Title
Supreme Court
Evy Construction and Development Corp. vs. Valiant Roll Forming Sales Corp.
Case
G.R. No. 207938
Decision Date
Oct 11, 2017
Evy Construction sought a TRO to prevent encumbrance annotations on its property title, but courts denied relief, citing lack of urgency and due process compliance.

Case Digest (G.R. No. 207938)
Expanded Legal Reasoning Model

Facts:

  • Transaction and Registration
    • On September 4, 2007, Evy Construction and Development Corporation (Evy Construction) purchased a parcel of land in Lipa City, Batangas covered by Transfer Certificate of Title (TCT) No. 134890 from Linda N. Ang and Senen T. Uyan by Deed of Absolute Sale, notarized September 11, 2007. At that time, the title bore only a notice of adverse claim by Ang.
    • On September 18, 2007, the Register of Deeds annotated a Notice of Levy on Attachment on TCT No. 134890 pursuant to a Writ of Preliminary Attachment issued in Civil Case No. 13442 entitled Valiant Roll Forming Sales Corporation v. Angeli Lumber and Hardware, Inc., and Linda Ngo Ang.
  • Issuance of New Title and Execution Sale
    • Evy Construction registered its Deed of Absolute Sale on November 20, 2007, prompting issuance of TCT No. 168590 in its name; the new title, however, carried annotations of three attachment/levy notices dated September 18, October 2, and November 8, 2007.
    • The Regional Trial Court (RTC) in Civil Case No. 13442 rendered judgment in favor of Valiant, issued a Writ of Execution and Notice of Sale, and sold the property covered by TCT No. 134890 to Valiant as the highest bidder. Valiant posted an indemnity bond of ₱745,700.00 to cover possible damages to Evy Construction under Rule 57, Rules of Court.
  • Proceedings for Injunctive Relief
    • On October 29, 2009, Evy Construction filed before the RTC of Lipa City a Complaint for Quieting of Title/Removal of Cloud, Annulment of Execution Sale and Certificate of Sale, and Damages, with application for Temporary Restraining Order (TRO) and/or Writ of Preliminary Injunction to prohibit further annotation or surrender of its copy of TCT No. 168590.
    • After a summary hearing on November 9, 2009 (denominated as hearing on TRO and preliminary injunction), the trial court denied the TRO application for lack of legal basis and likewise denied a motion for reconsideration on December 11, 2009.
    • Evy Construction elevated the matter by Petition for Certiorari to the Court of Appeals (CA), which on October 22, 2012 rendered a Decision affirming the RTC’s denial of the TRO, and on June 25, 2013 denied the motion for reconsideration. On October 11, 2017, the Supreme Court resolved the Petition for Review on Certiorari.

Issues:

  • Due Process
    • Whether Evy Construction was denied due process by having its application for a writ of preliminary injunction denied in the same summary proceeding as its TRO application.
  • Discretionary Denial of Injunctive Relief
    • Whether the RTC committed grave abuse of discretion in denying Evy Construction’s application for provisional injunctive relief (TRO and/or preliminary injunction).

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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