Rem - Manila Bankers Vs NG Kok Wei - Noel Domingo

MANILA BANKERS LIFE INSURANCE CORPORATION, petitioner, vs. EDDY NG KOK WEI, respondent.
G.R. No. 139791 December 12, 2003

SANDOVAL-GUTIERREZ, J.:
FACTS:
Eddy Ng Kok Wei, respondent, is a Singaporean businessman has ventured into investing in the
Philippines. On November 29, 1988, respondent, in a Letter of Intent addressed to Manila Bankers Life
Insurance Corporation, petitioner, expressed his intention to purchase a condominium unit at Valle
Verde Terraces.
Subsequently a reservation and payment with was made for the property purchased, through its
President, Mr. Antonio G. Puyat, executed a Contract to Sell in favor of the respondent. The contract
expressly states that the subject condominium unit "shall substantially be completed and delivered" to
the respondent "within fifteen (15) months" from February 8, 1989 or on May 8, 1990, and that "Should
there be no substantial completion and failure to deliver the unit on the date specified, a penalty of 1%
of the total amount paid (by respondent) shall be charged against (petitioner)".
Come 15-month the respondent returned to returned to the Philippines sometime in April, 1990 only to
find that the purchased property was not yet available, the final turnover is reset to May 31, 1990.
Again, on July 5, 1990, upon receipt of petitioner’s notice of delivery dated May 31, 1990, respondent
again flew back to Manila. He found the unit still uninhabitable for lack of water and electric facilities.
Once more, petitioner issued another notice to move-in addressed to its building administrator advising
the latter that respondent is scheduled to move in on August 22, 1990.
On October 5, 1990, respondent returned to the Philippines only to find that his condominium unit was
still unlivable. Exasperated, he was constrained to send petitioner a letter dated November 21, 1990
demanding payment for the damages he sustained. But petitioner ignored such demand, prompting
respondent to file with the Regional Trial Court, Branch 150, Makati City, a complaint against the former
for specific performance and damages, docketed as Civil Case No. 90-3440.
Meanwhile, during the pendency of the case, respondent finally accepted the condominium unit and on
April 12, 1991, occupied the same. Thus, respondent’s cause of action has been limited to his claim for
damages.
On December 18, 1992, the trial court rendered a Decision finding the petitioner liable for payment of
damages due to the delay in the performance of its obligation to the respondent. The dispositive portion
reads:
"WHEREFORE, judgment is hereby rendered in favor of plaintiff and against defendant, ordering Manila
Bankers Life Insurance Corporation to pay plaintiff Eddy Ng Kok Wei the following:
1. One percent (1%) of the total amount plaintiff paid defendant;
2. ₱100,000.00 as moral damages;
3. ₱50,000.00 as exemplary damages;
4. ₱25,000.00 by way of attorney’s fees; and
Cost of suit.
"SO ORDERED."
On appeal, the Court of Appeals, in a Decision dated March 26, 1999, affirmed in toto the trial court’s
award of damages in favor of the respondent.
Unsatisfied, petitioner filed a motion for reconsideration but was denied by the Appellate Court in a
Resolution dated August 5, 1999.
Hence, the petitioner filed petition for review on certiorari.
ISSUE
1. WHETHER or NOT, the regional trial court has jurisdiction over the instant case with petitioner’s
contention applying Section 1(c) of Presidential Decree No. 1344, and that the Court of Appeals
has erred in affirming the trial court’s finding that petitioner incurred unreasonable delay in the
delivery of the condominium unit to respondent.
RULING
The Supreme Court held that;
1. While it may be true that the trial court is without jurisdiction over the case in applying Section
1(c) of PD 1344, petitioner’s active participation in the proceedings estopped it from assailing
such lack of it. We have held that it is an undesirable practice of a party participating in the
proceedings and submitting its case for decision and then accepting the judgment, only if
favorable, and attacking it for lack of jurisdiction, when adverse.
WHEREFORE, the petition is DENIED. The assailed Decision dated March 26, 1999 and Resolution dated
August 5, 1999 of the Court of Appeals are hereby AFFIRMED IN TOTO.
Costs against the petitioner.
SO ORDERED.
Vitug, (Chairman), Corona, and Carpio-Morales, JJ., concur.

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MANILA BANKERS LIFE INSURANCE CORPORATION, petitioner, vs. EDDY NG KOK WEI, respondent.

G.R. No. 139791 December 12, 2003

1. One percent (1%) of the total amount plaintiff paid defendant;

2. ₱100,000.00 as moral damages;

3. ₱50,000.00 as exemplary damages;

4. ₱25,000.00 by way of attorney’s fees; and

Hence, the petitioner filed petition for review on certiorari.

The Supreme Court held that;

Costs against the petitioner.

Vitug, (Chairman), Corona, and Carpio-Morales, JJ., concur.

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