Title
Medical Plaza Makati Condominium Corp. vs. Cullen
Case
G.R. No. 181416
Decision Date
Nov 11, 2013
Condominium owner disputes unpaid dues, alleges malicious branding by association; Supreme Court rules intra-corporate dispute, remands to special commercial court.

Case Digest (G.R. No. 140557-58)

Facts:

  • Background of Parties and Property
  • Respondent Robert H. Cullen purchased Condominium Unit No. 1201 from Meridien Land Holding, Inc. (MLHI); the unit’s title was thereafter issued in Cullen’s name.
  • On September 19, 2002, petitioner Medical Plaza Makati Condominium Corporation (MPMCC) demanded payment of unpaid association dues and assessments amounting to ₱145,567.42, alleging the obligation was a carry-over from MLHI.
  • Factual and Procedural Antecedents
  • Cullen had served as MPMCC president for 2000–2001 and claimed timely payment of all dues; MLHI later certified that it had settled any obligation on the unit.
  • MPMCC nevertheless prevented Cullen from voting and running in the 2002 board election; Cullen sought but did not obtain explanation from MPMCC regarding the claimed delinquency.
  • Cullen filed a Complaint for Damages against MPMCC and MLHI, alleging malicious branding as a delinquent member, deprivation of corporate voting and electoral rights, mental anguish, moral and exemplary damages, and counsel’s fees.
  • MPMCC and MLHI moved to dismiss for lack of jurisdiction: MLHI invoked exclusive HLURB jurisdiction; MPMCC argued intra-corporate controversy, prematurity, mootness, and lack of cause of action.
  • On September 9, 2005, RTC Makati Branch 58 granted both motions and dismissed the complaint for lack of jurisdiction.
  • On July 10, 2007, the Court of Appeals reversed and remanded, treating the case as an ordinary civil action for damages; motions for reconsideration were denied on January 25, 2008.
  • MPMCC petitioned the Supreme Court for review on certiorari under Rule 45.

Issues:

  • Did the Court of Appeals correctly classify the dispute as an ordinary action for damages cognizable by regular courts?
  • Did the Court of Appeals err in exercising jurisdiction over a controversy that is intra-corporate in nature, thus requiring a special commercial court?
  • Were the RTC and HLURB proper fora for a dispute involving the internal affairs of a condominium corporation?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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