Title
Acampado vs. Spouses Cosmilla
Case
G.R. No. 198531
Decision Date
Sep 28, 2015
A property sale dispute arose over alleged forgery of a Special Power of Attorney; procedural lapses in filing a Motion for Reconsideration led to the Supreme Court upholding the RTC's dismissal, emphasizing compliance with rules and finality of judgments.
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Case Summary (G.R. No. 255877)

Petitioners

The Acampados and Katipunan M. de los Reyes (and the RTC as a party in the appealed matter) were the prevailing parties at trial and before the RTC, against whom respondents filed their original complaint.

Respondents

The Cosmillas alleged that the sale of their share in the subject property was effected through a forged SPA and sought annulment of the document and related reliefs; they filed an amended complaint and subsequently a motion for reconsideration after the adverse trial decision.

Key Dates

  • RTC Decision dismissing respondents’ complaint: March 31, 2005.
  • Motion for Reconsideration filed by respondents: May 6, 2005.
  • RTC Order declaring the Motion for Reconsideration pro forma: May 16, 2005.
  • Court of Appeals (CA) Decision dismissing respondents’ petition for certiorari: October 27, 2006.
  • CA Resolution reversing itself and directing RTC to resolve the Motion for Reconsideration on the merits: June 28, 2007.
  • CA Resolution denying petitioners’ motion for reconsideration of that June 28, 2007 resolution: August 19, 2011.
  • Supreme Court resolution in the instant petition: September 28, 2015.

Applicable Law and Constitutional Basis

The decision applies the 1987 Constitution as the governing constitutional framework, invoking due process principles. Procedural law: Rule 15, Sections 4, 5 and 6 of the Revised Rules of Court concerning the hearing of motions, the notice of hearing, and proof of service for motions set for hearing. Controlling jurisprudence cited includes Solar Resources, Inc. v. Inland Trailways, Inc.; Neri v. Dela Peña; Sarmiento v. Zaratan; New Japan Motors, Inc. v. Perucho; United Pulp and Paper Co., Inc. v. Acropolis Central Guaranty Corporation; and Bongcac v. Sandiganbayan.

Factual Background and Trial Court Findings

Respondents sued to nullify a document they alleged to be forged. After trial on the merits, the RTC found respondents failed to prove forgery by a preponderance of evidence and dismissed the complaint. The RTC also awarded specified costs and attorney’s fees in favor of petitioners.

Motion for Reconsideration and RTC Order

Respondents filed a Motion for Reconsideration on May 6, 2005. The RTC declared that Motion pro forma and denied it in an Order dated May 16, 2005 on the ground that respondents failed to comply with the notice-of-hearing requirements mandated by Sections 4 and 5 of Rule 15 and did not provide proof of service as required by Section 6.

First Court of Appeals Proceedings

Respondents sought relief from the CA by filing a petition for certiorari, prohibition and mandamus, contending the RTC acted with grave abuse of discretion. On October 27, 2006, the CA dismissed their petition, agreeing that failure to comply with Sections 4, 5 and 6 rendered the motion for reconsideration a “useless piece of paper” that does not toll the period for finality.

Court of Appeals Reversal on Reconsideration

On respondents’ motion for reconsideration of the CA decision, the CA reversed its prior ruling by Resolution dated June 28, 2007, allowing relaxation of procedural requisites and directing the RTC to resolve the Motion for Reconsideration on the merits. Petitioners’ subsequent motion for reconsideration to the CA of that Resolution was denied on August 19, 2011.

Issue Presented to the Supreme Court

Whether the Court of Appeals committed reversible error in issuing the June 28, 2007 and August 19, 2011 resolutions effectively reconsidering its October 27, 2006 dismissal; and, more fundamentally, whether respondents’ Motion for Reconsideration was properly declared pro forma by the RTC because it lacked the mandatory notice of hearing and proof of service required by Rule 15, thereby rendering it unworthy of judicial cognizance.

Legal Analysis — Nature of a Motion for Reconsideration and the Mandatory Notice Requirement

The Supreme Court emphasized that a motion for reconsideration is a contentious motion that ordinarily affects the rights of the opposing party and therefore must comply with Rule 15, Sections 4–6. Those sections require that most written motions be set for hearing, that notice of the hearing be served on all parties concerned at least three days prior (unless the court shortens the period for good cause), that the notice specify the time and date (not later than ten days after filing), and that no motion set for hearing be acted upon without proof of service. The Court reiterated established jurisprudence that these requirements are mandatory and that failure to comply renders the motion pro forma — a mere scrap of paper that the court cannot act upon and the clerk has no right to receive.

Legal Analysis — Opportunity to Be Heard and Flexibility of the Three-Day Rule

While recognizing established authority that the three-day notice is not an absolute rule, the Court explained that the operative test is whether the opposing party was given a genuine opportunity to study and oppose the motion. Compliance is measured by the presence of a real, practical opportunity to be heard, not merely technical adherence. In the present case, the Supreme Court found petitioners were not afforded such opportunity because the Motion for Reconsideration filed by respondents lacked the notice of hearing and proof of service; thus the three-day rule and the broader notice requirement were not satisfied in practice.

Application of Precedent to the Present Case

Relying on prior decisions, including New Japan Motors, the Court concluded that a motion lacking notice and proof of service is fatally defective and cannot be considered. The absence of a notice of hearing attached to respondents’ Motion for Reconsideration deprived petitioners of due process and the chance to oppose, rendering the motion pro forma. Consequently, the running of the period for finality of the judgment was not interrupted.

Finality of Judgment and Public Policy Considerations

The Court underscored the importance of finality of judgment: a prevailing party has a correlative right to enjoy the finality of judicial relief by ex

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