Title
Rellosa vs. Pellosis
Case
G.R. No. 138964
Decision Date
Aug 9, 2001
Lessees' houses demolished prematurely despite pending appeal; Supreme Court ruled abuse of rights, awarded reduced damages.
A

Case Summary (G.R. No. 138964)

Background of the Case

The case revolves around a dispute where the respondents, who had been long-time lessees on a parcel of land owned by Marta Reyes, asserted their right of first refusal to purchase the property after her death. In 1986, Victor Reyes, the son and heir of Marta, indicated to the respondents that they had a right of first refusal due to their extended tenancy. However, unbeknownst to the respondents, the land was sold to Cynthia Ortega in early 1989. Following the acquisition of the property, Ortega initiated a condemnation proceeding for the structures constructed by the respondents.

Legal Proceedings Initiated by Respondents

On May 25, 1989, Cynthia Ortega filed for a petition for condemnation regarding the respondents' dwellings. In response, on May 31, 1989, the respondents filed a suit for the declaration of nullity of the sale against Ortega, claiming their rights had been infringed. Following a resolution from the Office of the Building Official on November 27, 1989, which ordered the demolition of the structures, respondents contested this action by appealing on December 11, 1989.

Implementation of Demolition

Despite the ongoing legal proceedings and the appeals filed by the respondents, the petitioners commenced demolition operations on December 8 and again on December 12, 1989. This led to an intervention from local police to prevent the demolition. In a separate civil case brought by the respondents against the petitioners, the trial court initially dismissed the respondents' claims and ordered them to pay moral damages to the petitioners.

Court of Appeals' Decision

The Court of Appeals reversed the trial court's decision, ruling that the respondents were entitled to damages due to the premature demolition of their homes, as the resolution for demolition had not yet become final and executory at the time of its execution. The appellate court determined that the respondents had a clear right to contest the demolition order, which they attempted to do within the allowed fifteen-day appeal period.

Petitioners' Argument and Court's Ruling

The petitioners contended that the demolition was justified because the structures were later deemed dangerous by relevant authorities, and they argued that their actions should not warrant damages to the respondents. However, the Court affirmed the appellate ruling, concluding that although petitioners had a right to act upon their ownership, the manner they executed their demolition disregarded the respondents’ rights to appeal. The Court underscored the importance of Article 19 from the Civil Code, highlighting that even existing rights must be exercised in accordance with

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