Title
W-Red Construction and Development Corp. vs. Court of Appeals
Case
G.R. No. 122648
Decision Date
Aug 17, 2000
Petitioner contested unpaid electrical equipment purchases, claiming defects and inadmissible evidence. Courts ruled for respondent, affirming document admissibility and binding factual findings.
A

Case Digest (G.R. No. 169202)

Facts:

  • Parties and Transaction Background
    • Petitioner: W-Red Construction and Development Corporation.
    • Respondent: Asia Industries, Inc.
    • Between May 28, 1980 and May 23, 1981, petitioner purchased various electrical equipment for a total amount of P976,487.18, based on eighteen sales invoices.
  • Payment and Outstanding Balance
    • Petitioner paid P701,877.93 of the total cost.
    • An outstanding balance of P298,183.05 remained, inclusive of interest computed at 14% per annum as of January 20, 1982.
  • Initiation of Litigation
    • On November 8, 1982, respondent instituted an action for sum of money and damages in the Regional Trial Court of Makati, Branch 65, Civil Case No. 3094 due to petitioner's failure to settle the balance.
    • Petitioner’s answer denied receipt of some items reflected in the sales invoices and alleged delivery of defective electrical equipment for which appropriate replacement demands were ignored by respondent.
    • After respondent rested its case, petitioner filed a demurrer to evidence, which was subsequently denied by the trial court in an Order dated August 28, 1991.
  • Proceedings and Judgment in Lower Courts
    • Petitioner was afforded the opportunity to adduce evidence but failed to appear at several scheduled hearings, resulting in the waiver of its right to present evidence.
    • On January 22, 1992, the trial court rendered judgment in favor of respondent, ordering petitioner to pay:
      • The principal sum of P298,163.05 with 14% interest from the date of filing of the complaint.
      • Attorney’s fees amounting to P10,000.00 and costs.
    • The Court of Appeals affirmed the trial court’s judgment on August 31, 1995.
    • A Motion for Reconsideration filed by petitioner was denied by the Court of Appeals by a Resolution dated November 7, 1995.
  • Issues Raised in the Petition for Review
    • Petitioner’s grievance centered on the claim that the sales invoices and the statement of account presented during trial were inadmissible due to being mere photocopies and not properly authenticated or identified.
    • It was contended that the respondent’s evidence was flawed, particularly that the originals were not submitted, and the authentication of the Statement of Account (Exhibit “S”) was deficient.
    • Additional procedural issues arose when respondent failed to comment on the petition for review despite notices and a related resolution, partly because its former counsel had severed ties and the business was in the process of winding up.
  • Presentation and Admission of Documentary Evidence
    • During trial, petitioner's counsel objected to the admission of eighteen photocopies of sales invoices (marked Exhibits “A” to “R”), claiming that they were not the original documents.
    • Respondent’s testimony clarified that the originals had indeed been produced before the trial, as evidenced during cross-examination.
    • The trial court explained the practice of marking exhibits either “conditionally” or without the word condition, signifying whether originals were presented.
    • Similarly, concern was raised regarding Exhibit “S” (the Statement of Account), which petitioner argued was inadmissible because it lacked authentication by the preparer.

Issues:

  • Authenticity and Admissibility of Documentary Evidence
    • Whether the photocopies of the eighteen sales invoices (Exhibits “A” to “R”) should be considered inadmissible if they were not authenticated by respondent’s lone witness.
    • Whether the original documents were effectively presented even though only photocopies were offered for marking in the record.
  • Weight and Probative Value of the Evidence
    • Whether the trial court and Court of Appeals erred in giving weight to the documentary evidence and the testimony of respondent’s witness concerning petitioner's alleged outstanding obligation.
  • Abuse of Discretion Allegation
    • Whether the trial court and appellate court committed a grave abuse of discretion by admitting and considering private documents that petitioner claimed were not properly authenticated.
  • Reviewability of Factual Findings
    • Whether the Supreme Court should re-examine the factual findings of the trial and appellate courts despite petitioner's arguments on evidentiary irregularities.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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