Title
Spouses Alvendia vs. Intermediate Appellate Court
Case
G.R. No. 72138
Decision Date
Jan 22, 1990
A collection suit led to a compromise agreement, execution of judgment, and levy on leasehold rights. The Supreme Court upheld the execution sale, rejecting the debtors' late cash payment offer and affirming the writ of possession.

Case Summary (G.R. No. 72138)

Applicable Law

The legal principles pertinent to this case stem from the 1987 Philippine Constitution and the Rules of Court, specifically pertaining to the execution of judgments and the enforceability of compromise agreements.

Background of the Case

The genesis of the petitions lies in Civil Case No. 5182-M, initiated by Bonifacio Bonamy on September 12, 1977, wherein he sought to collect payment from the Alvendias for construction materials. Following the filing of a "Motion to Dismiss" by the Alvendias and subsequent submissions, the parties entered into a "Compromise Agreement" on January 6, 1978, which the court approved. However, after allegedly unpaid debts, Bonamy pursued a writ of execution, which was granted, leading to the eventual levy of the Alvendias’ leasehold rights over a fishpond and subsequent sale.

Court Proceedings

Subsequent disputes arose as the Alvendias filed motions to quash the writs of execution and possession. The Intermediate Appellate Court dismissed their petition, ruling that the writs were valid as their debt had matured and affirming that the family corporation was not a party to the case. The Alvendias appealed this decision and sought to pay the judgment in cash after failing to reclaim their property during the redemption period.

Legal Arguments

In G.R. No. 72373, Bonamy contended that the Intermediate Appellate Court acted with grave abuse of discretion in allowing the Alvendias to pay the judgment debt in cash after the execution and sale had occurred, arguing that this undermined the finality of judgments. The Alvendias countered by invoking equity, asserting irregularities in the execution process that warranted reopening the case.

Decision Overview

The Supreme Court affirmed the findings of the Intermediate Appellate Court, ruling that the judgment had been legally executed and was final. The Court emphasized the principle of the finality of judgments as a cornerstone of legal integrity and public policy. The attempt by the Alvendias to reopen the case was rejected on the grounds that they had ample opportunities to discharge their debt but failed to act within the prescribed timelines.

Nature of the Compromise Agreement

The Court underscored that the compromise judgment was fully enforceable and executed, highlighting that the Alvendias neglected their obligations and allowed the redemption period to lapse. The Court noted that the Alvendias could not invoke equity after their inacti

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