Case Digest (G.R. No. 219673) Core Legal Reasoning Model
Core Legal Reasoning Model
Facts:
In Solid Homes, Inc. v. Spouses Artemio and Consuelo O. Jurado (G.R. No. 219673, decided September 2, 2019), petitioner Solid Homes, Inc., a subdivision developer, entered into a Contract to Sell in 1977 with spouses Violeta and Jesus Calica covering a 1,241 sqm lot in Loyola Grand Villas Subdivision, Marikina, Rizal, for ₱434,350.00. The Calicas paid a downpayment of ₱86,870.00 and agreed to eight-year monthly installments. In 1983, the Calicas assigned their rights to spouses Jurado for ₱130,352.00. Solid Homes prepared and the officer Rita Castillo Dumatay signed the Deed of Assignment and Transfer of Rights, collected a transfer fee, issued a provisional receipt and a credit memorandum for ₱108,001.00, and accepted payments totaling ₱480,262.95 by February 22, 1983. Spouses Jurado later learned that Solid Homes had mortgaged and foreclosed the subject property. They submitted documents for a promised replacement lot and sent follow-up letters in 1992 and 1996 to no avail. In Case Digest (G.R. No. 219673) Expanded Legal Reasoning Model
Expanded Legal Reasoning Model
Facts:
- Contract to Sell between Solid Homes, Inc. and Spouses Calica (1977)
- Subject Property: 1,241 sqm residential lot in Loyola Grand Villas Subdivision, Marikina for ₱434,350.00.
- Payment Terms: ₱86,870.00 downpayment; balance in 96 monthly installments of ₱5,646.55.
- Assignment of Rights to Spouses Jurado (1983)
- Deed of Assignment: Spouses Calica assigned their vendee rights to Spouses Jurado for ₱130,352.00; Solid Homes prepared the standard form and its officer attested it.
- Payments and Receipts: Spouses Jurado paid a transfer fee (provisional receipt issued) and received a credit memorandum of ₱108,001.00; total payments by both groups reached ₱480,262.95 by February 22, 1983.
- Discovery of Mortgage and Foreclosure; Replacement Undertaking
- Spouses Jurado learned from Solid Homes’ officer that the lot had been mortgaged and foreclosed.
- Solid Homes promised to replace the foreclosed lot; Spouses Jurado submitted documents and followed up by letters dated October 23, 1992 and August 7, 1996 without success.
- HLURB Proceedings
- First HLURB Complaint (2000–2005): Spouses Jurado filed for specific performance and damages; HLURB Arbiter (June 13, 2007) dismissed the complaint for lack of prior written consent and prescription; HLURB Board (April 20, 2005) affirmed dismissal without prejudice.
- Second HLURB Complaint (2005–2009): Refiled with documentary evidence; Solid Homes defended with lack of consent, prescription, laches, res judicata, forum shopping, estoppel; HLURB Board (May 22, 2008) reversed Arbiter and ordered:
- Replacement of the foreclosed lot or payment of its fair market value.
- ₱30,000.00 attorney’s fees, ₱30,000.00 moral damages, costs of suit.
- Modified (October 2, 2009): Spouses Jurado to pay balance of ₱145,843.35 + 12% p.a. from availability of replacement; alternative FMV payment + 12% p.a.; damages and fees unchanged.
- Office of the President (2012)
- Adopted HLURB findings by reference; held Solid Homes consented to assignment, defenses meritless, no laches; dismissed Solid Homes’ appeal.
- Denied reconsideration (2012–2013).
- Court of Appeals (2015)
- Affirmed OP except removed awards of moral damages and attorney’s fees for lack of factual/legal basis; costs of suit imposed.
- Denied Solid Homes’ motion for partial reconsideration (July 22, 2015).
Issues:
- Procedural and Jurisdictional Issues
- Whether the OP properly adopted by reference the HLURB findings of fact and conclusions of law.
- Whether the complaint was barred by res judicata, forum shopping, prescription, laches or estoppel.
- Substantive Issues
- Whether there was privity of contract between Solid Homes and Spouses Jurado given the non-assignment clause.
- Whether Solid Homes consented to the assignment and transfer of rights.
- Whether ordering the replacement of the foreclosed lot and conveyance of title (or payment of FMV) was proper.
- Whether Solid Homes’ counterclaims should have been granted.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)