Title
Pascual vs. Pangyarihan Ang
Case
G.R. No. 235711
Decision Date
Mar 11, 2020
Dispute over land sale in Navotas: petitioner failed to transfer titles, preventing respondents from paying balance; rescission denied, reciprocal obligations enforced.

Case Summary (G.R. No. 85723)

Factual Background

In January 1989, Romulo Pascual entered a sale agreement with the respondents concerning three parcels of land in Navotas City. The transaction was documented in a document titled "Pagpapatunay at Pananagutan," affirming Pascual's ownership of the properties. The agreement established a selling price of P350.00 per square meter with a down payment of P50,000.00. Subsequent claims arose regarding whether the titles were registered under the respondents’ names and the issue of payment for the properties.

Procedural History

On October 28, 1993, one of the three lots was registered under the respondents' names. However, Teresita Pascual later asserted that her husband, Romulo, had yet to receive full payment for the properties, leading her to file a complaint for rescission against the respondents in March 2006. The respondents countered that they were not liable for the remaining balance of the purchase price due to Pascual's failure to register the titles in their names as initially agreed.

Ruling of the Regional Trial Court

After trial, the RTC ruled in favor of the respondents, concluding that paragraph 5 of the "Pagpapatunay at Pananagutan" was ambiguous but indicated that titles should be registered in the respondents' names before they were obligated to pay the balance. The court also rejected Pascual's claim for an increase in the purchase price, determining that the agreed amount was binding and enforceable.

Ruling of the Court of Appeals

On appeal, the CA affirmed the RTC's findings, emphasizing that the respondents fulfilled their obligations by making a down payment and that the title transfer was a prerequisite for further payment. The CA highlighted that Pascual failed to fulfill her contractual obligations, and thus could not seek rescission of the agreement.

Issues on Appeal

The petitioner raised several issues regarding the Court of Appeals' interpretation of the parties' intentions during the contract execution, the basis of non-payment for the purchase price, and the reciprocal obligations concerning the transfer of title and payment.

Supreme Court's Ruling

The Supreme Court rejected the petition, reiterating the principle that it does not function as a trier of facts and upholds the factual findings of lower courts unless certain exceptions are met, which were

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