Spouses Rodriguez would rediscount the postdated checks issued to members whenever the association was short of funds. Related Interests. It can readily be seen that judgement notes, instead of resulting to the advantage of commercial life in the Philippines might be the source of abuse kei and oppression, and make the courts involuntary parties thereto.
PNB v MANILA OIL FACTS: The question of first impression raised in this case concerns the validity in this jurisdiction of a provision in a promissory note whereby in case the same is not paid at maturity, the maker authorizes any attorney to appear and confess judgment thereon for the principal amountwith interest, costs, and attorney's fees, and waives all errors, rights to inquisition, and appeal, and all property exceptions.
This performance, which is fictitious — not real — is not expressly authorized by the Code, which limits itself only to declare valid those conditions and the obligation thereby affected; but it is neither disallowed, and the Code being thus silent, the old view can be maintained as a doctrine.
The amounts were duly debited from the Rodriguez account. Without defalcation, value received; and do hereby authorize any attorney in the Philippine Islands, in case this note be not paid at maturity, to appear in my name and confess judgment for the above sum with interest, cost of suit and attorneys fees of ten 10 per cent for collection, a release of all errors and waiver of all rights to inquisition and appeal, and to the benefit of all laws exempting property, real or personal, from levy or sale.
If the uncertainty should consist in the arrival or non-arrival of the day, the obligation is conditional and shall be governed by the rules of the next preceding section.
Three years after, the bank filed an action to recover the sums of money covered by the promissory notes. In the former it is held: First. So ordered. Sotelo Matti is sentenced to accept and receive from the plaintiff the tanks, the expellers and the motors in question, and to pay the plaintiff P96k, with legal interest thereon from July 17,the date of the filing of the complaint, until fully paid, and the costs of both instances.
Smith Bell brought suit against the defendant, based on 4 separate causes of action, alleging, among other facts, that it immediately notified the defendant of the arrival of the goods, and asked instructions from him as to the delivery thereof, and that the defendant refused to receive any of them and to pay their price.
Such warrants of attorney are void as against public policy, because they enlarge the field for fraud, because under these instruments the promissory bargains away his right to a day in court, and because the effect of the instrument is to strike down the right of appeal accorded by statute.
Judgment appealed from is modified. They took out loans in the names of unknowing members, without the knowledge or consent of the latter. ISSUE: Whether or not it is the duty of the surety and not that of the creditor, to see to it that the obligor fulfils his obligation, and that the creditor owed the surety no duty of active diligence to collect any sum from the principal debtor.
The documents provided that the amounts deposited shall be repayable to the depositor. In return, the spouses issued their personal checks Rodriguez checks in the name of the members and delivered the checks to an officer of PEMSLA. To this the defendant objected. On the contrary, the provisions of the Code of Civil Procedure, in relation to constitutional safeguards relating to the right to take a man's property only after a day in court and after due process of law, contemplate that all defendants shall have an opportunity to be heard.
The delivery thereof as security for the fuel purchases at most constitutes Caltex as a holder for value by reason of his lien. The amounts are to be repayable to the bearer of the documents, i. Thus, banks are enjoined to be extra vigilant in the management and supervision of their employees.
The spouses were engaged in the informal lending business. It appears that this became the usual practice for the parties. The Philippine National Bank brought action in the Court to recover the amount of the note, together with interest and costs.
The court below absolved the defendants insofar as the tanks and the electric motors were concerned, but rendered judgment against them, ordering them to "receive the aforesaid expellers and pay the Smith Bell the sum of P50, the price of the said goods, with legal interest thereon from July 26,and costs.
Subsequently, dela Cruz informed the bank that he lost all the CTDs, and thus executed an affidavit of loss to facilitate the issuance of the replacement CTDs.
Caltex filed the complaint, but which was dismissed. Manila Oil, however, in a sworn declaration, objected strongly to the unsolicited representation of attorney Recto.
The Bank exonerated the surety, pursuant to Art. P61, Anger de la Cruz delivered the CTDs to Caltex in connection with his purchase of fuel products from the latter. Whether or not, in the absence of express legislative sanction, such warrants of attorney are valid.
Recto, an attorney associated with PNB, entered his appearance in representation of Manila Oil, and filed a motion confessing judgment. For the period November to Februarythe spouses issued sixty nine 69 checks, in the total amount of P 2, Moreover, the same section of the Negotiable Instruments.
In the Supreme Court, the question of first impression raised in the case concerns the validity in this jurisdiction of a provision in a promissory note whereby incase the same is not paid at maturity, the maker authorizes any attorney to appear and confess judgment thereon for the principal amount, with interest, costs, and attorney's fees, and waives all errors, rights to inquisition, and appeal, and all property exemptions.
Elias N. We are further of the opinion that provisions in notes authorizing attorneys to appear and confess judgments against makers should not be recognized in this jurisdiction by implication and should only be considered as valid when given express legislative sanction.
The judgment appealed from is set aside, and the case is remanded to the lower court for further proceedings in accordance with this decision. digest case of pnb vs manila oil refining and company inc.
- Free download as Word Doc .doc /.docx), PDF File .pdf), Text File .txt) or read online for free. credit transaction1/5(1). Case Digest # V-c-4 | GR No. L |PNB v Manila Surety & Fidelity Co. Inc. | Reyes FACTS: The PNB opened a letter of credit and advanced $, to Edington Oil Refinery for 8, tons of hot asphalt, of which 2, tons worth P, were delivered to Adams & Taguba Corp.
(ATACO) under a trust receipt guaranteed. Case Digest Pnb Vs Manila Oil Reifine. Anthony L. Leachon Obligation and Contracts Case Digests PNB VS CA SCRA FACTS: * October 23, Lily S.
Pujol opened an account with the petitioner PNB(Mandaluyong branch.) She applied for a “combo account” under her. NATIONAL BANK V. MANILA OIL REFINING 43 PHIL BATASnatin LIVE! Free legal advice every Wednesday and Friday at 6pm. 2. PNB vs Manila Oil Refinery Case Digest - Download as Word Doc .doc /.docx), PDF File .pdf), Text File .txt) or read online.
Negotiable Instruments, Commercial Law, Case Digest. digest case of pnb vs manila oil refining and company inc. - Download as Word Doc .doc /.docx), PDF File .pdf), Text File .txt) or read online.Case digest pnb vs manila oil reifine