Facts:

• Union Bank of the Philippines (Union Bank) and Maunlad Homes, Inc. (Maunlad Homes) entered into a Contract to Sell for a commercial complex known as the Maunlad Shopping Mall on July 5, 2002.
• The contract allowed Maunlad Homes to retain possession and management of the property and collect rental payments from its tenants.
• Maunlad Homes defaulted on its monthly amortizations to the bank.
• Union Bank sent a Notice of Rescission of Contract and demanded payment within 30 days.
• Maunlad Homes failed to comply with the notice.
• Union Bank filed an ejectment case against Maunlad Homes.
• Union Bank interfered in the operations and management of the property and convinced tenants to pay rent directly to the bank.
• Maunlad Homes filed an injunction case to prevent Union Bank from collecting rental payments.

Issue:

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Ruling:

• The Court of Appeals correctly dismissed the Complaint for injunction...(Unlock)

Ratio:

• The Court's previous decision in a separate case (G.R. No. 190071) had already determined that Maunlad Homes had lost its right to possess the property under the Contract to Sell due to defaulting on its payments.
• Therefore, Union Bank could not be legally enjoined from collecting rental payments from the property's tenants.
• The issue had already been resolved in the previous decision, making any further adjudication in the injunction case unnecessary.
• An issue becomes moot and academic when an event occurs that renders a judgment on the issue unnecessary.
• The Court emphasized the importance of putting an end to litigation and implementing final judgments ...continue reading