Republic of the Philippines

MUNICIPAL TRIAL COURT IN CITIES

7th Judicial Region
Branch ___
Cebu City

CEBU SAVINGS BANK

Plaintiff,
Civil Case No. ______________
-versus- REPLEVIN & DAMAGES

SPS. JOSE DIVINA SANTOS

and MARIA GOMEZ SANTOS
Defendants.
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COMPLAINT
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PLAINTIFF, through counsel, respectfully alleges that:

1. Plaintiff CEBU SAVINGS BANK is a corporation duly

organized and existing under and by virtue of the laws of the
Philippines, with principal office and place of business at Krizia
Building, Escario Street, Cebu City, Philippines and is duly
represented by JOHN FLORES DELA CRUZ, where it can be served
with notices, orders, and other processes of this Honorable Court. 1

2. Defendants are SPS. JOSE DIVINA SANTOS and

MARIA GOMEZ SANTOS, of legal age, and residents at Block 10 Lot
14 Phase-I Villareal Subdivision, Talamban, Cebu City where they
may be served with summons, notices, orders, and other processes
of this Honorable Court.

ALLEGATIONS COMMON TO ALL CAUSES OF ACTION

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3. On 20 February 2021 for value received, the Defendants

signed, executed, and delivered to CEBU AUTOCAR
CORPORATION a Promissory Note with Chattel Mortgage wherein
they, jointly and severally, obligated themselves to pay the latter sum
of money of P1,000,000.00, Philippine currency, payable in TWELVE
(12) monthly installments in the amount of P83,333.33. The first
installment shall be due and payable on 28 March 2021 and

1
Copy of the Secretary’s Certificate is hereto attached and marked as Annex “A.”
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subsequent installment shall be due and payable every 28 th day of
the succeeding months.2

4. The Chattel Mortgage is secured on a certain motor

vehicle (“Mortgaged Vehicle”), which is more described as follows:

ONE (1) UNIT : 2020 Honda Civic

MOTOR NO. : HC25789349T
SERIAL NO. : MNTCC2D23Z0045052

Said Promissory Note with Chattel Mortgage was duly

registered with the REGISTRY OF DEEDS OF CEBU CITY and
LAND TRANSPORATION OFFICE – CEBU BRANCH.3

5. On 20 February 2021, CEBU AUTOCAR

CORPORATION, with notice to the Defendants, assigned to the
Plaintiff all its rights, title, and interest to the aforesaid Promissory
Note with Chattel Mortgage through a Deed of Assignment. 4

6. Defendants defaulted in paying TWELVE (12)

consecutive monthly installments which fell due on 28 March 2021 to
28 February 2022. For this reason, the Plaintiff demanded from the
Defendants to pay the whole balance in the sum of P1,000,000.00
including accrued late payment charges and interests, or surrender
the possession of the Mortgaged Vehicle for the purpose of
foreclosure. However, the Defendants failed and refused to comply
with Plaintiff’s demand.5

7. An acceleration clause is specifically provided in the

Promissory Note with Chattel Mortgage that failure on the part of the
Defendants to pay any installment when due shall subsequently
make the installments and the entire balance of the obligation
immediately due and payable.

8. By virtue of the unjustifiable failure and refusal of the

Defendants to pay the entire balance of the obligation in the amount
of P1,000,000.00 including the accrued late payment charges and
interest thereon at the rate of 5% per month as of 28 May 2022 or
surrender the possession of the Mortgaged Vehicle for the purpose of
foreclosure, the Plaintiff was constrained to institute the instant
action. Consequently, the Defendants became liable to the Plaintiff
for the sum of P500,000.00 representing liquidated damages,
attorney’s fees, expenses incurred in relation with the manual delivery

2
Copy of the Promissory Note with Chattel Mortgage is hereto attached and marked as
Annex “B.”
3
Copy of the Registration is hereto attached and marked as Annex “C.”
4
Copy of the Deed of Assignment is hereto attached and marked as Annex “D.”
5
Copy of the Written Demand is hereto attached and marked as Annex “E.”
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of the Mortgaged Vehicle, including the expenses for payment of the
premium on the replevin bond filed in support of the prayer for the
issuance of a Writ of Replevin.

9. As of 28 May 2022, the Defendants’ total outstanding

obligation to the Plaintiff is P1,628,894.62.6

10. It is likewise provided in the Promissory Note with Chattel

Mortgage that the Defendants further agree that any legal action
arising therefrom may be instituted in the courts of Cebu City,
Philippines and that the Plaintiff shall be entitled to 25% attorney’s
fees and 15% liquidated damages computed against the amounts
due from the Defendants in Plaintiff’s favor.

11. Plaintiff is entitled to the possession of the Mortgaged

Vehicle described above, expenses for recovery of possession
together with all its accessories and equipment pursuant to the
provisions of the Promissory Note with Chattel Mortgage. The
Defendants are wrongfully detaining the Mortgaged Vehicle for
purpose of defeating Plaintiff’s mortgage lien thereon.

12. The Mortgaged Vehicle has not been taken for any tax
assessment or fine pursuant to law or seized under an execution of
attachment or otherwise placed under custodia legis, or if so seized,
the same is exempt from such seizure and that the actual value of the
Mortgaged Vehicle does not exceed P450,000.00.

13. Plaintiff will be filing a good sufficient and solvent bond in

an amount double the actual value of the Mortgaged Vehicle for the
return of the same to the Defendants if return thereof be adjudged,
and for the payment to the Defendants such sum as may in the case
be recovered against the Plaintiff who now claims the manual delivery
of the Mortgaged Vehicle.

14. Plaintiff’s representative, JOHN FLORES DELA CRUZ,

will testify and prove the allegations of this complaint. He will present
and identify the documents attached as annexes to this Complaint
and other documents which might be relevant and material to the
case.7

PRAYER

WHEREFORE, it is respectfully prayed of this Honorable Court:

6
Copy of the Statement of Account is hereby attached and marked as Annex “F”.
7
Copy of the Judicial Affidavit of John Flores Dela Cruz is hereto attached and marked as
Annex “G”.
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 a. Before trial, and upon filing and approval of the bond, to
forthwith issue a Writ of Replevin ordering the seizure of the
Mortgaged Vehicle, complete with all its accessories and equipment
together with the Registration Certificate thereof, and direct the
delivery thereof to the Plaintiff in accordance with law and after due
hearing, to confirm the said seizure;

b. In the event that manual delivery of the Mortgaged

Vehicle cannot be effected, to render judgment in favor of the Plaintiff
and against the Defendants ordering them to pay, jointly and
severally, to the Plaintiff the sum of P1,000,000.00 plus accrued late
payment charges and interests thereon at the rate of 5% per month
from 28 March 2021 until fully paid;

c. In either case, to order the Defendants to pay, jointly and

severally, the sum of P500,000.00 as liquidated damages, bonding
fees and attorney’s fees and other expenses incurred in the seizure
of the Mortgaged Vehicle, plus the costs of suit.

Plaintiff further prays for such other relief as this Honorable

Court may be deemed just and equitable in the premises.

Cebu City, Philippines, 27 June 2022.

LEGAL DEPARTMENT
Cebu Savings Bank
Krizia Building, Escario Street
Cebu City
(032) 257 3468
[email protected]

By:

ATTY. JUAN DELA CRUZ

PTR No. 909641/Jan. 3, 2022/Cebu Province
IBP NO. 311643/January 27, 2022/Cebu Province
MCLE Compliance No. VII-0028918
ROLL NO. 83490

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REPUBLIC OF THE PHILIPPINES)
CEBU CITY )S.S.

AFFIDAVIT OF MERIT /
VERIFICATION AND CERTIFICATION OF NON-FORUM
SHOPPING

I, JOHN FLORES DELA CRUZ, of legal age, Filipino, and with

office and postal address at c/o CEBU SAVINGS BANK, Krizia
Building, Escario Street, Cebu City, after having been duly sworn in
accordance with law, hereby depose and say that:

1. I am the duly authorized representative of CEBU

SAVINGS BANK, the Plaintiff in the above-entitled case, for purposes
of filing this Complaint;

2. I caused the preparation of the foregoing Complaint by

counsel for and in behalf of the Plaintiff, have read the same and all
allegations herein are true and correct based on my own personal
knowledge and the genuine and authentic records at hand with the
Plaintiff;

3. Plaintiff is the mortgagee of the motor vehicle described

below, to wit:

ONE (1) UNIT : 2020 Honda Civic

MOTOR NO. : HC25789349T
SERIAL NO. : MNTCC2D23Z0045052

4. Plaintiff is entitled to the possession of the Mortgaged

Vehicle in accordance with the terms and conditions of the
Promissory Note with Chattel Mortgage for purposes of foreclosure
after the Defendants defaulted in the payment of several monthly
installments with the Plaintiff and violated the terms and conditions of
the Promissory Note with Chattel Mortgage, especially by non-
payment of the monthly installment in the total amount of
P1,628,894.62 as of 28 May 2022;

5. Said Mortgaged Vehicle is wrongfully detained by the

Defendants because despite default in the time of their monthly
installments as stated in the Complaint, and the Demand made to
them either to pay the amount due or to yield or surrender the
possession or deliver the chattel to the Plaintiff so that the latter may

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foreclose the same, they refused and continue to refuse without
justifiable reason;

6. Said chattel has not been taken for tax assessment or

fine pursuant to law or seized under a writ of execution or preliminary
attachment or otherwise place under custodia legis, or if so seized, it
is exempt from such seizure or custody and the estimated present
market value of the Mortgaged Vehicle is P450,000.00;

7. Plaintiff is ready, able, and willing to file a good solvent

bond in an amount double the value of the said property for the return
of the property to the Defendants, if the return thereof be adjudged,
and for the payment to the Defendants of such sum as may be
recovered against the Plaintiff, and the cost of this suit.

8. In compliance with Administrative Circular No. 04-94 and

Revised Circular No. 28-91, Plaintiff and/or I hereby certify the
following:

a. It has not therefore commenced any other action or

proceeding involving the same issues in the Supreme
Court, the Court of Appeals, or any other tribunal or
agency;

b. To the best of my knowledge, no such action or

proceeding is pending in the Supreme Court, the Court of
Appeals, or any other tribunal or agency; and

c. If the Plaintiff should thereafter learn or came to

know that a similar action or proceeding has been filed or
is pending before the Supreme Court, the Court of
Appeals, or any other tribunal or agency, the Plaintiff
undertakes to report that fact withing five (5) days
therefrom to the Honorable Court wherein this Complaint
and Sworn Certification had been filed.

IN WITNESS WHEREOF, I hereby affixed my signature this

27 day of June 2022 at Cebu City, Philippines.
th

JOHN FLORES DELA CRUZ

Affiant

SUBSCRIBED AND SWORN TO before me this 27th day of

June 2022 at Cebu City, Affiant exhibited to me his Driver’s License
No. G04-90-0055184.

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Doc No. ___;
Page No. ___;
Book No. ___;
Series of 2022.