Case Digest (G.R. No. 234329)
Facts:
Benjamin T. De Leon, Jr. v. Roqson Industrial Sales, Inc., G.R. No. 234329, November 23, 2021, First Division, Caguioa, J., writing for the Court.Petitioner Benjamin T. De Leon, Jr. (petitioner) issued RCBC Check No. 0201234 dated August 25, 2006 in the amount of P436,800.00 in favor of Roqson Industrial Sales, Inc. (respondent); the check was dishonored upon presentment for being drawn on a "closed account." Respondent alleged the check represented payment for deliveries of 12,000 liters of diesel purchased by RB Freight International, Inc. (RB Freight), and that petitioner, as managing director of RB Freight, issued his personal check despite knowing the account was unfunded.
Respondent sent demand letters (the first dated September 15, 2006) addressed to RB Freight and petitioner; RB Freight's administrative manager responded proposing settlement terms, and RB Freight later sought a "debt moratorium." Respondent's final demand, sent by registered mail, went unheeded. Respondent filed a criminal complaint for violation of Batas Pambansa Blg. 22 (B.P. 22); after preliminary investigation, the City Prosecutor found probable cause and filed an Information.
At trial before Branch 40, Metropolitan Trial Court of Quezon City (METC), the prosecution offered the dishonored check, demand letters, and testimony. Petitioner admitted issuing the check but denied receipt of written notice of dishonor. In a decision dated May 28, 2013, the METC (Judge Josephus Joannes H. Asis) acquitted petitioner of B.P. 22 for failure to prove knowledge of insufficiency of funds beyond reasonable doubt, but nonetheless held him civilly liable to respondent for the face value of the check with 6% legal interest from last demand (November 3, 2006), P30,000 attorney's fees plus P2,000 per court appearance, and costs of suit.
On appeal, Branch 226, Regional Trial Court of Quezon City (Presiding Judge Manuel B. Sta. Cruz, Jr.) affirmed the acquittal but modified the civil award: it kept liability for the face value but increased legal interest to 12% per annum from judicial demand (filing of the Information on October 3, 2007) based on Eastern Shipping Lines, Inc. v. Court of Appeals; the RTC otherwise affirmed the METC judgment.
The Court of Appeals Special Fifteenth Division, in CA-G.R. SP No. 139973 (penned by Associate Justice Maria Filomena D. Singh, concurred in by Justices Ricardo R. Rosario and Jhosep Y. Lopez), denied the petition for review under Rule 42 and affirmed the RTC judgment but—applying Nacar v. Gallery Frames—modified the interest: 12% per annum from October 3, 2007 up to June 30, 2013, and 6% per annum thereafter until full payment. The CA denied petitioner’s motion for reconsideration by Resolution dated September 15, 2017.
Petitioner filed a Petition for Review on Certiorari under Rule 45 availing of this Court's review; the petition principally challenged the affirmation of his civil liability for the face va...(Pro-only)
Issues:
- Did the Court of Appeals err in affirming petitioner’s civil liability for the face value of the dishonored check (P436,800.00)?
- If civil liability survives petitioner’s criminal acquittal, was petitioner correctly held personally liable as an accommodation party under Section 29 of the Nego...(Pro-only)
Ruling:
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Ratio:
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Doctrine:
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