Search

Spouses Ong vs Bpi Family Savings

Uploaded by The Chogs on Feb 27, 2019
1 ·
0 33 views 2 pages ·
Document Information
Spouses Ong vs Bpi Family Savings
Date uploaded
Feb 27, 2019

Copyright
© © All Rights Reserved

Share this document

Facebook Twitter

SPOUSES ONG VS BPI FAMILY SAVINGS

G.R. No. 208638
Email
Reyes, Jr., J.
CASE DOCTRINE: As a rule, a contract is perfected upon the meeting of the
the parties.
FACTS:
Spouses Francisco Ong and Betty Lim Ong and Spouses Joseph Ong Chuan
Esperanza Ong Chuan (collectively referred to as the petitioners) are engaged
Is this content inappropriate? Report This Document
business of printing under the name and style "MELBROS PRINTING CEN
December 1996, Bank of Southeast Asia's (BSA) managers, Ronnie Denila a
Rommel Nayve, visited petitioners' office and discussed the various loan and
facilities offered by their bank. In view of petitioners' business expansion pla
the assurances made by BSA's managers, they applied for the credit facilities
by the latter. They executed a real estate mortgage (REM) over their property
situated in Paco, Manila, in favor of BSA as security for a P15,000,000.00 te
and P5,000,000.00 credit line or a total of P20,000,000.00. With regard to the
loan, only P10,444,271.49 was released by BSA. With regard to the P5,000,0
credit line, only P3,000,000.00 was released. BSA promised to release the re
P2,000,000.00 conditioned upon the payment of the P3,000,000.00 initially r
to petitioners. Petitioners acceded to the condition and paid the P3,000,000.0
full. However, BSA still refused to release the P2,000,000.00. Petitioners the
refused to pay the amortizations due on their term loan. Later on, BPI Family
Savings Bank (BPI) merged with BSA, thus, acquired all the latter's rights an
assumed its obligations. BPI filed a petition for extrajudicial foreclosure of th
for petitioners' default in the payment of their term loan. In order to enjoin th
foreclosure, petitioners instituted an action for damages with Temporary
Restraining Order and Preliminary Injunction against BPI praying for
P23,570,881.32 as actual damages; P1,000,000.00 as moral damages; P500,0
as attorney's fees, litigation expenses and costs of suit. The court ruled in fav
the plaintiff. BPI appealed to the Court of Appeal averring that petitioners are
to them on the principal balance of the mortgage loan agreement.
ISSUES:
1.) WON there was already a binding contract between petitioners and BSA
2.) WON BSA incurred delay in the performance of its obligations?
HELD:
23
CIVIL LAW REVIEW 2 CASES
SBCA School of Law (Batch 2018 – 2019)
1.) Yes, there was a perfected contract. As a rule, a contract is perfected upon
meeting of the minds of the parties. In the case of Spouses Palada v. Solidban
Corporation, et al., this Court held that under Article 1934 of the Civil Code,
loan contract is perfected only upon the delivery of the object of the contract
Applying this to the case at bench, there is no iota of doubt that when BSA
approved and released the P3,000,000.00 out of the original P5,000,000.00
credit facility, the contract was perfected.
You're reading a preview
2.) No, BSA did not incur delay. Loan is a reciprocal obligation, as it arises f
Unlock full access (pages 2-2) by
uploading documents or with a 30
Day Free Trial
Continue for Free

same cause where one party is the creditor and the other the debtor. The
obligation of one party in a reciprocal obligation is dependent upon the
obligation of the other, and the performance should ideally be simultaneous.
This means that in a loan, the creditor should release the full loan amount an
likewise
the
not debtor
only incur
violated
repays
delay
the
it when
in
terms
releasing
it of
becomes
its the
agreement
pre-agreed
due andwith
demandable.
credit
petitioners
line of
Inwhen
P5,000,000.00
this case,
it BSA
deliberately failed to release the amount of P2,000,000.00 after petitioners
complied with their terms and paid the first P3,000,000.0 0 in full. The defaul
attributed to petitioners when they stopped paying their amortizations on the
term loan cannot be sustained by this Court because long before they sent a
Letter to BSA informing the latter of their refusal to continue pa ying
amortizations, BSA had already reneged on its obligation to release the amou

You're
previously agreed upon, i.e., the Reading a Preview
P5,000,000.00 covered b y the credit line.
Upload your documents to download.
obligation of the other, and the performance should ideally be simultaneous.
This means that in a loan, the creditorOR
should release the full loan amount an

Become a Scribd member for full access. Your first 30 days are free.

likewise
the
not debtor
only incur
violated
repays
delay
the
it when
in
terms
releasing
it of
becomes
its the
agreement
pre-agreed
due andwith
demandable.
credit
petitioners
line of
Inwhen
P5,000,000.00
this case,
it BSA
deliberately failed to release the amount of P2,000,000.00
Continue for Free after petitioners
complied with their terms and paid the first P3,000,000.0 0 in full. The defaul
attributed to petitioners when they stopped paying their amortizations on the
term loan cannot be sustained by this Court because long before they sent a
Letter to BSA informing the latter of their refusal to continue pa ying
amortizations, BSA had already reneged on its obligation to release the amou

previously agreed upon, i.e., the P5,000,000.00 covered b y the credit line.
Reward Your Curiosity
Everything you want to read.
Anytime. Anywhere. Any device.

Read Free For 30 Days

No Commitment. Cancel anytime.

Share this document

Related Interests

Loans Foreclosure Lawsuit Debt Justice

Documents Similar To Spouses Ong vs Bpi Family Savings

Mercantile Law_ de 83. Sps Ong V BPI Case Digest Civ Digests Table of Asian Terminals vs
La Salle Montess… UPLOADED BY Gamboa vs Teves Contents Bangcola Padoson Stainles…
v. de La Salle
UPLOADED BY Danica Irish R… UPLOADED BY UPLOADED BY Steel Corporation
UPLOADED BY
Brothers
fabian Hazel Joy Gala… Alexine Ali Ban… kristel jane cal…
More From The Chogs

Enumerate Q&A 1 243832434-Mcq- Case digests.pdf Case Doctrines.doc

UPLOADED BY UPLOADED BY Dimaampao-w-… UPLOADED BY UPLOADED BY
The Chogs The Chogs Answer-Key.pdf
UPLOADED BY The Chogs The Chogs
The Chogs

ABOUT SUPPORT

About Scribd Help / FAQ

Press Accessibility

Our blog Purchase help

Join our team! AdChoices

Contact Us Publishers

Invite Friends

Gifts

LEGAL

Terms

Privacy

Copyright

Copyright © 2020 Scribd Inc. . Browse Books . Site Directory . Site Language: English