Spouses Bitte v. Spouses Jonas

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Farida Yap Bitte and the heirs of Benjamin D.

Bitte, namely: ● Armed with the deed of absolute sale executed by


Jacob Yap Bitte, Shaira Dayanara Yap Bitte, Fatima Yap Bitte Andrea, Spouses Bitte were able to redeem the
and Allan Robert Yap Bitte vs. Spouses Fred and Rosa Elsa property on Sept 14, 1998 from the highest bidder,
Serrano Jonas (2015) Thelma Jean Salvana, for Php1.6 M.
[Mendoza, J.]
Spouses Bitte sold the property to Ganzon Yap (Ganzon), married
Topic:​ R
​ ule 9​ | Party declared in default’s right to appeal to Haima Yap.
Nature:​ petition for review on certiorari under Rule 45
RTC  (BR.  13):  ​GRANTED the prayer for the issuance of a
I. FACTS:  Temporary Restraining Order (TRO) preventing Rosa Elsa and
Controversy stemmed from two civil cases filed by the parties her agents from disposing the subject property.
against each other with regard to a contract of sale involving a ● Subsequently, on Nov. 8, 1996, a Writ of Preliminary
property in Davao City [initially TCT No. T-112717 in the name of Injunction (WPI) was issued in favor of Spouses Bitte.
RESP Rosa Elsa Serrano Jonas (Rosa), presently TCT No. ● Rosa Elsa countered that despite her appointment of
T-315273 under the name of Ganzon Yap, married to Haima Yap her mother, Andrea, as her attorney-in-fact/agent, she
(Spouses Yap)]. later gave her instructions not to sell the property; that
her revocation barred the consummation of the
Before Rosa went to Australia, she executed a Special Power of contract to sell, that no authority was given to Cipriano
Attorney (SPA) authorizing her mother, Andrea Serrano (Andrea), to. receive any advance payment for the property; and
to sell the property. that Andrea's authority was revoked through a Deed of
Revocation of the Special Power of Attorney (SPA)
May 1996: Cipriano Serrano (Cipriano), son of Andrea and
brother of Rosa, offered the property for sale to PET Spouses RESP Spouses Jonas filed before the RTC (Civil Case No.
Benjamin and Farida Yap Bitte (Spouses Bitte) showing them the 27,667-99), a ​complaint for Annulment of Deed of Absolute 
authority of Andrea. Sale. 
● Cipriano received from Spouses Bitte the amount of
Php200,000.00 as advance payment for the property. RTC: Consolidated the two civil cases (Civil Case No. 27,667-99
Later on, on Sept 10, 1996, he received the additional and Civil Case No. 24,771-99)
amount of Php400,000.00. ● PET Spouses Bitte failed to attend the pre-trial
● Counsel of Spouses Bitte withrew and a new one
Bitte sought a meeting for final negotiation with Rosa, the entered his appearance and filed an MR
registered owner of the subject property. ● Spouses Bitte again failed to appear in the pre-trial
● At that time, Rosa Elsa was in Australia and had no and were, thus, declared non-suited and in default;
funds to spare for her travel to PH. To enable her to RESP Jonas presented her evidence ex parte
come to the country, Spouses Bitte paid for her round ● > RTC rendered a Joint Decision, ​confirming the 
trip ticket. dismissal of Civil Case No. 24,771-96, ruling that the
● shortly after her arrival in PH, Rosa revoked the SPA, sale was VALID and directing Spouses Bitte to pay
through an instrument of even date, and handed a Rosa the amount of Php1,546,752.80, representing
copy thereof to Andrea. the balance of the sale.

The parties met at Farida Bitte's office, but no final agreement RESP Spouses Jonas appealed to the CA.
was reached. The next day, Rosa withdrew from the transaction.
CA: reversed the RTC and ruled in favor of RESP Spouses
Oct 17, 1996: Spouses Bitte ​filed before the RTC a Complaint  Jonas, declaring the deed of sale NULL and VOID.
for Specific Performance with Damages ​seeking to compel ● CA found that Andrea's execution on behalf of Rosa
Rosa Elsa, Andrea and Cipriano to transfer to their names the title Elsa of the deed of absolute sale in favor of Spouses
over the subject property. Bitte was ​void and unenforceable as the ​authority to 
● While the case was pending, Andrea sold the subject represent Rosa had already been revoked 
property to Spouses Bitte, through a deed of absolute ● Without the authority to effect the conveyance, the
sale, dated February 25, 1997, and notarized by one contract was without effect to Rosa, who was a
Atty. Bolcan, Jr. stranger to the conveyance in favor of Spouses Bitte.
Rosa Elsa did not consent to the transaction
Rosa asked Andrea about the sale. Her questions about the sale, ● CA DENIED PET Spouses Bitte’s MR
however, were ignored and her pleas for the cancellation of the
sale and restoration of the property to her possession were Hence, this petition.
disregarded.
PET’s main allegation: The deed of absolute sale executed by
Undisputed by the parties is the fact that Rosa earlier mortgaged Andrea was valid and legal because the SPA was not validly
the subject property to Mindanao Development Bank. Upon failure revoked as the revocation was not registered in the Office of the
to pay the loan on maturity, the mortgage was foreclosed and sold Register of Deeds [on this, SC said that the deed of absolute sale
at a public auction. executed by Andrea in favor of PET Spouses Bitte is
unenforceable against Rosa because of their notice of the before this Court. Those remedies necessarily include an appeal
revocation of the agency | ​doctrine of apparent authority]​ . by ​Certiorari ​under Rule 45 of the Rules of Court.

RESP’s main contention [RELEVANT TO TOPIC RULE 9]: V. DISPOSITIVE:  
given that RTC declared the Spouses Bitte in default, they have Petition DENIED.
already lost the legal personality to resort to this petition before
the Court.

II. PROCEDURE SUMMARY 


 
Action   Filed By  Venue  Decision 
 

Complaint for PET RTC


Specific Br. 13
Performance with
Damages

Complaint for RES RTC Consolidated


Annulment of Deed Br. 13 with case
of Absolute Sale above

Appeal RES CA GRANTED

MR PET CA DENIED

Petition for review PET SC DENIED


on certiorari under
Rule 45

III. RELEVANT ISSUE: 


W/N PET Spouses Bitte have already lost the legal personality to
resort to this petition before this Court, as they were declared in
default by the RTC? ​NO

IV. RATIONALE: 
 
The SC did not see merit in RESP Spouses Jonas’ claim that the
door to any reliefs for Spouses Bitte, be it through MR or this
subject petition, was closed by the finality and immutability of the
RTC declaration of their default. In other words, it is their stand
that the PET Spouses Bitte do not have the right to obtain
recourse from this Court.

The SC upheld the rule that the “right to appeal from the judgment
by default is not lost and can be done on the grounds that the
amount of judgment is excessive or is different in kind from that
prayed for, or that the plaintiff failed to prove the material
allegations of his complaint, or that the decision is contrary to
law.”

If a party who has been declared in default on the basis of the


decision having been issued against the evidence or the law, that
person cannot be denied the remedy and opportunity to assail the
judgment in the appellate court.

Despite being burdened by the circumstances of default, the


PETs may still use all other remedies available to question not
only the judgment of default but also the judgment on appeal

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