Title
Spouses Ang vs. De Venecia
Case
G.R. No. 217151
Decision Date
Feb 12, 2020
Homeowners sued neighbor for property damage caused by construction; RTC dismissed, referred to CIAC. SC ruled CIAC lacks jurisdiction, reinstated case to RTC.
A

Case Digest (G.R. No. 217151)

Facts:

  • Parties and Property
    • Petitioners Reynaldo Ang and Susan Cucio-Ang (spouses Ang) own a two-storey residential house and lot in Barangay Singkamas, Makati City.
    • Respondent Angel Margarito D. Caramat, Jr. (Angel) began construction of a five-storey commercial building on the adjacent lot in 2008.
  • Damage to Spouses Ang's Property
    • In 2009, the spouses Ang noticed structural damage including cracks in the walls and misalignment of the gate and doors.
    • The foundation of their house was found exposed and moved due to deeper excavation required for Angel’s building.
  • Attempts to Seek Redress and Mediation
    • Spouses Ang sought mediation through barangay officials; Angel agreed to repairs and preventive measures.
    • Repairs were minimal (garage door realignment and brace installation), which spouses Ang found unsatisfactory.
    • Subsequent mediation attempts failed as Angel and his contractor’s representative, Soto, denied responsibility, attributing damage to weak foundation of Ang’s house.
    • Spouses Ang escalated complaint to the City Engineer, who demanded compliance with the National Building Code; Angel and Soto did not comply.
    • Spouses Ang obtained certification to file an action from the barangay.
  • Filing of the Complaint and Judicial Proceedings
    • On June 15, 2009, spouses Ang filed Civil Case No. 09-510 against Angel, Soto, architects Vilvar and others, including owners of the lot and the City Engineer.
    • The Caramats filed a third-party complaint against Soto and MC Soto Construction.
    • Pre-trial and presentation of evidence proceeded until August 2014.
  • Court’s Intervention and Referral to CIAC
    • OCA Circular No. 111-2014 reiterated the directive to dismiss construction disputes pending before trial courts and refer to the Construction Industry Arbitration Commission (CIAC).
    • The trial court, initially unaware of CIAC’s jurisdiction scope, suspended proceedings and instructed parties to await orders.
    • On November 12, 2014, the court dismissed the case and referred it to the CIAC.
    • Spouses Ang filed a Motion to Retain Jurisdiction and to Proceed with Trial on November 17, 2014, and a Motion for Reconsideration on December 17, 2014.
    • On February 20, 2015, the trial court denied the motions, affirmed dismissal, and reaffirmed referral of the case to the CIAC.
  • Petition for Review
    • Spouses Ang filed a Petition for Review on April 27, 2015, challenging the trial court’s orders.
    • Respondents argued spouses Ang lost the right to question dismissal due to failure to timely file a motion for reconsideration.
    • Spouses Ang contended formal dismissal was not made in open court during the November 12, 2014 hearing and that their motions were timely.
    • The court’s November 21, 2014 Order indicated it received spouses Ang’s Manifestation and intended to resolve the motion, supporting their assertion of continued jurisdiction at that time.

Issues:

  • Whether the Construction Industry Arbitration Commission (CIAC) has jurisdiction over a suit for damages filed by a non-party homeowner whose property was damaged by a neighbor’s construction project.
  • Whether the Regional Trial Court (RTC) erred in dismissing the spouses Ang’s suit and referring the case to the CIAC.
  • Whether the spouses Ang’s motions to retain jurisdiction and for reconsideration were timely and valid.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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