DE AGBAYANI vs PNB_digestPKI TANGAL NG BULLETS WHEN WRITING Agbayani obtained a loan P450 from PNB secured by a REM, which was to mature 5 years later !5 years later, PNB sought to foreclose the REM Agbayani "led a com#laint claiming that it was barred by #rescri#tion $healso claims that she obtained an in%unction against the sheri& PNB argued that the claim has not yet #rescribed if the #eriod from the time of issuance of E'() to the time when RA (4) was issued should be deducted o E0 () was issued in !*45 + #ro,iding for debt moratoriumo RA (4) was issued in !*4-. e/tension of the debt moratorium 0he RA (4) was declared ,oid and since it was an e/tension of E' (), E' () was li1ewise nulli"ed 2ere, RA (4) 3the debt moratorium law4 continued E' (), sus#ending the #ayment of debts by war su&erers 2owe,er RA (4) could not #ass the test of ,alidity 35 thin1 what 6ustice 7ernando was saying is that the law was later declared unconstitutional because it ,iolates the non.im#airment of contractual obligations clause in the constitution4 PNB claims that this #eriod should be deducted from the #rescri#ti,e #eriod since during this time the ban1 too1 no legal ste#s for the reco,eryof the loan As such, the action has not yet #rescribed ISSUE: 2as the action #rescribed8HELD:0he general rule is that an unconstitutional act because it su&ers from in"rmity, cannot be a source of legal rights or duties 9hen the courts declare a law to be inconsistent with the :onstitution, the former shall be ,oid and the latter shall go,ern 2owe,er, #rior to the declaration of nullity of such challenged legislati,e act must ha,e been in force and had to be com#lied with 0his is so as until afterthe %udiciary, in an a##ro#riate case declares its in,alidity, it is entitled to obedience and res#ect $uch legislati,e act was in o#eration and #resumed to be ,alid in all res#ects 5t is now acce#ted that #rior to its being nulli"ed, its e/istence as a fact must be rec1oned with 0his is merely to re;ect the awareness that #recisely because the %udiciary is the go,ernmental organ which has the "nal say on whether a legislati,e act is ,alid, a #eriod of time may ha,e ela#sed before it can e/ercise the #ower of %udicial re,iew that may lead to a declaration of nullity 5t would e to de#ri,e the law of its