Spouses Salvador vs Spouses Rabaja (2015) Case Digest in Civil Law

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    SPOUSES SALVADOR VS SPOUSES RABAJA AND GONZALES(G. R. No. 199990, February 4, 2015)

    FACTS: Petitioners Spouses Salvaor sol a par!el o" lan lo!ate in #analuyon$%ity to responents Spouses Raba&a, t'rou$' Rosario Gonales, t'e sellers a$ent.

    Fro* 1994+2002, responents 'ave been rentin$ t'e property "ro*

    petitioners.'en t'ey learne t'at petitioners -ere looin$ "or a buyer, responents

    e/presse esire to pur!'ase t'e lan an petitioners introu!e Gonales toresponents as a*inistrator o" t'e lan. Petitioners even 'ane to Gonales t'eo-ners upli!ate !erti!ate o" title on t'e property.

    n 199, responents pai 4,000 pesos to Gonales, -'o t'en 'a an SP3e/e!ute by petitioner+Rolano, in t'e presen!e o" petitioner+er*inia.

    n t'e sa*e ay, t'e parties e/e!ute a !ontra!t to sell, stipulatin$ t'ea*ount o" t'e property at 5 *illion pesos.

    Responents *ae several pay*ents a*ountin$ to 950,000 pesos toGonales pursuant to t'e SP3 provie earlier as evien!e by t'e !'e! vou!'erssi$ne by Gonales an t'e i*provise re!eipts si$ne by er*inia.

    6ut in 7une 1999, petitioners !o*plaine t'at t'ey i not re!eive anypay*ent "ro* responents, so responents suspene "urt'er pay*ent o" t'epur!'ase pri!e8 an as a !onseuen!e, t'ey re!eive a noti!e to va!ate t'e sub&e!tproperty "ro* Spouses Salvaor "or non+pay*ent o" rentals.

    3n e&e!t*ent suit -as le by petitioners be"ore t'e #e:%, -'ile a !ase "orres!ission o" !ontra!t -as le by responents be"ore t'e R:%.

    Petitioners -on in t'e e&e!t*ent suit an -ere able to $arnis' 59;,400 pesos"ro* responents ti*e eposits representin$ pay*ent "or t'e ba! rentals, asorere by t'e trial !ourt in t'e -rit o" e/e!ution.

    R:% reverse #e:% an rule t'at t'ere -as no lease a$ree*ent bet-een t'eparties. :'is pro*pte petitioners to appeal t'e !ase be"ore t'e %3, -'i!'reinstate #e:%s rulin$. :'is %3 e!ision be!a*e nal an e/e!utory.

    #ean-'ile, R:%, in t'e res!ission !ase, orere t'e res!ission o" t'e !ontra!t.Petitioners -ere only able to atten t'e rst o" t'e *any pre+trial !on"eren!e,leain$ to t'e R:%s issuan!e o" an orer o" e"ault, allo-in$ responents to presentevien!e e/+parte . :'e R:% rule in responents "avor an 'el t'at t+'e !ontra!t-as one o" sale not a !ontra!t to sell, -'i!' !an appropriately be res!ine, bein$ a!ontra!t -it' re!ipro!al obli$ations. n its rulin$ in "avor o" responents, it oreret'e return o" t'e $arnis'e a*ount an t'e 950,000 pesos -'i!' represents t'epur!'ase pri!e.

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    3. 'et'er or not t'e nal an e/e!utory &u$*ent on t'e e&e!t*ent !ase -'i!'orers t'e $arnis'*ent o" 59;,400 pesos !an still be isturbe, an t'e $arnis'ea*ount returne.

    4. 'et'er or not t'e a-ar o" a*a$es in "avor o" Spouses Raba&a an Gonales -asproper absent any le$al an "a!tual bases.

    RULING: 1. The fai!"e #f S$#!%e% Sa&a'#" (# a((e)' $"e*("ia +#)fe"e)+e ,a""a)(%

    (he $"e%e)(a(i#) #f e&i'e)+e e- $a"(e / S$#!%e% Raa0a.  :'e %ourtreiterates t'e rule t'at t'e "ailure to atten t'e pre+trial !on"eren!e oes not resultin t'e e"ault o" an absent party. =ner t'e 199> Rules o" %ivil Pro!eure, ae"enant is only e!lare in e"ault i" 'e "ails to le 'is 3ns-er -it'in t'ere$le*entary perio. n t'e ot'er 'an, i" a e"enant "ails to atten t'e pre+trial!on"eren!e, t'e plainti? !an present 'is evien!e e/ parte. 7usti!e Re$alao, in 'isboo, !larie t'at -'ile t'e orer o" e"ault no lon$er obtaine -'en a party "ailsto appear at t'e pre+trial !on"eren!e, its e?e!ts -ere retaine. :'ere is no isputet'at Spouses Salvaor an t'eir !ounsel "aile to atten t'e pre+trial !on"eren!e seton February 4, 2005 espite proper noti!e. Spouses Salvaor aver t'at t'eir non+

    attenan!e -as ue to t'e "ault o" t'eir !ounsel as 'e "or$ot to upate 'is !alenar. :'is e/!use s*a!s o" !arelessness, an ini?eren!e to t'e pre+trial sta$e. t si*ply!annot be !onsiere as a &ustiable e/!use by t'e %ourt.

    2. O) (he SPA. 3!!orin$ to 3rti!le 1990 o" t'e Ne- %ivil %oe, inso"ar as t'irpersons are !on!erne, an a!t is ee*e to 'ave been per"or*e -it'in t'e s!opeo" t'e a$ent@s aut'ority, i" su!' a!t is -it'in t'e ter*s o" t'e po-er o" attorney, as-ritten. Responents i not re!lessly enter into a !ontra!t to sell -it' Gonales.

     :'ere -as a vali SP3 so responents properly *ae pay*ents to Gonales, asa$ent o" petitioners8 an it -as as i" t'ey pai to t'e petitioners.

    O) G#)ae% "e+ei$( #f $a/e)(. t is o" no *o*ent, inso"ar asresponents are !on!erne, -'et'er or not t'e pay*ents -ere a!tually re*itte topetitioners. 3ny internal *atter, arran$e*ent, $rievan!e or stri"e bet-een t'e

    prin!ipal an t'e a$ent is t'eirs alone an s'oul not a?e!t t'ir persons.O) (he +#)("a+( #f %ae. :'e %ourt a$rees -it' t'e !ourts belo- in

    nin$ t'at t'e !ontra!t entere into by t'e parties -as essentially a !ontra!t o" sale -'i!' !oul be valily res!ine.

    ;. O) (he 'e+i%i#) f#" a")i%he)(.  :'e a*ount o" P59;,400.00s'oul not be returne by petitioners. :'e $arnis'*ent ste*s "ro* an entirelyi?erent !ase involvin$ an a!tion "or e&e!t*ent, an it oes not !on!ern t'eres!ission !ase -'i!' is on appeal be"ore t'is %ourt. :'e e!ision on t'e e&e!t*ent!ase is nal an e/e!utory an an entry o" &u$*ent 'as alreay been *ae.Not'in$ is *ore settle in la- t'an t'at -'en a nal &u$*ent is e/e!utory, itt'ereby be!o*es i**utable an unalterable. Responents *ust 'ave institutet'eir opposition to t'e e/e!ution pro!eein$ in t'at separate !ase -it' t'ey 'aveany ob&e!tion on t'e *anner an propriety o" t'e e/e!ution. :'ey !an, 'o-ever,invoe t'e le$al !o*pensation or set+o? uner 3rti!les 12>, 12>9 an 12>0be!ause t'e t-o obli$ations appear to 'ave respe!tively o?set ea!' ot'er.

    4. O) Daae%. No a-ar o" a!tual, *oral an e/e*plary a*a$es !an be sustaineby t'is %ourt. :'e lin$ alone o" a !ivil a!tion s'oul not be a $roun "or an a-aro" *oral a*a$es. 3rti!le 2220 o" t'e Ne- %ivil %oe provies t'at to a-ar *orala*a$es in a brea!' o" !ontra!t, t'e e"enant *ust a!t "rauulently or in ba"ait'. n t'is !ase, responents "aile to su

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    "rauulent *anner or -it' ba "ait'. A/e*plary a*a$es !annot be a-are toosin!e responents "aile to prove *oral or !o*pensatory a*a$es as reuire by3rti!le 2229 o" t'e Ne- %ivil %oe be"ore e/e*plary a*a$es !an be a-are.