Case Digest (G.R. No. L-48627)
Facts:
Fermin Z. Caram, Jr. and Rosa O. de Caram v. The Honorable Court of Appeals and Alberto V. Arellano, G.R. No. L-48627, June 30, 1987, First Division, Cruz, J., writing for the Court.The private respondent, Alberto V. Arellano, sued the proposed airline promoters, the subsequently organized corporation Filipinas Orient Airways, and several individuals (including Barretto, Garcia, and petitioners Fermin Z. Caram, Jr. and Rosa O. de Caram) for compensation for a project study and pre-organizational technical services. In the challenged decision of the respondent court (Court of Appeals), the defendants were ordered to "jointly and severally pay the plaintiff the amount of P50,000.00 for the preparation of the project study and his technical services that led to the organization of the defendant corporation, plus P10,000.00 attorney's fees."
The Court of Appeals justified solidary liability on findings that the project study and related pre-organization efforts were undertaken by Arellano at the request of Barretto and Garcia, that the study was presented to the Carams and induced them to invest, and that the study provided the basis for organizing and operating the airline. The CA also compared compensation to Barretto (200,000 shares) and found P50,000 reasonable for Arellano's services.
The petitioners brought a petition to this Court challenging only the paragraph of the CA disposition imposing joint and several liability upon them. They argued they had no contract with Arellano, that they were mere investors induced to subscribe by the finished study, and that Filipinas Orient Airways was a bona fide corporation with separate juridical personality; thus they should not be personally liable for the corporation's obligation...(Pro-only)
Issues:
- Are petitioners Fermin Z. Caram, Jr. and Rosa O. de Caram personally and solidarily liable with the corporation and the other defendants for the P50,000 claimed by Alberto V. Arellano for preparation of the project study and related technical services?
- If petitioners are liable, to what extent are they liable (jointly only, ...(Pro-only)
Ruling:
- (Pro-only)
Ratio:
- (Pro-only)
Doctrine:
- (Pro-only)