Title
Abalos vs. Macatangay, Jr.
Case
G.R. No. 155043
Decision Date
Sep 30, 2004
Spouses Abalos disputed a property sale to Macatangay due to a void SPA and dishonored earnest money. SC ruled the RMOA invalid, lacking spousal consent and valid consideration, reinstating trial court's dismissal.
A

Case Digest (G.R. No. 192048)

Facts:

  • Ownership and preliminary agreements
    • Spouses Arturo and Esther Abalos are registered owners of a 327-sqm parcel with improvements in Makati City (TCT No. 145316).
    • On June 2, 1988, Arturo obtained a Special Power of Attorney (SPA) from Esther, and on October 17, 1989, he executed a Receipt and Memorandum of Agreement (RMOA) binding himself to sell the property to respondent Dr. Galicano S. Macatangay, Jr., at a price of ₱1,300,000.00, with a ₱5,000.00 earnest-money check.
  • Subsequent authorizations, annotations, and demands
    • On October 25, 1989, Esther executed another SPA in favor of her sister to effect the transfer.
    • Respondent annotated an adverse claim on the title (Nov. 14, 1989) and, on Nov. 16, demanded full payment and possession, prompting Esther (through attorney-in-fact) to execute a Contract to Sell her conjugal interest for ₱650,000.00 (net of earnest money), with the balance of ₱1,290,000.00 payable after possession.
    • On December 7, 1989, respondent set aside a Citibank check for ₱1,290,000.00, reiterated the demand, but the spouses failed to deliver possession, leading to a second annotation and the filing of a specific-performance complaint on January 12, 1990.
  • Procedural history
    • The Regional Trial Court dismissed the complaint, finding the SPA to be a forgery, the RMOA unsupported by valid consideration, and the earnest-money check dishonored.
    • The Court of Appeals reversed, holding the SPA by Esther validly empowered her sister to sell her share and that the RMOA bound Arturo’s conjugal share.
    • Petitioner Arturo Abalos elevated the case to the Supreme Court, alleging (a) denial of due process, (b) erroneous reversal of trial-court findings, and (c) mischaracterization of the contracts.

Issues:

  • Was petitioner denied due process in the Court of Appeals proceedings?
  • Did the Court of Appeals commit grave error in setting aside the trial court’s factual findings?
  • Are the RMOA and the Contract to Sell valid contracts of sale warranting specific performance?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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