Title
Heirs of Guballa, Sr. vs. Court of Appeals
Case
G.R. No. 78223
Decision Date
Dec 19, 1988
A labor dispute led to property auction, contested ownership, and conflicting writs of possession and ejectment, resolved by jurisdictional rulings and execution of judgments.

Case Summary (G.R. No. 229701)

Factual Background

The late Francisco Guballa, Sr. was the registered owner of a parcel of land in Quiapo, Manila, identified under Transfer Certificate of Title No. 15638, including improvements known as the Bulaklak Building. Following the suspension of his business operations, a labor union known as BUSCOPE filed a complaint for unpaid separation pay, leading to the property’s auction sale in favor of BUSCOPE. Subsequently, Judge Amado G. Inciong ruled in favor of Guballa Sr., restoring ownership of the property. The legal complications were further exacerbated by various transactions and litigations regarding the property, including sales to Atty. Rufino Risma and a subsequent lease agreement with Emeterio M. Mozar.

Writ of Possession Case (G.R. No. 78223)

Following the Labor Union's auction and Guballa Sr.’s restoration of ownership, the Risma spouses sought a writ of possession, which the Court of First Instance granted. Guballa’s appeal against this decision was dismissed by the Court of Appeals for failure to comply with a substitution order following the transfer of the property to Guballa Marketing Corporation. The dismissal was primarily based on the court’s view that the original parties must include the current owner, failing which the appeal was dismissed as a result of non-compliance with procedural orders.

Ejectment Case (G.R. No. 79403)

Simultaneously, a separate ejectment case was initiated by Guballa Sr. against Mozar for unlawful detainment of the property following the expiration of their lease. The trial court and later the Court of Appeals upheld Guballa Sr.’s position, ordering Mozar’s eviction. After various appeals, the execution of the decision was postponed by the Regional Trial Court on the basis of a pending writ of possession and the court's perceived changes in circumstance.

Legal Issues and Rulings

Writ of Possession Case: The Supreme Court reversed the dismissal of the appeal, reinforcing that the need for formal substitution of parties did not warrant such dismissal. The court emphasized that a transferee pendente lite could proceed in the case without mandatory substitution and that technicalities should not derail substantial justice.

Ejectment Case: The High Court affirmed that the execution of the final judgment regarding possession could not be hindered by ongoing property disputes related to title, di

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