Title
Dalton vs. FGR Realty and Development Corp.
Case
G.R. No. 172577
Decision Date
Jan 19, 2011
Dalton's consignation of rent deemed invalid due to lack of notice; SC upheld lower courts' rulings, affirming her failure to pay rent and vacate property.
A

Case Digest (G.R. No. 172577)

Facts:

  • Parties and Property
    • Flora R. Dayrit owned a 1,811-sqm parcel at the corner of Rama Avenue and Velez Street, Cebu City.
    • Soledad Dalton and co-lessees (Clemente Sasam, Romulo Villalonga, et al.) leased portions of this property.
    • In June 1985, Dayrit sold the property to FGR Realty and Development Corporation (FGR).
  • Consignation, Trial and Appeals
    • In August 1985, Dayrit and FGR refused further rent and demanded lessees vacate. On September 11, 1985, Dalton and Sasam et al. filed a complaint and deposited rents in court without prior notice to Dayrit and FGR.
    • Dayrit and FGR, through motions in 1987–1994, withdrew these deposits, expressly reserving rights to contest consignation validity.
    • Dayrit, FGR and Sasam et al. entered into compromise agreements on March 25 and June 20, 1997, abandoning mutual claims; Dalton did not join.
    • The RTC, in a February 26, 2002 Decision, dismissed Dalton’s complaint, ruled the consignation invalid for lack of prior and subsequent notice, found Dalton using the premises for business, and ordered her to vacate.
    • The Court of Appeals, in a November 9, 2005 Decision and April 10, 2006 Resolution, affirmed the RTC: Dalton’s consignation failed requisites 3 and 5 (notice), and factual findings supported the order to vacate.
    • Dalton petitioned for certiorari under Rule 45, raising errors on consignation validity and rent payment.

Issues:

  • Whether Dalton’s consignation of rental payments was valid despite lack of prior and subsequent notice.
  • Whether Dalton failed to pay rent continuously, justifying the order to vacate.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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