Sunga Chan

8/17/2019 Sunga Chan

1/27

Republic of the Philippines

SUPREME COURT

Baguio City

SECOND DIVISION

LILIBETH SUNGA-CHAN andCECILIA SUNGA,

Petitiones!

" #esus "

THE HONORABLE COURT OF

APPEALS; THE HONORABLE

PRESIDING JUDGE, Regional

Trial Cor!, Bran"# $$, Sindangan,

%a&'oanga Del Nor!e; THE

REGIONAL TRIAL COURT

SHERIFF, Bran"# $$, Sindangan,

%a&'oanga Del Nor!e; THE

CLER( OF COURT OF )ANILA,a* E+-Oi"io S#eri; and

LA)BERTO T CHUA,

Respon$ents%

GR No $.//0$

Pesent&

'UISUMBIN(! J %! Chaipeson!

C)RPIO MOR)*ES!

TIN()!

VE*)SCO! +R%! an$

BRION! JJ %


2/27

Po,ulgate$&

+une -.! -//0

1"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""1

D E C I S I O N

1ELASCO, JR, J.2

T#e Ca*e

Befoe us is a petition fo e#ie2 un$e Rule 3.! see4ing to nullify an$ set

asi$e the Decision an$ Resolution $ate$ No#e,be 5! -//6 an$ +uly 5! -//3!

especti#ely! of the Cout of )ppeals 7C)8 in C)"(%R% SP No% 9.500% The

i,pugne$ C) Decision an$ Resolution $enie$ the petition fo cetioai intepose$

by petitiones assailing the Resolutions $ate$ No#e,be 5! -//- an$ +anuay 9!

-//6! especti#ely! of the Regional Tial Cout 7RTC8! Banch :: in Sin$angan!

;a,boanga Del Note in Ci#il Case No% S"3


3/27

In :o con#enience! the business! pusue$

un$e the na,e! Shellite (as )ppliance Cente 7Shellite8! 2as egistee$ as a sole

popietoship in the na,e of +acinto! albeit the patneship aange,ent calle$ fo

e=ual shaing of the net pofit%

)fte +acinto?s $eath in :,aie$ $aughte! petitione *ilibeth Sunga"Chan! continue$ 2ith the business

2ithout Chua?s consent% Chua?s subse=uent epeate$ $e,an$s fo accounting an$

2in$ing up 2ent unhee$e$! po,pting hi, to file on +une --! :


4/27

AERE>ORE! @u$g,ent is heeby en$ee$ in fa#o of the plaintiff an$

against the $efen$ants! as follo2s&

7:8 DIRECTIN( the, !o render an a""on!ing in acceptable fo, un$e

accounting poce$ues an$ stan$a$s o !#e 3ro3er!ie*, a**e!*, in"o&e and

3roi!* o 4S#elli!e5 *in"e !#e !i&e o dea!# o Ja"in!o L Snga ! fo, 2ho,they continue$ the business opeations inclu$ing all businesses $ei#e$ fo,

Shellite sub,it an in#entoy! an$ appaisal of all these popeties! assets!

inco,e! pofits! etc% to the Cout an$ to plaintiff fo appo#al o $isappo#al

7-8 ORDERIN( the, !o re!rn and re*!i!!e to the patneship any an$

all 3ro3er!ie*, a**e!*, in"o&e and 3roi!* !#e6 &i*a33lied and "on7er!ed to

thei o2n use an$ a$#antage that legally petain to the plaintiff an$ account fo the popeties ,entione$ in pas% ) an$ B on pages 3". of this petition as basis

768 DIRECTIN( the, to estitute an$ 3a6 !o !#e 3lain!i 8 *#are* and

in!ere*! o !#e 3lain!i in the patneship of the liste$ popeties! assets an$ goo$2ill in sche$ules )! B an$ C! on pages 3". of the petition

738 ORDERIN( the, to 3a6 the plaintiff eane$ but nre"ei7ed in"o&e

and 3roi!* ro& !#e 3ar!ner*#i3 ro& $9:: !o )a6 0, $99

plaintiff leane$ of the closue of the stoe the su, of P=,00000 3er &on!#,

>i!# legal ra!e o in!ere*! n!il ll6 3aid

7.8 ORDERIN( the, to 2in$ up the affais of the patneship an$

te,inate its business acti#ities pusuant to la2! afte $eli#eing to the plaintiff allthe F inteest! shaes! paticipation an$ e=uity in the patneship! o the #alue

theeof in ,oney o ,oney?s 2oth! if the popeties ae not physically $i#isible

758 >INDIN( the, especially *ilibeth Sunga"Chan guilty of beach of

tust an$ in ba$ faith an$ hol$ the, liable to the plaintiff the su, of P./!///%//

as ,oal an$ e1e,play $a,ages an$!

798 DIRECTIN( the, to ei,buse an$ pay the su, of P-.!///%// as

attoney?s fee an$ P-.!///%// as litigation e1penses%

NO special ponounce,ents as to COSTS%

SO ORDERED% 7E,phasis supplie$%8


5/27

Via an O$e $ate$ +anuay :5! -//-! the RTC gante$ Chua?s ,otion fo

e1ecution% O#e a ,onth late! the RTC! acting on anothe ,otion of Chua! issue$

an a,en$e$ 2it of e1ecution%

It see,s! ho2e#e! that the a,en$e$ 2it of e1ecution coul$ not be

i,,e$iately i,ple,ente$! fo! in an o,nibus ,otion of )pil 6! -//-! Chua! inter

alia! as4e$ the tial cout to co,,ission a cetifie$ public accountant 7CP)8 to

un$eta4e the accounting 2o4 an$ in#entoy of the patneship assets if petitiones

efuse to $o it 2ithin the ti,e set by the cout% Chua late ,o#e$ to 2ith$a2 his,otion an$ instea$ as4 the a$,ission of an accounting epot pepae$ by CP)

Cheyl )% (ahu,an% In the epot un$e the hea$ing! omputation of laims!

Chua?s aggegate clai,! ai#e$ at using the co,poun$ing"of"inteest ,etho$!

a,ounte$ to PhP :3!-99!633%


6/27

On No#e,be 5! -//-! the RTC issue$ a Resolution! e@ecting the

accounting epot petitiones sub,itte$! 2hile appo#ing the ne2 co,putation of

clai,s Chua sub,itte$% The fallo of the esolution ea$s&

AERE>ORE! pe,ises consi$ee$! this Cout esol#es! as it is heeby

esol#e$! that the Co,putation of Clai,s sub,itte$ by the plaintiff $ate$ Octobe :.! -//- a,ounting to P0!966!533%9. be )PPROVED in all espects as the final

co,putation an$ accounting of the $efen$ants? liabilities in fa#o of the plaintiff

in the abo#e"captione$ case! DIS)PPROVIN( fo the pupose! in its entiety! theco,putation an$ accounting file$ by the $efen$ants%

SO RESO*VED%

Petitiones sought econsi$eation! but thei ,otion 2as $enie$ by the RTC

pe its Resolution of +anuay 9! -//6%

In $ue ti,e! petitiones 2ent to the C) on a petition fo cetioai un$e Rule

5.! assailing the No#e,be 5! -//- an$ +anuay 9! -//6 esolutions of the RTC!

the ecouse $oc4ete$ as C)"(%R% SP No% 9.500%

T#e Rling o !#e CA

)s state$ at the outset! the C)! in the heein assaile$ Decision of No#e,be

5! -//6! $enie$ the petition fo cetioai! thus&


7/27

AERE>ORE! the foegoing consi$ee$! the Petition is heeby DENIEDfo lac4 of ,eit%

SO ORDERED%

The C) pe$icate$ its $enial action on the ensuing ,ain pe,ises&

:% Petitiones! by not appeaing on the heaing $ates! i%e%! )pil -< an$ 6/!

-//-! sche$ule$ to consi$e Chua?s co,putation of clai,s! o en$eing! as

e=uie$! an accounting of the 2in$ing up of the patneship! ae $ee,e$ to ha#e

2ai#e$ thei ight to intepose any ob@ection to the co,putation of clai,s thus

sub,itte$ by Chua%

-% The :-G inteest a$$e$ on the a,ounts $ue is pope as the un2aante$

4eeping by petitiones of Chua?s ,oney passes as an in#oluntay loan an$

fobeaance of ,oney%

6% The eiteati#e agu,ents set foth in petitiones? plea$ings belo2 2ee

pat of thei $elaying tactics% Petitiones ha$ co,e to the appellate cout at least

thice an$ to this Cout t2ice% Petitiones ha$ ,oe than enough ti,e to =uestion

the a2a$ an$ it is no2 too late in the $ay to change 2hat ha$ beco,e final an$

e1ecutoy%


8/27

Petitiones? ,otion fo econsi$eation 2as e@ecte$ by the appellate cout

though the assaile$ Resolution $ate$ +uly 5! -//3% Theein! the C) e1plaine$ that

the i,position of the :-G inteest fo fobeaance of ce$it o ,oney 2as pope

pusuant to paagaph : of the Octobe 9! :


9/27

ence! the instant petition 2ith petitiones aising the follo2ing issues fo

ou consi$eation&

I%

Ahethe o not the Regional Tial Cout can i,pose inteest on a final @u$g,ent

of unli=ui$ate$ clai,s%

II%

Ahethe o not the Sheiff can enfoce the 2hole $i#isible obligation un$e

@u$g,ent only against one Defen$ant%

III%

Ahethe o not the absolute co,,unity of popety of spouses *ilibeth Sunga

Chan 2ith he husban$ Nobeto Chan can be la2fully ,a$e to ans2e fo the

liability of *ilibeth Chan un$e the @u$g,ent%

Signii"an! In!er7ening E7en!*

In the ,eanti,e! pen$ing esolution of the instant petition fo e#ie2 an$

e#en befoe the esolution by the C) of its C)"(%R% SP No% 9.500! the follo2ing

ele#ant e#ents tanspie$&

:% >ollo2ing the RTC?s appo#al of Chua?s co,putation of clai,s in the

a,ount of PhP 0!966!533%9.! the sheiff of Manila le#ie$ upon petitione Sunga"

Chan?s popety locate$ along *inao St%! Paco! Manila! co#ee$ by Tansfe


10/27

Cetificate of Title 7TCT8 No% -/090-! o#e 2hich a buil$ing lease$ to the

Philippine National Ban4 7PNB8 stoo$% In the auction sale of the le#ie$ lot! Chua!

2ith a ten$e of PhP 0 ,illion! e,ege$ as the 2inning bi$$e%

-% On +anuay -:! -//.! Chua ,o#e$ fo the issuance of a final $ee$ of sale

an$ a 2it of possession% e also as4e$ the RTC to o$e the Registy of Dee$s of

Manila to cancel TCT No% -/090- an$ to issue a ne2 cetificate% Despite

petitiones? opposition on the goun$ of pe,atuity! a final $ee$ of sale 2as issue$

on >ebuay :5! -//.%

6% On >ebuay :0! -//.! Chua ,o#e$ fo the confi,ation of the sheiff?s

final $ee$ of sale an$ fo the issuance of an o$e fo the cancellation of TCT No%

-/090-% Petitiones again intepose$ an opposition in 2hich they info,e$ the

RTC that this Cout ha$ alea$y gante$ $ue couse to thei petition fo e#ie2 on

+anuay 6:! -//.

3% On A3ril $$,


11/27

5% On )a6 $,


12/27

Petitiones! citing )ticle --:6 of the Ci#il Co$e! fault the tial cout fo

i,posing! in the e1ecution of its final @u$g,ent! inteests on 2hat they consi$ee$

as unli=ui$ate$ clai,s% ),ong these 2as the clai, fo goo$2ill upon 2hich the

RTC attache$ a ,onetay #alue of PhP -./!///% Petitiones also =uestion the

i,position of :-G inteest on the clai,e$ ,onthly pofits of PhP 6.!///! ec4one$

fo, :


13/27

) ./G shae on assets 7e1clusi#e of goo$2ill8 at fai

,a4et #alue 7Schedule %8 P :!5:6!../%//

B ./G shae in the ,onetay #alue of goo$2ill

7P.//!/// 1 ./G8 -./!///%//

C *egal inteest on shae of assets fo, +une :! :


14/27

)ttoney?s >ee -.!///%//

*itigation >ee -.!///%//

TOT)* )MOUNT P,$=/,?..=

)s ,ay be ecalle$! the tial cout a$,itte$ an$ appo#e$ Chua?s

co,putation of clai,s a,ounting to PhP 0!966!533%9.! but e@ecte$ that of

petitiones! 2ho ca,e up 2ith the figue of only PhP 6!:.3!965%5.% Ae highlight

the substantial $iffeences in the accounting epots on the follo2ing ite,s! to 2it&

7:8 the aggegate a,ount of the patneship assets beaing on the ./G shae of

Chua theeon 7-8 inteests a$$e$ on Chua?s shae of the assets 768 a,ount of

pofits fo, :


15/27

Neithe is the Cout incline$ to intefee 2ith the C)?s conclusion as to the

total a,ount of the patneship pofit! that is! PhP :!0..!///! geneate$ fo the

peio$ +anuay :


16/27

--/< of the Ci#il Co$e pescibing a yealy 5G inteest% )t% --/< petinently

po#i$es&

)t% --/


17/27

be sub@ect to the con$ition Hthat the couts ae #este$ 2ith $iscetion! $epen$ing on

the e=uities of each case! on the a2a$ of inteest%

Othe2ise fo,ulate$! the no, to be follo2e$ in the futue on the ates an$

application theeof is&

I% J Ahen an obligation! ega$less of its souce! is beache$! the

conta#eno can be hel$ liable fo $a,ages% The po#isions un$e Title VIII on

HDa,ages of the Ci#il Co$e go#en in $ete,ining the ,easue of eco#eable$a,ages%

II% J Aith ega$ paticulaly to an a2a$ of inteest in the concept of actual an$ co,pensatoy $a,ages! the ate of inteest! as 2ell as the accual

theeof! is i,pose$! as follo2s&

:% Ahen the obligation beache$ consists in the pay,ent of a su, of ,oney! i%e%! a loan o fobeaance of ,oney! the inteest $ue shoul$ be that 2hich

,ay ha#e been stipulate$ in 2iting% >uthe,oe! the inteest $ue shall itself

ean legal inteest fo, the ti,e it is @u$icially $e,an$e$% In the absence of stipulation! the ate of inteest shall be :-G pe annu, to be co,pute$ fo,

$efault! i%e%! fo, @u$icial o e1ta@u$icial $e,an$ un$e an$ sub@ect to the

po#isions of )ticle ::5< of the Ci#il Co$e%

-% Ahen an obligation not constituting loans o fobeaance of ,oney is

beache$! an inteest on the a,ount of $a,ages a2a$e$ ,ay be i,pose$ at the

$iscetion of the cout at the ate of 5G pe annu,% No inteest! ho2e#e! shall bea$@u$ge$ on unli=ui$ate$ clai,s o $a,ages e1cept 2hen o until the $e,an$ can

be establishe$ 2ith easonable cetainty% )cco$ingly! 2hee the $e,an$ is

establishe$ 2ith easonable cetainty! the inteest shall begin to un fo, the ti,ethe clai, is ,a$e @u$icially o e1ta@u$icially 7)t% ::5

such cetainty cannot be so easonably establishe$ at the ti,e the $e,an$ is

,a$e! the inteest shall begin to un only fo, the $ate the @u$g,ent of the coutis ,a$e 7at 2hich ti,e the =uantification of $a,ages ,ay be $ee,e$ to ha#e

been easonably ascetaine$8% The actual base fo the co,putation of legal

inteest shall! in any case! be on the a,ount finally a$@u$ge$%

6% Ahen the @u$g,ent of the cout a2a$ing a su, of ,oney beco,es

final an$ e1ecutoy! the ate of legal inteest! 2hethe the case falls un$e

paagaph : o paagaph -! abo#e! shall be :-G pe annu, fo, such finality


18/27

until its satisfaction! this intei, peio$ being $ee,e$ to be by then an e=ui#alent

to a fobeaance of ce$it%

(ui$e$ by the foegoing ules! the a2a$ to Chua of the a,ount epesenting

eane$ but une,itte$ pofits! i%e%% PhP 6.!/// ,onthly! fo, +anuay :


19/27

The Cout has cetainly not lost sight of the fact that the Octobe 9! :


20/27

768 :-G inteest on shae of goo$2ill fo, Dece,be

-/! -//: to Octobe :.! -///

PhP -./!/// 1 /%:- 1 -


21/27

7:/8 :-G inteest on ,oal an$ e1e,play $a,ages!

attoney?s fee! an$ litigation fee fo, Dece,be

-/! -//: to Octobe :.! -//-

PhP ://!/// 1 :-G 1 -

TOT)* )MOUNT P#P =,=


22/27

>o one! the co,plaint of Chua fo 2in$ing up of patneship affais!

accounting! appaisal! an$ eco#ey of shaes an$ $a,ages is clealy a suit to

enfoce a soli$ay o @oint an$ se#eal obligation on the pat of petitiones% )s it

2ee! the continuance of the business an$ ,anage,ent of Shellite by petitiones

against the 2ill of Chua ga#e ise to a soli$ay obligation! the acts co,plaine$ of

not being se#eable in natue% In$ee$! it is 2ell"nigh i,possible to $a2 the line

bet2een 2hen the liability of one petitione en$s an$ the liability of the othe

stats% In this 4in$ of situation! the la2 itself i,poses soli$ay obligation% )t%

:-/9 of the Ci#il Co$e thus po#i$es&

)t% :-/9% The concuence of t2o o ,oe ce$itos o of t2o o ,oe$ebtos in one an$ the sa,e obligation $oes not i,ply that each one of the fo,e

has a ight to $e,an$! o that each of the latte is boun$ to en$e! entie

co,pliance 2ith the pestation% Thee is soli$ay liability only 2hen theobligation e1pessly so states! o 2hen the la2 o the na!re o !#e o'liga!ion

reire* *olidari!6% 7E,phasis ous%8

)ny suggestion that the obligation to un$eta4e an in#entoy! en$e an

accounting of patneship assets! an$ to 2in$ up the patneship affais is $i#isible

ought to be $is,isse$%

>o the othe! the $uty of petitiones to e,it to Chua his half inteest an$

shae of the total patneship assets pocee$s fo, petitiones? in$i#isible


23/27

obligation to en$e an accounting an$ in#entoy of such assets% The nee$ fo the

i,position of a soli$ay liability beco,es all the ,oe ponounce$ consi$eing the

i,possibility of =uantifying ho2 ,uch of the patneship assets o pofits 2as

,isappopiate$ by each petitione%

)n$ fo a thi$! petitiones? obligation fo the pay,ent of $a,ages an$

attoney?s an$ litigation fees ought to be soli$ay in natue! they ha#ing esiste$ in

ba$ faith a legiti,ate clai, an$ thus co,pelle$ Chua to litigate%

T#ird I**e2 Co&&ni!6 Pro3er!6 Lia'le

Pi,aily anchoe$ as the last issue is the eoneous theoy of $i#isibility of

petitiones? obligation an$ thei @oint liability theefo% The Cout nee$s to $2ell onit lengthily%

(i#en the soli$ay liability of petitiones to satisfy the @u$g,ent a2a$!

espon$ent sheiff cannot eally be faulte$ fo le#ying upon an$ then selling at

public auction the popety of petitione Sunga"Chan to ans2e fo the 2hole

obligation of petitiones% The fact that the le#ie$ pacel of lan$ is a con@ugal o

co,,unity popety! as the case ,ay be! of spouses Nobeto an$ Sunga"Chan

$oes not pe se #itiate the le#y an$ the conse=uent sale of the popety% Veily! sai$


24/27

popety is not a,ong those e1e,pte$ fo, e1ecution un$e Section :6! Rule 6< of

the Rules of Cout%

)n$ it cannot be o#ee,phasiKe$ that the TRO issue$ by the Cout on May

6:! -//. ca,e afte the auction sale in =uestion%

Paenthetically! the eco$s sho2 that spouses Sunga"Chan an$ Nobeto

2ee ,aie$ on >ebuay 3! :


25/27

May 6/! :

the puchase pice o#e his legiti,ate clai,s%

>ollo2ing the auction! the coespon$ing cetificate of sale $ate$ +anuay

:.! -//3 2as annotate$ on TCT No% -/090-% On +anuay -:! -//.! Chua ,o#e$

fo the issuance of a final $ee$ of sale 7:8 to o$e the Registy of Dee$s of Manila

to cancel TCT No% -/090- 7-8 to issue a ne2 TCT in his na,e an$ 768 fo the

RTC to issue a 2it of possession in his fa#o% )n$ as ealie state$! the RTC

gante$ Chua?s ,otion! albeit the Cout estaine$ the enfoce,ent of the RTC?s

pac4age of o$es #ia a TRO issue$ on May 6:! -//.%

Theefoe! sub@ect to the pay,ent by Chua of PhP -!39/!5/9%30 to petitione

Sunga"Chan! 2e affi, the RTC?s )pil ::! -//. esolution! confi,ing the

sheiff?s final $ee$ of sale of the le#ie$ popety! o$eing the Registy of Dee$s of

Manila to cancel TCT No% -/090-! an$ issuing a 2it of possession in fa#o of

Chua%


26/27

HEREFORE! this petition is PARTL GRANTED% )cco$ingly! the

assaile$ $ecision an$ esolution of the C) in C)"(%R% SP No% 9.500 ae heeby

AFFIR)ED 2ith the follo2ing )ODIFICATIONS&

7:8 The Resolutions $ate$ No#e,be 5! -//- an$ +anuay 9! -//6 of the

RTC! Banch :: in Sin$angan! ;a,boanga Del Note in Ci#il Case No% S"37-8 Sub@ect to the pay,ent by espon$ent Chua of PhP -!39/!5/9%30 to

petitione Sunga"Chan! the Resolution $ate$ )pil ::! -//. of the RTC! confi,ing

the sheiff?s final $ee$ of sale of the le#ie$ popety! o$eing the Registy of

Dee$s of Manila to cancel TCT No% -/090-! an$ issuing a 2it of possession in

fa#o of espon$ent Chua! is AFFIR)ED an$

The TRO issue$ by the Cout on May 6:! -//. in the instant petition is

LIFTED%

No ponounce,ent as to costs%


27/27

SO ORDERED

Sunga Chan

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