Title
Tin-Congco vs. Trillana
Case
G.R. No. 4776
Decision Date
Mar 19, 1909
A deceased plaintiff's estate sued defendant for unpaid debt from a dissolved partnership. Defendant claimed payment in tuba and disputed vales' validity. Court upheld debt, ordered payment in tuba or cash, and rejected defendant's claims of exoneration.

Case Summary (G.R. No. 4776)

Background of the Case

On January 15, 1904, Ormachea Tin-Congco filed an amended complaint against Trillana, alleging that Trillana purchased merchandise worth 4,000 pesos from him and another partner, Luis Vizmanos Ong Queco. The complaint stated that after a dissolution of their partnership, all debts owed by Trillana were transferred to Ormachea. The total alleged indebtedness, including interest, amounted to 5,500 pesos. Ormachea sought court judgment for this amount.

Defendant's Response

Trillana, in his answer filed on November 15, 1904, partially admitted the facts stated in the complaint but denied the remainder. He claimed to have settled his accounts through periodic payments in tuba and argued that any outstanding debts should be satisfied in kind, consistent with local custom.

Initial Judgment and Appeal

On February 27, 1907, the trial court ruled in favor of the plaintiff, ordering Trillana to pay 2,832.22 pesos in tuba, along with costs. Trillana's representative filed an intention to appeal, asserting that certain documents supporting the claim were not valid. After assessing Trillana's arguments concerning the validity of the debt documents, the trial court upheld its judgment while modifying the payment terms to specify that Trillana could deliver the payment in tuba within six months, failing which he would have to pay in cash.

Financial and Management Details

The court found that the amounts Trillana received were correctly documented and owed to Ormachea, not Lawa, the distillery manager. Following the dissolution of the partnership in 1901, the debts related to Trillana were transferred to Ormachea, who retained the right to recover those amounts, despite challenges from Trillana regarding payments made directly to Lawa.

Document Disputes and Legal Analysis

Trillana pointed to a document (marked as Exhibit A) signed by Lawa, stating he had no debt with the distillery. However, the court determined that this document was not valid as it was issued after Lawa's management ceased, thus lacking authority to absolve Trillana’s debts. The court emphasized that the absence of evidence showing a lawful transfer of the debts and the fact that the document was written in a language potentially unfamiliar to Trillana weakened his position.

Legal Basis for Decision

The court asserted that obligations must be settled with the appropriate creditor or his authorized representative. The relationships established in the business transacti

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