#vids #/ $h !#n$inuing subsis$n! # $ha$ #bliga$i#n b s$i*ula$ing $ha$ LN$h &/us$Ag/mn$O shall n#$ in an mann/ /lasL R H B Su/$ /#m i$s #bliga$i#n und/ $h Su/$ B#nd.

 i$h/ !an $h *$i$i#n/s an!h#/ $hi/ dns #n im*lid n#va$i#n. Absn$ an un;uiv#!al d!la/a$i#n # $inguishmn$ # a */?is$ing #bliga$i#n, a sh#ing # !#m*l$ in!#m*a$ibili$ b$n $h #ld and $hn #bliga$i#n and n#$hing ls #uld sus$ain a inding # n#va$i#n b im*li!a$i#n. Bu$ $h/ is n#in!#nsis$n!.

8/19/2019 Article 1200-1500 (INC)

29/43

Ii!$#/ias, h# $/id $# s$$l $h ma$$/ b$n $h *a/$is D#/mi$#/i# and )aali$a. )a$/, a */iva$ )andSu/v#/, as hi/d b $h Muni!i*ali$ # Ii!$#/ias, and i$ as #und #u$, a!!#/ding $# said Su/v#/, M/.Cball#s, $ha$ $h )#$ s#ld b $h Muni!i*ali$ # Ii!$#/ias, $# $h *lain$i, as !#nv/$d in$# $h nMuni!i*al. R#ad :n#n as L'#v/ S$/$L and $ha$ $h l#$ */sn$l #!!u*id b him, is su**#sd $# b $hl#$ #. 2, b#ugh$ b $h s*#uss D#/mi$#/i# /#m $h Muni!i*ali$ # Ii!$#/ias and s#, availing # $h saiddis!#v/, $h C#u/$ # 0i/s$ =ns$an! # g/#s !!idn$al, B/an!h I, /sidd #v/ b %#n. '#s 0.0/nand, /nd/d +udgmn$ in $ha$ !as #. 5111, in av#/ # D#/mi$#/i#, #/d/ing $h *lain$i h/in)aali$a, $# va!a$ $h land and $# *a a m#n$hl /n$al # 2"."", $# said D#/mi$#/i#, bsids his A$$#/n@ss.

)aali$a, having aild $# a**al /#m said +udgmn$ # $his %#n#/abl C#u/$, b/#ugh$ $his */sn$ a!$i#n,agains$ $h Muni!i*ali$ # Ii!$#/ias, and +#ind $h D#/mi$#/i#s, as #/mal *a/$is, b!aus # $h valu # his */mann$ im*/#vmn$s and building in$/#du!d #/ !#ns$/u!$d #n )#$ #. 2, Bl#!: 16, as!/$aind $#

 b $ha$, v/ l#$ *u/!hasd b D#/mi$#/i# /#m $h dndan$ Muni!i*ali$ # Ii!$#/ias, hi!h building andim*/#vmn$s, hav a/ !d $hn, $h #/iginal *u/!has */i! # $h land.&h */sn$ ai/ ma/:$ valu # /sidn$ial l#$s in $h #bla!i#n # Ii!$#/ias, /angs b$n 15."" $# 25."" */ s;ua/ m$/ and $h l#$sin !#n$/#v/s, a/ salabl a$ */sn$, a$ 2"."" */ s;ua/ m$/.

ISSUE

8/19/2019 Article 1200-1500 (INC)

30/43

a**li!a$i#n # *amn$ is */ssl indi!a$d, $h *amn$ shall b a**lid $# $h m#s$ #n/#us #bliga$i#n # $h db$#/, in $his !as, $h un*aid /n$als. Sin! $h *amn$ did n#$ ull s$$l $h un*aid /n$als, $h !aus# a!$i#n #/ +!$mn$ su/vivs.

10.0" F'a v. 5a)

FACTS B vi/$u # a +udgmn$ #/ 1,538."4 hi!h 0ua #b$aind agains$ a*, a /i$ # !u$i#n issudin *u/suan! # hi!h a *a/!l # land bl#nging $# a* as lvid u*#n and i$s sal a$ *ubli! au!$i#n duladv/$isd. &h sal as, h#v/, sus*ndd as a /sul$ # an ag/mn$ b$n $h *a/$is, b $h $/ms# hi!h $h #bliga$i#n und/ $h +udgmn$ as /du!d $# 1,2"" *aabl in #u/ ins$allmn$s, and $#s!u/ $h *amn$ # $his am#un$, $h land lvid u*#n i$h i$s im*/#vmn$ as m#/$gagd $# a**lli$h $h !#ndi$i#n $ha$ in $h vn$ # a**llan$s@ daul$ in $h *amn$ # an ins$allmn$, $h #uld *a1" */ !n$ # an un*aid balan! as a$$#/n@s s as ll as $h di/n! b$n $h ull +udgmn$!/di$ and $h /du!d am#un$ $hus ag/d. A**llan$s aild $# !#m*l i$h $h $/ms # $h s$$lmn$,h/u*#n, a**ll s#ugh$ $h !u$i#n # $h +udgmn$, and b vi/$u # an alias /i$ # !u$i#n, $hland as s#ld a$ *ubli! au!$i#n $# a**ll and a inal dd as !u$d in his av#/. A**llan$s /usd,h#v/, $# va!a$ $h land and $# /!#gni a**ll@s $i$l $h/$# hn!, $h la$$/ ins$i$u$d $h */sn$a!$i#n #/ /!#v/.

ISSUE:

RUI!G: a/!ia v. )lamas D!mb/ 8, 2""3

12."4 >a/!ia, '/. v. CA >R 8"2"1

20.03 ?aban8alan S'%ar Co. v. aceco

FACTS:  &h/ / 2 !#n$/a!$s !u$d b#$h b (aban:alan Suga/ C#. and b '#sa a!h!#.(aban:alan Suga/ C#. is a d#ms$i! milling !#/*#/a$i#n. '#sa a!h!# is $h #n/ # $h %ilabaWgans$a$ $ha$ */#du!s suga/ !ans.

&h i/s$ !#n$/a!$ as !u$d #n #vmb/ 1, 192" b (aban:alan Suga/ C#. $h/#ugh i$s Manag/ >uill/m# )ia/aga, and b a!h!#, g/an$ing $h suga/ !#m*an $h /igh$ # a in and $h/#ugh $h%ilabaWgan s$a$ #/ a /aila #/ a */i#d # 2" a/s /#m #vmb/ 1, 192" and binding a!h!# #/ $h

sam */i#d $# dliv/ all suga/ !ans */#du!d in $h %ilabaWgan s$a$ $# $h (aban:alans suga/ mill:n#n as Ba/in.

n $h a/ 1922, a!h!# */#*#sd (aban:alan $# assum h/ #bliga$i#ns i$h $h )dsmas %/man#sC#m*an and B. %n!, a s!#nd !#n$/a!$ as !u$d.

&h s!#nd !#n$/a!$ as !u$d #n S*$mb/ 29, 1922 b (aban:alan Suga/ C#. $h/#ugh i$s Manag/ Bni$# Blun! and b a!h!#. =$ as said $ha$ sam !#ndi$i#ns shall b s$i*ula$d in $h !#n$/a!$.

%#v/, $his $im, $h/ a/ di/n!s # $h s$i*ula$i#ns # $h 2 !#n$/a!$s $# i$1. &h $/m # $h !#n$/a!$ # #vmb/ 1, 192", is 2" a/s, hil $ha$ # $h !#n$/a!$ n$/d in$# #n

S*$mb/ 29, 1922, is 7 !/#*s.2. Jnd/ $h i/s$ !#n$/a!$, (aban:alan Suga/ C#. binds i$sl $# *a a!h!# an annual /n$al # 7

!n$av#s a s;ua/ m$/ # $h land sub+!$ $# $h asmn$, i$h 4 m$/s in id$h, hil in $hs!#nd !#n$/a!$ n# s$i*ula$i#n is mad as $# $h *amn$ # /n$ #/ said /igh$ # a.

8/19/2019 Article 1200-1500 (INC)

31/43

3. Jnd/ $h i/s$ !#n$/a!$, i$ is i$hin a!h!#@s dis!/$i#n $# mill #/ n#$ $# mill all #/ an *a/$ # $hsuga/ !an */#du!d #n $h %ilabaWgan s$a$, in $h Ba/in, hil und/ $h s!#nd, sh bindsh/sl $# mill in said Ba/in all $h suga/ !an */#du!d #n h/ a#/said s$a$ #/ 7 !#ns!u$ivha/vs$s.

4. A!!#/ding $# $h !#n$/a!$ # #vmb/ 1, 192", a!h!# is n#$ b#und $# g/an$ (aban:alan an /igh$# a #/ $l*h#n lins, *#ls, $ubs, a$/ *i*s, a;udu!$ and #$h/ !#ndui$s #/ !#ndu!$inga$/ $# $h mill, i$h g/#und #/ $h !is$/ns and #/ $h /aila, hil in $h !#n$/a!$ # S*$mb/ 

29, 1922, $his #bliga$i#n is im*#sd u*#n h/ in $h s!#nd !#n$/a!$ $h *lain$i g/an$d $hdndan$ a l#an # 17,247.3" s!u/d b a m#/$gag, hil a!h!# as n#$ g/an$d su!h a l#an in$h i/s$ !#n$/a!$.

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

32/43

said /igh$ $# a**l, $h a**ll is dmd $# hav aivd #/ !#nd#nd $h in$/s$s du A/$. 1235 and 1253CC. 0u/$h/m#/, $ha$ $h */#miss#/ n#$ !u$d as n#va$d hn Magdalna -s$a$s un;ualiidla!!*$d $h su/$ b#nd.

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

33/43

FACTS $i$i#n/ )#nida uin$# as indi!$d #/ $h !/im # s$aa. &h */#s!u$i#n allgd $ha$ *$i$i#n/ uin$# /!ivd in $/us$ /#m #n Au/lia Ca/iaga *i!s # +l/ am#un$ing $# h* 36,""". =$as allgd $ha$ #n #/ ab#u$ Ma/!h 23,1977, uin$# n$ $# Ca/iaga@s /sidn! in Ma:a$i $# as: $h la$$/ $#all# h/ $# hav s#m *i!s # +l/ $# sh# $# h/ */#s*!$iv bu/s. =$ as ag/d b $h *a/$is, asvidn!d b $h /!i*$ signd b uin$# $ha$ sh has $# sll $h +l/is #n !#mmissi#n basis, $# $u/n #v/ $h */#!ds # $h sal, and $# /$u/n $h +l/is in $h vn$ $ha$ $h / n#$ s#ld a$/ 5 das /#m/!i*$ $h/#. &h 5?da */i#d has la*sd and uin$# as n#$ abl $# !#n!lud a sal. Sh as:d #/ s#m$nsi#n hi!h as in $u/n g/an$d b Ca/iaga, bu$ s$ill sh as n#$ abl $# !#n!lud an sal, un$il su!h$im $ha$Ca/iaga dmandd #/ $h /$u/n # $h said +l/is $h/#ugh a dmand l$$/ bu$ hi!h as ign#/d buin$#, */#m*$ing $h #/m/ $# il a !as # s$aa agains$ $h la$$/.

&h dns s#ugh$ $# */#v $ha$ uin$# had l#ng bn ngagd in $h *u/!has and sal # +l/is. &ha$sh as usd $# buing *i!s # +l/ /#m a !/$ain M/s. =lagan h# la$/ in$/#du!d h/ $# Ca/iaga.&ha$ s#m$im in 1975, uin$# had al/ad s$a/$d $# $/ansa!$ businss i$h Ca/iaga b slling s#m *i!s# +l/ $# a !/$ain M/s. Cama!h# and M/s. Ram#s, h# s#m$im la$/ / in!u//ing daul$s #n $hi/ 

 *amn$s and $hn d!idd $# *a $hi/ indb$dnss di/!$l $# Ca/iaga.

&h R&C #und uin$# b#nd /as#nabl d#ub$ # $h !/im # s$aa hi!h d!isi#n as als# ai/md b$h C#u/$ # A**als. %n!, $his ins$an$ *$i$i#n $# /vi #n !/$i#/a/i i$h $h SC, *$i$i#n/ allging $ha$ $h ag/mn$ b$n h/ and !#m*lainan$ as !$ivl n#va$d hn $h la$$/ !#nsn$d $# /!iv *amn$s #n ins$allmn$s /#m M/s. Cama!h# and M/s. Ram#s.

ISSUE

8/19/2019 Article 1200-1500 (INC)

34/43

a!:n#ldgd b $hm as Lin ull sa$isa!$i#n # $h m#n +udgmn$L, !#m*l$l $inguishd $h +udgmn$ db$ and /lasd $h /s*#ndn$ /#m his *!unia/ liabili$.

=n $h !as a$ hand, ail $# s ha$ n #/ m#diid #bliga$i#n a/#s #u$ # $h *amn$ b $h/s*#ndn$ # $h /du!d am#un$ # 4,""" and subs$i$u$ $h m#n$a/ liabili$ #/ 6,""" # $h said/s*#ndn$ und/ $h a**lla$ !#u/$@s +udgmn$. Addi$i#nall, $# sus$ain n#va$i#n n!ssi$a$s $ha$ $h sam

 b s# d!la/d in un;uiv#!al $/ms !la/l and unmis$a:abl sh#n b $h */ss ag/mn$ # $h *a/$is #/ b a!$s # ;uivaln$ im*#/$ #/ $ha$ $h/ is !#m*l$ and subs$an$ial in!#m*a$ibili$ b$n$h $# #bliga$i#ns. 5

A/$i!l 13"1

3."6 )i!a/i#s v. >a$mai$a Augus$ 9, 2""1

A/$i!l 13"2

#.0 ASTR$ Elec&ronics Cor). v. il. E9)or& @ Forei%n oan G'aran&ee Cor)., +/23/03

FACTS: As$/# as g/an$d sv/al l#ans b $h hili**in &/us$ C#m*an hil$/us$ am#un$ing $# 3Mi$h in$/s$ and s!u/d b 3 */#miss#/ n#$s, 2 # hi!h / da$d D!. 14, 1981 and signd b $h

 *$i$i#n/ $/ R#as in his */s#nal !a*a!i$ and as /sidn$ # As$/# -l!$/#ni!s C#/*. R#as als#signd a C#n$inuing Su/$shi* Ag/mn$ in av#/ # hil$/us$ Ban: in his !a*a!i$ as /sidn$ # As$/#and as a Su/$.

hilgua/an$, i$h As$/#@s !#nsn$, gua/an$d in av#/ # hil$/us$, $h *amn$ # 7" # As$/#@s l#an #n

$h !#ndi$i#n $ha$ u*#n *amn$ b $h #/m/, i$ shall b */#*#/$i#nall sub/#ga$d $# $h /igh$s # hil$/us$agains$ As$/#. As$/# aild $# *a $h l#ans ds*i$ /*a$d dmands. hilgua/an$ *aid 7" # As$/#@sl#an. C#ns;un$l, hilgua/an$ ins$i$u$d a !#ll!$i#n sui$ agains$ As$/# and R#as.

R#as in$/*#sd a dns $ha$ h signd $h#s */#miss#/ n#$s in blan: and $ha$ $h *h/ass Lin his */s#nal !a*a!i$L and Lin his #i!ial !a*a!i$L / /auduln$l ins/$d. %#v/, $h $/ial !#u/$/nd/d a d!isi#n #/d/ing As$/# and R#as $# *a hilgua/an$ +#in$l and sv/all $h sum # h*3,621,187.52 /*/sn$ing $h $#$al #bliga$i#n. R#as a**ald bu$ $h CA ai/md $h R&C d!isi#n.%n!, $his *$i$i#n $# /vi #n !/$i#/a/i.

ISSUES 1

8/19/2019 Article 1200-1500 (INC)

35/43

8/19/2019 Article 1200-1500 (INC)

36/43

Subs;un$l $# $h iling # $h *$i$i#n, $n$ 2" #$h/ n#n?li insu/an! !#m*anis, li:is,mmb/s # said Bu/au, / all#d $# in$/vn in su**#/$ # $h *$i$i#n. A$/ a**/#*/ia$ */#!dings,said !#u/$ /nd/d +udgmn$ d!la/ing $ha$ $h a#/mn$i#nd A/$i!l 22 is ni$h/ !#n$/a/ $# la n#/ agains$ *ubli! *#li!, and $ha$, a!!#/dingl, *$i$i#n/s h/in, as ll as $h in$/vn#/s and #$h/ mmb/s# $h a#/mn$i#nd Bu/au, ma laull #bs/v and n#/! said A/$i!l, and a/ b#und $# !#m*l i$h$h */#visi#ns $h/#, i$h#u$ s*!ial */#n#un!mn$ as $# !#s$s. %n! $his a**al b /s*#ndn$=nsu/an! C#mmissi#n/, h# insis$s $ha$ $h A/$i!l in ;us$i#n !#ns$i$u$s an illgal #/ undu /s$/ain$ # $/ad and, hn!, null and v#id. Rs*#ndn$ /#$ a l$$/ */ssing d#ub$s # $h validi$ # a/$i!l 22 and/;us$d #/ /*ald. Rs*#ndn$ u/$h/ !#n$ndd $ha$ bing an illgal ag/mn$ #/ !#mbina$i#n in/s$/ain$ # $/ad, said A/$i!l sh#uld n#$ b givn #/! and !$ $ha$ ailu/ $# !#m*l i$h $his/;ui/mn$ #uld !#m*l /s*#ndn$ $# sus*nd $h li!ns issud $# $h Bu/au and $ha$ $h la$$/ sh#uld!i/!ula/i all # i$s mmb/s #n $his ma$$/ and advis $hm $ha$ Lvi#la$i#n # $his /;ui/mn$ b anmmb/ # $h Bu/auL #uld als# !#m*l /s*#ndn$ L$# sus*nd $h !/$ii!a$ # au$h#/i$ # $h!#m*an !#n!/nd $# d# businss in $h hili**insL.

ISSUE: E

8/19/2019 Article 1200-1500 (INC)

37/43

FACTS: 

ISSUE

RUI!G

1".11 Sau/a v. Sandi!# C#n$/a!$s

A/$i!l 13"7

21." C#/*us v. CA

A/$i!l 13"8

9."5 0l#/n$in# v. -n!a/na!i#n S/. S*$mb/ 2""219."6 hili**in Ban:ing C#/*#/a$i#n v. )ui Sh S*$mb/ 12, 1967

A/$i!l 131"

3."1 Almda v. CA A*/il 17, 1996

A/$i!l 1311

12."2 B#nia!i# v. M#/a16."1 Cadall/ C#. v. Smi$h Bll and C#. 0b/ua/ 9, 19"72"."1 C#ns$an$in# v. -s*i/i$u Ma 31, 19712"."2 C#;uia v. 0ildmns =nsu/an! C#. =n!. #vmb/ 29, 1968

.0"

8/19/2019 Article 1200-1500 (INC)

38/43

RUI!G: #. A/$i!l 1311 # $h Civil C#d and +u/is*/udn!, Ii!$#/ is b#und b $h sub+!$ C#n$/a!$ # )as i$h *$i#n $# bu !u$d b his */d!ss#/?in?in$/s$. =$ is u$il #/ Ii!$#/ $# insis$ $ha$ h is n#$a *a/$ $# $h !#n$/a!$ b!aus # $h !la/ */#visi#n # A/$i!l 1311 # $h Civil C#d. =ndd, bing an hi/ # -n!a/na!i#n, $h/ is */ivi$ # in$/s$ b$n him and his d!asd m#$h/. % #nl su!!ds $# ha$/igh$s his m#$h/ had and ha$ is valid and binding agains$ h/ is als# valid and binding as agains$ him. &hgn/al /ul, $h/#/, is $ha$ hi/s a/ b#und b !#n$/a!$s n$/d in$# b $hi/ */d!ss#/s?in?in$/s$!*$ hn $h /igh$s and #bliga$i#ns a/ising $h//#m a/ n#$ $/ansmissibl b 1 $hi/ na$u/, 2s$i*ula$i#n #/ 3 */#visi#n # la.

1.03 In&e%ra&e; ac8a%in% Cor). v. CA, Fil Ancor a)er Co. Inc. 4'ne , 2000

FACTS Ma 5, 1978 =n$g/a$d a!:aging C#/* ag/d $# dliv/ $# 0il?an!h#/ *a*/ !#., in!. 3,45" /ams# */in$ing *a*/. Ma$/ials / $# b *aid i$hin 3"?9" das. 'un 7, 1978 =n$g/a$d n$/d in$# a!#n$/a!$ i$h hili**in A**lian! C#/*#/a$i#n hila!#/ $# */in$ $h/ v#lums # Lhila!#/ Cul$u/alB##:sL. 'ul 3", 1979 #nl 1,"97 #u$ # $h 3,45" had bn dliv/d s# i$ /#$ $# 0il?an!h#/ $ha$ dlaill */+udi! $hm. 'ul 23, 1981 0il?an!h#/ dliv/d am#un$ing $# 766,1"1.7" # */in$ing *a*/.

 Augus$ 27, 1981 =n$g/a$d *aid 97,2""."" hi!h as a**lid $# i$s ba!: a!!#un$s !#v/d b dliv/inv#i!s da$d S*$mb/ 29?3", 198" and !$#b/ 1?2, 198". =n$g/a$d n$/d in$# an addi$i#nal */in$ing!#n$/a!$ i$h hila!#/ bu$ i$ aild $# !#m*l s# hila!#/ dmandd !#m*nsa$i#n #/ $h dla and damagi$ su/d #n a!!#un$ # =n$g/a$d@s ailu/. 0il?an!h#/ ild a !#ll!$i#n sui$ # 766,1"1.7" agains$=n$g/a$d /*/sn$ing un*aid *u/!has */i! # */in$ing *a*/ b#ugh$ #n !/di$. B a # !#un$/!laim, 0il?an!h#/ allgd $h dliv/ as sh#/$ # 2,875 /ams s# i$ su/d a!$ual damags andaild $# /ali *!$d */#i$s and $ha$ !#m*lain$ as */ma$u/l ild. R&C =n$g/a$d #/d/d $# *a0il?an!h#/ 27,222.6" as !#m*nsa$#/ and a!$ual damags a$/ ddu!$ing 763,1"1.7" #/ $h valu # ma$/ials /!ivd, 1""( as m#/al damags, 3"( #/ a$$#/n@s s and !#s$ # sui$. %#v/,$h !#un$/!laim is als# m/i$#/i#us ? =n$g/a$d !#uld hav s#ld b##:s $# hila!#/ and /alid */#i$ # 79",324.3" #/ hi!h $h aa/d # m#/al damags as +us$iid. CA /v/sd and s$ asid $h +udgmn$

# $h $/ial !#u/$ #/d/d $# *a 0il?an!h#/ 763,1"1.7" #/ un*aid */in$ing *a*/ and dl$d $h aa/d # 79",324.3" as !#m*nsa$#/ damags as ll as $h aa/d # m#/al damags and a$$#/n@s s, #/ la!: # a!$ual and lgal basis

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

39/43

13."9 S# ing Bun v. CA, &: %ua -n$/*/iss C#/* and Manul C. &i#ng, >R 12"554

A/$i!l 1314

2."3 Daal$ v. )a C#/* D )#s ad/s Agus$in#s R!#l$# 6975

A/$i!l 1318

1." Abal#s v. Ma!a$anga >R 155"43, 2""41."2 ABS CB v. CA >R 12869", 199919."4 'a/din Davis =n!. v. CA 'un 19, 2"""6."8 Malba/#sa v. CA A*/il 3", 2""3

A/$i!l 132"

2." Adla /#*/$is =n!. v. CA 'anua/ 25, 1995

A/$i!l 1324

.02 7abao v. Florencio ere=

FACTS San$iag# Baba# ma//id $h ni! # Cls$ina /. 1924, San$i and Cls$ina allgdl had av/bal ag/mn$ h/ San$i as b#und $# im*/#v $h land # Cls$ina b lvling, !la/ing, *lan$ing/ui$s and #$h/ !/#*s $ha$ h ill a!$ as $h adminis$/a$#/ # $h land $ha$ all *nss #/ lab#/ andma$/ials ill b a$ his !#s$, in !#nsid/a$i#n # hi!h Cls$ina in $u/n b#und h/sl $# !#nv $# San$i #/ his i X # $h land,, i$h all $h im*/#vmn$s a$/ $h da$h # Cls$ina. Bu$, sh#/$l b#/Cls$inas da$h, sh s#ld $h land $# an#$h/ *a/$. &hus, San$i ild $his !#m*lain$ allging $h sal # $hland as /auduln$ and i!$i$i#us and */as $# /!#v/ $h X land #/ $h *nss h in!u//d in im*/#ving $h

land.

ISSUE h$h/ #/ n#$ $h v/bal ag/mn$ alls i$hin $h S$a$u/ # 0/auds

>E

8/19/2019 Article 1200-1500 (INC)

40/43

15."3 %mds v. CA !$#b/ 8, 199921."3 (a$i*unan v. (a$i*unan14."9 S#ng!# v. Slln/ D!mb/ 4, 191719."9 &/inidad v. =AC D!mb/ 3, 1991

A/$i!l 1331

6."2 AS=A= v. 'aland#ni !$#b/ 23, 1923

1.10 Teis v. CA Febr'ar( 12, 1++#

FACTS: /iva$ /s*#ndn$ Cals#ns Dvl#*mn$ C#/*#/a$i#n is $h #n/ # $h/ 3 ad+a!n$ *a/!ls # land *a/!l n#s.1, 2 and 3. All $h/ *a/!ls # land a/ si$ua$d in &aga$a Ci$. Ad+a!n$ $# *a/!l n#.3 isa va!an$ l#$ dn#mina$d as *a/!l n#. 4. =n 1985, /iva$ /s*#ndn$ !#ns$/u!$d a $#?s/#/ h#us #n

 *a/!l n#. 3 and $h $# #$h/ l#$s /maind idl.=n a su/v !#ndu!$d in 1985, *a/!l n#. 3 as //#n#usl indi!a$d $# b !#v/d b $h &C& # *a/!ln#. 1, hil $h *a/!l n#. 1 and *a/!l n#. 2 / mis$a:nl su/vd $# b l#!a$d #n *a/!l n#. 4 ins$ad.Jnaa/ # $h mis$a: */iva$ /s*#ndn$ s#ld said *a/!l n#. 4 $# *$i$i#n/s.

=n 199", *$i$i#n/s dis!#v/d $ha$ *a/!l n#. 4 as #nd b an#$h/ */s#n. &h als# dis!#v/d $ha$ $hl#$s a!$uall s#ld $# $hm / *a/!l n#s. 2 and 3. /md $h mis$a:, */iva$ /s*#ndn$ #/d *a/!ln#s. 1 and 2 as $hs $# / */!isl $h $# va!an$ l#$s hi!h */iva$ /s*#ndn$ #nd and in$ndd $#sll. $i$i#n/s /+!$d $h g##d ai$h #/. /iva$ /s*#ndn$ mad an#$h/ #/, $his $im $h /$u/n # an am#un$ d#ubl $h */i! *aid b *$i$i#n/s. $i$i#n/s s$ill /usd. /iva$ /s*#ndn$ as $hn!#m*lld $# il an a!$i#n #/ annulmn$ # dd # sal and /!#nvan! # $h */#*/$is sub+!$ $h/# in $h R&C hi!h /uld #n $hi/ av#/ and #n a**al, $h CA ai/md $h sam.

ISSUE: 

8/19/2019 Article 1200-1500 (INC)

41/43

A/$i!l 1344

3.12

8/19/2019 Article 1200-1500 (INC)

42/43

RUI!G: s. R#/ma$i#n is $ha$ /md in ;ui$ b mans # hi!h a /i$$n ins$/umn$ is mad #/ !#ns$/ud s# as $# */ss #/ in#/m $# $h /al in$n$i#n # $h *a/$is. An a!$i#n #/ /#/ma$i#n # ins$/umn$ und/ $his */#visi#n # la ma */#s*/ #nl u*#n $h !#n!u//n! # $h #ll#ing /;uisi$s1 $h/ mus$ hav bn a m$ing # $h minds # $h *a/$is $# $h !#n$/a!$ 2 $h ins$/umn$ d#s n#$*/ss $h $/u in$n$i#n # $h *a/$is and 3 $h ailu/ # $h ins$/umn$ $# */ss $h $/u in$n$i#n # $h *a/$is is du $# mis$a:, /aud, in;ui$abl !#ndu!$ #/ a!!idn$. All # $hs /;usi$s a/ */sn$ in $his!as. &h/ as a m$ing # $h minds b$n $h *a/$is $# $h !#n$/a!$ bu$ $h dd did n#$ */ss $h$/u in$n$i#n #$ $h *a/$is du $# $h dsigna$i#n # $h l#$ sub+!$ # $h dd. &h/ is n# dis*u$ as $# $hin$n$i#n # $h *a/$is $# sll $h land $# Al+and/a Dlin# bu$ $h/ as a mis$a: as $# $h dsigna$i#n # $h l#$ in$ndd $# b s#ld as s$a$d in $h S$$lmn$ # -s$a$ and Sal.

A/$i!l 1365

16." Bus$aman$ v. R#sl #vmb/ 29, 1999

A/$i!l 137"

13." B#//#m# v. CA S*$mb/ 28, 19722"."5 (asilag v. R#d/igu D!mb/ 7, 1939

A/$i!l 1381

11.1" Siguan v. )im #vmb/ 19, 1999

A/$i!l 1383

1."6 (h %#ng Chng v. CA Ma/!h 28, 2""1

A/$i!l 1385

2."5 D -/;uiaga v. CA S*$mb/ 27, 198917."6 ala =n!. v. Clav >R 56"76

A/$i!l 139"

15."8 B v. hili**in Ig$abl il 'anua/ 14, 19272".11 J S## )im v. &an Jn!huan S*$mb/ 7, 1918

A/$i!l 1391

17. "1 Ca/an$s v. CA A*/il 25, 1977

A/$i!l 1397

17."3 %#us =n$/na$i#nal Building &nan$s Ass#!ia$i#n v. =AC >R 75287, 'un 3", 1987

A/$i!l 14"3

6."1 Asia /#du!$i#n C#. =n!. v. an# >R )?51"58, 199217."2 Ca/b#nnl v. #n!i# Ma 12, 195814."3 >u$i// %/man#s v. /ns D!mb/ 4, 191416."3 %/nand v. CA and subs$i$u$d hi/s # Rv. 0/. )u!i# >a/!ia, >R 41132, A*/il 27, 19984."8 Ma!$an Cbu =n$l Ai/*#/$ Au$h#/i$ v. CA >R 1215"6

8/19/2019 Article 1200-1500 (INC)

43/43

9."7 M/!ad# v. -s*i/i$u D!mb/ 1, 191715.1" Sdish Ma$!h v. CA !$#b/ 2", 2""415.11 S;uia v. CA and -da/d )i$$#n >R 55998

A/$i!l 14"9

15."1 Bunavn$u/a v. CA #vmb/ 2", 2""34.11 R#d/igu v. R#d/igu 'ul 31, 196715."9 Sun$a v. CA D!mb/ 19, 1995

A/$i!l 1411

11."6 M#dina v. CA A*/il 3", 2""32.11 Rll#sa v. >a Chn %um S*$mb/ 29, 195319.11 Jba//a v. Ma*alad Ma/!h 22, 1993

A/$i!l 1416

1"."3 0/nl v. Ca$i$# 'ul 11, 2""3

A/$i!l 1424

2.13 Iilla//#l v. -s$/ada D!mb/ 19, 194"

A/$i!l 1431

7."6 Manila )#dg #. 761 Bnv#ln$ /#$!$iv /d/ # $h -l:s v. CA, S*$mb/ 3"1"."6 Migul v. Ca$alin# #vmb/ 29, 1968

A/$i!l 1443

15."2 Bun# v. Rs A*/il 29, 19688.11 Sala# v. Sala# Ma/!h 16, 2""3

A/$i!l 1447

8."3 0abian v. 0abian 'anua/ 29, 196816."9 &ama# v. Call+# 'ul 28, 1972